Taking the Confusion Out of Car Loans

When it came time to finance my new car, I had options. I needed to find the best interest rate and the best all-around deal. I knew it would be difficult to obtain a car loan without good credit. While I was certain my credit score wasn’t “poor”, I wasn’t sure about the numbers, so I researched it.

My advice to others looking to finance a new car is to obtain your credit report and credit score first. You can do this online free. If your credit score is poor, your interest rares may be higher, or you may not be able to obtain a loan at all. Conversely, good credit may entitle you to a low interest rate from your car dealership. Otherwise, check with local credit unions and banks. Compare interest rates as I did and nab the best one. Good luck!

FHA Loans Make It Easier For Recent College Grads To Qualify For A Mortgage

FHA loans, which are insured by the federal government, offer recent college graduates a viable option for buying their first home. The low interest rates and more flexible lending standards help make home ownership a reality for first-time home buyers who are just starting out. That’s because there are a number of benefits FHA loan programs offer that can help you qualify for a mortgage loan. Limited Credit History If you’re a recent college graduate and a first-time home buyer with a limited credit history, FHA allows you to use credit references that don’t report to the credit bureaus. Credit references may include payment of monthly rent and utility bills, cell phone service, and auto insurance premiums. FHA underwriters may approve you for a mortgage loan if you can show that you’ve paid these bills on time each month for at least a year. Non-Occupying Co-Signer FHA lenders allow you to use a non-occupying co-signer to help you get approved for a loan. The co-signer must be a blood relative or someone who has had a long-standing relationship with you. If you use a co-signer to increase your credit worthiness, you must include that person’s income, assets, liabilities, and credit history on your loan application. It’s important to be aware that while a co-signer won’t have any ownership in the property, he or she will be financially responsible for repaying the loan if you don’t. Employment History Although traditional lenders generally require proof that you have worked for at least the last two years at the same job or in the same industry or field, FHA lenders often allow...

3 Things You Should Know About Hard Money Loans

Have you found it hard to get approved for a loan to purchase a house? Being that you are using the money to invest in a house, you might qualify by applying through a hard money lender. However, the process of obtaining the money will likely be a little different than when applying for other loan types. Below, you will learn more about hard money loans and what to expect if you apply for one. 1. You Must Have Collateral to Give The most important thing that is considered when a hard money loan is processed is the type of collateral that you can give. You can actually use the house that you intend on buying as the collateral for your loan. There are other assets that can be used as collateral as well. The specific types of collateral that will be accepted depend on the specific loan company chosen. For instance, some hard loan lenders will accept valuable jewelry as collateral, while others might not. Vehicles are common assets that are accepted as collateral by loan companies. 2. Your Credit Score Might Not Matter A good credit score is commonly required for home loans, but it might not matter when you apply for a hard money loan. Although it is up to the specific lender as to whether the credit score will be considered, the value of your collateral will be the most important thing. The value of your collateral will also be used to determine how much money you are approved for. It is possible that you will be able to get a loan that is equal...

2 Things To Keep In Mind When Considering A Home Equity Loan

One of the most popular types of loans out there is a home equity loan, mostly because home equity loans can often allow a homeowner to borrow quite a bit of money for fairly low interest rates. The amount of money that you can get from a home equity loan is directly tied to how much your home is worth and is typically secured by your home. Listed below are two things to keep in mind when considering a home equity loan. Avoid Paying Off Credit Cards One of the biggest things to keep in mind when considering a home equity loan is that it is typically not a great idea to pay off your credit cards with it. A major reason for this is that your credit cards are considered unsecured debt, which means that there really is no property that they can seize if you end up not being able to pay off the credit cards without first taking you to court and getting a judge to approve the seizure of property. However, if you are not able to pay back your home equity loan, the house itself can be taken by the bank since the house itself was the collateral for the loan. As a result, it makes doesn’t really make sense to take out a secured loan that is tied to one of your most important investments (your house) to pay off an unsecured debt. In addition, if your credit card debt is so high that you have to consider taking out another loan to pay it off, then you also need to consider curbing...

