Tag Archives: Mortgages

Mortgage Finance

Add To The Quality Of Life With A Remortgage Or Secured Loan

We are now in the month of August and at this season of year we think about the closing weeks of Summer.

It is frequently sunny at this time of year, and when the sun shines it causes the interiors of our property to appear full of flaws , and these small flaws in the internal paintwork become very obvious..

Looking at the sofa in our parlour in the sunshine , and the blemishes caused by the two dogs, that you do not notice in the dark Winter days now starts to disturb you so much that you cannot take our eyes off these dirty marks..

Looking at our outside living space we can imagine the warm Autumn evenings that we can still enjoy , we think how great it would to have a a pond and a conservatory where we could sit with our nearest and dearest.

It is your fifty fifth birthday at the beginning of Autumn, your family have all left home , and you want to take a trip to the main capitals of Europe such as Paris, Rome, etc. to celebrate your birthday and your freedom without the grown up children now that it is only you and your wife alone for the first time in many years..

You have a great desire to decorate your home and carry out home improvements, as well as improving your out side living space also and going on that special holiday But you believe that it will all prove too costly, and you will be lucky if you can even manage to pay for the holiday..

You should take a seat , and work out how much it would cost to fulfill your dreams, and for homeowners with equity on their homes these dreams may well be readily realizable..

Equity is the difference between the value of your home and your mortgage balance. So if your home is valued at 270,000 and your mortgage is 140,000 the equity is 130,000.

You can then apply for a secured loan or a remortgage which are both secured on the equity of a property and both are home loans that raise funds that you can use for almost anything.

Remortgages are currently available from less than 2%, and secured loans start at about 9%, and as such they are easily affordable ways to buy almost anything

Remortgages or secured loans can be used for debt consolidation that clears all other financial outgoings and this means that it could well be possible to do everything you want at no extra cost to you each month..

Looking to find the best deal on secured loans then visit www.championfinance.com to find the best deal on a remortgage for you.

Mortgage Finance

Myths, Pros and Cons of Hecm Reverse Mortgages

Myths, Pros and Cons of Hecm Reverse Mortgages

First and foremost; the bank does not, nor do they want to own your home. So why do so many people believe this? Prior to FHA getting involved in 1988, the lenders would take an equity position in their Borrowers homes.  That practice has resulted in unfavorable feelings towards today’s reverse mortgages. The Federal Housing Administration (FHA) has set the new standards and guidelines for HECM reverse mortgage loans and their involvement has produced a safe, well thought out and balanced loan for Seniors. Look below to find some of the pros and cons of reverse mortgages.


The Upsides

There are no monthly payments associated with a reverse mortgage. You will never be required to make a monthly payment while you reside in your home.
You stay on title and any equity remaining in the property is yours. The lender does not take title to your home!
You can never owe more money than your home is worth. HECM reverse mortgages are “nonrecourse” loans. This means that no matter how long you stay in your home, you will never be obligated to the lender to pay them any more than the value of the property, even if the loan exceeds the value.
A reverse mortgage will not effect Social Security or Medicare benefits.
Qualifying is easy. You must be at least 62 years of age and have value in you home. You do not not have to prove income or have good credit. The value of your home and your age determine loan amounts. It’s that simple.
The money you receive from your reverse mortgage is tax free.
The funds you receive can now be designed for your specific needs. Depending on the amount of funds you require, you can create your loan with a fixed or variable rate. You can also design your loan to provide one upfront payment of all cash, you can receive monthly payments or keep all of the funds due you in a line of credit and withdraw the funds as you need them. You can also create a combination of all three methods.
The funds from a reverse mortgage may be used anyway you want. After paying off any existing mortgages, tax liens or heath and/or safety issues regarding your home, you can use the funds for any purpose you desire. Take a vacation, you deserve it. Make repairs or upgrades to your home. Put all the cash on 7 and spin the wheel, the funds are yours.
You built the equity in your home over years of hard work, now you can let this equity work for you. You can feel the self reward and know that you are not necessarily reliant on your children or other family members to help you. There seems to be a since of pride that goes along with method.
FHA insures these loans. Given the state of this economy, you do not want to find out that the bank funding your monthly payments has gone out of business. With FHA insuring your loan proceeds, you can be comfortable knowing that your next payment will be guaranteed by the US government.
NRMLA. Lender/members of the National Reverse Mortgage Lenders Association are an elite group of individuals who are dedicated to helping American Seniors fulfill their retirement dreams. This group is available for you.  

