admin answers:

In addition to the good answers you’ve gotten so far…

Join local mortgage professional organizations, like AMPW, NAMB, and MBAA and attend the meetings to meet prospective customers. Do what the Title Company and MI reps do – bring stuff to the offices. Bake cookies or brownies and bring them in with your card. (Remember to not violate RESPA.)

And remember, keep you message to them broadcasting on WII-FM – What’s In It For Me. Tell them how you will clear their plates of the stuff that keeps them from making money – the paperwork – to allow them time to spend on the things that make them money – finding customers and closing loans.

And once you get customers, treat them like royalty and do the job right and quickly. It’s easier to keep customers than get new ones.

Good luck.

admin answers:

Everything’s changed with the new credit account and modified debt/income ratio regardless if the account has a 18 months no interest – it’s a credit account.

admin answers:

This is not legal, it is contractual, with the mortgage company.

The mortgage company is not going to lend your father money for property he does not own. He will have to be on the deed.

admin answers:

They will both go after you. My guess the 1st mtg will go after you first. The late payments will start showing on your credit report at 30 days late. The foreclosure will show on your credit report at the time the bank gives you the move out notice (end of the foreclosure proceedings). It will show on your credit report for 7-10 years.

Banks look at the last 2 years for late pays and 4-5 years for BK’s and foreclosures.

admin answers:

Welcome to US banking where no one really seems to know what is going on until the paper work comes out of the computer.

The loan officer has been trained not to commit to anything until the final sign offs come down. He is also pressured to keep as many people in the approval process as possible. The combination to those two factors brings you to the present situation.

Should you be concerned? No. Should you be steamed? No. Should you be impatient? Yes.

Best advice is to ask the loan officer when will all these issues get resolved. If his time line seems reasonable, tell him you will wait until that date. However, your time is valuable and you may have to move on after that date. If his time line is unreasonable, thank him for his time, walk across the street and start the process again.

admin answers:

No, it is insurance for the bank that loaned you money to the other bank that funds them. THEY are protected if you walk, not you. You can not insure yourself for having bad character.

admin answers:

Ask your mortgage loan servicer. Most such insurance will pay your monthly payment (not escrow deposits) for 3 to 6 months. None will pay for years.

admin answers:

I hate to sound morbid here, but generally speaking mortgage insurance payments become effective only in case of the the person’s death. I am pretty sure it does not include illness which may cause him not to work. This would probably be covered by Workman’s comp. Or disability insurance.

admin answers:

It doesn’t play much of a role at all, in my opinion. The Sub Prime situation by and large involved high loan to value financing vehicles, whether it be “interest only”, 80/20 combo loans, stated, or what have you. In the 80/20 combo situation, there was no mortgage insurance involved. PMI is involved in the pre-construction fiasco, but that’s another story in itself. In fact during the 80/20 craze, the PMI folks lobbied Congress to get a deductibilty situation set up ( consult your tax advisor) so they could get back in the game.

admin answers:

You need to stay on them. Call, write letters and document them. If that doesn’t work call an attorney. Hopefully there is no limitation on time or you could be out of luck.

admin answers:

It depends on how bad your bad credit is.

If you dont have a 20% down payment, it is likely that PMI is going to price you out of purchasing a home.

Your best option is to talk to a local lender who can give you strategies to improve your credit and get yourself in a position to buy.

admin answers:

Honey, if you’ve got bad credit, it’s not about which company has the best, it’s about which company is willing to write it at any cost . . .and you’re going to have a REALLY hard time finding anyone to write it. You’ll probably have to sign on with someone else for a few years until you get your credit back in shape.

admin answers:

You might want to consider a roommate(s) for right now just to have some additional cash to pay the mortgage. I dont know how good your chances of refinancing at this point are with bad credit and a lot of banks shying away from doing any risky loans.

Talk to your local bank and see what advice they have for you. They might tell you to fix your credit so getting some roommates would help you pay off that 10k in debt. If you went overboard furnishing the house you might consider selling some of that stuff. The sooner you can pay off the 10k the better. Also the break from work might work against you, especially if your HR department would volunteer that information when the company you are refinancing with calls to verify employment. You might try a part time job too.

admin answers:

Then why do you want to put the house at risk by using it as an ATM machine?

