Mortgage After Bankruptcy

If you have had a recent bankruptcy or a foreclosure, and you are looking to buy a new home, or refinance an existing home, you're in luck! I have a handful of niche lenders who cater to this market.

My name's Scot King, and I'm a licensed mortgage broker for Pacific West Capital here in California. My firm is approved with over 150 lenders many of which deal in subprime loans. In a nutshell it works as follows:

If you had bankruptcy discharged, either a Chapter 7 or a Chapter 13, in the last 12 months, and you know for a fact that your middle credit of the three credit reposotories (i.e. Experian, Transunion, and Equifax) is above 580, you may qualify for 100% financing, that's right, that's no money down financing! You will be required to verify your income with documentation, and your housing payment history must be good for the last 12 months. You must show that you have not been over 30 days late on any mortgage or rental payments. Proof of this is shown via cancelled checks front and back. If you rented from an apartment complex, a verification of rent (VOR) is usually acceptable. If you had a private landlord, it gets a little more tricky. I have a lender who does not require any VOR but you do need to have a qualifying tradeline or two. So, if you put everything into the Chapter 7 or Chapter 13, and didn't maintain any accounts, we may need to use an alternative tradeline. This can be done if you have a cell phone bill, a utility bill, or a similar account which you know that you have always paid on time with for the last 12 months. Again, this needs to be documented for the underwriter with either cancelled checks or possibly with a statement from the creditor showing a history of payments and when they were applied to your account.

The key to obtaining the no money down financing is your credit score. It can be the very day after your bankruptcy has discharged as long as you have the score, which again is a 580 plus. After a bk discharge, it is common to see scores drop down into the 500s and sometimes below 500. If you also had a foreclosure within the last twelve months, the no money down financing can still be done, but the pricing isn't too pretty. You have to sort of take what you can get and get your foot in the door. As long as you make your payments on time for usually 2 years, depending on when your bankruptcy discharged, or when you had your foreclosure, you can refinance out of the loan into something better at a later time.

Another thing to keep in mind is that this is only for stick built homes, (i.e. single family residences, condos, townhouses, and modular homes) No Manufactured homes. The financing is accomplished either by doing one loan at 100% of the purchase price or with an 80/20 combo. The 80/20 usually beats the one loan by about 1% in interest and it goes to those individuals with the scores under 600.

If you are short on cash for closing costs, the seller may contribute up to 6% of the purchase price a credit towards your closing costs (non-recurring). It's always good when you can come in with at least something of your own. Usually you will be required to do this for some of the prepaid expenses including interest,property taxes, and hazard insurance.

What Is A 2nd Mortgage?

A 2nd mortgage refers to a secured loan taken on a property, which has already been used as a security in a loan once before. It refers to the second loan in sequence, as it is subordinate to the first loan on the same property. The 2nd mortgage lender can exercise his rights only after those of the first have been entirely met. One can take the 2nd mortgage for several different reasons including for paying off some debt, to finance education or even to renovate ones house! If you feel that your debt repayment is pretty huge, then maybe you should consider taking a 2nd mortgage. There are generally two types of 2nd mortgage:

· Fixed Rate Loans
· Line of credit

Fixed Rate loan - The 2nd mortgage at a fixed rate loan is similar to a first mortgage where you can get a lump sum payment and then pay up the loan in installments over a set period of time. The difference with the first mortgage being is that the 2nd mortgage lender can only exercise his rights on your home, after all the rights of the first mortgage holder has been satisfied. Since the mortgage lender is subject to increased risk, the rate of interest on the 2nd mortgage home loan is generally higher compared to the first one.

Home-equity Line of Credit - a Home-equity line of credit is a variable rate loan, where the borrower is assigned a specified spending limit and can withdraw money as and when required up to this limit. Generally, a variable interest rate is charged in this case, which can lead to increasing interest burden in case of a rise in interest rates.

Both these loans can help you reduce your debt burden. Additionally, 2nd mortgage would also lead to some savings in your tax, as the interest can be deducted from your income while calculating your tax burden. However, one must be careful while availing a 2nd mortgage loan. If the combined value of both the 1st and 2nd mortgage exceeds the value of your home, you could be in a position where you will even the sale of your house will not be able to pay off both your debts. 2nd mortgage also known as home-equity loan gained wide spread popularity in 1996.

Though the interest chargeable on a 2nd mortgage loan is generally higher than that charged on a first mortgage, it is never the less lower than the interest which is paid on credit cards and other consumer loans. The primary reason why people avail of a 2nd mortgage loan is to pay off their balance dues on credit cards. So in addition to lower interest (compared to your credit cards), one can avail of tax benefits also via a 2nd mortgage. However, before mortgaging your house for a second time, make sure you have the means to make the payments before its due date. But if you believe you a responsible borrower and have a steady and regular source of income to meet the loan along with its interest obligation, then it makes sense to avail of this loan.

How to Reduce Your Mortgage by 10 Years or More?

A big rise in home ownership over the past 20 years means that people are in debt because of mortgage borrowing. Invariably, a mortgage is a huge and life long commitment and can go into ones retirement. There is evidence that a mortgage loan can run into couple of generations in some countries. For example, father buys a home for himself and the grand children finish paying for it. Luckily, it is not as bad as that in the western society yet.

Good news is that there are ways to reduce your monthly instalments in respect of your mortgage. Lower monthly outgoings can mean an increase in your disposable income. Bigger disposable income helps to improve the quality of your life. Better and improved quality of life does not stop there, below are two strategies to help you get rid of the burden of mortgage debt:-

Switch your mortgage between lenders.

In the absence of switching lenders on a daily basis, you can switch your mortgage between different lenders and each time taking advantage of the best deal. For example, Bank of America is offering a discounted deal at the introductory rate of 2.99% fixed for 3 years. The normal arrangement with discounted deals is that the interest rate reverts back to the standard variable rate at the end of that initial 3 year discounted period.

If the saving you make via this special deal translates into say $3,000 per year. You have the option of reducing you total mortgage by $3,000 by making a lump sum payment $3,000 to your lender at the end of the year and reduce your total borrowing. Over three years, you can reduce your borrowing by $9,000.

At the end of that three year special deal, look for some other lender with a similar or better deal and just switch your mortgage. But, it will cost me money to switch lenders? Not at all. Most lenders will cover all your switching costs. Taking advantage of another three year discounted deal will result in another $9,000 saving. You can switch and save money for the life of your mortgage and make yearly lump sum payments until your mortgage is paid in full.

How much money have I saved & how many years can I shave off my mortgage from these savings?
The money you save by the discounted deal over 4 years is equal to two year's mortgage payment. Therefore, over 20 years of switching between lenders you will shaved 10 years off your mortgage. For example, you will have reduced your 30 years mortgage to 20 years in a straight line.

Opt for a daily interest rate mortgage and not for an APR (Annual percentage rate) one.

Deals like one account offer you the chance to pay interest on your mortgage on a daily basis. The distinct advantage of one accounts is the total flexibility. It is a life style mortgage because it gives you payments holidays if you so desire. Smaller payments due to change in financial circumstances is also possible.

Total flexibility in the way you want to pay your mortgage also allows you to make higher payments towards your mortgage debt. An extra payment of $10, $20 or $40 per month, it is estimated, can reduce your total mortgage by as much as 10 years.

Flexible mortgage does not need to be switched between lenders every three years. So, you can save yourself the hassle of switching between lenders. You can choose to make lower payments but if you want to pay your mortgage off early then pay a bigger instalment than required and you would have paid your mortgage ten or so years before time.

Finally, we have outlined two methods of reducing your mortgage payments. I am sure there are other equally valid methods and products on the market. We recommend a thorough search of the market and products before making a commitment.

