While home buyers typically think of home inspections as being required solely for the purchase of homes that are in a state of needing repair, the truth is that they benefit all types of buyers.Why do you need a home inspection?The answer is simple.If there is a problem with the property that the seller either
[...]Home buyers and homeowners often have questions about debt and income ratios when they enter into a home finance transaction.Following are answers to some common questions:How Is My Income Calculated?When looking at your income, lenders start with your gross, or before tax, income, regardless of what tax bracket you might be in or what other
[...]If you’re looking to buy your first home, or if you’ve purchased before, there are a number of things you need to know about a down payment, asset reserves and other matters. First, you’ll likely have to obtain a conventional or a Federal Housing Administration (FHA) mortgage.If you’re looking for a conventional mortgage, you’ll typically
[...]When buying a home it’s important to understand the basics of mortgage insurance.What is it? How does it work? What does it mean to you as a home buyer or homeowner?First, mortgage insurance is taken out by the lender to provide protection against you defaulting on your mortgage. However, you usually pay the premiums on
[...]If you’ve been thinking about purchasing or refinancing a home, now might be a good time to act - or at least explore your options.After all, mortgage rates are at historical lows.Opportunities that are available now may soon vanish when the housing market straightens itself out.You could see benefits for years to come by capitalizing
[...]Adjustable-rate mortgages are often an attractive option to their fixed-rate counterparts, as the rates are often significantly lower.But are adjustable-rate mortgages a good fit for you?For some period of time after you take out an adjustable-rate mortgage, it has a fixed rate.After that time period has expired, the rate fluctuates based on an agreed-upon index.The
[...]Your credit score can affect your ability to get a mortgage. Mortgage professionals rely on such scores to assess whether you’re a candidate for a loan.A credit score is more or less a rating of how a person is able to manage the credit that he or she has available.Creditors, such as credit card companies
[...]Buyers need to think about many things when considering the purchase of a home.Financing, of course, is one of the most important items.To determine whether you qualify for financing, lenders look at something called debt ratio.The debt ratio often determines whether or not a buyer can qualify for a mortgage.Calculating the debt you carry is
[...]One of the most important components of any home financing transaction, be it a purchase or refinance, is the appraisal.An appraisal is the process of valuating the property. The purpose is to give the institution that is lending money an idea of what the property is worth should the borrower be unable to make payments
[...]When you qualify for a mortgage, regardless of what type it is or the amount of it, you go through the same basic process to get approved.Following is a rundown of the basics of what lenders are looking for and how you can prepare yourself before you even apply for a mortgage:Income: Lenders are looking
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