The program that we are talking about is the 75 billion dollar “Making Home Affordable Program” that was put in place by the Obama administration. It applies only to mortgages that are held by the mortgage holders that were taken over by the government. These are Freddie Mac and Fannie Ma...
Type of lender.Many different financial institutions provide mortgages. For example, you can choose amajor bank, which can be a quick and convenient option. However, if you have a relationship with a community bank or credit union, you may receive personalized service and be more likely to ge...
How much debt is too much when you're buying a house will depend on your income and other assets. It will also depend on other financial factors like the amount of debt you have. For qualifying mortgages, your debt-to-income (DTI) ratio should be no more than 43%. Should I Pay Off...
My answer is always the same: to go out andget pre-approved for a mortgage. A pre-approval is a crucial step in the mortgage application process. Preparing to get a mortgage, however, is something that many buyers don’t often think about. Taking out a mortgage loan is one of the mos...
Adjustable-rate mortgages (ARMs) generally have a very attractive introductory rate. But after a specified time, the rate can change according to the terms of the loan. In the examples above, the rate will stay fixed for 10, seven, or five years, after which it will adjust every six mont...
Reverse Mortgages: What They Are, How to Get OneSince I put my phone number in the paper, readers have been calling instead of writing. That's great, although it makes it hard to quote your questions word for word. So, I'll get as close as I can.Gallagher, Jim...
Downs says that conventional 30-year fixed mortgages are the predominant loans most buyers choose. “With good credit, they offer exceptional interest rates and lower payments,” he says. There are also FHA and VA loans to consider. “Credit-challenged borrowers may opt for an FHA loan, which...
How mortgages are approved To get a clearer view of the mortgage process, it’s helpful to know some of the factors that will be considered when your mortgage application is reviewed. When you apply for a mortgage, your lending specialist will forward your application and the supporting ...
A popular rule of thumb for lenders is to avoid mortgages that will require a payment of more than 28 percent of your gross monthly income. Your overall DTI should remain below 36 percent. So, if you make $5,000 per month, you’ll want a mortgage payment of no more than $1,400 (...
Many self-employed workers, like Horton, struggle to get approved for mortgages. The reasons are numerous, but mainly boil down to this: Many self-employed workers don't have a traditional salary, and so must often work harder to prove their earnings. With that in mind, here are a few ...