Tips For Financing Your First Home Purchase

The process of buying a house can be a very stressful task to go through. In particular, the financing of this purchase may be one of the aspects that cause you the most concern. Sadly, you may not have the experience necessary to know how to get the most from your mortgage. To help you with this aspect of home buying, you will want to keep the following few tips in mind. Consider The Total Cost Of The Mortgage When comparing mortgage offers from different lenders, it can be easy for you to focus almost exclusively on the interest rate of the loan. However, this will not provide you with the true cost of the mortgage as it can be common for there to be a number of fees associated with originating these loans. As a result, you will want to calculate the total cost of each mortgage offer you receive. While it may take some time to review the offer and calculate the possible fees, this can be an essential step for making sure that you are getting the best price possible on your mortgage. Additionally, if the loan contains an early payment penalty, this is a factor you should consider as it may make it more difficult for you to refinance the loan in the future. Lower Your Ratio Of Debt To Income It is often advised for individuals to review their credit history and score prior to applying for a mortgage. However, you may assume that this is only to ensure that you have no negative payment histories. Unfortunately, this is not the only factor that...

VA-Assumable Mortgages: Another Financing Option for Homebuyers

While conventional mortgage loans generally aren’t assumable, VA mortgages guaranteed by the U.S. Department of Veterans Affairs are assumable. If you are an active-duty servicemember, a veteran, or the surviving spouse of a veteran, assuming an existing VA mortgage may be to your advantage, providing you have a Certificate of Eligibility (COE) showing the lender that you are eligible for a VA home loan. Still, it’s important to understand how an assumable mortgage works before deciding if getting one is the right choice for you. What is an assumable mortgage? If you are interested in buying a home for sale that the seller financed with a VA home loan, assuming the seller’s mortgage instead of applying for a new mortgage may be an option to consider. An assumable mortgage allows you to assume the terms of the seller’s mortgage, including the interest rate, length of repayment period, and outstanding current principal balance on the loan. When can you benefit from assuming a VA mortgage? A major advantage of an assumable mortgage is the benefit of paying a lower rate of interest on the loan. Going with an assumable mortgage rather than a new mortgage can be a practical option when current interest rates are higher than the rate the seller is paying. Assuming a mortgage can involve fewer closing costs as well. For instance, since many lenders don’t require a new appraisal when assuming a VA home loan, you can save money and cut the time it takes to close. But you still have the choice of hiring an appraiser on your own to find out how much the...

Steps To Take If You Can’t Get A Traditional Home Loan

There are a number of reasons that can make it difficult to qualify for a home the conventional way. Some people will not qualify for a mortgage due to having large amounts of debt due to starting a business and becoming an entrepreneur. Those who work for themselves may find it difficult to qualify for a mortgage without a lot of documentation for the business and several years worth of tax returns that show the same as your current income. Others may not be able to qualify because of past late payments or defaulting on student loans even though they are being paid off currently. If you cannot get a home loan due to any reason, there are still some steps you can take to buy a house.  Look for a personal loan Though it can be difficult to get a personal loan for a high amount, it is possible depending on your credit and the type of collateral that you are able to put up. If you have a bank that is willing to work with you as someone with prior bad credit or as a business owner, you may be able to get enough of a loan to purchase a home in your city. You will need to go through the typical application process and you may need to offer collateral (which can include your business), but you can get approved for a personal loan more easily than a home loan in some situations.  Loan through the home builder Sometimes you can make an arrangement with the builder of a home to purchase the home and lot from...

3 Reasons To Consider Buying A Mobile Home

Some people think that buying a mobile home is a negative thing, but it does not have to be. Mobile homes have changed a lot over the years, and buying one can be a good option for many people. These are a few reasons why you may want to consider buying a mobile home. 1. Save a Lot of Money Some people worry about buying a mobile home because they assume (or have heard) that they can’t finance the home through a traditional mortgage company. However, depending on the mobile home, this does not have to be the case at all. Although there are certain restrictions in place — such as in regards to the age of the mobile home — that mean you can still get a mortgage on a mobile home in some cases. For example, you can qualify for an FHA loan with a mobile home if the home has a permanent foundation. In the event that you can’t, you can also look into financing through a finance company. Either way, you’re sure to spend a lot less on your home. The average cost of a single-family site-built home is about twice as much per square foot as a mobile home, so it’s a good option if you’re on a budget and want to get as much square footage as possible for your money. 2. Enjoy Customization If you purchase a brand new mobile home, you can typically customize things like the flooring, plumbing fixtures and more, similar to how you would be able to if having a stick-built home built. However, you don’t have to...