The Downsides 

Lenders generally  charge their origination fees, FHA upfront mortgage insurance (MIP) and other closing costs that add up in a hurry. The flip-side to this, however, is that if you really need the funds from the equity in your home you could borrow the funds traditionally as long as you can afford the monthly payments or sell the property. If you sell the property, you are left without a home to live in and the 5-6% cost to sell your home is considerably higher than those fees assessed with a reverse mortgage. The longer you live in the property the lower the costs average out.
Most reverse mortgages require utilizing a variable rate. This can be overcome by using a fixed rate. Unfortunately, the fixed rate reverse mortgage requires that you draw all funds available to you and may not be the right loan for all applicants.
Your mortgage debt rises fairly quickly, but, there is no surprise that the loan increases rapidly since you do not make any payments while living in the property. The interest that would be due as in a traditional loan simply adds on and creates a new higher principle value.
Borrowers are of course responsible to keep the property properly maintained and they must stay current with their homeowners insurance and property tax.

 
All in all I believe the upside to reverse loans far outweighs the downsides. Call on a NRMLA member and do your homework. Vist us online: www.mlsreversemortgage.com

First Time Home Buyer Programs

Mike Borba (President of MLS Reverse Mortgage) is a broker that has been in the mortgage and real estate field since 1980. Toll Free (888) 888-4834. Visit our website. Read more of our articles online. Reverse Mortgage FAQ’s

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Home Loans

The Comparison Between Secured Loans And Remortgages.

There are many sort of loans and these can come in the form of unsecured and secured loans ,but for homeowners it is sensible to use their homeowner status to borrow at low interest rates by means of remortgages and secured loans.

Secured loans and remortgages are of course only available to homeowners as they both need to be secured on property, and they are great ways for homeowners to raise money which can be spent on just about anything..

Other things to be considered when thinking if remortgages or secured loans are better.

Secured loans should be the loan taken out by homeowners who are in the first few years of a tie in period with their existing mortgage provider. In the tie in period there is an early repayment penalty if the mortgage is repaid and replaced with another mortgage that is a remortgage.

This penalty can be extremely high and can be many thousands of pounds in charges as the penalty is from 2% to 5% of the outstanding mortgage balance. If you have a mortgage of say 250,000, the penalty would be from 5,000 to as much as 10,000. Therefore to remortgage within a tie in period would be crazy and a low rate secured loan would be the better option.

For example if a great bargain of a private sale of your dream car crops up or something similar meaning that you need the funds speedily the secured loan is the better option as it takes half the time of a remortgage to obtain. Remortgage can take up to six weeks, and a secured loan can be arranged in half this time..

If neither speed does not apply, a remortgage could well be preferable as the interest rates for a remortgage are normally lower. At this moment in time if the homeowner has at least a 40% deposit interest rates of under 2% are currently available.

Secured loans, although certainly more expensive than remortgages mean that remortgages are often more popular.

By now it must be apparent that there are pros and cons with both remortgages and secured loans, and personal circumstances are always relevant as to which is better.

secured loan

Mortgage Finance

Tell The Correct Facts When Applying For A Remortgage, Mortgage Or Secured Loan.

It is fairly common when some one decides to apply for a loan , including mortgages, remortgages and secured loans that it will help their case if they tell lies and exaggerate , and they truly believe that they will be approved more readily for the finance..

If some one wants fast approval, honesty is the best policy,, as any other way will cause hold ups.

