I'm surprised at how much maternity benefits vary from company to company and country to country. How are you planning to cover things like mortgage/rent payments whilst you're on maternity leave?How will you pay the rent/mortgage whilst you're on maternity leave?
It is absolutely crazy how maternity benefits vary between companies and countries. I live in the US and work for a university. The university offers relatively good maternity benefits as far as US maternity benefits go, but they're still not great or enough to live on. Instead, I have decided to go a different route when the baby comes. I have been saving up all of my sick and vacation time, and even put every additional hour I worked into my comp time (this is time you build up from working overtime, so for each hour you work over time, you get 1.5 hours comp time and can take days off with that time). By saving up so much time, I will be getting paid my full salary while on maternity leave (until my time runs out, of course). Also, my husband and I have put a lot of money away in our savings account, so we can pay our mortgage or any bills that arise. Our savings wasn't created specifically for maternity leave, but just anytime when we needed it to fall back on. My husband will also be working while I'm on leave, so hopefully we won't have to touch the savings. Best wishes!
Thursday, July 29, 2010
How do you subordinate a second mortgage?
I am trying to help my client refi his first mortgage, but in order to do that I have to subordinate his second mortgage. The lender that I'm trying to sub is Chase. Any help would be greatly appreciated.How do you subordinate a second mortgage?
I have successfully gotten subordination agreements from Chase. They have a form to fill out, will want $100 or $200, %26amp; more than likely will want a copy of your appraisal. It will depend on what your CLTV will be. And they do NOTHING quickly. I agree. This is basic mortgage 101.How do you subordinate a second mortgage?
A second (or third, forth, etc.) mortgage is subordinate to a senior mortgage by definition. What exactly are you trying to do?
A second mortgage is that a second. They will not relinquish there position. If you are going to refi the first mortgage there will be no problem unless chase has a problem with the additional mortgage payments from your client. They will protect there investment.
Umm, YOU are supposed to be the loan officer, shouldn't you know this? Why do you have clients and why are you doing their loans if you don't know how?
Sorry, but that's mortgage 101. You asking that here is an embarassment to everyone.
you aren't going to accomplish that without Chase's written agreement.
now, what would they get out of doing so?
paying down some of the principle on the first?
:-)
Contact Chase and tell them what you are doing and the benefits of the refinance. As long as you are moving your client into a better situation they will allow a subordination. You will need them to sign a subordination agreement. have your processor work on this while you generate more loans.makeup companies wet eyeshadow
I have successfully gotten subordination agreements from Chase. They have a form to fill out, will want $100 or $200, %26amp; more than likely will want a copy of your appraisal. It will depend on what your CLTV will be. And they do NOTHING quickly. I agree. This is basic mortgage 101.How do you subordinate a second mortgage?
A second (or third, forth, etc.) mortgage is subordinate to a senior mortgage by definition. What exactly are you trying to do?
A second mortgage is that a second. They will not relinquish there position. If you are going to refi the first mortgage there will be no problem unless chase has a problem with the additional mortgage payments from your client. They will protect there investment.
Umm, YOU are supposed to be the loan officer, shouldn't you know this? Why do you have clients and why are you doing their loans if you don't know how?
Sorry, but that's mortgage 101. You asking that here is an embarassment to everyone.
you aren't going to accomplish that without Chase's written agreement.
now, what would they get out of doing so?
paying down some of the principle on the first?
:-)
Contact Chase and tell them what you are doing and the benefits of the refinance. As long as you are moving your client into a better situation they will allow a subordination. You will need them to sign a subordination agreement. have your processor work on this while you generate more loans.
How do you find out what mortgage company owns a house that was forclosed on / abandoned?
I've checked with city. They gave me names of previous owners but they would not respond to my inquiries.How do you find out what mortgage company owns a house that was forclosed on / abandoned?
Don't ask about owners. Ask about encumbrances. These are public records %26amp; whoever is responsible for recording them in your city/county will have them.
In some jurisdictions a trustee may be responsible for disposing of a foreclosed house %26amp; the mortgage company never takes actual possession of it.How do you find out what mortgage company owns a house that was forclosed on / abandoned?
mortgages are recorded in the court house land records many times today mortgages are sold and it is difficult to find who owns the paper now.
Go to your County Tax Assessor's office and find out who paid the property taxes. They would be the owner.
That's probably the only way you would know.
Go to the county court house and look up the property by owner. The mortgage note should be on file and you will be able to see who the mortgagor is for that property.
You can get a simple title search from a title company. It's like a title policy that you would get with a home sale, but not very expensive.
try checking with a local realtor. they may be able to provide this info to you, if the tax assessor's office can't...
Don't ask about owners. Ask about encumbrances. These are public records %26amp; whoever is responsible for recording them in your city/county will have them.
In some jurisdictions a trustee may be responsible for disposing of a foreclosed house %26amp; the mortgage company never takes actual possession of it.How do you find out what mortgage company owns a house that was forclosed on / abandoned?
mortgages are recorded in the court house land records many times today mortgages are sold and it is difficult to find who owns the paper now.
Go to your County Tax Assessor's office and find out who paid the property taxes. They would be the owner.
That's probably the only way you would know.
Go to the county court house and look up the property by owner. The mortgage note should be on file and you will be able to see who the mortgagor is for that property.
You can get a simple title search from a title company. It's like a title policy that you would get with a home sale, but not very expensive.
try checking with a local realtor. they may be able to provide this info to you, if the tax assessor's office can't...
What is the typical down payment Mortgage companies are now asking for?
We plan on selling our home (Are taxes are very hight for a town home) and will break even if it sells. For what we pay in taxes and maintance we could move into a nice home with a yard for the same price. Only thing is we don't want to put 20% down. Both are working and have excellent credit scores. Thanks!What is the typical down payment Mortgage companies are now asking for?
Debbie, you aren't required to put 20% down, however if you don't you will pay PMI each month which can add hundreds to your mortgageWhat is the typical down payment Mortgage companies are now asking for?
Typical mortgages require 20% down. Further, the total of the monthly mortgage (P%26amp;I), HOA Fees, Property Taxes, and Insurance should not exceed 31% of your gross income. If you have other loans, those added to the home payments (etc) should not be more than 35% of your gross pay.
The old standard was less than 20% required PMI. But, with recent issues, good luck finding a bank that will put their skin into your home if you're not putting up the full 20%.
generally speaking most of the companies are asking for 20%.
Debbie, you aren't required to put 20% down, however if you don't you will pay PMI each month which can add hundreds to your mortgageWhat is the typical down payment Mortgage companies are now asking for?
Typical mortgages require 20% down. Further, the total of the monthly mortgage (P%26amp;I), HOA Fees, Property Taxes, and Insurance should not exceed 31% of your gross income. If you have other loans, those added to the home payments (etc) should not be more than 35% of your gross pay.
The old standard was less than 20% required PMI. But, with recent issues, good luck finding a bank that will put their skin into your home if you're not putting up the full 20%.
generally speaking most of the companies are asking for 20%.
I just took out my first mortgage on a home. How long do I have to wait before I can refi for a lower rate?
With the average mortgage rates dropping, I am wondering if there is a minimum amount of time you have to pay on your mortgage before you can refinance? 1 year?I just took out my first mortgage on a home. How long do I have to wait before I can refi for a lower rate?
You can refinance now. There is no set time you have to wait unless you have a pre-payment penalty on your existing loan. Refinancing your home has to make sense by either putting you in a better financial position or serve a special purpose.
Common reasons to refinance:
- Lowering your interest rate or term of your loan (from a 30 year fixed to say a 20 year fixed)
- Debt Consolidation Refinance where you pay off non-mortgage debt by using the equity in your home (credit cards, auto loans, students loans, etc.)
- Using the equity in your home to pay for a major expense
- Swiching from an adjustable rate mortgage to a fixed rate mortgage
If you got your loan through a mortgage broker, they would really appreciate you not refinancing for about 4 months.I just took out my first mortgage on a home. How long do I have to wait before I can refi for a lower rate?
the rate has to drop enough to make it worthwhile because refinancing costs money - if it only drops your payment $50/month and refinancing costs $2000, it will take you 40 months to get back where you were, plus you're not going to have any equity in the house for at least a few years for the bank to allow you to refinance
You don't have to wait. Talk to your loan officer and see if what you qualify for will put you in a better loan than what you currently have.
Now is not a good time. Your house will probably appraise for less than it's worth. If you have noticed the housing market is doing poorly.
A year is typically a good time frame.
However, as other posters pointed out, it does cost money to do this.
However (again), rates dropped by a big number this month, 3/4 of a point, so the mortgage you have now is probably pretty dang good.
You can always call whatever bank you'd like and ask them what rates they could offer you and what your monthly payments would be. This can be an invaluable tool in seeing if it's a good deal for you.
And please stay away from ARM loans, they can really mess you up.
Check your loan papers to see if you have a prepayment penalty. If you do not have one, you can refinance any time you want.
You can refinance now. There is no set time you have to wait unless you have a pre-payment penalty on your existing loan. Refinancing your home has to make sense by either putting you in a better financial position or serve a special purpose.
Common reasons to refinance:
- Lowering your interest rate or term of your loan (from a 30 year fixed to say a 20 year fixed)
- Debt Consolidation Refinance where you pay off non-mortgage debt by using the equity in your home (credit cards, auto loans, students loans, etc.)
- Using the equity in your home to pay for a major expense
- Swiching from an adjustable rate mortgage to a fixed rate mortgage
If you got your loan through a mortgage broker, they would really appreciate you not refinancing for about 4 months.I just took out my first mortgage on a home. How long do I have to wait before I can refi for a lower rate?
the rate has to drop enough to make it worthwhile because refinancing costs money - if it only drops your payment $50/month and refinancing costs $2000, it will take you 40 months to get back where you were, plus you're not going to have any equity in the house for at least a few years for the bank to allow you to refinance
You don't have to wait. Talk to your loan officer and see if what you qualify for will put you in a better loan than what you currently have.
Now is not a good time. Your house will probably appraise for less than it's worth. If you have noticed the housing market is doing poorly.
A year is typically a good time frame.
However, as other posters pointed out, it does cost money to do this.
However (again), rates dropped by a big number this month, 3/4 of a point, so the mortgage you have now is probably pretty dang good.
You can always call whatever bank you'd like and ask them what rates they could offer you and what your monthly payments would be. This can be an invaluable tool in seeing if it's a good deal for you.
And please stay away from ARM loans, they can really mess you up.
Check your loan papers to see if you have a prepayment penalty. If you do not have one, you can refinance any time you want.
How low should I wait for mortgage rates to go before refi?
I live near Seattle, WA. I have a single family house rental property currently at 6.875% with a major national lender. I notice from their rate notification emails that their rate for a 30-year fixed has gone down to 4.625. I realize that a rental property would probably warrant a higher rate than an owner occupied home. But should I refi now or wait and see if rates drop more?How low should I wait for mortgage rates to go before refi?
Rates are at the level they were in the 1940's.
Plus lenders are actually wanting rates to increase. You lower rates to increase loans. But with the boom in refinancing, lenders have to much more. They are actually charging more then they should, but demand is great.
Plus the fed is not working to lower rates, just to maintain the current level.
Rates are also tried to inflation, which is increasing due to the US spending.How low should I wait for mortgage rates to go before refi?
I own several rental properties and have been told by several mortgage companies that even though I have very good credit scores and the cash flow on my rentals is very positive- they are not interested in making any loans on rental properties right now. I have a bunch that have 7% loans and I guess I am not going to get any better.
Best of luck to you.
When the rate for your rental hits 5% and the ';fees'; are under 1% of the loan amount..
Rates are at the level they were in the 1940's.
Plus lenders are actually wanting rates to increase. You lower rates to increase loans. But with the boom in refinancing, lenders have to much more. They are actually charging more then they should, but demand is great.
Plus the fed is not working to lower rates, just to maintain the current level.
Rates are also tried to inflation, which is increasing due to the US spending.How low should I wait for mortgage rates to go before refi?
I own several rental properties and have been told by several mortgage companies that even though I have very good credit scores and the cash flow on my rentals is very positive- they are not interested in making any loans on rental properties right now. I have a bunch that have 7% loans and I guess I am not going to get any better.
Best of luck to you.
When the rate for your rental hits 5% and the ';fees'; are under 1% of the loan amount..
What do you do when your mortgage broker lies to you about your refinance?
Working with a mortgage company to refinace my home and the agent keeps telling me not to worry, we will close guarnateed. Now after a month and we still havent closed, we havent made a house payment in 2 months because he told us not to, and now the loan may not close because we are late with the mortgage payment. What do we do?What do you do when your mortgage broker lies to you about your refinance?
- Always, always, always, keep your existing loan payments current!
- Your missed payments have probably hurt your credit score too much for the loan he had in mind. Most home loans are bundled together by banks and sold as a block on the secondary market, so they must follow specific Fannie Mae-Freddie Mac guidelines in reqards to credit scores and other qualification issues. Find a local lender that does not package and sell their loans and so does not have to follow these guidelines. A small community bank, for example. Explain to them what happened and they may overlook any recent credit score problems resulting from this situation.
- Report the Mortgage broker to the Better Business Bureau, and the State Real Estate Licensing Board as Mortgage Lenders in most states have to have a Real Estate License.
Good luck!What do you do when your mortgage broker lies to you about your refinance?
This individual also has to be licensed to do business in your state. You may want to contact your state's Attorney General's office to find out what your recourse is.
File a complaint with the FTC
Use the link below
http://www.ftc.gov/ftc/consumer.htm
Best advice I can give you is to make sure everything the broker asks you to do have him put it in writing. By having him put it in writing you may have grounds to sue just in case things go bad. In my opinion, you should continue to make payments on your mortgage, technically, you are still responsible for it.
I'd consult a lawyer to see what your rights are.
You do everything possible. File the complaint with FTC, contact the Better Bissnes Bura, and get a lawyer and press charges, and sue him for every penny he cost you or lied to you about, or sue him for all he is worth. Make sure you have solid evidence before you report him or sue him!
Please make your current mortgage payment AS SOON AS POSSIBLE. You can never count on a Broker to close on time. Your credit score might have dropped by now because of your late mortgage payments. It will become difficult for you to refinance with mortgage lates reporting on your credit report. I'd suggest that you make your mortgage payments and threaten to cancel the refinance if the Broker does not close your loan by the end of the month.
Lenders are required to give you written information pertaining to your loan called a ';Truth and Lending Statement';. You should have received this prior to closing your loan. This should outline your cost estimates and show information about your potential loan.
If you have a problem, I would start with the manager in charge of the office of the mortgage broker. If that does not work, contact the agency in your state that licenses mortgage brokers and file a complaint. You can also contact the Better Business Bureau for your area to file a complaint.
In the meantime keep up with all payments on your home. Your home equity is at risk if you don't.
- Always, always, always, keep your existing loan payments current!
- Your missed payments have probably hurt your credit score too much for the loan he had in mind. Most home loans are bundled together by banks and sold as a block on the secondary market, so they must follow specific Fannie Mae-Freddie Mac guidelines in reqards to credit scores and other qualification issues. Find a local lender that does not package and sell their loans and so does not have to follow these guidelines. A small community bank, for example. Explain to them what happened and they may overlook any recent credit score problems resulting from this situation.
- Report the Mortgage broker to the Better Business Bureau, and the State Real Estate Licensing Board as Mortgage Lenders in most states have to have a Real Estate License.
Good luck!What do you do when your mortgage broker lies to you about your refinance?
This individual also has to be licensed to do business in your state. You may want to contact your state's Attorney General's office to find out what your recourse is.
File a complaint with the FTC
Use the link below
http://www.ftc.gov/ftc/consumer.htm
Best advice I can give you is to make sure everything the broker asks you to do have him put it in writing. By having him put it in writing you may have grounds to sue just in case things go bad. In my opinion, you should continue to make payments on your mortgage, technically, you are still responsible for it.
