When you obtain a traditional mortgage from any type of institutional lender (banks, savings & loans, credit unions, mortgage bankers, etc.), repayment terms typically call for monthly installments, consisting of principal and interest, paid over a fixed number of years/months. What we just described is Amortization. In today’s Post we want to take a look at Amortization Schedules (also known …
When it comes to risk analysis it’s not always easy to explain how things are done in the mortgage industry, but today we’re discussing a rule that doesn’t require any technical underwriting knowledge, a little common sense will do. It is VA’s guideline regarding residual income. Residual income is the amount a borrower has left each month after revolving and …
In a previous post I indicated there’s an army of people involved in closing a real estate and mortgage transaction (real estate agents, lenders, escrow officers, title officers, inspectors, appraisers, etc.). Of all the different professionals, and the service each provide, I learned early in my career that one of the most feared aspects of home buying, particularly among first …
Pre-Qualification vs. Pre-Approval Once you’ve made the decision to buy a home, you’ll typically speak with a Real Estate Agent or Loan Officer (since financing is the first step, we recommend reaching out to your Sidwell Loan Officer as job one). Regardless of whom you call first, Realtor or Loan Officer, there are a couple of terms you are going …
Like many others in the mortgage industry, I cringe each time one of the credit score commercials air. I’m sure many of you have seen these promotions. The scene typically opens with a credit applicant conferring with a loan officer or credit decision maker, confidently proclaiming a version of the following: “I’m more than qualified for this loan, Mr. Banker, …
Good Credit Scores Don’t Guarantee Home Ownership: Credit Depth Is Equally Important Read More »
And so, it’s come to this. For more than 27 years our team has arranged VA & CalVet mortgages in the state of California. With respect, admiration and appreciation we’ve embraced every Veteran, Servicemember and Survivor who’ve crossed our path. We’re now being told that we must start blogging (and releasing videos). Our millennial associates insist that over 75 years …
This seems like a no-brainer, but like so many things in the mortgage industry it can get rather murky. Most of us have obligations that require some form of monthly payment. A typical scenario involves a car payment that’s due on a certain date, let’s say the first of the month. Many installment agreements also include a 10 day grace …
Most of our blog posts relate to questions our clients have asked over the years or the sharing of information we believe our readers need to know about home buying, home selling or home financing. With this post we’re starting to mix things up a little by also sharing our stories as professionals. These are essentially the things we’ve learned. …
