Purchasing a home is one of the most significant milestones in life. I’ve seen firsthand how choosing the right team can make all the difference. Partnering with a trusted lender and realtor turns what might seem like an overwhelming process into a seamless experience. This way you can enjoy the process, instead of stressing over what is an exciting new endeavor! Buying a home involves making impactful decisions, and having reliable experts by your side to guide you every step of the way is … [Read more...] about Navigating the Homebuying Process with the Right Team
Legacy Mutual Mortgage
Five Myths About Homeownership
Buying a home can be one of the most important investments you’ll ever make. Homeownership is a great accomplishment – something to be proud of. Unfortunately, misinformation can spread like wildfire and cause unnecessary doubt and fear, especially for first-time homebuyers. Here are five common myths and why you shouldn’t buy into them. Myth #1: Renting is Cheaper than Buying Renting may seem like the better option at first glance, but when you look at the bigger picture, owning is the clear … [Read more...] about Five Myths About Homeownership
Understanding How Credit Scores are Figured
Not too long ago, credit scores were something many did not pay too much attention to. Presently, people are increasingly invested in their credit score and finding ways for it to be the best it can be. You’ve probably asked yourself, what is a credit score communicating? A credit score tells lenders and credit card issuers how likely you are to pay back your loan on time. FICO credit reports rank on a scale of 300-850, with 300 being extremely poor and 850 being the absolute best. Your credit … [Read more...] about Understanding How Credit Scores are Figured
Understanding Different Kinds of Mortgage Loans
While all mortgage types serve the purpose of helping you obtain financing to get a home, the types of loans vary significantly. There are four main types of mortgage loans: Conventional, FHA, VA and USDA, each with its own benefits and requirements. Conventional loans are backed by Fannie Mae or Freddie Mac (Government-Sponsored Enterprises) and are available for borrowers with higher credit scores. A down payment can be as low as 3%, but Private Mortgage Insurance (PMI) is required if less … [Read more...] about Understanding Different Kinds of Mortgage Loans
Non-Qualified Mortgages Offer a Nontraditional Solution to Homeownership
There are multiple reasons a person may be financially ready to own a home but struggles to qualify. This often involves having an inconsistent or nontraditional income structure, a major credit event or high debt. For this reason, there are non-qualified mortgages to help those who wouldn’t typically meet the necessary requirements. Non-QM loans have their own unique set of criteria, which includes flexible income and credit requirements. In exchange for these adjustments, homebuyers may need … [Read more...] about Non-Qualified Mortgages Offer a Nontraditional Solution to Homeownership
Reasons Why Homeowners Refinance Their Mortgage Loan
In simple terms, refinancing is the process of replacing your existing mortgage with a new mortgage that has more favorable terms. This might be done for a number of reasons, the most common being to lower your interest rate. When interest rates fall, homeowners sometimes have the opportunity to refinance an existing loan for another loan with a shorter term. This loan, without much change in the monthly payment, can save homeowners a sizable amount of interest in the long term with the … [Read more...] about Reasons Why Homeowners Refinance Their Mortgage Loan
Understanding Home Appraisals: Ensuring Fair Market Value in Real Estate Transactions
An appraisal is a critical part of the homebuying process. It is an objective, professional assessment of the value of the property. An appraisal will verify that the sale price of the home matches fair market value. This ensures that the buyer pays what the home is worth, and that the lender doesn’t lend more than the home is worth. When a homeowner is refinancing their mortgage, the lender will get a home appraisal to ensure its market value before offering a new loan. Here are some things a … [Read more...] about Understanding Home Appraisals: Ensuring Fair Market Value in Real Estate Transactions
Understanding the Key Role a Professional Loan Officer Plays in Homebuying
Whether you are purchasing your first home, refinancing or upgrading to your dream home, your loan officer is a crucial player in a successful home purchase. When it comes to your financial future, you can’t afford to fill this role with anything less than the best. You want to make sure that your loan officer has your best interest at heart, that they are experts in their field and that they have a clear process. Here are some key things to look for when meeting with a loan officer: You … [Read more...] about Understanding the Key Role a Professional Loan Officer Plays in Homebuying
Using Temporary Buydowns to Offset Higher Interest Rates for Mortgages
As mortgage rates have continued to rise over the last couple of years, many people are turning to temporary buydowns to make homeownership more accessible and affordable in the early years. A temporary buydown is when upfront funds are deposited into an escrow account to temporarily reduce the interest rate and monthly mortgage payment for a specific time period. This lower rate reduces your monthly payment and reduces the interest you’ll pay over time. Temporary rate buydowns are also … [Read more...] about Using Temporary Buydowns to Offset Higher Interest Rates for Mortgages
What Makes Up an Interest Rate?
When you purchase a home utilizing a mortgage, you won’t just be paying back the principal amount (the amount you borrowed) – you’ll be paying interest as well. There are several factors that determine how much you’ll pay in mortgage interest, which include the type, size and duration of your loan. Your down payment contribution will also be taken into consideration. Mortgage lenders typically finance 80% or more of the home’s price. You agree to pay this amount back with interest. There are … [Read more...] about What Makes Up an Interest Rate?