VA Refinance Home Loans

Today’s mortgage lending environment is becoming more and more difficult for borrower to get approved for mortgage refinance traction. Since the housing market began to turn lenders have started to tighten up their underwriting standards making it harder for borrower to get approved. Fortunately, for veteran borrowers they have two very flexible transaction options to ease the approval process through their own VA home loan program.

VA Interest Rate Reduction Loan (IRRL)

The 1st option is something called a VA Interest Rate Reduction Loan (IRRL). This is a loan where the veteran borrower already has a VA home loan and would like to refinance down to a lower interest rate given the current market interest rates. The amazing benefit of this loan is that it’s incredibility easy to get approved. There are no appraisals required so value is not of a concern. There are no minimum credit scores; however, some investors and large banks have started requiring minimum credit scores recently.

The paperwork needed to process these loans is minimal at best. There are no paystubs, W2s, or bank statements required. One thing to watch at for is with such easy credit standards veterans become very susceptible to unscrupulous lenders that are more than willing to take advantage of borrower. The majority of my previous clients are receiving unprecedented amount mailers that make it seem that VA rates are lower than that actually are. So please watch out for your closing costs when proceeding with caution with such a transaction.

Summary of the VA IRRL

· VA to VA loan rate and term rate reduction

· Appraisal, income docs, or asset docs are not required

· Verification of the past 12 months of mortgage payments, and minimum credit scores may be required

· 1 or 2 skipped mortgage payments

· Up-to 2 discount points may be rolled into the loan

Cash out or rate and term VA refinance

The 2nd option is what is considered a full VA refinance transaction with an appraisal, and all of the other normal documentation i.e. paystubs, W2s, ect. The nice thing about this loan is that it allows borrower to refinance all the way up to the current value of the veterans home. That’s right 100% financing on refinance transaction for not only borrowers who are looking for rate and term refinancing coming out off an ARM or another conventional loan but also for cash out refinance transactions as well. So veterans that want to consolidate debt, do home improvement projects, or for other various reason are allow. In addition, to this the VA loan will allow VA jumbo loan refinance transactions that are over $417,000 or some in high cost areas. But another word of warning the guidelines for VA jumbo refinance transactions can get very complicate so please make sure your loan officer is very familiar with VA loan or you could really get yourself into some problems.

Summary of VA Cash out Refinance

· Cash out refinances up to 100% of the value of the home established by a VA appraisal

· Refinance out of ARMs or other mortgage like conventional & FHA loans

· VA jumbo refinance loans are available but proceed with caution

· No monthly mortgage insurance unlike most mortgages without 20% equity.



Source by Josh Klenda

Mobile Home Loans Give Concrete Shape to Your Mobile Home Aspiration

A mobile home is equipped with all the advantage of modern day living. It can give you a new experience away from the disturbances of towns and cities. Mobile home as the name suggest is a movable home that is equipped with complete plumbing, electrical, and heating facilities and are usually less expensive than site built homes. I think by now you must have made up your mind to get a mobile home. But do you have enough funds to finance the purchase of a mobile home? If no, then you need not worry. You can apply for a mobile home loan which will give concrete shape to your mobile home dream.

Mobile home loans finance the purchase of a mobile home. The loan is secured against the home loan. A mobile home loan is also known as manufactured home loan. Before applying for a loan, you have to decide which mobile home you want to buy, this will help you to find out the amount you want to borrow.

Features of a mobile home distinguish it from other residential homes. Mobile homes are housing units built in factories that are equipped with all the facilities. It is then moved to a site for installation on a relatively permanent site and used as a residence. Presently, there are three types of mobile homes available in the UK mobile home market namely caravan, motor home and a park home.

Once you decide the mobile home you want to purchase, the next step is to find a suitable mobile home loan for yourself. There are two types of mobile home loans available in the loan market – mobile homes with land and the other one is mobile homes without the land. A borrower can opt for the first option otherwise he can look for the second option.

