If you have been shopping for a mortgage, chances are you have found the process to be overwhelming and confusing. Besides the hundreds of loan programs, it can still be quite confusing even if you are only looking for the plain vanilla 30-year fixed mortgage, due to the different ways in which the mortgage company quotes their rates and fees. Unfortunately, there is no … [Read more...]
Home Mortgage Interest Deduction Guide
As a homeowner, you can get mortgage interest deduction for the interest paid towards your primary or second home mortgages from your personal income, subject to certain conditions and qualifications. In addition to interest deduction, mortgage points paid towards the loan closing, PMI, insurance premiums and other relevant costs may also be eligible for deduction. In order … [Read more...]
3 Reasons You Might Not Get the Best Interest Rate Advertised
You see that interest rates have dropped and a commercial catches your eye that advertises the lowest rate you have seen in a long time. You run over to the bank that advertised the rate with the high hopes that you will be able to get that rate and save a ton of money every month, only to have your hopes dashed. After completing your application and receiving the interest rate … [Read more...]
What’s in a Mortgage Rate?
Mortgages traditionally come in a 30-year variety; in fact, the most popular home loan by a big margin is a 30-year fixed mortgage. However, a 30-year mortgage isn’t your only option; mortgages also come in a 15-year variety, typically with a significantly higher payment. When should you choose 15, and when should you take 30? Benefits of 30-year mortgages 30-year … [Read more...]
Watch Out For These Common Mortgage Advertising Gimmicks
If you’ve ever seen or heard mortgage advertisements on TV, the internet, or the radio, you’ve probably heard some pretty exceptional interest rates advertised. By law, all advertised rate quotes have to be legitimate, meaning the lender can’t advertise them unless they can truly deliver on them, but there’s plenty of gimmicks buried in the fine print that make them unrealistic … [Read more...]
How is your Interest Rate Determined for a Home Loan?
The interest rate is often the most worried about component of a home mortgage. Most people base their decision on the rate they receive. Truth be told, there are many other factors to consider including the closing costs, amount of mortgage insurance, and the terms of the loan, but here we are going to take a look at the interest rate alone and what affects it. No two … [Read more...]