real estate: 4 Common Objections to Mortgage Refinancing - and How to Overcome Them - 09/04/21 03:02 PM
Mortgage rates continue to flirt with record lows, a sustained dip that means the window for refinancing your home loan remains wide open.
Rates declined again this week, when the average rate on 30-year mortgages fell to 3.03 percent from 3.04 percent last week. Rates hover just above their all-time low of 2.93 percent, according to Bankrate’s weekly survey of large lenders.
And yet millions of American homeowners have declined to lock in the super-low rates made available by the coronavirus pandemic. A recent Bankrate survey found three-quarters of U.S. homeowners had not yet refinanced their mortgages.
When Bankrate asked why homeowners hadn’t refinanced, respondents pointed to a … (1 comments)

real estate: 3 Must vs. Lust Buying Tips to Avoid Overspending - 09/03/21 08:55 AM
 
The super-simple (and fun) way to separate needs from nice-to-haves. 
When you embark on the home-buying process, your heart is filled with all the dreams in the world. It’s really easy to get caught up in the “I have to have ___________, so I’ll cut back somewhere else” game, even when you don’t actually know where that somewhere else is or if you can realistically cut back there.
This post will show you how to pare down the excess and make sure to get the things you really NEED.
Make a List of Wants
Start by making a list of everything you want in your house. If … (1 comments)

real estate: Understanding Credit Scores - 08/30/21 07:30 PM
 
Credit scores may seem simple on the surface: your credit score is a number that represents how good your credit is, and the higher the better.
But what type of credit score are you looking at, and how is the score calculated? Why does your score keep changing, and why is the score you see in your banking app not the same as the one your lender sees?
Credit scores can be confusing and complex, so read on to learn how credit scores work, the different types of credit scores and where you can find your credit scores.
How Do Credit Scores Work?
A credit … (0 comments)

real estate: Starter Homes Still Cheaper Than Renting in Many Areas - 08/29/21 03:00 PM
Aspiring first-time home buyers may not want to give up on that competitive house hunt: In many markets, they could save money by owning.
Buying a starter home is more affordable than renting in nearly half of the largest U.S. metros, according to a new study released by realtor.com®.
The U.S. median rental price has climbed nearly 10% year over year to $1,607. That is 15.5% higher than the monthly payments for a starter home, the lower-priced tier of homes for sale in a market. Low mortgage rates are helping to offset recent jumps in home prices.
“Rents hit new highs in 40 of … (0 comments)

real estate: The Secret Bias Hidden in Mortgage-Approval Algorithms - 08/28/21 01:46 PM
 
The new four-bedroom house in Charlotte, N.C., was Crystal Marie and Eskias McDaniels’s personal American dream, the reason they had moved to this Southern town from pricey Los Angeles a few years ago. A lush, long lawn, 2,700 square feet of living space, a neighborhood pool and playground for their son, Nazret. All for $375,000.
Prequalifying for the mortgage was a breeze. They said they had saved much more than they would need for the down payment, had very good credit—scores of 805 and 725—and earned roughly six figures each, she in marketing at a utility company and Eskias representing a pharmaceutical … (1 comments)

real estate: It Ain't Over 'Til the 'Funding Lady' Sings - 08/21/21 09:09 PM
 
If you think your new mortgage loan is official once you’ve signed your closing papers, you might want to rethink that. Sure, you’re pretty darn close to a brand-new loan, but you’re not completely there. When your loan is officially approved by the lender and closing documents are ordered, there were several stages your application went through before papers could be ordered.
When your loan officer contacts you and lets you know your loan has been approved, it’s very possible there are still some outstanding conditions attached to your approval. Your loan could be conditionally approved. This simply means there are some … (3 comments)

real estate: How to Pay Off Your Mortgage Faster - 08/18/21 09:37 PM
 
Extra payments or refinancing can simplify paying off your mortgage faster.
If you have a 30-year mortgage, you may feel as though you'll always be paying off your house. But you can slash the time it takes to pay off your mortgage using a number of strategies, many of which don't require spending a lot of extra money.
When it comes to paying off your mortgage faster, try a combination of the following tactics:
Make biweekly payments. Budget for an extra payment each year. Send extra money for the principal each month. Recast your mortgage. Refinance your mortgage. Select a flexible-term mortgage. Consider … (1 comments)

real estate: 6 Things You Can Do to Prepare for a Home Appraisal - 08/16/21 05:50 PM
 
