Economics Finance

These days, it is not a big deal anymore even if you have a bad credit rating. Even if you own one, you can still apply and obtain a loan. Indeed, despite poor credit, you still have good chances of getting one type of loan which bad mortgage lenders for bad credit borrowers have designed.

Why would bad credit mortgage brokers put not enough weight on the value of credit ratings when offering loans? Are they not concerned that poor credit borrowers will fail to repay what they owe? As it is, even borrowers with decent ratings have difficult time fulfilling debt dues, definitely it is a given that the bad credit borrowers will encounter more repayment problems. Continue reading ‘Mortgage Lenders For Bad Credit’ »

Your home is your most valuable asset, and many people are finding that being a homeowner has great perks – such as raising your ability to borrow money that you need for the expenses of life. Because your great payment history over the years has resulted in built up equity in your home, most banks are willing to loan you money against that equity in the form of a homeowner loan.

Some uses you may have for a new homeowner loan include remodeling or repairing your residence, adding a swimming pool, basketball court or other improvement, putting down new flooring or carpeting, installing a new roof or solar panels, paying for education for yourself or your children, taking a vacation, or even paying down other debt. Continue reading ‘Homeowner Loans For Every Budget’ »

Many people dream of having a nice place they can call home. It is no easy fete to achieve and a lot of planning and organizing has to go into it. Usually, many individuals may not be in a position to have the funds required and have to look for financing. There are many options available for house finance but you have to look for the one that is tailor made to suit your needs. It is advisable that you conduct research online and also make personal visits to the various lending institutions that you feel have a great deal for you.

There are many options available from zero-interest mortgages to the conventional thirty year fixed rate loan. When you have compiled your research then you can got mortgage shopping. One advantage is that getting this type of funding is easy. This is because the lenders do not have to prove the value of the purchase since they are selling a product. Normally, the number of the loan request is equal to or less than the actual value of what you want to buy. Continue reading ‘House Finance, the Available Options’ »

Standard Bank Home Loans: Can you approach the bank directly and still get a home loan.

The short answer would be yes, but is it that easy?

People have been approaching the banks for years and years for home loans, what’s changed?

Well, the process of getting a home loan approved is still the same, except that in the past you could just approach your bank manager and arrange everything in a reasonably short space of time.

The Standard Bank offers 3 options that are available.

Standard Bank Home Loans Option 1 – Apply over the phone or internet

You can apply telephonically or via the internet for a home loan. This process takes slightly longer as you first do the application and then you have to fax your documentation, which has to be tied up to each other.

Chances are good that you will be asked to re-fax your documents as there are so many applications that it is easy to lose documents and not find the right application to marry it up with. Continue reading ‘Can You Go to Standard Bank Home Loans Directly to Get a Home Loan?’ »

Saffron Building Society has announced it is to withdraw, albeit temporarily, from the equity release market after meeting its lending targets for this year.

It has taken this action following a successful year of lending in which 2009 targets have now been met. Also by Saffron withdrawing from the sector now will ensure their lending portfolio remains balanced and within borrowing strategy.

A sensible approach maybe?

However, this follows the latest setbacks to the market, which has resulted in lenders pulling their products or even positioning themselves so as to reduce their exposure to this market.

This has added in a long line of lenders removing their equity release schemes over the past 12 months; we had Retirement Plus who had funding issues, Dunfermline hit by the credit crunch & Godiva who recently felt longer term funding was too expensive & consequently decided to ‘temporarily’ withdraw from the market. Continue reading ‘Saffron’s Withdrawal Leaves the Equity Release Market Lacking Spice’ »

When determining a homes value, real estate agents and appraisers use many factors. They do a lot of research to make sure the value they assess is going to either get your home sold in a timely manner, if it’s a Realtor(R), or make sure an appraisal is going to satisfy a banks loan conditions, if it’s an appraiser. These factors are important to keep maintained, and are even more important when you are looking at buying home, because some of them can’t be changed.