I'd consult a lawyer to see what your rights are.
You do everything possible. File the complaint with FTC, contact the Better Bissnes Bura, and get a lawyer and press charges, and sue him for every penny he cost you or lied to you about, or sue him for all he is worth. Make sure you have solid evidence before you report him or sue him!
Please make your current mortgage payment AS SOON AS POSSIBLE. You can never count on a Broker to close on time. Your credit score might have dropped by now because of your late mortgage payments. It will become difficult for you to refinance with mortgage lates reporting on your credit report. I'd suggest that you make your mortgage payments and threaten to cancel the refinance if the Broker does not close your loan by the end of the month.
Lenders are required to give you written information pertaining to your loan called a ';Truth and Lending Statement';. You should have received this prior to closing your loan. This should outline your cost estimates and show information about your potential loan.
If you have a problem, I would start with the manager in charge of the office of the mortgage broker. If that does not work, contact the agency in your state that licenses mortgage brokers and file a complaint. You can also contact the Better Business Bureau for your area to file a complaint.
In the meantime keep up with all payments on your home. Your home equity is at risk if you don't.
How do student loans affect a mortgage applicaton?
I have $60,000 in various student loans, but since consolidating my combined payment is only $300/month. I have no other debt. Do lenders view student loan debt differently due to the flexibility of the loans? Also, would they look more at the total amount of the debt or the monthly payment when determining the rate and loan amount?How do student loans affect a mortgage applicaton?
With 20 years experience in the mortgage business, I have never seen a student loan that was in repayment treated any differently than any other long term debt. While you may be able to ask for a hardship deferal in the future, which is the only advantage on a student loan that doesn't exist on a standard installment loan, no lender wants to anticipate that circumstance. As long as the payments extend past 10 months in the future, the lender will only use your monthly payment as part of your qualifying ratios. The total debt is not that important and would only be a minor factor. What will matter more is your payment history on the student loan: it should be perfect. It all comes down to the quality of your credit history (your FICO score) and your qualifying ratios of debt/income.
Try this site
http://free-college-information-usa.blogspot.com/
Free College information on financial aid for students, scholarship, student loans and more.How do student loans affect a mortgage applicaton?
Need a loan online,one need to be careful because there are Scams everywhere.i was in financial mess but due to the scam cases online i was scared to apply until i was introduced to one Kelly Walsh loan firm by a close friend of mine.then i applied and my loan was transfered to me within 48hours after due processes.so am a living witness to Kelly Walsh loam company as a genuine loan firm that you can count on any day for prompt loan transaction. you can contact them on kelly_walsh36@yahoo.com
Yes, it is viewed differently than, say, credit card debt. They look to see if the loans are in good standing and what your monthly payments are.
Your best answers will come from a mortgage lender or a loan officer at a bank. It will really depend on many factors that may be regional or temporal.
it's the loan...they do not care who you owe it tomakeup companies facial treatment
With 20 years experience in the mortgage business, I have never seen a student loan that was in repayment treated any differently than any other long term debt. While you may be able to ask for a hardship deferal in the future, which is the only advantage on a student loan that doesn't exist on a standard installment loan, no lender wants to anticipate that circumstance. As long as the payments extend past 10 months in the future, the lender will only use your monthly payment as part of your qualifying ratios. The total debt is not that important and would only be a minor factor. What will matter more is your payment history on the student loan: it should be perfect. It all comes down to the quality of your credit history (your FICO score) and your qualifying ratios of debt/income.
Try this site
http://free-college-information-usa.blogspot.com/
Free College information on financial aid for students, scholarship, student loans and more.How do student loans affect a mortgage applicaton?
Need a loan online,one need to be careful because there are Scams everywhere.i was in financial mess but due to the scam cases online i was scared to apply until i was introduced to one Kelly Walsh loan firm by a close friend of mine.then i applied and my loan was transfered to me within 48hours after due processes.so am a living witness to Kelly Walsh loam company as a genuine loan firm that you can count on any day for prompt loan transaction. you can contact them on kelly_walsh36@yahoo.com
Yes, it is viewed differently than, say, credit card debt. They look to see if the loans are in good standing and what your monthly payments are.
Your best answers will come from a mortgage lender or a loan officer at a bank. It will really depend on many factors that may be regional or temporal.
it's the loan...they do not care who you owe it to
What is the difference between a mortgage and a home equity loan?
I own a home that is paid off but would like to take out a loan to fund some home improvements as well as help my parents pay off their home equity loan. Given this scenario can I take out a mortgage since mortgage rates are lower or am I limited to a home equity loan. I'm not interested in HELOC's.What is the difference between a mortgage and a home equity loan?
Just the packaging of the financial product. Once upon a time Home Equity Loans were called 2nd mortgages. The real difference is risk factor for the bank. Typically Home Equity Loans are 2nd to be paid in the event of a foreclosure or other bad financial happening - leaving them exposed if there wans't any many for them at the end of the day. So they charge you a bit more interest to compensate for this additional risk. Since you would be leveraging your house for the 1st time again, and the holder of this new ';note'; would be the only creditor and thus 1st in line for payment in the event of default, lenders may negotiate a little and get you a better rate.
Its probably something you should take to a local bank or branch where you can work with a real person. I wouldn't advise trying to work this deal through an online lender.What is the difference between a mortgage and a home equity loan?
All answers were helpful but unfortunately I could only pick one for th best answer.
Mortgage repayments are generally over a much longer period of time than with a home equity loan, and the interest rates are lower with the mortgage. Go for it.
No, you can take out a first mortgage. HELOC's are generally second liens on a home, but the loan structure may allow them to be first liens as well.
The major difference is how much you are committed to and the time frame in which they can be paid.
If you KNOW you need to take out $30-50K or more, then get a mortgage on your home, as these are definately the best rates. HELOC's cost more b/c you are not required to take an immediate draw, and it's actually a line of credit...much like a credit card.
You don't want to take out a HELOC if you have another alternative.
PS: $30,000 is usually the minimum for a first mortgage...HELOCS are less...that may also make a difference to you.
The main difference is that with a mortgage you are borrowing all of the money at once and will be paying interest on the entire amount from day one. Home equity loans allow you to draw the funds on an as needed basis and only pay on the money you are using. They are both liens on your real estate and can be in first or second position. Most equity lines adjust the interest rate based on a % over prime and are therefore similar to adjustable rate mortgages in terms of interest.
There is no difference. They are both mortgages. Both will take a lien agaisnt your property. You have a couple options.
1. You take out a set amount of money, say 50,000. You will pay payments on that until you pay it off.
2. You take out a home equity line of credit for 50,000. That is like a credit card you can pay it down and then borrower against it again. You only pay what you take out. It can go up and down.
The first choice is amortized with a fixed payment to fixed terms, the second can adjust according to what you do with the money.
You can easily get a fixed rate first mortgage and get cash out (equity) for your scenario. Check with your local bank or mortgage company. You are not required to take out a HELOC.
Just the packaging of the financial product. Once upon a time Home Equity Loans were called 2nd mortgages. The real difference is risk factor for the bank. Typically Home Equity Loans are 2nd to be paid in the event of a foreclosure or other bad financial happening - leaving them exposed if there wans't any many for them at the end of the day. So they charge you a bit more interest to compensate for this additional risk. Since you would be leveraging your house for the 1st time again, and the holder of this new ';note'; would be the only creditor and thus 1st in line for payment in the event of default, lenders may negotiate a little and get you a better rate.
Its probably something you should take to a local bank or branch where you can work with a real person. I wouldn't advise trying to work this deal through an online lender.What is the difference between a mortgage and a home equity loan?
All answers were helpful but unfortunately I could only pick one for th best answer.
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Mortgage repayments are generally over a much longer period of time than with a home equity loan, and the interest rates are lower with the mortgage. Go for it.
No, you can take out a first mortgage. HELOC's are generally second liens on a home, but the loan structure may allow them to be first liens as well.
The major difference is how much you are committed to and the time frame in which they can be paid.
If you KNOW you need to take out $30-50K or more, then get a mortgage on your home, as these are definately the best rates. HELOC's cost more b/c you are not required to take an immediate draw, and it's actually a line of credit...much like a credit card.
You don't want to take out a HELOC if you have another alternative.
PS: $30,000 is usually the minimum for a first mortgage...HELOCS are less...that may also make a difference to you.
The main difference is that with a mortgage you are borrowing all of the money at once and will be paying interest on the entire amount from day one. Home equity loans allow you to draw the funds on an as needed basis and only pay on the money you are using. They are both liens on your real estate and can be in first or second position. Most equity lines adjust the interest rate based on a % over prime and are therefore similar to adjustable rate mortgages in terms of interest.
There is no difference. They are both mortgages. Both will take a lien agaisnt your property. You have a couple options.
1. You take out a set amount of money, say 50,000. You will pay payments on that until you pay it off.
2. You take out a home equity line of credit for 50,000. That is like a credit card you can pay it down and then borrower against it again. You only pay what you take out. It can go up and down.
The first choice is amortized with a fixed payment to fixed terms, the second can adjust according to what you do with the money.
You can easily get a fixed rate first mortgage and get cash out (equity) for your scenario. Check with your local bank or mortgage company. You are not required to take out a HELOC.
What is the difference between a mortgage and a home equity loan?
I own a home that is paid off but would like to take out a loan to fund some home improvements as well as help my parents pay off their home equity loan. Given this scenario can I take out a mortgage since mortgage rates are lower or am I limited to a home equity loan. I'm not interested in HELOC's.What is the difference between a mortgage and a home equity loan?
Just the packaging of the financial product. Once upon a time Home Equity Loans were called 2nd mortgages. The real difference is risk factor for the bank. Typically Home Equity Loans are 2nd to be paid in the event of a foreclosure or other bad financial happening - leaving them exposed if there wans't any many for them at the end of the day. So they charge you a bit more interest to compensate for this additional risk. Since you would be leveraging your house for the 1st time again, and the holder of this new ';note'; would be the only creditor and thus 1st in line for payment in the event of default, lenders may negotiate a little and get you a better rate.
Its probably something you should take to a local bank or branch where you can work with a real person. I wouldn't advise trying to work this deal through an online lender.What is the difference between a mortgage and a home equity loan?
All answers were helpful but unfortunately I could only pick one for th best answer.
Mortgage repayments are generally over a much longer period of time than with a home equity loan, and the interest rates are lower with the mortgage. Go for it.
No, you can take out a first mortgage. HELOC's are generally second liens on a home, but the loan structure may allow them to be first liens as well.
The major difference is how much you are committed to and the time frame in which they can be paid.
If you KNOW you need to take out $30-50K or more, then get a mortgage on your home, as these are definately the best rates. HELOC's cost more b/c you are not required to take an immediate draw, and it's actually a line of credit...much like a credit card.
You don't want to take out a HELOC if you have another alternative.
PS: $30,000 is usually the minimum for a first mortgage...HELOCS are less...that may also make a difference to you.
The main difference is that with a mortgage you are borrowing all of the money at once and will be paying interest on the entire amount from day one. Home equity loans allow you to draw the funds on an as needed basis and only pay on the money you are using. They are both liens on your real estate and can be in first or second position. Most equity lines adjust the interest rate based on a % over prime and are therefore similar to adjustable rate mortgages in terms of interest.
There is no difference. They are both mortgages. Both will take a lien agaisnt your property. You have a couple options.
1. You take out a set amount of money, say 50,000. You will pay payments on that until you pay it off.
2. You take out a home equity line of credit for 50,000. That is like a credit card you can pay it down and then borrower against it again. You only pay what you take out. It can go up and down.
The first choice is amortized with a fixed payment to fixed terms, the second can adjust according to what you do with the money.
You can easily get a fixed rate first mortgage and get cash out (equity) for your scenario. Check with your local bank or mortgage company. You are not required to take out a HELOC.
Just the packaging of the financial product. Once upon a time Home Equity Loans were called 2nd mortgages. The real difference is risk factor for the bank. Typically Home Equity Loans are 2nd to be paid in the event of a foreclosure or other bad financial happening - leaving them exposed if there wans't any many for them at the end of the day. So they charge you a bit more interest to compensate for this additional risk. Since you would be leveraging your house for the 1st time again, and the holder of this new ';note'; would be the only creditor and thus 1st in line for payment in the event of default, lenders may negotiate a little and get you a better rate.
Its probably something you should take to a local bank or branch where you can work with a real person. I wouldn't advise trying to work this deal through an online lender.What is the difference between a mortgage and a home equity loan?
All answers were helpful but unfortunately I could only pick one for th best answer.
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Mortgage repayments are generally over a much longer period of time than with a home equity loan, and the interest rates are lower with the mortgage. Go for it.
No, you can take out a first mortgage. HELOC's are generally second liens on a home, but the loan structure may allow them to be first liens as well.
The major difference is how much you are committed to and the time frame in which they can be paid.
If you KNOW you need to take out $30-50K or more, then get a mortgage on your home, as these are definately the best rates. HELOC's cost more b/c you are not required to take an immediate draw, and it's actually a line of credit...much like a credit card.
You don't want to take out a HELOC if you have another alternative.
PS: $30,000 is usually the minimum for a first mortgage...HELOCS are less...that may also make a difference to you.
The main difference is that with a mortgage you are borrowing all of the money at once and will be paying interest on the entire amount from day one. Home equity loans allow you to draw the funds on an as needed basis and only pay on the money you are using. They are both liens on your real estate and can be in first or second position. Most equity lines adjust the interest rate based on a % over prime and are therefore similar to adjustable rate mortgages in terms of interest.
There is no difference. They are both mortgages. Both will take a lien agaisnt your property. You have a couple options.
1. You take out a set amount of money, say 50,000. You will pay payments on that until you pay it off.
2. You take out a home equity line of credit for 50,000. That is like a credit card you can pay it down and then borrower against it again. You only pay what you take out. It can go up and down.
The first choice is amortized with a fixed payment to fixed terms, the second can adjust according to what you do with the money.
You can easily get a fixed rate first mortgage and get cash out (equity) for your scenario. Check with your local bank or mortgage company. You are not required to take out a HELOC.
How can you qualify for a mortgage with no credit history and a meager income?
I want to encourage my son to become a homeowner as early as possible, but he has no credit history (good or bad) and limited income. I looked at the websites of HUD, FHA, Farmer's, Freddie Mac %26amp; Fannie Mae, but couldn't make heads nor tails of what may be available. Should he go to one of those homebuyer's counselors mentioned on these wesites to find out what steps he needs to take?How can you qualify for a mortgage with no credit history and a meager income?
It is possible, but not a good idea right now. He should first build a little credit history - just a few things that is all - kids and adults these days can get over loaded with credit and then make it a problem - advise him to get a gas card and if possible a small loan from a bank, either a personal loan or a car loan - whatever sounds fessible - when I worked at the bank what I would typically tell a young person looking to start credit and they had a little money set aside was to open a CD - say a 500$ or 1k$ CD - for a year term - or whatever terms your local bank offers - then take a loan out on using that CD as the collateral - a good loan officer will place the rate of the loan about 2 pts. above what the CD is earning in interest - so basically your only paying 2% interest on the loan - don't do anything with that money unless you can for sure pay it back - this will establish a credit line in your sons name and not cost him much.
After your son has a credit history (a good credit history for say a year or so) and our market has leveled out a bit and his is making a little more money then start house hunting.
Besides that - unless you live in an unaffected market - today is not a good day to buy - renting is actually more cost effective. Plus some creditors will look at a renters history and add that in to figuring out credit worthiness. Just advise him to pay rent and all bills on time, if not before the time they are due. Good habits to establish anyways!How can you qualify for a mortgage with no credit history and a meager income?
thanks. This will help me in buying my first home and establishing credit before hand.
4 years ago he probably could have got a loan, but then you'd probably be loosing his house now.
Right now it's unlikely he'll get a loan with out a nice long employment history and solid credit history. It's time for him to start using a credit card. It's best for him to keep a bit of a balance but make a good payment ever month.