Article Source: http://www.realestatearticlesdirect.com/articles


Pay off your mortgage early and live life. This is possible. For more information on mortgage products visit the mortgage info. site www.4mortgagessite.com and take action.

What is a Commercial Mortgage?

The loan that is taken out to buy a business asset is generally termed as commercial mortgage. Commercial mortgages are used to buy offices, shops, restaurants or other type of (generally) building. But they can also be used to buy other business assets such as plant or machinery.

As well as being a useful way of financing the purchase of business premises for a new business, commercial mortgages can also be an excellent way of funding the expansion of an existing business. A commercial mortgage can also be used to fund investment in land or property which will be used for commercial purposes.

Cost wise, a commercial mortgage is generally cheaper than a outright unsecured loan. This is because the mortgage is offered against some business assets, and only if the business logic and makes sense, and business plan supports it. This also means that the payment terms are also longer, generally 10 or more years. So the repayment amount is not that high, making a better option for a business' cash flow.

Can you remortgage an existing commercial mortgage?

Of course. If you already have a commercial mortgage on your company's business premises, you might find you could benefit from remortgaging.

A commercial remortgage allows you to unlock some of the equity that is currently tied up in your commercial property. It could also be a chance to switch to a more competitive, cheaper mortgage, especially if your or your company's credit rating and business history have improved since you took out your original commercial mortgage.

The money you free up through a commercial remortgage can be used for all sorts of things for your business. For example, you could purchase additional stock, or invest in new machinery or other fixed assets such as vehicles. Another use for the extra money can be to pay off outstanding bills, or clear other borrowings such as the company's overdraft.

Here are some typical uses for a commercial mortgage or remortgage:

- Borrowing money to buy a shop

- Raising finance to purchase an office building

- Buying a pub

- Financing the purchase of a restaurant

- Buying a hotel

- Buying a house to convert to a Bed & Breakfast (B&B)

- Raising finance to buy an existing business

- Clearing a business overdraft

- Improving business cashflow

- Buying new plant or machinery

- Financing the purchase of company vans and other vehicles

- Borrowing money to buy extra stock for your business

- Funding the expansion or refurbishment of your offices

- Borrowing money to pay for training

- Buying land for business purposes

It is always best to shop around and secure the best deal for your business. With fierce competition among banks, it is always possible to secure the mortgage on favourable terms to YOUR business, and not to the bank.

50 Year Mortgages, Are They Better than a Interest Only Loan?

As real estate prices have soared lately in several hotspots like Las Vegas, much of California, Florida, and others, banks and mortgage companies are now spreading out payments to 50 years to make them more affordable. Prior to these 50 year mortgages, interest only mortgages were touted as the way to go. The question is which is better.

First let's digress on what an interest only mortgage is. Interest only mortgages or loans aren't permanently interest only. The buyer only has 2 - 5 years, after which they must resume paying on the principle which has grown during that time. Many buyers may find themselves unable to pay the higher payments that come at the end of this interest only period. In this sense, interest only loans are similar to ARM's, and have similar default and foreclosure rates (higher than for regular fixed mortgages where the payment stays the same throughout).

A 50 year mortgage, basically spreads your payments out and greatly increases the amount of interest you will payback and reduces your buildup of equity. Alex Diaz Jr., vice president of Statewide Bancorp in Rancho Cucamonga, said the 50-year mortgage has particular appeal in California because prices are higher than the rest of the country.
"The 30-year fixed mortgage is great, but with gas prices so high, people we're dealing with are concerned about making prices work, and the 50-year is something they're starting to consider," said Diaz. The real estate market has grown by leaps and bounds in California with the average home selling in excess of $300,000.

The 50 year mortgage does 3 things, it makes it easies for someone to buy a home in these high price areas, it helps buffer and insulate against a housing bubble or possible localized deflation, and it keeps selling prices high. But, so does the interest only loan, or does it? The problem with the interest only loan is that it does not insulate or protect buyers from increasing principle, negative equity (which can happen if there is a drop in housing prices), and increasing payments. With this in mind, and the fact that there is only a very minor difference in initial payments (payments over the interest only period), clearly the 50 year mortgage is a safer bet and a better way to go.

A good tactic to use is to do bimonthly payments which will reduce the interest and term of the loan saving you thousands of dollars. Many lenders are now offering this option. Yes, as they say, the real money in real estate is made from buying low and selling high. The problem is that in some of these hot communities the selling price ends up being higher than the asking price and houses aren't on the market for long at all. So, buying low is out of the question. Just try finding a foreclosure or HUD home for sale in California. In these hot communities the money is made by hedging on great yearly increases and returns on additions and expensive upgrades. And money can be made, but with a uncertain future, it is best to have a payment set in stone - always use a fixed term and rate mortgage. You can still sell in five years or less, make money, and have the added comfort of a fixed payment.

Spanish Mortgages - Widen Your Horizons

Ever dreamed of running away to live in the sun? Whereas people used to aspire to a second home in a seaside resort, thousands are now looking further afield to find their dream lifestyle.

It's a seductive image - sunny weather, relatively cheap property, and with low-cost flights running several direct flights a day from the UK and easy to get to. You may want to retire to the Med, or you may want a holiday home with sunshine virtually guaranteed. Either way, the market in overseas property has gone ballistic in recent years and there are now dedicated companies to help you find your own Spanish casa.

Where To Go

The most popular destinations for Brits are in the south of Spain - the climate and easy access to the beach are great attractions, and many people have fallen in love with the Costas while on holiday. But there's a lot more to Spain than the south - which some people might find too crowded or too hot in the summer months.

While the Atlantic coast is colder, you may want to consider the Balearic Islands or the Canaries. Some online estate agents specialise in a particular region. You should think about what you want when considering the location - town or country, how close to the coast you want, transport for getting to and from the property, whether there's enough of an entertainment scene for you. If you are intending to retire to the property, will you want a city flat with nightclubs nearby, or a peaceful hideaway with no neighbours?

What To Look For

You have several choices - everything from buying a finca (a plot of land or a property with land in a rural location outside town, usually inland), to an 'Urbanizacione' - a housing estate, often with beach frontage. Buying a home to renovate is a popular dream, although it may actually be cheaper to have a new home built than to fix up an old one.

There's been such a demand for property in Spain that in some areas people are buying houses 'off-plan' - or before they have been built. You can see plans or a show home, choose your location and have a say in the design of the house. This is often a cheaper way to buy, paying in instalments with an initial deposit. Villas are detached houses, built especially for holidaymakers. These are usually more expensive than other houses.

Is A Reverse Mortgage Right For You?

In the last few years reverse mortgages have been growing in popularity among the elderly. While there are numerous advantages associated with reverse mortgages there are also disadvantages as well. Before you take out a reverse mortgage, be sure you have the whole story.

First, understand what is involved in a reverse mortgage. Basically, this type of mortgage allows you to transfer a portion of your equity into cash without the need to take on an additional monthly bill, as is the case with a regular home equity loan, or sell your home. With a reverse home mortgage, unlike a regular mortgage, you receive money for the equity in your home and are not obligated to pay it back until you are no longer living in your home. It should be understood that the money will need to be paid back; either when you sell your home, move to another principal residence or die. In the event that you have a lot of equity in your home but you’re having difficulty meeting your monthly financial obligations, this can be a good option. Other advantages include the fact that the money you receive from the reverse mortgage is typically tax-free because it will have to be repaid. In addition, depending on which lender you choose, there are typically no income restrictions.

There are regulations in order to qualify for a reverse mortgage. You must be at least 62 years of age and live in the home as your principal residence.

