Real estate market

The rate and term refinance, or “no cash-out” mortgage, deals with a straightforward refinance of an existing loan. The loan-to-value (LTV) ratios for non-cash-out refinances are higher than for cash-out, because cash-outs increase the lender’s risk exposure. Strictly speaking, conforming rate and term (non-cash-out) refinances—and their higher loan-to- value (LTV) ratios—are applied to the [...]

The main ingredient of the cash-out refinance is its option to provide the borrower with additional cash from an increased loan amount. This privilege comes at a price. Conforming lenders set lower limits on cash-out loans, as compared to non-cash-out refinances. Note that if the property has no current mortgage liens on it, [...]

To mortgage lenders, there are basically two types of refinances:
1. Cash-out
2. No cash-out (rate & term)
As the names imply, the difference is whether the borrower cashes out any of the property’s equity—although this may be too simple an explanation. Some rate & term refinances allow some cash back to the borrower.
Most cash-out [...]

As I mentioned in my previous article the longer the terms you wish to repay your mortgage the lower the monthly amount you have to pay. So it might seem a good idea to take a longer mortgage in order to lower the monthly installment, however, the longer you pay the bigger the charge for [...]

GFE is an abbreviation which stand for Good Faith Estimate. It is a kind of reply to your mortgage application which the bank you are applying to is obliged to send you within three days of receiving your application. Such an Estimate is supposed to help you understand or sum up the most vital terms [...]

One of the final points in your mortgage contract might mention your broker’s fee. It is always good to make sure if it is there as in some cases brokers receive commission from the company they work for whereas at other times they may want to charge 1% or 2% of the amount you are [...]

Basically mortgages can be divided into to types: those with fixed interest rates and those with mortgages whose interest rates change on a periodic schedule. In this short article I will present some of the pros and cons of fixed interest are mortgages and their types.
The most traditional, and probably the best known, is the [...]

At present the majority of banks does not make too big a fuss when you want to take a big loan, or even a mortgage so you might get surprised how fast you will get one. Therefore, it is easy to forget that the banks’ primary concern is not necessarily your welfare, but making profits [...]