Author - Jonathan

Getting a good credit score is part of getting approved for a mortgage as well as a lower interest. Here are some quick things to do to check and possibly improve your score.
Before we get started though, the first thing you should do is get your credit report! You can order it free here – https://www.annualcreditreport.com
Now that you have your report lets get to those tips! 🤓
1. Check for Errors! You want the report to be clean and mistake free. Check if there are misspellings of your name or addresses. Other things might be duplicate accounts, incorrect account information, closed accounts that are still listed as open, fraud etc!
2. Clean up the Errors! If you found something wrong the next step is to get the errors fixed. You can contact the major three bureaus directly to fix any errors! Be prepared with paperwork to back up your case! Here are links to the three bureaus on how to address errors: https://www.experian.com/blogs/ask-experian/credit-education/faqs/how-to-dispute-credit-report-information/ https://www.equifax.com/personal/credit-report-services/credit-dispute/ https://www.transunion.com/credit-disputes/dispute-your-credit
3. Pay Late Or Past Due Accounts This is important! Pay these off whenever possible. Here is a pro-tip: if you have an account with a late fee or in collection – contact them before paying and ask them to remove the record entirely if you pay the account off. This will really help your score!
4. Pay On Time Ok this is obvious but its important too – even if its the minimum payment make sure you get the payments in on time.
5. Open New Accounts Or Increase Your Limits This will help your credit to improve your credit utilization rate – how much of your available credit you use. The lower the rate used the better so don’t open a new card and max it out – just open it and use it a little and pay it off monthly if possible. These are five quick tips that can really help boost your credit before you apply for a mortgage. If you are ready to apply contact us today and we will be glad to review the options with and see what best fits your needs!

The 30 year mortgage is the default standard for home owners, but many ask about 15 year mortgages as well.
You may have noticed rates on a 15 year mortgage are amazingly low. A lower rate is better right? Well its not quite that simple.
Most people of course get a 30 year mortgage. Lets review the pros and cons. The main pros of a 15 year mortgage are the aforementioned lower rate. You are also paying less in interest over the lifetime of the loan. For example a $200,000 mortgage at 15 years with today’s current rates you’d be looking at less than $45,000 in interest. While the same loan at 30 years you’d pay over double that, over $100,000 in interest over the life of the loan. You also have the benefit of paying of the loan free and clear in half the time. Sounds great, why don’t people do it more? Well the kicker is higher monthly payments. Most people are looking for lower payments (especially with higher real estate prices). The above loan for 30 years would have a monthly payment around $850, while the 15 year loan would have a monthly payment of over $1300. That’s a big difference to most people. If you’re already saving comfortably for retirement, college, have savings and little other debt then the 15 year might be the call. But most people are looking for financial flexibility and the much lower monthly payment, hence the popularity of the 30 year term. But either way rates are low and we recommend taking advantage, so fill out the free consultation on our website and we can review your situation and see what program best fits your needs!

There’s some good news for home buyers looking to get a loan through Fannie Mae and Freddie Mac, for the sixth year in a row, the loan limit will increase for almost all counties in 2022.
The Federal House Finance Agency (FHFA) said conforming loan limits will increase for most from $548,250 to $647,000 in 2022. That is almost a $100,000 increase in one year and reflects the increase in home prices nationwide. In “high-cost” areas with even higher home prices like coastal California and the NYC area the maximums are even higher, the limits will got up to $970,000 in some of those areas.

The limits are based on local real estate prices but as prices went up nearly everywhere the limits almost certainly increased in your county as well – contact us for the specific new loan limits in your county. You can schedule a free consultation and we can access your loan limit based on your individual needs. The new limits take effect on January 1, 2022.

We are wishing you and your family a joyous, safe and tasty Thanksgiving day 🦃
Spending time with family and loved ones over a delicious meal is one of life’s gifts so please enjoy.
On this Thanksgiving day we are grateful and we are thankful for our relationship with you!

The housing market tight in many parts of the country and affordability a big issue for a lot of buyers, so buying a fixer-upper is something you might be considering.
We’ve all seen the home make-over shows with amazing before and afters but is it right for you?
Here are a few things to consider:
1. Know Your Limits
How much of the work can you do. How much time do you have to put into renovations. Are you prepared to live in a work zone for a while
2. Work Out Costs In Advance
Have a contractor walk through the inspection with you and get a written estimate for work he would do. If you are doing the work yourself price the costs of supplies, either way add 15% to the costs because surprises are likely.
3. Check Permitting Costs and Procedures
Check with local officials to see if the work requires a permit and the permit costs.
4. Be Extra Careful with Structural Issues
If the house requires structural repairs then double check the work and pricing. Hire a structural engineer to do an inspection and if structural work needs to be done make sure your bid discounts this work
5. Include Inspection Contingencies
Make sure you hire professional inspectors and check for hidden issues like mold, piping issues, pest damage etc., if things come up ask for discounts. And if too many red flags come up or the seller won’t properly discount the costs for repair then stand firm and walk away and keep looking!

