Borrowers seeking large home loans are finding an increasing number of lenders today offering jumbo mortgages— loans for more than the conforming limit set by Fannie Mae and Freddie Mac, typically starting at $417,000 for most parts of the country and reaching as high as $625,501 in some higher-priced real estate areas. They’re also finding low rates. On the other
By the time home buyers make it to the closing, it’s smooth sailing, right? Wrong. For home buyers, the adage “loose lips sink ships” is pretty spot-on as a best strategy at settlement. Clearly, there’s a lot at stake. You certainly don’t want to say something at closing that could keep the deal from going through. To to raise the odds that all goes
Want to buy a home but don’t have a ton of cash in the bank? You’re likely not alone. Trulia research shows that saving for a down payment is one of the biggest obstacles to homeownership for first-time buyers, behind poor credit history, qualifying for a mortgage and rising home prices. Here, Trulia offers seven simple steps that can help you save for a house
If you buy a house, a mortgage lender typically will ask if you’d like a 15-year mortgage rather than the standard and conventional 30-year loan. If you’re considering a 15-year loan, here are some pros and cons to consider. Pro: Your mortgage is paid off sooner, freeing up your cash. That’s an obvious pro, of course, and it’s why many people do
Refinancing your mortgage can potentially save you thousands of dollars—especially if you refinance when rates are low. So, what’s holding you back? If you’re like many homeowners, you might have been inundated by so many misconceptions about refinancing that you’ve been deterred from even looking into it. And that’s bad news—you could be wasting money month after month by not getting a
Are you ready to buy a house, but not sure exactly how to go about the process? Here, Realtor.com offers a handy checklist on how to prepare to buy a home. 1. Boost your credit score Your credit or FICO score—which reflects how dependable you are at paying bills—directly affects the interest rate on your mortgage and the amount of your monthly payments. Most lenders require
Why is the 30-year fixed-rate mortgage the go-to mortgage for most people? Affordability and predictability. Payments are made during a longer period of time (as opposed to a 15-year fixed-rate mortgage), so your monthly bill will be lower. Plus, the principal and interest you need to pay each month are fixed, which means you’ll never be surprised when you open your bill. But for prospective home buyers
Freddie Mac’s most recent Primary Mortgage Market Survey shows the 30-year fixed mortgage rate dropping to a new 2017 low. “The 30-year mortgage rate fell 2 basis points to 3.88 percent this week,” says Sean Becketti, Freddie Mac’s chief economist. “However, the majority of our survey was conducted prior to Tuesday’s sell-off in the bond market which drove Treasury yields
Sixty percent of mortgage borrowers recently surveyed by the American Bankers Association (ABA) prefer to apply for a mortgage in person, despite the existence of technology that eliminates the need for human interaction. Just 17 percent prefer to apply for a mortgage online. Only 34 percent consider their knowledge of the mortgage process “above average” or “excellent.” “Banks invest billions
Freddie Mac’s most recent Primary Mortgage Market Survey shows average mortgage rates increasing across the board for the first time in more than a month. “The 30-year mortgage rate rose 2 basis points over the week to 3.91 percent,” says Sean Becketti, Freddie Mac’s chief economist. “However, our survey was conducted before investors drove Treasury yields sharply lower in a