You DO NOT save any money paying off bills with the house…all you do is take unsecured debt and turn it into secured debt.

Having a free and clear home is one of the most important assets a person can have.

Please work an extra job or something to save up money for what you want to spend money on. I would highly, highly recommend that you not go that route, especially when you aren’t even married…b/c marriage gives you LEGAL protections that you simply do not have, when you are living together.

admin answers:

Wow, with a house that is cash you really should not have that much trouble. Amazing how banks are changing so rapidly.

Keep trying, but maybe ask banks for a 5 year mortgage for the amount you need. They don’t advertise this, but banks DO offer short term mortgages, with fixed rates no games.

If you have time go to annualcreditreport.com
and fix anything that is incorrect or outdated if you haven’t already done so. Things become outdated after 7 to 8 years.
Also get one credit card, and pay it in full each and ever month for top notch credit. Carrying a balance reduces credit.

Keep trying, there is no reason you should be getting turned down if your house has no mortgage. If you are asking for 20% value they should be throwing it at you.
Try a credit union.
/

admin answers:

They are not related to each other in any way unless you are trying to secure your new loan with your home – which might not be possible.

admin answers:

No income, you have to show that you have equity in your home.

admin answers:

Not until the reverse mortgage is paid off. I’ve included a link that helps explain a reverse mortgage.

admin answers:

You would not only need to pay off the amount you collected, there will prob be interest, closing costs, and maybe a penalty. Contact lender for your options.

admin answers:

In order to qualify for a reverse mortgage you must be al least 62 and have substantial equity in your personal residence.
If you have further questions AARP is a good (and free) source.

admin answers:

Obama said he was going to help those in foreclosure – he didn’t. Foreclosed homes are being bought by foreigners because they are seen to be more “affordable” than property in their own countries. Comforting isn’t it.

admin answers:

You can get into all kind of variables in the loan business. What you are attempting to do is almost impossible to do.

You are the one getting the loan. Which of the three do you feel comfortable with? Which is charging you less for the loan? Which has the best rate? Can you make the mortgage payments with ease? Did either give you a pre-approval?

The reasons it is difficult to tell you about the various mortgages is because one could be charging a processing fee while another is charging a lender’s fee.

One loan could be a no points no fee loan and this loan is costing you a .125, while the other is charging one point, but you can deduct the point off you income tax at the end of the tax year.

So as you can see it boils down to the APR and which ever is the cheapest. One might offer better service. Or be closer to where you live.

You are not gonna save that much if the difference is .125 or .25.

What we are trying to tell you is that without the entire loan amount, interest rate, closing cost we are not able to separate the three.

Your best bet is the mortgage broker, he has more underwriters underwriting his loans. He also have more programs, he just might have your major bank and banking company with the president Choice program.

I hope this has been of some use to you, good luck.

“FIGHT ON”

admin answers:

You can try gobankingrates.com on a national level or cincinnatibankingrates.com for more local banks.

admin answers:

The Fed rate barely touches mortgage rates, if at all. Mortgage rates are much more reliant on the rates of T-bills and similar. The Fed rate affects such things as credit card interest rates.

admin answers:

The banks set their rates by the LIBOR rate, not the base rate alone. The LIBOR rates, which stand for London Interbank Offered Rate, are benchmark interest rates for many adjustable rate mortgages, business loans, and financial instruments traded on global financial markets.

In the US, the majority of Mortgages are underwritten by government backed mortgage companies – Fannie May and Freddie Mac, this is one reason why 30 year fixed rate mortgages are the norm there, because they are effectively underwritten by the government.

In the UK, the banks have to base their mortgages on LIBOR rates as they underwrite the loans themselves, rather than having the government as a guarantor which can only be fixed for a much shorter period, hence you rarely see 25 year fixed rate mortgages in this country.

admin answers:

Most states have established a contracted with national firm for the classes and administer the test for those seeking to become mortgage loan officers. You would need to have a mortgage loan officers license to work for a mortgage banker/broker.

If you decide to work for a bank, then a mortgage loan officers license if not required.

