Article Archive June, 2006

Need Money? Take a Second Mortgage

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- MortgageLoan.com | June 30, 2006

Life costs money. Kids, the mortgage, cars, food, that darn cable bill-expenses are a part of everyone's lives. Unfortunately, there will be times when those expenses tend to outweigh the income, and a short-term cash crunch may be a problem. While every household needs to be careful to keep its spending under control, a second mortgage can be an ideal method for freeing up some much needed money.

Which to Pay First - First or Second Mortgage?

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- MortgageLoan.com | June 30, 2006

When you receive an unexpected windfall or bonus, it makes sense to pay off a major debt, such as a first or second mortgage. Some borrowers automatically elect to pay off the second, because it's smaller. Others pay the first, because it came first and has been around the longest. But there is a mathematical answer to the question of which has priority, and it depends on the rate of interest and the terms of the loan payback.

Refinancing? Know Your New Vantage Score

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Barbara Eisner Bayer - MortgageLoan.com | June 30, 2006

The FICO credit scoring system has traditionally been the single most important decision-making tool for lenders. Now, Experian, a major credit bureau, has launched a new credit rating system called VantageScore.

Combine Two Mortgages into One Through Refinancing

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- MortgageLoan.com | June 27, 2006

When it comes to multi-tasking in this post-modern age, mortgages defy conventional wisdom: Two is not necessarily better than one. If you're growing weary of juggling loans along with everything else life throws at you, refinancing to combine your mortgages might be a timely option. When it comes to debt, simplicity is always a good strategy, and combining mortgages through a simple refinancing is a great idea in today's changing economic environment.

Pay off HELOC with Cash-out Refinancing

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- MortgageLoan.com | June 27, 2006

A few years ago, when you opened your home equity line of credit (HELOC), you thought you'd found the perfect financial tool. With a flexible line that you could tap when you needed, it seemed like the ideal way to take care of short-term debts. But every financial tool has its shortcomings, and the HELOC is no different. With the recent climb in the prime rate, you've probably noticed that less and less of your monthly payment is going toward principal. Fear not-a cash-out refinance of your first mortgage could be the answer to your short-term woes.

Converting your HELOC to a Traditional Mortgage

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- MortgageLoan.com | June 26, 2006

A home equity line of credit-known by mortgage pros as a HELOC-is a good way to borrow, especially for those who want streamlined loan applications and lower origination fees. But HELOCs are tied to the prime rate, and adjust accordingly. In times of rising interest rates, a fixed-rate traditional mortgage may be a more attractive cost-conscious alternative to the HELOC, which is more attractive in low interest-rate environments.

Second Mortgage for Debt Consolidation

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- MortgageLoan.com | June 26, 2006

Debt can happen quickly. A few trips to the mall, some purchases over the Internet, and a couple of large household expenses sandwiched in-between, and you're in the red. The next thing you know, you're in financial trouble, carrying balances from month to month on your credit cards. While it's easy to get into this predicament, it can be difficult to work your way out. There's one invaluable tool that can help you climb back into the black: the second mortgage, a debt-ridden homeowner's best friend.

Is the 125 Percent Home Equity Loan Right for You?

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- MortgageLoan.com | June 16, 2006

The 125 percent home equity loan, which allows you to borrow more money than your home is actually worth, could leave you unable to sell your house and locked into a high interest rate loan. Only in extreme circumstances should a lender consider the 125 percent home equity loan.

Debt Problems? Consolidate Loans with a Mortgage Refinance

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- MortgageLoan.com | June 16, 2006

Many kinds of debt could be paid off with a cash-out mortgage refinancing, giving you better terms and a lower overall interest rate. It's particularly useful if your current financial situation is tight, or your debt has high interest rates.

Home Improvement Time - HELOC or Home Equity Loan?

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- MortgageLoan.com | June 14, 2006

Summer is everyone's favorite time for reading, traveling, and home improvement projects. A wise way to manage financing the latter is to tap into your accumulated home equity. But before you visit your bank, it's important to decide whether you want to use a home equity loan or a home equity line of credit.

The 2 Percent Refinance Rule - Fact or Fiction?

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- MortgageLoan.com | June 14, 2006

Someone, somehow, somewhere came up with a rule that the only time you should refinance your mortgage is when interest rates drop 2 percent below your loan's current rate. While the logic behind the rule-that you want to recoup your closing costs over time-may be sound, it simply doesn't apply to every situation.

Mortgage Refinance - Tax Deductions and Points

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- MortgageLoan.com | June 12, 2006

Paying points to lower the interest rate on a loan can be a great idea, especially if you're considering staying in your home for an extended period of time.

Pay off Your Mortgage with Home Equity Loan

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- MortgageLoan.com | June 11, 2006

Although it may seem strange to pay off your mortgage with a home equity loan, in some special circumstances, it makes good financial sense. It's especially attractive to those who hold a mortgage with a high interest rate and a small outstanding balance, and want to refinance for a lower rate.

Best Time to Refinance

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- MortgageLoan.com | June 11, 2006

There are many conditions that can make the time right for a mortgage refinance. Generally, it's a combination of current interest rates and/or your personal financial needs. There's no hard and fast rule; but after you've crunched enough numbers and done your homework, you'll have a good sense of when the time is right for you.

Mortgage Rate Quote

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MortgageLoan.com | June 08, 2006

Getting a mortgage rate quote allows you to shop confidently for a home, knowing that you will be able to afford your purchase. There are different types of mortgage rate quotes, with varying amounts of accuracy. Of course, you will not know the exact dollar amount that you will be spending until you close on your home, but you can get a very good idea.

Become A Mortgage Broker

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- MortgageLoan.com | June 07, 2006

For someone in search of a new career, becoming a mortgage broker can be an excellent choice. Mortgage brokers are responsible for matching up prospective home buyers with suitable mortgage lenders. Mortgage brokers, who must find the best rate for their client, while at the same time providing the mortgage lenders with loans that are secure, must be detail oriented, patient, and enjoy working with people.

Refinance Basics

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- MortgageLoan.com | June 07, 2006

Refinancing a mortgage can be an excellent financial decision. If the interest rate that you are currently paying is higher than the current interest rate, you may want to look into refinancing your mortgage.

Afford Mortgage

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- MortgageLoan.com | June 06, 2006

Buying a home, right up there with getting married and having a child, is seen as the pinnacle of adulthood, and for many it fulfills a lifelong dream. Unfortunately, many people never take this step due to fear that they can not afford a mortgage.

Online Mortgage Quote

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MortgageLoan.com | June 06, 2006

Online businesses continue to gain in popularity, and one area that is showing considerable growth is in online lending. Online lending is a great choice for both lender and consumers.

Financing a Second Home? Use a Home Equity Loan

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- MortgageLoan.com | June 05, 2006

Leveraging one asset to purchase another one can be a shortcut to wealth, especially when the strategy is applied to real estate. If you own your own home and have watched its value appreciate over the last few years, you may be an ideal candidate for using a home equity loan to buy a second home.