Financing a Home Archive


What about equity?

Friday, December 7th, 2007
It is the cash value of your property over and above what is owed on it, including mortgages, liens, and judgements. ...
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What is a loan-to-value ratio?

Friday, December 7th, 2007
The loan-to-value ratio, or LTV, is the loan amount expressed as a percent of either the purchase price or the appraised value of the property. It is an important factor considered by lenders before approving a mortgage. ...
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What is APR?

Friday, December 7th, 2007
The annual percentage rate, or APR, is an interest rate that differs from the loan rate. It is the actual yearly interest rate paid by the borrower, including the points charged to initiate the loan and other costs. ...
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Is it possible to refinance following a bankruptcy?

Friday, December 7th, 2007
It can be difficult to do after a bankruptcy, unless you are willing to pay very high interest rates and fees. However, if you are contemplating bankruptcy, first talk with your lender and explain your situation. If your mortgage payments are current, the lender may be accommodating and refinance your ...
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Can I refinance a home loan more than once?

Friday, December 7th, 2007
You most certainly can. During the most recent refinancing boom, for example, many homeowners refinanced their home loans two or three times within relatively short periods of time because interest rates kept treading downward, making it extremely attractive to trade in one loan for another. ...
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When is the best time to refinance?

Friday, December 7th, 2007
Many people flock to refinance while mortgage interest rates are low, particularly when rates are about two percentage points below their existing home loans. ...
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How does refinancing work?

Friday, December 7th, 2007
With a refinancing, you pay off an old loan on your home and take out a new one, usually at a lower mortgage interest rate. To refinance, you will generally need to have equity in your home, a good credit rating, and steady income. You can borrow a percentage of ...
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In seller financing, how does the seller determine what rate to provide?

Friday, December 7th, 2007
The interest rate on a purchase money note is negotiable, as are the other terms in a seller-financed transaction. To get an idea about what to charge, sellers can check with a lender or mortgage broker to determine current mortgage rates on loans, including second mortgages. Most interest rates, however, ...
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Are 40-year mortgages a good idea?

Friday, December 7th, 2007
The main reason buyers sign on for these type of loans, which add 10 years to the traditional 30-year mortgage, is to take advantage of smaller monthly payments. ...
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Which is better, a 15-year or 30-year loan?

Thursday, December 6th, 2007
The 15-year mortgage offers you a chance to save a lot of money over the life of the loan. This is because the amortization is half that of the 30-year loan, which means that the total interest paid on the 15-year note, as compared to a 30-year note, is significantly ...
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