Getting your home appraised is a necessary step in putting it on the market and the appraisal will influence your asking price. This means you want your home in its best possible condition, so it will be appraised at the highest potential value. While undertaking massive renovations may not be an effective process, there are smaller things you can do to raise the market value of your home.
Start Small with a Little Spackle
If you've lived in your home for any length of time, you've probably hung things on the walls, put up shelves, or simply had accidents that resulted in minor … (2 comments)

real estate: Biden's Latest Mortgage Assistance Can Cut Your Monthly Payment By Up To 25% - 08/15/21 11:08 AM
 
Biden's latest mortgage assistance can cut your monthly payment by up to 25%.
While most U.S. homeowners have come through the pandemic unscathed, or even further ahead thanks to money-saving refinances at cheap mortgage rates, millions of others have had to opt for forbearance to put their loan payments on hold. A federal foreclosure ban provided them further protection.
Now, those safeguards are falling away.
Though more than 1.74 million mortgages were still in forbearance as of Aug. 10, according to mortgage data and technology provider Black Knight, the foreclosure moratorium expired on July 31, after multiple extensions.
Some homeowners may find themselves unable to resume their … (0 comments)

real estate: Mortgage eClosings Making Refinancing Easier Than Ever - 08/13/21 09:39 AM
 
Lenders and title companies are increasingly partnering with tech companies to create remote mortgage closings.
The need to stay socially distant amid the coronavirus pandemic resulted in the increased emergence of digital mortgage closings, allowing both lenders and prospective home buyers to complete the real estate transaction from just about anywhere with an internet connection. In addition, more lenders are becoming certified for remote online notarization (RON), allowing them to sign closing documents without the need to be physically present with a notary.
In fact, a new bill was recently introduced in Congress that would legalize RON in all 50 states. Diane Tomb, CEO … (0 comments)

real estate: Fannie Mae to Count Rent Payments Toward Mortgage Approval Process - 08/12/21 02:04 PM
 
Change to underwriting system set to go into effect mid-September
Pay your mortgage bill on time and your credit score will go up. Pay your rent and it won’t.
That dynamic has made it harder for renters to qualify for an affordable mortgage and become homeowners. Now Fannie Mae is trying to change that.
The finance giant is making a change to its underwriting system that will factor in borrowers’ rent payment history when looking at qualifications for a mortgage application. The change is set to go into effect on September 18, according to the Wall Street Journal.
Borrowers without strong credit histories are historically … (1 comments)

real estate: What to Know About Your Credit Before Buying a Home - 08/11/21 02:23 PM
It’s not just whether you pay your bills on time that matters.
Like it or not, your credit score is one of the most important numbers in your life, ranking up there with your Social Security number, date of birth, and wedding anniversary. This three-digit number is your financial report card, except there’s no getting rid of it after college.
Your credit score shows lenders just how trustworthy you are when it comes to managing your finances, and it can either save or cost you thousands of dollars throughout your life. 
If you’re in the dark about just how significantly this number can impact … (0 comments)

real estate: 7 Steps to Improve Your Credit Score Right Now - 08/09/21 11:00 AM
 
Improving your credit score is the first step to getting your finances on track.
A high score means lower interests rates on debt — from mortgages to car loans to credit cards. Moreover, a low score can not only make it difficult to qualify for a loan in the first place, it can also hurt your employment prospects or make it harder to rent an apartment.
As borrower protections put in place at the start of the pandemic start expiring, now is a particularly good time to work on your credit. Federal student loan borrowers will need to begin making payment again in October. September 30 is the … (2 comments)

real estate: Preparing For Homeownership - 08/08/21 06:47 PM
 
These calculators are intended to provide guidance and financial estimates. Please reach out to your lender for precise calculations.
Rent vs. BuyUnderstand the financial differences between renting and owning a home.
Tax SavingsLearn about the potential tax savings with homeownership.
How Much Can You Afford?Find out how much house works within your budget, being mindful of your expenses.
How Much Can You Borrow?Learn how much money you might be able to borrow.
All About Mortgages
Fixed or Adjustable-Rate?Understand the financial differences between the fixed- and adjustable-rate mortgage.
To learn more about preparing for homeownership and the home buying process, visit the SCOOP! Blog
… (0 comments)

