Search Results for prepaidtag:searchlightcrusade.net,2024:/mt//feed/prepaid2024-05-01T20:48:56ZMovable Type 4.21-en24124Why You Want The Lender to Assume Pricing Risktag:www.danmelson.com,2008://4.40962008-06-10T14:00:00Z2008-06-10T13:43:17ZDan Melsonhttp://www.searchlightcrusade.net/
In the last couple of years a movement has arisen, led by certain well meaning academics, that says negotiating a loan broker's total revenue is sufficient to get consumers a better loan. As far as they go, they are...
The Three Purposes of Real Estate Loans Definedtag:gockel.hmdnsgroup.com,2007:/~searchli/danmelsonsite//4.32182008-06-08T14:00:00Z2008-06-08T16:13:49ZDan Melsonhttp://www.searchlightcrusade.net/
Purchase Money: This is a loan that enables you, in combination with your down payment, to actually purchase the property. If you spend cash to buy the property and get a loan the next day, that is not a purchase...
Prepaid Interest and Why You Never Really Skip a Mortgage Paymenttag:www.danmelson.com,2008://4.40682008-05-30T14:00:00Z2008-05-30T13:59:41ZDan Melsonhttp://www.searchlightcrusade.net/
Many people think that mortgage interest works like rent: paid in advance before you live in the property for the month. This is not the case. Mortgage interest is paid in arrears. As you begin the month, interest begins...
Why Cost Is As Important As Rate For Mortgage Loanstag:www.danmelson.com,2008://4.40562008-05-27T14:00:00Z2008-05-27T13:50:34ZDan Melsonhttp://www.searchlightcrusade.net/
A few days ago I wrote an article explaining why borrowers should consider a 5/1 ARM, because the tradeoff between rate and cost is lower for that loan, and most people don't keep their loans 5 years anyway, so...
Avoiding Mortgage Prepayment Penalties by Partial Paymenttag:www.danmelson.com,2008://4.38792008-03-05T15:00:00Z2008-03-05T14:45:25ZDan Melsonhttp://www.searchlightcrusade.net/
I enjoy your blog very much and figured you would be a good person to ask this prepayment penalty question to. Is there a prepayment penalty if you dont pay down the whole amount? For instance, say I owe 620k...
Zero Cost Refinancestag:gockel.hmdnsgroup.com,2006:/~searchli/danmelsonsite//4.30942008-01-27T15:00:00Z2008-01-27T16:11:01ZDan Melsonhttp://www.searchlightcrusade.net/
Got a question asking if zero cost loans really exist. They do. I've done several dozen myself, for clients who listened to me about the nature of the market. Let me define what a zero cost loan is. It is...
Successful Refinancing - An Example of the Issues, Computations, and Thought Processtag:www.danmelson.com,2008://4.37942008-01-22T15:00:00Z2008-01-22T14:43:03ZDan Melsonhttp://www.searchlightcrusade.net/
With rates having dropped in recent weeks, it seemed a good idea to go over the thought process behind a successful refinance. Other than the two issues, of loan to value and whether you're really able to qualify for a...
Yield Spread is a Beneficial Tool That Can Be Misusedtag:www.danmelson.com,2007://4.37322007-12-17T15:00:00Z2007-12-17T15:22:12ZDan Melsonhttp://www.searchlightcrusade.net/
If you read the papers and the congressional record on the current housing crisis, you might think yield spread is the central culprit for the entire meltdown. You would be wrong. Yield spread is a beneficial tool, offered voluntarily by...
Games Lenders Play, Part Vtag:gockel.hmdnsgroup.com,2006:/~searchli/danmelsonsite//4.30042007-10-14T14:00:00Z2007-10-14T15:48:31ZDan Melsonhttp://www.searchlightcrusade.net/
Hello, I've been reading your website for awhile now, and have found it very helpful as I'm learning to navigate this crazy loan process! I had a question I was wondering if you could write about/answer. We currently have...
Seller Paid Closing Costs (or, When Your Prospective Buyer Has No Money)tag:gockel.hmdnsgroup.com,2006:/~searchli/danmelsonsite//4.29862007-09-15T14:00:36Z2007-09-15T15:12:27ZDan Melsonhttp://www.searchlightcrusade.net/
In many transactions these days, the buyer has absolutely no money, or an amount that is not sufficient to pay the costs that they would traditionally be expected to pay in order to close the transaction. Nonetheless, in today's buyer...