The loan amount and the tenure of the mobile home loan depend on the location of the mobile home. Caravans can cost a few hundred pounds while park homes cost more than £20,000, depending on their conditions. Mobile homes are significantly cheaper than traditional “bricks and mortar” property. Mobile home loan tenure varies between 15 to 25 years.

An average mobile home loan ranges from 11% to 18%. There are various benefits of a mobile home loan. It provides innovative building options. A mobile home loan is fast and economical which makes it a cheap loan option.

Mobile home lending is considered to be a risky task even if you have a good credit rating. There is big risk involved for the lender; a borrower may fail to repay the loan amount or the monthly payments. Loan is secured on the mobile home but there remains a threat that the value of the home depreciates over the time.

Give due consideration to the cost involved in buying a mobile home such as transportation cost and set up cost. These costs may make your loan expensive. So, estimate these costs before you decide which loan to borrow.

Finance market is flooded with various loan options by infinite number of lenders. Online lenders are the latest entrants in the loan market which have made an initiative to overcome the shortcomings that borrowers used to face while borrowing from traditional lenders such as banks and financial institutions.

Online mobile home loans provide the convenience of applying for a loan. A borrower can apply for a loan by browsing various online lending websites. An applicant needs to fill up a small online application form with some personal information which is available at most of the lending websites. The lenders use these details to find out the most suitable loan option for you. Online lenders ensure the privacy of the personal details of the applicant, so you need not to worry about it. Collect loan quotes from various lenders and make a comparison among them to find the loan that matches your pocket to the best.

Owning a home is a privilege and that too a well furnished mobile home can be a dream true for some. Your dream to own a mobile home can be realized with a mobile home loan. Shop around! Search for the cheap and fast mobile home loan which will be beneficial making it easy for you to pay small monthly payments.



Source by Daniel Louis

Top 8 First Time Home Buyer Grants, Programs and Freebies

A survey by Harvard Business School found 78% of baby boomers and millennials want to buy a home. The catch? Most ‘think’ they can’t afford one.

In many cases, this may be true. But the research also discovered many can. It found many had an income, credit rating, and time on the job good enough to qualify for the many first time home buyer programs and grants I’ll mention in this article.

Note: For more details, Google all phrases in bold.

1. Federal Housing Administration Loan (F.H.A).

If you have a credit score of at least 580 you could qualify for a mortgage for as low as 3.5 percent of the price of the home.

F.H.A loans have helped more first time homeowners than any other type of loan.

2. United States Department of Housing and Urban Development (H.U.D).

H.U.D offers many first time owner grants and low interest loans, depending on the state, city or area you live in.

Note: For those who now live in public or government housing you may qualify to purchase the home, condo or apartment you now live in through the HUD Public Housing Homeownership Program

3. V. A (Veterans Administration) Loans.

If you’re an active duty service person or veteran you may quality for a no down payment low interest rate loan. The VA loan is the lowest cost mortgage on the market because you’re not required to pay for mortgage insurance.

4. The Good Neighbor Next Door Program.

This program for first time home buyers offers home for up to 50% off the retail price. To qualify you must be a teacher, police officer, fire fighter, or EMT. A $100 down payment is all that’s required.

You must commit to live in the home for at least 36 months.

5. Energy Efficient (or Green) Mortgage.

The energy efficient mortgage was created to help first time homeowners add energy efficient improvements to their home. These loans are insured through VA and FHA programs.

This mortgage let you build an energy efficient home without requiring you to make a larger down payment.

6. HomeReady HomePath Mortgage.

  1. Another popular program for first time home buyers. To quality you must take a short buyer education course. After you complete the course you’ll receive 3% toward closing cost for a mortgage loan. The down payment, 3%, is lower than the lowest FHA loan.

7. HUD Dollar Home Program.

After 180 days on the market, certain unsold HUD Properties are offered exclusively to local governmental entities for $1 for 10 Days. Local city of counties then offer these properties to residents to revitalize communities or neighborhoods.

