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Author: mandmweb

Seniors Reverse Mortgage – Benefits and Drawbacks

Senior reverse mortgages are different from traditional home loans in several ways. Before you decide to get a reverse mortgage, it’s a good idea to learn as much as you can about them; learn such things as how they work, their benefits and even their drawbacks. With a reverse mortgage, you never have to make monthly repayments for as long as you live in your home. As a matter of fact, the opposite occurs: the lender pays you money. You can get money from a bank when you have a reverse mortgage in one of three different ways: a lump sum, a line of credit or monthly payments. Because you are getting money from the bank, you increase your home’s debt as time goes on. At the same time, the equity in the home decreases. Whenever the time comes to pay back your reverse mortgage – you move out of the home or you die -, the debt may be large and you may have little equity left in the house. However, no matter how much money you owe, it can never be more than the value of the home. Since you don’t need to make any monthly repayments, you don’t need any type of income to qualify. You could have no income and still qualify for a reverse mortgage. Also, your credit history is of no concern. The...

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When is it Wise to Refinance

If you have found yourself in the middle of a bunch of bills that you can not catch up on, then you will want to do what you can to pay off the ones that you can. This can be hard once they have been accumulating for awhile and it may seem like an impossible task. There is one way that you may be able to do this, but you will have a few things to consider before you choose this option. This option will be to obtain a bad credit mortgage refinance. You will want to make sure that you have the income to keep up with your new payment amount. If you do not, then you will be risking your home and you can find yourself in an even worse position than you were in to begin with. However, if you need help catching up on your past bills, but have the income to continue paying your monthly mortgage, then you will want to consider a mortgage refinance. This way, you will be able to help your bad credit score to improve and you will be able to pay off that debt, getting the creditors off of your back. Considering that you have bad credit you will want to go to a broker for your mortgage refinance, rather than going to a bank. They have a lot...

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What to Look for in a Mortgage Broker

There are thousands upon thousands of licensed mortgage brokers in the United States. They represent private banks, public banks, investors and lending institutions both large and small. However, all mortgage brokers are not created equal. Here’s what you should look for: 1. A top mortgage broker will communicate the ins and outs of the mortgage process. A good broker will not spring surprises on you in the form of extra or hidden costs. They will take the time to clearly lay out what steps need to be followed in order for them to best serve your needs. You should have at least an approximated timeline for how long your mortgage application will take before you hear a decision back. 2. A top broker will always be available. Your broker should not be difficult to get a hold of. If you leave your broker a message then you should be receiving a return call within the next couple of hours. You should not feel as if you are not an “important client” of your broker and get second rate treatment. 3. A top broker is concerned with more than just “selling you”. You should not ever get the feeling that your broker is just telling you what you want to hear so as to win your business. A good broker should tell you the pros and cons of potential options...

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Commercial Mortgage Broker Fee Agreement

Now having a good commercial mortgage broker agreement in place with your borrower is more important than ever. As CMBS lenders like Lehman, Silver hill, etc have been taking the worst of it, we as commercial mortgage brokers are now forced to originate our commercial mortgages through traditional sources, i.e. regional or smaller banks. These banks that for years saw their market share shrink are now in control. Many of them never bothered to increase their risk thresholds and or change their underwriting guidelines to stay competitive. They are now reaping the rewards of that prudence. Bottom line, they still have money to lend and many times their rates are considerable better than the rest of the market. The challenge however for commercial brokers is that most of these smaller banks are not broker friendly. Or more accurately stated most of them are not set up to work with brokers like the CMBS lenders. For example it’s very rare that a smaller bank will pay rebate or ysp. Once in a while you may find a bank that will pay a .5% or 1% referral fee, but that’s it and it’s rare to find. Rather many of these banks expect you to get paid on top of their 1% bank fee. Or worse many of them will want you to make your fee outside of close… When was the...

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