Expert Advice from Amy & Kyle Bergquist at Keller Williams Legacy Partners
Mortgage rates have been on the rise over the past couple of weeks. They have been the subject of numerous articles, but authors rarely take the time to translate the increase to something we can all understand – an actual cost in dollars. Let’s fire up Excel! We’re going to look at homes at two price points; a starter home at $250,000 and a mid-level home at $500,000. Both are very common in Greater Hartford.
If you’re thinking about buying a home, you’ll need to get preapproved for a mortgage. One of the big components of your “lendability” will be your credit score. All consumers are entitled to a free annual credit report. So, be proactive and find out your score today!
Congress is starting to rumble about devising a program to bailout subprime borrowers. Now that adjustable rates have started to rise, potentially 1.1 million homeowners could be forced into foreclosure in the next 6 months. The government isn’t suggesting it will pay off loans, but that a program focused on counseling and loan restructuring could help the problem. No offense, but I don’t want my tax dollars to pay for this program. Why isn’t accountability
I attended a government loan seminar yesterday and picked up some interesting information I thought I would share… Advantages of an FHA Mortgage – No reserves are required to qualify – Lower monthly mortgage insurance – Lower closing costs and no “junk” fees allowed – Gift money is allowed for your entire downpayment – Generous debt to income ratios are allowed (sometimes up to 49%) – Lower credit scores considered (a FICO score as low
According to a survey recently administered by Bankrate.com, apparently 30% of US homeowners have no idea what type of mortgage they own. One of the biggest investments a person will ever make and they don’t understand the terms of the loan, or the implications of how their monthly payments will change as interest rates fluctuate. It frustrates me to know that mortgage lenders and real estate professionals took advantage of individuals that didn’t know what