If you are required to have Private Mortgage Insurance, you need to understand what it is, why it’s necessary and when it’s required. Mortgage Insurance lowers the risk (to the lender) of making the loan. Basically, it’s an insurance policy for the lender but you, the … [Read more...] about Private Mortgage Insurance – What and When?
Mortgages
No More Loan Committee
There are a lot of people (yes, and computer programs) behind the scenes who are involved in getting your mortgage approved. A Loan Committee is not one of them. Let’s look behind the curtain to unmask all these ghost people. The following infographic pertains to Mortgage … [Read more...] about No More Loan Committee
Mortgage Mistake #5 – PreQualification vs PreApproval
PreQualification vs Preapproval, what's the difference? Over the past 30 years, almost every client who has come to me for a purchase loan has asked me what the difference is between a PreQualification and a PreApproval. The distinction is an important one. It can mean the … [Read more...] about Mortgage Mistake #5 – PreQualification vs PreApproval
Mortgage Mistake #4-Changing Jobs or Your Business Structure
Mortgage Mistake #4 - Changing jobs or, if you are self-employed, your business structure. Scenario 1: You are an employee with a salary If you are an employee who receives a regular paycheck for the same amount each pay period, here's what happens when you change jobs. The … [Read more...] about Mortgage Mistake #4-Changing Jobs or Your Business Structure
Mortgage Mistake #3-Opening New Lines of Credit
Mortgage Mistake 3 - New Lines of Credit. When you are about to purchase a new home, you think about the wonderful, brand new shiny appliances you'll get. The furniture that will reflect your personality, the art, the accessories. Mortgage Mistake 3. Don't! There are multiple … [Read more...] about Mortgage Mistake #3-Opening New Lines of Credit
Mortgage Mistake #2 – Waiting Until You Can Make a 20% Down Payment
An even bigger mortgage mistake is waiting until you have enough money for a 20% down payment. It's true that when your down payment is less than 20%, your mortgage will cost you more, but if you wait, the financial benefits you realize by owning rather than renting will be … [Read more...] about Mortgage Mistake #2 – Waiting Until You Can Make a 20% Down Payment
