MortgageCast

Yes. If you let your homeowners insurance policy lapse or fail to provide proof of coverage, your lender has the right to force-place insurance on your property. This “lender-placed” insurance is typically more expensive, offers less coverage (often only protecting the lender’s interest), and the cost will be added to your monthly mortgage payment.

Yes, income from commissions, bonuses, or overtime is often treated differently. Lenders will typically average this variable income over the last two years. A recent switch to a commission-based role may require you to show a longer history of similar work or a track record of earning consistent commissions.

This can vary by state and local custom. Sometimes the buyer chooses, sometimes the seller chooses, and sometimes it is the lender’s preferred partner. It is often a point of negotiation in the purchase contract. It’s wise to shop around and compare services and fees.

Refinancing can be a powerful tool, but it’s not always the right move. You should consider it if:
Interest rates are at least 0.5% to 1% lower than your current rate.
Your credit score has improved significantly since you got your original loan.
You want to switch from an adjustable-rate mortgage (ARM) to a stable fixed-rate mortgage.
You have enough equity to remove Private Mortgage Insurance (PMI).
Always calculate the break-even point (how long it will take for the monthly savings to cover the closing costs) before deciding.