8. USDA Home Loan Program.

This program focuses on homes in mostly rural areas, if you like or can tolerate country living this loan may be for you. This program guarantees 90% of the loan, which means there may be no down payment required and the loan is fixed. Sweet!

These are the top 7 programs available for first time home buyers. As always, like ocean waves government programs come and go. But as of this writing these programs is helping thousands of first time home buyers who thought they couldn’t afford a home realize their dream. Check them out… you could be next!

First Time Home Buyer Love and Other Freebies

1. No Penalties.

A first-time homebuyer can take out up to $10,000 in contributions from the Roth IRA to pay for the home without penalties. Check with your tax advisor for the latest rules.

2. Real Estate agent. This person can be your greatest fountain of information when looking for your first home. They know your local housing market, the advantages and disadvantages of specific homes. They can help you pick the right home to fit your personal and financial needs and much more. The best part? They’re free if you’re a buyer.

3. Pre-Approvals. Another amazing freebie is pre-approvals. They help save you time and energy. How? They let you know what price range you can afford, helping you and your agent know which houses you should be looking at.

4. First-time Home Buyers’ Tax Credit (HBTC): The HBTC is a non-refundable tax credit for first-time home buyers and is worth $750. The first-time home buyers’ tax credit must be claimed on an income tax form no later than one year after the home is purchased.

5. The RRSP Home Buyers’ Plan (HBP)

This program was designed to let you withdraw funds from your Registered Retirement Savings Plan (RRSP) before retirement for the purpose of a first home purchase. The advantage of the HBP is that the withdrawal is completely TAX FREE.

The RRSP Home Buyers’ Plan allows you to withdraw up to a maximum of $25,000. Be sure to consult your tax consultant for more details.



Source by Roy Primm

Consolidate Your Debt With a Secured Home Loan

With the world’s financial markets in complete chaos, it’s a very good time to look at consolidating your debt with a secured home loan. Things are bad and they are expected to get worse before they get better.

Now is the perfect time to take all that credit card debt and any other personal loans you may have and clear them all with a single secured home loan. It makes sense financially and it will provide better piece of mind as well. The last thing you need in your life is more stress.

Secured Home Loans Have Lower Interest Rates

A low rate secured home loan will allow you to consolidate everything into one easy and convenient monthly payment, almost always at a much lower rate than your other debts. Over time the savings in interest can add up to some serious money. Why throw all that money away on interest payments, especially during these rocky financial times?

Secured loans are a great option and can mean the difference between weathering these hard times stress free or struggling needlessly to make your monthly payments. Most of the time these payments aren’t even touching the principle. With a secured loan you are always paying some of the principle with your monthly payment.

Pay Less Each Month

You will be paying less each month, your debt will go down and you can stop ‘barely scrapping by’ by providing yourself with more financial ‘elbowroom’.

Wouldn’t that be refreshing! Making payments and not seeing your balance go down can be very demoralizing. A secured loan also offers a lower rate than an unsecured loan.

In addition to the savings offered by this type of loan, there is the convenience factor. Having only one payment a month instead of many, means you’re not going to forget a payment and end up with a late charge. Better yet it allows you a more credible financial base to budget on. Since it’s a fixed payment, you will always know what is due out each month, unlike variable debt instruments such as credit cards.

Think of how much easier it would be to only have one payment to make each month. The argument for a single secured home loan is an easy one to win. Once resolved to it, you will see how much easier your financial life can be in the face of these very tough economic times if you consolidate your debts and make one easy payment.

Improve Your Credit Rating

A secured loan can also help your credit rating. Lenders like to see fewer loans on your credit report, and for that matter loans with lower interest rates. It shows financial responsibility and will help you credit wise in the long run. Having a secured home loan shows your ability to recognize the smart way to weather a financial storm. There is really no downside to consolidating your debts with a secured home loan.

Why not start the ball rolling and consolidate your debt today with a secured home loan and get your finances out of harms way…



Source by Ken Barnes

Golden Tips to Find a Online Home Loan

Are you looking to get a home loan? The internet is a great way to find a loan, and online home loans are fantastic. If you need some tips to find the best, this article is for you! There are many options when it comes to finance, and luckily the internet is one of the best ways to make this happen. The first thing to remember, is that you have many options.