Top 4 Financial Benefits When Obtaining The Right Home Refinance Program

Whether it’s not the right market for selling your home or you simply want to remain in your home for a long period of time, a home refinance offers multiple financial benefits to homeowners. In fact, refinancing can free up money for other things, such as a vacation. It can also help you with your long-term savings goals. Below is a list of four financial benefits associated with this type of loan.  Lower Monthly Payment Homeowners who have paid down their mortgages over the course of several years will find that a home refinance leaves them with a lower monthly payment. This is because the new loan is based on the lower principle amount. That lower figure is also spread out over the course of 30 years, unless you wish to opt for a shorter term.  Improve The Value of Your Home When you refinance your home, you have the option of taking cash out. Homeowners can use these funds to make improvements, such as adding an extra bedroom on to the home, updating the kitchen with a more modern design, or installing solar panels on the roof. Then the home will be worth much more years down the road when you decide to sell it, which is one way to meet your long-term financial goals.   Convert to a Fixed Rate Anyone with an adjustable interest rate can also save over the long run by refinancing to a fixed rate. This is especially a good idea when interest rates are low because you’ll be able to lock in a great fixed rate. If you wait, your adjustable interest...

3 Things To Do If You Want To Keep Gold And Silver As Part Of An Emergency Fund

If you’re trying to add precious metals to your emergency cash stash, you have to plan your strategy. Gold and silver are good forms of emergency currency and don’t require massive amounts of thought, but they’re not forms you can approach haphazardly. Here are three strategies you should add to your gold and silver buying and selling plans. Add Jewelry Don’t rely solely on gold coins, or even silver coins. Add some jewelry to your stash in the form of small gold and silver chains. These are easier to find than gold coins and often much cheaper because of their lighter weights. That does mean that the jewelry won’t get you as much cash as a gold coin would, but if you don’t have a lot of purchasing power to begin with, a chain can at least get you started. Another reason to add jewelry is that, historically, it hasn’t been treated like gold coins, which have been subject to government confiscation in the past. You may want to stay away from obvious alloys like rose gold (a mix of mostly gold with copper). Even though rose gold is valuable, it’s easily mistaken for pure copper by people who aren’t paying attention. And while copper is valuable, too, it’s not as valuable as gold — you wouldn’t want to spend lots of money buying rose gold only to have people pay you the copper price instead. Get Unofficial Appraisals Don’t just throw gold and silver into your filing cabinet. Find out the weights, karats (for gold), purity (for silver), and other information like country of origin. Keep a record...

3 Reasons You Shouldn’t Skip Out On Bail

Now that you have been bailed out of jail, you might be panicking and thinking about your upcoming court date. It’s certainly understandable that you are concerned, and you might even be feeling so concerned that you are thinking about skipping out on bail and hiding from the law. Even though this might seem like a good idea right now, it’s only going to make things harder for you. These are a few reasons why you should never skip out on bail, no matter how scared you are about going to court.  1. You’ll Only Face More Charges If you go on the run, there is a good chance that you will get caught. Then, along with making your current situation worse, you have to worry about facing new charges for failing to appear in court. This isn’t going to make you look very good in front of the judge and can lead to other consequences, such as added jail time. On top of all of that, you’ll have to worry about being caught by a bounty hunter and having to pay out a lot of money to a bondsman, if you used one to get out of jail. 2. The Person Who Posted Bond Could Be Held Accountable You have to think about the person who was willing to put their name and money on the line to bail you out of jail. The person who worked with a bondsman (such as one from All Night & Day Bailbonds) or who otherwise got you out of jail could be held accountable for you skipping out on your bond...