If you have been shopping for a loan in June 2022, you may have noticed rates have risen. In fact, the average 30-year fixed rate for conventional loans has just about doubled since the lows of January 2021. According to this chart from FHLMC, the 2nd largest purchaser of agency mortgages, rates went from 2.74% … Continue Reading
When buying a house, it is critical that every borrower research each loan program to know the ins-and-outs of each type of financing. Knowing what loan is best suited for you and your family will depend on your individual financial situation. Perhaps nothing is more important than trying to determine how much cash you will… Continue Reading
When you decide to shop for a home loan, there are a lot of choices out there. Whether you want to refinance or purchase a home, you may want to consider the various sources of home loans. Most people are not aware of how the back end of the mortgage lending business works. They get… Continue Reading
With the uncertainty surrounding today’s mortgage market and skyrocketing prices to buy real estate, buyers are having to come up with more and more cash to cover the costs of closing and buy-down their interest rates. As of the time of this writing, the average interest rate on a 30-year mortgage is 5.95%. By comparison,… Continue Reading
The mortgage market is undergoing a massive shift as of Mid 2022. Mortgage rates across all types of home loans have increased considerably. In some cases, such as the case for conventional agency loans, rates have more than doubled in less than a year. These events are now preventing millions of buyers from qualifying for… Continue Reading
You’ve cleaned up your credit, put some savings in the bank, paid down some debts and you’re finally nearing one of your lifelong goals of homeownership. All that hard work is about to pay off into one of the ultimate American dreams. There’s only one problem – what loan program do you choose? In today’s… Continue Reading
If you are buying an investment property, you probably already know that you’ll have to put down a larger down payment, use a smaller seller’s concession, and have more available in reserves, but are you aware of these three important differences when it comes to your loan’s interest rate, points, and available programs? Difference #1:… Continue Reading
In the previous two articles, we discussed how to qualify for a mortgage on investment properties and loan-to-value (LTV) requirements for investment property. In this article, we discuss the 3 main differences between buying an investment property and buying an owner occupied property. When buying an investment property, make sure you understand the limitations on… Continue Reading
Let’s say you’re buying a house and you have calculated your front ratio or the comparison of your proposed housing debt to your usable income. You know your lender allows a 43% total DTI ratio, and your front ratio is an enviable 36%. But your loan officer informs you that your total or “back” DTI… Continue Reading
If you are buying or refinancing an investment property, the first thing you need to know is “how much can I borrow”? To answer this question, we need to look at the maximum loan-to-value guidelines (“LTV”) for conventional loans that are sold to Fannie Mae or Freddie Mac. This article lays out the five differences between… Continue Reading