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Do I need to get an appraisal when I refinance?
Yes.
How does a refinance closing
work?
The refinance closing is handled
the same way your loan was closed when you first
purchased your property. After your loan is approved,
you'll receive copies of documents you'll need to
sign at closing. Depending on where you live, the
closing takes place at the office of a closing agent
or it could involve a meeting where all related
parties are present.
How much home can I afford?
The amount of home you can afford
is based on the amount of mortgage loan you can comfortably
support. Generally, the amount of mortgage you qualify
for is based on three factors:
- Your monthly payments as a percentage
of income.
- How much cash you have for the down payment and closing
costs.
- Your credit history.
What types of mortgages are available?
- Fixed-rate mortgage. You pay
the same interest rate and same monthly payment
of principal and interest for the duration of
the mortgage. The most common are 30, 20 and 15
years. Fixed-rate mortgages are best if you plan
on being in your home for a while.
- Adjustable-rate mortgage (ARM).
The interest rate stays fixed for an initial interest
rate period, which ranges from 1 to 7 years. Then
the rate will adjust up or down annually for the
life of the loan based on a specified index. An
ARM is a good option if you believe interest rates
will go down over the next few years or if you
plan on staying in your home 5 to 7 years or less.
- Combination loan. A loan where
you receive a first mortgage combined at the same
time you receive a second. This option may help
you avoid the costs of private mortgage insurance
(PMI) and/or the higher rate of a jumbo loan with
as little as 10% down. The most popular combinations
are 80-10-10 (80% first, 10% second, 10%down),
75-15-10 (75% first, 15% second, 10% down).The
100% full purchase loans available with
credit score
Are there any special programs
for first-time homebuyers?
Special mortgage programs for
individuals who meet certain income requirements,
who are financing property in certain census tracts,
or who meet other special requirements.
- Lower down payments than most other financing options
so you won't need as much cash to buy a home.
- Competitive interest rates.
- Manageable payments for every budget.
- Reduced closing costs and mortgage loan fees.
What are the tax advantages of
owning a home?
- Income tax reduction. In the
early years of a mortgage, most of your monthly
payment covers interest on the mortgage. In most
cases, the mortgage interest (and property tax)
is deductible from your taxable income, lowering
your overall tax bill.
Therefore, your after-tax cost of home ownership may
be lower than renting. There may be tax implications
if you later sell the home at a profit. Consult your
tax advisor for more information.
- Tax deductible borrowing power. As
your home equity increases, you can borrow against
it for almost any need with a home equity loan or line
of credit.
Because your home equity loan or line of credit is backed
by the equity in your home, you may be able to deduct
that interest from your taxable income. This could lower
your final tax bill. See a tax professional for complete
details.
Should I get prequalified
for a mortgage before I shop for a home?
Getting prequalified for your
mortgage is an important step before you shop for
a home. It tells you how much home you can buy and
makes applying for your mortgage easier. A mortgage
prequalification can also give you additional leverage
with a seller in negotiating the best possible terms
of the sale.
Can I get a loan if I'm not
a U.S. citizen or if I live outside the country?
Yes. As long as the property
you are buying or refinancing is in the United States
We offer the following:
- Purchase Home mortgages
- Refinance Home mortgages
- Equity Second Loans
- Home Equity Lines of Credit
- First Time Homebuyer programs
- Residential construction-to-permanent mortgages
- Commercial mortgages
- Fixed Rate and Variable Rate Mortgages
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