Me asked:


I’ve got a 7.125% fixed rate on a 40 year mortgage through BankofAmerica. Home value is about 125,000. I bought it for 109. The mortgage is for 90. Is there anything better out there that I could actually get?

Reginald

jsoosik58 asked:


I am considering refinancing and I see a mortgage rate of 5.75% and an apr of 6%

Lewis

swtsarina asked:


Countrywide told us that for a 30 year fixed rate for a $417k loan it would be 6% because we work for the government and any mortgage company will offer the same exact rate because it is the “government rate”. Is this correct? I never heard of such a thing.

Ray

NickG asked:


The Fed has announced they may cut interest rates in the middle of March. I am currently working on getting a mortgage for a property I will close in mid-April. Should I wait to lock the rate until after the Fed announces the cut?

Brenda

Kiwi asked:


I just read that foreclosures are up 78% in my state, and a lot of them were because people could not afford to pay on their skyrocketing adjustable rate mortgage. I have never bought a home before, but I would like to know why anyone would choose such a mortgage. Are fixed rate mortgages so much harder to obtain?

Christine

Murat Demir asked:


You’ve been planning of mortgaging your home yet you re not so sure if you can afford the high interest that most mortgages yield now a days and you have no idea how to come up with a computation that will give you a clear idea of whether or not you can afford it or not. There are many things involved in computing your home mortgage financing; it involves interest rates, taxes, principal amount, length or years of payment and many more.

With a home mortgage calculator the process is simplified and anyone can walk away with a clear understanding of their financial capabilities and be armed with a well informed decision in making the necessary steps of completing a mortgage application. Whether you are just shopping for the best deal and comparing the best rates in the market, this simple tool will help make the task easier and more convenient.

You don’t even have to buy one for your personal use; there are many home mortgage calculators online which you can use absolutely free. You can even look for the best one or the most easy to use, the choices are somehow many and competitive and all have their own advantage and disadvantages. For a most unbiased opinion of your financial standing, look for something that are not connected to any financing companies or bank or institution but are independent and it’s only purpose is to help you with your computation.

If you think that you will have a hard time figuring your way around this gadget, worry no more. This simple tool is effective yet very friendly to users and most comes with a step by step guide on how to make use of it. You will not be intimidated, all that is needed is that you fill up the information needed and with a few more mouse click the calculator will give you a basic knowledge of the rates, savings and others that you need to know in taking a home mortgage.

It will not even take a lot of your time and most will have a basic explanation of the outcome of your findings. This will give you a basic idea of your capabilities on whether or not you can afford a home mortgage and what are the best rates that you can go with. You are now armed with this very useful information and when you take the next step, you can haggle and negotiate your way with the bank or financing institutions.

A home mortgage calculator is also advisable for those who do not want to meet with some representatives or agents yet. You need not have to subject yourself with unending intrusions of banks or other financing representatives to convince you that they have the best rates for your home mortgage needs. This gadget will enable you to research and do the work on your own and maintain your information private, until you’ve decided to apply. So go ahead and find out the best deal for your own home mortgage needs.



Ruben

Alan Lim asked:


Here’s a quick guide on choosing the best home mortgage refinance deal!

Questions to be asked

As a borrower, there are chances you maybe taken advantage of by unscrupulous lenders. To avoid this you need to ask a few basic questions first and even do a comparison check:

• What is the type of mortgage being offered? Find out if the interest rate is fixed, adjustable, FHA or conventional.

• What is the minimum deposit or down payment needed on the home mortgage refinance? Knowing this will help you plan finances better.

• What is the duration or length of the loan? This will affect the monthly payment on the mortgage.

• What is the Annual Percentage Rate? This is quite a competitive differentiator these days and can help you select the best lending home mortgage refinance company.

• What will be the monthly payment? This will be important in terms of planning your budget and finances etc.

