Home Mortgage and Financing Terms
Every business has it's jargon and residential real estate is no exception. Mark Nash author of 1001 Tips for Buying and Selling a Home shares commonly used mortgage and financing terms with home buyers and sellers.-Adjustable rate mortgage (ARM): A type of mortgage loan whose interest rate is tied ... more...

Mortgage-Refinance Treachery: Avoid Mortgage Bankers and Brokers Biggest Trick -- The Sales Pitch
What the average homeowner or home buyer fails to realize is that bankers, loan officers, mortgage brokers, or whatever your lenders call themselves, are salesmen. Certainly, if you purchased your home from a realtor and used her lender, you most likely got a feeling of trust in that person, ... more...

Ending Your Private Mortgage Insurance Early
Private mortgage insurance, or PMI, is the safety net of the lender. PMI benefits lenders because it guarantees payment on the balance of loans not covered by the sale of foreclosed properties.If a borrower makes a down payment of 20% of the cost of the home, the lender can generally trust that he ... more...

Mortgage Terms Explained
When you are hunting for a mortgage, you will find that there are many different types of mortgages available. I will list some of the more common ones and their uses.15 vs 30 YearsYour mortgage term can be just about anything you choose. 15 and 30 year terms are popular these days, although 10 ... more...

Adjustable Rate Mortgage - How They Work?
How does an ARM work.The borrowers interest rate is determined initially by the cost of money and the time the loan is made. Once the rate has been set, and it is tied to one of several widely recognized and published indexes , and future interest adjustments are based on the upward an downward ... more...

Fixed Rate Mortgage or ARM? Which is Better?
The fixed rate mortgage offers the certainty of a constant monthly payment, but an adjustable may seduce you with its lower payment. Security or affordability? Which do you choose? Just what is a home buyer to do?Which loan you eventually choose may depend more upon your personality than a careful ... more...

Interest Only Loans
These days, as people scramble for new and more creative ways to finance buying a home, the interest only mortgage is becoming more common and well known. An interest only mortgage is one in which you have the option of paying only the interest (or just the interest and a portion of the principal) ... more...

Option ARM Mortgage Loan - Is This Really for You?
What happened to the days of a 15 or 30 year fixed rate mortgage loan? Ultimately this is the safest and most popular mortgage loan product in our industry, but new mortgage products are hitting the market, and we in the mortgage business are using them to our advantage; ever heard the radio ... more...

Mortgage Prepayments and Penalties for Dummies
Regular mortgage monthly payment already covers payment on interest. Any extra or additional payment refers to prepayment. Mortgagor or borrower often asks why I have to pay penalty on prepayment or refinance. Since the mortgage companies loses payment on interest, the mortgagor or borrower needs ... more...