Greg 's Blog

This is the legal means a mortgage company may use to repossess their collateral, your home should you default on making timely payments. If the property is sold for less than the total amount owed on the mortgage loan, the mortgage company or HUD could seek a deficiency judgment against you. A d...

To qualify for some mortgage loans you will be asked to meet their reserve requirements.  Lenders want to know that in the event your current source of income is interrupted you have sufficient cash "reserves" to meet your mortgage payment obligation for a specified period of time.  Reserves are ...

Like oil & water, cash payment histories & mortgage approval don't mix.  Mortgage lenders use your demonstrated use of credit to predict the likelihood to make timely mortgage payments in the future.  Vendors don't report your cash payments to credit reporting agencies. Only your debts (what you ...

Adjustable Rate Mortgages (ARM's) have existed since the 1980's but only recently have they been described as "toxic ARM's."  The subprime variety has more dramatic increases but why don't they just refinance out of these bad loans?  What's changed? Stated income loans may be referred to as liars...

This week I had the unpleasant responsibility to explain foreclosures to three different clients.  Two were in foreclosure with their current lenders having well over $100,000.00 in equity! They were seeking cash out refinances and didn't understand why they couldn't qualify for a new loan? They ...

Looks like some relief is finally arriving for the mortgage market.  The following has been taken from a recent news article on this subject.  See the entire article @  http://bloomberg.com/apps/news?pid=20601087&sid=aE1A7RkmKsag&refer=homeThe Fed, in a surprise announcement in Washington, cut th...

Properties with more than 3 rental units are generally considered commercial properties. Qualifying for commercial loans often requires higher documentation and greater analysis of the rental income.  Calculating Net Operating Income can help determine the fair market value for these and other i...

"You won't have to make this month's payment and you won't have to make a payment for the next 2 months." How many have heard this closing pitch when speaking with a mortgage lender?  There is no free lunch regarding mortgage interest.  Your current mortgage provider will supply a payoff letter i...

Hard Prepays mean that selling or refinaning your property before the prepay period ends will trigger the prepayment penalty.Soft Prepays mean you may sell the property but not refinance before the prepay period ends without a penalty.Prepay penalties reward borrowers with rate discounts for keep...