This options is choice, and choice allows you to save. The main aspect of finance, is the level of interest. And this determines how much you need to pay back.Take for example a loan that is for $5,000. You get this money, and this is great, but the lender needs to make money. So, they charge interest on top. Finding a better level, the lowest, you will save.

But, we can’t stop there, because there are some other considerations. For example, there is the need to consider the hidden charges, when it comes to financing. The hidden charges on a loan can make it end up not being the best. The research will allow you to uncover this information.

With so many lenders online, doing this research, and finding this information, is the first route to success. The first thing you will need to do on these web sites, when applying, is to make sure that you have your information with you. Having both personal and financial information, will allow you to actually be able to apply online and get your loan fast!



Source by Sarah Reddingworth

Tips For Obtaining That First-Time Home Loan

Many South Africans who are considering their first home loan find themselves worrying unnecessarily about the process they are about to undergo. While there can be many pitfalls in the quest to obtain a bond for a first home, there are also some simple steps that can be taken to ensure that the process is as smooth as possible.

Be prepared for the process

Any new home buyer who begins the process of obtaining a home loan with the notion that he is going to get his purchase financed overnight is probably deluding himself. The fact is that the loan process can often take several days or weeks to complete. Every buyer should be prepared to undergo an extensive process that is both time-consuming and complex.

To make that process less maddening, it can be helpful for the buyer to do his homework prior to submitting any application. He should be sure that he can afford the home he is purchasing, and prepared to demonstrate that fact to any loan officer at a bank. All of the necessary documentation should be gathered and available when the application is filed.

Use all available resources

No one should ever set out to obtain a loan without first comparing all of the options. The best place to complete this comparison is on the internet, where almost every loan company in the country maintains a competitive presence. Borrowers should examine all of these companies’ offerings and compare the services they provide.

The best of these companies offer a full range of services that can simplify the entire application and approval process. They will assist clients in developing a sound strategy for securing home loans, and will even help to complete the application. Some will even provide assistance in ensuring that the application is shepherded through the bank loan approval process.

The most beneficial aspect of partnering with one of these loan companies is the fact that it will have access to all of the most competitive bank loan offerings available. They use that access to obtain the best rates and loan structure features for each of their many home loan clients.

Every South African’s first foray into home ownership should be an exciting and hopeful time. When would-be home buyers utilize this simple strategy for obtaining their first homeloan, they can help to ensure that they avoid many of the most frustrating aspects of the loan acquisition process.



Source by Lenore Rocamora

Combination Mortgage Insurance for a Manufactured Home and Lot

The combination mortgage insurance for a manufactured home and lot program insures mortgage loans taken from private lenders by buyers to purchase a manufactured home or the land for the home. This loan insurance program is one of the government loans initiated by the US Department of Housing and Urban Development since 1969. This is one of the housing loans that is authorized under Title I, Section 2 of the National Housing Act. Its basic aim is to provide affordable financing and mortgages to those purchasing manufactured homes.

Through the combination mortgage insurance for a manufactured home and lot, the HUD insures lenders against losses of up to 90% of a loan. However, the interest rate of the loan itself is to be determined between the lender and buyer and the buyer is required to make a down-payment. Under this program insurance is given for loan amounts up to approximately $ 92,000 for a manufactured home and approximately $ 23000 for a lot. In case of a lot, it is mandatory that the lot be appraised by an appraiser who is approved by the US Department of Housing and Urban Development.

Those eligible to avail of this loan insurance that is one of the housing loans are the private lending institutions and buyers of manufactured homes that will use them as their president residence. Additionally, those homeowners planning to renovate their homes that are at least one year old or those who want to refinance an existing mortgage are also eligible.

The combination mortgage insurance for a manufactured home and lot provides for a maximum loan term of 20 years for a single-module home, 25 years for a multiple-module home and lot and 15 years for a lot. The interest rate at which loans are provided to lenders under this program is comparable to that of the commercial loans sanctioned for financing manufactured homes.

