• FHA Loan Definition

    The Great Depression of the 1930s changed much of the social face of the United States, and it also changed the financial structure of the banking system. For instance, the FHA Loan is a Federal Housing Administration mortgage loan with mortgage insurance to protect lenders when a home may foreclose. During the Depression when many homes were foreclosed on, the lenders would not have insurance to cover their financial losses. The FHA enables the lenders to have their finances covered in the event that...
  • Mortgage Refinance Process

    efinancing your mortgage is a process that involves taking out a new loan to replace your existing loan. Refinancing your mortgage will allow you to borrow money generally at a better interest rate and repay the loan over a different time length as well as withdraw from or add to the equity of your home. If you are considering refinancing your mortgage, before beginning the process, it’s important to understand how the process works. How Does Mortgage Refinancing Work? The process of refinancing your...
  • Should You Refinance Your Mortgage?

    In a marketplace where interest rates fluctuate, when rates are lower, it can be beneficial to consider refinancing your mortgage loan. This simply means that you would replace your current loan with one that offers a lower interest rate. This means that in the long run, you will be saving a lot of money. When to Refinance Your Mortgage? There are several instances where refinancing your mortgage loan will save you money. The first is when the interest rates dip below what is on...
  • What is FHA streamline refinance loan?

    Streamline refinance is in reference to having a current mortgage that is FHA insured. This kind of mortgage requires the borrower to have limited documentation to show credit history and limited underwriting is needed. These refinance loans are available to borrowers who qualify or not qualify with their credit rating. When such a loan is streamlined, there is not much documentation required, but there are still costs involved. Fundamental Requirements Some of the fundamental requirements for a streamline refinance loan are: The existing mortgage...
  • Types of FHA Refinance

    The Federal Housing Administration (FHA) offers mortgages insured by the federal government. They are easier to get approved for because you can qualify if your credit score is less than 750. They offer flexible loan terms such as low loan down payment, low closing costs, and low-interest rates, making them very popular among homeowners. The FHA offers several great refinancing options as well, even if you were not previously an FHA borrower. Each has different features and requirements. A Streamline Refinance is a quicker...
  • Requirements For FHA Loan

    FHA loans have the benefit of very competitive interest rates. In addition, the prompt payment can come from a donation or gift from a relative or help from a government program. To be eligible for an FHA loan, it is required to demonstrate job stability for the past two years and so you need to show either the most recent pay stubs or checks and evidence of the filing of tax returns. It is also required that you show evidence of your bank statements...
  • What is a Mortgage?

    If you are like many people, you dream of owning your own home. To purchase a home, you will need to get a mortgage. This is a term that many people have heard of but may not understand what it actually is and what is involved in securing and maintaining one. We’re here to help you understand the basics so that you can make your dream come true. What is a Mortgage­? A mortgage is simply a loan that can be used to purchase...
  • What is FHA 203K?

    Have you found a home you love, but it’s not in good condition? Well, the only to live in it would be to buy and renovate it. However, you may realize that the renovation cost is too costly, and you won’t get a loan anywhere. That’s where an FHA 203k comes in. An FHA 203k is a loan that allows you to purchase the house you want and make the needed renovations at the same. Say, for instance: You want to purchase a...
  • what is a home equity loan?

    Home equity loans are known as personal loans, acquired by using a property as collateral. Lenders tend to disburse more money with this type of loan because they represent less risk. It is called a home equity loan because a guarantee is signed in the name of the lender on your property. It gives the lender more leverage to take the property, if you default on the loan. The money can be used for whatever you want: trips, education, investments, cars or debt payments....