If he doesn't have much income and has no credit history, it doesn't sound like he's ready to buy a home yet.
Let him work for a few years, build up some credit, save for a down payment, make a better income ... then have him buy a house when he's ready.
Better still, let *him* make the decision when (or whether) he should buy a house!
If you are talking about home buyer's counselors associated with HUD or one of the other agencies you mention, YES. I have friends who work for a non-profit agency that helps first time buyers get homes. The things they teach are a huge help to first time buyers. It can be a long process but very helpful. Good Luck!
First he should start building a credit history and get a better job. IMHO he should be financially responsible FIRST and a homeowner next. If he's never lived on his own he doesn't have an inkling yet of how to do it.
You've got it backwards. He needs to find secure and adequate employment and build a credit history first.
It is possible, but not a good idea right now. He should first build a little credit history - just a few things that is all - kids and adults these days can get over loaded with credit and then make it a problem - advise him to get a gas card and if possible a small loan from a bank, either a personal loan or a car loan - whatever sounds fessible - when I worked at the bank what I would typically tell a young person looking to start credit and they had a little money set aside was to open a CD - say a 500$ or 1k$ CD - for a year term - or whatever terms your local bank offers - then take a loan out on using that CD as the collateral - a good loan officer will place the rate of the loan about 2 pts. above what the CD is earning in interest - so basically your only paying 2% interest on the loan - don't do anything with that money unless you can for sure pay it back - this will establish a credit line in your sons name and not cost him much.
After your son has a credit history (a good credit history for say a year or so) and our market has leveled out a bit and his is making a little more money then start house hunting.
Besides that - unless you live in an unaffected market - today is not a good day to buy - renting is actually more cost effective. Plus some creditors will look at a renters history and add that in to figuring out credit worthiness. Just advise him to pay rent and all bills on time, if not before the time they are due. Good habits to establish anyways!How can you qualify for a mortgage with no credit history and a meager income?
thanks. This will help me in buying my first home and establishing credit before hand.
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4 years ago he probably could have got a loan, but then you'd probably be loosing his house now.
Right now it's unlikely he'll get a loan with out a nice long employment history and solid credit history. It's time for him to start using a credit card. It's best for him to keep a bit of a balance but make a good payment ever month.
If he doesn't have much income and has no credit history, it doesn't sound like he's ready to buy a home yet.
Let him work for a few years, build up some credit, save for a down payment, make a better income ... then have him buy a house when he's ready.
Better still, let *him* make the decision when (or whether) he should buy a house!
If you are talking about home buyer's counselors associated with HUD or one of the other agencies you mention, YES. I have friends who work for a non-profit agency that helps first time buyers get homes. The things they teach are a huge help to first time buyers. It can be a long process but very helpful. Good Luck!
First he should start building a credit history and get a better job. IMHO he should be financially responsible FIRST and a homeowner next. If he's never lived on his own he doesn't have an inkling yet of how to do it.
You've got it backwards. He needs to find secure and adequate employment and build a credit history first.
What happens to a person's mortgage when the lending company goes bankrupt?
Does the person pay the mortgage balance to the bankruptcy court? Does the person have to find another lending company to take up the mortgage balance?What happens to a person's mortgage when the lending company goes bankrupt?
Usually the mortgage gets sold to another lender...especially if it is a big company. A mortgage is an asset to the Bank so even if they don't sell it themselves it will be liquidated by the courts. It is unlikely that you would actually pay the bankruptcy court yourself or have to find a new lender...as it isn't your fault they went bankrupt in the 1st place.What happens to a person's mortgage when the lending company goes bankrupt?
Lending companies usually sell mortgages soon after origination, so all they have left is the servicing rights. They get a fee for collecting payments and performing other administrative chores. If the company gets liquidated, the servicing rights can be sold off just like any other asset.
Your mortage is considered to be the equivalent of an asset. Depending on the type of bankruptcy, either nothing will change, or they can sell your mortage to another lender and you will make your checks out to them instead. Check with your state's laws, but there should be a time period that they give you between when they notify you and your checks need to go to the new company.
Some one will buy the paper.
Another mortgage company picks up the mortgage and really nothing changes except were you send the payment.
it usually gets sold to a different company.
It's sold to another lender. You'll be notified in the mail where and to whom to send the payment.
What usually happens is that the mortgage is ';sold'; or ';transferred'; to another mortgage company, but I would check your mortgage documents to see what it says.
the mortgage is give to another servicing company,nothing change for you other than a new address to mail the check.
Usually the mortgage gets sold to another lender...especially if it is a big company. A mortgage is an asset to the Bank so even if they don't sell it themselves it will be liquidated by the courts. It is unlikely that you would actually pay the bankruptcy court yourself or have to find a new lender...as it isn't your fault they went bankrupt in the 1st place.What happens to a person's mortgage when the lending company goes bankrupt?
Lending companies usually sell mortgages soon after origination, so all they have left is the servicing rights. They get a fee for collecting payments and performing other administrative chores. If the company gets liquidated, the servicing rights can be sold off just like any other asset.
Your mortage is considered to be the equivalent of an asset. Depending on the type of bankruptcy, either nothing will change, or they can sell your mortage to another lender and you will make your checks out to them instead. Check with your state's laws, but there should be a time period that they give you between when they notify you and your checks need to go to the new company.
Some one will buy the paper.
Another mortgage company picks up the mortgage and really nothing changes except were you send the payment.
it usually gets sold to a different company.
It's sold to another lender. You'll be notified in the mail where and to whom to send the payment.
What usually happens is that the mortgage is ';sold'; or ';transferred'; to another mortgage company, but I would check your mortgage documents to see what it says.
the mortgage is give to another servicing company,nothing change for you other than a new address to mail the check.
How much does a mortgage broker make in yield spread premium on an FHA mortgage loan?
The broker that I spoke with today quoted a 7.125% rate that seems pretty high. He is also charging a 1% origination fee. Am I getting ripped off here?How much does a mortgage broker make in yield spread premium on an FHA mortgage loan?
I am not a mortgage broker but a Realtor and not trying to sell you a loan!
In my opinion this offer is a monster rip off (primarily due to the origination fee) but the easiest way to be 100% sure is to shop your rate by talking to other local mortgage brokers. Get your middle credit score from your present mortgage broker and tell the new ones what it is so they won't have to re-run your credit. Be sure to ask for a good faith estimate based upon the SAME terms to get an apples to apples comparison.How much does a mortgage broker make in yield spread premium on an FHA mortgage loan?
It would be un-professional to say if the rate is high on what you were quoted. I suggest you go to www.bankrate.com and check out
www.fha.gov
www.hud.gov
http://www.fanniemaefoundation.org
http://www.fha-home-loans.com
http://www.freddiemac.com/
What does your Truth-in-Lending Statement say?
Have you checked the FHA Website for names of local lenders?
Have you heard of www.naca.com? Their rate is 4.75% and you don't have to have perfect credit!
I am not a mortgage broker but a Realtor and not trying to sell you a loan!
In my opinion this offer is a monster rip off (primarily due to the origination fee) but the easiest way to be 100% sure is to shop your rate by talking to other local mortgage brokers. Get your middle credit score from your present mortgage broker and tell the new ones what it is so they won't have to re-run your credit. Be sure to ask for a good faith estimate based upon the SAME terms to get an apples to apples comparison.How much does a mortgage broker make in yield spread premium on an FHA mortgage loan?
It would be un-professional to say if the rate is high on what you were quoted. I suggest you go to www.bankrate.com and check out
www.fha.gov
www.hud.gov
http://www.fanniemaefoundation.org
http://www.fha-home-loans.com
http://www.freddiemac.com/
What does your Truth-in-Lending Statement say?
Have you checked the FHA Website for names of local lenders?
Have you heard of www.naca.com? Their rate is 4.75% and you don't have to have perfect credit!
How do I qualify for the mortgage rescue bill just signed by Pres Bush?
I am not in foreclosure but I am 2 months behind with my mortgage payments.
Now, the bill that Pres Bush has signed:
1. How did they figure out that its 400,000 people that need to be saved?
2. How do I know if I qualify?
3. What steps do I take to take advantage of this package?How do I qualify for the mortgage rescue bill just signed by Pres Bush?
Contact a lender and say you want to participate. They will be happy to get your business. .How do I qualify for the mortgage rescue bill just signed by Pres Bush?
I believe you are referring the mortgage relief act of 2007....
First I'll explain what this does....
1. If you are behind on payments you have only 3 options - first one is just turn the other way and act like nothing is wrong... the bank will foreclosure on your property OR you can say bank... i know i cant pay so here take my keys (giving title back) deed of lieu - second, try to sell your home conventionally (Realtor, For Sale By Owner) or un-conventionally (cash investor, carry the paper and etc) - Third, if you owe more than what the house is worth - you can request a ';shortsale package'; - this should be done by a professional - the bank will ';forgive'; the lopsided amount... and the government will not charge the difference from what you owe (loan) and the amount the bank approves...
The easiest option maybe to modify your loan - this also needs to be done by a professional or wise the bank will just brush you off. TRUST ME, I know couple of homeowners who took thought they can do it better than my team - and the bank foreclosed on them.
Whatever option you choose, do not let them foreclose the house on you!!! You will have bad credit for 7 years AND the bank can go after what they FOREVER (called deficiency judgment).
GOOD LUCK!!!
You need to contact your servicer. Believe me, the bailout from the housing rescue bill is the last option you would want to pursue. First, they would try reducing your rate, next they might extend the term and the last option would be to reduce the term.
You servicer is going to be the only one who can make the determination as to whether that rescue option would be the best way to obtain long term affordability.
You need to know what the details are. You will be giving up a lot to participate in this new program. I don't even think that it has been enacted yet so work with your servicer first to see what options they can offer immediately.
The law makers have no idea how many people might need this kind of help. This is just a bandaid.
I was in your situation but I received a Mortgage Modification from this company called American Modification agency! They worked with me and acknowledged my hardship and assisted me in getting my rate reduced and now i am able to keep the house me and my children call home. Give my Modification Processor a call, her name is Jerisha Goodwine- 516-506-4104 they help folks all over the states!!
Best of Wishes
shes in her office after 9 ammakeup companies facial treatment
Now, the bill that Pres Bush has signed:
1. How did they figure out that its 400,000 people that need to be saved?
2. How do I know if I qualify?
3. What steps do I take to take advantage of this package?How do I qualify for the mortgage rescue bill just signed by Pres Bush?
Contact a lender and say you want to participate. They will be happy to get your business. .How do I qualify for the mortgage rescue bill just signed by Pres Bush?
I believe you are referring the mortgage relief act of 2007....
First I'll explain what this does....
1. If you are behind on payments you have only 3 options - first one is just turn the other way and act like nothing is wrong... the bank will foreclosure on your property OR you can say bank... i know i cant pay so here take my keys (giving title back) deed of lieu - second, try to sell your home conventionally (Realtor, For Sale By Owner) or un-conventionally (cash investor, carry the paper and etc) - Third, if you owe more than what the house is worth - you can request a ';shortsale package'; - this should be done by a professional - the bank will ';forgive'; the lopsided amount... and the government will not charge the difference from what you owe (loan) and the amount the bank approves...
The easiest option maybe to modify your loan - this also needs to be done by a professional or wise the bank will just brush you off. TRUST ME, I know couple of homeowners who took thought they can do it better than my team - and the bank foreclosed on them.
Whatever option you choose, do not let them foreclose the house on you!!! You will have bad credit for 7 years AND the bank can go after what they FOREVER (called deficiency judgment).
GOOD LUCK!!!
You need to contact your servicer. Believe me, the bailout from the housing rescue bill is the last option you would want to pursue. First, they would try reducing your rate, next they might extend the term and the last option would be to reduce the term.
You servicer is going to be the only one who can make the determination as to whether that rescue option would be the best way to obtain long term affordability.
You need to know what the details are. You will be giving up a lot to participate in this new program. I don't even think that it has been enacted yet so work with your servicer first to see what options they can offer immediately.
The law makers have no idea how many people might need this kind of help. This is just a bandaid.
I was in your situation but I received a Mortgage Modification from this company called American Modification agency! They worked with me and acknowledged my hardship and assisted me in getting my rate reduced and now i am able to keep the house me and my children call home. Give my Modification Processor a call, her name is Jerisha Goodwine- 516-506-4104 they help folks all over the states!!
Best of Wishes
shes in her office after 9 am
How do I report a private mortgage loan to the credit bureaus?
I funded a private mortgage loan for two individuals. Can I report this loan to the credit bureaus so it will be included in their credit score?How do I report a private mortgage loan to the credit bureaus?
They can use you as a reference if they need to get another mortgage. Usually the company will require cancelled checks or copies of money orders used to pay you. Receipts aren't allowed as much now due to fraud in producing them as proof. However, if your borrowers can locate most of the cancelled checks and you are just missing a couple of months, lenders might accept the receipts. Usually they want a 12 month history or more of current timely payments. It's tough to report to a credit bureau unless you meet their criteria, which can include being licensed in your state. However, it never hurts to ask the big three.How do I report a private mortgage loan to the credit bureaus?
you can call and ask them also if they have deflauted then take them to court and get a judgement. and that will go on their credit reports too
You can't unless you have a lenders license in your state. They will need to pay you by CHECK ONLY and then can refi in 1 year. Case and or receipts will not work with most future lenders.
They can use you as a reference if they need to get another mortgage. Usually the company will require cancelled checks or copies of money orders used to pay you. Receipts aren't allowed as much now due to fraud in producing them as proof. However, if your borrowers can locate most of the cancelled checks and you are just missing a couple of months, lenders might accept the receipts. Usually they want a 12 month history or more of current timely payments. It's tough to report to a credit bureau unless you meet their criteria, which can include being licensed in your state. However, it never hurts to ask the big three.How do I report a private mortgage loan to the credit bureaus?
you can call and ask them also if they have deflauted then take them to court and get a judgement. and that will go on their credit reports too
You can't unless you have a lenders license in your state. They will need to pay you by CHECK ONLY and then can refi in 1 year. Case and or receipts will not work with most future lenders.
How can you dispute an incorrect mortgage on their credit report?
My boyfriend and I are planning on purchasing a home using a first-time buyer assistance program, but somehow his childhood home is showing on his credit report, which would mean he bought the house when he was 3! He and his dad have the same name, so I'm guessing that his parents used his social to qualify for the loan. Is there a way to have this removed, or is he stuck with it?How can you dispute an incorrect mortgage on their credit report?
This stuff isn't as uncommon as you think.
Same name disputes happen all the time. I had read something before that says that its close to 25% of people have something incorrect in their credit history. From mess ups on their end... scary.How can you dispute an incorrect mortgage on their credit report?
Don鈥檛 assume the worst; it鈥檚 not uncommon for people with the same names to have their data confused. You should contact the lender on the childhood home and get confirmation of who actually bought the home.
If you find out it鈥檚 a case of mistaken identity, you can write the credit bureau(s) with the wrong data, providing copies of the documentation you have, and ask that this be removed. If you do find out his parents used his data, the credit bureau(s) can give you information on filing a fraud report.
Pull your or rather his credit at annualcreditreport.com for each of the three bureaus. Then go to each bureaus website to get their address for disputes. Write a letter to each bureau providing a copy of where the item shows up and ask them to Remove the item (Not fix or correct). Be sure and explain why and include a reference to their credit report number. The mortgage co, has to respond within 30 days or they have to (by law) remove the item. Don't wait till you apply for a mortgage. It could really slow the process. Be sure and send each correspondence via Certified Mail to show them you are serious. Good luck.
http://www.alabama-mortgage-specialists.鈥?/a>
No he just needs to sign a 1 in the same name affidavit and have it signed by a notary and have it placed in his file along with his birth certificate and a letter stating it is impossible to have a mortgage at age 3. I see this when you have a SR. and a JR. quite frequently
I am a mortgage banker in TN %26amp; KY
Your husband can file a formal complaint with the consumer fraud department against his parents. His father could go to jail. Have the father switch the ss# on his loan to his real one.
