Showing posts from 2014

The “VA to VA Refinance” : 7 Things You Should Know

One of the most popular types of VA loans is called the “VA to VA refinance” or “VA streamline refinance.”  For many current homeowners, this type of refinance solution offers tremendous benefits over other options. Listed below are seven quick things that every informed consumer should know when refinancing their home. So, keep reading if you want to learn more about making the most of your mortgage. Want to get started with the IRRRL process right now? Call us at 855-971-0999 to speak personally with a Majestic Home Loan licensed loan officer, or click here to contact us online! We’re happy to answer any questions you may have. 7 VA to VA Refinance Tips Here are 7 tips designed to guide you through the VA to VA Refinance, or VA IRRRL process: What do they call it?VA to VA refinance goes by a lot of names.  Some of the most common alternatives are “VA Streamline Refinance” and “VA IRRRL”, which stands for “U.S. Department of Veterans Affairs Interest Rate Reduction Refinance Loan”. D…
Cash-out Refinancing: Everything you need to know
What it is and when to use it?If you have a significant amount of equity built up in your home and would like to convert that equity into actual money you can use, a cash out refinance From Majestic Home Loan may make sense for you. Here are some of the key things you should know. What is a cash out refinance?A cash out refinance is when you take out a new home loan for more money than what you owe on your current loan and receive the difference in cash. For example, if your home is worth $300,000 and you owe $200,000, you have $100,000 in equity. With cash out refinancing, you could receive a portion of this equity in cash. If you wanted to take out $40,000 in cash, this amount would be added to the principal of your new home loan. In this example, the principal on your new mortgage after the cash out refinance would be $240,000. When is a cash out refinance a good option?A cash out refinance makes sense in a number of situations: When yo…
How to Remove your FHA Mortgage Insurance
One of the most common questions asked by FHA borrowers is how and/or when can they remove their monthly mortgage insurance. Mortgage Insurance serves a very good purpose. It allows potential home buyers with only 3.5% down payment to buy a home. To truly avoid mortgage insurance a down payment of 20% would have been needed, which can take a long time to save. But for those who did use FHA financing to purchase their home what happens when property values increase to the point that their loan is less than 80% of the new appraised value? Can’t they ask their lender to drop the mortgage insurance? No. Not exactly. But there are solutions that may make sense and are worth looking into, and Majestic Home Loan can help. Short History on FHA Mortgage Insurance Rates Not too long ago FHA mortgage insurance wasn’t too expensive. Prior to October 4, 2010 the standard rate used was .55% of the loan amount. This meant that on a $300,000 FHA loan the month…
What to Know When Applying for a Mortgage Loan as a Couple
If you and your partner plan to split the mortgage payment, and if both names will appear on the mortgage deed, it only makes sense for both of your names to appear on the mortgage loan. Although it’s customary for couples — either married or living together — to apply for a mortgage loan together, they may run into a few obstacles along the road to homeownership. For that matter, here are three things to know when applying for a home loan as a couple. 1. Understand the way the mortgage industry handles different credit scores If you’re applying for a mortgage loan with Majestic Home Loan as a couple, we will check both of your credit reports and credit scores.  The process includes reviews of your debt, the length of your credit history and current credit activity. Paying bills late and too much debt can negatively impact a mortgage approval, plus influence the mortgage rate. However, some couples believe that they’ll receive …
Tips for Underwater Borrowers Looking to Refinance
Underwater on your mortgage and still haven’t refinanced? Here are some lender tips from Majestic Home Loan on refinancing through HARP, a government-backed program to help underwater homeowners lower their monthly payments or lock down a low, fixed-rate mortgage Do you owe way more on your home than it’s worth? You can still refinance through HARP (the Home Affordable Refinance Program) no matter how underwater you are.Moved out and rented your home? Is it a second home, a condo or an investment property that’s underwater? You can still use HARP. You can easily check your initial eligibility yourself — it takes just a few minutes online. First, you need to know that your loan is owned by either Freddie Mac or Fannie Mae: Freddie Mac Loan Lookup ToolFannie Mae Loan Lookup ToolSecond, you need to be able to answer yes to these three questions: Are you current on your mortgage payments? (No 30-day+ late payments in the past six months, and n…
Tips for a frugal 4th of July
The Fourth of July is just around the corner. Many Americans celebrate by buying fireworks and sparklers. Others host elaborate BBQ feasts with prime cuts of meat, and cases of beer and wine.
If your family is on a budget, know that there are plenty of ways to celebrate America's independence cheaply. Here are nine frugal Fourth of July ideas from Majestic Home Loan that are sure to help your day be a hit: 
1. Host a potluck. Ask each guest to bring a different dish. Everyone will spend around the same amount of money, but each person gets to enjoy a wide array of goodies.
2. Search online for free fireworks. Many cities list the best public spots (such as parks or hillsides) where you can watch fireworks on the Fourth. Find the closest location, and arrive early to secure free parking.
3. Talk to the butcher. Ask your butcher (or deli counter clerk) about any unadvertised specials. Certain cuts or packages of meat might be less expensive, but are just a…
