Home Mortgage

Home Mortgage questions and answers

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Q: Home mortgage?
I have a mortgage of $100,000, and I want to pay it off super fast, so Ive been selling heaps of stuff on E.Bay, and putting the cash straight onto my home loan, what other ways can I generate cash?

A: Keep plugging away. I have overpaid my mortgage just about every month since I got my loan 4 years ago. I am now paid down to what I normally would have been at year 16 of paying, so it's a good feeling! But I am still not even at half of the payment going toward principal, more is still going to interest every month. At some point the principal amount applied will be more than the interest, and that's when the payoff will come quickly. Keep going, even if your over payments are sporatic. You can see that the $100 you pay now that is applied all to principal might be worth $1200 over the life of your mortgage. Here is a cool site: www.dinkytown.net they have over 200 financial calculators including mortgage calculators. You can enter a single payment made or a series of payments made and see how it affects your mortgage over the life of the loan.

Q: Mortgage on primary home to buy second home, can i deduct taxes?
my friend's primary home mortgage is paid off. she want to take a mortgage on the primary home in order to buy a second/vacation home. Can he deduct the taxes?

A: your best answer would be to contact either the IRS directly or a tax preparer in your area. Tax issues are not something you want to get an unauthorized opinion on.

Q: Which type of lending institution is better for a home mortgage; a mortgage company or traditional bank?
I'm not a first time home buyer. What are the pros and cons of using bank financing versus mortgage company financing to find the most competitive interest rates? This is for a home purchase, not refinance and my credit is excellant.

A: in terms of competitive rates, your bank is limited to the loans that are in the bank, as opposed to a mortgage company who will have thousands of options to fund your loan. The pro's of a local bank are the personal contact and you can build a relationship with them, which will encourage repeat business and you will then be able to get better rates from them As an investor I want to keep my funding as local as possible, find the banks that have very few branches and the want to give me business, as opposed to national banks or brokers that I am only a number too.

Q: What percentage of your net income should go towards a home mortgage?
Lets say you have $5000 coming in per month, how much is a safe amount to spend on a mortgage, while still saving some for car payments, other loans, insurance, groceries, emergencies, etc? My dad said a 1/4 of your net income is a good idea per month to spend on your home payments...agree? disagree?

A: Your father is exactly correct! Listen to him! The people on here that recommend, 33% as a mortgage payment are also the ones who have contributed to the mortgage crisis in this country today! 33% of your net income is too much. It doesn't leave you any buffer.

Q: Can I get a home mortgage if I have a lot of student loan debt?
I have debt from school, but I am interested in buying a home. Would I be able to get a mortgage?

A: most likely. You will just have to show them that you are able to pay your mortgage payment, insurance and taxes and also your student loans. They wont give you a mortgage loan if your credit ratio is out of whack, meaning that you owe a percentage more than what you earn per the credit you do have. You can get someone to cosign for you if anyone will do that for you, that would be your best option if you see some negative responses. Do not get tied into an adjustable rate mortgage, just some added advice. Also, apply for the federal first time home buyer grant. It is money for you to use to apply to the mortgage or down payment that the government grants first time home buyers with some general stipulations that you do not sell within 5 years, or rent within 2 or 3 years. But its money you dont have to pay back. Its a grant. Good luck!

Q: After closing on a home mortgage how long after the 3 day cancellation period may the lender delay payment?
I refinanced my home to get equity out of it. I closed on my loan and waited through the 3 day cancellation period. My new lender has excuse after excuse about why they are not paying! I now can't cancel the loan as I a past the cancellation period but I also cannot get my equity money or the payoff of the original mortgage. Now what? Is this illegal?

A: about http://www.google.com/custom?hl=en&client=pub-7176723447630046&cof=FORID%3A1%3BGL%3A1%3BS%3Ahttp%3A%2F%2Fwww.google.com%2Fadsense%3BL%3Ahttp%3A%2F%2Fi17.photobucket.com%2Falbums%2Fb92%2Ftheoperative%2F49.gif%3BLH%3A50%3BLW%3A57%3BLBGC%3A336699%3BLC%3A%230000ff%3BVLC%3A%23663399%3BGFNT%3A%230000ff%3BGIMP%3A%230000ff%3BDIV%3A%23336699%3B&domains=www.champs2007.multiply.com&ie=ISO-8859-1&oe=ISO-8859-1&q=home+mortgage+lender+delay+payment&btnG=Search&sitesearch=

Q: What does it mean when the company that you pay your home mortgage files for bankruptcy?
I pay my home mortgage to American Home Mortgage and I just saw online today that they are filing for bankruptcy.

A: it means nothing to your obligation to pay. keep paying on time and in full. the loan will belong to someone after all the dust settles and they'll still want all the money promised. there may be paperwork fun for AHM, its trustee in bankruptcy, etc. .. but that isn't your worry. *** Btw, most of the mortgages outfits like this service are actually sold to someone else ... you simply aren't told of that because you do not need to know -- the servicing outfit handles it. it may be that a new servicing outfit will be chosen somewhere down the road. if this happens, you'll be told in writing in plenty of time to change the name and address you send your payments to ... if/when that happens, I recommend continuing to put AHM's name on the check for a few months but to use the new address. If it really has been transfered to the new outfit, they'll have authority to use AHM's name for a bit. If it is a scam on 'official' letterhead, the scammer will have to lie to his bank to get the money and then you'll be able to get it back afterward. Can't be too careful these days, i'm afraid. :(

Q: How long can I get a mobile home mortgage?
I'm getting a divorce and eventually moving out, and I don't really want to throw money away on rent. I'm thinking of buying a mobile home (because they're inexpensive) but was wondering if I can get a full 30-year mortgage on one, so I can keep my payments as low as possible? (And no mobile home jokes, ok??) :)

A: Yes You Can get a federally insured mortgage for 30years I do them - email me

Q: Do credit unions really have the best deals on a home mortgage?
From the research I've done, the rates seem quite a bit better than most other banks. Is there a downside to getting a home mortgage from a credit union? Why wouldn't everyone do it if the rates are so much better?

