Fannie Mae plans to launch a new underwriting innovation beginning September 18, 2021 that will automatically incorporate rental history into their credit evaluation system. Using bank statement data, mortgage lenders will be able to “deliver a more inclusive credit assessment” with the borrower’s permission, according to the press release. Hugh R. Frater, Fannie Mae CEO,…
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Most people are aware that mortgage payments can increase over time, but did you know payments can actually decrease? In this article, we’ll explore a few ways how this can happen. Mortgage payments decrease on Adjustable-Rate Mortgages (ARMs). While not as common as the payment increasing with ARMs, your monthly payments can decrease based on…
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Stay-at-home mandates during 2020 caused many homeowners to realize their home wasn’t accommodating to their lifestyle. At-home offices, media rooms, children’s school areas, gyms, and large yards were suddenly in high demand. These amenities became highly desirable and led many homeowners to invest in a new home. Instead of purchasing a home near the office…
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Finding the house you want and making an offer are just the first steps before purchasing a home. After the inspection and appraisal come back adequate, it’s time to submit the required documents. Finally, the last step is to get your keys during closing. An exciting yet nerve-wracking point in the process, closing is the…
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Before you start shopping for a home, it’s essential to get pre-approved by a mortgage lender to get a concrete idea of the loan amount, interest rates, and available loan programs. A pre-approval is different from a pre-qualification. The pre-approval process involves gathering information (income and asset documents along with a credit report) to confirm…
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The age-old question of “Lock or Float?” is typical in the mortgage industry. Mortgage brokers get asked this question frequently by first-time home buyers. The answer to this question will determine the mortgage rate borrowers ultimately receive. Interest rates dictate monthly payments for up to 30 years (without refinancing), so this option should not be…
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