We commit to providing timely, accurate information to help people understand home loans. While we have a little fun at our own expense, The Heath Team recognizes home buying and refinancing as serious topics.
A home is one of, if not the only, major purchase most of our clients can make. Understanding the details is very important. In the posts which follow, we explore common questions and timely subjects. We write all of the content and will update as circumstances change. Interested in a topic that we haven’t posted? Contact us and let us know! We’ll get you an answer.
Home Loans – Back to Basics
We have a Back to the Basics series in which we explore the foundations of:
We’ll introduce you to:
We’ll also discuss more specific programs such as:
Home Loans – A Little Beyond The Basics
Understanding how interest rates are determined and what causes them to fluctuate will highly benefit you. We’ll discuss the purpose and impact of down payment amounts on loans. We’ll also discuss, when Mortgage Insurance and Down Payment Assistance programs can reduce your cash out of pocket. Of course, closing costs need to be paid and can be reduced by seller concessions or using lender paid fee options.
ARMs (Adjustable Rate Mortgages), portrayed as a risky loan, are not for everyone. They do, however, provide benefits in some cases. We’ll compare fixed rates versus adjustable rates and provide some insight on how to evaluate them for your particular situation.
The lending world is ever changing and we’ve seen an increase in lending options for Manufactured Homes and Condominiums. Construction Loans are also making a comeback, as are Renovation Loans, so we will review how those can used.
We won’t shy away from more complex topics such as:
- Shared Well Agreements
- Home Owner Association Restrictions
- Private Road Maintenance
- General Appraisal Issues
When Fannie Mae, Freddie Mac or Government Agencies update their program guidelines, we’ll let you know what those changes are and how they impact your lending decisions. The ease of access to information is a great resource for home buyers, but it’s critical to distill it down to your particular situation. The Heath Team has 18 years of experience and can be your trusted resource to translate the complex financial language to understandable advice.
Home Loans – Lending Process
A solid understanding of the lending process makes a homebuyer more competitive with their offer. Know the difference between:
and what it signals to the seller of the property.
What else can you do to be in the best possible negotiating position? How about starting the home loan process before you think you’re ready. This will allow one of The Heath Team Licensed Loan Officers to work with you. They will make sure you are as prepared as possible when the time is right to move forward.
Home Loans – Credit Issues
Credit issues are probably the biggest obstacle home buyers fear will derail their home purchase. Our Home on the Horizon program offers FICO® certified analysts to provide detailed recommendations on how you can get your scores in line for a home loan. Additionally, we have access to programs with shorter waiting periods after a short sale, foreclosure, and bankruptcy.
The second issue we see is the lack of funds for down payment and closing costs. In the pages that follow, we demonstrate strategies using:
- Mortgage Insurance
- Down Payment Assistance
- Seller Paid Closing Costs
- Lender credits
to keep the out of pocket cash to the minimum.
The last major hurdle is having the income to afford the home or your dreams. Now the Heath Team can’t increase your income, or can we? We’ll show you how a co-signor can increase buying power. Also, did you know, the Mortgage Credit Certificate will actually put cash in your pocket every year of your mortgage. Want to know more? Read our post!
Home Loans – First Time Buyer, Second Home Purchases, Reducing Interest
If you’re a first-time buyer or have concerns about qualifying, let us be your GPS and guide you on the journey of your home purchase. The power of a team will help any home buyer make better decisions. We’ll make sure you understand how to select a REALTOR®, what a title and escrow company will do, why a home inspection is so important, and how to protect yourself with a home warranty.
If you’re not a first time home buyer you will find value in our pages about second home purchases and successful investment property strategies. Also, The Heath Team has low down payment programs for Engineers, Doctors, Attorneys and other professionals with advanced degrees. Be sure to check out those pages!
Reducing interest paid on your loan means significant long-term savings. This can be done by:
- Buying Down The Rate
- Shortening The Loan Term From 30 Years To A 15 Year Fixed Rate
or using payment strategies such as bi-weekly payments. We might even get a little crazy and talk about ways to use FHA and VA loans for investment home purchases.
Home Loans – Protection
It’s an unfortunate reality of our advanced technological progress has led to increased cyber crimes related to mortgages and home buying. We’ve researched with the best professionals in prevention of these crimes and will share our insights on Wire Fraud, Identity Theft and Database breaches. Learn to protect yourself and understand how that protection can impact the loan process. Credit Freeze is a term we’re hearing more and more, so we offer guidance on how to implement this without delaying your loan process.
Home Loans – Contact Us
Some of this information is basic foundation material, but we will also address complex and advanced concepts in the lending world. As always, questions and feedback are welcome by calling 520-495-7213, emailing Tom.Heath@NOVAHomeloans.com or using the “Contact Us” page.
Please feel free to ask us anything and we will find you the answer.
Have a great day!