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 a cruel trick, but it is neither. With every single loan that is done, you, …
Category Archives: Mortgages
Types and Levels of Mortgage Documentation
No matter which provider, no matter what type of loan you get, nobody is going to loan you money without the appropriate documentation. The more documentation you have that you are a good risk, the better the rate you are going to get, and the lower your costs are going to be. Everybody hates filling …
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Questions to Ask a Prospective Loan Provider
Mortgage – Questions you must ask every provider on every loan. (This list is trying to be as exhaustive as possible, but is likely missing some important questions. If I missed one, send it to me: dm at ) What is the rate? What is the amortization period? Is there a possibility that the note …
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Mortgage Rate and Points
Everybody knows that you want the lowest rate, and everybody knows that you don’t want to pay any money you don’t have to, in order to get it. However, not everybody makes the connection that it is always a tradeoff between the two. At any given point in time, each home lender has it’s own …
Mortgage Markets and Providers
There are actually several distinct marketplaces consumers can obtain their funds from, and several types of providers. John the wealthy highly salaried person with great credit and a substantial down payment should not and usually does not obtain his mortgage from the same funds providers as his twin brother Jim, the self-employed, always-broke person with …
The Best Suggestion About Applying For A Mortgage
This is unfortunately, an obsolete article. Nobody can accommodate doing backup loans any longer. Any loan quote is worthless unless locked, and the penalties to mortgage personnel for failing to deliver pretty much every loan you lock have become too large. It’s here for historical purposes. Back when originally written (June 2005), it was a …
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Mortgages: General Concerns
A mortgage is basically pledging an asset that you own as collateral for a debt. If you default on the debt, the lender takes your property. When you’re talking about real estate in the state of California (and many others), this is generally accomplished by use of a Deed of Trust. There are three parties …