It is also to be noted that this program which is one of the government loans does not lend money directly to the buyers. It is only meant to insure private lenders against financial losses incurred in the process of lending. Those buyers interested in applying for this program which is one of the housing loans must apply through a lender approved by the HUD or through a retailer approved by the lender. To apply for this program you can contact an FHA-approved lender at http://www.hud.gov/ll/code/llplcrit.html . For more information regarding the program please visit http://www.hud.gov/offices/hsg/sfh/title/manuf146.cfm



Source by Jeorge Caldon

Home Loan Decision Making for The Married Couple

The financial paying capacity of the individual is of utmost importance. In the married couple it is better to consider if both are working or only one of the partner is the earning member. This will depend on the amount to be considered for the home loan. If both are earning then salary of one of the spouses can be kept for repayment of the loan whereas the other can run the household expenses. Family members in the family play an important role if it is a joint family. This decision has to be shared with all members so that they are considerate and supportive regarding the repayment of this loan. Consider buying a flat that has all amenities to fulfill needs of every member of the family.

Both the spouses have to understand that they will have to give a part of their salary and have to sacrifice certain financial decisions in order to get the property desired. The loan tenure can be adjusted according to the capacity of repayment by the loan borrower. Negotiations are possible during final discussions at purchasing time. They can also opt for two small loans if they are both working. If they can manage the down payment of a larger sum the better as they will be taking a lesser amount as loan. The other family members can also contribute small amounts to increase the amount paid at the beginning of purchase. Some of the couples also go in for personal loans or loans available on credit. These are hassle free and even banks offer small loans without any documents looking into your past bank statements. This will reduce the final amount to be taken as loan and also the stress involved over the years for repaying of the same.

One must not forget that other expenses are also high in the beginning of marriage. Social functions and honeymoon are also one of the foundations of a happy marriage and must not be over looked, hence keeping aside funds for the same would be advisable by the couple. Purchasing a new home also would bring interior decoration expenses and home furnishings which also amount to a big figure sometimes. The couple can opt for staying in a rented flat for the beginning years till they get to know each other and also adjust to their spending habits. They can also understand their requirements and finances available and then make the decision of purchase a home according to their needs. Meanwhile it also gives them time to collect the down payment which we all know also is a larger sum.

Loan taken for home is a liability and a very important long term decision. Anyone can dream big but it is very important for the married couple to assess their needs as well as repayment capacity before opting for the decision of taking a home loan. It would also be advisable to plan starting a family keeping in mind the budget constraints during loan repayment. And the most important point is to keep yourself focused as while home shopping couples usually end up going in for a bigger flat and later face constraints on the budget for the repayment of larger EMIs.



Source by Rizwana A. Mundewadi

How to Select a Home Loan

Over the past it was easy to choose the home loan as borrowers used to prefer floating rates as these are few percentage points below the fixed rates.

But from few months the property prices have gone up and the rising inflation has added to the dilemma of the potential borrowers. Besides, the interest rates on home loans are also on rise due to various factors, this lead to utter confusion in the minds of the borrowers.

Home loan borrowers in state of confusion

There has been an addition in potential borrowers who are earning good salaries but have confusion in their minds whether they should take a loan now or wait for some more time. Earlier borrowers used to hook on to floating rates, but in the recent times are mulled over migrating to fixed rates. In fact, currently the fixed rates are high around 13 to 14 percent.

The question arise here wouldn’t it be better to wait till the rates dip and go fixed at lower rates? Whether the fixed rates are truly fixed or fixed for three years? What in case the lender raises the rate after you refinance? Do I have to repay to the lender till I retire from service? Whether to switch from floating to fixed, at the next rate slide?

Uncontrolled inflation adds to hike in interest rates

Rising inflation has worked as fuel in fire. Previously the rates which were not showing signs of increase got a boost from uncontrolled inflation. The blame for this should be put on worldwide inflation or the soaring oil prices; however inflation touched a 13-year high of 11.42 percent in the last week of June.