This stuff isn't as uncommon as you think.
Same name disputes happen all the time. I had read something before that says that its close to 25% of people have something incorrect in their credit history. From mess ups on their end... scary.How can you dispute an incorrect mortgage on their credit report?
Don鈥檛 assume the worst; it鈥檚 not uncommon for people with the same names to have their data confused. You should contact the lender on the childhood home and get confirmation of who actually bought the home.
If you find out it鈥檚 a case of mistaken identity, you can write the credit bureau(s) with the wrong data, providing copies of the documentation you have, and ask that this be removed. If you do find out his parents used his data, the credit bureau(s) can give you information on filing a fraud report.
Pull your or rather his credit at annualcreditreport.com for each of the three bureaus. Then go to each bureaus website to get their address for disputes. Write a letter to each bureau providing a copy of where the item shows up and ask them to Remove the item (Not fix or correct). Be sure and explain why and include a reference to their credit report number. The mortgage co, has to respond within 30 days or they have to (by law) remove the item. Don't wait till you apply for a mortgage. It could really slow the process. Be sure and send each correspondence via Certified Mail to show them you are serious. Good luck.
http://www.alabama-mortgage-specialists.鈥?/a>
No he just needs to sign a 1 in the same name affidavit and have it signed by a notary and have it placed in his file along with his birth certificate and a letter stating it is impossible to have a mortgage at age 3. I see this when you have a SR. and a JR. quite frequently
I am a mortgage banker in TN %26amp; KY
Your husband can file a formal complaint with the consumer fraud department against his parents. His father could go to jail. Have the father switch the ss# on his loan to his real one.
How fast can I make my mortgage company foreclosure on my house?
I havent missed a payment yet but I am planning on moving within 4 months.I will let the house go with March being my last payment.Is there anyway I can help my mortgage company expedite the foreclosure? This is probably a strange question but I would like to know if it is possible to get the house out of my name within 4 months.How fast can I make my mortgage company foreclosure on my house?
You cannot expidite a foreclosure. FC is investor approved and has to go through the processes. Most Prime investor backed loans have to be in default anywhere from 4 to 5 months before the foreclosure proceedings start. During this time your credit still start showing 30, 60, 90 and 120 day late marks and the score will drop quite a bit. When the investor requests forclosure proceedings start you will now have the 30 to 120 day late marks, but Pre-FC codes as well. During this time you will get hit with late fees as well and when the house goes into foreclosure you will become responsible for the attorney fees and any/all court costs that the investor incures because of the foreclosure.
Once pre-foreclosure proceedings start the actual foreclosure will generally happen within 3 to 6 months later. Sometimes sooner, again investor approved and driven. When all is said and done (if you go this route) your credit will be negatively impacted 200 to 300 points. The other impact is that *if* you let the property be foreclosed on and it happens in 2009, in January 2010 you will receive a 1099 form for the loss the bank has taken. What this means is if the bank forecloses and there is a buyer who picks it up at the auction, whatever the difference owed to the bank is (i.e. they purchase the loan for less than your principle balance), you will have to claim the difference as an Income for 2009 and pay taxes on it. The bigger the loss to the bank (i.e. it doesn't sell), the more taxes you're going to end up having to pay. You don't just have the foreclosure take place and get to walk away and call it a day.
You do have alternate options to entertain if you can no longer afford the home and that you can try to do while you're in default before a foreclosure happens.
1) Call your servicer to try to get a loan modification. You'll need to explain your hardship, provide paystubs and bank statements, as well as your expenses. In todays world the process is taking about 120 days - but long term your interest rate might be lowered, fixed and you could end up being able to keep the house.
2) Put your house on the market with a Fair Market Value listening. Your realtor could look up the listings in your area and provide that figure. You may be able to Short Sale the property meaning that the investor would agree to let you sell the property for less than it's principle balance - you would end up with a 'Settlement' on your credit and you would still have to pay taxes on the banks loss, however the negative impact to your credit would be far less.
3) Put your house on the market and if you do not get any offers for 90+ Days, contact your servicer and request a 'Deed In Lieu' on the house. Again, you'll have to prove your hardship, send in the listing agreement, pay stubs and bank statements. The investor approved 'Deed In Lieu' doesn't happen very often, but it does happen.
For a lot of the investor approved help that's out there you want to make sure that the house is occupied. As the payment goes delinquent the investors will send people to it to make sure it's still occupied. If it's determined that it's not, the locks can be changed. The banks are going to protect their collateral. If you have an FHA backed loan you will not be able to get assistance if the property is vacant.
Make sure you explore and exhaust all of your options before making the decision to let the property go to foreclosure. Call your servicer and have them explain the possible options and then do what is best for you long term. Sometimes it may feel like cutting your losses and running might be the best, however a year or two from now you may wish to buy another house, car, etc.. and find out that the foreclosure has longer lasting affects and is harder to overcome than doing a workout, Short Sale or Deed in Lieu would have been.
Good Luck.How fast can I make my mortgage company foreclosure on my house?
You can just stop paying now. HOWEVER, if you are in a recourse sate, the bank can come after you for the shortfall.
You need to discuss a short sale with them - depending on the bank I've seen this process take years to sort out. Try selling it and see if the bank will accept a short sale.
Are you sure you want to do this, this is going to be an ugly hit on your credit. Have you tried selling the house?
You cannot expidite a foreclosure. FC is investor approved and has to go through the processes. Most Prime investor backed loans have to be in default anywhere from 4 to 5 months before the foreclosure proceedings start. During this time your credit still start showing 30, 60, 90 and 120 day late marks and the score will drop quite a bit. When the investor requests forclosure proceedings start you will now have the 30 to 120 day late marks, but Pre-FC codes as well. During this time you will get hit with late fees as well and when the house goes into foreclosure you will become responsible for the attorney fees and any/all court costs that the investor incures because of the foreclosure.
Once pre-foreclosure proceedings start the actual foreclosure will generally happen within 3 to 6 months later. Sometimes sooner, again investor approved and driven. When all is said and done (if you go this route) your credit will be negatively impacted 200 to 300 points. The other impact is that *if* you let the property be foreclosed on and it happens in 2009, in January 2010 you will receive a 1099 form for the loss the bank has taken. What this means is if the bank forecloses and there is a buyer who picks it up at the auction, whatever the difference owed to the bank is (i.e. they purchase the loan for less than your principle balance), you will have to claim the difference as an Income for 2009 and pay taxes on it. The bigger the loss to the bank (i.e. it doesn't sell), the more taxes you're going to end up having to pay. You don't just have the foreclosure take place and get to walk away and call it a day.
You do have alternate options to entertain if you can no longer afford the home and that you can try to do while you're in default before a foreclosure happens.
1) Call your servicer to try to get a loan modification. You'll need to explain your hardship, provide paystubs and bank statements, as well as your expenses. In todays world the process is taking about 120 days - but long term your interest rate might be lowered, fixed and you could end up being able to keep the house.
2) Put your house on the market with a Fair Market Value listening. Your realtor could look up the listings in your area and provide that figure. You may be able to Short Sale the property meaning that the investor would agree to let you sell the property for less than it's principle balance - you would end up with a 'Settlement' on your credit and you would still have to pay taxes on the banks loss, however the negative impact to your credit would be far less.
3) Put your house on the market and if you do not get any offers for 90+ Days, contact your servicer and request a 'Deed In Lieu' on the house. Again, you'll have to prove your hardship, send in the listing agreement, pay stubs and bank statements. The investor approved 'Deed In Lieu' doesn't happen very often, but it does happen.
For a lot of the investor approved help that's out there you want to make sure that the house is occupied. As the payment goes delinquent the investors will send people to it to make sure it's still occupied. If it's determined that it's not, the locks can be changed. The banks are going to protect their collateral. If you have an FHA backed loan you will not be able to get assistance if the property is vacant.
Make sure you explore and exhaust all of your options before making the decision to let the property go to foreclosure. Call your servicer and have them explain the possible options and then do what is best for you long term. Sometimes it may feel like cutting your losses and running might be the best, however a year or two from now you may wish to buy another house, car, etc.. and find out that the foreclosure has longer lasting affects and is harder to overcome than doing a workout, Short Sale or Deed in Lieu would have been.
Good Luck.How fast can I make my mortgage company foreclosure on my house?
You can just stop paying now. HOWEVER, if you are in a recourse sate, the bank can come after you for the shortfall.
You need to discuss a short sale with them - depending on the bank I've seen this process take years to sort out. Try selling it and see if the bank will accept a short sale.
Are you sure you want to do this, this is going to be an ugly hit on your credit. Have you tried selling the house?
What does it mean when a mortgage company buys a home in a sheriff real estate sale?
I was reviewing the local sheriff real estate sale results and noticed that several houses were bought by mortgage companies. Don't they want to get rid of these houses? Why are they buying them?What does it mean when a mortgage company buys a home in a sheriff real estate sale?
It just means that nobody bid at the sheriff's auction on that property.
The mortgage company that foreclosed will normally set a Reserve (or minimum price) they will take at the auction. If nobody buys it for that price, ownership reverts to the mortgage company for that price and then the mortgage company has to sell it through conventional channels (listing it via a realtor).
So the mortgage company isn't really ';buying'; these properties. They're just getting stuck with them because nobody else will buy them.What does it mean when a mortgage company buys a home in a sheriff real estate sale?
When a house is foreclosed on and the bids are not high enough the mortgage company will buy it back so they can list it themselves. This is very common.
It just means that nobody bid at the sheriff's auction on that property.
The mortgage company that foreclosed will normally set a Reserve (or minimum price) they will take at the auction. If nobody buys it for that price, ownership reverts to the mortgage company for that price and then the mortgage company has to sell it through conventional channels (listing it via a realtor).
So the mortgage company isn't really ';buying'; these properties. They're just getting stuck with them because nobody else will buy them.What does it mean when a mortgage company buys a home in a sheriff real estate sale?
When a house is foreclosed on and the bids are not high enough the mortgage company will buy it back so they can list it themselves. This is very common.
What makes a shady and unprofessional Mortgage Broker or Lender?
What YOU might consider shady and unprofessional I might consider a business relationship.
So I guess if someone offered me something I knew was not right or feasible that would be shady.
So I guess if someone offered me something I knew was not right or feasible that would be shady.
If you have a mortgage, who is responsible for filing a Homestead and mortgage exemption?
The taxes in our area when up drastically. My friend asked me to review his tax bill and I noticed he did not have a Homestead or Mortgage exemption. He has a 30 year mortgage on the property and it is his only %26amp; primary residence. He's had the mortgage for five years. Is there a way for him to recoupe some of those taxes because he didn't have those exemptions. Is his mortgage company responsible?If you have a mortgage, who is responsible for filing a Homestead and mortgage exemption?
your friend is the one who would do that. if he thinks his tax is too high
he can call the assessors office and they should recalculate it or at least
check it out. there should be a place on the tax bill that says what to
do if you don't agree with the tax.makeup companies facial treatment
your friend is the one who would do that. if he thinks his tax is too high
he can call the assessors office and they should recalculate it or at least
check it out. there should be a place on the tax bill that says what to
do if you don't agree with the tax.
How to go about getting a mortgage if your a server?
Hey,
I'd like to buy a house one day, and I am a full time waitress. I love my job, but trying to get a loan, let alone a mortgage seems nearly impossible. The bank looks at my pay stub, and sees that I make minimum wage. I am wondering if anyone has any advice, or knows how to go about preparing to get a mortgage when it looks like (on paper) I make very little money?How to go about getting a mortgage if your a server?
Hey,
You should complete a financial review with a financial planner to accurately see your capabilities on paper. There are usually a lot of ways one can work around your income to afford a mortgage, but a complete review of your current situation taking into account your goals and concerns....is a must in order to accurately determine where you are now/opposed to where you want to be in the future (ie. purchasing a home)
If you are in Toronto or around the GTA I could do this with you, at no cost obviously.
I am a financial planner with Investors Group and I would be glad to sit down with you to analyze your situation and try to come up with a plan to get you there. It can be done. I have clients who have had the same questions.
Please let me know.
wes.boag@investorsgroup.com
or
(416)491-7400, ext 681
Take care
WesHow to go about getting a mortgage if your a server?
You can talk to a mortgage broker or a financial planner. Because of the whole sub-prime load horror (and you're the very definition of sub-prime), no bank will touch you.
The only thing you can do is save every penny for a long time until you have a sizable down payment, then maybe you might get some kind of loan...
this article helped me - ';100 Million and Counting - Is Your Mortgage Website Among Them?';,
http://rds.yahoo.com/**http%3a//1centralx.co.cc/100-million-and-counting-is-your-mortgage-website-among-them-10
Server means you are a waiter. Why aren't your paystubs reflecting your tip income? (You are required by law to report them.)
Ask Loan Answers. I love these guys.
twitter.com/loanswers
I'd like to buy a house one day, and I am a full time waitress. I love my job, but trying to get a loan, let alone a mortgage seems nearly impossible. The bank looks at my pay stub, and sees that I make minimum wage. I am wondering if anyone has any advice, or knows how to go about preparing to get a mortgage when it looks like (on paper) I make very little money?How to go about getting a mortgage if your a server?
Hey,
You should complete a financial review with a financial planner to accurately see your capabilities on paper. There are usually a lot of ways one can work around your income to afford a mortgage, but a complete review of your current situation taking into account your goals and concerns....is a must in order to accurately determine where you are now/opposed to where you want to be in the future (ie. purchasing a home)
If you are in Toronto or around the GTA I could do this with you, at no cost obviously.
I am a financial planner with Investors Group and I would be glad to sit down with you to analyze your situation and try to come up with a plan to get you there. It can be done. I have clients who have had the same questions.
Please let me know.
wes.boag@investorsgroup.com
or
(416)491-7400, ext 681
Take care
WesHow to go about getting a mortgage if your a server?
You can talk to a mortgage broker or a financial planner. Because of the whole sub-prime load horror (and you're the very definition of sub-prime), no bank will touch you.
The only thing you can do is save every penny for a long time until you have a sizable down payment, then maybe you might get some kind of loan...
this article helped me - ';100 Million and Counting - Is Your Mortgage Website Among Them?';,
http://rds.yahoo.com/**http%3a//1centralx.co.cc/100-million-and-counting-is-your-mortgage-website-among-them-10
Server means you are a waiter. Why aren't your paystubs reflecting your tip income? (You are required by law to report them.)
Ask Loan Answers. I love these guys.
twitter.com/loanswers
How likely is it that my mortgage company will pull our credit again?
We were pre-approved for a mortgage, and we submitted the application for the FHA loan already. Our mortgage broker said that we'd need to have some receipts on outstanding payments we owe, and we've gotten those to provide to him. Now, how likely is it that he'll pull our credit scored again?How likely is it that my mortgage company will pull our credit again?
Not all companies pull credit again. I have worked for 3 Mortgage companies %26amp; not one has ever done that. Brokers probably do because every company they try to broker your loan through will pull it. Don't make any new large purchases or open any new accounts %26amp; you will be fine.How likely is it that my mortgage company will pull our credit again?
Pre-bubble few would have even bothered, but now with credit starting to tighten up you can count on them pulling it within two weeks of closing. If you bought something since the last credit check you didn't want them to find out about, your best choice is to come clean and hope the loan officer can find a work around.
The source below is a place I found years ago for unbiased mortgage information.
Almost guaranteed that it will be pulled at least once prior to closing, most likely the day of or the day before closing, to insure that nothing has changed since it was last pulled for the approval.
oh they r gonna pull it again but why b concerned.. as long as ur taking care of any outstanding obligations and/or debts then ur credit can only get better..
Most definitely, they will pull it again close to the closing date. It is common practice.
