October « 2008 « home lenders refinance mortgage

October 15, 2008

Should a mortgage lender be held responsible when a past due homeowner commits suicide?

Filed under: Renting & Real Estate — Tags: 1940, Assets, Cancer, Commit Suicide, Disability, Mortgage Lender, Sq Feet — admin @ 7:27 am

mike_alegend asked:

I just had a friend commit suicide because he could no longer pay his mortgage. His lender refinanced his home five years in a row with his payments going from 600 per month to over 1400 per month. The house was biult in the 1940′s and was only 800 sq feet. The lender knew he was on disability and had fixed income with no other assets.
Yes, there were other issues like his disability and his cancer, but when he could no longer afford his home he just gave up.

VERNON

Comments (8)

October 13, 2008

Can someone explain the difference between using a mortgage broker, mortgage lender, & a bank for refinancing?

Filed under: Renting & Real Estate — Tags: Mortgage Bank, Mortgage Broker, Mortgage Lender, Mortgage Refinancing — admin @ 6:47 pm

bayleigh789 asked:

What are the benefits and drawbacks to each? We are refinancing our home.

ROLANDO

Comments (5)

October 6, 2008

The Essentials of Home Loan Refinance

Filed under: Loans — Tags: Break Even Point, Debt Refinancing, Debts, Extra Money, Financial Burden, Financial Dilemma, Home Mortgage, Interest Rate, Mortgage Refinance, New Car, Refinance Home Loan, Rule Of Thumb, Sound Decision, Tight Competition, Wise Idea — admin @ 1:12 am

Alan Lim asked:

Home loan refinance has been one of the most reliable means that you can use to lighten up your financial burden. The promise of lowered interest and decrease in monthly payment is a very attractive idea. More and more people are also drawn to the concept of getting some extra money through home loan refinance to pay for renovation, education or to pay off other debts.

No matter how attracting refinancing sounds, it is not a strategy that will make sense to everyone in all financial circumstances. You need to do your own homework to make sure that you are making a financially sound decision. In addition, remember that refinancing is a way for you to get out of debt. Never make the mistake of refinancing in order to make another consumer purchase that is not really necessary, such as a new car or a dream vacation. You might end up in more debt than you have ever been.

The old rule of thumb in home loan refinance is that it only makes sense if you can lower your rate by at least 2%. However, what actually matters with refinancing is not just the rate but how long it will take for you to reach your break even point and whether you intend to stay in your home for a long time to be worth the long term payment. A home loan refinance will be a wise idea if you are sure that the monthly payments you need to make for a couple of years is worth it.

The good thing about refinancing is that there are various options for you to choose from. Practically, there are important factors you need to consider before taking on a home mortgage refinance. You have to know the interest rate, the term of the mortgage, the variability of the interest rate (whether it is fixed or variable), and the points that you are willing to pay up to close the deal. Mortgages now come in all forms and sizes; lenders are literally everywhere waiting to offer you their affordable terms. With the tight competition, many people usually get great deals which relieve most of their financial dilemmas.

Your goal is to come up with mortgage terms that will get you a better deal than you have with your existing loan. This may not be easy to do, most especially if your credit standing is not all that good. You must have a good understanding of what is going on with your finances; plan how to solve your problems, and set-up financial goals. Based on where you are, you can look for a home loan refinance program that is in line with your requirements.

It will take some effort and a good amount of research on your part. If you deal with the right lender and get a home loan refinance at the right time, you can be pretty sure that you will save thousands of dollars with refinancing. All the effort and time will surely be worth it.

ELLIOT

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October 5, 2008

Refinance Mortgages

Filed under: Finance — Tags: Applicable Charges, Availabilities, Bad Credit, Budget, Installments, Loan Facilities, Mortgage Loan, Rate Of Interest, Refinance Loan, Refinance Mortgage, Refinance Mortgages, Secured Loan, Time Period — admin @ 6:18 pm

Patrick Flouster asked:

Any person who possesses any real property does never want to part with it if not really there is a need of it as the real property serves as a security to them. When you are in a need of additional funds and there is no source other than the loan facilities from where you can manage to arrange for the required amount then you opt for a mortgage loan as you can place your property as a guarantee against the loan and get back your asset after the total repayment of the loan has been completed. But sometimes it gets difficult to repay the mortgage loan due to deficiency of funds or you may require more funds to cater your additional expenses.

Refinance mortgage is the facility which is so arranged that it takes over the earlier loan and provides you with a second one with the altered terms and conditions of the previous loan or it is altogether a new loan with new rate of interest. Since refinance mortgage is a secured loan it would enable you to obtain a large amount but you should keep the fact always in your mind that your asset is kept with the lender which has to be released on repayment of the loan. So the amount of loan should be as much as it can be repaid easily and on time. To acquire a refinance mortgage loan you would have to survey the market to know all the availabilities and their respective terms and conditions like the amount of loan, the rate of interest at which the loan can be acquired, the time period to repay the loan and other applicable charges if there are any. After the survey you would be capable to choose the best among them that would suit your budget and your requirements. The best selection would be the one with minimum rate of interest and smallest monthly installments so as to make it easy and comfortable for you to repay.

