Is FHA a Bad Loan?

One of my former clients is moving to a different county and we’ve pre-approved her to use an FHA loan to buy her next home.  Her Realtor tells us we’ve lost two properties because of the loan type.  Does that mean FHA is a bad loan?Back in the day, there might have...

What’s Your Rate?

After reading this column for over twelve years, I sincerely hope that is not the first question you ask when shopping for a home loan.  Here’s a refresher on why “the rate” is an elusive thing to pull out of thin air, and why there might be more important factors to...

In Over Your Head?

Holiday stresses may be without number, but your debt is easily quantified.  These days, sizeable debt loads pose an even greater danger than usual: layoffs are mounting and bonuses are shrinking, but creditors will continue to expect their paymentsIdeally, experts...

Credit Score Quiz

The good folks at Kiplinger recently posted a quiz about what actions affect your credit score.  Let’s see how well you score on these variations of their questions.Question: When shopping at your favorite store, you open a new credit card to receive a 15% discount on...

Begin at the Beginning

So many callers tell me they were playing with an on-line mortgage calculator and the number they expected doesn’t match the actual payment for the house they want to buy.  Let’s fix that by talking about how to approach your home buying decision.Wouldn’t it be great...

Reverse Mortgage Faces 15% Cut

We’ve heard the rumblings for some time, and now it’s upon us.  The Home Equity Conversion Mortgage, or reverse mortgage, will cut its benefits to seniors at the end of this month.These changes reduce the maximum benefit available from these loans by as much as 15%,...

Buy Your Next House with a Reverse Mortgage

Sorry, kids, these notes are for people aged 62 and older.  We’re talking about reverse mortgage, which is only available to that age group.  It’s a federally insured home loan usually used for refinancing, but let’s see how it might be used to purchase a...

What’s Up With Rates?

In the past three months, mortgage interest rates have risen.  We knew the party couldn’t last forever, and now we are firmly in the realm of rates in the high 4’s.  What does that do to affordability?For purposes of discussion, let’s look at rate sheets dated April...

This Is Why It Feels So Invasive …

The Office of Lender Activities and Program Compliance department of FHA just released the June report on Post-Endorsement Technical Loan Reviews.  That’s a fancy way of saying:  They’re showing us what’s wrong with loan files after closing, in an effort to clean up...

When is it Wise to Pay Off the House?

Living mortgage-free seems to be part of the American Dream.  What homeowner hasn’t envisioned owning their home outright? Paying off your house is attainable over time, by taking a shorter term on your loan, or even by making extra principal payments monthly.  What...