If there’s something nudging you about finally becoming a homeowner, one of the first things you’ll want to know is how much house you can afford. Once you start your search, it’s easy to become overwhelmed about not just the number of properties for sale but also the wide range in pricing. What is the price range you need to be looking into and how do you know how much you can qualify for? It’s a combination of income, credit, rates and loan amount.
Whether you are a first-time homebuyer looking for a home or a seasoned home-buying veteran, you probably know how important it is to get the best mortgage possible, and much of that importance is placed upon the interest rate associated with the loan. Mortgage lenders compete with one another for your business and one of the primary ways they do so is to be competitive in both terms of rate as well as service and deliverability. But rates are an important factor. There is no shortage of information available about mortgage rates in general, how they act and what makes them move up, down or stay the same. So how do you know when to lock in your mortgage rate?
Home buyers know there will be closing costs associated with getting a mortgage. Buyers save up money for a down payment but also must consider the various closing costs involved. You can get a general idea on what types of costs you can expect on a typical home purchase by speaking with your loan officer over the phone or requesting a cost estimate. However you get these numbers, there are indeed costs involved. But there are definite strategies to eliminate or negotiate on who pays closing costs.
Are there more than a few bills this month than you saw just a few months ago? You’re certainly not alone. It’s that time of year when home owners start getting their credit card statements and they soon realize they probably spent more than they had planned over the holidays. But pay they must and many do so by taking out a debt consolidation loan. How does a debt consolidation loan work?
In December 2015, the Federal Reserve started the process of raising the federal funds target interest rate. Since 2008, the target rate has been in an reparative state, where it lay close to 0%. Now that the economy is recovering and unemployment rates are at a comfortable level, the Federal Reserve is working to get rates back to normal.
So the big question is, how does the Federal Reserve affect mortgage rates?
First-time homebuyers: it’s challenging to know when and how to lock in a the best interest rate for your home purchase. Here are the top steps for novice home buyers when it comes to getting the best interest rates. [Read more…]
Wise financial decisions are critical during the period leading up to submitting a mortgage application. Do plenty of research, cleanup personal financial flaws, and make smart decisions about changes occurring in other areas of your life that will affect the judgment on your application. Follow the below steps to put yourself in the best position for getting approved for your mortgage application along with receiving the most optimal home interest rate.
When you’re first considering applying for a home loan, whether to refinance or to purchase a home, you discover that interest rates for mortgages are a moving target. Mortgage companies set rates each day and rates change often, especially during volatile times. Though it doesn’t happen often, rates can even change during the course of a single business day. As mortgage rates change over time you might ask yourself: Should I lock in my mortgage rate today or see if I can get a better rate later?
Buyers soon discover they’ve got more than a few decisions to make when first embarking on a new home purchase. One such consideration is your mortgage. And there are more than a few choices there, too. Homeowners may find themselves asking; Should I get a fixed rate loan or an adjustable? Should I lock in my interest rate or wait? Should I get a 15 year mortgage, 20, or 30? Let’s take a closer look.
When comparing interest rates on home loans with other types of consumer debt such as credit cards or automobile loans it becomes immediately clear there’s quite a bit of difference.Why the disparity? Home loans are secured by real estate while credit cards are not.Other installment debt such as an automobile loan can also carry higher rates compared to a home loan. Consumers can always renegotiate the interest rate on a credit card or other types of debt but even then the rates are still higher than what is offered for a mortgage.That said, home owners can replace those higher rates with a lower one by refinancing an existing mortgage, pulling out extra cash during the process and paying off those high interest rate accounts. How?
Here are four mortgage refinance options for consolidating debt.