Financing Options for Investment Properties
Purchasing investment properties is one of the world’s most reliable ways to grow wealth. Yet many people assume investment properties are out of their reach. If you’re someone who thinks only rich people get to invest, here’s great news. There are many options for investors, and many are available to people just like you. In […]
How to Understand Home Loan Estimates
Three days after you apply for a mortgage you will receive a 3-page document called the Mortgage Loan Estimate. The law requires residential lenders to provide you with this standardized document so you can make an informed decision about whether the proposed home loan is right for you. You should receive this document both for […]
What is the Real Estate Settlement Procedures Act?
When you take out a mortgage in the United States, you can do so knowing you enjoy many protections under the law. One of those protections comes from the 1974 Real Estate Settlement Procedures Act, or RESPA. RESPA requires mortgage lenders to disclose all loan costs. It also prohibits kickbacks, limits escrow account requirements, and […]
The Role of the Consumer Financial Protection Bureau in Mortgage Lending
When you obtain a mortgage, you want to know you’re doing business with a fair, integrity-first company who will meet all the terms of your agreement. You don’t want to discover a “gotcha” in the fine print which might cost thousands of dollars. Choosing the right mortgage lender helps. But it’s also nice to know […]
How Dodd-Frank Affects Mortgages
The Dodd-Frank Act was the government’s answer to the 2008 mortgage crisis. It was meant to shut down risky lending practices and established several new authorities and bureaus to oversee the stability of the market. Some important parts of the Dodd-Frank Act that mortgage borrowers should know about include: Critics of the Act say that […]
Understanding the Fair Housing Act
In 1968, Lyndon B. Johnson passed the Fair Housing Act. This was the landmark law that made it illegal to discriminate in housing transactions. The law was expanded again in 1975 and again in 1988 to become the law that it is today. The Act prohibits any mortgage lending agent, realtor, real estate agent, property […]
What is Rate and Term Refinancing?
Exploring a refinance because you want to lower your monthly mortgage payment? A rate-and-term refinance is one of the most reliable methods for meeting this important financial goal. During the rate-and-term refinancing process, you’ll pay off your old mortgage by taking out a new mortgage, one with a lower interest rate, a longer term, or […]
What is a Cash-Out Refinance?
A cash out refinance allows you to take advantage of your home equity by receiving a lump sum payment when you close on the new loan. You’ll create a new mortgage for an amount larger than the amount currently owed, and then you get paid the difference. Cash-out refinances can be an excellent way to […]
How to Choose a Refinancing Lender
You should give at least as much thought and care to choosing a refinancing lender as you did to choosing your first mortgage lender. You’ll be with that lender for a long time still, and you want to know that you’re enjoying the best rates and terms that you can. Here are a few tips […]
What Are the Benefits of Refinancing to a Shorter Loan Term?
30 years is a long time to be in debt (as is 20 years if you opted for a 20-year loan term), and let’s face it. Your home loan is likely to be the biggest debt you’re dealing with right now. So while refinancing to a shorter-term loan might increase your payment, it might be […]
