A cash-out refinance is a powerful financial tool that allows homeowners to access the wealth they have built in their property. Unlike a traditional ...
Read More
The journey of homeownership rarely ends with that very first mortgage. As life unfolds and circumstances shift, your initial home loan may no longer ...
Read More
For many homeowners, their property represents their most significant financial asset, one that grows in value over time. This growth, known as home e...
Read More
A mortgage is often the largest financial commitment a person will make, and the initial interest rate you secure is not necessarily the one you must ...
Read More
For homeowners seeking to lower their monthly mortgage payments or adjust the terms of their loan, two primary strategies often come into consideratio...
Read More
The decision between a 15-year and a 30-year mortgage is one of the most significant financial choices a homebuyer can make, setting the trajectory fo...
Read MoreYou should check your credit reports at least 3-6 months before you plan to apply for a mortgage. This gives you enough time to review your reports for errors, dispute any inaccuracies, and take steps to improve your score, such as paying down debt, without the pressure of an immediate deadline.
Obtaining Loan Estimates from at least three different lenders is your most powerful negotiating tool. When you have a competing offer with a lower rate or fewer fees, you can present it to your preferred lender and ask if they can match or beat it. Lenders are often willing to adjust their terms to win your business.
When the balloon payment comes due, you generally have three options:
1. Pay the balance in full with your own funds.
2. Sell the property and use the proceeds to pay off the loan.
3. Refinance the balloon mortgage into a new, long-term mortgage, subject to qualifying for the new loan.
A gift letter is required if you are using gifted funds for your down payment or closing costs. It must be signed by the donor and state their relationship to you, the gift amount, that it does not need to be repaid, and the source of their funds. You will also need to provide the donor’s bank statement showing the funds.
Closing costs for an assumption are similar to a traditional purchase and can include:
Lender assumption fee (often $500 - $1,500)
Appraisal fee
Title insurance and search fees
Escrow fees
Prepaid property taxes and homeowners insurance
