A conventional loan is a type of mortgage that is not guaranteed or insured by any government agency, such as the Federal Housing Administration (FHA), the Veterans Administration (VA), or the United States Department of Agriculture (USDA). Instead, conventional loans are issued by private lenders, such as banks, mortgage companies or credit unions, and are […]
The decision to buy a home is often a significant step in a person’s life. One of the essential components of this process is the down payment, which represents an upfront payment of a portion of the home’s purchase price. This article breaks down what a down payment is, why it’s essential, and the various […]
Buying a home for the first time can be both exciting and challenging. The process might seem like a huge undertaking with many moving parts: finding the right home, negotiating the purchase price, getting financing, inspections, appraisals, closing. Is it hard to buy a First Home? The difficulty experienced by a first-time homebuyer can vary […]
Closing costs are the fees and expenses you need to pay when finalizing a mortgage loan. These costs are separate from your down payment and are typically paid at the time of closing, when the property ownership is transferred to you. Common Mortgage Lender and Title Company Closing Costs Here are some common mortgage lender […]
The mortgage loan process involves several steps, including pre-qualification, application, underwriting, and closing. Here’s a brief overview of each step: Pre-qualification. This is the initial step where you determine how much you can afford to borrow based on your income, credit score, and debt-to-income ratio. You can get pre-qualified by submitting basic information to a lender, […]
When applying for a mortgage, having a new job can impact the process, but it does not mean that you will not be able to secure a loan. How long do you have to be employed to get a mortgage loan? Traditionally mortgage lender will want to review two years of employment history. But this […]
Paying back your mortgage in a timely manner is essential, or else you could end up on the road to foreclosure — i.e., losing your house. Missed or late mortgage payments will also impact your credit score. Homeowners must learn about mortgage payments to ensure long-term financial stability. First some terminology: The term mortgage arrears […]
A mortgage loan estimate is a document that provides you with important information about a mortgage loan you are considering. It is typically provided by a mortgage lender and is required by law under the Truth in Lending Act. Here are some key components of a mortgage loan estimate: Loan terms: This section outlines the […]
Homeowner’s title insurance is a type of insurance policy that protects homeowners and lenders from financial loss due to defects in the title of a property. A title defect could arise due to a number of reasons, such as fraudulent transfers, errors in public records, undisclosed heirs, or improperly recorded legal documents. Title insurance provides […]
Pre-qualification and pre-approval are two terms used in the context of mortgage lending. Here is a brief explanation of each: Pre-qualification: This is the first step in the mortgage process. It involves providing a lender with a mortgage loan application and some basic information about your income, assets, and debt, so that they can give […]
