Tuesday May 23, 2017

Mortgage Library

First time home buyers can be overwhelmend with the buying process without the help of a professional

First Time Home Buyer

When you’re in the market for a new home, you can be overwhelmed by the process. This is especially so if you’re a first time home buyer.

You may not know what to do, where to go and who talk to so that the entire experience is a success. The goal here is to empower you with the necessary information and resources that will give you the financial help and confidence you need to make the dream of buying and owning your first home a reality.

First Time Home Buyer Programs

Down Payment and Closing Costs Help

The most challenging issue facing first time home buyers is getting enough money together for a down payment and closing costs.

First time home buyers, as you may already understand, means someone who has never owned a home before and are currently renting a place to live. How are you able to pay your rent and save money for a down payment concurrently?

For the majority of people, this is nearly impossible. This is when first time home buyer programs come in handy.

Learn about how much house you can afford in today's markets

How Much House Can I Afford?

Before you start looking at homes, you'll need to have some estimate of how much you can truly afford to spend each month on your new home.

It can save you a lot time and heartache by making sure you are looking in the correct price range to start with. (Calculators).

Some costs and fees go to third parties, some are state and local government fees that must be covered and some go to your lender.

Closing Costs Breakdown

With a long list of charges at settlement, it's important to know what the closing costs on a house are before you start to buy.

How much are closing costs?

The quick answer is 1.5% - 4% of the purchase price of the house. The biggest determining factor as to whether you get to pay the 1.5% or closer to the 4% is your credit and your knowledge of the loan process.

First Time Home Buyer Grants: Free

How would you like free money to put down as a down payment or handle closing costs for the acquisition of your first home? If you’ve answered yes, then you’ll be glad to know that you can get this money.

There are all kinds of free money to help the first-time home buyer pay for a down payment or closing costs.

Yield Spread Premium

What is the yield spread premium and how does it cost me moneyThe Yield Spread Premium is a payment by the lender to your mortgage broker for having the consumer agree to a higher interest rate then what is known as par.

Par is the interest rate provided by the lender to the mortgage broker for zero cost.  Meaning the broker will receive no additional (hidden) payment from the lender for the interest rate being offered to you.

Refinance Benefits and Concerns

Essentially, you have to determine: Is the cost and time it takes to refinance my home mortgage going to be worth it for the total sum of money I will save? One thing is for sure, if you have the right situation you can definitely benefit from refinancing your home mortgage loan.

The optimal way to figure out whether you are in that desired position is by speaking to lenders and begin comparing interest rates.

First Time Home Buyer Loans

What Prospective Homeowners Need When Other Financial Options Fail

It’s of no surprise that the lending industry has tightened the standards that led to the mortgage meltdown of the last several years. Today, first time home buyer loans are trickier to obtain.

However, there’s help for any first time home buyer who wants to get their first mortgage.

Private Mortgage Insurance

What is PMI?

PMI is insurance lenders require from most home buyers who need loans which are more than 80 percent of their new homes value.