Refinance mortgage can be acquired by complying with all the requirements which can be either done online or by going to the lender in person. If you are the one among those who hold a bad credit status then you need not worry as to how to arrange for the necessary funds, as refinance mortgage would also provide you with a loan if complied with their requirements and after a credit check is done by the lender. It is not necessary for you to be a homeowner as you can acquire the loan against any property not necessarily a house. It is very simple to acquire a refinance mortgage as you only have to provide your personal and work details along with the requisite form filled in. Sometimes with these you would be required to submit the documents related to the earlier loan so as to make it easy for the lender to grant a refinance mortgage loan. After all the details submitted by you are confirmed the loan would be sanctioned and the amount shall be transferred to the bank account as specified by you. So you should have an active bank account for an easy access to the loan obtained.

Since refinance mortgage takes over your earlier loan it would be easy to repay on time, but in case if this not possible then you would be required to inform the lender at least ten to fifteen days in advance so that an extension can be facilitated to you.

DELMAR

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October 4, 2008

I need to refinance my 2 homes, but I have a high debt to income ratio. Are there any serious lenders to help?

Filed under: Personal Finance — Tags: Credit Score, Debt Ratio, Debt To Income Ratio, Fixed Rate Mortgages, Hard Time, Lenders, Refinance — admin @ 7:13 am

angiemcp2 asked:

My credit score is average but not bad. I’m having a hard time trying to refinance my ARM’s into fixed rate mortgages because my debt to income ratio is high. Are there any serious lenders that specialize in these situations?

JAIME

Comments (5)

Effective Home Loan Refinance – Things That You Should Know

Filed under: Loans — Tags: Closing Costs, Effective Solution, Home Refinancing, Interest Rates, Loan Refinance, Mortgage Lender, Mortgage Refinance, Moving, Period Of Time, Personal Finances, Refinance Loan, Refinancing Loan, Refinancing Your Home, Refinancing Your Home Loan, Wise Investment — admin @ 1:52 am

Alan Lim asked:

No matter what you do, there will always be time when you wish you can have more funds to pay your mortgage that is almost going on default or lower down your interest rates. Fortunately, you have the answer for that. The most effective solution is to settle for a home loan refinance.

However, it is not going to be easy as you probably think. There are several things that you need to keep in mind, such as closing costs, your new interest rates, and the length of the refinance loan, to name a few. To ensure that you do not go wrong with your home refinancing, consider the following tips:

1. Know if you need the home loan refinance. It is important that you know the importance of home refinancing to your personal finances. Hence, before you even consider applying for a home loan refinance, know first if it is really what you need. You have to assess if you have plans of staying at your home for a certain period of time. To help you out, you can do this basic calculation. You divide the refinancing cost by 12. This way, you will know how many more years you need to live at your home before you can say that you have made a wise investment. If the result does not appeal to you, as you may be moving to another location by then, then a home refinancing is not something for you.

2. Talk to your present lender first before looking for another provider. If you are thinking of refinancing your home loan, you need to talk to your present mortgage lender first. This will definitely cut the time of processing your application, as you already have your records, and you can even save something from your closing costs. Nevertheless, do not be afraid to ask your provider to lay everything on the table. If after calculations you realize that the new loan appears to be almost as high as your previous one, you may have to look for another lending company for your mortgage refinance.

3. Determine the total costs of your refinance. It is not enough that you know how much you are going to pay monthly. You also have to take into consideration the costs associated with your new loan, such as the closing, transaction, and appraisal costs. This is to help you evaluate if you are getting the best deal when it comes to interest rate and monthly payment for your new loan.

4. Try to shorten the payment term of your new mortgage. If you are going for home loan refinance, ensure that you can at least limit the new term to what is left of your old mortgage. This way, you will not have to actually extend the number of months that you will be paying for your loan.

In the end, it is always good if you can learn to shop around. It is only when you do some research in the market that you will understand your different options.

CLAUDE

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October 2, 2008

Bad credit to good credit, home refinance?

Filed under: Renting & Real Estate — Tags: Bad Credit, Buying A House, Credit Scores, Good Credit, Interest Rate, Job, Money, Mortgage, Refinance — admin @ 11:35 am

Maber asked:

I am buying a house with my husband but our credit is less than stellar. We were approved for a loan but with a nominally high (6.75) interest rate and the monthly payment is doable but will have us paying more than 3 times the value of the home over the course of the mortgage. Our credit is at such a state that it will be repaired in about a year or two and we will be back to the excellent credit scores we had before my husband lost his job. What exactly is refinancing? Does it involve a lender paying back the entire principal of the loan and clearing our name with the current lender, and then relending us the money with more attractive numbers? If so, what are the chances of us being able to do that? How does it work?

DENNY

Comments (1)

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