ARM’s are mortgages whose rates adjust according to the terms of the contract you made with the lender.Usually interest rates are fixed for the first 1, 3, 5, 7 or 10 years. After that period is up, rates will be allowed to fluctuate within the limits of your contract with the lender.Terms are usually 15 or 30 years (although you can negotiate just about any duration you want). There can be a balloon involved.Because the lend... : Adjustable Rate Mortgages (ARM )
Jumbo mortgage
A mortgage loan larger than the maximum eligible for purchase by the two Federal agencies, Fannie Mae and Freddie Mac.... : Jumbo mortgage
Interest Only Mortgages
This is just what it says. You only pay interest, the principal is never reduced.This is the grand daddy of all balloon mortgages and you taking a big risk that your house depreciates in value rather than the other way around.You could very well have to come up with extra cash at closing.The payments are much lower than on a normally amortized mortgage and if you have the discipline, it can be a useful financial planning tool.... : Interest Only Mortgages
Second Mortgages
Secondary financing obtained by a borrower. They can be fixed in amount or take the form of a Home Equity Line of Credit, which is simply a revolving credit line secured by a house.Homeowners use these forms of financing to consolidate bills, do home renovations, put their kids through college, etc. They are tapping into the equity ... : Second Mortgages
Job Gains Strong But Jobless Rate Rises
By Tim Ahmann WASHINGTON (Reuters) - U.S. employers created 262,000 jobs last month, the biggest gain in four months and double January's pace, but the good news for workers was tempered by a rise in the jobless rate. Other reports on Friday showed an unexpected, if slim, rise in factory orders in January and a dip in consumer sentiment last month. The Labor Department said Februa... : Job Gains Strong But Jobless Rate Rises
House Loan Mortgage Resources
Check out our great house loan mortgage information.
An adjustable rate mortgage, or ARM, is different from a traditional fixed rate mortgage because the interest rate changes during the life of the loan in accordance with movements in the index rate. If you can take advantage of a low mortgage rate when applying for a mortgage, then a fixed rate mortgage might be the way to go. But there are many reasons to consider an adjustable rate mortgage. Adjustable rate mortgages generally... : When to Consider an Adjustable Rate Mortgage
Mortgage delinquency help
Q: My mortgage broker said that my credit score was poor (and the interest rate I had to pay was high as a result) because of a number of credit card delinquencies I had during the last year. So I paid off all the delinquent accounts and consolidated the remaining balances into 2 cards. But when I reapplied, my score was lower rather than higher! What is going on?
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A: Delinquencies reduce your credit s... : Mortgage delinquency help
Open Mortgage (6-month to 1 year terms are most common):
Allows borrowers to repay all or part of the principal amount of their mortgage at any time without penalty. You usually have to pay a higher interest rate for this type of mortgage since it offers greater prepayment flexibility. This flexibility makes open mortgages ideal for homeowners who plan to sell in the near future or who want to wait for ra... : Open Mortgage (6-month to 1 year terms are most common):
U.S. 30-, 15-Year Mortgage Rates Rise
WASHINGTON (Reuters) - Interest rates on U.S. 30-year and 15-year mortgages edged higher this week amid signs the economy is improving, stoking inflation concerns, mortgage finance company Freddie Mac said on Thursday. U.S. 30-year mortgage rates rose to an average of 5.82 percent in the week to Oct. 7, up from 5.72 percent a week earlier. Freddie Mac said 15-year mortgages averaged 5.24 percent this week, c... : U.S. 30-, 15-Year Mortgage Rates Rise
Title Insurance
What is title insurance? Title insurance is your policy of protection against loss if any problems results in a claim against your ownership. If a claim is made against your property, title insurance will, in accordance with the terms of your policy, assure you of a legal defense and pay all court costs and related fees. Also, if the claim proves valid, you will be reimbursed f... : Title Insurance
