Mortgage & Refinancing Information

Mortgage Questions to Ask Your Lender


Buying and financing a home today can be overwhelming. Here are some questions to ask your lender so that you can make informed decisions.

Are both fixed-rate and adjustable mortgage loans available? What is the interest rate?

How long can I "lock-in" the financing at the current interest rate?

Is a float down lock available in case rates drop after I have locked in?

What are the other fees a lender may charge me in conjunction with my loan?

Are funds for a second mortgage available?

On adjustable loans:

  • How often will the interest rate be adjusted?
  • Is there a maximum limit on each rate change?
  • How often will the monthly payment be adjusted?
  • Is there a ceiling on payment adjustments?
  • Can the term of the loan be extended?
  • What is the maximum rate that can be charged over the life of the loan?
  • Is there any potential for negative amortization?
Is there a pre-payment penalty clause?

This involves extra charges for paying off the loan before maturity. About 80% of all loans in the United States are paid off early.

  • What is the "grace" period? How late can a monthly payment be made before a late charge is assessed?
  • What will happen if a payment is missed?
  • If you sell your house, will the new buyer (if he/she qualifies) be able to assume your mortgage at the same interest rate?
  • Do you have to pay "points" to get your new mortgage? Usually lenders charge points for the cost of giving you a mortgage loan. A "point" is 1% of the loan.
  • Will the lender require mortgage insurance?
  • Is the loan serviced locally or is the servicing sold?
  • Ask for a written "good faith deposit".

Leanna Meyer is a Realtor with Re/Max Cross Country and can help you find Lewisville Texas Real Estate. Find homes for sale and area information for Flower Mound Texas, Lantana, and Dallas, TX. Free buyer and seller reports are available as well as a mortgage calculator, and other mortgage information.

  


MORE RESOURCES:

Washington Times

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WJBF-TV

Average Mortgage Rate Hits 5%, Lowest in Decades
New York Times, United States - 9 hours ago
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Cardoza proposal could aid housing crisis
Stockton Record, CA - 2 hours ago
Under the Cardoza plan, the payment on that mortgage refinanced to 4 percent fixed rate would drop to $1194 a month. Contact reporter Bruce Spence at (209) ...


REFILE-UPDATE 1-US mortgage demand dipped before Fed move-MBA
Reuters - Jan 7, 2009
The jump in applications during December may have been driven by homeowners already "on the fence" and prepared to refinance on a drop in mortgage rates, ...
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Boston Globe

Fed’s Rosengren Calls for ‘Concerted’ Fiscal, Monetary Policies
Bloomberg - 4 hours ago
... to purchase or refinance homes,” Rosengren said. The average rate on a 30-year fixed-rate mortgage dropped for a 10th week to 5.01 percent yesterday, ...
Rosengren sees path to recovery Boston Globe
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Boston Globe

Congressional Press Release on Mortgage Deal
Wall Street Journal - 9 hours ago
"Despite efforts by Congress to address this issue, not enough lenders have come to the table to help borrowers with bad mortgages refinance into new, ...
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Citigroup agrees to allow judges to help modify some mortgages IdahoStatesman.com
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TopNews

Question & Answer on mortgage refinancing
Boston Herald, United States - Jan 1, 2009
If I refinance the mortgage on my current house, will I hurt my chances for getting a loan for a new place later on? A: No. Refinancing a loan shouldn’t ...
MORTGAGES: 30-year Mortgage Rate Falls For Ninth Straight Week To ... CNNMoney.com
Mortgage Rates Hit 37-Year Low Poynter.org
Home-Mortgage Rates' Next Stop: Below 5% Wall Street Journal
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Refinancing shoots through the roof
Plano Star Courier, TX - 15 hours ago
“Quite a few people have remortgaged,” said Craig Jarrell, loan officer with Pulaski Mortgage. “Most people who refinance are new homeowners as recent as ...


Mortgage refinancing skyrockets
Cincinnati.com, OH - Jan 3, 2009
... 2009 With US mortgage rates the lowest in 30 years, local lenders say they've seen a strong surge in loan applications as homeowners seek to refinance ...
Waco banks seeing a boom in mortgage refinance applications Waco Tribune Herald
Borrowers seeking to refinance may face challenges WTOP
As mortgage rates slide, refinancing applications take off Dallas Morning News
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Congressman sees support for home refinancing bill
Central Valley Business Times, CA - Jan 8, 2009
“So many folks have found themselves underwater in their mortgage … they can’t refinance,” says Mr. Cardoza. Often those who have lost their investments in ...
Cardoza submits plan to refinance mortgages Merced Sun-Star
Congressman Cardoza Introduces Housing Legislation ABC30.com
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mortgage refinance - Google News

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