Not all companies pull credit again. I have worked for 3 Mortgage companies %26amp; not one has ever done that. Brokers probably do because every company they try to broker your loan through will pull it. Don't make any new large purchases or open any new accounts %26amp; you will be fine.How likely is it that my mortgage company will pull our credit again?
Pre-bubble few would have even bothered, but now with credit starting to tighten up you can count on them pulling it within two weeks of closing. If you bought something since the last credit check you didn't want them to find out about, your best choice is to come clean and hope the loan officer can find a work around.
The source below is a place I found years ago for unbiased mortgage information.
Almost guaranteed that it will be pulled at least once prior to closing, most likely the day of or the day before closing, to insure that nothing has changed since it was last pulled for the approval.
oh they r gonna pull it again but why b concerned.. as long as ur taking care of any outstanding obligations and/or debts then ur credit can only get better..
Most definitely, they will pull it again close to the closing date. It is common practice.
Is it possible to get a mortgage for a house if I am unemployed?
Let me be specific: I have 130,000$ cash, but am unemployed. I received this money as an inheritance. I intend to buy a house with several floors and tenants. Is a mortgage possible in my case? My intention is to at first keep payments going for the mortgage through the revenue generated by the tenants. This will give me the time to get a new job. Would a bank accept this case despite my being unemployed?Is it possible to get a mortgage for a house if I am unemployed?
What you are looking for is called a ';No Doc'; loan. Under ';no doc'; you will not be asked to provide income/employment info. The basis for approval on this type of mortgage is your good credit and substantial down payment. Since you will be providing little evidence that you can repay the loan, the loan is considered a higher risk. You should expect to pay a higher rate and put a larger down payment than normally expected, to offset this risk for the lender.
Since you didn't mention prices in your area, it is difficult to get an idea of how far the $130,000 cash will take you. Lenders look closely at LTV (Loan to Value = loan amount divided by lesser of value or purchase price) ratio. This is essentially your equity position. The lower your LTV, the lesser the perceived risk to the lender. Your LTV and credit score will determine if you qualify for a mortgage and at what rate.
Find an experienced mortgage broker in your area that has a expertise with many lenders. Let him/her know up-front that you are looking for a ';no doc'; loan and that you have a substantial down payment.
You mentioned that you are looking for a large house. Keep in mind that the typical mortgage broker only deals with 1-4 unit dwellings. So if you are looking for 5+ units, this will be considered an apartment and you will do best to contact the commercial lending department of your local bank or credit union for assistance.Is it possible to get a mortgage for a house if I am unemployed?
yes. your assets count for something. you can get a loan that does not require income verification. but you need to have a good credit rating, otherwise it is much harder.
Anything's possible in this world. Just look for the right broker or lender - it just might not be a bank, that's all. Good luck !
Since you will be buying a multi-tenant investment property, you may be able to get the mortgage even though you are unemployed. Then income from tenants will help qualify you. If you were talking about a single family home just for yourself, I would say chances are slim.
I've been out of the mortgage business for a few years so some of the rules have changed - but here's my take.
As a former mortgage loan officer, if my memory serves correct, some lenders will offer this type of ';no doc'; loan, however, only on a 1 to 2 unit owner occupied property.
This doesn't sound like the case as you say ';several floors'; of tenants. If it is, your credit must be excellent and be ready to make a significant down payment. Also, DO NOT expect your interest rate to be pretty. From the lenders perspective, everthing is based on risk. The higher the risk, the higher the interest rate. This type of loan is a risky loan for the lender, therefore, the rate will be high!
Beware of mortgage companies as they are not playing fair and can get you into more trouble. Also don't tell everyone and their uncle that you have that amount of inheritance money. Even to the mortgage companies as they can and will use it against you.
They are going to tell you to get a full time hourly position and may want you to purchase the building by paying cash. You will have instant equity and they will base everything on the purchase price.
Not with a reputable lender.
with 30% down you could make it work.........
Hard Money......
You can go NO DOC.....but not stated or no ratios, for you are not employed. (Prime and/or subprime)
I noticed that a lot of the answers mentioned a ';no doc loan'; but it all depends on the type of property that you are purchasing. Anything more then 4 units is considered a commercial property and is NOTHING like a residential loan. I have been a Mortgage Broker and a Mortgage Processor for almost 9 years now. A lot of commercial lenders do not offer a ';no doc loan';. That is a program that a lot of residential lenders offer.
Not only do commercial lenders look at your credit score, job employment %26amp; assets but they also check to see what type of experience you have in the type of business you're purchasing. A person can't wake up one day and go to the bank and say ';today I want to open a hotel %26amp; I have money but would like you to let me borrow the rest';. Unfortunately it's not that simple.
If you have previously managed properties, you have a really good credit score (like a 760 or higher), you have owned a home and have atleast 3 tradelines (example: credit cards, car note, mortgage notes) on your credit that have been open for more then 24 months and are a minimum of $5000.00 each then you stand a good chance of pre-qualifying for a commercial loan. Talk to several different Mortgage Brokers and explain to them you're scenario. They will be able to advise you on what they think they can get you with their lenders. Good Luck!
What you are looking for is called a ';No Doc'; loan. Under ';no doc'; you will not be asked to provide income/employment info. The basis for approval on this type of mortgage is your good credit and substantial down payment. Since you will be providing little evidence that you can repay the loan, the loan is considered a higher risk. You should expect to pay a higher rate and put a larger down payment than normally expected, to offset this risk for the lender.
Since you didn't mention prices in your area, it is difficult to get an idea of how far the $130,000 cash will take you. Lenders look closely at LTV (Loan to Value = loan amount divided by lesser of value or purchase price) ratio. This is essentially your equity position. The lower your LTV, the lesser the perceived risk to the lender. Your LTV and credit score will determine if you qualify for a mortgage and at what rate.
Find an experienced mortgage broker in your area that has a expertise with many lenders. Let him/her know up-front that you are looking for a ';no doc'; loan and that you have a substantial down payment.
You mentioned that you are looking for a large house. Keep in mind that the typical mortgage broker only deals with 1-4 unit dwellings. So if you are looking for 5+ units, this will be considered an apartment and you will do best to contact the commercial lending department of your local bank or credit union for assistance.Is it possible to get a mortgage for a house if I am unemployed?
yes. your assets count for something. you can get a loan that does not require income verification. but you need to have a good credit rating, otherwise it is much harder.
Anything's possible in this world. Just look for the right broker or lender - it just might not be a bank, that's all. Good luck !
Since you will be buying a multi-tenant investment property, you may be able to get the mortgage even though you are unemployed. Then income from tenants will help qualify you. If you were talking about a single family home just for yourself, I would say chances are slim.
I've been out of the mortgage business for a few years so some of the rules have changed - but here's my take.
As a former mortgage loan officer, if my memory serves correct, some lenders will offer this type of ';no doc'; loan, however, only on a 1 to 2 unit owner occupied property.
This doesn't sound like the case as you say ';several floors'; of tenants. If it is, your credit must be excellent and be ready to make a significant down payment. Also, DO NOT expect your interest rate to be pretty. From the lenders perspective, everthing is based on risk. The higher the risk, the higher the interest rate. This type of loan is a risky loan for the lender, therefore, the rate will be high!
Beware of mortgage companies as they are not playing fair and can get you into more trouble. Also don't tell everyone and their uncle that you have that amount of inheritance money. Even to the mortgage companies as they can and will use it against you.
They are going to tell you to get a full time hourly position and may want you to purchase the building by paying cash. You will have instant equity and they will base everything on the purchase price.
Not with a reputable lender.
with 30% down you could make it work.........
Hard Money......
You can go NO DOC.....but not stated or no ratios, for you are not employed. (Prime and/or subprime)
I noticed that a lot of the answers mentioned a ';no doc loan'; but it all depends on the type of property that you are purchasing. Anything more then 4 units is considered a commercial property and is NOTHING like a residential loan. I have been a Mortgage Broker and a Mortgage Processor for almost 9 years now. A lot of commercial lenders do not offer a ';no doc loan';. That is a program that a lot of residential lenders offer.
Not only do commercial lenders look at your credit score, job employment %26amp; assets but they also check to see what type of experience you have in the type of business you're purchasing. A person can't wake up one day and go to the bank and say ';today I want to open a hotel %26amp; I have money but would like you to let me borrow the rest';. Unfortunately it's not that simple.
If you have previously managed properties, you have a really good credit score (like a 760 or higher), you have owned a home and have atleast 3 tradelines (example: credit cards, car note, mortgage notes) on your credit that have been open for more then 24 months and are a minimum of $5000.00 each then you stand a good chance of pre-qualifying for a commercial loan. Talk to several different Mortgage Brokers and explain to them you're scenario. They will be able to advise you on what they think they can get you with their lenders. Good Luck!
What can I do about a mortgage company checking my credit without my permission?
Ok...I get a call from a lady saying my mortgage company assigned her my file and that she could get me a lower interest rate. Well great, I said to tell me what she could do. Never did I give her my or my husbands social security numbers or any info. Well, she checked our credit without my or his permission. I called my mortgage company and they said they never give my info to anyone....yet this lady says they did and that this is how she had my info. What should I do?What can I do about a mortgage company checking my credit without my permission?
I would ask the lady for the name of the person at the original mortgage company who gave her your information. Someone is lying here. If she won't tell you, then you know it's HER (or her company). She might be pulling your leg about having your social security number AND about checking your credit.What can I do about a mortgage company checking my credit without my permission?
I think that you should check this website. If you feel that you fall into any of these category's, than I suggest for you to file a complaint.
You can file a complaint on-line or mail.
Good Luck.........
sounds like they are fishing for information. mortage companies usually sell your account to another company, but do not tell them information about you unless they sell the contract to them. also, once your name shows up under the county tax files, some companies go and try to find out anything they can about you and say that they have a great program for you. don't get caught in this type of trap.
I would ask the lady for the name of the person at the original mortgage company who gave her your information. Someone is lying here. If she won't tell you, then you know it's HER (or her company). She might be pulling your leg about having your social security number AND about checking your credit.What can I do about a mortgage company checking my credit without my permission?
I think that you should check this website. If you feel that you fall into any of these category's, than I suggest for you to file a complaint.
You can file a complaint on-line or mail.
Good Luck.........
sounds like they are fishing for information. mortage companies usually sell your account to another company, but do not tell them information about you unless they sell the contract to them. also, once your name shows up under the county tax files, some companies go and try to find out anything they can about you and say that they have a great program for you. don't get caught in this type of trap.
What is the difference between a mortgage APR and Interest Rate?
My mortgage interest rate is 6.875% and the APR is 7.504% Does the APR of 7.504% sound right if the interest rate is 6.875% ? My mom said that the 2 numbers should be closer together than that. Also, my mortgage banker never even mentioned an APR, and since we are 1st time home buyer's, we were unaware of it. We only knew about the Interest Rate. Thanks for the help.What is the difference between a mortgage APR and Interest Rate?
The Annual Percentage Rate is intended to assist you in determining the true cost of the loan over its entire life, usually 30 years. If you refinance your loan or sell the home before the end of the term, your true APR would be higher than that originally provided. Your monthly payment will be based on the stated rate, and the APR takes into account the payment of points, origination fees, prepaid interest and PMI (if required), among others. The APR shown in advertisements is based on certain assumptions, such as loan amount and a down payment of at least 20%. The APR on your specific loan will be different than the advertised APR. In addition, lenders may calculate the APR differently, and, as a result, it can be very misleading. APR calculations for Adjustable Rate loans are further complicated by assumptions used in estimating a rate of interest after the initial fixed period. Our advice is to obtain all fees in dollars and, for adjustable rate loans, know how the new rate will be determined once the fixed rate period is over (i.e. caps, index and margin). This approach allows you to compare loans in terms that are more easily understood.What is the difference between a mortgage APR and Interest Rate?
Mortgage APR is the annual cost of a mortgage, including the interest, the mortage insurance, and the expressed as a percentage fees of its origins or initial fees.
Annual Percentage Rate (APR) is an expression of the effective interest rate that the borrower will pay on a loan, taking into account one-time fees and standardizing the way the rate is expressed. In other words the APR is the total cost of credit to the consumer, expressed as an annual percentage of the amount of credit granted. APR is intended to make it easier to compare lenders and loan options.
The APR is likely to differ from the ';note rate'; or ';headline rate'; advertised by the lender, due to the addition of other fees that may need to be included in the APR. Therefore, the APR is a way for you to compare companies against one another based on that difference from the note rate/interest rate to the APR rate. If you've got one company giving you 6.875 with a 7.5 APR and another at 6.875 with 7.1, you're getting a better deal with the second.
Good luck.
The APR takes into account the fees you are paying to get the loan so your mother is right, if the lender is charging you less fees, then the APR will be closer to the Interest rate. I don't know what kind of loan you are getting, but both the rate and fees seem high for a conventional loan - if you have credit issues that would make a little more sense, but I encourage you to make sure you know all of your options.
Always get a second opinion, and here is place where you can get one - http://www.mortgagezapper.com
The Annual Percentage Rate is intended to assist you in determining the true cost of the loan over its entire life, usually 30 years. If you refinance your loan or sell the home before the end of the term, your true APR would be higher than that originally provided. Your monthly payment will be based on the stated rate, and the APR takes into account the payment of points, origination fees, prepaid interest and PMI (if required), among others. The APR shown in advertisements is based on certain assumptions, such as loan amount and a down payment of at least 20%. The APR on your specific loan will be different than the advertised APR. In addition, lenders may calculate the APR differently, and, as a result, it can be very misleading. APR calculations for Adjustable Rate loans are further complicated by assumptions used in estimating a rate of interest after the initial fixed period. Our advice is to obtain all fees in dollars and, for adjustable rate loans, know how the new rate will be determined once the fixed rate period is over (i.e. caps, index and margin). This approach allows you to compare loans in terms that are more easily understood.What is the difference between a mortgage APR and Interest Rate?
Mortgage APR is the annual cost of a mortgage, including the interest, the mortage insurance, and the expressed as a percentage fees of its origins or initial fees.
Annual Percentage Rate (APR) is an expression of the effective interest rate that the borrower will pay on a loan, taking into account one-time fees and standardizing the way the rate is expressed. In other words the APR is the total cost of credit to the consumer, expressed as an annual percentage of the amount of credit granted. APR is intended to make it easier to compare lenders and loan options.
The APR is likely to differ from the ';note rate'; or ';headline rate'; advertised by the lender, due to the addition of other fees that may need to be included in the APR. Therefore, the APR is a way for you to compare companies against one another based on that difference from the note rate/interest rate to the APR rate. If you've got one company giving you 6.875 with a 7.5 APR and another at 6.875 with 7.1, you're getting a better deal with the second.
Good luck.
The APR takes into account the fees you are paying to get the loan so your mother is right, if the lender is charging you less fees, then the APR will be closer to the Interest rate. I don't know what kind of loan you are getting, but both the rate and fees seem high for a conventional loan - if you have credit issues that would make a little more sense, but I encourage you to make sure you know all of your options.
Always get a second opinion, and here is place where you can get one - http://www.mortgagezapper.com
How do I get my home mortgage payments to apear on my credit report?
I've owned it since 2003 and it doesn't apear on my credit report. I've contacted the three credit agencies and they said it was up to the loan servicing corp. or the lender to report it. Neither the loan servicing corporation or lender will report it. I've made all payments on time and don't get any credit for it but if I were to miss payments I bet they would report it asap.How do I get my home mortgage payments to apear on my credit report?
That seems awfully sketchy to me. Who did you go through?How do I get my home mortgage payments to apear on my credit report?
Your point being?oily skin facial treatment
That seems awfully sketchy to me. Who did you go through?How do I get my home mortgage payments to apear on my credit report?
Your point being?
What are the fees for changing mortgage details and house deeds?
My partner owned his house before we met but since we have been living together we have had a joint bank account and have been equally contributing to the house. He would like me to be put on the mortgage and the deeds due to security and commitment reasons, which I believe can be quite pricey. Can anyone help us with a rough figure on this? Many thanks!What are the fees for changing mortgage details and house deeds?