You should google mortgage loan officer requirements followed by California to see what the requirements are to become a mortgage loan officer in California.

I hope this has been of some benefit to you,good luck.

“FIGHT ON”

admin answers:

Nothing is ever 100 percent until after you close. But getting a committment letter from your lender is about as close as you can get. There will be terms and conditions contained in that letter (ceretain verifications must pan out, etc.), and if you comply, then you have nothing to worry about. But get the committment letter — at that point they have already pulled your tri-merged mortgage credit report and know what your credit scores are (my bank threw out my highest and lowest and went with the middle score).

admin answers:

Ray,

Have you had a forensic loan audit conducted?

Forget about the government-sponsored programs. Those are not the best loan modifications, anyway.

You see, many of the mortgages currently on the books contain violations of federal and/or state lending regulations. The goal of the forensic loan audit is to discover any violations in the borrower’s home loan. Any violations found provide additional legal leverage which can be applied to motivate the lender to modify the loan or face a potential lawsuit.

During the forensic loan audit, the borrower’s loan and disclosure documents are thoroughly reviewed by experienced underwriting, fraud, and compliance professionals, who are searching for violations in the following areas:

* RESPA (Real Estate Settlement Procedures Act)
* TILA (Truth in Lending Act)
* Individual state violations

Predatory lending violations can occur during the origination, servicing, or collection of a home loan.

A large percentage of currently outstanding home loans have existing violations that can be used to help in the loan modification negotiation process.

There are literally dozens of potential violations that lenders may have committed in the course of a borrower’s home loan, either intentionally or by negligence. The forensic loan audit is designed to bring them to the forefront, providing the home loan negotiator with some legal leverage to ‘turn the tables’ on the lender, potentially giving the homeowner the upper hand.

Lenders don’t want homeowners to have this information. This is why banks and mortgage lenders encourage homeowners in default to contact them directly to work out loan modifications. They know that they’ll be able to work out more favorable terms (for themselves, of course) if the homeowners don’t have competent, professional representation.

This is also the reason why lenders support legislation that prevents anyone (including attorneys) other than the lenders themselves from collecting upfront fees to negotiate loan modifications. They realize that most attorneys will not represent clients if they’re unable to collect fees for their work, and the lenders are perfectly content leaving homeowners with nowhere else to turn for help.

Currently, you can find out more about the loan modification process, and obtain a FREE FORENSIC LOAN AUDIT by visiting:

http://www.NegotiateWithMyBank.com

admin answers:

I have one. I could sell it to you for a reasonable price.

admin answers:

What they’re doing is illegal. Call an attorney and see what they advise.

admin answers:

You are over thinking it. Just pay extra whenever you can.

admin answers:

Magoogan, while I’m not an expert, generally you should avoid getting a mortgage, especially since you have a reversed mortgage and are already in debt, it seems. In a way, you seek to incur debt (i.e., get another mortgage) to pay down other debt, which is not the way to go.

How much is your current debt that you seek to consolidate? Are there ways you can try to pay off the debt without getting yet another mortgage–like,for example, sacrificing some things in order to save up money to put towards paying down the debt on your own? Have you met with a local financial expert to see what your options are? I’m sure they vary by location.

Listen, here’s an informative article on tips to avoid mortgage defaults, and one of them includes what you are doing–realizing and not ignoring that you have a financial crunch, which you seek the fix:

http://yourhandymanzone.com/Your_Handyman_Zone_How_To_Pages_Real_Estate_Zone_Buying_Your_House_Mortgage_Default_Avoid_Foreclosure.htm

Hope you find this helpful, and that you get through your financial troubles.

Good luck!

.