1. Location – The location of a home is un-changeable, and it’s also the most important factor in determining the value of your home. The reason location is the #1 factor, is because you can’t change where a home is located, and if the home is near something undesirable, the value of that home can plummet drastically. For example, say your home was built, and 5 years later your city installed a trash dump next to your home. The value of that home would go way down, as most people wouldn’t enjoy living next to a trash dump.

When you are in the process of buying a home, it’s a good rule of thumb to find out the zoning laws around your home. You can obtain your local zoning ordinances from your county assessor, or a local city zoning department. Be sure to find out what type of commercial buildings, or busy roads are planned in the near future for your area. Your real estate agent should also have a their ear to the ground, and should be able to educate you on the city plans for locations they service. Continue reading ‘The Top 5 Factors That Determine the Value of Your Home’ »

Expectations are running high in the equity release market that home reversions plans could become a more popular choice in view of the current housing & economic climate.

It is common knowledge that in periods of low house price inflation, home reversions can become the favourable option as opposed to the roll-up lifetime mortgage.

The two comparable equity release schemes can experience different fortunes in such a static housing climate.

In summary, a home reversion scheme involves selling a percentage of the value of the property to the reversion company in exchange for a lease for life.

Therefore, in times of low house price growth the reversion company will not make as greater profit, as they will not benefit from the property value increasing. Continue reading ‘Are Home Reversion Schemes Turning Back the Years?’ »

If you or someone you know is trying to become a first-time homeowner, and you don’t have a high salary or a lot of savings, there is financial assistance available if you lack a large down-payment or enough money for closing costs.

Over the past decade there has been a surge in first-time homebuyer initiatives designed to give people a helping hand in overcoming the down payment dilemma. In fact, in every state in America there are a broad range of first-time homebuyer assistance programs, including:

* Free grants and cash gifts for down payments – with funds ranging from $500 to as much as $40,000
* Money for closing costs, prepaid escrows and other mortgage expenses
* Grants or loans to fix up homes in need of repair
* 100% financing programs, so that you pay zero down on a home
* Home loans that feature 0% interest, low interest rates or below-market interest rates
* Mortgages with loan forgiveness benefits or no payments for a set period of time
* Federal and state housing tax credits
* Homebuyer workshops to teach you about the rights and responsibilities of being a homeowner
* Mortgage education classes that explain the mortgage process
* Budgeting, credit counseling, money-management and overall financial planning services

First-Time Homebuyer Programs In Every State

No matter where you reside or where you’re looking to settle down, if you’re a first-time homebuyer, there’s a program that can help you purchase a house. And virtually every type of residence is eligible under these programs, including single-family homes, condominiums, townhouses, modular homes, and manufactured housing. Many assistance programs have income limitations, particularly those that provide city, state or federal funding. But other programs have no income criteria. Also, certain housing assistance plans impose caps on the purchase price of the property you can buy. Despite these restrictions, you’ll find that taking advantage of a first-time homebuyers’ program is one of the smartest things you can do. It will allow you to get into a home sooner, save money in the process, and simultaneously build wealth. Continue reading ‘Where to Find Grants and Free Money For First Time Homebuyers’ »

A bankruptcy equity home loan offers the assistance of obtaining much needed money for people in bankruptcy. If a person has a good credit history it is possible to obtain a loan with low interest rates. In the case of bankruptcy it is difficult to obtain the same low interest rate. The next best option would be a Loan to Value. When one has a large home equity the sum of money received is equally large and the interest rate quite low.

In case a person is unable to repay their loan they might settle for bankruptcy. Bankruptcy relives people from the burden of being overwhelmed by debt such as mortgage and other financial commitments. The irony of declaring bankruptcy is that other financial institutions might put a black mark against your name and keep it on file for at least ten years, and if you have to obtain a loan in the future this might become a hassle.

Lenders tend to charge high interest rates from borrowers who have filed for bankruptcy. The reason is that lenders don’t want to take a risk with borrowers in case they do not comply and repay the loan. Generally people who are bankrupt tend not to be able to make their full repayments. This possibility makes lenders overcharge their borrowers. Continue reading ‘The Advantage of a Bankruptcy Equity Home Loan’ »