100% Mortgage Loans - The need to put 5, 10, or even 20% down on a home no longer exists. Many mortgage professionals have the ability to offer their customers 100% financing in a variety of ways.
Buying a home has become much easier because mortgages with no down payment required have become much more available in the mortgage market.
Lenders have increased the loan amounts they are willing to lend with no down payment. Some lenders have reduced the credit score required. In addition, some lenders are offering interest-only payments to make qualifying easier.
We offer loans with no down payment required up to $1,400,000 with a credit score as low as 620. We also offer loans with no down payment required up to $700,000 with a credit score as low as 580. Full documentation and stated income loans are available.
If you decide to take a single, 100% loan you may have to have Private Mortgage Insurance. This is usually required when a loan amount is greater than 80% of the homes value. Ask your preferred Mortgage Professional if PMI is right for you.
100% financing programs have brought the reality of owning a home to many people who thought they never could be homeowners.
With natural appreciation the property you purchase will grow in value throughout the years. If you are currently renting, your mortgage payments might be a little higher than what your currently pay in rent. This increase can be off-set by the tax advantages you will receive with owning a home.
Lenders are offering 100% Mortgage Loan programs to more borrowers than ever. These programs let buyers get into homes with little or no savings while also letting homeowners use all of their equity too pay off high interest rate debts. These loan programs let more people enjoy the pride of homeownership.
100% Mortgages are available for cash out refinancing. This may be a useful tool if you want to free the maximum amount of equity trapped in your home. Many people take cash out of their equity for home improvement, college tuition, or to start a new business.
Depending on appreciation in your neighborhood, you may be sitting on a mountain of equity.
You may want to check with your loan officer and ask if you may be able to receive better pricing with the 70/30 combo instead of the 80/20. Any of the combo loans will avoid the mortgage insurance.
100% financing is not only available when you are purchasing a home. It is also available through refinancing or a 2nd mortgage on a home you already own.
You can obtain 100% financing by obtaining a 1st and a 2nd mortgage. This is commonly referred to as an 80/20 loan. One of the main reasons for obtaining this type of 100%, zero money down, financing is to eliminate the need to pay mortgage insurance, or PMI. With this type of financing you are still able to obtain nice low interest rates and avoid the costly premiums associated with mortgage insurance.
With 100% financing, you may end up paying a high interest rate. By splitting the loan into an 80% First Mortgage and a 20% Second Mortgage, you may be able to lower your overall or "blended" rate.
Self employed mortgage loans - If you are self employed you are probably aware of the different financing rules that apply for self employed borrowers.
If you are newly self employed and have been in the same line of work for 2 years, most lenders will use your previous employment record to satisfy the 2 year self employment history requirements.
You will probably need a letter from your CPA to verify that you are self-employed. Your CPA is the only person who can verify that you own your own business.
Many lenders ask for a business license that's active and has been active for at least two years. This is proof of self employment for many lenders. In cases where the business does not require a license, the CPA letter may be used.
If you have a very high credit score or a large down payment your mortgage professional may be able to waive the income documentation requirement entirely. You may need credit scores of 720+ or a 25% down payment. Be sure to ask you preferred mortgage professional if you qualify for a income documentation waiver.
In addition to the CPA letter, the following may be used to supplement the verification of self-employment:
Business License, Letter from Bank, Yellow Page Ad, Paid County Business Fees, Secretary of State Web Site, Self employment Insurance Coverage, Customer Reference Letters, or Form 4506T (Request for Transcript of Tax Return)
Because of the trouble documenting income for many self-employed borrowers, a stated income, no doc., no ratio, or bank statement program is used many times for income documentation for a self-employed borrower. Many self-employed borrowers actually make a good amount of money, and enough money to qualify them for the loan, however instead of going through the headaches of trying to document their income with tax returns for the last two years, a current balance sheet, a current profit and loss statement signed and verified by their CPA, and a CPA letter to show proof of being self-employed for the last two years many borrowers will just opt for a reduced documentation loan. Sometimes if your credit score is high enough you are still able to qualify for the best rates and you don't have to take a rate bump for the reduced documentation.
In some cases, bank statements may be used as documentation of self-employment income. Check with your mortgage professional.
In some cases, in lieu of a letter from the Certified Public Accountant, banks accept Articles of Incorporation and professional licenses as proof of self-employment.
Mortgage Loan - A Mortgage Loan has always been described, as probably the largest investment in most peoples lives. No decision that large should be made without the advice of a trained Mortgage Professional. When you decide to finance your Mortgage Loan, get the advice of a Broker or Banker that you trust.
A mortgage loan is a way for people to invest money towards their future. You will always need a place to live, so why not buy a home and obtain a mortgage loan instead of renting. This will help you to build equity in something, provide you with a place to live that is your own, and help to build up your credit. Therefore, obtaining a mortgage loan has many benefits versus renting a home or renting an apartment.
A mortgage loan has become much more than just a loan to finance a borrower's home. In this day and age, a mortgage is a critical part of the average American homeowner's financial picture. It is a part of that family's finances that needs to be managed just as investments, bank accounts, insurance, retirement accounts and other financial elements require management. Many families now have a mortgage professional that works with them on a continual basis in the same way that investment and insurance professionals do.
Mortgage Loans are available to fit various home buyers. The most common mortgage loans come in Fixed Rate, Adjustable Rate, Hybrids, 3/1, 5/1, Interest Only, Balloon Mortgages, etc. A licensed mortgage consultant can help choose the best mortgage loans for various situations.
Mortgage loans are used as a financial tool even if you have the capitol to buy real estate with cash. The benefits of having a mortgage loan would be to free your capitol up for more profitable investment activities.