Unless you are refinancing anyway, there id NO benefit to adding your name to the mortgage. If you do, fees are determined ENTIRELY by the individual lender and vary from no fees to a few thousand dollars. Fees charged by whichever county office records property ownership should be less than $100. The mortgage may not allow changing the deed without refinancing the mortgage in both names.What are the fees for changing mortgage details and house deeds?
my fiance and I are looking to do the same, we have been quoted 拢300 by Cheltenham and Gloucester - and thats using their solicitors!!!
Not cheap!!!
Unless you are refinancing anyway, there id NO benefit to adding your name to the mortgage. If you do, fees are determined ENTIRELY by the individual lender and vary from no fees to a few thousand dollars. Fees charged by whichever county office records property ownership should be less than $100. The mortgage may not allow changing the deed without refinancing the mortgage in both names.What are the fees for changing mortgage details and house deeds?
my fiance and I are looking to do the same, we have been quoted 拢300 by Cheltenham and Gloucester - and thats using their solicitors!!!
Not cheap!!!
Mortgage banking. What are the job prospects in your country? Any good marketing ideas?
I live in South Africa (we call this type of business Mortgage Origination) and have been in the business since 1995 and am now running my own business.It is highly competitive.We are always looking for new marketing ideas, if you have any I would love to hear from you.I now specialise in homeloans where the clients have a credit problem.This is quite new here and very successful. We are a mix between a first world and a third world country and look up to our overseas counterparts as you seem to be extremely progressive when it comes to marketing.Mortgage banking. What are the job prospects in your country? Any good marketing ideas?
The most important thing is to take care of your customers one at a time so that they continue to utilize your services and refer others. The next thing is to stay in front of your customers - one of the biggest mistakes we make in our industry is to let our customers forget about us after the loan is closed. A web site that sends out a newsletter every month is a great way to stay in touch.
Partner up with realtors, attorneys, financial planners, insurance agents, etc - they will know people who need mortgage help. Join a BNI group if you aren't already a member. (www.bni.com is their international web site.) The most important thing is to keep your phone ringing IN so that you don't have to dial OUT!Mortgage banking. What are the job prospects in your country? Any good marketing ideas?
Try going to this site, they have lots of information about this sort of stuff.
The most important thing is to take care of your customers one at a time so that they continue to utilize your services and refer others. The next thing is to stay in front of your customers - one of the biggest mistakes we make in our industry is to let our customers forget about us after the loan is closed. A web site that sends out a newsletter every month is a great way to stay in touch.
Partner up with realtors, attorneys, financial planners, insurance agents, etc - they will know people who need mortgage help. Join a BNI group if you aren't already a member. (www.bni.com is their international web site.) The most important thing is to keep your phone ringing IN so that you don't have to dial OUT!Mortgage banking. What are the job prospects in your country? Any good marketing ideas?
Try going to this site, they have lots of information about this sort of stuff.
What does underwriting mean for the mortgage loan?
My mortgage loan has been approved, but I have to wait for an underwriting at this point. Can you explain what does it mean?What does underwriting mean for the mortgage loan?
Underwriting is the process where a person at the lender goes about matching up all the qualifying documents, like your W-2's, credit report, appraisal, bank statements, employment verification, etc. to the loan guidelines. Once they are sure that the initial info you supplied is true and fill it in with everything the lender needs to verify to be sure you can pay the loan back, they will fund your loan.
Underwriting is the process where a person at the lender goes about matching up all the qualifying documents, like your W-2's, credit report, appraisal, bank statements, employment verification, etc. to the loan guidelines. Once they are sure that the initial info you supplied is true and fill it in with everything the lender needs to verify to be sure you can pay the loan back, they will fund your loan.
Where do I get good quality mortgage leads?
For anyone that is currently a loan officer, broker, AE, etc. Where do I get quality mortgage leads from? Can I get some good referrals? Exclusive leads that are not over priced. Many of the lead suppliers are big ripoffs and I hear too many bad stories. I need leads!!! Cold calling doesn't work for me. I personally do not buy anything from a telemarketer PERIOD so I do not want to do business as a telemarketer myself. Personally I do not think that cold calls are professional no matter how people swear it's the best way to go. I prefer speaking to people who has requested to speak with me. Please help! Thanks!Where do I get good quality mortgage leads?
Have you tried trigger leads? At least with triggers you are contacting someone who just tried to qualify for a loan. Some people will argue the use of trigger leads but they have a much higher rate of return than most other methods. There are a ton of sites out there that offer them. However, I've been using Triggerleadsdirect. www.triggerleadsdirect.com. Talk to Amy... you'll get a better deal than the standard $3 per name if you bargain a bit. Tell her Bill refereed you... I might get a discount next time :)Where do I get good quality mortgage leads?
Try Voice marketing. Nothing better than your own exclusive live lead generated by your own marketing. Go to www.bullseyebroadcast.com
You should have your sales people selling and closing deals during the day, not trying to get there foot in the door all day.
Got to www.Bullseyebroadcast.com
Bullseye Broadcasting specializes in exclusive live transfer leads. They can flood your office with warm transfer leads all day. They only charge by the minute also.
Very cost effective!
I have been buying leads from http://leadstore00.com there leads are affordable and great to work with. I hope this is help full they have a database of many different types of leads for just about any home based business. Sarah
juicyleads
e leadz
lead2net
These are the three my company uses... Right now its a bad time for newcomers, hit the streets, get referrals, and make some friends in the realty industry!
There are lots of lead generation services out there that will offer to help. However the industry has a bad reputation and most mortgage leads are sold many times. This is definitely a business where you get what you pay for, so don't fall for the cheapest leads.
I would look for a company that only provides ';exclusive'; mortgage leads and preferably one that uses telemarketing (even though you hate the idea - it works better to generate leads than using the internet). Telemarketing leads usually have the highest conversion rates.
Have you tried trigger leads? At least with triggers you are contacting someone who just tried to qualify for a loan. Some people will argue the use of trigger leads but they have a much higher rate of return than most other methods. There are a ton of sites out there that offer them. However, I've been using Triggerleadsdirect. www.triggerleadsdirect.com. Talk to Amy... you'll get a better deal than the standard $3 per name if you bargain a bit. Tell her Bill refereed you... I might get a discount next time :)Where do I get good quality mortgage leads?
Try Voice marketing. Nothing better than your own exclusive live lead generated by your own marketing. Go to www.bullseyebroadcast.com
You should have your sales people selling and closing deals during the day, not trying to get there foot in the door all day.
Report Abuse
Got to www.Bullseyebroadcast.com
Bullseye Broadcasting specializes in exclusive live transfer leads. They can flood your office with warm transfer leads all day. They only charge by the minute also.
Very cost effective!
Report Abuse
I have been buying leads from http://leadstore00.com there leads are affordable and great to work with. I hope this is help full they have a database of many different types of leads for just about any home based business. Sarah
Report Abuse
juicyleads
e leadz
lead2net
These are the three my company uses... Right now its a bad time for newcomers, hit the streets, get referrals, and make some friends in the realty industry!
There are lots of lead generation services out there that will offer to help. However the industry has a bad reputation and most mortgage leads are sold many times. This is definitely a business where you get what you pay for, so don't fall for the cheapest leads.
I would look for a company that only provides ';exclusive'; mortgage leads and preferably one that uses telemarketing (even though you hate the idea - it works better to generate leads than using the internet). Telemarketing leads usually have the highest conversion rates.
How can I find out which mortgage company has the lien on a property?
There is a house/property that we are interested in buying, it's in foreclosure. We'd like to find out who has the mortgage, but don't know where to start. We already know it's not a local bank, we know the address and the name of the previous owners and tenants, but cannot contact the previous owner. Any ideas?How can I find out which mortgage company has the lien on a property?
Melissa,
There might be quite a few things to look at in this particular situation. I personally have bought many foreclosures. However, in your situation it sounds as though the house is not quite foreclosed on yet, but perhaps in a state of default. If this is the case you might be trying to attempt a short sale with the mortgage company. You could start at the counties recorders office in your area, but my recommendation to you, if you are really interested in this house, is to contact a title company in your area and have them prepare a profile report on the desired property. This report will give you a good starting point with lenders info and surrounding homeowner鈥檚 info. (Sometimes these title companies might have a website with free access to it, I use Chicago title).
However, the real important question you need to find an answer to is, why this house is going into foreclosure. If the house was just bought within the past year, it might have been that it was over paid for (this happened a lot in many areas). If the owner fell behind on payments and couldn't refinance, why were they not able to (if appraisal didn't support loan amount payoff). If the answers to these questions are that their is more owed than what it is worth, then wait till the lender takes it back at auction, and put a considerable offer on it then. (You would be surprised how low you can purchase bank owned homes that are on the market (70%-75% below market value)).
If you really believe this house is worth it, start with a title company. They can get you contact information. If you have not done many foreclosure, pre-foreclosure, or short sales, I might suggest you find a Realtor that specializes in these kinds of purchases, and is willing to help you out.
Lastly, if the property is not fully foreclosed on, you will need to find the owner of the mortgage being foreclosed, and get their permission to work with the bank directly. Otherwise, wait till the bank takes it back and move in then.
Also, if there are other homes in the area that are similar to this one you like, go visit them with your Realtor, and propose a deal with them (let them understand that in a short time the foreclosure down the street is going t bring the comps down in the neighborhood, and this is their chance to get a sale before that happens). Leverage that foreclosure with the rest of the neighborhood.....somebody will bite.
Happy HuntingHow can I find out which mortgage company has the lien on a property?
A deed of trust would have been recorded with your county. Many counties have an online recorder's office which has PDF archives...try googling it. If not, go to the recorders office in person and request it.
If that doesn't work, order a title report thru a local title company-- they may or may not charge you for this service. It shows outstanding liens.
If there is a foreclosure then there will be a lawyer or trustee handling the process. They will have a complete file on the property and the action.
If you want to buy a property that is in foreclosure the prior owner is still the owner. Being able to find and contact them is another story. The foreclosure process does not require that contact be made so the lender might not have a way to contract the owner.
Some people have good luck using a skip trace service. Think of a private investigator who is good at finding people who have gone missing. Mostly done online these days but they will use fee based services or other sources that are not generally open to the public.
Contact a title company to find the information you need. The can run what is called a clear title search and will give all the information about the lien. Then you can contact the bank to get any of your questions answered. The title company may charge $150.
If the property is listed on the MLS, a realtor can do a tax search on the property and find out whos name is on it. If you have a realtor friend that would be the most cost effective way
I just saw you are in Indiana. Shoot me a email of the address and I can send the tax record off MIBOR to you, hopefully it will have your answers. Shaneshomes@yahoo.com
What state? Just curious? The ownership might be on the counties website, depending on the state. You can call the county and they will often provide the information. You might need to go to the county offices at most.
Freedom of Information Act, public records. Either your local town clerk's office, or the tax receiver's office. Someone is still paying taxes on the property, and either avenue will get you thie information you need.
You need to work with a professional real estate agent and a lawyer. They will do a title search for you and find out if there is a lien or if there is any suspicion of property fraud.
In some states and counties you can get it off the county auditors websites on a property search.
Find a title company in your area and they should be able to help .oily skin facial treatment
Melissa,
There might be quite a few things to look at in this particular situation. I personally have bought many foreclosures. However, in your situation it sounds as though the house is not quite foreclosed on yet, but perhaps in a state of default. If this is the case you might be trying to attempt a short sale with the mortgage company. You could start at the counties recorders office in your area, but my recommendation to you, if you are really interested in this house, is to contact a title company in your area and have them prepare a profile report on the desired property. This report will give you a good starting point with lenders info and surrounding homeowner鈥檚 info. (Sometimes these title companies might have a website with free access to it, I use Chicago title).
However, the real important question you need to find an answer to is, why this house is going into foreclosure. If the house was just bought within the past year, it might have been that it was over paid for (this happened a lot in many areas). If the owner fell behind on payments and couldn't refinance, why were they not able to (if appraisal didn't support loan amount payoff). If the answers to these questions are that their is more owed than what it is worth, then wait till the lender takes it back at auction, and put a considerable offer on it then. (You would be surprised how low you can purchase bank owned homes that are on the market (70%-75% below market value)).
If you really believe this house is worth it, start with a title company. They can get you contact information. If you have not done many foreclosure, pre-foreclosure, or short sales, I might suggest you find a Realtor that specializes in these kinds of purchases, and is willing to help you out.
Lastly, if the property is not fully foreclosed on, you will need to find the owner of the mortgage being foreclosed, and get their permission to work with the bank directly. Otherwise, wait till the bank takes it back and move in then.
Also, if there are other homes in the area that are similar to this one you like, go visit them with your Realtor, and propose a deal with them (let them understand that in a short time the foreclosure down the street is going t bring the comps down in the neighborhood, and this is their chance to get a sale before that happens). Leverage that foreclosure with the rest of the neighborhood.....somebody will bite.
Happy HuntingHow can I find out which mortgage company has the lien on a property?
A deed of trust would have been recorded with your county. Many counties have an online recorder's office which has PDF archives...try googling it. If not, go to the recorders office in person and request it.
If that doesn't work, order a title report thru a local title company-- they may or may not charge you for this service. It shows outstanding liens.
If there is a foreclosure then there will be a lawyer or trustee handling the process. They will have a complete file on the property and the action.
If you want to buy a property that is in foreclosure the prior owner is still the owner. Being able to find and contact them is another story. The foreclosure process does not require that contact be made so the lender might not have a way to contract the owner.
Some people have good luck using a skip trace service. Think of a private investigator who is good at finding people who have gone missing. Mostly done online these days but they will use fee based services or other sources that are not generally open to the public.
Contact a title company to find the information you need. The can run what is called a clear title search and will give all the information about the lien. Then you can contact the bank to get any of your questions answered. The title company may charge $150.
If the property is listed on the MLS, a realtor can do a tax search on the property and find out whos name is on it. If you have a realtor friend that would be the most cost effective way
I just saw you are in Indiana. Shoot me a email of the address and I can send the tax record off MIBOR to you, hopefully it will have your answers. Shaneshomes@yahoo.com
What state? Just curious? The ownership might be on the counties website, depending on the state. You can call the county and they will often provide the information. You might need to go to the county offices at most.
Freedom of Information Act, public records. Either your local town clerk's office, or the tax receiver's office. Someone is still paying taxes on the property, and either avenue will get you thie information you need.
You need to work with a professional real estate agent and a lawyer. They will do a title search for you and find out if there is a lien or if there is any suspicion of property fraud.
In some states and counties you can get it off the county auditors websites on a property search.
Find a title company in your area and they should be able to help .
How would I start my own mortgage company?
I recently graduated with a BS in accounting and am looking to start my own company. What steps should I go through to start my own mortgage company. I have a partner who would go in with me who has the finances I believe to make this happen.How would I start my own mortgage company?
Go to http://www.score.org/ to find the nearest SCORE chapter. In the upper left hand corner is a box to enter your zip code. Your nearest SCORE chapter will be on the next screen. Contact them to arrange for a free one on one meeting with a SCORE counselor about starting a mortgage company.
SCORE is a nonprofit organization. They provide a public service by offering small business advice and training.
SCORE's 10,500 volunteers have more than 600 business skills. Volunteers share their wisdom and lessons learned in business. The volunteers are working/retired business owners, executives and corporate leaders.
Go to http://www.score.org/ to find the nearest SCORE chapter. In the upper left hand corner is a box to enter your zip code. Your nearest SCORE chapter will be on the next screen. Contact them to arrange for a free one on one meeting with a SCORE counselor about starting a mortgage company.
SCORE is a nonprofit organization. They provide a public service by offering small business advice and training.
SCORE's 10,500 volunteers have more than 600 business skills. Volunteers share their wisdom and lessons learned in business. The volunteers are working/retired business owners, executives and corporate leaders.
