Tag: Coldwell Banker Home Loans

Home Loan in Process? Some Things to Know…

 

While your loan is in process there are a few housekeeping tips to remember, from Rebecca, our office PHH/Coldwell Banker Home Loans Mortgage Advisor…

1)Please do not incur any new debt while your loan is in process including increased credit card debt.

2) If you are retaining another home you will need 6 mths reserves for each retained home (these funds can be from your 401k)

3) If you are not retaining a home you will need only 2 mths reserves for conventional financing

4) Any large deposits other than your pay check into your bank account will need to be sourced and documented. Along with a letter of explanation.

5) Gift funds are acceptable as long as you have 5% of your own funds.

If you are buying new construction please send in updated bank statements each month and a updated pay stubs.

6) If there is a change in your job please notify us immediately. (we will need 30 days worth of pay stubs)

7) If you gave earnest money to the builder or agent to purchase a home, please send in the bank statement (s) showing those funds clearing your account.

Rate on 30-Year Mortgage at Two-Year High

That is right. Increasing mortgage rates (currently at 4.51 percent) are all the more reason to buy before rates continue to increase, if you will be taking out a home loan.

calculator image

Mortgage buyer Freddie Mac said Thursday that the average on the 30-year loan jumped from 4.29 percent the previous week. Just two months ago, it was 3.35 percent — barely above the record low of 3.31 percent.

The average on the 15-year fixed mortgage rose to 3.53 percent from 3.39 percent last week. That’s the highest since August 2011.

Remember: the average doesn’t include extra fees, known as points, which most borrowers must pay to get the lowest rates. One point equals 1 percent of the loan amount and not all lenders charge the same fees.

Contact our great Mortgage Advisor in our full-service office, Rebecca Mott, at Coldwell Banker Home Loans / PPH. Her number is 708-364-6759 (also the number in the calendar above).