Getting the best Financing
Finding the right home is your primary goal. I can help you with that. Finding the lowest possible payment and the best mortgage terms is usually a very important secondary goal. I’ve researched and worked with many mortgage brokers and lenders. I'm also a licensed Mortgage Loan Originator (MLO) so I know that business very well, but I chose to be active as a Realtor® only. After I do a preliminary evaluation of your situation, you can feel confident that I will put you in contact with the MLO that wil be the best fit for you.
There will almost always be specialized mortgages and lenders for whatever your specific needs may be. Many mortgage brokers and most lenders tend to work within their own requirements and procedures. Some may or may not offer the friendliest terms for a salaried or hourly wage earner. If you don't already have the ideal person or source for your home loan, let me evaluate your situation and choose one who will work best for you.
The self–employed borrower – Since the mortgage and housing crisis began in 2007, it’s become very difficult for a business owner or self–employed person to get a mortgage. Documentation of income and expenses need to be much more detailed. Unless you find the perfect person or home loan source you can expect to be rejected. Let me help find you the ideal contact.
Less than stellar credit – The minimum credit score that will qualify you for the lowest possible home loan rate is now 720 in almost all cases. This is one of the loan terms in which lenders have become tougher in our new financial environment. It’s easy to get a ding or two on your credit these days. It doesn’t even take a mistake or a late payment. Credit scores can be reduced for the constantly varying amount of debt and your score can change within days or weeks.. Millions of people pay their bills on time and still don’t have high credit scores. I know lenders who are ready to provide good mortgages for less than perfect credit scores, so let me help put you in touch with the best lenders for the credit challenged..
ARMs and When They're Appropriate – Though most residential home buyers are buying a home they intend to occupy for a number of years (8 years is the nationwide average ) this isn't always the case. Also, investors may be looking at a shorter ownership time frame. ARMs, Adjustable Rate Mortgages, are appropriate if the plan is to own a home seven or fewer years - particularly five or fewer. Because the lender is tying up their money for a shorter defined time period, they loan at lower interest rates. ARMs can result in hundreds of dollars a month in lower payments in some cases. They can also allow a buyer to qualify for a larger home. However, this isn't generally a great practice because once the ARMs fixed rate interest period is over, rates can escalate more than expected. That might make your house payment too large for your budget.
Financial Disclosure and Closing Considerations – Especially after the mortgage and housing problems that began in 2007, lenders and their underwriters are scrutinizing income and expense information much more closely than ever before. Be prepared to dig out a lot of documentation. It’s best to be forthcoming with any financial information that impacts your ability to make the mortgage payment. Even if it’s not asked for early in the process, be prepared for questions and requests for documents throughout the process. Also, it’s highly recommended that you not add any credit card or other debt between the purchase contract and the closing. Just before closing, most lenders will do another credit check and a check for any liens or encumbrances.
Negotiate the Fees – There are a number of fees associated with getting a mortgage, and the total of origination and other fees is usually the highest closing cost item in the deal. Never hesitate to ask about all fees, why they’re charged and why they’re a certain amount and how they’re calculated. It’s your money, and you’re the customer.