Buying a home is one of the most monumental feats to take on as an adult. It’s no easy task—it takes a lot of planning and preparation to make sure you are in the best position financially to take on the challenge. The best thing you can do for yourself and your family is to go over what not to do before you apply for a loan and try to create some solutions in advance.Read More
It’s often said that gaining a four-year education is the way to properly enter adulthood. However, so many college graduates are experiencing even more difficulties than non college-grads because they are in a deep hole of student loan debt. It is problematic for thousands of young folks trying to make it these days, especially with the recent decline in the economy.
The real problem with college loans being so difficult to repay quickly is that it makes it much harder for recent college grads to properly invest their money. Buying a home is something many young people want to do, and feel that they have earned after studying for four years and doing the work it takes to graduate—sadly, most will not have that opportunity unless federal law changes loan interest rates.Read More
If you are a first-time buyer worrying you might not be accepted or qualify for a loan of this variety, know the USDA Rural Housing program can be utilized by first-timers and recurring buyers alike. There is also no maximum loan size with USDA. With a proven ability to save and make timely payments, your amount will only be limited by your own financial actions, past and present.Read More
With home loan interest rates at an historic low, many people are rethinking the adjustable rate mortgage. This type of mortgage rate, which is commonly abbreviated as ARM, comes in a few different flavors. Unlike fixed mortgage rates, they fluctuate over time. The majority of homeowners – roughly seven out of ten, according to Bankrate.com – prefer fixed rates for this reason. Although they have traditionally gotten a lot of bad press, ARMs might be worth a second look. At the very least, it is good to familiarize yourself with the pros and cons of the adjustable rate mortgage.Read More
According to the National Mortgage News; Lenders refinanced over 1 million borrowers with high LTV loans via the HARP program in 2012 and they could do the same in 2013 and 2014, according to MBS strategists at Bank of America Merrill Lynch.Read More
If you plan on using a fixed rate mortgage, you will have two main options: a 15-year loan or a 30-year loan. Although there are other terms available, the vast majority of lenders offer these two loan options.
So what makes one better than the other? The main difference between a 15-year loan and a 30-year loan is rather obvious. With a 15-year mortgage, you will pay higher monthly payments but less interest overall. By contrast, 30-year loans feature lower payments but more interest. In the long run, you will end up paying more for your home if you opt for a 30-year loan.
Although the differences seem relatively simple, there are other considerations that might make your decision more complicated. Buyers should take a hard look at their finances, budget, retirement plans, and long-term goals. It is also important to run the numbers to determine exactly how much you will pay versus how much you will save.
Ultimately, though, where you make your home has a tremendous impact on your overall happiness. This is why it is important to really do your homework before making an offer on a house. Use the following five tips as a guide when preparing to bid.Read More