kyranlis asked:


My husband is Canadian, I am a US citizen and we live in the US. We want to buy a home in Canada and are looking for a mortgage lender that will do a US/Canada mortgage. Any help would be appreciated.

Jerry

Rony Walker asked:


A 15-year loan term has many advantages, although it may appear to be expensive because of the higher monthly amortization. However, a shorter loan term assures you that you’ll be free from this burden before or at the time of retirement and save thousands of dollars. Consider having your loan restructured to a shorter loan term.

Benefits of a Shorter Loan Term

The prospect of spending 30 years paying back a mortgage is discouraging. If you have 20 years remaining on your loan, the option to shorten your loan term to 15 can be tempting. Taking away 5 years from a 20-year loan means a higher monthly bill, but freedom from the mortgage after 15 years instead of 20 is definitely more appealing. But if it’s only a matter of a few hundred dollars more, why not? Never mind if you’ll be paying a higher monthly bill.

You’ll be saving thousands of dollars from interests alone with the five years knocked off from the 20-year loan term. Another benefit is building your home equity faster. A refinance mortgage loan offers the chance to restructure your terms.

What’s Involved

For a home mortgage, the lender will pull your credit record to check if you’ve been paying your debts on time. You’ll also be paying the fees involved before, during, and after your loan is processed.

The lender will assess all the information to evaluate if you are a good risk for a shorter loan term. If you’re dealing with the same lender, the process won’t be as rigorous and as lengthy like it would be if you go to a new lender.

It’s a fact that lenders prefer long-term mortgages because it rakes in more profits. To counter loss in future profits, lenders penalize borrowers for paying their mortgage ahead of term. This is why prospective borrowers should always inquire if the lender charges prepayment penalties.

Assuming that your lender does not charge penalties on prepayment, you have to contend instead with the closing costs for your refinance mortgage loan.

Others get a refinance mortgage loan to switch to a short term interest only loan. They are banking on the equity of the house and intend to sell it in the near future. The proceeds of the sale will go to the interest and they can still have extra money from the profit. In your case, you’re looking at the full ownership of your home in a shorter time.

For a new loan, you can decide if you want a fixed rate mortgage or an ARM. An online calculator can compute how much you’re going to pay the monthly bill in 15 years’ time. From the calculations, you’ll be able to determine the feasibility of a short term ARM or fixed rate refinance mortgage loan.

Short Term or Long Term?

A short term, or traditional loan, will always depend on your financial situation and future plans. A short-term refi is ideal now that interest rates are low. You’ll be surprised that you’ll be paying the same monthly fee as your first mortgage, so there’s not much of a change in the monthly bills. The prospect of paying off your loan in 15 years, however, is imminent. For those who feel secure with the stability of the traditional 30-year loan term, switching from an ARM to a fixed rate refinance mortgage loan is recommended.



Wayne

Adam Hefner asked:


Reverse mortgage loans were made specifically to help seniors cash out equity built up in their homes without incurring any monthly payments or risk losing their house if a new loan defaults. This money can be drawn out as a single lump sum or as a stream of monthly payments. The terms and process to secure these reverse mortgages can be complex. It is best to fully research how they work if you are considering a reverse mortgage. There are rules governing who is eligible for reverse mortgages. Firstly, you must be at least 62 years of age at the time of the mortgage closing. These loans can be subjected to abuse by some unscrupulous lenders. For that reason, the law mandates that reverse loan applicants first attend an education course approved by the government. This is free and provides valuable information. As indicated, there are no payments due on money taken out on these loans until one of three scenarios happen. The first is if the borrower passes away. The second is if the borrower leaves the home and no longer resides there. The third is if the home is sold. So, there is no scenario where the borrower still owns and lives in the home that require payment or subject them to losing their home. If there are any outstanding normal mortgages attached to the home, then they must be paid in full with the proceeds of the reverse mortgage with the balance of the reverse mortgage going to the borrower. The amount of funds available on a given reverse mortgage is controlled by several factors. The first factor is the value of the home. The borrower is able to take out a higher reverse mortgage amount commensurate with the appraised market value of the property. The second factor is current market interest rates. The higher the current benchmark interest rate then the less that can be secured in a reverse mortgage. With a reverse mortgage, the age of the borrower becomes a factor. The older the borrower is, the more that can be borrowed with these type loans. As stated before, the minimum age is 62 to begin with. There are formulas used by various lenders to adjust the amount available depending upon the home owner’s age. Most of them are available online at the applicable sites. Your location can also impact the amount available to you from a reverse mortgage. Each county can have different formulas thus yielding varying amounts which can be cashed out. Additionally, how you take the money can effect the calculation. If you are willing to take the pay out in monthly payments, then the amount increases. Reverse mortgage loans can be complex, but they also can be greatly beneficial to seniors need to supplement fixed incomes. They present an avenue to clear all bills and not have to worry about being forced to leave their home. Just ensure you are fully armed with all the information before entering the process.



Michele

Herald Gumpsten asked:


Mortgage loans are the loans obtained for the purchase of property or for the purpose of refinances obtained from the mortgage brokers, banks, property owners or from online lenders. Such mortgage loans are generally long term loans where the contact may normally exist for 15 years or 30 years. The mortgage loans may be obtained either directly or through intermediaries.

There are certain important terms, which are required to be known under mortgage loans:

Property: the land, residence, or building over which the contract is entered into.

Mortgage: the lender creates certain security restrictions such as payment of outstanding debts before selling the property.

Lender: the bank or the financial intermediaries.

Borrower: the person obtaining the mortgage loan.

Interest: charges obtained for using the lender’s finance.

Foreclosure: this is a very essential element in case ant defaults in the payments are being made and the lender has the right to seize the property.

When a mortgage loan is closed, the mortgagee needs to sign documents such that the mortgager has a lien against the mortgaged property. If the borrower fails to make the payments, the lender has every right to take over the property by the foreclosure process.

In certain situations, the borrower needs to pay to the lender some extra payment apart from that of the principle and interest for the mortgage loans take. Such extra charges may be for the property hazard insurance and real estate taxes. As a normal practice, the amount required for taxes and insurance is calculated and divided into monthly charges, which are added to the cost of principle and interest. Such amount, which is collected monthly, is placed in an account called escrow account and the payment of taxes and insurance are made annually when required. There are many types of mortgage loans, which vary according to different characteristics.



Juan

cantholdmd asked:


30 year fixed? 2/1 ARM? I need a loan with no PMI and low points and the lowest possible mortgage payment a month. What Im working with:

Credit score 600
Annual assets (Salary) 34500
Monthly Debt: 70
House loan amount: 106000
Available to put towards closing costs (Including down payment) 12000

Any ideas?

Troy

zidag123 asked:


I recently wanted to purchase a house in Israel and was told that I could not receive a mortgage from a US bank for this purchase. I can’t understand this. I don’t think that they would have any trouble with foreclosure in foreigh courts so what’s the deal?

Bertha

Bill T asked:


My mortgage loan has been approved, but I have to wait for an underwriting at this point. Can you explain what does it mean?

Nathan

Ernesto Maitim asked:


cide on refinancing your mortgage, however, you are hesitant because you unfortunately have a bad credit to present, then fret not. The fact is that it is possible to refinance mortgage loans for bad credit as there are actually many mortgage companies that are willing to help you secure a loan – good credit or not. Mortgage lending companies can assist you in getting a mortgage refinancing loan and even throw in some important tips on how to better improve your credit score. Bad credit rating results because of many factors such as late payments, no payment, unemployment, illness, and other unavoidable expenses. All this can contribute to the detrimental of the credit rating. If you are able to refinance your mortgage loans for bad credit, this means being able to get some cash that you can use to pay the existing debts. Consequently its effect on your credit is positive and can help you improve significantly your credit rating. Whether with poor credit or not, you are still qualified for a refinance mortgage loan. Approval can be possible even if the application is done online. Remember, there are numerous lenders eager to get you as their client and so quick approval of application is one of the popular attractions, apart from great quotes and terms. Even if you possess bad credit, all that you have to do is get a lending company specializing in sub prime refinance loans. Approval for a loan can be quick, with low rates thrown in – helping you to have money every month. Indeed, refinancing mortgage loans for bad credit is a great way to have cash, settle you existing debts and consequently restore you rating. Less than perfect credit should not be a hindrance to your pursuit of improved credit. Go ahead and work towards realizing your goal of financial freedom via refinance mortgage loans. For more refinance home mortgage loans and other mortgage and loan articles, do visit us at Refinance Home Mortgage for You blog.

Bill

Vaibhav Aggarwal asked:


Over the past decade, thanks to a real estate market in Florida that has been performing consistently well, mortgage loan has become a viable and cost effective option. This, in turn, has made the credit or loan option for Florida mortgage loans easily available to those who are seriously considering a purchase of property in Florida.

A mortgage loan in Florida is surely in everyone’s grasp. You take into account some initial considerations and that’s that. Everything will be smooth.

First of all, determine the length of your mortgage. This, in turn, depends on many factors, including the current financial situation, your total earnings, your expected earnings in near future, your goals for the future and more. Most importantly, you would need to consider how much you can afford to spend each month while still maintaining a comfortable amount of cash reserve in the event of an emergency. This is by far the most important pre-consideration where many individuals miss out.

A 30-year loan or a 15-year loan?

The term of the loan is an important determinant and this is where many of us are still in the dark. Typically, a Florida mortgage will be available to you in to types: long term mortgage (30 years) and shorter time mortgage loans (10 to 15 years). You would need to consider your financial situation very carefully before deciding on the tenure.

A short time mortgage means lesser amount of money since you would be paying interest on your mortgage for a shorter period of time. However, a shorter-term mortgage loan will make your monthly payments considerably higher. This would mean that you will have lesser disposable income for your daily needs. , meaning you will have less disposable income.

A longer-term loan means an overall higher payment since the rate of interest is accumulated over a longer period. However, a longer-term mortgage means you will pay more money in interest over the life of the loan, but you will have lower monthly mortgage payments and more money to spend elsewhere.

Whichever term you choose, you should consider the options very carefully and then choose the one with which you should go for.



Duane

Josh Spaulding asked:


Deciding on what kind of loan to get is confusing enough – Unfortunately, getting a mortgage loan in California adds its own spin. There are several important differences between getting a loan in California versus anywhere else in the country. This article will explore some of those differences, as well as give you a few valuable tips for choosing the right mortgage loans.

One big difference between California mortgage loans and other loans is that they must be insured against flood and earthquake. Lenders that will originate a loan without insurance in California are few and far between. Because insurance is generally based on the price of the property, which tends to be high in California, insurance prices are a real concern lenders and borrowers alike.

Another difference between California mortgage loans and loans from other areas is the terms of loans. Because of differences in interest rates and home prices, home loans can stretch up to 50 years – As opposed to the usual 30 years over the rest of the country.

When you’re getting a loan in California, it’s important to both educate yourself and to shop around for the best terms and rates. Whatever your financial situation, whether you’re looking to put zero down or 30% down, finding the right lender will make a huge difference.

Working with a mortgage broker can be another great way to help find the perfect loan. Mortgage brokers have dozens, if not hundreds of lenders they work with to provide you with the perfect loan. Better yet, working with a mortgage broker doesn’t cost you an extra dime: They usually split the closing costs that the banks would have charged you anyway.

Once you find a loan you’re interested in, be sure you know what all the costs involved are, including mortgage insurance, property taxes, legal, and closing costs.



Shane