The biggest mistake people make when taking out a new mortgage loan, is that they borrower too much. Make sure that you are comfortable with your monthly payments. A mortgage professional can help you, but you are the one who is ultimately responsible for making the payments.
Mortgage Loan Programs - A loan program is just a way of saying what type of loan you are applying for. There are loan programs to suit just about every kind of borower. There are programs for poor credit, no credit, great credit, no way to prove income, high debt ratios, etc.
An experienced loan officer will know all of these programs so that they can help get almost any borrower a loan. Not everyone will qualify for a mortgage, and there is no way around that. However, with the wide array of loan programs available, there is a good chance that YOU can get a loan TODAY.
One example of a loan program that has become popular recently is the pay option ARM. Basically, it gives you the option of making four different payments each month:
-Minimum payment (you actually pay less than the interest due for the month, and the difference is added to your loan amount)
-Interest only payment (you only pay the amount of interest that is due for the month)
-30 year amortization (pay the amount that it would take to pay off the loan in 30 years)
-15 year amortization (pay the amount that it would take to pay off the loan in 15 years)
As you can see, this loan program offers a lot of flexibility. However, it is based on an ARM, so the interest rate is always changing. Also, it can be tempting to make the minimum payment every month, but if you do, you'll find yourself owing more on your home then when you started. Many innocent homeowners have been lured into this loan with promises of low rates or payments, only to find that things weren't as they appeared.
There are literally thousands of different mortgage loan programs available out there. To name a few: 3/1 ARM, 5/1 ARM, 7/1 ARM, 10/1 ARM, Pay Option ARM, 30/15 Balloon Mortgage, 30/7 balloon, 30 year fixed rate mortgage, 20 year fixed rate, 15 year fixed rate, 3/1 interest only ARM, 5/1 interest only ARM, etc.... There are also different income verification programs available, such as: stated income stated asset, stated income verified asset, no income no asset, no ratio, no doc., 12 months bank statements, 24 months bank statements, and many many more. This is just a very short list of some of the thousands of mortgage loan programs available. Many times different loan programs are combined also such as: an 80/10 (1st and 2nd mortgage), cash-out, interest only loan with no income documentation. While all this can sometimes be very confusing to a homeowner, a good mortgage broker can find the "right" program that best suits each unique situation of each borrower.
One very important thing to keep in mind about mortgage loan programs is that they are never carved in stone. Changes in market conditions and investment climates cause lenders to have to make changes to their programs and guidelines. Don't make the mistake of thinking that just because a program that you qualify for exists today that it will always be there.
Nearly 80 % of all mortgages today are being negotiated by Mortgage brokers. This is because today there are so many different programs to choose from - the process can indeed become daunting. Let a mortgage professional guide you thru the myriad of choices to find the program that suits your needs.
Mortgage brokers are a good source for unique loan programs. Local and commercial banks usually grant loans only to those who have perfect credit history, sufficient income and with strong assets. In addition to these type of loan programs, most mortgage brokers also have access to niche loan products for home buyers in less than perfect financial situations, such as high debt-to-income ratio, high loan-to-house value ratio, no-income-verification, bad credit, history of bankruptcy and foreclosure, etc. Some brokers also have loan programs for unique homes, such as multi-million dollar home, condo and cooperative units that do not qualify Fannie Mae guidelines, etc.
Refinancing Your Home Mortgage Loan - Refinancing Your Home Mortgage Loan
You’re considering refinancing your home mortgage loan to save money. Interest rates are the lowest they have been in decades. But, you’re asking yourself, “Is refinancing worth my time and effort. Can I really save thousands of dollars on my home mortgage loan?” The answer is yes. There has never been a better time to refinance your home mortgage.
Refinancing your home is a great way to save thousands of dollars over the length of your mortgage loan. You could lower your monthly payments considerably. This will depend upon your current interest rate.
With today’s online mortgage companies, it’s easy for them to give you all the information you need. This can help you to get a lower interest rate, because these mortgage companies are very competitive to earn your business. You don’t have to run all over the place pulling credit reports and talking to multiple lenders. Online mortgage companies can give you quotes from many different lenders.
Before you find a lender to refinance your current mortgage, there are a few key factors to know. It’s a good idea to decide how long you’re going to stay in your home, your current interest rate, credit rating and the value of your home. These are all very important things to consider before you refinance your home.
With interest rates so low, it is a great time to refinance your home. Online mortgage lenders are now more competitive than ever for your business. Even if your credit is not perfect, you can still refinance your home mortgage. Now is the time to take advantage of the lowest interest rates in decades and save yourself thousands of dollars on your home mortgage loan.
Refinancing your home with a lower interest rate can help reduce the term of your current mortgage. Your payments may stay the same, but the length of the loan and interest you save, can make it worth your time. You would have to lower your rate considerably for this to make sense. Good mortgage brokers can give you different ideas on what is best for your situation.
Taking the time to look into refinancing your home can pay off. If your current mortgage payment is $1,890 and refinancing reduces it to $1,790, the difference of $100 can add up. It’s a good idea to plan on staying in your home for at least 2 years for refinancing to make sense. This is because of the fees.
Everyone has a different reason for refinancing their home. One thing that refinancing does is allows you to leverage your home to accomplish your goals right now! It used to be you had to sell your home before you could take advantage of appreciation. However with a refinance you can use that appreciation to accomplish your immediate goals without selling the house.
In days past the main reason anyone would refinance their mortgage loan was to lower the interest rate. More recently, homeowners refinance for a wide variety of financial reasons as the mortgage becomes an intregal part of the homeowners overall financial plan.