How can I take out a mortgage on a property to start flipping foreclosures?
I have never had a job. I am self-employed with ample cashflow to make mortgage payments, but no bank I have asked will let me take out a mortgage without two years of tax returns.How can I take out a mortgage on a property to start flipping foreclosures?
Do you report your income to be taxed? If you're not playing by the rules I don't see why anyone would want to help you out in that respect. I have heard of others who were able to get mortgages on self employed income when it is provable and reported to the IRS, as income is supposed to be.How can I take out a mortgage on a property to start flipping foreclosures?
Don't read/listen to the news much,eh? Since you don't seem to have heard, there's what's being called a credit crunch, due to banks lending money to people who couldn't continue to pay their mortgages.
That leads to foreclosure (ie the houses you want to buy). Some of these folks couldn't document their income (via tax return). So why would the banks loan $ to you, if your issues helped lead to this collapse in the first place?
Many of those foreclosed homes have become that way because of speculators and ';flippers'; Now is not the time to try to flip houses unless you want to join the people who have bitten off more than they can chew.
that is the rule. sorry but self employed people have a greater risk in the market place as they are not proved to have sustainable income
Do you report your income to be taxed? If you're not playing by the rules I don't see why anyone would want to help you out in that respect. I have heard of others who were able to get mortgages on self employed income when it is provable and reported to the IRS, as income is supposed to be.How can I take out a mortgage on a property to start flipping foreclosures?
Don't read/listen to the news much,eh? Since you don't seem to have heard, there's what's being called a credit crunch, due to banks lending money to people who couldn't continue to pay their mortgages.
That leads to foreclosure (ie the houses you want to buy). Some of these folks couldn't document their income (via tax return). So why would the banks loan $ to you, if your issues helped lead to this collapse in the first place?
Many of those foreclosed homes have become that way because of speculators and ';flippers'; Now is not the time to try to flip houses unless you want to join the people who have bitten off more than they can chew.
that is the rule. sorry but self employed people have a greater risk in the market place as they are not proved to have sustainable income
Has anyone ever heard of a mortgage lender declining a loan because the home has geo thermal ?
Three days before closing on our property, the lender decided that they would decline the loan as they noticed in the appraisal (that they had possession of for 5 weeks) that the home has geo-thermal. Our real estate agent and mortgage broker were both surprised by this. Has anyone else had this experience?Has anyone ever heard of a mortgage lender declining a loan because the home has geo thermal ?
Odd, I would have thought a geothermal system would be an assett.Has anyone ever heard of a mortgage lender declining a loan because the home has geo thermal ?
no thats a first for me....outrageous.....i would demand to know why from your lender espeically in these times for greater need for energy efficent homes..All I can think of is that they can give problems in houses that mayhave subsidence issues..but Im sure that would have been ruled out even so if anything went wrong insurance wold cover it. Id threaten to go to the media about this one!!
Never seen one as an underwriting exception.
I wrote a contract on an underground house a couple of years ago and could not find anyone willing to make a low down payment loan. The mortgage companies kept demanding the appraisal include current sales that were nearby and were also underground. We could not find any. The buyer finally decided that it would be hard to ever resale the home so they backed out.
So if this system is new to your area or if their have not been many sell recently then that could be your problem (especially if you are trying to put a very small amount down).
Do you mean a geothermal heating system? Probably, some underwriter decided it is unconventional and therefore could be risky. Underwriters do weird things sometimes.
Geothermal heat is common in my area and I have never heard of this. Most lenders will allow exceptions to their rules if something is typical for an area, such as this circumstance.
Try somewhere else.
Odd, I would have thought a geothermal system would be an assett.Has anyone ever heard of a mortgage lender declining a loan because the home has geo thermal ?
no thats a first for me....outrageous.....i would demand to know why from your lender espeically in these times for greater need for energy efficent homes..All I can think of is that they can give problems in houses that mayhave subsidence issues..but Im sure that would have been ruled out even so if anything went wrong insurance wold cover it. Id threaten to go to the media about this one!!
Never seen one as an underwriting exception.
I wrote a contract on an underground house a couple of years ago and could not find anyone willing to make a low down payment loan. The mortgage companies kept demanding the appraisal include current sales that were nearby and were also underground. We could not find any. The buyer finally decided that it would be hard to ever resale the home so they backed out.
So if this system is new to your area or if their have not been many sell recently then that could be your problem (especially if you are trying to put a very small amount down).
Do you mean a geothermal heating system? Probably, some underwriter decided it is unconventional and therefore could be risky. Underwriters do weird things sometimes.
Geothermal heat is common in my area and I have never heard of this. Most lenders will allow exceptions to their rules if something is typical for an area, such as this circumstance.
Try somewhere else.
How do I find out the mortgage company of a condo in foreclosure?
I live in a three unit condo. The second unit is vacant (the owners moved out 2 years ago) and the unit is in foreclosure. We (the condo association) needs to contact unit 2's mortgage company for back payment of unpaid condo fees. How do I find out their mortgage company?How do I find out the mortgage company of a condo in foreclosure?
Probably there are back taxes too. You could contact the court house and ask about the deed. Also, the Tax authority should tell you where the tax bills go.How do I find out the mortgage company of a condo in foreclosure?
What you need to do is foreclose on the unit for non-payment of condo fees.
regester of deeds office in your county
Probably there are back taxes too. You could contact the court house and ask about the deed. Also, the Tax authority should tell you where the tax bills go.How do I find out the mortgage company of a condo in foreclosure?
What you need to do is foreclose on the unit for non-payment of condo fees.
regester of deeds office in your county
What exactly does a shortsale mortgage mean to a buyer?
The home I'm interested in purchasing is listed as a ';short sale';. What exactly does that mean to me as a potential buyer? Are there things I need to be aware of or look out for? I'm very interested in this home. Will the closing cost be more expensive?What exactly does a shortsale mortgage mean to a buyer?
When the home is listed as a short sale, it basically means that the previous owner of the home sold the house at an amount less than what is owed to the bank or lender. The previous owner and the bank/lender comes to an agreement wherein the property will be sold but the amount that the bank/lender will get back is less than what is originally lent to the homeowner.If you are planning to buy this house, you may think about this: a house in short sale meant that it was previously in default and the previous owner can't afford to pay the mortgage. You can also shoulder a higher closing cost. Then you buy the house as it is. Lenders may not be willing to pay for repairs on the home.What exactly does a shortsale mortgage mean to a buyer?
Delays, frustration, problems.
Means the seller is upside down on their mortgage and owe more than their house is worth. Means seller needs bank approval to complete the sale. Banks operate by committee, slowly and not always in their own best interests. A short sale means the seller asks the bank to let them sell the property, for the bank to take less than their lien is worth and to let the sale go through. Bank may or may not be getting a deficiency judgment against seller, but is losing secured interest in home, at less than the value of the mortgage.
Glenn is right above. . . .
Don't count on this closing until it closes. . .many glitches. . . .problems. . .delays. . . .you're buying AS IS, and certainly want a professional building inspection even though seller won't pay for any repairs, but you need to know exactly what you're buying, or whether you should buy or nor.
The main thing is it will be a very long an unpredictable time before you can close on this. You mortgage commitment may expire and the seller's bank does not care.
The closing costs for you should be about the same and you may get a good price. The seller will not likely have any money to pay for any repairs and the seller's bank will not agree to make them, so you will be buying it as is.
A short sale is when you purchase a home for less than is owed on it. Closing costs can be higher since the seller really can't pay your closing costs for you, so you will be responsible for them. The only thing that you should be aware of is time. It can take months for the lender to accept or decline your offer on the home. If you are in a hurry to move, don't purchase a short salehome!
Good luck!
It means you are buying a house for less than the current owners owe on it. The seller's needs the bank's permission or they have to come in with the difference. Other than taking longer, usually, it's the same. Closing costs are the same, but you will probably have to pay for them.
i agree with the above statements. you should also know that there is much more chance of things falling through with a situation like this. the seller is also much less likely to pay your closing costs, or to pay to have things fixed as their cash flow will be very limited.
When the home is listed as a short sale, it basically means that the previous owner of the home sold the house at an amount less than what is owed to the bank or lender. The previous owner and the bank/lender comes to an agreement wherein the property will be sold but the amount that the bank/lender will get back is less than what is originally lent to the homeowner.If you are planning to buy this house, you may think about this: a house in short sale meant that it was previously in default and the previous owner can't afford to pay the mortgage. You can also shoulder a higher closing cost. Then you buy the house as it is. Lenders may not be willing to pay for repairs on the home.What exactly does a shortsale mortgage mean to a buyer?
Delays, frustration, problems.
Means the seller is upside down on their mortgage and owe more than their house is worth. Means seller needs bank approval to complete the sale. Banks operate by committee, slowly and not always in their own best interests. A short sale means the seller asks the bank to let them sell the property, for the bank to take less than their lien is worth and to let the sale go through. Bank may or may not be getting a deficiency judgment against seller, but is losing secured interest in home, at less than the value of the mortgage.
Glenn is right above. . . .
Don't count on this closing until it closes. . .many glitches. . . .problems. . .delays. . . .you're buying AS IS, and certainly want a professional building inspection even though seller won't pay for any repairs, but you need to know exactly what you're buying, or whether you should buy or nor.
The main thing is it will be a very long an unpredictable time before you can close on this. You mortgage commitment may expire and the seller's bank does not care.
The closing costs for you should be about the same and you may get a good price. The seller will not likely have any money to pay for any repairs and the seller's bank will not agree to make them, so you will be buying it as is.
A short sale is when you purchase a home for less than is owed on it. Closing costs can be higher since the seller really can't pay your closing costs for you, so you will be responsible for them. The only thing that you should be aware of is time. It can take months for the lender to accept or decline your offer on the home. If you are in a hurry to move, don't purchase a short salehome!
Good luck!
It means you are buying a house for less than the current owners owe on it. The seller's needs the bank's permission or they have to come in with the difference. Other than taking longer, usually, it's the same. Closing costs are the same, but you will probably have to pay for them.
i agree with the above statements. you should also know that there is much more chance of things falling through with a situation like this. the seller is also much less likely to pay your closing costs, or to pay to have things fixed as their cash flow will be very limited.
How can i get a mortgage to buid my first home?
I've been preaproved for 300,000 to purchase a house, but i really want to build my own. I know that i can do it for less than that! The problem is that lenders don't usually aprove constraction loans for first time homes. Any ideas?How can i get a mortgage to buid my first home?
This is possible. What state do you live in? I work for a mortgage company in Michigan and we work with about 13 other states. A couple of our lenders will finance construction loans even for 1st time buyers. Contact me at 877-LOAN-103 and ask for JoshHow can i get a mortgage to buid my first home?
work more hours save more moneyoily skin facial treatment
This is possible. What state do you live in? I work for a mortgage company in Michigan and we work with about 13 other states. A couple of our lenders will finance construction loans even for 1st time buyers. Contact me at 877-LOAN-103 and ask for JoshHow can i get a mortgage to buid my first home?
work more hours save more money
How can I convince my mortgage lender to lower my interest rate?
My mortgage will go to adjustable soon and what can you tell your lender so the interest stays the same? I have a 3/1 arm.How can I convince my mortgage lender to lower my interest rate?
You really have no control over your interest rate. You can try to plead that you don't have the money if it increases, but... tough ****. You can try to compare interest rates in your area, but it won't do any good because the terms of the loan you signed are unique.
That's the entire point of an ARM, the interest rate stays low for the first few years, then is subject to increase after that. Sorry if you don't understand this, but that is not your lender's fault.
You're not alone (millions of borrows don't understand the terms of the legal documents they sign regarding mortgages), but that might not give you much comfort.How can I convince my mortgage lender to lower my interest rate?
Refinance it to a fixed rate.
You really have no control over your interest rate. You can try to plead that you don't have the money if it increases, but... tough ****. You can try to compare interest rates in your area, but it won't do any good because the terms of the loan you signed are unique.
That's the entire point of an ARM, the interest rate stays low for the first few years, then is subject to increase after that. Sorry if you don't understand this, but that is not your lender's fault.
You're not alone (millions of borrows don't understand the terms of the legal documents they sign regarding mortgages), but that might not give you much comfort.How can I convince my mortgage lender to lower my interest rate?
Refinance it to a fixed rate.
What will happen to the mortgage and home equity loans if the mortgagee left the country for good?
I have a friend who is very desperate because of all the debts, shortsale/foreclosure of his house, mounting credit card bills, etc, want to just leave the country for good to start anew. What would be the possible consequences of this? Will it clear all his debts, if he comes back to the US after 3 years would he be in trouble?What will happen to the mortgage and home equity loans if the mortgagee left the country for good?
Why would a person go through moving out of the country to solve debt problems?
If a person can not make the monthly mortgage this person should contact the lender to find out if there are programs that will allow this person to remain in the house with a reduced monthly payment.
If the lender and the person in the house can't work out a solution the house simply goes into bankruptcy. The bank will eventually get the house after a failed foreclosure sale. In the event someone purchase the property at the foreclosure sale the bank would have gotten enough money to cover the mortgage,plus foreclosure fees.
There are other things that might be done with the lender such as a
#1deed in lieu of foreclosure
#2 possible short sale
#3 selling the property by the borrower(Contact a real estate agent)
Credit card debts can be dispensed with by calling the credit card company, tell them you will no longer be using the credit card and will be returning them (CUT UP) and would like to make a monthly payment on the credit card. Make sure your friend give the credit card company an amount they feel comfortable making.
Failure to come to a conclusion with the mortgage lender and your credit cards, you may get credit counseling from a credit counselor that might be of some service to you or you may file bankruptcy as a last resort.
Leaving the country will not solve the problem at all, so this is not a solution what so ever. If and when this person return the credit card companies will contact him with credit card charge offs.
I hope this has been of some use to you, good luck.
';FIGHT ON';What will happen to the mortgage and home equity loans if the mortgagee left the country for good?
No it will not clear all his debts. If he is leaving the country to start anew, why would he want to come back in 3 years?
He could leave and let his house go into foreclosure, but any other credit card debts, car loans, etc would still be there.
If he wants to leave the country and start anew, maybe he should stay over there for more than 3 years??? :)
Has he tried bankruptcy or tried to repay or remortgage the house at least?
Clarify for us
Is it he, she or you? First you say leave for good but what if ';he'; comes back?
No it doesn't clear your debts and if you come back in 3 years the creditors will be all over you. You ruin your credit etc.
So why don't YOU go see a bankruptcy atty today and stop with the leave the country crap.
Why did you change your question after someone called you on all the discrepancies in it?
No it will not clear the debts but is he going to go for good or 3 years?
Yes, he'll be in trouble. Leaving for three years does not wipe the slate clean. He needs to face his problems and deal with them instead of trying to run away from them.
No and yes.
If you friend absolutely cannot pay the mortgage, the first best move would be for your friend to sell the house. Out of the proceeds of the sale you friend would pay off the mortgage, and if lucky have some money to pay of the other debts. Then your friend starts off clean with no (or less) negative marks on his/her credit report. If that just is not possible, then I would approach the bank and make a ';deed in lieu'; offer. This means that your friend would agree to deed the house to the bank with no court action, and simply move out in exchange for the bank agreeing to declare the loan fully satisfied. If the bank will not do this, then your friends' only option is to quit paying on the house and let it go to foreclosure. If I were your friend, I would not move out of the house. Just live there until he/she is forced to move after the sheriff sale. The Bank will take months to even decide to foreclose (I have seen them sit on a house for over a year with no payment before they even start foreclosure proceedings). The after the foreclosure proceeding is started, it will take almost a year before a sheriff sale date is obtained. I would suggest being out at about the time of the sheriff sale of the property. with this option your friend will have a foreclosure on his/her credit record which will make it very tough to get a mortgage loan later, and the bank could seek a ';deficiency judgement'; (a civil judgement for the difference between the amount they get for the house at a sheriff sale and what was owed on the house) but if that is his/her only option, so be it. As far as credit card debt (and any deficiency judgement), I would recomend seeing a ';consumer credit counseling service';. They are generally a free service. If that is not an option, the a bankruptcy attorney may be the only other option.
