In an era of the credit crunch a common belief among borrowers is that they can no longer get zero down payment loans. While the free wheeling days of yesterday is certainly past us, there is still one loan program available that has a zero down feature. This zero down mortgage is available with a [...]
Posts under ‘Closing Costs’
Using the $8,000 Tax Credit to Cover FHA Loan Costs
Recently the FHA revised some of its guidelines and announced that they would allow first time home buyers to apply the $8,000 tax credit to offset the costs associated with obtaining FHA mortgage financing.
Heather Barr over at The Phoenix Agent blog has a great blog post detailing all aspects of this provision. For one thing [...]
Interest Credit Affects Your First Mortgage Payment Due Date
A common question people ask me when I’m working on a loan is the date of their first payment. The way mortgage payments work, you make your payment at the end of the month. This is different than rent, where you pay at the beginning of the month. Meaning, you pre-pay for the month to [...]
Should I Borrow From 401(k) For Down Payment
During a recent loan pre-qualification process a mortgage applicant disclosed that he wanted to put 10% down on the purchase using money from his 401(k). We quickly pointed out that this may not be a good idea – considering the impact of taxes, withdrawal penalties and loss of future earnings. Additionally, since this borrower [...]
Arizona Ranked 46th
Arizona has been ranked 46th in the Union (including the District of Columbia) when it comes to average closing costs paid by consumers during a purchase transaction. This is according to a survey conducted by Bankrate.com.
I must caution you that the closing cost numbers presented are for a very modest purchase. You must read the [...]
