The journey to homeownership is a monumental financial achievement, yet the initial mortgage payment and down payment are often just the beginning of ...
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When you apply for a mortgage, lenders are fundamentally trying to answer one question: How likely are you to repay this large loan? While your credit...
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Choosing a mortgage lender is one of the most significant financial decisions a person will make. While interest rates and loan terms are crucial quan...
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For most homeowners, their monthly mortgage payment encompasses more than just the principal and interest on their loan. A significant portion often g...
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The journey to homeownership is paved with important documents, and one of the most critical early milestones is receiving the Loan Estimate from your...
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An escrow account is a fundamental component of the homeownership journey, serving as a financial safeguard for both the lender and the borrower. Esse...
Read MoreYes, most lenders allow you to overpay on your mortgage, typically up to 10% of the outstanding balance per year without incurring an early repayment charge (ERC). Making overpayments is a very effective way to reduce your final debt and lessen the financial impact when the interest-only period ends.
The 15-year mortgage saves you a substantial amount in total interest over the life of the loan. Using the $400,000 example at 6.5%, the total interest paid on a 30-year mortgage would be approximately $510,000. For the 15-year mortgage, the total interest paid would only be about $227,000—a savings of over $283,000.
By law, your old servicer must forward that payment to the new servicer or return it to you.
They are not allowed to hold onto it. However, this can cause a delay.
To avoid late fees, always make payments to the servicer listed on your most recent statement.
Formally known as an Exterior-Only Inspection Appraisal, this is a less common type where the appraiser does not enter the home. They value the property based on exterior observations and public records. Lenders may only use this for certain low-risk loans (like some refinances) or when an interior inspection is not feasible.
Yes, the most common types are a standard lock (a set rate for a set time), a lock with a float-down option (as described above), and a one-time float option (where you have one opportunity to lock a rate after your application has been submitted).
