Understanding the Digital Mortgage Process

The financial industry is leaning toward democratization more and more every year. From decentralized finance to online-only banks that provide all of the financial services of a traditional bank branch, consumers have more options than ever before. One of the barriers many consumers had in the past was the digital mortgage. For people to get a mortgage, they needed to go into a bank, often after building a relationship with the lender and go through a time-consuming process filled with paperwork.   Now, institutions are opening up the process of applying for and…continue reading →

Shopping for Mortgage Rates: Do’s & Don’ts

Shopping for a good mortgage rate can sound and feel intimidating because of the many avenues you can take to find the mortgage of your dreams. A mortgage is often a long-term loan designed for homebuyers to purchase a home while making monthly payments. The mortgage is the best tool potential homeowners have of entering homeownership and getting on the property ladder. While shopping for a mortgage has become a lot easier thanks to online tools for finding and comparing rates and lenders, there are still a few key things to know that…continue reading →

When Should I Refinance My Mortgage?

When should I refinance my mortgage? A person usually considers a refinance when they need to change the loan terms they purchased to make it easier to manage their mortgage. This article will help you understand what a refinance is and how it works.  What is a Refinance?  When a person reviews the terms of their mortgage loan and needs a new agreement, they may have to refinance. They may want to lower their current interest rate or change their payment dates, or simply need to have the terms of their loan modified…continue reading →

What You Need to Know About Closing Costs

When you buy a home, you not only have to provide the down payment but, you must also take into consideration the amount you pay the lender for servicing the loan. Many buyers do not take into account all the expenses involved in buying a new home. One of these expenses is closing costs.     What are Closing Costs?  Closing costs are all those expenses that go beyond the cost of the property you are about to purchase. That is to say, they are the expenses paid to the lender for the services…continue reading →

How Technology Has Changed The Mortgage Process Forever

Mortgage technology is changing the homebuying process daily. The days of paper applications in your bank's lobby are over. In a lot of ways, the advancement in mortgage technology has allowed the consumer to shop around and find a broker, lender, or bank that best suits their needs. Once the right partner is selected, a borrower can zoom through the pre-approval process with the right technology suite at their disposal. Finding a lender is an arduous process for the consumers. When trying to find a mortgage provider, borrowers use to sift through phone…continue reading →

What is Mortgage Insurance? How Does it Work?

Mortgage insurance is essentially financial protection for the lender. If the borrower defaults on payments or cannot make the payments outlined in their contract with the lender, then mortgage insurance can protect them.  How Does it Work?  Mortgage Insurance can function differently depending on the agreement you have in place. Either it functions as a regular premium payment, or a lump-sum payment made when the lender signs the mortgage agreement. Some borrowers do not have a choice and are made to purchase PMI if they have greater than an 80% loan-to-value ratio. However,…continue reading →

3 Things You Need to Know When Buying a Home

The process of buying a home for the first time can be a stressful experience. This decision comes with many responsibilities and often steps that we know little about.   If this is your first time buying a home, you need to know the important details to make the best decisions. Remember this is probably the most significant investment you will ever make in your life, so you must have the best information available to decide.    Buying a house for the first time should be an exciting and enjoyable process. Here are three things…continue reading →

Qualifying for FHA loans with Student Loans is Easier Now

  A recent announcement by Housing and Urban Development (HUD) has made qualifying for FHA loans easier for borrowers with Student Loans. The debt to income ratio plays an important role in qualifying for any mortgage including FHA loans. It's the ratio of your monthly obligation towards debts vs your monthly qualifying income. Before: Earlier student loan payment was calculated as follows: either the greater of 1 percent of the outstanding balance on the loan; or the monthly payment reported on the Borrower’s credit report; or the actual documented payment, provided the payment…continue reading →

H1B Visa Eligible for FHA Loans. See if you Qualify.

H1B visa holders are now eligible for Federal Housing Administration (FHA) loans. For a long time, borrowers with an H1B visa could not qualify for FHA loans. Department of Housing and Urban Development (HUD) recently released new guidelines regarding eligibility requirements for non-permanent resident borrowers. Here are the updated guidelines: A Borrower who is a non-permanent resident may be eligible for FHA-insured financing provided: the Property will be the Borrower’s Principal Residence; the Borrower has a valid SSN, except for those employed by the World Bank, a foreign embassy, or equivalent employer identified…continue reading →

Why Your Asset Statements Matter to Mortgage Lenders in 2021

Applying for a loan can feel like an invasion of your privacy. As if lenders want to pull back the curtain on your life and analyze every detail, including your job, your income from that job, your tax returns, and, worst of all, copies of your asset statements. You want to ask them what they're looking for and why! Well, many borrowers do ask that question and with good reason. When strangers dig around in your personal life, it feels invasive. When they dig even deeper, asking questions about the documents you've provided,…continue reading →

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