There are three basic types of reverse mortgages. These mortgages are single-purpose reverse mortgages, federally-insured reverse mortgages that are also known as Home Equity Conversion Mortgages or HECMs and proprietary reverse mortgages.

Single purpose reverse mortgages are offered by state and local government agencies as well as some non-profit organizations. One of the major advantages to this type of reverse mortgage is that it will not generally have high costs. Unfortunately, their availability is limited depending on where you live. In addition, there may be regulations specified by the lender regarding what you can use the proceeds of the loan for. The most common purposes include property taxes and home repairs and improvements. This type of loan may also have income restrictions; meaning you can’t make more than a certain amount of money in order to qualify.

A HECM will generally have higher cost than a single purpose mortgage and those costs are usually up front. On the flip side, they are more widely available and typically do not have income requirements. In addition, there are no purpose limitations. Because HECMs are backed by HUD you will be required to meet with a counselor from a housing counseling agency who will explain all the details regarding the loan to you. The amount of money you can borrow using a HECM will depend on your age, the value of your home, where you live and current interest rates. This type of loan can be quite flexible; providing options such as a line of credit as well as fixed monthly payments.

Because proprietary reverse mortgages are backed by private loan companies, the options with this type of loan can vary. Usually this type of loan will have a higher cost than a HECM.

Shopping for Second Mortgages

If you are committed to financing a second mortgage, it is best to spend time looking for the best deal; don’t jump on the 1st second mortgage quote that comes your way. Make sure you take the time to locate the loan that will best suit yours and your family’s needs.

There may be several reasons why you would want to find a second mortgage for your home. This may be to lower your monthly payments, consolidate debt, build up equity, or to get out of a first mortgage faster. No matter what your reasons are, there are several factors which must be considered when searching.

The first thing to consider is the lender that will be best for you. Lenders are available in several different types of arenas, including thrift institutions, commercial banks, mortgage companies, and credit unions. Each will have different prices and terms that you can check into. There is also the possibility of getting a mortgage through a mortgage broker. Mortgage brokers will locate lenders for you, which can eliminate the amount of time you spend “shopping around.” If you decide to use a broker to find the loan, you should check with several different brokers, to ensure you are truly getting the best deal. Speaking with two or three brokers is sufficient. Anything more and you are just wasting your time. Make sure to choose a good loan, with a quality broker, who will provide you with an exemplary level of service, if this is the route you choose.

The second item to look into when considering a second mortgage is the pricing. There are several costs to keep in mind when reviewing the different possibilities. The first, and probably most important, is the interest rate. Then, you will want to consider other aspects, such as the rate being fixed or adjustable, and what the differences in payments will be. The next cost to keep in mind is the APR, or annual percentage rate. APR includes things such as the interest rate, points, broker fees, and credit charges.

When reviewing the breakdown of fees associated with your new loan, you will also want to check into the fees that will be included in the loan. Fees typically include everything from underwriting fees, title fees, closing costs, broker fees, and settlement charges. Many times, all of these fees will be in one lump sum. It is important to know the cost of each different fee, as well as the total. There are some loans that have no costs attached to them as well, but the rates are usually much higher as a result.

If you have a bad credit report, there are still ways to get a second mortgage. It will just be a matter of finding the right mortgage company, as well as understanding the problems with your credit report. If you explain the situation to your lender up front, it will eliminate a lot of headache down the road. Whether you are dealing with a lender, bank, or broker, your mortgage professional’s ultimate goal is to get you approved for a loan. Being upfront and honest from the get-go lets your mortgage professional know you are serious about a new loan. This can go a long way, especially if your situation is a difficult one.

When looking for a second mortgage, there are several different things to consider: most importantly, your reasoning for the loan, as well as the types of costs and rates that will be associated with the new loan. By evaluating this information, you will be able to determine what is most suitable for you. Once you have gathered this information, the next step is to know which lenders to approach and what information to request from each. By properly researching, you will find the best deal for your home and for a second mortgage.

Home Mortgage Refinance Is A Popular Subject These Days

The real estate industry has been going like gangbusters for several years now across the United States. This strong market has been fueled by several different factors that have all come together at the same time. More buyers than sellers, a shortage of land and new houses as well as record low interest rates are a few of the main reasons this is true. These factors have all made the prospect of a refinance home loan very inviting for anyone who has been making regular mortgage payments on a home for at least a few years. The people who have built up good credit and equity can now take advantage of the many different things that home mortgage refinance has to offer them.

The real estate industry is currently one of the strongest in the country. While some areas west of the Rockies are showing a small slowing down pattern, things out West in places like California are still very good. The ROI (return on investment) percentages are through the roof in most areas. People who invest money are making big profits in very short amounts of time. This is due to the fact that most places have more buyers than sellers and houses are selling very quickly. In some areas like Los Angeles County most houses are selling within one or two days after being placed on the market.

Developer/Investors are not the only people making money in the real estate industry these days. Many people who bought their homes before this sudden rise in housing prices are discovering that the home they live in is a goldmine. They realize that the property they bought ten years ago is now worth four times more than it was a decade ago. This means that they now have a significant amount of equity because any increase in your house price is basically money being deposited into your equity account.

Ambitious homeowners have been cashing out some of this increased equity with a refinance home loan. A lot of these people are then putting most of that money back into their most important investment (their house) by remodeling, adding on a room or two, a pool or anything that will bring up the appraised value of their house. Often times this rise in value will pay for the loan and then some, depending on the area where the house is located as well as the state of the real estate market.

Another smart thing that a lot of people are doing with their recently gained equity is consolidating their credit card and personal loan debts with a refinance home loan. This can be very helpful to lower the amount of money you pay each month in payments and it will also save you time by putting all those debts into a single payment each month. The interest rate on your refinance home loan will be significantly lower than the interest rates of any credit card or personal loan. You will not only save money each month but you will also have your stress level reduced by eliminating those high interest credit cards and/or personal loans. In this case, not looking into home mortgage refinance to reduce your debts would be like throwing money away every month on high interest rates.

If you have been making regular mortgage payments each month for several years and you have not been delinquent with any other bills then your credit should be a lot better than it was when you signed your first mortgage. With your good credit and the low interest rates these days you will benefit greatly with a home mortgage refinance. The increased equity in your house that you may be enjoying due to the current hot state of the real estate industry nationwide can be used to your advantage. Cashing out some equity with a refinance home loan could be a very useful tool to save/make you money and reduce your stress level each time you sit down each month at your desk to carry out the dreaded chore of your monthly finances.

When To Refinance Your Home

If you have a current mortgage and are unhappy with the interest rate or the amount of the monthly payments, it is possible to refinance your home and eliminate your problems. But before you call your lender, there are some questions that you should ask yourself in order to determine whether or not its the right time for refinancing your mortgage loan.
The first question that you should ask yourself is if you have the cash on hand to pay the fees. Depending on the amount of your mortgage, and the specific fees that your lender will charge, you could pay anywhere from a couple of hundreds dollars to a few thousand. Be sure that you are financially ready for the move before applying for the loan.
Next, you should take a look at the current interest rates compared to the ones on your existing mortgage, and then decide whether or not a refinance would help your situation. For example, if you have an ARM mortgage, and the interest rates are at an all-time low, you might want to refinance your loan and turn it into a fixed rate so your payments will not go up again as rates rise. In addition, if you have a fixed rate, but bought your home when interest rates were higher, you might want to refinance in order to lower yours.
If you find yourself with a lot extra debt, you could take advantage of a cash-out refinance loan. With this type of loan, you add on an amount to your home loan, refinance the entire thing at a lower interest rate, and then take the extra money out and pay off your debt. This will allow you to reduce the amount of debt you owe (because the interest rate will be lower), and at the same time, reduce the amount of the monthly payment.
Most experts agree that you should not go to the trouble or expense of refinancing your home if you do not intend to stay in it for at least three years. Otherwise the cost of the process would likely be more than the overall savings.

