How long do bankruptcies and foreclosure stay on a credit report?
They can remain on your credit record for seven to 10 years.However, a borrower who has worked hard to reestablish good credit may be shown some leniency by the lender. And the circumstances...
View ArticleWill I be able to buy again after losing a home to foreclosure?
It can happen. But a lot will depend on your circumstances and the mortgage interest rate you are willing to pay. Generally, most lenders will consider your request for a home loan two to four years...
View ArticleCan a home be sold for less than its mortgage?
Becoming a more and more popular option for distressed homeowners, this process is called a 'short sale', which occurs when a lender agrees to write off the portion of a mortgage that is higher than...
View ArticleIf faced with foreclosure, what are my options?
Talk with your lender immediately. The lender may be able to arrange a repayment plan or the temporary reduction or suspension of your payment, particularly if your income has dropped substantially or...
View ArticleHow can I protect my home from creditors?
Check with your state. It may provide special protection through the filing of a homestead exemption, which exempts some or all of the value of your equity in the homestead-the home that you live in...
View ArticleHow bad is a previous foreclosure on credit?
Unfortunately, it is a pretty bad blemish. A property foreclosure is one of the most damaging events in a borrower's credit record. In terms of the effect on your credit history, a deed in lieu of...
View ArticleHow do you clear up bad credit?
It is not easy but certainly doable with both commitment and time.By law, any unfavorable information in your credit file can stay there from 7 to 10 years. Today, however, a creditor must remove...
View ArticleHow do lenders define bad credit?
It is all those things that appear on your credit report that are unflattering. They include: missing a credit card payment, defaulting on a previous loan, filing for bankruptcy in the past seven...
View ArticleDo I have to disclose a parent's gift to the lender?
Lenders prefer that you do. But relax, you are not penalized in any way for receiving parental help. An estimated one-third of all first-time buyers purchase homes with a loan or a money gift from...
View ArticleWhat are the benefits of prepaying my mortgage?
You get to save thousands of dollars and shave years off the life of your loan because the additional payments made toward your monthly principal basically constitutes a partial prepayment of your...
View ArticleWhat about using an unsecured loan?
The interest rates on these loans are often higher than on secured loans and you generally will not be able to get a tax deduction for the interest paid. However, the costs to obtain an unsecured loan...
View ArticleHow can I finance work needed for home repairs?
According to the Millennial Housing Commission created by Congress, few lenders are willing to administer home improvement loans. Most prefer to make home equity loans or unsecured consumer loans...
View ArticleIs private mortgage insurance always required on low-down payment loans?
Lenders require private mortgage insurance (PMI) on most loans with less than a 20% down payment. They believe there is a correlation between borrower equity and default. They have found that the less...
View ArticleDo builders provide financing?
Many builders offer financing incentives to help move more buyers into a project. In fact, major building companies often have their own mortgage brokerage subsidiaries, while many other builders...
View ArticleWhat are mortgage credit certificates?
A mortgage credit certificate, or MCC, makes it easier for eligible buyers to qualify for a mortgage loan. Offered by many city and county governments, they allow first-time buyers to take advantage of...
View ArticleCan you tell me more about FHA and VA?
The Federal Housing Administration (FHA) is an agency within the Department of Housing and Urban Development (HUD). Its main goal is to help provide housing opportunities for low- to moderate-income...
View ArticleDo government programs exist that can help me finance a home?
There are several new government programs that have been launched or are expected to launch to help prospective homeowners.Stay in touch with federal, state, and local housing offices regularly. They...
View ArticleIs a home equity line of credit similar to a second mortgage?
A home equity loan, like a second mortgage, lets you tap up to about 80% of the appraised value of your home, minus your current mortgage balance. But because it is set up as a line of credit, you will...
View ArticleWhat is a second mortgage?
It is a loan against the equity in your home. Financial institutions will generally let you borrow up to 80% of the appraised value of your home, minus the balance of your original mortgage.You may...
View ArticleWhat is amortization and negative amortization?
When you amortize a loan you basically pay off the principal by making regular installment payments. This typically takes place gradually over several years.Negative amortization is when the mortgage...
View Article