A: The credit union is a member owned type institution, so there might be some rate savings. You must remember the way the mortgage business work. Some banks and credit unions only have a few mortgage products available. This is based on the make up of your managers of your credit union or bank. Some of these managers are very conservative therefore they will not offer any mortgage products except the ones they consider less riskier. They have a way of getting money to loan to their clients as long as they don't have an over abundance of negative assets on their books, that they can borrow from the federal reserve at very low rates to them. Then you have mortgage brokers and some mortgage bankers, they don't have any money nor away of getting any so they qualify and get approved by wholesale lenders that do business with them. They can get qualified and approved by as many of these wholesale lenders as they can. Based on the wholesale lenders critiera these mortgage bankers and brokers are allowed to act as a go between for clients that want to borrow mortgage money. These brokers/bankers are paid based on points they can charge up front or whatever the wholesale lender will give them called backend points. They mitght also charge a fee that is normally limited by the wholesale lender. These mortgage brokers/bankers are normally competitive with other banks or credit unions. They could have mortgage products your bank or credit union might not have or because of your bank or credit union management would not consider offering to their clients. If your credit union or bank can not get you a mortgage chances are you are through with them and your mortgage request is pretty much dead. With a mortgage banker/broker if they can not get one underwriter to underwrite a mortgage request they simply send the mortgage request to another underwriter using the same credit report and appraisal. I hope this has been of some use to you, good luck. "FIGHT ON"

Q: Can taking out a student loan affect my ability to get a home mortgage?
My husband and I will be looking at buying a house this year, but I am also interested in starting my Master's degree this fall. If I fill out financial aid paperwork before we buy a home, will it negatively affect my chances of getting a home mortgage?

A: That depends on the rest of your credit as well. You might want to get the mortgage BEFORE you get the student loan. Mortgage companies are a lot stricter than the financial aid companies. If you get the student loan first, you could hurt your chances of getting the mortgage. Good luck.

Q: Why do businesses like home mortgage(CountryWide) lead money to people who can not pay it back?
From the news media, there are a lot of home foreclosures from mortgage companies such as Countrywide. The employees who write these loans have business degrees and experience in home mortgages yet they go ahead and create and approve loans that can't be repaid! Can anyone explain to me why would any business do something like this?

A: Because they make their money from selling these bad loans in the marketplace to idiotic hedge fund investors who have no idea what they are even investing in. The bank takes the bad loans, packages them together with other bad loans, and sells the package. The banks make tens of billions of dollars and, when the loans go bad, lose just a few billion dollars, not nearly enough to make up what they made in the first place. Then, the Fed buys these bad loans with newly inflated money, and the banks are off the hook again. We shouldn't be surprised when banks can screw us over, make money, and then have their losses from screwing us over be transferred back to us through inflation.

Q: How hard (and expensive) is it to change names on home mortgage/deed?
My husband and I recently purchased our first home. My husband is active duty army so he does not need to become a resident to get the resident rate for property tax purchases. Since my name is on the mortgage papers we are not able to take advantage of this. I do not want to become a state resident because of other tax reasons (We are residents of Idaho for tax reasons-no state income tax on out-of-state military residents). Just wondering what is involved with taking me off the mortgage to save about 1200+ dollars a year? How much does it cost?

A: I hate to say it, you can't. Once you are on the mortgage, the only way to get you off is to refinance in his name only. This is even the case when a couple gets divorced: even when one person is awarded sole rights to the home, the other person stays on the mortgage until they refi. When you sign final mortgage docs you are locked in for 30 years or until you pay that mortgage off (either through selling, refinancing, or simply paying off the total). I'm sorry, but you are stuck on there until you do one of the above. And I can't say for sure without looking at your entire situation, but I think I can safely guess that it will cost you a lot more than $1,200 to refi. :)

Q: How do I calculate the APR of a home mortgage?
How do I calculate the APR of a home mortgage to compare program rates and fees?

A: Why would you need to? You are given a Truth In Lending statement that the lender could run for each hoome you are looking for. By law they have to provide that to you within 3 business days of loan application.

Q: What is the minimum interest rate that the IRS will allow on a home mortgage?
The IRS sets a minimum rate that can be charged for a home mortgage. That number has a special name which escapes me. Anybody know? Thanks

A: You may be talking about the imputed interest rules. If you are receiving or making payments for a loan or installment sale, but little or no interest is stated on the contract, the IRS assumes a rate of interest based on the published applicable federal rate. For instance, if you sold some land on an installment sale and agreed to receive the payments over a 10-year period interest free, the IRS would determine that part of your sales price was actually interest and calculate the interest amount based on the applicable federal rate. There are some loans exempt from the imputed interest rules, (1) the $10,000 gift loan exception and (2) the $100,000 gift loan exception. See irs.gov for details. Hope this helps.

Q: What I Need to Know Before Applying My First Home Mortgage?
i have a problem.i want make home mortgage but i dont know information about that.so what I need to know before applying my first home mortgage?

A: Before applying for your first home mortgage loan you will want to shop around and see what average home mortgage loan rates are. Shopping for home mortgage rates online is a timesaver and frequently have lower rates as well. Your home mortgage rate will affect how much money you have to pay back over the term of the loan, so the lower the better Reffer here for tips before make first home morgage http://the-home-mortgage.blogspot.com