By financen | October 26, 2010 - 3:21 pm - Posted in Mortgage

A person who can make the full purchase on a home is said to be an informed customer and knows how to make a good mortgage deal. Large number of people do not know how to borrow money from the lender in the best of your interests. They just apply for some mortgage from the lender.

Mortgage constitutes a huge economy with different lenders and variety of mortgage deals. However, browsing through the internet and acquiring information from various sources can actually help you in making a good deal from the mortgage lender.

Here are six different ways by which you can make a good mortgage deal:

1. First know your present financial situation and how much you can afford before making a deal with the lender. Depending on whether you are employed or self-employed, you will get eligible for the type of mortgage.

2. Browse through the internet and know how the mortgage operates. This will help you to understand how to make a good mortgage deal according to your requirements.

3. Work with those lenders who have a good track record in the industry. They will explain you the whole concept of mortgage in a very detailed way. In case, you don’t understand some of the terms, set an appointment and ask any questions to clarify your doubts. While you are making a mortgage deal, understand the terms and conditions very carefully. Know the interest rates and down payment schemes. Compare it with different lenders before finalizing any deal with the lender.

4. Use the internet to compare the offers with different online lenders and see if you can shop for anything extra.

5. Once you have understood how to make a good mortgage deal, inspect any penalties that can be brought forward. Their may be some rules that you might find hard to comply with.

6. Before finalizing any mortgage deal, the most thing that you should understand with the lender is the terms and conditions of the mortgage loan, interest rates, down payments and penalties involved. After reviewing everything, you are good to go for a lucrative deal.

You can obviously take the help of the articles provide by about Mortgages for Home Buyers and Homeowners.

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By financen | August 24, 2010 - 4:45 pm - Posted in Mortgage lender

Due to the increasing prices of goods and gasoline, losing a house will be a nightmare. There may be many people who are not able to make their mortgage payments and are not able to sleep at nights because of the fear of losing their home. There are ways to stop these kinds of things from happening without declaring bankruptcy. There is an option to apply for a short sale wherein the lender is willing to accept a lesser amount than the total amount owed to the loan. You just have to write a hardship letter to the mortgage lender if you are expecting to fall behind in your monthly mortgage payments.

When a person is not able to meet his financial obligations with the mortgage company, s/he needs to submit a hardship letter to the mortgage company. By writing this letter, you can actually insist the lender to give you another chance by working out some kind of payment arrangements. When you write the letter, be realistic and honest and you must present the facts clearly. By going through your hardship letter, the lender should have a clear understanding of why you are not able to make the payments on a timely manner and why creditors or mortgage firms should accept the proposal of the homeowner of a short sale.

You should always present legitimate reasons in your hardship letter for falling behind. The lender knows that you are experiencing some financial woes and that reason should not be sufficient enough. There should be other reasons mentioned in the letter, like a job loss, death in the family and a prolonged personal illness. Keep the facts straight so that the lender gives a considerable thought in your situation and is willing to work out payment arrangements or loan modifications with you.

No one other than the homeowner who is expecting to fall behind in his monthly payments is supposed to write the letter to the lender. He should ensure that all the information mentioned in the letter is accurate. There can be serious consequences if the lender comes to know that the information provided in the letter is inaccurate or the homeowner is lying to avoid the mortgage payments.

The short sale package submitted to the banks normally states the amount the banks will lose if they foreclose the property and the amount they will gain by pushing through with the short sale.

A sample introduction would be: “I am writing this letter to inform you of my unfortunate circumstances and the reasons that have caused us to be delinquent on our mortgage. We have done our best to make both ends meet but unfortunately, we have fallen short and my husband lost his job. We now would like you to consider working with us to modify our loan. Our foremost priority is to keep our home and we hope you will give us the opportunity to do that.”

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