Starting to Invest in Real Estate

If you've been thinking about starting to invest in real estate, but haven't taken any substantial steps toward taking the plunge, you're not alone. There are many people who would like to get started, but continuously put it off for one reason or another. Most people, however, are intimidated by the thought of getting involved with something that seems so obscure and complex.

Many only purchase one house during their entire lifetime, and even this is being generous, since there are some who never purchase a real estate. It is likely that this line of thinking causes some to procrastinate beginning real estate investing. If you want to make progress towards your goal, you must first put aside everything that is hindering you from making the first step.

The first thing you need to do is figure out what has been keeping you from starting to invest in real estate. Once you know this underlying reason, you can begin taking the necessary steps to become more comfortable with it.

There are some obstacles that are common among new investors. Lack of training and understanding is the most prevalent one. If you feel like you don't understand the world of real estate investing well enough to make a start, then you can at least take steps to familiarize yourself with the components you do not understand. There are a number of resources available, both online and offline, to provide you with the information you need. You can purchase books, use the internet, or attend a training event to get more information. There are also quite a few online networking boards and forums, which are full of information targeted towards new investors. Not to mention, by utilizing these types of sites, you might meet someone that would be interested in mentoring you.

Another reason that many people are afraid to take the first step is because they feel they do not have the cash necessary to get started. One thing you should understand is that there are many ways you can get started without having substantial amounts of your own money to throw around. In fact, many experienced investors will tell you that you should never put any of your own money into a deal. There are many creative real estate investing techniques you can use so that you never have to come up with the cash yourself. The best thing you can do is properly research these techniques to learn more.

One way of getting started with real estate investing without much risk is to first work as a bird dog. Essentially, a bird dog is someone who informs other real estate investors about investing deals. The investor then pays the bird dog a referral fee once the deal has closed. Being a bird dog gives you experience with locating investing deals. Once you are comfortable with locating deals, you can then begin closing the deals yourself.

Getting started in real estate investing is not as easy as it first may seem. If it was, everyone would be doing it. There are a lot of details that make many new investors weary of even getting involved. If you first figure out the aspects of investing that cause you to be fearful, and then work on settling those issues, it will make the process much easier.

Mortgage Rates: Insure a Low Rate When You Buy A Home

Part of achieving the best financial terms possible on your mortgage loan is having the highest credit score you can. Although there are lots of mortgage opportunities for those with less than perfect credit, a tip-top credit score is the key to securing low interest rates and generous terms. Activities that may hurt your credit are the obvious: late payments, collection activities, and paying less than the minimum balance every month. However, did you know that a simply inquiry to your credit report can bring your score down? Before you buy your house, make sure you don't get too many inquiries in your credit.

The truth is, when you let a credit card company, employer, or any type of business check up on your credit report, an inquiry is jotted down, which lets people know someone checked your credit. Any type of credit inquiry stays on your credit report for 2 years or more. A mortgage lender ready to provide you with a loan can check up on the amount of inquiries recorded and what date they occurred.

If you have a high amount of inquiries occurring in a small period of time, this could send out red flags. Lenders might interpret too many inquiries as too many attempts to apply for credit because of financial problems. In addition, lenders might see this as an example of poor money management. They will be led to believe you have no self-discipline and are happy to take on more debt than you can actually repay back. That's why it's an excellent idea to minimize the amount of inquiries showing up on your credit report.

To see your credit score for yourself, visit www.annualcreditreport.com. Once a year, for free, you can check out your credit report coming from three major credit unions which are Trans Union, Equifax, and Experian. In essence, the three credit scores may differ by a little. This is because all three credit unions do not share the same information with one another and have their own way of performing calculations. Remember, looking into your own credit report will do nothing to hurt your credit. However, have a collection agency check it out (which lenders are aware of) and that's another story.

If you're looking around for the lowest rate mortgages, don't allow each and every lender to conduct a credit check. One credit inquiry can lower your credit score by 5 to 9 points. As a savvy credit consumer, you might have to rely on a small number of estimates since they can't check up on your credit history. It is in a lender's best interest to assign loans to those with less credit inquiries, as too many can raise the wrong signals. Even the smallest transgression can deduct 9 points off your credit score so be diligent in avoiding as many inquiries as you can.

Lenders will tell you they cannot give you a quote without knowing your credit score. In this case, bring along a copy of your credit report and show them the score. This way they will not pull the report themselves.

The credit bureaus say that if several mortgage company check your credit score within a set amount of time, say 30 days, all those inquires only count as one. In my experience as a credit bureau owner, real estate broker, and mortgage broker I have not found this to be true for everyone. So avoid any inquires to keep your score up as high as possible.

Understanding Mortgage Basics

Being able to buy that house you have always wanted probably means that you will need to get a mortgage. Another word for a mortgage is loan - which you usually get from a bank or other lending agency. Since most people are not able to buy their house with cash, a loan is the most common practice. Here are some things to help you understand mortgage basics.

Length Of The Mortgage

The size of a mortgage makes the length necessarily longer. Common lengths of mortgages can fall anywhere between ten and thirty years. This means, that if you pay according to the terms of the mortgage, that you will have it entirely paid off at the end of that time. Generally, the lower amount of payment you can afford, the longer the time you will need to pay off.

Interest On A Mortgage

The interest rates on buying a house or property change every day - sometimes even more than once a day. It depends on the economy, and the area you live in. You need to shop around and get the lowest amount of interest that you can because even one percent over 30 years means a difference of over tens of thousands of dollars.

Two Types Of Mortgages

All mortgages will fall into one of two types. It will be either a fixed rate, or an adjustable rate. The fixed rate is one where the interest and payment amounts are "fixed." That means it is always the same until the mortgage is paid in full. The other, an adjustable rate, is, like the name implies - adjustable. That means that the amount of your payments changes in an unpredictable way - according to the economy. If the economy is doing well, then your interest rates on the mortgage are lower - and so are your payments. But remember, it may cover a thirty-year period. No one can see that far ahead. A bad economy also means that your payments can become very high - maybe even too high. These are excellent when the economy is doing well, but you may need to get another if the economy goes bad.

Paying Off The Mortgage

The best type of mortgage will enable you to increase your payments, or make additional payments in order to reduce the amount you owe. This means that you will be able to pay off the mortgage early, and save a lot of money. Most loans, however, have clauses in them that will limit how much you can pay extra each year, or may not allow it at all. You may need to negotiate with the lender in order to get this put in the agreement.

When going for your mortgage, the best thing you can do to help yourself is to understand as much as possible about mortgages. Then, with that knowledge, shop around and get online quotes so you can compare various offers in order to get the best deal.

What Choices Are There In Home Mortgages?

Buying a house, or refinancing, means that you have to apply for a mortgage, or loan on the house. There are many different forms of loans available, but selecting the right one can be more than a little difficult - since so much money rests on that choice. Here are some tips that will help you to make that right decision.

Know The Terms And Types

This one thing could definitely save you some money. By understanding how mortgages work, and what kinds are available, you can avoid a lot of mistakes and extra expenses. It would also be worth your while to learn about scams that are out there, and how to recognize them, since they seem to be on the rise.

Traditional Types Of Mortgages

All mortgages will basically come in one or the other of these forms. They will be either a fixed-rate mortgage, or an adjustable rate mortgage. If they are fixed rate, then, like its name suggests, the interest is set and so are the payments. They will stay the same for the life of the mortgage. In times of an unstable economy, this is the better of the two.

