Experts Predict Buyers Will Need a Denver Mortgage Broker’s Services

Housing experts predict that interested home buyers will need the services of a mortgage broker in Denver and in other areas in the country in the following year. Forecasting real estate trends for 2014, these industry professionals say that residential property seekers will build new nests in more economical hubs in the US’ Northwest, Southeast, South Atlantic, South Central, and Rock Mountain regions, including Denver.

In an article by Erin Carlyle of Forbes, experts weighed in their two-cents by saying:

Rising prices, a reversal of underwater mortgages, and easier credit will free Americans up to move. But next time they’ll choose smaller homes in more affordable locations. Redfin is predicting that new lending regulations—which make it harder to borrow more—will send Americans to less expensive hubs like Portland, Denver, Austin, Richmond, Dallas, Houston, San Antonio, Atlanta, and Raleigh.
http://www.thehomeloanarranger.com/experts-predict-buyers-will-need-denver-mortgage-brokers-services/

FHFA Index Shows Decrease in Interest Rates for Home Loans in Denver

The Federal Housing Finance Agency’s index showed a decrease in average contract interest rates for home loans in Denver and other areas all over the country for November. Compared to the national data for October, the November rate marked a 0.10% decrease on the composite of all mortgage loans.

As posted in an official news release by the agency on their website:

According to the Federal Housing Finance Agency (FHFA), the National Average Contract Mortgage Rate for the Purchase of Previously Occupied Homes by Combined Lenders index was 4.21 percent for loans closed in late November. The index is calculated using FHFA’s Monthly Interest Rate Survey. The contract rate on the composite of all mortgage loans was 4.22 percent, down 10 basis points from 4.32 in October.

There are several factors that affect interest rates, including demand from consumers, the Federal Reserve policy, and inflation.
http://www.thehomeloanarranger.com/fhfa-index-shows-decrease-interest-rates-home-loans-denver/

Should You Buy A New Home Now?

Moving out of a rented apartment to a newly owned home can be advantageous. First, owning a home can be beneficial for the future, and second, having your own home can mean a sense of accomplishment. Since it’s technically yours, it makes other tasks seem achievable.

In addition, owing a home places fewer restrictions on your design sensibilities. If you want to do something about the interior decoration or the placement of furniture, you can do so without having to consider what your housemate may think.

Moving into a new home is also a good opportunity to be more energy efficient. If you’ve been living in an old house, expect heaters, air conditioners, and other home components to work twice as hard. A new home, on the other hand, can provide you with the opportunity to live with updated appliances that can be energy efficient. Safety is another factor because new homes are usually free from health deterrents such as mold or asbestos.

A new home can, of course, provide you with the gratification you deserve. Since you don’t have to worry about broken pipes, fumigation, or deteriorating wood among other factors, you can enjoy working on your other goals or welcome guests anytime you want. Though you obviously have to decorate your new home, having a cleaner and brighter interior can mean a welcoming environment not just for your guests but also for yourself.

Securing the Best Rate on Your Home Loan

Home loans are a burden you will have to bear for a considerably long time. Therefore, it’s always in your best interest to secure the best rate you can find and never settle for anything less.

Home loans usually come in two versions, the standard loan and the adjustable rate mortgage. Standard loans come with a fixed-interest rate throughout the lifetime of the loan. Adjustable rate mortgages, on the other hand, have significantly lower fixed rates for the first five or seven years before the interest rate on the loan is allowed to rise or fall according to the position of the market.

Unless you can be sure that you won’t be staying in the house for a longer period, adjustable rate mortgages should be avoided—as they expose the buyer to the risk of having interest rates rise dramatically in the future.

Choose the shortest duration for your loan, during which you feel you can comfortably settle payments. While you will have to pay more money each month on a shorter term loan, doing so will also mean that you stand to pay much less in interest by the time you finish paying off the loan.

Once you’ve been given a rate that you feel is reasonable and sustainable, consider locking it in. Under normal circumstances, you should be able to do this for free. Otherwise, you will be charged a fee that will be refunded to you at closing.

How to Have a Smooth Home Refinancing Experience

Many homeowners can’t make up their mind whether or not they should get a home refinance. It can be a risky endeavor, especially for borrowers who have poor credit scores and overdue payments. However, if you take into account the following pointers, then you may be able to decide and engage in a smooth refinancing deal.

Reflect on your reasons. It could be that you want to move from an adjustable to a fixed rate loan, cash out from your home’s equity, or lower your interest rates. It’s wise to seek professional advice whether or not you actually need to refinance and when is the best time to do it.

Calculate all the costs and potential savings, and be wary of penalties. Do your homework as soon as you’ve finalized the decision to go for a home refinance. Examine available options systematically and patiently. Shop, compare, and negotiate prudently.

Consult reputable mortgage brokers. They should be able to make you understand your situation well, offer appropriate guidance and solutions, and arrange the best loan deal. You will be saved from a risky and stressful refinancing transaction when you work together with professionals who look out for your best interest.