Refinancing Out of A Negative Amortization Loan Before The Penalty Expirestag:www.danmelson.com,2007://4.34822007-09-09T14:00:00Z2007-09-09T18:14:33ZDan Melsonhttp://www.searchlightcrusade.net/
HI, My name is DELETED and my husband and I are searching for a way to get out of our Negative ARM loan before we get upside down. Our problem right now is our loan to value. Our loan...
Weighted Average Cost Of Capitaltag:gockel.hmdnsgroup.com,2007:/~searchli/danmelsonsite//4.33682007-06-04T17:01:07Z2007-09-07T01:43:13ZDan Melsonhttp://www.searchlightcrusade.net/
or Figures don't lie, but Liars Sure do Figure! With the loan rates being significantly higher than they were a couple of years ago, we've got a lot of people with loans in the low fives, interest rate wise. One...
Reservestag:gockel.hmdnsgroup.com,2007:/~searchli/danmelsonsite//4.33662007-06-02T17:00:13Z2007-09-07T01:33:17ZDan Melsonhttp://www.searchlightcrusade.net/
Thanks again for the terrific posts. I've learned more about mortgages in the past two months than I ever dreamed I might. I am looking to buy my first home soon, and have myself in a good credit position...
Real Estate Numbers: Calculators and Spreadsheets Are Your Friend But They Have Limitstag:gockel.hmdnsgroup.com,2007:/~searchli/danmelsonsite//4.33562007-05-24T17:01:04Z2007-09-06T03:57:21ZDan Melsonhttp://www.searchlightcrusade.net/
On a fairly regular basis I get email asking what I think of this or that loan calculator on the web, this or that predictive model for real estate prices or loan rates, etcetera. Loan calculators are pretty simple when...
Mortgage Closing Costs: What is Real and What is Junk?tag:gockel.hmdnsgroup.com,2007:/~searchli/danmelsonsite//4.33012007-04-12T17:00:00Z2007-09-05T23:39:13ZDan Melsonhttp://www.searchlightcrusade.net/
The easy, general rule is that legitimate expenses all have easily understood explanations in plain english, they are all for specific services, and if they are performed by third parties, there are associated invoices or receipts that you can see....
What to look for at Loan Closingtag:gockel.hmdnsgroup.com,2007:/~searchli/danmelsonsite//4.32952007-04-07T17:00:00Z2007-09-05T23:27:40ZDan Melsonhttp://www.searchlightcrusade.net/
I've said upon more than one occasion that the factors at closing are all in the loan provider's favor. Unless they signed up for multiple loans, the typical consumer has no leverage to get the loan provider to play it...
Why Refinances Tend To Have Lower Paymentstag:gockel.hmdnsgroup.com,2007:/~searchli/danmelsonsite//4.32852007-03-29T17:01:10Z2007-09-05T23:14:09ZDan Melsonhttp://www.searchlightcrusade.net/
I keep talking with people who don't understand that a higher interest rate on a refinance can result in a lower payment. In fact, they don't understand why refinancing tends to lower the payment at all. Before I go any...
The HUD-1 Formtag:gockel.hmdnsgroup.com,2007:/~searchli/danmelsonsite//4.32782007-03-24T17:00:29Z2007-09-05T23:01:51ZDan Melsonhttp://www.searchlightcrusade.net/
I have mentioned this form several times in the past as the only form in the entire mortgage process which is actually required to be accurate. Department of Housing and Urban Development form 1, the so-called HUD 1 form, is...
Truth In Lending and APRtag:gockel.hmdnsgroup.com,2007:/~searchli/danmelsonsite//4.32772007-03-23T17:00:11Z2007-09-05T22:39:25ZDan Melsonhttp://www.searchlightcrusade.net/
The Truth-In-Lending is a form that can or does provide some useful information, but the useful information it provides is both smaller than most people think, and not in the numbers everybody looks at. The first thing to be aware...
The California Mortgage Loan Disclosure Statement (MLDS) Part IItag:gockel.hmdnsgroup.com,2007:/~searchli/danmelsonsite//4.32762007-03-22T17:00:35Z2007-12-19T01:49:54ZDan Melsonhttp://www.searchlightcrusade.net/
(Continued from Part I) Below the "Estimated Closing Costs" line, there are three more sections. The first is "Items required by lender to be paid in advance." These are not negotiable - they are what they are, and except for...