Freddie Mac and Fannie Mae were founded by the federal government to spur homeownership and now buy about half of all mortgages in America. As a result, they essentially set the rules from the very beginning of the mortgage-approval process. They require lenders to use a particular credit scor...
How A Loan Officer Can Get A Realtor To Give You...Ryan Stewman
An understanding of the mortgage lending industry and its regulatory framework is also essential. Knowledge of loan types, interest rates, underwriting guidelines, and compliance requirements enables mortgage loan processors to make informed decisions and effectively navigate the loan process. While technical...
How much does mortgage insurance cost? Can mortgage insurance be avoided or terminated? Mortgage Insurance Defined Mortgage insurance is a financial product that protects the mortgage lender if the borrower defaults on the loan. This allows lenders to take on riskier loans, including loans in which...
What is PMI, and how much does it cost? PMI example: $450,000 mortgage Principle and interest (6% rate) $2,698/mo PMI (1%) $375/mo Total payment $3,073/mo PMI protects the lender (not you) if you stop making payments on the mortgage. The most common way to pay PMI is throu...
According to Herndon Davis, mortgage loan officer and real estate agent at Mortgage Real Estate Services, most startups are self-funded. However, there are other options. “Additional funding can come through establishing business credit and different lines of credit through piggybacking scenarios,”...
Figuring out a budget and your credit score will help you decide what type of mortgage is best for your financial situation. We’ll get to that next. Learn more:How much house can I afford? Step 2: Know your mortgage options There are many types of mortgages, but some of the most com...
Mortgage Process When obtaining a mortgage, you will go through the following four distinct stages. Step 1: Get Ready to Shop Before you shop for a home, you might need to determine the price range you can afford by checking how much money you have available for a down payment and how ...
How much each point lowers the rate varies among lenders, however. The rate-reducing power also depends on the type of mortgage loan and the overall interest rate environment. When you explore buying points, ask your loan officer for specifics. ...
Because homebuyers face substantial expenses when securing a mortgage, they must understand how mortgage lenders get paid and make money. When a homebuyer educates themselves on the process, they are more likely to save thousands of dollars on their mortgage and feel more secure about the purchase...