• What are the various applicable fees? There are several kinds of fees being charged by lenders these days and each lender has their own name for it. Some examples of home mortgage refinance fees include:

o application fee also known as loan processing fee

o Lender fee or funding fee

o Appraisal fee

o Attorney fee

o Document preparation and recording fee

o Credit report fee

o Origination or underwriting fee etc.

• What will be the closing fees? There maybe chances that you wish to close or settle your home mortgage refinance. In such cases you need to know applicable fees at the time, so it doesn’t shock you then. Some of the closure fees include:

o State and local taxes

o Flood determination

o Surveys and home inspection fees

o Prepaid amounts towards interest, hazard insurance, taxes, etc.

o Prepaid private mortgage insurance or PMI

• Is there any prepayment penalty involved?

• Is the agreement for lock-in provided in writing by the home mortgage refinance lender?

Interest rates applicable

It also helps to get a free, no obligation quote from your home mortgage refinance lender. Also check with them if the rate quoted is the lowest for that day or the whole week. Check if the interest rate is fixed or adjustable in nature. In case it is the adjustable variety, find out from the lender how the payments will differ. Also be sure to check on the points. These are fees paid to the lender and are strongly linked to the current interest rate. The more points paid, lower the interest.

Negotiate

Once you have zeroed in on a specific home mortgage refinance lender, you need to try and negotiate the terms of the contract. Ask your home mortgage refinance lender to write down all associated costs and fees and then start negotiating on some of the fees.



Thelma

Alan Lim asked:


What is refinancing and what types are there?

Refinancing is simply the process of getting a new home mortgage to replace your existing one. There are various loan terms available for you to choose from. The most common ones are the 5, 10, 15, 20, 25, 30 or even way up to 40 to 50 years.

Is it financially safe to get a new home mortgage?

Refinancing can most likely lower your current interested rate to an adjustable or fixed mortgage. That said, refinancing may well be the solution to your financial problems. Refinancing also allows you the chance to change from your current adjustable rate to a fixed rate and vice versa. It can also allow you to take some cash out from your equity, lower your interest rates and your overall monthly mortgage payment. These benefits can be enjoyed only with refinancing, but at the expense usually of longer, renewed mortgage terms.

How much do I pay for refinancing?

Getting a new home mortgage may cost you some fees and charges which may include application fees, appraisal and legal fees, closing and other related charges. There are lenders who offer low cost, or even “no cost” refinancing at the cost of higher interest rates, or deductible from the lump sum mortgage to be issued. It is not really “free” per se, but you do not pay up front for the mortgage.

Is it a good idea for me to refinance?

It may or may not be a good idea to refinance. The answer to this depends on individual circumstances and your financial goals. Refinancing may be a good idea if you want to lessen your monthly payment or reduce your interest rates. However, you should consider other factors as well such as your length of stay in your home, the points you are willing to pay, your home equity, and so on.

Is it necessary that I pay points to get lower interest rates?

The choice of whether to buy points is also entirely up to you, depending on what you want to achieve. Points are usually tax deductible in small increments. You can use this to your advantage as well.

How long will it take me to get a new home mortgage?

Refinancing usually takes about two weeks to a month depending on a few factors. If you had a fairly recent home appraisal, or if you can get appraisal service easily, you can refinance as soon as just a little over a week. During refinancing peak seasons, it might be difficult to get an appraisal, and you will experience delays in refinancing.

How do I shop for a great new home mortgage deal?

Try to get in touch with at least three lenders and check on each of their loan terms, programs and rates. You can do your canvassing online or through phone.

Can I still refinance even if my credit rating is not so good?

Yes, by all means, do so. The loan terms you will be given may not be as attractive as when you have a good rating, but it relatively can match it well.



Maria

Alan Lim asked:


Home mortgage refinancing can be a sound financial move for any homebuyer, most especially if the interest rates are ideal. You can save a lot on your monthly payment, and you can swiftly ease your way back to regain financial control.