Source(s):
The Internet. Just whatever is available online and what I have on my mind, including the inclusion of relevant sites, like the one cited that came into existence from my efforts, which is intended to be useful. Helping people get the relevant info they want is great.

admin answers:

A reverse mortgage is a really great thing if you have lots of equity in your home, and you don’t have very much liquidated cash to enjoy your retirement. My mother had a house paid in full in Santa Barbara, CA but was living off of social security checks. I helped her get a reverse mortgage loan from Financial Freedom. Then she was living life to the fullest until she passed away 6 years later. My siblings were livid when they found out she got that loan, because they thought she would eat up their inheritance. But she sure loved life those last years of her life, going to the off-track horse racing, bought a new car, new hi-def tv, remodeled her kitchen with Viking appliances. So, yes it can be a very good thing. But you must remember that it is basically selling your house slowly back to a financial institution. If my mom would have lived long enough, my brother and sister (and me) would not have inherited a dime, but that was ok with me.

Anyways, you can find some info and resources about reverse mortgages here:

http://reversemortgageresource.blogspot….

_____________

admin answers:

A reverse mortgage is a really great thing if you have lots of equity in your home, and you don’t have very much liquidated cash to enjoy your retirement. My mother had a house paid in full in Santa Barbara, CA but was living off of social security checks. I helped her get a reverse mortgage loan from Financial Freedom. Then she was living life to the fullest until she passed away 6 years later. My siblings were livid when they found out she got that loan, because they thought she would eat up their inheritance. But she sure loved life those last years of her life, going to the off-track horse racing, bought a new car, new hi-def tv, remodeled her kitchen with Viking appliances. So, yes it can be a very good thing. But you must remember that it is basically selling your house slowly back to a financial institution. If my mom would have lived long enough, my brother and sister (and me) would not have inherited a dime, but that was ok with me.

Anyways, you can find some limited info and resources about reverse mortgages here:

http://reversemortgageresource.blogspot.com

If I were you I would just do a Google search for “HUD Reverse Mortgage” or “Financial Freedom”
_____________

admin answers:

The most popular Reverse Mortgage is the Home Equity Conversion Mortgage (HECM) which account for over 90% of Reverse Mortgages done to date. The HECM is Federally regulated and insured (FHA—HUD) They set the rules and regulations. AARP just released a study
(12-12-2007) here’s the web address that will link you directly to the report on AARP website…

Http://www.aarp.org/research/credit-debt…

You can also go directly to www.HUD.gov to research Reverse Mortgages. Seeing it’s their program why not go right to the source. Part of the Reverse Mortgage process is that you have to talk to an independent HUD approved third party counselor to make sure you understand the program and that it was explained to you correctly. (government safeguard). There is no charge for this and you can do this anytime you want. Just another avenue to answer your questions. I hope these resources help in your decision making. If I can be of any other assistance let me know. For disclosure purposes……I have been in the Reverse Mortgage business for over 2 years and I am a Reverse Mortgage Consultant for EverBank Reverse Mortgage, feel free to contact me with any other questions you have.

Regards,

Stephen

admin answers:

Your user validation is incomplete, here is the complete one
/**
* Declaration of user input for each variable
* no need for arguments since they are part of your class.
* you don’t have to pass them to method.
*/
public void validateUserInput() {
try {
principal = Double.parseDouble(principal_txt.getText());
rate = Double.parseDouble(rate_txt.getText());
term = Integer.parseInt(term_txt.getText());
} catch (NumberFormatException e){
//TODO need to handle the errors, if any, and report it to user
}
}

also in your calculation if you get a number/0 you have no way of handling it. So do as follow

if ( source == calcButton){
validateUserInput();

double bottom = (1 – Math.pow(1 + (rate / (12 * 100)), -1 * (term * 12)));
double top = principal * (rate / (12 * 100));

if( bottom != 0){
mpay = top / bottom;
}

pay_txt.setText( “” + twodigits.format( mpay));
}

and change the following line

DecimalFormat twodigits = new DecimalFormat(“#,###.00″);

to this

DecimalFormat twodigits = new DecimalFormat(“#,##0.00″);

this way if the answer comes to zero instead of showing .00 it will show 0.00

good luck
don’t forget to choose best answer

admin answers:

Formula and description below.

admin answers:

Bankrate has a decent one. The link below is for the calculator. You may want to look around the site though, it has some other useful calculators and loan comparison rates from companies.

admin answers:

My calculator says that if you borrow $200,000 @7% for a 40 year amortization, your payments are going to be $1,246. If you borrow $200,000 at 6% for 30 years, the payments are $1,194, It does not pay to increase the ength of your mortgage unless your payments become smaller. You have just formed a new family. Get your CPA (you may not pass all the parts the first time). Meanwhile you may decide that you do not like your present employer. Settle down, let the real estate market settle down (especially the California market), and then decide on what you are going to do. Oh yes, do the calculations. Do not believe what anyone tells you unless you have verified the numbers.

admin answers:

The calculators are right, an amortization table will show exactly how it works. You pay the interest rate on the balance annually, If you’re looking at 10% rates and 20 year terms. 1% of the total loan amount is pretty close to what the payments will be.

admin answers:

Short of having at least 20% down and paying closing costs and mortgage insurance and over 8% interest, or finding a house you can afford to pay all cash for, I don’t see it happening. I’d work on your credit and wait. I’m sorry to tell you that, I’m in the same boat and working two jobs and the goal for me is to either put as much down as possible or buy outright. You could try FHA loans and they might work with you, but I’d concentrate on getting as much down as possible or if you can, save till you can do it all cash.

Sorry to sound harsh, cold and cruel, but life often is and I’m just telling you the truth.

admin answers:

Yep, it’s all a numbers game, Enron used the same thing but was closed down because of it. The banking system is getting away with it and we’re buying the BS.

admin answers:

You got that idea from a conservative with a large imagination and little regard for the truth.

Start by looking at Standard & Poors that rate these junk loans as AAA!

Then look at the financial institutions that took out swaps (insurance) on this junk knowing that they were bad (they couldn’t lose)!

Then examine the mortgage companies that fraudulently inflated the income on these loans to make them look viable.

Finally, examine the Bush administration that deregulated the industry – the Dodd Franks Bill was in response to the lack of regulations!

admin answers:

Since your statements are NOT true, your whole premise falls apart.

If the bank lends $80,000 on a home and the buyer makes payments for a few years, no they haven’t paid back anywhere near the amount they borrowed, so the bank loses money if they can’t sell the home for what’s still owed and that’s often the case. And the bank’s business is lending money, not holding real estate for years hoping it will go back up to what someone owed on it when they quit paying. And you’re forgetting that for that time the bank would have their money tied up in that house.

On some foreclosures the bank might make money, but in the falling housing market the last few years, typically it’s been a loss. Many loans were given to people who couldn’t afford them in the first place. This is partially the fault of the buyers, partially the lenders who should have known better than to make these loans, and partially the fault of the government who strongly encouraged the lenders to make marginal loans.

admin answers:

I know several agents that are mortgage brokers and real estate agents… It is not illegal.

They can NOT force you to use them for the mortgage, and if they give you “cash back” from their commission if you use them… Their could be legal issues with that.

But offering you a mortgage as well as being your REA is perfectly fine.

admin answers:

How old are you? How much equity do you have in your home?

Those would be facts that you would need to make your decision, we can’t answer it based on what you want to spend the money on.

admin answers:

I’m sorry but FHA/HUD is very strict on the 62 age requirement. As someone else mentioned you may look into a home equity line of credit as an alternative. When he’s 62 you can then do a reverse mortgage and pay off the HELOC.

Feel free to contact me if you have any other questions.
Bburns@griffinloans.com

admin answers:

This is not unusual, especially with internet lenders. You have to talk to the loan officer or mortgage broker who prepared the loan documents.

admin answers:

Nothing happens

with a reverse mortgage the homeowner can stay in the house until they die and never have to make a payment.

If they are getting a monthly income from the reverse mortgage they also have to recieve it until they die or move out.

Reverse mortgages are designed so they can’t hurt the senior

admin answers:

Basically you take out a loan against the value of your home. The bank gives you cash in return for a payment that they expect when the owner dies, sells the house or vacates the home.

Unlike a traditional mortgage, the home owner makes no monthly payments. All the interest on the amount the bank lends you is added to the lien on the property and it’s all paid out upon those events I mentioned.

These used to be marketed to older people who need immediate funds to live on, but don’t want to retain the equity in their homes for their estates or future generations. Thing is, they are under some scrutiny for marketing and pricing practices. Make sure you do some research and understand fully the consequences…