The unnecessary pain inflicted by computers is not the fault of the machines, but rather that of the eagerwireheads who think computers are so neat that they should be used for everything. Enthusiastic nerds havestruck again, and may the gods of silicon save your credit report. Credit information has been “computerized” ever since the punch […]
Many consumers have learned that their credit records have been reduced to three-digit scores, and that these scores now determine the fate of most loan applications. The higher the score assigned to you by each of the three, giant repositories of credit information (Transunion, Experian, and Equifax), the loCredit scores, and how to manage your […]
The following advice prevents horror stories. One requirement for mortgage approval demands more precision than any other, and is also more surprising toborrowers than any other- WE MUST PROVE WHERE YOUR CLOSING MONEY HAS BEEN IN THE LAST 90 DAYS, ANDTRACK IT ALL THE WAY TO THE CLOSING TABLE. Any large deposit, transfer, or new […]
The operations of the financial world change over time along with everything else, but many labels for financial practices are “sticky” — still in use, but with long-lost descriptive relevance. Mortgage lending, tied inextricably to real estate and Middle English (deed, fee simple, encroachment, foreclose), is especially vulnerable to obsolete terminology. Dated terms are confusing […]
A given piece of real estate has a different worth to different people at different times. One of those times is when you are trying to buy a house, and one of those people is the loan underwriter. Real property is tough to value because all parcels are unique. By definition, all real estate isWhat […]
Whenever mortgage rates rise quickly, most borrowers are tempted by adjustable rate loans and their lower starting rates. The strategy has merit, but often not as much as asserted by some mortgage salespeople. Herewith a guide to terms and tactics, and a simple equation to help you decide if an ARM is an appropriate defensive […]
In the last year, just about every homeowner in America with a long-term mortgage has received a solicitation offering to collect the mortgage payments in twenty-six bi-weekly installments instead of twelve monthly ones. The pitch: the conversion to bi-weekly will help you to pay off your loan several years earlier than scheduled, save tens of […]
Many buyers entering the home-shopping market are surprised when their Realtor tells them they have to go get a “pre-approval letter” from a mortgage lender. There are a few markets left in the U.S. where the seller is delighted to hear from a buyer, any buyer, even a poorly-qualified one (Buffalo, NY, I’ve heard); but […]
If there is one hopeful financial plan described by Baby Boomers these days, it is the uniform, unanimous thinking out loud about owning a home free and clear someday. Everybody makes sure there is no penalty for early repayment (there hasn’t been a penalty on any Federal agency loan since 1983), most inquire about 15-year […]
In a good sign for the economy, the Baby Boom generation is gradually switching from consumption to saving. Spending begins to give way to saving in any 35-44 age group, and the average Boomer is just now turning 42. Leading edge Boomers (one is turning 50 every seven seconds) are near the panic saving stage. […]