The adjustable rate mortgage is one that "adjusts" with the times. Generally it has a fixed rate portion, often 3,5,7 years or more, and then becomes adjustable - changing periodically according to the economy. This means that your payment changes every period, whether it is yearly or monthly. When the economy is good, this is the cheaper way to go, and is often used to obtain a larger house than what you could normally afford. In tough economic times, however, your payment could double.

Other Types of Mortgages

Recently, a lot of "new" types of mortgages have sprung up. These appeal to different groups of people in various situations, and often cater to their needs - but more often to their wants, and give them products that are not in their best interests.

The first example of these is the 125% mortgage. Certainly, it does allow the borrower to consolidate debts and buy a larger house. On the other hand, many who have recently used this new product, suddenly discover that they have negative equity on their house, and that it will take years just to break even.

Another type is the interest only mortgage. While sounding good, its value is questionable. With many people having adjustable rate mortgages and this option, when their rates become adjustable - the rate is based on the principal owed, and after many years - it will still be 100%, or near it!

Finally, there are the 40 and 50-year mortgages. Being given the ability to greatly reduce the payment, people are actually trading up to owe more much more. Forgetting that the greatest joy of debt is to be rid of it, they set themselves up to be in debt forever. It would be wiser to buy a little less house, at an affordable cost, and then be free of debt to enjoy life debt free later on.

Tips On Checking Mortgage Refinancing Rates

If you are considering re-financing your mortgage the internet is a good place to start. One of the benefits is being able to compare mortgage refinancing rates from various mortgage companies. Another is all of the information you can gather in a short amount of time with the click of you mouse.

The internet has simplified the process of researching by making it easy for anyone to do. The days of spending your free time meeting with several mortgage brokers in person are over. Who has time for that anyway.

The internet allows you to shop for quotes online and then compare them before you ever meet with anyone. Doing it this way takes the pressure off of you. Now you can make a decision or ask questions in the comfort of your own home in a relaxed manner.

One important key here is find a company you can trust to handle your mortgage refinancing situation. If you stick with people you can trust you are more likely to end up with the best results for you. Well known lenders are certainly one way to do this. Consulting the Better Business Bureau (BBB) can be of help to you as well.

One common mistake people make when checking mortgage rates online is to fall for the appearance of the website. You may think a website with fancy graphics and bells and whistles makes them reputable. This could not be further from the truth.

Anyone can put up a website or hire a professional to do it for them. It is important to consider the information on the site before you consider the appearance. After all you are there to get some of your questions andswered and a picture can not do that for you.

Once you have narrowed your search down then it is time to either meet in person or at the very least talk to somone on the phone. Applying for a refi online and relying on an automated system for such an important matter is not a good idea. Especially with the dolloar amounts involved. Plus if you have any questions now is the time to get them answered. You may know more about refinancing then you did when you started checking eveything out, but you are still not an expert.

Being able to talk to a professional who does this for a living is smart. You want to confirm rates and terms before filling out your application. Understanding the fees in your loan before you committ gives you a clear understanding of what you are paying.

These are just a few tips to consider when you go on the internet to check out mortgage refinancing rates for your home.

3 Places To Find Mortgage Refinancing Information

If you are considering mortgage refinancing for your home you need to know that you have a number of options for researching what is available to you. Your goal should be to find out as much about the different types of refinancing loans available to you. You are also going to want to research as much as possible on the various refinancing lenders you are considering. Here are 3 sources for the information you are looking for.

The local library or bookstore can provide you with an unlimited amount of reading on the subject on refinancing your mortgage. You should be aware of how old the information is as there are always changes in the refinancing industry. First of all look at the publish date of the book you are reading.

Out of date information may not be accurate and current so keep that in mind. Also consider who the author is and if they stand to gain something on what they are writing. If a book contains information in the form of a review by an independent writer it is more like to contain unbiased information on mortgage refinancing.

Another place to quickly research a large volume of information is the internet. You want to look for a website that is established and providing current information. Look for articles on the subjects that pertain to you. Websites from major lenders or that are ranked highly on a popular search engine like Google or Yahoo are more likely to provide information you can trust. Read everything you can and write down questions that you still feel need to be answered.

Take your questions and look for a refinancing expert who specializes in mortgage loans. If they will provide you with a free consultation you may find this to be the best source of current reliable information for you. By asking questions that pertain only to you and your situation you will get only the information you need and not waste your time on useless information. Finding a mortgage refinancing expert who you cant trust may come down to your gut instincts and how you relate to them. If they appear to have your best interest at heart they probably do.

No matter how you choose to find the mortgage refinancing information you need take good notes. You may want to use all 3 of these options to research refinancing information for your home. Unless you are in a hurry for some reason slow down and take your time until you are satisfied you have done a thorough job and can make the right decision for your refinancing needs.

Bad Credit Mortgage Refinance Tips

Not to long ago if you had bad credit it was hard for you to get a loan to buy a house. There were not as many options as there are today. That is not true today. Many lenders have programs for first mortgage loans and refinancing as well. Here are some tips on how you may be able to refinance your mortgage if you have bad credit.

First of all try and work with a mortgage professional who specializes in mortgage refinancing for those with bad credit. You may have more options available than you realize. A mortgage loan consultant who deals with bad credit applicants everyday is going to be on top of the different types of loans just for your situation. Your job is to provide all of the information to them in an honest and timely manner. Hiding something that may come up later does neither of you any good.

Did you know you can get a copy of your credit report from the major credit bureaus one time each year. Knowing how your credit score is improving can impact whether you want to refinance as well. Over time previous things that had a negative effect on your credit can go away or be removed. It is to your advantage to know your credit score before you refinance your mortgage.

There are 3 types of mortgage refinancing loans. A fixed rate loan has an interest rate that stays the same over the life of the loan. An adjustable rate mortgage loan is know as an arm for short. In an arm your interest rate adjusts over a period of time. In a hybrid loan the interest rate is fixed for a period of time and adjusts for the rest of the loan. A point is equal to 1% of the total loan amount. Determining whether you want to purchase points when you refinance is one thing to discuss with your mortgage expert. Understanding the 3 loan types will help you decide which interest rate to choose.

As property values have risen over the years many lenders will loan people with bad credit money if they feel secure in the value of the property. If you are refinancing and have seen the value of your home increase since you last refinanced or since your loan originated then you have options. A bad credit mortgage refinance may be possible for you. Consult with a mortgage advisor to see if this is true for you.

What Makes A Property Good For A Commercial Mortgage?

The idea of purchasing a commercial property is that it is well suited to the needs of your business. This can and is defined by several factors and they will all be considered when you apply for your mortgage. The commercial lender will look at your business and what it does and how it will relate to the commercial property in question.

If your company makes widgets, the lender will want to know how long you have been making widgets. They will also want to know what your growth rate has been over the time you have been making widgets. They will look at the property to consider whether it will meet your needs for making widgets during the lifetime of the loan.

The lender will want to see that you will have room to grow and that you will grow to fill the space. They will also look at the location of the property to see how that is going to work with your widget manufacturing needs. Do you have good access to roads that can handle the volume of traffic that will be generated?

Will there be adequate parking available for staff and customers? Does the location provide room for expansion if your growth rate is more then expected or will you be moving in a couple of years? What tax incentives are available on that property and how long will they be available for that property? Are the tax incentives a one-time offer or are they able to be extended to make the property more appealing.

