Entries from Searchlight Crusade tagged with 'loans'

What is Loan Amortization?

I keep getting hits for this, so people must want it explained. Loan Amortization is nothing more than the process of paying the loan off by regular payments over time. Leave it to the experts to come up with a...

Be Careful Moving Your Down Payment Money

A while ago, I wrote Sourcing and Seasoning of Funds. You'd think I have a set spiel I give out, and I do. But I had a case where I didn't think I'd need it, and it burned me....

Lowballing Mortgage Quotes Versus "Junk Fees"

One of the things that most mortgage and real estate consumers get mixed up on is the distinction between low-balling and junk fees. Junk fees are when they add fees that really aren't necessary to what you're paying. Low-balling is...

Fifteen Year Loans: Are They A Good Idea?

My take on the matter is "mostly no", but they do have some uses. The one advantage that they usually carry a lower interest rate. There have been exceptions to this, just as there have been exceptions to the...

There Is Always A Reason For A Low Asking Price

One thing prospective home buyers need to understand and don't is that there is always a reason for a low asking price. There is always a reason for a low asking price. Sometimes that reason is something you can deal...

An Apparent Red Flag that Isn't

For all of the rants I post about bad business practices, there are a lot of things the mortgage industry gets right. One of these looks like a red flag not to do business with them, and may seem like...

The Best Way To Create Problems For Yourself In Real Estate

Have a "looking for cheap" attitude, especially on services meant to protect you. It's great to have a "looking for value" attitude. If I cost more than someone else, it is in your best interest to ask why, and ask...

Weighted Average Cost of Capital Doesn't Include Everything

Or: Figures don't lie, but Liars Sure do Figure! NOTE: At this update, rates on first trust deed loans are about as low as they have ever been while rates on second mortgages aren't particularly low. However, that won't...

Refinancing When You Owe More Than The Home Is Worth

I've been looking around for an answer to this but my searches haven't returned anything useful. Say you buy a house and with that house you finance in a pool. House was $210,000 and pool is $40k. $250k mortgage....

Second Trust Deeds: Home Equity Loans and Home Equity Lines of Credit

A Home Equity Loan, or HEL (pronounced "heel") is a one time loan, much like a car loan. You get the money all at once, pay it back so many dollars per month, and when it's paid, it's over....

Second Trust Deeds and Loan Subordination

When you have more than one loan on your property, there are some issues you should be aware of. Keep in mind the fact that some states still use the mortgage system, requiring court action to foreclose, as opposed to...

Mortgage Loan Advertisements: Horrible and Getting Worse

(Rates were much higher when I originally wrote this) Recently, a couple of mortgage places have been advertising "30 year fixed rate loan at 5.65%" like that's the lowest rate out there and it's some kind of great loan. It's...

Cash to Close - A Basic Primer

Cash to close has always been an underwriting standard, but more people are running into it as a reason why they cannot buy that property, why their buyers cannot perform, and why they can't get that refinance approved. With...

Read The Full Note Before Signing

Just got a search "how can I tell if my prepayment penalty applies to selling my home" Read The Full Note. You need to do this before you sign it. I know that many people are just thinking "Sign this...

Adding Someone to An Existing Mortgage

Got a search for that, and it occurred to me that it is a valid question. The answer is yes. The degree varies. You can simply contact the bank to make yourself responsible for payment. They are usually happy to...

If You Need A Loan To Buy A Home, You Need A 60 Day Escrow

Minimum Time was, a few short years ago, when I could reliably do a purchase money loan in two and a half weeks. That has now changed. There are three separate delays of one to two weeks that have been...

VA Loans Have Become The Magic Bullet

Quite a while ago, when loan standards were other than they have become, I wrote an article with the title Is a VA Loan a Good Deal? Back then, if you could qualify for a loan that was both...

Questions You Should Ask Prospective Loan Providers

Mortgage - Questions you must ask every provider about every loan when you are shopping. Permission is hereby granted to print this out and use it for non-commercial purposes so long as no alterations are made and copyright is preserved....

With The Tightening of Loan Standards, Will You Qualify For The Loan To Buy Real Estate?

With a lot of people running around like Chicken Little screaming about the sky falling, a lot of folks who would like to buy property due to the much-lowered prices are wondering if there is any way they can...

What Types of Mortgages Are Available?

So what else is available, besides the thirty year fixed rate loan? There are many kinds of loan out there. Here's a quick overview: A Paper In addition to the thirty year fixed, there are several other varieties of fixed...