Employment History and Mortgage Eligibility

Verifiable income is a major part of the mortgage qualification process. You need to be able to prove that you have a source of funds that is reliable and sufficient to make regular mortgage payments. This can be in the form of a job, investments, disability payments, alimony, etc. The most common form of income […]

How to Use Gift Funds for Down Payment

One excellent option when saving for a down payment is gift funds. A gift fund is money given to a borrower from someone close to them without any expectations for repayment.

Debt-to-Income Ratio (DTI)

We all know that our credit history plays a major role in determining eligibility for a loan but there is another factor that can have as great and often greater influence on your mortgage application’s approval: debt-to-income ratio (DTI). In fact, 35% of mortgage applications that were denied in 2021 were due to high DTI […]

Rate Locks

Rates. They are a popular topic. We hear rate questions all the time. What is the current rate? Will rates go up? How do I get the best rate? Let’s take a moment to address a component of rates that is less frequently mentioned: rate locks.    What Is A Rate Lock?  A rate lock […]

Down Payment Alternative: Pulling from Retirement Account

Not everyone has a sizable bank account when they are buying a home. Maybe it’s your first purchase and you haven’t saved much yet. Perhaps you are a seasoned investor and your funds are tied to your properties. There are options for making a down payment on a home purchase. Most buyers have heard of […]

Why was my mortgage servicing sold?

You have jumped through the hoops of pre-approval, underwriting, and closing on your home. You did it! Shortly after you settle into your dream home, you get a letter in the mail stating that your mortgage servicing is being transferred (sold to another company). What does it mean? Did you do something wrong? Is this […]

What is Underwriting?

You’ve been pre-approved for a mortgage. You found your perfect home and your offer was accepted. You’re under contract. Congratulations! You are now in the underwriting stage. What is underwriting? Underwriting is when the lender reviews your information and verifies key aspects such as assets, income, debt, and the details of the property in order […]

How Will Rising Interest Rates Impact Home Values?

WHY ARE INTEREST RATES GOING UP? The Fed recently decided to reverse its pandemic-era stimulus programs, causing mortgage rates to jump by approx. 1% since the beginning of this year. Rates may continue to drift higher in the months ahead because inflation is at the highest level in decades. High inflation also leads to high […]

Can I Deduct Mortgage Costs?

If you’re reading this, it is probably tax season (again) and you’re looking for ways to keep the money you’ve worked so hard to earn. The good news is that many mortgage-related items can be tax-deductible. We’ll breakdown when property tax is deductible and what closing costs you can deduct as well. *This article was […]

What is an Adjustable Rate Mortgage?

An adjustable rate mortgage (ARM) is a mortgage that’s interest rate does not remain the same throughout the life of the loan. What is the Difference between an ARM and a Fixed-Rate? Simply put, a fixed rate mortgage will have the same interest rate for the full term of the loan while an ARM’s rate […]