CEO Lender-Tips and Tricks

What is PMI? Breaking it down Like many terms in the real estate industry, it can be hard to really get a handle on what a term like "PMI" means, but we’re breaking down the facts behind PMI once and for all. Read on to see what it actually means, how it works, and why it may have gotten a bad rap. So, what exactly is PMI? “PMI” stands for Private Mortgage Insurance. These days, it’s common for lenders to require it in order to be approved for a mortgage if you plan on putting less than 20% down on the home. Since buyers who make lower down payments have less automatic equity in the home, they’re considered a bigger risk. Therefore, banks require these buyers to take out a mortgage insurance policy for their protection. These policies shield the bank against loss in the event that the buyer stops making mortgage payments. And, if the buyer defaults on the loan, they have the ability to recoup their investment through the policy. It’s important to note, howeve...

ALL IN ONE SOLUTION Does the thought of a 30 year mortgage pain you? Looking to pay off your mortgage faster? Are you saving cash for a rainy day (while carrying balances on your credit cards)? Wouldn't it be nice to have constant access to your home's equity (at current market value) for emergencies or strategic investments/purchases? Do you have positive cash flow monthly? If the answers are all YES-we've got the BEST mortgage product on the market! What is 'All-In-One Mortgage' An all-in-one mortgage is a loan that allows depositors to reduce the amount of interest paid on their mortgage while granting access to any equity that has built up in the property. BREAKING DOWN 'All-In-One Mortgage' The all-in-one mortgage works much like an offset mortgage or home equity line of credit (HELOC). Any deposits made into the savings portion are applied towards paying down the mortgage while still remaining accessible for withdrawal. This type of mort...

On the fence about buying now vs waiting a bit? Here is a helpful analysis we put together so you can see what it costs you to wait! If you need specific advice or guidance (or would like custom numbers), we'd be happy to help.

In 2018 only 8% of real estate sales were FSBO's! Ever wonder why? Well...according to research these are the most difficult tasks for sellers: Getting the price right Understanding the paperwork Selling within the planned amount of time Having enough time to devote to the aspects of the sale Use a Realtor! 

Why you should go for the RD/USDA loan if you qualify!  There are many mortgage options available but among the absolute best is the USDA/RD zero down mortgage! Why is it so great? Let me count the ways! Zero down payment Very low mortgage insurance (among the lowest) Can roll in closing costs if property appraises for higher than purchase price But is it right for YOU? It may be! There are rules to qualify for this mortgage option! There are a few key areas that your loan originator will fully examine. A few key factors will be: The location of the property  Total household income  Credit profile Interest in finding out if you qualify for the Zero Down USDA/RD mortgage? Call/Text/Email us for more info! We'll do a free 10 minute preapproval for you!  Already qualified with another lender? Let us give you a quote for side by side comparison of costs/fees! (*bet we beat em*)

Costs Before Closing There are some items that are required prior to closing. These are the most common items that are paid for before closing and a rough idea of what they cost: Earnest Money Deposit -your realtor will request this as an enticement for the seller to accept your offer and take the home off the market. Good news-this is considered part of your down payment and will lower you overall cash due at the closing table TYPICALLY $500+ Home Inspection -again, your realtor will give a recommendation for a good local inspector if you need one. A home inspection is NOT required, but is recommended (would you buy a used car without taking it to the mechanic first?) TYPICALLY $300+ Appraisal -this 40+ page report is required to determine the value of the home. Good news-this is considered part of the closing costs and after it is paid for will lower your overall cash due at the closing table TYPICALLY $500+ HomeBuyer Education -depending on the type of loan you are ge...

THE TYPE OF MORTGAGE MATTERS!!!  STUDENT LOANS AND LOAN TYPES: FHA Regardless of the payment status, we must use the greater of these two options: 1% of the outstanding balance OR the monthly payment on the credit report  OR  The actual document payment (provided it will fully amortize the loan over the term) Freddie Mac (Conventional):  Loan in Repayment-Use the GREATER of either the monthly payment on the credit report OR  1/2% of the outstanding loan balance Loan in Deferment or Forbearance-Use the GREATER of either the monthly payment on the credit report OR  1% of the outstanding loan balance Loans someone else is paying-Document someone else has been paying the monthly obligation for the last 12 months and then the debt can be omitted from your monthly liabilities Fannie Mae (Conventional):  IF a payment amount is provided on the credit report, that amount can be used. If the payment is ZERO or not identified on ...