Why would a person go through moving out of the country to solve debt problems?
If a person can not make the monthly mortgage this person should contact the lender to find out if there are programs that will allow this person to remain in the house with a reduced monthly payment.
If the lender and the person in the house can't work out a solution the house simply goes into bankruptcy. The bank will eventually get the house after a failed foreclosure sale. In the event someone purchase the property at the foreclosure sale the bank would have gotten enough money to cover the mortgage,plus foreclosure fees.
There are other things that might be done with the lender such as a
#1deed in lieu of foreclosure
#2 possible short sale
#3 selling the property by the borrower(Contact a real estate agent)
Credit card debts can be dispensed with by calling the credit card company, tell them you will no longer be using the credit card and will be returning them (CUT UP) and would like to make a monthly payment on the credit card. Make sure your friend give the credit card company an amount they feel comfortable making.
Failure to come to a conclusion with the mortgage lender and your credit cards, you may get credit counseling from a credit counselor that might be of some service to you or you may file bankruptcy as a last resort.
Leaving the country will not solve the problem at all, so this is not a solution what so ever. If and when this person return the credit card companies will contact him with credit card charge offs.
I hope this has been of some use to you, good luck.
';FIGHT ON';What will happen to the mortgage and home equity loans if the mortgagee left the country for good?
No it will not clear all his debts. If he is leaving the country to start anew, why would he want to come back in 3 years?
He could leave and let his house go into foreclosure, but any other credit card debts, car loans, etc would still be there.
If he wants to leave the country and start anew, maybe he should stay over there for more than 3 years??? :)
Has he tried bankruptcy or tried to repay or remortgage the house at least?
Clarify for us
Is it he, she or you? First you say leave for good but what if ';he'; comes back?
No it doesn't clear your debts and if you come back in 3 years the creditors will be all over you. You ruin your credit etc.
So why don't YOU go see a bankruptcy atty today and stop with the leave the country crap.
Why did you change your question after someone called you on all the discrepancies in it?
No it will not clear the debts but is he going to go for good or 3 years?
Yes, he'll be in trouble. Leaving for three years does not wipe the slate clean. He needs to face his problems and deal with them instead of trying to run away from them.
No and yes.
If you friend absolutely cannot pay the mortgage, the first best move would be for your friend to sell the house. Out of the proceeds of the sale you friend would pay off the mortgage, and if lucky have some money to pay of the other debts. Then your friend starts off clean with no (or less) negative marks on his/her credit report. If that just is not possible, then I would approach the bank and make a ';deed in lieu'; offer. This means that your friend would agree to deed the house to the bank with no court action, and simply move out in exchange for the bank agreeing to declare the loan fully satisfied. If the bank will not do this, then your friends' only option is to quit paying on the house and let it go to foreclosure. If I were your friend, I would not move out of the house. Just live there until he/she is forced to move after the sheriff sale. The Bank will take months to even decide to foreclose (I have seen them sit on a house for over a year with no payment before they even start foreclosure proceedings). The after the foreclosure proceeding is started, it will take almost a year before a sheriff sale date is obtained. I would suggest being out at about the time of the sheriff sale of the property. with this option your friend will have a foreclosure on his/her credit record which will make it very tough to get a mortgage loan later, and the bank could seek a ';deficiency judgement'; (a civil judgement for the difference between the amount they get for the house at a sheriff sale and what was owed on the house) but if that is his/her only option, so be it. As far as credit card debt (and any deficiency judgement), I would recomend seeing a ';consumer credit counseling service';. They are generally a free service. If that is not an option, the a bankruptcy attorney may be the only other option.
Is it possible to obtain mortgage with a federal tax lien?
No, the best thing to do is borrow to pay the lien off, then worry about a mortgage. Good luck.Is it possible to obtain mortgage with a federal tax lien?
If you are talking about buying a property with a FTL, it is no different than buying a property with any other type of lien. The lien holders are paid at the closing of the property.
If you are talking about refinancing a property when you have a FTL. The bank will almost always require that the FTL be satisfied at closing, because the bank doesn't want to be subordinate to any one. This is usually no problem if there is enough equity in the property.Is it possible to obtain mortgage with a federal tax lien?
Technically, yes. Property subject to a purchase money security interest will have priority over the IRS lien if that interest is valid under local law. Rev. Rul. 68-57, 1968-1 C.B. 553.
Practically, no. The bank doesn't have to lend you the money and most won't if there is a tax lien on file.
If you are talking about buying a property with a FTL, it is no different than buying a property with any other type of lien. The lien holders are paid at the closing of the property.
If you are talking about refinancing a property when you have a FTL. The bank will almost always require that the FTL be satisfied at closing, because the bank doesn't want to be subordinate to any one. This is usually no problem if there is enough equity in the property.Is it possible to obtain mortgage with a federal tax lien?
Technically, yes. Property subject to a purchase money security interest will have priority over the IRS lien if that interest is valid under local law. Rev. Rul. 68-57, 1968-1 C.B. 553.
Practically, no. The bank doesn't have to lend you the money and most won't if there is a tax lien on file.
What obligation does a listing agent have to obtain sellers mortgage info and any liens on home?
I live in Ontario, Canada.
If the listing agent does not gather morgage info/liens, can they be held liable if seller accepts a price that is too low and deal falls through?What obligation does a listing agent have to obtain sellers mortgage info and any liens on home?
No, they are not liable. Obtaiing information on liens falls on lenders and title companies, not RE agents.
The agent does have to disclose that the offer is a short sale though. 90% of them fall through.
If the listing agent does not gather morgage info/liens, can they be held liable if seller accepts a price that is too low and deal falls through?What obligation does a listing agent have to obtain sellers mortgage info and any liens on home?
No, they are not liable. Obtaiing information on liens falls on lenders and title companies, not RE agents.
The agent does have to disclose that the offer is a short sale though. 90% of them fall through.
I was thinking of getting into selling mortgages as a career. Is now as good a time as any to start?
NO!,
My daughter just quit doing that in North Florida.
The market got so bad she couldn't pay her bills anymore......I was thinking of getting into selling mortgages as a career. Is now as good a time as any to start?
Not if you believe the numerous reports and housing data that indicate a general slow down in home building, new mortgages, and refinancing.
My daughter just quit doing that in North Florida.
The market got so bad she couldn't pay her bills anymore......I was thinking of getting into selling mortgages as a career. Is now as good a time as any to start?
Not if you believe the numerous reports and housing data that indicate a general slow down in home building, new mortgages, and refinancing.
What happens to a reverse mortgage after the person have to go to nursing home. How does that work?
What happens to a reverse mortgage after the person have to go to nursing home. How does that work?What happens to a reverse mortgage after the person have to go to nursing home. How does that work?
Generally, the loan ends when the homeowner dies, sells the house, or, depending on the loan conditions, moves out of the house for 12 consecutive months (for example, to go into an assisted living home or due to physical or mental illness the borrower is not able to live in the property on which the loan has been taken. At that point, the reverse mortgage can be paid off with the proceeds of the sale of the house, or if the borrower has died, the property can be refinanced by the heirs of the homeowner's estate with a regular mortgage. If the proceeds exceed the loan amount including compounded interest and fees, the owner of the house receives the difference. If the owner has died, the heirs receive the difference. For cases where the proceeds are not sufficient to pay off the loan, then the bank (or insurance which the bank has on the loan) absorbs the difference. So, in your scenario, it would depend on the loan conditions.What happens to a reverse mortgage after the person have to go to nursing home. How does that work?
Depends. If short term nursing care with expectation to return home nothing. If long term nursing without expectation then then the ';reverse mortgage'; which is in reality a loan is due to be paid off. Each contract will go into specifics as to what is short term verses longterm care.
It depends on the contract but usually the house goes to the mortgage company. Most contrcats state the hous ebelongs to the owner until they die or are no longer able to reside there.
Check the contract.
In most cases, as soon as they vacate the home used as security, the loan must begin repayment.
Talk to the lender
The money flows as long as someone is alive. I believe the mortgage company cannot take the home 'till death.oily skin facial treatment
Generally, the loan ends when the homeowner dies, sells the house, or, depending on the loan conditions, moves out of the house for 12 consecutive months (for example, to go into an assisted living home or due to physical or mental illness the borrower is not able to live in the property on which the loan has been taken. At that point, the reverse mortgage can be paid off with the proceeds of the sale of the house, or if the borrower has died, the property can be refinanced by the heirs of the homeowner's estate with a regular mortgage. If the proceeds exceed the loan amount including compounded interest and fees, the owner of the house receives the difference. If the owner has died, the heirs receive the difference. For cases where the proceeds are not sufficient to pay off the loan, then the bank (or insurance which the bank has on the loan) absorbs the difference. So, in your scenario, it would depend on the loan conditions.What happens to a reverse mortgage after the person have to go to nursing home. How does that work?
Depends. If short term nursing care with expectation to return home nothing. If long term nursing without expectation then then the ';reverse mortgage'; which is in reality a loan is due to be paid off. Each contract will go into specifics as to what is short term verses longterm care.
It depends on the contract but usually the house goes to the mortgage company. Most contrcats state the hous ebelongs to the owner until they die or are no longer able to reside there.
Check the contract.
In most cases, as soon as they vacate the home used as security, the loan must begin repayment.
Talk to the lender
The money flows as long as someone is alive. I believe the mortgage company cannot take the home 'till death.
How long does a new mortgage holder have before inform the mortgagee of any changes in the holder?
That would be found in the agreement you signed. There is no hard and fast rule.How long does a new mortgage holder have before inform the mortgagee of any changes in the holder?
What kind of changes do you mean?
What kind of changes do you mean?
What can you itemize besides mortgage interests and the common things that are listed on the irs website?
I am in serious debt with the IRS. We owe every single year, as we have no dependants. I am now filing single zero, but fear I may never catch up from the 15K we already owe. What else can we itemize besides our student loan and mortgage intersts?What can you itemize besides mortgage interests and the common things that are listed on the irs website?
I'm only answering because the first answerer couldn't be more wrong.
Get tax software (like TaxCut) and do your taxes. It shows you everything that you can deduct. Alternatively you could go through IRS publications on the IRS website.What can you itemize besides mortgage interests and the common things that are listed on the irs website?
Medical expenses (subject to limitations), state income taxes, property taxes, real estate taxes, mortgage interest, investment interest, contributions (cash and non-cash), casualty losses, some misc.deductions like tax preparation, employee business expenses, safe deposit box, investment fees, IRA fees.
Try to settle with the IRS or see if you can get on a payment plan. If they put on one, DON'T default.
I'm only answering because the first answerer couldn't be more wrong.
Get tax software (like TaxCut) and do your taxes. It shows you everything that you can deduct. Alternatively you could go through IRS publications on the IRS website.What can you itemize besides mortgage interests and the common things that are listed on the irs website?
Medical expenses (subject to limitations), state income taxes, property taxes, real estate taxes, mortgage interest, investment interest, contributions (cash and non-cash), casualty losses, some misc.deductions like tax preparation, employee business expenses, safe deposit box, investment fees, IRA fees.
Try to settle with the IRS or see if you can get on a payment plan. If they put on one, DON'T default.
How did Bush encourage the mortgage companies to develop exotic loan products for the subprime market?
Remember when Bush spoke of his ';ownership society';? Did Bush give any incentives for those brokers and mortgage companies to create those exotic loan products, so many of which are now in default? Do you think that increased regulation could have mitigated this disaster?How did Bush encourage the mortgage companies to develop exotic loan products for the subprime market?
You can't hang this on Bush. All the elements were created before he came into office. The R/E bubble collapse is not a ';disaster.'; It is a perfectly normal end to the latest financial bubble. Everyone who got hurt voluntarily took the risk.How did Bush encourage the mortgage companies to develop exotic loan products for the subprime market?
He didnt... neither did any other US president.
This was brought on by mortgage folks giving home loans to people who should NOT have had a home loan to begin with.
The createive loans were designed for investors but were given to homeownsers for the most part. Bad move.
Increased regulation could have prevented it but do we really need any more ';big brothers'; out there now?
I dont think so.
because hes bush ...................just like he convinces all them people to vote for him.....................................鈥?dont nobody realy care for american or the usa
Bush didn't actually do anything to encourage this loan mess, other than look the other way, when it was pretty obvious as to what was happening.
Of course increased regulation would have helped avert the seriousness of the situation, but then Bush would not have been able to make his claims that 'home ownership are at an all time high.';
Now that the noose has tightened to the uncomfortable point, it appears that Bernanke will work to help institute tighter credit regulations for such loans.
This president claims to have a MBA from a prestigious university. I fear that, in his case, it stands for More Bungled Acts.
The loan products weren't so exotic... ARMs, interest-only, 110% financing... these aren't new.
The big problems were:
1) Making loans to unqualified borrowers (subprime)
2) Securitization of CMBS/RMBS/CDO with investment grade ratings that did not reflect their true risk
I don't like Bush or his economic policies, but I'd pin this one on the financial services industry and real estate players (including flippers).
First off, the mortgage standards were relaxed during the Clinton presidency. Second, the CONGRESS (especially democrats) mandated the banks and mortgage companies loan to low income families to promote home ownership. That make the congress a big bunch of hypocrites for trying to pin this on the president. Third, the banks and mortgage industry made alot of money during the past few years. Make them suck up all of the losses and not expect the taxpayers to bail them out. Unlike alot of the sub-prime folks who took out the loans, the banks KNEW what they were doing.
Bush did not have anything to do with it. The lenders came up with it all on their own. Also mortgage brokers dont have any money to lend, they just broker loans to the lenders and they sure dont create loans.
You can't hang this on Bush. All the elements were created before he came into office. The R/E bubble collapse is not a ';disaster.'; It is a perfectly normal end to the latest financial bubble. Everyone who got hurt voluntarily took the risk.How did Bush encourage the mortgage companies to develop exotic loan products for the subprime market?
He didnt... neither did any other US president.
This was brought on by mortgage folks giving home loans to people who should NOT have had a home loan to begin with.
The createive loans were designed for investors but were given to homeownsers for the most part. Bad move.
Increased regulation could have prevented it but do we really need any more ';big brothers'; out there now?
I dont think so.
because hes bush ...................just like he convinces all them people to vote for him.....................................鈥?dont nobody realy care for american or the usa
Bush didn't actually do anything to encourage this loan mess, other than look the other way, when it was pretty obvious as to what was happening.
Of course increased regulation would have helped avert the seriousness of the situation, but then Bush would not have been able to make his claims that 'home ownership are at an all time high.';
Now that the noose has tightened to the uncomfortable point, it appears that Bernanke will work to help institute tighter credit regulations for such loans.
This president claims to have a MBA from a prestigious university. I fear that, in his case, it stands for More Bungled Acts.
The loan products weren't so exotic... ARMs, interest-only, 110% financing... these aren't new.
The big problems were:
1) Making loans to unqualified borrowers (subprime)
2) Securitization of CMBS/RMBS/CDO with investment grade ratings that did not reflect their true risk
I don't like Bush or his economic policies, but I'd pin this one on the financial services industry and real estate players (including flippers).
First off, the mortgage standards were relaxed during the Clinton presidency. Second, the CONGRESS (especially democrats) mandated the banks and mortgage companies loan to low income families to promote home ownership. That make the congress a big bunch of hypocrites for trying to pin this on the president. Third, the banks and mortgage industry made alot of money during the past few years. Make them suck up all of the losses and not expect the taxpayers to bail them out. Unlike alot of the sub-prime folks who took out the loans, the banks KNEW what they were doing.
Bush did not have anything to do with it. The lenders came up with it all on their own. Also mortgage brokers dont have any money to lend, they just broker loans to the lenders and they sure dont create loans.
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