Second Mortgage

This is the buzz all over now but sub prime housing market is still not improving.
Recently there has been much talk about the government stepping in to bail out the people who are losing htere homes do to sub prime loans. Some people have expressed their disagreement with this new step in the recent months.

With the highly unstable subprime market conditions, the government decided to bail people out when they cannot afford it. So do you think it is wrong with a government bail out? Read the rest of this entry »

Before taking any new loan, always ask yourself if the payments are to much for you.

If they are, then you may want to sell, and start over. If you have equity you will have some cash in hand to buy a cheaper place. If not you may want to short sell, and walk away with your cerdit saved.

If the reason your in forclosure is not because your payments are to much for you, then you have otions. Read the rest of this entry »

You may get some leads online but then where else you must look?  

If you are a loan officer with a mortgage company then you will know that the hardest thing about my job is getting in contact with interested customers.

First, you should check the disclosures on the leads you get from your lead company. Does your company have a Do Not Call program in place? If not you should ask. You have selected a wonderful career field. You are pretty much on your own to earn as much as you want and be as successful as you can. Read the rest of this entry »

There are many ways to describe a seller second in Mortgage Terms.

It means that the seller is willing to carry a second mortgage on the property he is selling.

Moreover, if it is legally stated, it means that the seller will hold the second mortgage. The primary lender has the first and is paid first in case of default. The second has second claim on the property or what is left after the first gets his money. The second then gets paid if there is enough and if not - he is out of luck. Read the rest of this entry »

The thing that matters most is what will be best for you knowing that you are moving into a new house in a few years or so.

A refinance to clean up credit makes alot of sense. The new rate is actually lower then what you have now. Even though you have a 6.5%, your second mortgage can probably be in the 8% or higher range.

So, interest alone is less with the new mortgage. Also, the main thing to look at is the paying credit cards over 30 years. Read the rest of this entry »

Why would any bank want to refinance your second mortgage?

If you have a mortgage with Bank A. The rates went way down so you refinanced with another Bank B at a lower rate with a shorter term, i.e., from 30 year went down to 15 year mortgage.

Why would Bank B want to offer me something like that? What is in it for them? Read the rest of this entry »

So is the sub-prime mortgage market the primary reason for the steep down in the real-estate market?

It may not be certainly true most of it. It has more to do with bad mortgage brokers. They overstate income on stated deals, they have appraisers in their pocket to inflate values, they get the deal done, no matter how bad it may be.

 It’s been a buyers market for about a year now, and the problems in subprime have only been hitting the fan for a few months. Read the rest of this entry »

Ever thought of refinancing your house and thinking to either apply for prime or subprime mortgage.

It all depends on your credit rating. If so what is considered a prime credit rating? Yes, it does primarily have to do with credit rating. Currently 640 is the extreme low on a prime and has several limits on rates, loan-to-value ratios, and programs. Read the rest of this entry »

After the subprime mortgage market took the dip last week, is it even possible to get an 80/20 loan now?

And is it better to obtain the loan, through an online site or through a mortgage consultant?

Firstly, the subprime market is not affecting the prime market. The 80/20 is still alive, and if you have good scores you can get the better deal with any lenders. You may not want to go for an online lender for your first purchase transaction. Read the rest of this entry »

Have you ever exceeded your line of credit more than once?

This may have ended in to your bank iincreasing your APR and most of the time they will be unwilling to work with me even though  your have never had a late payment.  

So should you look into taking out a second mortgage on the house as the balace is substantial? Ever thought about the downside to a second mortgage in this case? Read the rest of this entry »