Category: Mortgage
Down Payment Assistance Programs image by wisemoneylife.com So, you are ready to buy a home. And now you speak with a lender who says, “how much money have you set aside for your downpayment and closing costs?” Down Payment??? Closing Costs??? Oh my! Well... Read More
Ask anyone you know who has ever bought real estate what a “Point” is, and I bet you will get as many answers as there are people you ask (unless one of them is a mortgage broker—then they will know). The idea of “Points” comes up often in the mortgage... Read More
FHA mortgages are back. An FHA mortgage loan is insured by the Federal Housing Administration, an agency within the U.S. Department of Housing and Urban Development. Borrowers who have FHA mortgage loans pay for mortgage insurance, which protects the lender from a loss if the borrower defaults on the loan. Read More
I am a first time buyer and am confused about many aspects of the buying process in California. Just how many different agencies are involved when you purchase a home in this state? There are 5 different Companies you will be dealing with, each having a very important part in the transfer of property. Your Realtor-what is referred to as a buyer’s agent Appraiser- An appraiser is licensed under the state real estate commission who evaluates the house and property that is to be purchased for the Lender. The appraised value of the house is what the lender will go by for the mortgage loan. Home inspector- An inspector is usually a building contractor or specialist. This inspector should be hired by you, the purchaser, to “inspect” the structure, plumbing, electrical and roofing to insure that the house being purchased is in good working and safe condition. Mortgage Lender- this is either a bank or a other lending institution who will carry the loan(Trust deed) on the property. Escrow officer-A third party who holds any money transfers in a trust account until closing and gathers all pertinent documents concerning the property. Traditionally, the Escrow Company is where you will sign all the documents and close the deal. Title company- does a search of the property for any liens or other encumbrances. They insure that the property’s title is “Clear” Read More