real estate: Mortgages for Teachers and First Responders - 08/06/21 07:55 AM
 
A new bipartisan bill in the House of Representatives, called the HELPER Act (or Homes for Every Local Protector, Educator and Responder) aims to help teachers and other first responders who kept things going during the height of the COVID-19 pandemic by providing them with a one-time, down payment-free mortgage.
The bill still has a way to go before possibly being enacted, but if it is passed, here’s what it could mean for those covered by the legislation. We also have information on existing programs for people in these professions.
What is the HELPER Act?
The bill would create a one-time home loan program under … (0 comments)

real estate: Freddie Mac Borrower Help Centers and Network - 08/05/21 09:16 AM
 
Our HUD-certified housing counselors can assist you if you are struggling to make your mortgage payments and help you prepare for successful homeownership.
We have adjusted our Borrower Help Center operations to protect our communities from the direct and indirect impacts of coronavirus (COVID-19). At this time, our Borrower Help Centers are ready and available to assist you by phone or online. We appreciate your flexibility.
Through Freddie Mac’s on-the-ground Borrower Help Centers and national Borrower Help Network, trusted nonprofit intermediaries offer free assistance that includes a full suite of financial education and mortgage help services.
If you’re struggling to make your mortgage payments
If … (0 comments)

real estate: Today's Mortgage Rates: August 3, 2021 - Mortgage Rates Hit Near Rock Bottom Lows - 08/03/21 10:42 AM
The rate on a 30-year fixed mortgage decreased today, providing buyers and homeowners interested in refinancing a chance to lock in a historically low rate.
As of today, the average rate on a 30-year fixed mortgage is 3.02% with an APR of 3.25%, according to Bankrate.com. The 15-year fixed mortgage has an average rate of 2.31% with an APR of 2.66%. On a 30-year jumbo mortgage, the average rate is 2.99% with an APR of 3.12%. The average rate on a 5/1 ARM is 2.80% with an APR of 3.92%.
 
30-year Fixed-rate Mortgages
Today, the average rate for the benchmark 30-year fixed mortgage fell … (1 comments)

real estate: How to Start Building Your Credit History - 08/02/21 08:21 PM
The first time you get a credit card or take out a loan, your credit history begins. Your credit history is what potential creditors and lenders use to determine if you can manage money responsibly. If you've never had credit, you are referred to as credit invisible, meaning you don’t have a credit history. 
Don't panic if you are credit invisible — there are strategies you can apply to go from "invisible" to "visible" and start building a credit history. By establishing a credit history with a positive pattern of payments over time, you can become a good candidate for a loan, banking … (1 comments)

real estate: A Major Mortgage Refinance Fee Just Disappeared, Which Could Save Borrowers $1,500 or More. Is It Time for You to Refinance? - 08/01/21 02:23 PM
Mortgage giants Fannie Mae and Freddie Mac “will eliminate the adverse market refinance fee for loan deliveries effective August 1, 2021,” the Federal Housing Finance Agency notes. That means that if you refinance your mortgage now, you won’t be paying that fee, which will likely save you money, experts say. Here’s what you need to know if you want to refinance now.
What was the adverse market refinance fee?
The adverse market refinance fee was a 50-basis point fee that Fannie Mae and Freddie Mac were charging to lenders when they delivered the refinanced mortgages to the two mortgage companies; the fee then … (0 comments)

real estate: Mortgage Rates Just Dropped to a Six-Month Low, and Refinances Shoot Higher - 07/29/21 10:55 AM
KEY POINTS
The typical interest rate for 30-year fixed-rate mortgages decreased to 3.01% from 3.11% last week. Applications to refinance a home loan jumped 9% last week from the previous week, according to the Mortgage Bankers Association. Applications for a mortgage to purchase a home fell 2% for the week and were 18% lower than a year ago. The popular 30-year fixed mortgage rate fell back to the lowest level since February last week, and the 15-year fixed set a record low. That sent borrowers to their lenders, looking to save money on their monthly payments.
Applications to refinance a home loan … (1 comments)