I Need A Mortgage To Purchase A Home

Financing your home purchase is an integral part of the home-buying process; the mortgage loan is customarily the portion of the process that determines whether or not your escrow will close on time and in accordance with your purchase contract.

As real estate brokers, we understand that it is imperative that you have your financing in order before purchasing your home; this helps to eliminate the issues that generally materialize during the home-buying process.  Most importantly, it informs you of what your mortgage payment will be.

We want to make sure that we help put you into a home that you can afford today, and in the future, which is why we always discuss your options, and include expenses like taxes and insurance when reviewing your proposed payments.  We will also explain the different down-payment options and loan programs available to you, so that you can make the most informed decision based on your current financial situation.

If you would like us to contact your regarding obtaining a mortgage for the purchase of your new home, please provide us with your contact information below.

I Am Considering Refinancing My Home

There are many reasons that prompt home-owners to consider refinancing: lowering their current rate and payment, obtaining a fixed rate loan, shortening their term, cashing-out to consolidate debt, or several other motivating factors; whatever your reason may be, we will take the time to review your needs and advise you regarding all of your options.

While it is important to consider your short-term needs and goals when determining whether or not to refinance, or which program is best for you, it is also imperative to consider what your long term goals are.  On the surface, it may appear as though it would be beneficial to refinance because it would result in lowering your monthly payment by one hundred dollars ($100.00), but if it cost ten thousand dollars ($10,000.00) to do so, then do the costs outweigh the benefits?  

This is a difficult question, that may vary based upon the individual client's overall financial circumstances; however, it is one that is rarely explored by most financial advisors or even large lenders.  We want to make sure that we bring to light all factors regarding your potential refinance, to ensure that you can make the best decision based on all facts, not just the ones that would persuade you into refinancing.

If you would like us to contact you regarding refinancing, please provide us with your contact information below.

Conventional Loans versus Government Loans

The terms "Conventional" Loan and "Government" Loan (which are  FHA or VA Loans), are used all of the time, but what do they mean, what are the differences, and why would you choose one program over the other?

Conventional Loans are loans that are eligible for delivery to (i.e. can be sold to) Fannie Mae (FNMA) or Freddie Mac (FHLMC) by your mortgage lender.  Because these loans meet either FNMA's or FHLMC's guidelines, there are many lenders or investors that are willing to fund and/or purchase them; this is because borrowers whom qualify for these types of loans generally represent a low risk.  Based on this, lenders and servicers can feel confident that if they no longer want to retain or service these loans, other investors (also known as the secondary market), will purchase them, and free up the current lender's capital, so that they can continue to originate new loans.

Government Loans [which are predominately  comprised of Federal Housing Administration (FHA) and Department of Veteran's Affairs (VA) loans], are loans insured by these agencies.  The insurance is paid by the borrower, either via up front mortgage insurance premium (UFMIP) and monthly mortgage insurance for FHA loans, and via a VA Funding Fee for VA loans; therefore, they may generally cost the borrower more than a Conventional Loan.  Government loans tend to allow for higher loan-to-value (LTV) ratios, which means that the borrower is required to tender a smaller down payment; this is also part of the reason why mortgage insurance may be required.

Additionally, if you currently have a FHA mortgage, you may qualify for a streamline refinance.  This low-document refinance can generally be processed without an appraisal, or income documentation.

Every borrower is different, as are their circumstances and needs, which is why a Conventional Loan may work for some, while a Government Loan may be better for others; the key is to have an advocate explain your options and give you the information required so that you can make the best decision based on your goals.

If you would like more information regarding Government or Conventional Loans, please provide us with your contact information below.