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Showing posts from February, 2017
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10 Tips to a Great Mortgage in 2017

Okay so we’re well into the New Year and we know you’re already wondering how to get a great mortgage in 2017, right? Well, maybe not. If you’re like most you have other New Years’ Resolutions you’re still working on and a mortgage really isn’t on the front burner…that is unless you’re getting ready to start shopping for a home. Here are some tips to make sure you get the best deal you can.
Know Where You Stand. Before you get too much further into the process take a full measure of where you are today. Get a copy of your credit report and look for any errors. Gather up your bank statements to see how much cash you have available for a down payment, closing costs and cash reserves.
Gather Your Data. Start digging out your two most recent W2 forms from all employers and if you’re self-employed your two most recent federal income tax returns. If you haven’t yet filed your taxes for 2016 it’s time to think about submitting. Lenders will want your two mos…
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WHAT IS A CASH OUT REFINANCE?
A cash out refinance is a transaction where the borrowers take out equity in the form of cash while refinancing an existing mortgage. Homeowners who financed their homes have the opportunity to refinance an existing mortgage for a variety of reasons and it’s not only because interest rates are lower than the one they currently have but for most, that is the primary driver. There is no reason to not refinance to a lower rate should a lower rate become available and the process of refinancing is very much like taking out the original loan.
Say that a borrower has an interest rate of 5.00% on a 30 year note and rates have fallen to 4.00%. By refinancing to the lower rate, the borrower saves on interest. Or, the borrower could elect to change from a 30 year note to a shorter term loan. Doing so saves on long term interest and the loan is paid down at a quicker pace. And refinancing from an adjustable rate loan or a hybrid is also a good option for many borrow…