For people who have equity in their homes, it can be tempting to use that money to make large purchases like a car. When you do this, you use your home as collateral – meaning you are borrowing money against your home in order to buy...
Two of the major factors that lure millions of Americans to refinance their mortgages are the current low-interest rates and the prospect of saving loads of money. However, just like most things in the loan and mortgage industry, it’s not quite that simple. Although a refinance...
If it’s financially feasible for you to pay off your mortgage early, you might want to consider doing so. However, that’s a major money move – so don’t just jump into the decision. Read on to learn more about why this might be a good...
When the Great Depression hit in the 1930s, many people were forced to default on their mortgages. As a response, the government created the Federal Housing Administration. Among other things, it began providing mortgage insurance to guarantee loans to those who may otherwise have been seen...
Have you heard of 100% financed loans? A mortgage that is a 100% financed means that the home buyer is taking out a loan for the full purchase price of the home they are buying. This means that there is no down payment required in...
Refinancing is an excellent way to lower your monthly mortgage payment amount or pay off your home loan faster. In a refinance, you are essentially replacing your old mortgage with a new one that has new terms. Especially during periods when interest rates are low,...
A fixed-rate mortgage is what most people have in mind when they think about a home loan. It is a traditional type of loan where the rate of interest is set at the time the loan is taken out and remains same throughout the life of...
If you want to buy a home but don’t have money for a large down payment, then a loan backed by the Federal Housing Administration (FHA) may be a great option. FHA loans are widely popular due to their flexible requirements, including low down payment and...
There are certain numbers that are too important to forget: your age, your address, your debit card PIN. But have you thought about your credit score? A credit score is a number that represents your creditworthiness to lenders. It’s a critical piece of the formula when you’re...
Refinancing is a term used to describe the process of taking out a new mortgage to pay off and replace your original one. There are many financial reasons to do so – including reducing your interest rate, pulling cash out to pay off other bills,...