The things that will make a commercial property desirable will change depending on what your business is. If you want to open a pub, your needs will be very different from that of a factory. The lender will want to know that the property is in a good location to maximize the profitability of the pub. The property could be located across the street from the factory we talked about in the previous example.

The lender will again look at your past performance in regard to operating pubs to make sure that you know how to run a pub. They will want to know what the growth potential is and if the commercial property will meet those needs.

The commercial lender will not give you a commercial mortgage if the property is too big or not big enough to meet the expected needs of the business. If the property does not have enough parking for peak customer traffic, it will mean you could loose business.

The lender will want to know if there is enough space for the number of employees required and if the kitchen is large enough to meet thier needs. What is the maximum seating capacity of the building and how much will the average customer have to purchase to make the payments.

There are many similar small things to consider when deciding if the commercial property being looked at is a good deal for both you and the lender. The list of things that can make or break a property deal is very long and it does change from business to business.

For example for some businesses, it may come down to waste removal. If your business is involved in agriculture, it could come down to the smell. Is the location of your farm upwind or downwind from a population center?

If you are upwind from a population center, there could be some issues as locals oppose your being there. This could create a different kind of pressure on the lender that could make the property less desirable for the commercial loan. An independent broker could help out with this type of issue.

It does not make any difference what your business is, what will make all the difference is what your business needs are and will the commercial property meet those needs. The definition of a good commercial property is one that will meet all your current and long-term plans.

If it does, it will make it easier to get the commercial mortgage you are looking for. It will also help you to get better rates and conditions on your commercial financing.

Looking for a http://www.commercial-lifeline.co.uk/ in the UK?
Commercial Lifeline can help. As Independent Commercial Mortgage Brokers, Commercial Mortgage and Bridging Finance specialists.

Can Zero Down Mortgages Work For You?

Recent trends in the mortgage industry have now come up with a way for you to be able to get a home with zero down. This means that it has now become much easier to get the house of your dreams and not have to save for years in advance. It also applies to first-time home buyers, too. Here are some things you need to know about the zero down financing for your home.

The main purpose of zero down financing is obvious - so you can get moved in to your new house quicker than before. The way it works is simple - you basically take out a first and a second mortgage at the same time. Many lenders will require that you must make the home your primary place of residence, so it may not be available if you are looking for investment properties.

Normally the first mortgage will be around 80% (or possibly 75%) in order to avoid the requirement for Private Mortgage Insurance. Then the second mortgage is for the balance, allowing you to even go beyond that and get up to 107% or more. If you have a really good credit score, some lenders will even allow you to borrow the amount needed for the closing costs. However, even if you do not have the credit rating you want, some lenders will even do this type of financing for you even with a rating as low as about 580. Of course, they will expect the proper documentation, and you can expect a better interest rate with better credit levels.

A zero down mortgage for financing your home will probably mean a little higher interest than a more traditional mortgage. Remember that a second mortgage will always have higher interest than a first mortgage, too. If possible, it is always a good idea to reduce the amount you owe by putting something down. This could reduce both your payment and your interest level.

Zero down financing for your new house will most likely require that you have at least six months worth of payments for your PITI (Principal, Interest, Taxes, and Insurance). This shows that there is some financial stability involved.

When you apply for your zero down financing, be sure you know the difference between fixed rate mortgages and adjustable rate mortgages. Know the terms that apply to mortgages, as well as the strengths and weaknesses of the various types. A second mortgage may give you the option of going even higher than the cost in order to have some cash on hand. This could allow you to do some fixing up in order to get it just the way you want. Be careful here, though, because borrowing too much could mean having no equity for a very long time. Second mortgages are also tax-deductible, too, depending on how you use it.

Be sure that you take some time and compare a number of offers for your zero down financing. Too many people are signing on the dotted line only to find out that it was not the good deal they thought, and they end up stuck in a bad situation. Education and time spent researching mortgages and offers could help you to save tens of thousands of dollars over the lifetime of a mortgage.

Joe Kenny writes for NationsFinance.co.uk, offering comparisons http://www.nationsfinance.co.uk/mortgages
r visit OnlyStop.com for some great http://www.onlystop.com/mortgages/ deals.
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The Bad Credit Remortgage

When looking to remortgage your aim is to switch to a deal that is more beneficial to you and saves you money/increases flexibility etc, whether this be sticking with your present lender or changing to another.

The process of remortgaging with bad credit is the same as getting other mortgages, the difference being you are not purchasing a property.

What Are The Benefits Of Remortgaging?

Remortgaging is a chance to switch from an inadequate mortgage and take full advantage of current products available such as fixed rate, tracker or discount mortgages which can offer you more competitive rates.

Choosing the right deal for you is just as important when remortgaging as it was the very first time. Consideration should be given on your prediction of future interest rates, your own risk assessment, your income and the balance of the loan outstanding.

You will also need to weigh up your monetary needs and present circumstance.

Bad Credit Remortgages also enables you to cut loose from a dissatisfactory lender as there is nothing to say you should stay with the same one. Doing either of these things when remortgaging may considerably reduce your monthly out goings.

This is just one benefit of deciding to remortgage. Say for example you have a loan of 100,000 and are paying a rate of 7.5% interest; you then switch to another lender which has a rate of just 7% interest. This would mean you would be saving 31 each month, thats nearly 400 per annum.

Sometimes the money tided up in the house could be put to better use else where. For an amount larger than what is needed to repay your original mortgage, remortgaging can release some of this equity to put towards investing in a new business venture or maybe even another property.

How Long Will The Process Take?

The process of remortgaging tends to be faster than that of a normal mortgage (but slower than bad credit loans) as in this case youre not buying a property. The whole process without considering individual circumstances should take on average six weeks.

The Cost of Remortgaging

As with your original mortgage, a survey to confirm the value of your property will need to be done as the first one will no longer be valid.

Add onto this solicitors fees and administrative costs, however these will be lower than mortgaging for the first time and depending on your lender, they may be able to recommend certain people in association with them that could lower your costs.

There maybe early repayment charges on your existing mortgage. This is when there is a penalty if you redeem the mortgage within a fixed period of time after commencing. For example this could be additional pay of three to six months or a percentage of the loan amount.

When looking at the cost of a bad credit remortgage you also have to look at the possible longer term benefits of the process and the money you could save.

Quick Action Plan

If still indecisive on whether remortgaging could work for you, run through the following points: First of all communicate with your existing lender and ask for a redemption statement.

This indicates what, if any penalties you will be charged in the event of remortgaging, it also states the amount still left to pay on your current mortgage. When looking at a new mortgage deal be sure to look at all the small print and ask for the lender to show you clearly what your potential repayments would be.

It is always useful to ask for something in writing to use as a reference. Add up all costs payable with any new lender i.e. the arrangement and administrative fees. Legal fees should also be added on, these will vary depending on where you go and the value of your property.

Armed with these facts and figures you should then weigh up whether remortgaging will benefit you, whether the long term savings will outweigh the immediate costs of remortgaging.

James Copper enjoys writing on areas of personal and commercial finance. He works for Adderson & Co. who are specialists in the Bad Credit Remortgage : http://www.adderson.com/

What Is A Jumbo Mortgage?

