|
|
| |
|
Mortgage & Refinancing Information |
|
|
|
Why Get Pre-Approved For A Mortgage?
One of the most important steps in the home buying process is getting Pre-Approved as early as possible. The Pre-Approval process involves you speaking with a Mortgage Lender about your financial situation, what you'd like to accomplish, and any concerns you have. Armed with that information, a Mortgage Lender can obtain an approval from a lender up to a specified loan amount and provide you with monthly payment information and closing cost information. There are many benefits to getting Pre-Approved. First, Realtors will spend more time assisting you with your home search if they are confident you'll be able to obtain financing once you've located a home you're interested in purchasing. Second, Seller's will take your offer more seriously since they know you will be approved for a mortgage -- and they won't risk taking their home off the market only to find out the deal is going to fall through 30 days later. Finally, since you know you've been approved and much of the paperwork has already been processed, you're in for a much less stressful experience. Why is it important to do this as early as possible? Many loan officers report that over 50% of the credit reports they see have inaccurate information listed. This inaccurate information could be the difference between you getting a loan or not getting a loan - getting a rate of 5% or getting a rate of 7.0%. The earlier these errors are found, the sooner they can be corrected. So, what do you need for the Pre-Approval Process? Here a list of documents your Mortgage Lender will want to initially see copies of: *W2's from the last 2 years *Tax Returns from the last 2 years *Pay stubs from the last 30 days *Bank & Brokerage Statements from the last 3 months Additional documentation will be required depending on your specific situation and as the process progresses. Your Mortgage Lender will go through a loan application with you, which covers questions related to your current residence, employment status, marital status, etc. There will be a series of disclosures you'll have to sign as well - some required by the State or Federal Government informing you of your rights in the process. With the application and disclosures signed, the supporting documentation you provided, and an understanding of what you are hoping to accomplish, the Mortgage Lender is ready to submit your "loan" through what's called "Automated Underwriting". Within minutes, unless your situation requires an underwriter to personally review your file, you will have an answer to your loan application. Now that you have an approval, your Mortgage Lender will issue a Pre-Approval letter outlining the terms of your approval. Your Realtor will request a copy of this letter (typically before they begin showing you homes) and will include a copy with any offer you make on a property. Now it's time for the fun part - looking for homes! Chris Rocks is a successful Mortgage Consultant and writer based out of Chicago, IL. Website URL: http://www.loansbyrocks.com Contact Email Address: chris@loansbyrocks.com
MORE RESOURCES:
Google News |
|
|
|
RELATED ARTICLES
A Home Equity Loan - What You Should Know? Asking yourself, "Is a home equity loan right for me?" is the first and most important step to take.Home equity loans have become so popular today because of increasing home values. Kings Bay Georgia Mortgage Information When choosing the right mortgage company for your home purchase or refinancing, there are a few things to consider.What is this lenders reputation? Does this lender have a proven track record in the community and can they offer you not only the lowest interest rates available, but design a program to fit your needs and counsel you about your home purchase. The Truth About Shopping for Mortgage Rates With so much lender advertising focusing just on rates, you may not be aware of the importance in choosing an experienced, reliable loan professional who can match you with the appropriate loan program. Good loan officers and mortgage brokers may quote today's rate when asked, but they will quickly add they need to know more about you to determine the best program for your individual situation. A Guide to Finding Cheap Homeowner Loans If you're actively looking for cheap homeowner loans, there are several things that you should take into consideration to make sure that you get the best loan for your money.Before taking one of the loans offered to you, you should take the time to understand how cheap homeowner loans work, make sure that you've explored all of your loan options, and shop around for the best loan rate that you're eligible for. Refinance Benefits - Refinancing Could Save You Money The most common reason most people refinance is to save money, but many people refinance for various other reasons.1. Home Equity Line of Credit - Finding The Best Home Equity Lender Borrowing against the value of your home using a revolving credit account is known as a home equity line of credit. Lenders offer home equity lines of credit in several ways with either fixed or variable interest rates. Reverse Mortgage Offers Fresh Approach To Income From Real Estate If you owe 40 percent or less of your original mortgage, there is a great program that is available to you that will generate extra monthly income. It's called a reverse mortgage. How Not To Be Ripped Off By Mortgage Brokers One of the things that bothers me about the mortgage industry is the number of unscrupulous brokers that operate in this market.Talk about giving the industry a bad name!I worked for a mortgage lender until quite recently and I used to be shocked at the fees that brokers charged their clients. Bad Credit Home Loans - Pre-Approval is Still Possible With Adverse Credit History If you are among the millions with less than perfect credit, there are many sources available to you in obtaining a mortgage. Lenders that specialize in mortgages for those with bad credit are competing for your business. Should You Choose to Refinance? Refinancing has become a valid option for many individuals with high interest rates on their mortgage. Refinancing is essentially a replacement loan, with a different lender and (hopefully) a lower interest rate. Home Equity Loan - Beware of the lingering lien! A problem that often arises when people try to refinance their home is the discovery of a pre-existing lien from a previous loan that was not removed by the lending company. The cost of removing a lien and returning the title to the homeowner, a process known as reconveyance, is usually included in fees associated with a home equity loan. Buying a Home After a Foreclosure Buying a home after a foreclosure is not an impossible task. With some careful planning and some savvy shopping, you can secure a mortgage loan even with a foreclosure in your credit history. Home Equity Lines of Credit - the Basics A Home equity line of credit is a loan which is similar to a credit card. These often have a very low interest rate (In most cases even lower than home equity loans). Life of an Escrow Escrow is one of the last stages in the purchase or sale of a real property. When someone says that they are in escrow, it means that they have either accepted an offer on the sale of their property, or their offer to purchase has been accepted. Bad Credit? With Poor Credit You Can Still Refinance Or Get A Home Equity Line Of Credit Have you decided to refinance your home or apply for a home equity line of credit but worry about your credit rating? Even with poor credit it is possible to refinance your existing mortgage or obtain a home equity line of credit. New practices in the lending industry have made it easier than ever for you to refinance your mortgage or get a home equity line of credit. Buying a Home With Bad Credit - Get Approved With a Recent Bankruptcy or Foreclosure A few years ago, if you had a bankruptcy or a foreclosure on your credit report, you could forget about trying to get a mortgage loan. If you were lucky enough to find someone who would finance you, your interest rate would be through the roof and plan on putting 10-20% down. The Top 5 Things You Must Know Before Applying for a Mortgage You've been thinking about buying your own home for quite a long time, and now you're ready to take the plunge. You've been saving money for a down payment, and you know the next step is preparing to apply for a mortgage. Which is Better? Fixed-Rate or Adjustable-Rate Mortgages The answer depends on several factors including your financial situation. Lets take a look at the main differences between the two types of mortgages. 2nd Mortgage Loan After Bankruptcy - Get Approved Online A 2nd mortgage loan after a bankruptcy is possible in as little as two years. Refinancing your mortgage can help you make needed home improvements or pay off high interest debt. Refinance Online If you want a low interest, low payment mortgage refinance, refinancing online could be the answer. There are many mortgage companies who specialize in mortgage refinancing online.
|
| home | site map |
| © 2006 |