When a person wants a mortgage to buy property , the first move is to complete an application form in which he must fill in salary details, what they pay out monthly on loans, credit cards, etc..

The would be mortgage borrower must also fill in everything about how much he spends each week on groceries, heating, electricity, etc.

When applying for a remortgage the very same questions are asked , as it must be remembered that a remortgage is only changing a mortgage from one lender to a new one.. This is usually taken out at the end of a mortgage deal in order to achieve a better deal with another mortgage deal. On occasions additional funds are requested that can be used for many different reasons..

Also the application form that must be completed for the other home loan of secured loans contains identical questions as that for remortgages or mortgages.

When an applicant lies about how much he earns to make the application appear better , the correct figure will be discovered as soon as the finance lender has the original wage slips .

The loan lender will also ask the applicant to show bank statements that cover the last three months, and if the applicant has told lies about his monthly bills, this again will show when the statements are carefully checked out by the underwriter.

In addition to lying about their salary, some prospective borrowers state lies concerning how much they spend on credit cards and loans monthly, and the lies will come out as soon as the bank statements, which must be provided with the application, are looked ar at by the home loan provider.

Learn more about homeowner loans Stop by Champion Finance’s site where you can find out all about the best deals on remortgages for you.

Home Loans

Why Not Make An Application Now For A Secured Loan, Remortgage Or Mortgage?.

There are many the length and breadth of the country considering a remortgage, secured loan, also known as homeowner loans, and a mortgage but they only considering it while at the same time not making any move to arrange it. .

Mortgages are the finance required for buying property, and almost every single individual needs a mortgage as individuals who can afford to buy a home out right out of their bank account are in the minority and particularly when you consider that the average cost of a property in this country is almost 170,000.

A mortgage is needed both by first time buyers wanting to get their foot on the first rung of the property ladder and also for people moving to another property , whether it is because their place of work has moved or because they have had an addition to the family.

At the moment there are fewer remortgages than there once was.

Remortgages, unlike mortgages, are only for those who already own their own property as a remortgage involves moving an existing mortgage from one mortgage provider to a new one..

Homeowners often take out a remortgage at the end of a fixed mortgage period to simply save money by obtaining a lower rate of interest and with remortgage rates at an all time low this is a good ta time as any to obtain a quotation for a good fixed rate remortgage deal.

However a remortgage can be taken out to raise extra funds for a number of different reasons just as secured loans can be. A secured loan is a second charge on a property and it is recorded at the Land Registry behind the first mortgage and this is why these homeowner loans are also sometimes referred to as second mortgages.

A remortgages or a secured loan can be used to buy a car, to carry out home improvements. etc. etc. and also make excellent debt consolidation loans.

The three home loans of mortgages, remortgages nd secured loans have fallen because for some strange reason many people think that they are no longer available which is far from true as there are plenty of funds available,.

There are plenty of secured loans , mortgages and remortgages and all interested parties should apply now and delay no longer.

Learn more about homeowner loans. Stop by Champion Finance’s site where you can find out all about the best rates of remortgages for you.

Home Loans

Get A Remortgage Quote When Your Mortgage Deal Ends.

Remortgage are home loans that many homeowners are not sure about and they do not really know what benefit there would be in a remortgage.

To commence with the basics as to what the word , mortgage. means. Mortgage are the loans necessary to buy a house, and a mortgage is some thing almost everyone needs unless they have loads of money in the bank and this applies to a first time house buyer in addition to home movers.

A home purchaser can only manage without a mortgage if he has fairly substantial amount of money at his disposal and with the cost of an average property in the UK being approximately 170,000 there are not many with that sort of funds.

Mortgages are set at their original rate for a certain time that can be from a year to on average five years although longer tie in periods are in the market.

While the tie in period is in place there is a settlement penalty to be made if the mortgage is payed back before the right time..

The settlement penalty is usually a minimum of 2% of the outstanding balance and can as high as 5%, making it unwise to change mortgage providers at this time as it would be very expensive to do so.

