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Make yourself at home in the Tri-State with local Realtor Todd Nelson. Find out current market conditions in the area, what to do to prepare your home to sell, remodeling tips to maximize value, where new subdivisions are being built, about current interest rates and more.

Sunday, May 18, 2008

Real Estate Mortgages Are A Changing

Real Estate Mortgages have had some recent changes made that can affect home buyers when searching for a new home. 100% financing types of mortgages are beginning to be difficult to find except for certain circumstances. FHA loans are gaining popularity. Private Mortgage Insurance changes are starting to affect buyers as well.

If it has been over 60 days since you got a pre-approval letter on a real estate mortgage, you may want to contact your lender to make sure if any changes have been made that might affect the type of mortgage you intended to apply for after you find a home. Interest rates are still great. A local lender was quoting 5.875% on a 30 year fixed rate mortgage last week depending on your credit score.

If you should have any questions, please contact me at or contact your local lender for more details.

Friday, May 2, 2008

What are some common questions to ask your lender when searching for a loan?

Trying to decide what lender to use and what program to apply for can be difficult. Be sure you find a loan that fits your needs with these comprehensive questions:

1. What are the most popular mortgage loans that you offer?

2. Which type of mortgage plan do you think would be best for us? Why?

3. Are your rates, terms, fees, and closing costs negotiable?

4. Will I have to buy private mortgage insurance? If so how much will it cost and how long will it be required? Note: Private mortage inusrance usually is required if you make less than a 20 percent downpayment, but most lenders will let you discontinue the policy when you've acquired a certain amount of equity by paying down the loan.

5. Who will service the loan?

6. What escrow requirements do you have?

7. How long is your loan lock-in period (the time that the quoted interest rate will be honored)? Will I be able to obtain a lower rate if they drop during this period?

8. How long will the loan approval process take?

9. How long will it take to close the loan?

10. Are there any charges or penalties for prepaying the loan?

There are other questions that you could also ask a lender when comparing different financial institutions. These questions were obtained from an Old Colony marketing piece dealing with questions to ask a lender. Feel free to contact a lender for more information and if you should have any other real estate related question feel to free to email me at