Carrie Reeder asked:




Purchasing a new home after a recent or past foreclosure is easier than
you may think. Some previous homeowners are hesitant to apply for a
mortgage. Considering their history, many assume that mortgage lenders
will immediately deny their loan request. On the contrary, numerous
lenders offer mortgages and loans to individuals with damaged credit. Hence,
obtaining a new home loan is within your reach.

Ways to Quickly Improve Credit Score

After a foreclosure, rebuilding credit is a top concern. Obtaining a
mortgage loan and maintaining consistent payments will significantly
improve your score within a year. Even if you cannot negotiate a low
interest rate immediately following a foreclosure, by consistently making
on-time payments and proving your credit worthiness, you have the option
of refinancing in a couple of years for a low rate mortgage.

If you are hoping to obtain an initial low rate mortgage, make an
effort to improve your credit rating before applying for a home loan.
Applying for new credit accounts is a fast way to raise your credit score. If
possible, obtain a secured/unsecured credit card, department store
card, etc. For the next 12 months, make regular timely payments. Paying off
the balance each month proves you can handle credit responsibly. When
re-establishing credit, periodically check your credit score and report
for inaccuracies.

Picking the Right Lender

The lender chosen to finance your new home loan is important. When
searching for a mortgage lender, many homebuyers do not shop around.
Moreover, many do not consider secondary money sources such as mortgage
brokers or sub prime lenders.

If you have a past foreclosure or bad credit, you will not receive good
rates with traditional mortgage lenders. These lenders prefer prime
candidates. If your credit score is low, the likelihood of the loan
defaulting is high. Thus, bad credit applicants are charged excessive fees
and interest.

After a past foreclosure, contact an online mortgage broker. Brokers
are eager to help you acquire the best loan package. Moreover, the
process is very simple and quick. After submitting your income, employer, and
credit information to a mortgage broker, the broker will find
appropriate loan programs, and provide quotes from a variety of lenders. Upon
careful examination of quotes, you may either pick a lender or refuse the
offers.

Gilbert

darshunk asked:


I am in my last year of law school, still searching for a post-graduation job. When my parents filed for bankruptcy, they were allowed to stop paying on their home morgage (around $1200 a month) under the Bankruptcy Code. This “automatic stay” has been in place since my dad filed, a total of 6 months. Hence, for 6 months my parents have been living in their house that is about to be foreclosed by the bankruptcy courts without paying a morgage. You think they would have saved money for moving right? NOPE. They don’t have a dime!
I am a LOT wiser with my money. I have a $5000 mutual fund account, over $3000 in savings, 2 jobs in which I place “extra” money in money market account.
They have paid my car note and insurance ever since I have been in law school. I feel that I should help them with their down payment on their new house but I am scared because they are not financially responsible and I need that money to pay for bar dues, bar classes, the bar itself, moving expenses, etc.

Donald

ronold asked:


I’m 60 days late on morgage payments. I’ve been told to not pay the county taxes ether. what will the county do to get there money? does the bank assume these cost as well?

Dawn

Gordon H. Smith asked:




First we need to know what refinance is before going further. Refinance is a new loan taken out by borrower to pay off the original loan. One should know that all lenders are in business and when talking of business, it should have a profit. A lender will not refinance a mortgage home purchase loan if they got nothing of it.

Home or a house is the best asset and every peoples dream to have and once you got one, it seems a fulfillment of life but that needs a lot of planning and knowing the capabilities of your financial situations. Learning how your financial status will be affected not only for a short time but for a longer time and this kind of things need to be taken seriously since not only you that will be affected but as well as your family.

Although the home purchase loan rates will depend on other fees, taxes and insurance which is compulsory for all buyers and just be sure that the lenders disclose all the information when it comes to any charges that is going so that you will be aware of it, not affecting your monthly payment program. Actually taxes and insurance are distributed in your monthly payments and accumulated by your lender till the payment is due where in it is the lender who pays on your behalf.

Take note that any type of mortgage either first or second mortgage or even home equity in line of credit can be refinance if you, as borrower meet the lender’s requirements for refinancing since home equity can be a collateral which may also help the borrower not to pay the private mortgage insurance on a home purchase which is made less than 20% of down payment and usually, home mortgage can be refinanced at any point during the loan.

When you have a home purchase loan, it is automatic that the house or home you purchase will be used as collateral. Take note that the lender will work from the initial purchase price not from the new appraisal when you refinance mortgage and mostly the interest rates fall when the homeowner refinance mortgage. There are many people which are not fully aware of all the rules that surround deducting interest on home mortgage refinancing. Most mortgage refinance require you to hold your mortgage for at least six months before refinancing.

When you reach several years owing your home and you want to consider refinancing your mortgage for reasons of reducing your interest rates, then you need to bear in mind that although in refinancing helps reduce your interest rates but remember that you also extend the years or payback period, in short you will be in debt for longer period of time than the original planned.

So when you think of home purchasing loan which you think is more advantageous to you, you also need to think for the other side of it when you do refinance mortgage home purchase loan. Things need to be think, plan, decide and learn in order for you to know the advantages and disadvantages when it comes to refinance mortgage home purchasing loan.

Melinda

didntdoit asked:


I bought my house in mid-2008, my income was high that time (about 120,000 gross per year), I decided to leave my job to persue a higher education and work at same time and my income will be around 50,000 gross per year. I have some savings but not much. i have a home-staying wife, two kids (less than 2 years old), no other income. my monthly mortgage payment is 2300. I was planning to borrow on credit cards if I need to go through the next 3-4 years of education. I just heard that I can negotiate my morgage especially that my house value declined by maybe 8-10%. what can i do if i want to sell my house now??
I’m in Pennsylvania by the way, my credit history is clean. I have some other student loans for me and my wife to pay.
I tried to put all details, so please help me. thanks

Viola