After this tie in period there is no penalty and it is then that homeowners then choose to obtain quotes for mortgages from new mortgage lenders to ascertain if there are lower interest rates

It is at this time that the word remortgage comes in as a remortgage is when a homeowner moves to a new mortgage provider.

Moving from one provider to another is what is called a remortgage.

A remortgage is not only the moving of mortgage lenders but also they are often the means to achieving a cheaper mortgage payment.

Learn more about remortgages. Stop by Champion Finance’s site where you can find out all about the best remortgage for you.

Mortgage Finance

To Refinance, Or Not To Refinance?

If you, like many homeowners, want to discover the advantages of getting a low mortgage rate refinance, this article will show you what it is and how you can get one. Refinancing happens when a homeowner acquires a new mortgage with a better interest rate and term. The goal of refinancing is to pay off the original mortgage and gain a more affordable rate. It also allows for freedom, as refinancing homeowners don’t have to stick with their original lender to refinance.

So what are some reasons homeowners choose to refinance? If your credit score has improved enough to qualify you for a better rate, it may be a good time to refinance. Unlocking home equity is another popular reason. This provides extra cash for debt elimination, home renovations and the like. If you currently have an adjustable rate (ARM) mortgage, you might want to refinance with a fixed-rate mortgage to protect against high interest rates.

Is there any way to know whether your refinance will be worthwhile? Absolutely. If the current interest rate is 1% or more below the interest rate on your current loan will ensure the feasibility of your refinance. But if you aren’t sure you can recover the costs of your refinance within 2 years, it may not be the right time to make this move. Also, the fact that refinancing will incur some costs should definitely be taken into consideration. Some common costs include realty transfer taxes, title insurance, legal services and appraisals.

Another way to ensure that a refinance is worthwhile is to remain in your home for at least a few years following your refinance. This will allow your finances to re-stabilize, while putting some space between your last mortgage enquiry and your next one. Too many enquiries on your credit report that are too close together can raise a red flag to lenders and result in a higher rate.

It’s always a good rule of thumb to consult a professional when the time comes for a low mortgage rate refinance. They can help you avoid possible pitfalls and extra costs, and protect your interests with their industry knowledge. This can save you a lot of time and money down the road.

If you found this article interesting, more information is available about lower refi- mortgages from author and expert Penny Dominus.

Home Loans

Tips On Remortgages And Mortgages

Remortgages and mortgages are two types of home loans and only homeowners can make an application for these loan products.

Why this is so is due to the fact that a remortgage and mortgage both rely on the asset of a property.

What in fact a mortgages is, is the home loan needed to purchase property.

Before a person even starts to seek out a home that he likes, the very fist thing once he has decided that he wants to become a home owner he must first arrange a mortgage as it is crazy to put in an offer for a property without the mortgage being in place as he could be refused the mortgage and left in a difficult position to put it mildly if they have put in an offer to buy a property without the mortgage being in place to buy the property.

The very second an offer to purchase a property is presented in Scotland and the seller has accepted that offer, the sale has to proceed and it is impossible to withdraw the offer in Scotland although in England the would be purchaser does not legally have to proceed.

There is absolutely no difference in mortgages whether buying a first property or to homeowners who want to move home.

Another important issue when buying a property, apart from taking out a mortgage, is to make sure that money for the deposit is also in place.

Before the recession 100% mortgages were available which meant that there was no requirement for a deposit but now everything is totally different and deposits of as much as 25% and absolutely never less than 10% are needed..Only a few mortgage lenders grant 90% mortgages and or a 90% remortgage.

Remortgages means homeowners taking out a mortgage with a different mortgage provider without moving from their current property.

It is a very popular thing for homeowners to take out a remortgage for the same amount as his current mortgage and this is what is known as a like for like remortgage as it is for the exact same balance as the original mortgage.

This may sound atrange but it is in fact a sensible thing to do as mortgage interest rates can vary enormously between providers and changing mortgage products can be very cost effective and save thousands of pounds over the course of the deal.

