Today’s higher interest rates are squeezing would-be home buyers. Less than three years ago, rates were below 4 percent. Now they are above seven, and monthly payments have soared. This has driven home sales down and generated fresh interest in creative financing programs. If you’re in the market for a home, consider these alternatives to… Read more »
If you are a homeowner behind on your mortgage payments, you may be able to extend the term of your mortgage to 40 years under a federal program that began May 8, 2023. The Department of Housing and Urban Development (HUD) will allow homeowners who are behind on payments on their Federal Housing Administration (FHA)… Read more »
In its battle to tamp down inflation, the Federal Reserve has increased the interest rates banks charge each other, which ripples through other lending markets, including mortgages. Further increases are possible. Are you helpless in the face of these mortgage rate increases? Not necessarily if you maintain a good credit score. Here’s what you can… Read more »
Inflation has risen to levels not seen in the U.S. since the early 1980s. Interest rates are rising, too, and there are clear indications they will keep going. How do these factors affect today’s housing market? Current inflation conditions Home prices soared over the last couple of years. New construction prices skyrocketed when the cost… Read more »
Several types of insurance can come into play if you own a home. One of them is mortgage protection insurance. What does this insurance cover? Should you buy it? Here’s what you need to know. Paying off the mortgage The purpose of mortgage protection insurance (MPI) is to pay off the homeowner’s mortgage should he… Read more »
There’s a lot of misinformation out there about consumer credit. Many commonly accepted notions are simply wrong. Here’s what will build rock-solid credit and what won’t. What counts most The most important thing for building creditworthiness and achieving a good credit score is to pay credit card balances and installment payments on time, every time…. Read more »
If you’re trying to get a mortgage, you may hear the lender refer to a broker price opinion. Is that the same thing as an appraisal, or a comparative market analysis? Not really. Let’s explore the differences in these three ways of valuing a house. Three ways toward valuation A broker price opinion (BPO) is… Read more »
Significant financial misfortune may lead you to do the unthinkable: file for bankruptcy. You may fear that this means the American dream of homeownership is out of reach, but all is not lost. Homeownership after bankruptcy is possible. Types of bankruptcy Federal law allows individuals to file two types of bankruptcy: chapter 7 and chapter… Read more »
When you apply for a mortgage, your lender will have you complete the Uniform Residential Loan Application (URLA). This form, designed by the federal government and used nationwide, can be daunting for first-timers. Being informed helps relieve confusion, so read on. The basis of the form Two government-sponsored agencies, the Federal National Mortgage Association (Fannie… Read more »
When you are shopping for mortgages, you may come across the term “conforming loan.” Is that something different than a conventional loan? Does this matter to you as a borrower? Here’s a quick explanation of conforming loans. Fannie Mae and Freddie Mac Although all conforming loans are conventional loans, not all conventional loans are conforming…. Read more »
Foreclosure was likely the farthest thing from your mind the day you closed on your home. But sometimes, life circumstances intervene and leave you unable to pay your mortgage. Fortunately, there are steps you can take to help avoid foreclosure. Here’s our guide. Don’t avoid, communicate Say you’ve fallen behind on your mortgage payments because… Read more »
Buyers generally must get a mortgage loan to buy a house. Wise buyers include a mortgage loan contingency clause in the sales contract with the seller to protect themselves should they be unable to get a loan. Here’s how mortgage contingency clauses work and how they protect buyers and sellers. The contingency has your back… Read more »
Special financial assistance is available for teachers seeking to buy a first home, refinance a home, or even repair an old home or add energy-saving improvements. This help translates to potentially lower closing costs and fees and a streamlined path to homeownership. National Education Association With membership, the National Education Association, or NEA as it… Read more »
Barns are no longer just spaces for livestock and farm equipment. Today, living in converted barns or brand-new, barn-like homes has become popular. Here’s what you need to know about the growing trend of barndominium living. The rise of the barn living It’s been common for people to convert barns into temporary places to live… Read more »
The loan processor you work with when you apply for a mortgage isn’t the person who decides whether you qualify for a loan. That power lies with the mortgage underwriter. How do underwriters decide whether applicants will get a loan? The mortgage underwriter’s job The underwriter’s job is not to make you dance like a… Read more »
The mortgage approval process can be stressful for anyone, but self-employed people encounter an extra measure of scrutiny. You may have succeeded in pursuing the American dream of owning a business only to find that financing a home is more difficult than if you worked for someone else. Here’s our guide to mortgages for the… Read more »
Most consumers know about identity theft and have adopted safe practices for dealing with their personal information. But did you know thieves can steal the title to your property? Property title theft could happen right under your nose, so stay alert with these tips. What is title theft? Title theft is relatively rare, but when… Read more »
Whether you are self-employed, a freelancer or have a variable income stream, you’ll face special challenges getting a typical mortgage and may need to apply for a bank statement loan. What is a bank statement loan, and how do these loans work? What is a bank statement loan? A bank statement loan is a product… Read more »
The COVID-19 pandemic has touched almost every aspect of our lives. Our personal finances are no exception. If you’ve lost your job or taken a pay cut, you may have trouble keeping up with your bills, which can damage your credit rating. Provisions of The Coronavirus Aid, Relief, and Economic Security (CARES) Act, however, offer… Read more »
Illness, job loss and other problems related to the current coronavirus pandemic have left many homeowners and renters unable to pay their mortgages or monthly rent payments. Fortunately, the federal Coronavirus Aid, Relief, and Economic Security Act (CARES), which took effect in late March, provides some welcome relief to homeowners, renters, and the owners of… Read more »