We want to wish everyone a safe and happy Veterans Day. And to especially thank all the veterans (and their families) who served to protect us.

Interest rates are still at historic lows but may not stay this low for long.
With rates low and many owners seeing a rise in their equity, many people are asking about cash out refinancing or getting a home equity line of credit (HELOC).
Here is a quick breakdown of the similarities and differences between the two loan types.
Both allow you to get cash out immediately and in both cases you are borrowing against the equity in your home. The major differences is with a cash out refinance, you are replacing your first loan with a new one and the home equity loan is a second loan to your existing first mortgage and an additional payment. Cash out refinancing generally has a lower interest rate, as it replaces the existing first loan and is seen as less exposure to lenders.
Contact us for a free custom evaluation and we can quickly review your case to see how much cash you qualify for and see what program works best for you!

Buying the right house for you might be at the top of your list, but the neighborhood is important too. Here are a few tips to consider:
HOA and Property Taxes – these can actually vary widely between one area and the next so make sure to check them and if there is an HOA check the rules in advanced!
Schools – we probably don’t need to mention this – if you have kids or are planning to, then you probably already have this in mind.
Neighbors – this can be a little tricky but it’s a good idea to get a feel for your neighbors. You may want to try an old fashioned hello and ring the doorbell of a neighbor and introduce yourself.
Area Attractions – this can range from grocery stores to parks to restaurants. Think about your lifestyle and what’s nearby (or how long it takes to get to those places)
Future – see what the future plans are for the area is there new development being planned – is it an area where property values will likely go up, etc.
Down Sides – Look into things like traffic, cell phone reception make sure there aren’t any shocks later!

Finally visit the area at different times of the day and during the week and weekend to get a better overall feel for the area.

Being self-employed is great – you’re your own boss but when it comes to getting a mortgage secured, its a slightly different process than traditional mortgages. It often comes with additional requirements and red tape.
Here are some tips to help you get organized and approved if you’re self employed. Apply for a mortgage when your income is up (we know this is easier said than done) but lenders will look at your last two years income most closely, and if you’re income fluctuates its best to apply on an up year. This can help you qualify for a greater loan amount and lower interest rate. Get That DTI lower, your debt-to-income ratio is one of the key factors in getting approved. So you’ll want to try to pay down debts (both business and personal) as well as avoid opening new lines of credit a few months before applying. Don’t Mix Business and Personal Keep your business and personal finances separate. Have separate bank and credit card accounts for your business and personal use. This will help lenders easily see the business income and expenses as well as show you are running your business in a professional manner. Give us a call or contact us from our pre-qual app and we can see what product best fits your needs. You may be a candidate for QM (Qualified Mortgage) or non-QM lender, either way we can review and help you get started!

If you haven’t heard interest rates are still near record lows. So if you have a mortgage and haven’t refinanced in the last year, there’s a good chance you can refinance into a lower rate (generally a good idea 🙂 and may consider getting cash out, so here are five things to consider. First we will start with the pros…. Low Rates and Lower Rates. As we said rates are low now – like really low. And if you’re considering a HELOC or home equity line of credit, rates on a mortgage refi are often lower. So you can lock in a low rate and have lower payments – sounds good right? Debt Consolidation If you have a lot of high interest debt (i.e. credit cards), you can pay that off and potentially save thousands in interest payments! Cash On Hand We are definitely in uncertain times and you might want a cash cushion to help pay bills and also if you’re income in the near future is uncertain. Or you can use that for home improvements like maybe a new home office or gym (this can often be used as a deduction as well). And Some Cons Don’t Rinse and Repeat Ok we are trying to say don’t get the cash out and repeat the same debt spiral. If you’re cashing out and taking advantage of today’s great rates make sure you take advantage of the opportunity and avoid the temptation to go on an amazon shopping spree and run up the bills again. Closing Costs and PMI Make sure to check your closing costs aren’t more than the new savings! Also if you currently aren’t paying PMI and refi to more than 80% of the home value you may have to start paying PMI! In general if you’ve been considering a cash-out refinance or just want to see if you can lower your monthly payments – contact us today and we’ll give you a run-down of your options and see what best fits your needs!