Factors to Consider Before Refinancing

When you refinance, it is just as important to consider other factors related to your mortgage. You do not only look into the interest rate, but make sure you consider the following as well:

? The amount you still owe. The amount you can refinance is determined by the amount you have paid for your mortgage and how much you still owe.

? The length of time you have been paying for your existing mortgage. If you have paid 15 years out of a 20 year mortgage term, refinancing will cause you to extend your payment once again.

? Your credit rating. If your credit score is great, then you will most likely have no problems with home mortgage refinancing approval. On the other hand, those with low credit rating will not only face difficulties with approval, but may be faced with higher interest rates or charges as well.

? How long you intend to stay in your home. If you intend to sell your house in a year or two, then you will most likely not benefit if you refinance. But if you will live for longer than ten years, refinancing can help you pay off your home sooner with some monthly savings on top.

? How much bills you pay for each month. If you are having trouble making ends meet or having problems paying of credit card bills and unsecured loans, refinancing can be a good solution to start with a clean slate by consolidating. Refinancing can help you save on monthly payments and get you started in saving for the future.

Tips to Ensure Financial Success with Refinancing

After you have carefully thought of the factors stated above, make up your mind as to whether refinancing is definitely a good financial decision for you. If you believe so, here are some tips to help you ensure success with home mortgage refinancing:

? To make home mortgage refinancing more worthwhile, make sure that the interest rate is significantly lowered, say at least 2 or 3% lower than your original mortgage. Consider the points as well. Lenders usually charge more points with lower interest rates, so make sure you weigh accordingly.

? Compare the total costs you need to pay off with your existing mortgage, with the some total you will be required to pay when you refinance. You can use a loan calculator available online to help you. Make sure you consider fees and charges you incur when you take on a new mortgage.

? Shop for a good lender. Be wary about fraud lenders, as they have become rampant in the recent years. Research about the lender’s services, ask for recommendations and talk to some of their old clients. Also, ask them for a list of charges that they will impose to you at closing.

Home mortgage refinancing may offer you the best chance you have to get your finances straight, but it can only be so if you do it right.



Edwin

Apurva Shree asked:


Debt consolidation home mortgage loan is fast becoming one of the most popular solutions sought by people who are burdened with high interest paying debt. Most Americans are struggling to meet day-to-day expenses and are trying to pay off their outstanding dues. Credit card bills, car loan payments, mortgage payments, electricity bills and other payments that have to be made can make life very tough.

One of the best things to do when you are caught in the debt trap is to seek guidance from professionals who are experienced. These counselors will analyze your financial situation and suggest the options available to you. If you are a homeowner, you have the option of securing a debt consolidation home mortgage loan.

Benefits Of Debt Consolidation Loan

When you opt to consolidate debts you can lower your debt by as much as 25%-50% and get a loan with affordable monthly payouts and a lower interest rate. As you will be using your home as collateral you will find that it is possible to get a loan despite bad credit history.

Homeowners have the option of choosing a mortgage refinance or to secure a home equity loan or a second mortgage on their home. When they opt for a mortgage refinance they work out an entirely new loan with lower interest rates and tenures ranging from 5 to15 years. The repayment is easy with the new terms and they can forget about having to deal with their creditors.

The other type of debt consolidation home mortgage loan that can be obtained is a second mortgage secured against the equity of the home. This is for those homeowners who have more equity than debt. This option lets them consolidate debts which means that they now have to make only one monthly payout instead of many payments at varying interest rates. This loan is a secured loan enabling them to negotiate the terms and rates with their creditors. The only risk is that defaulting on payments can result in a foreclosure proceeding. If the homes equity is not much it is not recommended to secure a second mortgage as it can only aggravate the situation.

Another option is to avail a HELOC. The home equity line of credit is like a credit card. You can borrow up to a certain amount of money withdrawing it as and when it is required. This can help you pay off the debts and you need to pay interest only on the amount you have withdrawn. These are some of the types of debt consolidation home mortgage loan that you can avail of.



Courtney