What Kind of Payment Plan Should You Choose? Are you worried about the interest you are paying for your home loan? Do you want to save some money? Well, I don’t think I will hear anyone saying no to that. Did you know that there's a way to reduce down the overall interest amount? We at Majestic Home Loan want to introduce you to biweekly payment plan.
Biweekly payment plan? Is it what I think it is? Yes. As the name states, you will be paying your mortgage payment once every two weeks instead of once a month. You will be paying half of your monthly payment every two weeks. In typical monthly payment plan, you will be paying 12 monthly payments per year, but in biweekly payment plan, you will be end up paying total 13 monthly payments per year (52 weeks per year, and a half payment per 2 weeks, then it's 26 half payments, resulting in 13 full payments per year). This may sound very unattractive because  you are spending one extra payment each year. But remember, when you make a pa…
Home Appraisal Tips for Refinancing
With how the current real estate market is, many current home owners are looking to refinance to take advantage of the current mortgage rates.  The refinance process can be overwhelming for those who are unsure about what goes along with it.  In order to refinance, an appraisal needs to be done on the home to assess its current value. Let Majestic Home Loan help you with some quick tips on what to expect from this process. One of the top reasons that mortgage or refinance applications are rejected is due to the home appraisal.  When a home owner is looking to refinance their current mortgage loan, they are required by lenders to get a verification of the value of the home.  In worst case scenarios, if the appraised worth is lower than the expected value of the home, banks may charge higher interest rates, require mortgage insurance, or deny the loan altogether. Appraisal values are determined based on a variety of factors, including: The current age …
Energy Saving Tips for HomeownersSummer is finally upon us. Almost everyone looks forward to the summer, at least until we open our utility bills. When the humidity and thermometer rise in warm coastal states such as Florida, Alabama and South Carolina, air conditioners work overtime and utility bills often skyrocket. Unless you live in the Yukon Territory, you have probably noticed the temperature is rising. Rising temperatures impact utility bills. Today’s average homeowner spends almost $2,000 per year to cool and heat his or her home. Of course, in the warmer Atlantic and Gulf Coast regions, homeowners allocate most of their utility expenditures toward cooling their home. You will reduce your energy costs significantly if you follow a few tips in this list curated by Majestic Home Loan:
When you leave home, set your thermostat to 82 degrees. If you are gone for an extended length of time, do not turn off your air. This can lead to mold growth in humid coastal regions.Set your hot wat…
3 Ways to Pay Down Your Mortgage More QuicklyDon’t like the idea of paying down your mortgage over the span of 30 years? Nothing can trigger that sinking feeling in the pit of your stomach faster than looking at your mortgage statement and seeing those dreaded lines: “360 payments” and “Payoff Date: 2044.” The notion of taking out a loan in your 20′s or 30′s and finishing the payoff in your 50′s or 60′s can be daunting. But you don’t need to adhere to a 30-year schedule. Here are seven ways you can accelerate your repayment clock, courtesy of Majestic Home Loan. #1: Refinance Into a 15-Year or 20-Year LoanAlthough a 30-year mortgage is considered the “normal default,” most financial institutions offer the option of taking out a 15-year or 20-year loan as an alternative. These loans are amortized on an accelerated schedule, which means that your payments will increasingly be applied to principal reduction, rather than interest. Contrary to popular misconception, a 15-year loan isn’t double…
Looking to refinance? Now may be the best time
For years, millions of Americans have been prevented from undertaking a mortgage refinance because their home loans were "under water," "upside down" and in "negative equity." Those three terms all mean the same thing: the value of the home on which a loan is secured is lower than the amount owed on that loan.

Refinancing now possible for millions more
However, as house prices rapidly rise, that situation is changing quickly. Reports have  revealed that the number of "underwater" loans plummeted by 41 percent during the 12 months ending March 2013. That means that literally millions of homeowners can now, for the first time in years, once again seek out the best home refinance deals.And, if current house-price trends continue, millions more should soon be following them. On May 7, CoreLogic, a company that tracks and analyzes the residential property market, announced the latest figures for its monthly…
Refinancing your Home: A Beginner's Guide
Refinancing your home can be a great financial move in the right scenario. Unfortunately, too many homeowners don’t understanding how refinancing works, so they never find out how to use this option effectively. Don’t make this same mistake. Take one minute and read through this beginner’s guide from Majestic Home Loan to refinancing your home. What Does Refinancing Mean? Refinancing your home means swapping your current home loan for another one with different terms. It’s called refinancing because it changes the current financing of your property. Essentially, the bank providing your new loan will pay off the original mortgage and set up a new one for you based on the changes you want. The ability to refinance gives you the change to change and update your loan terms when you see a good opportunity. How Do I Refinance? The refinancing process isn't complicated. Contact Majestic Home Loan and let us know that you are interested in refin…