Not many of us are aware of the impact a change in rates has on our daily lives, they can be confusing so we've put together a short description of the common indexes used for Adjustable Rate Mortgages to guide you through.
To help distressed homeowners avoid foreclosure, Democratic senators have proposed the "Foreclosure Prevention Act of 2008." The bill would help borrowers by potentially lowering the amounts they owe, and would free up more money to pay for the mortgage refinance of subprimes.
In a cash-out refinancing, you take out a new mortgage for an amount that's larger than your current principal balance. You can then use the extra money as you wish. Just make sure that you compare the costs of this type of financing with the costs of a home equity loan before proceeding.
Refinancing your mortgage can be a lifesaver, especially if you have an adjustable-rate mortgage that's rising. But before you rush to refinance, answer a few important questions about your situation. The following Q&A might help you avoid difficulty down the road.
Lenders and borrowers can team up with other lenders and borrowers to reduce their exposure to risk and increase their profits. These relationships, which come in many flavors, are called participation loans. At one time in life, you may have considered going in on purchasing a boat or a mountain cabin with your friends. It's certainly true that, where money's involved, there's power in numbers. Pooling investment dollars is a popular practice-one that's resulted in the advent of mutual funds, REITs and the like. Participation loans follow the same concept, only the investment at hand is a credit facility.