A jumbo mortgage means a larger than normal size mortgage. While getting a jumbo size anything usually means getting a good deal - especially when it comes to hamburgers and fries - it may not mean the best deal in the case of mortgages, however. Here are a few things you need to know about jumbo mortgages.The largest mortgage lenders in the United States - Freddie Mac and Fannie Mae, determine mortgage sizes. They determine what is to be considered the standard size each year. Anything above that amount is considered to be what is called a jumbo mortgage. Currently, as of 2006, the amount is set at $417,000. This amount is higher for the Hawaiian Islands, Alaska, and in the U.S. Virgin Islands. A jumbo mortgage, also referred to as a non-conventional, or non-standard mortgage, also comes with jumbo interest rates. In other words, the amount of interest that you pay for your larger than usual mortgage also comes with higher interest. Part of the reason for this is because the lenders believe that they are at a higher risk for possible loss. Like any other type of loan, though, the interest amounts do vary from one location to another.For a larger home, jumbo mortgages may be just about the only option you have, but there are still ways around it if the home is not priced too high. Some companies offer a solution in the form of a package mortgage deal - getting a first and second mortgage at the same time. By financing the first mortgage at 80%, you can then get financing on a second mortgage to cover the balance. By going this route, you may also be able to avoid having to pay for private mortgage insurance, too. A jumbo mortgage is available in either a fixed rate mortgage or as an adjustable rate mortgage. You do need, however, to pay attention to the economy at the time in order to know which way is best at the time. Both have their advantages, and both have their drawbacks depending on which way the economy is going. Some companies are even offering no doc loans on their jumbo mortgages. Typically this type of mortgage comes with higher interest but some mortgage companies declare that their rates are the same for doc and no doc alike. Other forms may be developing so you will need to do some research to see if another form of jumbo mortgage suits your needs a little better. As with any loan, you need to do some comparison shopping in order to find the best deal. This means learning the terms that may be involved. The easiest way is to go online and go to a broker website where you can get several mortgage quotes with one application. Separate the principal from the interest and then compare that with the other fees that apply. Before long you will have the best deal. You also may want to investigate the company some, too, if you have not heard of them before.

Refinance Home Equity Loan - Cash In On The Value of Your Home

If you need to refinance, a home equity loan lest you cash in on the value you have built up in your home. The amount of equity is the difference between what you owe on your mortgage and what your home is worth on the real estate market. This option for refinancing is really great for homeowners who have been paying on their mortgage for quite some time and have a significant amount of the principal of the loan repaid. With a home equity loan, you can usually get about 80% of the equity as a loan.The money you get through a refinance home equity loan is yours to do whatever you like. If you want to make further improvements to your home, then you are building up even more equity. There are some lenders that will approve a home equity mortgage loan where you don't have to make any payments as long as you still live there. When you sell the home you have to repay the loan in full, plus interest of course. If you die, then your estate is responsible for the repayment.As with a mortgage, your home is the collateral when you refinance. Loan payments have to be made each month, which could mean you have two mortgage payments to make. You have to make sure that you can afford this before you jump into it and the lender will require you to have an excellent credit record. If you default on the payment for the home equity loan, you could lose everything you have worked so hard for.Many homeowners use the option of refinance in a home equity loan to consolidate all their bills. Then they use the total of the payments they were making each month to make the payment for the loan. Most of the time, this amount is much less than the total of all the other payments, giving you cash to work with each month. The rate of interest on a home equity loan is much lower than a normal loan and in some cases the interest may be tax-deductible.When you want to refinance, a home equity mortgage loan has two options for you to choose from. You can have a fixed-rate loan where you make fixed monthly payments each month for a specified term. You can also have an adjustable rate line of credit with a home equity loan. If you choose the fixed rate option because you want to be able to budget each month, once you pay the loan in full, you cannot get another home equity loan. This is a one time thing. However, with a home equity line of credit, you can use the money over and over.When you repay the line of credit, you can borrow money on it as you need it. You don't have to have it repaid in full to do this and can use it as you see fit. You only pay the interest each month on the outstanding principal and you can pay it off in full whenever you want.

Richard Cunningham is a successful entrepreneur and publisher of several profitable websites on Homeowner Insurance and Mortgage Refinancing.

Even People With Bad Credit Have Mortgage Options

For many people that have bad credit, mortgage abilities may seem slightly small. You work, you pay your bills, but your credit does not show that you are a good risk. So, many lenders do in fact turn these individuals down. Yet, there is no need to worry because you can and you will restore your credit and then you can apply for a solid mortgage rate. But, if you are destined to find the best option for a mortgage even if you do have bad credit, there are some options you may want to consider.In fact, there are mortgages that are designed to help those that have less than perfect credit to secure these loans. Of course, because you are more of a risk, the lender is less likely to offer you a good rate. Instead, they are looking to give you a big rate so that they can make as much money as they can off of you. To help you to avoid this, consider these tips.* Get online quotes. Many mortgage lenders will allow you to get multiple mortgage rate and loan quotes that can be used to provide you with the best offer that they can provide you. Of course, this can help you to maximize your choices. What is important to note is what interest rate and terms the lenders are able to provide for you. Consider who has the best cost option for you. Even though you have bad credit, there is likely to be differences here.* Apply for government backing. Loan programs that are FHA or VA (government backed) are less of a credit risk. You may apply for these loans. In fact, many first time homeowners will be able to secure them. This can be quite beneficial to you to give you that extra boost.* Get together a down payment. There are plenty of companies advertising the no down payment, but if you really want to get a great offer, get one. Even just a few thousand dollars can help you to get the best choice in a loan program. It opens doors to many. Even though you have bad credit, you can probably get a mortgage. But, if you can wait, work on improving your credit and save for a larger downpayment, then applying for one, you are likely to save money. Of course, you can go ahead with the mortgage now and consider a refinance when your credit has improved.
Steve Goodman is a freelance writer of mortgage loan and mortgage refinance articles. One of his favorite places to do research is at eRapidLoan.com

What You Need To Know About Credit Reporting Agencies

You may never see one, or visit one, but the credit reporting agency is always there in the background. These are the companies that assign credit ratings for both corporations and individuals. The credit rating is a way of measuring credit worthiness-or in other terms, the ability to pay back a loan.You may envision a remote room in an unknown place where individuals in lab coats collect and collate personal data on people. Actually, in the earliest days of credit reporting, this was exactly the case. The ratings were compiled by hand and banks could call and check on anyone they wanted verbally. In modern times, the data is sent in via magnetic tape reporting or secure data transfer and the only times humans really involved is when there is an inaccuracy on your credit report that needs to be investigated.There are hundreds of extensions of the "Big Three" Experian (formerly TRW), Equifax and TransUnion that are located all across the country. Because the credit bureaus competitors and do not share information with one another, it is a good idea to check the Big Three regularly to ensure there are no errors or omissions on your personal credit report.Thus, it becomes the responsibility of the individual to check up on the people that are checking up on everyone else. Changes in the statutes for credit reports now make it possible for everyone to get one free report from each of the three major credit bureaus per year.Looking at your own credit report will give you valuable insight on how your history is being rated. It would also help to understand the laws that govern how these agencies are able to do business. Know your rights! As the old saying goes, "If you don't know your rights, you don't have any." There may be times that require you to challenge something inaccurate on your report. Since your credit report is the way many firms will "know" you, you want every item in it to be absolutely accurate.You may think that you have a good credit report but a credit report that has something questionable contained within it may be the difference between getting that new credit card or auto loan and being denied. And if you're in the process of applying for credit without this knowledge, you can be turned down. This is why checking up on your personal credit report and going through the complaint or correction process if necessary is so important.Since the credit reporting agency is the standard of how the world determines credit worthiness, make sure that any lenders or retailers you want to do business with are reporting to one of the major agencies and that information gives a one-hundred percent correct picture of how you handle your personal finances.
Liz Roberts is a freelance writer and loan consultant. The website BadCreditResources.com offers resources that specialize in providing loans and credit cards for people with poor credit financing.

