Down payment
Before Applying Mortgage
If you already have a mortgage then you're locked in to your rate and conditions unless you're allowed to refinance. However for those who haven't yet gotten a mortgage there are some things you should consider before you even apply that will save you money in the long run.
Credit score.
You may have heard it many times before, but your credit score will go a long way toward affecting your mortgage interest rate - as well as the rate you receive ... Read More »
Principal, Interest, Taxes, and Insurance
A mortgage means much more than the purchase price of the home. This loan includes the principal but also interest on that loan, property taxes on the home, and homeowner's insurance. These costs are referred to as PITI and they are typically nonnegotiable. Lenders insist that property taxes and homeowner's insurance be part of the mortgage payment and paid every month as unpaid property taxes can result in a lien on the property and homeowner's insurance is meant to insure ... Read More »
Mortgage Terms
To better understand how your mortgage works and how refinancing a mortgage works, you might want to consider some common terms that are associated with mortgages and refinancing.
Mortgage lender.
This is the person or company that provides the loan to borrower so that they can purchase the home. Because of the large amount of money involved in a home loan, the mortgage lender of course would want some type of security for that loan and this is where the mortgage comes ... Read More »
Expense of Home Ownership
With all the benefits of owning a home, there are of course some downsides. Homes require quite a bit of upkeep and maintenance. In an apartment or rental property you simply call the landlord and ask him or her to fix faulty appliances and other problems and of course that person is responsible for lawn care, snow removal, and so on. When you own a home, unless you're covered with a home owner's association agreement, you're responsible for all upkeep, ... Read More »