Choose a mortgage company composed of experienced professionals for a more secure and seamless transaction. Some companies offer a no-cost, no-obligation quote. Take advantage of free initial consultations and other services so you can effectively choose the best mortgage broker without having to spend anything.

Different Types of Home Loan

Taking out a mortgage to purchase a new home is one of the biggest decisions you will make in your life. A home loan is something you will have to settle within the next 30 years or so of your life, unless you eventually decide to sell or refinance the home. Here are three types of home loans you can choose from.

Fixed-interest

For most borrowers, this can be the most ideal type of mortgage because it allows you to pay a fixed monthly fee regardless of the condition of the housing market. This kind of loan protects the borrower from the effects of inflation. This also means, however, that you will be paying the same amount even when market interest rates hit rock bottom.

Adjustable

Borrowers who believe that mortgage rates will eventually go down can go with an adjustable mortgage instead of a fixed-interest one. This type of mortgage is characterized by an interest rate which conforms to the condition of the housing market. Normally, due to the flexible nature of this mortgage, the terms and conditions are far more complex than those of fixed-interest loans.

Interest-only

Some homebuyers are just starting their careers and thus, may be expecting bigger incomes in the future. An interest-only mortgage may be more appropriate for them. This requires smaller upfront and regular payment in the first five to ten years, to be compensated for by bigger payments after the set initial period. 

Borrowers Told to Get Denver Home Refinance as Mortgage Rules Tighten

“Market experts, however, advise homeowners to check if they qualify for Denver home refinance now, even if they didn’t a year ago. After interest rates spiked and reached a two-year high in July, the current rates on fixed mortgages have declined, making it an ideal time to explore the best options. Professional mortgage brokers like The Home Loan Arranger have decades of experience in taking homeowners’ individual situations and looking for a home refinance deal that is guaranteed to suit them.

In early 2014, homeowners hoping to lower their interest rate or shorten their current term might be at a loss. Lenders will be much more selective and borrowers will need to cross more hurdles in order to get a mortgage that they could have qualified for a year ago. In such a situation, contact a reliable mortgage broker in Denver to assist you before it’s too late.”
http://www.thehomeloanarranger.com/borrowers-told-get-denver-home-refinance-mortgage-rules-tighten/

Denver Home Loans: Avoid the Labyrinth with a Trusted Mortgage Broker

“If this is your first time to take out a home mortgage, you should look at requirements besides an excellent credit rating. To get pre-qualified for any of the available Denver home loans, you have to prepare your pre-qualifying letter and all supporting documents, and submit it to the lender. Your chance to get pre-approved depends greatly on how honest and relevant the content of your claim is.

Mortgage companies like The Home Loan Arranger can help you get the mortgage package suited to your paying capacity and situation. Unlike a pure real estate broker that only refers a property and closes a deal, a home loan arranger can actually do all the complicated tasks required in the home buying process. You will have a greater chance of securing the best home loans in Denver with the aid of mortgage professionals.”
http://www.thehomeloanarranger.com/denver-home-loans-avoid-labyrinth-trusted-mortgage-broker/

Should You Consider Working with a Refinance Broker?

If you are looking to refinance your home mortgage, you may want to know if you need to work with a refinance broker, or go straight to the lenders. Both options have their upsides and downsides, and in the end, you will need to decide which will prove to be more beneficial to your particular case.

If you deal directly with lenders, you can save on the service fees that mortgage brokers charge, which is usually 1% of the mortgage amount. Other mortgage brokers charge a flat rate for their services. The service fee is the biggest disadvantage of getting a refinance through a broker.

On the other hand, working with a refinance broker offers many benefits. For one you will have better access to the various options from several lenders. Mortgage refinance brokers typically work with a network of lending institutions that offer various financing packages. They can then present these options to you and help you understand the nuances behind each one. Furthermore, a broker can help you go through your own financial situation to help identify the right refinancing package.

If you have the time and resources to shop around for the best deal for yourself, then you can potentially save some costs by not having to pay a broker’s fee. However, if you want to make sure you have as many viable options for your perusal as possible, then working with a reputable home refinance broker may be the way to go.

A Quick Guide to Choosing the Right Home Loan Provider

You’ve been offered a promising job at one of Denver’s leading technology centers, and your wife has agreed that now is a good idea to buy a new home there. The problem is that all this time, you’ve been renting an apartment and neither of you has any idea on how home loans work. Fortunately, you don’t have to go through this experience alone; you can seek help from a home loan provider that can make the financial arrangements for you, but you need to choose the right one.

Similar to finding any service provider, communication is key when you are looking for a lender. Discussions should always be a two-way street, and good lenders should not monopolize the conversation. They should give you a chance to share your needs and wants, and good lenders don’t force their clients to take on a loan which they can’t pay off within 20 or 30 years.

Good lenders are also backed up by previous clients. If they were satisfied with the services they received, they will gladly recommend them to their friends and family, and word will eventually get around of how trustworthy and hardworking the lenders are. It is also important that the lender you have chosen gives you the attention you deserve— the last thing you need is a lender neglecting you for other clients.