Checking Mortgage Rates Online

Homeowners who are planning to re-finance their home may find the Internet to be a very worthwhile resource. The Internet is useful because it can give the homeowner a wealth of information as well as the ability to compare different rates from different lenders at their convenience. While these options have made re-financing a more convenient process there is more potential for danger. However, homeowners who exercise a small amount of common sense in using the Internet for re-financing often find they are not at any additional risk.

Comparison Shop at Your Convenience

One of the most popular advantages to researching re-financing online is the ability to comparison shop at the homeowners convenience. This is important because many homeowners work long hours and often find they are not able to meet with lenders during regular business hours because of job restraints. The Internet, however, is open 24 hours a day and allows homeowners to research their options, make important calculations or receive online quotes at any time of the day through the use of automated systems. Homeowners can also take their time comparing the quotes they receive from these lenders online instead of feeling pressured to provide an immediate response. While homeowners may have some additional time available to them, these same homeowners should realize they do need to act relatively quickly to lock in estimates they receive as interest rates are often time sensitive in nature and cannot be guaranteed for long periods of time.

Use Only Reliable Resources

Homeowners who are using the Internet to research re-financing options and obtain quotes should carefully consider their sources when making important decisions regarding the subject of re-financing. Homeowners who stick with well known lenders and established websites will not likely encounter problems but those who select a new lender may be surprised by the results of the re-financing attempt.Homeowners who are unsure about the reliability of a particular resource or lender should do additional research on the company. One of the easiest ways to do this is to consult the Better Business Bureau (BBB). The BBB may be able to provide the homeowner with valuable information regarding the number of previous complaints against the company. A company who has a large number of unresolved complaints should be considered an unreliable company. However, homeowners should not assume companies without a significant number of complaints are reputable unless the company has been in existence for a number of years and is a member of the BBB. Homeowners should also take care not to be fooled by fancy web design. A website which looks very professional is not necessarily a website which is accurate and informative. Many skilled website designers can create websites which are both attractive and professional looking. These website designers can also optimize a website for particular mortgage related keywords so users find the page easily when searching for these terms but this does not necessarily make the website designer knowledgeable about the subject to re-financing.

Confirm Loan Terms in Person before Committing

While shopping for re-financing options online is certainly easy and convenient, homeowners should consider completing the application process either in person or over the phone instead of relying on an automated system. While the Internet is good for research purposes, homeowners can take advantage of face to face meetings or telephone conferences to ask all of their relevant questions. Asking all of these questions will help the homeowner to ensure he fully understand the loan terms as well as all of his available options.Completing the re-financing process in person or over the phone can also prevent the homeowner from being surprised by any elements of the mortgage re-finance. This may include additional fees which are tacked on during the processing of the application, rates which are only available in certain situations or other elements of the re-financing agreement which could significantly impact the homeowners decision making process.

Refinance Banks is an informative Re-finance site that looks into all aspects of Re-Financing. To find out more visit Re-Finance

8 Great Personal Finance Sites

There's lots of online information about personal finance. If you're looking for advice on budgeting or investing, you'll find plenty. If you want quotes for loans or insurance, they're available. If you need help getting out of debt, you can find it online.Predictably, some of the personal finance resources online are better than others. Some are frankly self-serving, trying to sell you some product or service. Others give information freely. Some of the information is good and some is not so good. You have to evaluate and discriminate when looking for authority and accuracy in personal finance information. After all, it's your money that you'll be risking if you follow bad advice. So be careful out there.We can't hope to list all the good online sites for personal finance. There are just too many. But here's a short list to get you started in the right direction. We've included a few of the standard mega-sites plus some really good ones that are not so well known.Necessary Virtues Personal Financehttp://finance.necessaryvirtues.com/Specializes in information about how to manage your money efficiently and live a prosperous life. Offers several full-length books as free downloads, including these titles: "Solving the Money Puzzle: Personal Finance Made Simple," "The Science of Getting Rich," "Money for Life," and the classic, "Think and Grow Rich." Also offers free newsletter, "Your Money Plan."MSN Moneyhttp://moneycentral.msn.com/Specializes in information for investors, including free stock quotes and analysis tools. Also has sections on planning, banking, and taxes. Good investment advice columns and features. Some analysis tools require Internet Explorer for best results. (The site is owned by Microsoft.)CNN Moneyhttp://money.cnn.com/More breadth than MSN Money but less depth on investing. Covers many areas and has quite a bit of unique content from Fortune and Money magazines. (This is a Time-Warner site so there is common ownership.)Kiplinger.comhttp://www.kiplinger.com/Mostly about investing, but also has good articles on credit management, real estate, insurance, retirement. Do be aware that much of their focus is on selling subscriptions to their various newsletters, like the Kiplinger Report.Zen Personal Financehttp://www.finance-weblog.com/This is something completely different, a blog with a unique perspective on personal finance. Has sections on retirement, housing, credit, and investing (a mammoth 30-part series of posts on "How To Think Like Warren Buffet"). Not the place to go for everyday reference, but recommended for browsing.The Motley Foolhttp://www.fool.com/Specializes in help with investing, particularly in stocks and mutual funds. Information is of high quality, but registration is required to access most of it, and payment is required for parts of the site and for some newsletters.Yahoo Financehttp://finance.yahoo.com/There's a lot here, but most of it is conglomerated by Yahoo from various third-party sources. You'll have to be discriminating.Carnival of Personal Financehttp://carnivalofpersonalfinance.com/A blog carnival that offers weekly collections of recent blog posts on topics like budgeting, saving money, earning money, managing debt, and living below your means. The quality is uneven so be prepared to dig deep.So there you have it, a quick introduction to some of the best of the web when it comes to personal finance. Some of the big sites made our list as well as some smaller hidden gems. Here's hoping you find it useful.

How To Get Small Business Support With Airline Credit Cards

As an entrepreneur, you have probably dreamed of starting your own small business before you finished high school and now that dream is becoming more and more of a reality. You have a great business idea, you have pitched it to your friends and family so many times that you know your product inside out. Your enthusiasm is souring, you believe in this business, you know it could work, you have seen less brilliant ideas rake in big bucks for its owners, now it is your turn.Owning your own business is very rewarding but it can be very stressful at times and with so many reports on the percentages of small business failure, it is enough to put off some entrepreneurs. But not you, your determination, skill and belief in what you are doing would take you through.As a small business owner, you should have a clear written plan of what you want to achieve and by when. You should have proper management systems in place to ensure the plan is implemented smoothly and most of all you need financing to make your dream a reality. There is nothing worse than having the capacity to expand with out the financing to make that possible. There are many options for financing your business, but have you ever thought of using airline business credit cards to do so?Airline credit cards are evolving, they are no longer designed to meet only the needs of frequent flyers, but through creative customer needs analysis, they are beginning to respond to what customers want when they are not flying. Airline companies as a result can provide very good support to small business owners and at the same time business owners can benefit from the rewards of using the service.What's on offer?You can apply for charge cards with no pre set spending limits and if you pay your balance every month, then there are no additional financial charges. Credit cards are also available giving the opportunity to pay the balance overtime and there are very attractive APRs attached. Not only credit cards are on offer but loans and lines of credit are available up to $100,000.Some Airline business credit cards allow you to choose from, cash back, air miles or savings rewards just for using your credit card for day to day business transactions. This could be a great way to earn much needed holidays without having to use your own money.Airline companies often provide business account managers to assist with your financial needs and to help you work through any disputes or business issues. This service is tailored to the type of business you operate so your needs are at the forefront of this service.If you never thought of Airline business credit cards as a way of financing your business, you should look further into the benefits that you can receive. In business it is much better to receive rewards for normal everyday activities you perform rather than just paying money into someone else's business. In the end it would save you money, and this would be money available to you to help progress your dream.
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