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The VA loan is often the best possible loan because it offers lower costs than conventional financing.  And  regardless of down payment, there is no monthly mortgage insurance.  There are no lender fees on VA loans and realtors are disallowed from charging fees as well. Unless you are exempt, the VA does charge an upfront…

Points, origination points, and discount points are synonymous. Points are an upfront closing cost and are a charge based on your loan amount.  One point refers to a charge of one percent of the loan amount.  On a $400,000 loan amount one point is $4,000. Rates and points are connected to each other. The greater…

It can be difficult to time the sale and the purchase of your next home perfectly.   While it’s ideal to sell and buy on the same day, sometimes you won’t be able to sell your property before closing on your new home.  If you have significant equity in your home and need that equity…

Prepaying will cut down on life of loan interest and pay off your loan more quickly. That’s because interest is charged each month based on your outstanding balance.  And so by paying your balance down early, you’re making subsequent monthly payments allocate more to principal and less to interest.  Prepaying does not lower your monthly…

Expect an escrow analysis once per year, mailed to you. Please be sure to read it to understand how your mortgage payment is changing. The escrow analysis looks back at property tax and insurance costs incurred over the last year.  It’ll recalculate what should be your monthly payment to your escrow based on that.  Escrow…