Understanding Loans


11 Results Found

  • Understanding Real Estate Closing Costs

    Closing costs can add thousands of dollars to the cost of a home, so it's essential to know what to expect. RESPA stands for Real Estate Settlement Procedures Act, which requires lenders to disclose information to potential customers throughout the mortgage process. Lending institutions must fully inform borrowers about all closing costs, lender servicing and escrow account practices, and business relationships between closing service providers and other parties to the transaction. For more information on RESPA, visit the U.S. Dept. of Housing and Urban Development's Web site and search on the term "RESPA."

  • Banks say no more short sales

    Any real estate agent is now familiar with the concept of a short sale and many upside down home owners have been explained the process by these agents after their rise in popularity during the recent real estate bust. What is a short sale? It is designed to allow borrowers with mortgages higher than the value of their house to sell their home for a reduced or "short" amount.

  • Ever have an FHA mortgage? Are you owed money?

    Have you had or do you know someone that once had a Federal Housing Administration (FHA) mortgage? The government may owe you money. FHA loans are more common than you think, due restricted bank lending they have become a very popular option many buyers.

  • Property Conditions for FHA Mortgage Approval

    Property conditions for FHA mortgage approval are an important part of the mortgage transaction. FHA property guidelines are put in place as a form of protection to all parties who have an interest in the transaction. FHA ‘s minimum property standards are designed to include the safety, security and soundness of the home. In other words, the home must protect the safety and health of all those that occupy it and cannot have any deficiencies or conditions that affect the sturdiness of the structure.

  • New Obama Loan Allows Owners "Underwater" to Refinance their Mortgage

    Touted by the Obama administration as the most aggressive plan to help property owners that have made on time payment, not facing foreclosure or a job loss but are unable to refinance due to the amount they owe versus their homes property value.

  • A Large Down Payment or Not?

    With the real estate market resetting back to a realistic valuation and more uncertainty in the financial markets, does it make sense to pay down on your real estate?

  • Pay Down Home or Not?

    If you are paying a 30 year mortgage at 6% Interest rate, your tax equivalent borrowing rate is 4.8% (20% tax rate assumption), 4.2% (30% tax rate). Interest Rate X (1-Your Tax Rate) eg. 5% X (1-.30) = 3.5% Effective Borrowing Costs

  • Understanding Short Sales

    A short sale, while implying that the amount of time between submitting a purchase agreement and the final sale of the property will be quick, is actually anything but. A short sale is the sale of real estate property where the proceeds of the sale are less than the amount the seller owes on the property loan.