Most lenders rely on a credit score, called a “FICO score” to determine a Borrower’s credit worthiness when applying for a mortgage. Your FICO score or number may determine what type of interest rate and loan program you are likely … Continue reading →
The Right of Rescission is a protection given to borrowers under the Truth in Lending Act. This right gives borrowers of certain types of loans the opportunity to cancel their loan within 3 business days of signing the loan documents … Continue reading →
Once you have opened escrow and given the escrow officer the details of your purchase, you will next give the officer the name of the lender who will be financing your purchase. You may not know the name of the … Continue reading →
Often a buyer wonders if he is buying property in a state which is considered a “title theory state” or a “lien theory” state. Why would you need to know which custom is practiced in your state? When financing is … Continue reading →
When a borrower signs a promissory note, he is agreeing to pay the lender a specific amount of money according to certain conditions. In order for the lender to protect his interests, he will require that the borrower sign a … Continue reading →
Prepayment penalties are those charges which a lender imposes if you wish to pay off your loan early. Typically home mortgages are written for 15 or 30 year periods of time. While you may not hold the mortgage for the … Continue reading →
Escrow impound accounts are those accounts which lenders set up to collect “up-front” money from you when you take out a mortgage to cover future expenses such as property taxes and insurance. Lenders like to set up these impound accounts, … Continue reading →