An immediate blow came when the Reserve Bank of India (RBI) recently increased the cash reserve ratio (CRR) and the repo rate by 0.5 percent. In turn leading banks immediately passed on the burden of hike to the borrowers.

Selecting the right lender

One of the most important point on which almost every borrower does not pay much deed is selecting a lender carefully. Selecting the right lender is the most critical, yet often overlooked step, in the process of choosing a home loan option. Firstly search for a bank offering the cheapest rate. Compare the charges which they take in the form of various fees. Make certain that the home loan lender has a reputed reputation as a good lender to take loan from.

Some lenders offer low rates only to new borrowers but do not pass this benefit to the existing borrowers. Discuss with other people and find out during the past few years how many times has the lender increased rates and how many times the lender has passed this advantage by lowering interest rates of borrowers.

Floating rates

Do a proper search of fees and penalties. If you’re planning to take a long tenure loan, search for lenders who do not charge prepayment penalties or foreclosure charges. Borrowers may prefer to repay loan from time to time when they get any bonus.

Penalty on prepayment is yet another pinch on your pocket. Yes, the lender has quickly passed on the burden of rate hike to the borrowers. After all banks are business entities and not charity institutions. Yes a true floating rate loan fluctuates both ways.

Steps for controlling inflation

Long discussions have been done on controlling inflation. In case the fixed rate is only slightly higher than floating, then you can explore the option. And if you can turn over with sleepless nights and can afford to go with fixed, then choice is obvious.

In fact fixed rates aren’t really fixed. The lender has attached all sorts of clauses to the fixed rate that gives him one-sided power to push up your fixed rates. Carefully study these clauses as not all fixed rates are ‘pure’ fixed rates.

Hopefully the borrowers get some relief soon from inflation and will be able to see slide in the rates, at which point they can consider of switching to a fixed rate.



Source by Vaibav Aggarwal

Home Loans for Single Mothers – Factors to Consider Before Getting One

Single mothers often find it difficult to make ends meet. They need to pay for the rent and other bills, at the same time they need to provide for the needs of their kids. This includes providing them with food, clothing and other basic needs. With their meager income, it would be hard for them to afford buying a home for themselves. Most single mothers even do two part-time jobs to finance the need of her kids.

Although it can be difficult to afford one, getting your own home can be a big help for a single mother. You will no longer have to worry about the rent and you can raise your kids in a better environment. It can be difficult to purchase a home, but it isn’t impossible. There are options available to you that can help you acquire a suitable home. One of these is by getting a home loan specifically tailored to meet the needs of single mothers. However, there are certain factors that you need to consider in order for you to have a home loan approval.

Income

The first thing that you should consider is the amount of money that you earn from work or other sources of stable income. When getting a loan, it is important that you adhere to the payment plan that is given to you. Late payments often have fees which add up to your debt.

Aside from the late fees, late payment or defaulting on your debt can cause negative rating on your credit history. This can cause quite a problem, especially if you intend to get another loan in the near future.

Credit Rating

Since single moms often find it difficult to make ends meet, and at times lag on their payments. It wouldn’t be a surprise to find out that you may find that you have a bad credit history. Having bad credit rating may make it very difficult for you to acquire a loan from banks and other lending companies. This is especially true if you’re planning to get an unsecured loan to finance your housing needs.

However, there are lenders that can cater to your needs, by providing you with loan services such as home loans for single mothers with bad credit. They can offer you with bad credit loans. However, you should take note that bad credit loans often have involve having higher interest rates and a stricter repayment plan.

If the need for a housing loan is not that urgent, you may want to rebuild your credit rating before applying for a home loan. You can start by getting a copy of your credit report and having the obsolete information corrected. You should also try to pay up your debts and bills on time. If you have a credit card, make sure not to over the credit limit, and always pay on time. Try to adjust your lifestyle so that you can save more money. in time, this can help improve your credit rating.



Source by Willie Rhoades