Remortgages can also be taken out to release extra money that can be used for lots of reasons, making remortgages a low cost means of funding most purchases as remortgage rates start now at as low as 1.84%

Looking to find the best deal on remortgages, then visit www.championfinance.com to find the best rate mortgage for you.

Home Loans

A Remortgage Or A Secured Loan Arrange The Best Debt Consolidation Loans

Off and on many people feel pressurised by being laden down by too much debt that is too much to manage, and this can make many people extremely stressed out..

It is far from difficult to get into debt as this is very much an I want world in which we live, and the simple little joys of life that our fore fathers enjoyed for free nothing do not appeal to us these days.

In days of yore, a family would gather round the piano and sing happy tunes on Saturday evenings but this does not happen any more and where the piano used to be there is now a state of the art huge television that cost thousands .Everyone stares all evening at the television until the simple act of conversation no longer exists.

Years ago holiday were mainly spent at sea side resorts in Great Britain, and people enjoyed the cartons of jellied eels in Brighton or the hamburgers in Blackpool. A visit to the little theatre on the pier to watch a puppet show was one of the simple pleasures , but children of today would no longer like these things Simply hiring a rowing boat or enjoying a ride on a little donkey on the beach would no more be thought on as entertainment any more, as children ride horses at the local riding school or can hire rowing boat at the local park any day of the week now.

When people started going abroad they were perfectly happy to go to Spain on a self catering break in a flat but more expensive and luxurious holidays are now the order of the day.

All of a sudden you understand that the pleasures in life cost too much, and you start to find it impossible to deal with all your debts.

For homeowner there is an easy answer to debt and this is debt consolidation which is the unification of all debts into the one payment which means arranging debt consolidation loans.

A remortgage has an interest rates from 1.84% and a secured loan starts at about 9% which is a fraction of the rates for credit cards, etc.

Want to find out more about debt consolidation loans then visit Champion Finance’s site on how to choose the best remortgage

Home Loans

A Conversation About Consolidation Loans, Homeowner Loans And Remortgages

Having decided to buy something expensive , the t next thought must be about the best way to pay for it.

People wishing to make a large purchase such as a car, a caravan, a new bathroom or such, almost all require to borrow if they are making an expensive purchase

There are numerous means of paying for things, and these ways include car loans, personal loans, secured loans, remortgages,etc.

There is a loan called as the unsecured personal loan which is not really advanced for one specific reason , but is given to the borrower personally.

Car loans are loans specifically for the purpose of buying a car and thay can be obtained from the garage offering the car. Interest rates for car loans can be high unless the car being bought is a new one that the car manufacturer is offering at 0% interest or with a one of special low interest rate for a certain period of time and normally just before a new model is introduced and as such they want rid of the old model.

If some one wants to do home improvements, a home improvement loan is usually required , especially for big jobs and can be got for from home improvement companies .

However the bad aspect of paying for home improvements by this means is that the loan usually has the interest rate of about 25%.

If some one wants to borrow for a special holiday abroad he can obtain a bank loan, but the interest rate is expensive and the repayment period is tight at normally only a year or sometimes it can be spread over two years.

There are two great ways of borrowing that takes the place pf all these other loans and these are secured loans, also known as homeowner loans and also remortgages.

Secured loans and remortgages need to be secured on a property, rendering only homeowners able to make an application for secured loans and remortgages

A remortgage and a secured loan have cheap interest rates with tracker remortgages available starting at 1.84%, and from 2.99% for fixed remortgages. Secured loans have rates from only about 9% APR making these loans cheap ways to acquire extra cash as and when needed..

In addition to all the purposes already mentioned , remortgages and homeowner loans can also be used as debt consolidation loans which save a lot by combining all high interest credit card debts, etc. into one considerably cheaper payment monthly.

Ot is obviously stupid for people who own their property to consider anything apart from remortgages and secured loans when they want extra cash..

Learn more about remortgages. Stop by Champion Finance’s site where you can find out all about the very best deals on a remortage for you.