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Loans for police officers

These programs allow for reduced PMI (Private Mortgage Insurance) premiums and also some programs allow for higher debt to income ratios.

Many of these programs also have mimimal down payment requirements to allow even more people to qualify.

These special programs also cover teachers.

Loans for teachers - Most people don’t realize that there are mortgage loans that are specifically for teachers.

If you are looking for a specific teacher program, you might be limited by certain lender. Also, the teacher might not be qualified for Full Doc with their income status. Then, the teachers need to look for stated income programs. Be sure to ask about alternate options to your loan counselors

These home loan programs offer down payment assistance, low cost loans and discounts on escrow and title fees.

There are many programs for teachers, but it's best to discuss each program with your mortgage professional as it may not be the best fit for what you are looking for. There may be other deals out there for you.

Teaching is a profession that is always in demand in this country. Because teachers are easy to employ some lenders have specific incentive programs that will often offer a reduced interest rate or reduced closing costs. Many of these programs are also available for police, fire fighters, and medical personal. If you are a teacher be sure to ask your mortgage professional if there is a program like this for you.

Loans for doctors - Are you a doctor or other medical employee? If so, you may qualify for a mortgage loan that is available specifically for medical professionals.

Loans for doctors and medical professionals will take into consideration any and all student loans that may or may not be in deferment. Not all lenders will know how to handle such conditions and some will disqualify the deferred debt.

Since there are some doctors who are in self employment status, be sure to ask about stated income program to your loan counselor. This stated income program will save your time and efforts of trying to document your income while you should be spending your valuable time with your patients which can earn you more money than trying to save money with lower interest.

A Pay Option ARM is a common loan program chosen by doctors who are just starting out. As an intern your income is just a fraction of what your future earnings could be as a doctor. However, many younger interns want to buy a home that they may not qualify for with their current income. The minimum payments available through a pay option ARM can help.

Why use a mortgage broker - There are many reasons that you should use a mortgage broker and many advantages to using a mortgage broker. One reason to use a mortgage broker is because a mortgage broker has access to all kinds of different home loan programs.

A mortgage broker's job is to assess your situation and then shop your loan thru 100 different lenders in order to find you the most beneficial loan for your situation. We have access to over 1200 different loan programs and are able to obtain wholesale rates which can save you $100,000 plus over the life of your loan.

Here's something to keep in mind. As a mortgage broker, I'm completely independent. I'm not employed by or work for any bank or lending institution. I work for my clients. The bank is going to look out for its best interests, isn't it nice to have someone working for you, the borrower, and looking out for your best interests?

Many mortgage brokers have expertise in certain types of loans, such a construction-to-permanent loans, poor credit loans, or reverse mortgages. If your situation has special obstacles a mortgage broker may be the best answer.

A mortgage broker is an individual or firm that acts as an independent agent for both the borrower and the lender of a mortgage loan.



Mortgage brokers are the middle man between you and the lending institution, which can be a bank, trust company, credit union, mortgage corporation, finance company or even an individual private investor. A mortgage broker will analyze your financial situation to determine which lender is the best fit for your loan needs.

Mortgage brokers have the advantage of being able to access dozens of rates quickly for similar loan programs from different lenders. Although banks have similar programs, their rates can vary widely. Mortgage brokers, through experience and through searching rates, can find which lenders are offering the lowest rates at any given moment.

Mortgage brokers have more options than banks. For example. if you have poor credit and need a subprime loan, your bank may have access to one option. A mortgage broker would have access to dozens.
Other situations where mortgage brokers would be able to provide you with more options than a bank include manufactured homes, rural properties, commercial properties, first time home buyers, and special credit situations, such as bankruptcies and foreclosures.

Working with a mortgage broker has many benefits. Just to name a few: we discuss and explain the programs that are available to you in your particular situation. We inform you in writing that you loan interest rate is locked and wont change. We explain all the documents in plain English so you understand what you are signing. We explain all the costs involved in closing the loan. We give you a timeline of the loan process. We provide you with a good faith estimate. We also coordinate the final closing of your loan.

Mortgage brokers have access to wholesale rates, where as your local bank only has access to the rates that they offer. This can save you money on your monthly payment, especially if you have a unique situation that your bank will not be able to handle.

Mortgage brokers are also familiar with the area in which they operate. Using someone local has big advantages. With so much mortgage information online, it's hard to know who to choose. If something goes wrong along the way with your loan, it is easier to deal with if you have a loan officer you can meet with face to face rather than a website or 800 number.

A mortgage broker is also able to move your file to another lender should a better deal appear. Or if there is a problem with your file in underwrting your mortgage broker can switch lenders within minutes and ensure you meet your close date. Local banks cannot do this.

Mortgage 101 - A mortgage is a loan that is secured by real estate. Your can have a mortgage on a piece of land only, on a home only or on a home on a piece of land. Mortgage education is very important to first-time home buyers so that they can learn, at least the basics, about the large investment they are about to embark on.

Beyond your basic numerical credit score the lender will have particular interest in how you have handled the payment obligations on your housing. If you already own a home, the lender will have additional qualifying based on your mortgage payment history in the last twelve to twenty four months. If you have been renting, you will most likely need to obtain what's known as a Verification of Rents. This is a form on which your landlord verifies your rental payment history for the past twelve to twenty four months.

An appraisal is always done on the subject property for the loan. An appraisal is a opinion of value based upon similar homes in the area. For a purchase, the LTV (see above) is based upon the lower of either appraised value or purchase price. For a refinance the LTV is based upon appraised value.

Loan-to-Value (LTV) is one of the most basic mortgage terms. LTV is the ratio between appraised value/purchase price and loan amount. Example - $80,000 loan amount for a property worth $100,000 equals 80% LTV. The higher the LTV, the higher risk of the loan.

Debt-to-Income (DTI) ratio is another important factor. Lenders look at the "front-end" and "back-end" ratios. Front-end DTI is based upon primary housing expense divided by income. Back-end DTI is based upon all monthly debt (generally only what appears on the credit report, not utilities etc.) divided by income. Generally, the guideline for DTI is 28% front-end and 36% back-end. Some loan programs allow for higher DTIs.

Getting approved for a mortgage is much more simplified than in years past. With the advances in technology and the expansion of programs, lenders are more willing to approve borrowers with less than perfect credentials.

Your credit score is a large determining factor in what type of loan you can apply for, and what your interest rate will be. If you have a very low score, you may only qualify for a portion of the purchase price of the home, and you would have a higher interest rate. You would be required to come up with the rest of the money on your own. If you have a high credit score, you can qualify for 100% of the value of the home, and you will also have a lower interest rate. A lower interest rate means lower payments, and therefore you will be able to afford a larger home.

Since the profile of most mortgage loans borrowers is never perfect one thing that a loan underwriter will look for is something known as compensating factors. This refers to strength factors that affect the borrowers qualifications that compensate for weaker ones. An example might be a borrower who has a slightly higher debt to income ratio than is normally allowed but who has been working on the same job for over ten years. Since lenders like job stability, the underwriter might consider that fact a compensating factor allowing the lender to overlook the high debt to income ratio.

Mortgage Process Do Nots - There are some things that you want to make sure to not do when you are attempting to obtain a new mortgage. These "Do Nots" can affect your interest rate, or possibly even deny you from obtaining the new mortgage.

Do not lie or embellish the truth on your mortgage application. This will only cause problems down the road, and/or the denial of your loan application. Always be upfront and honest. This is the best way to help speed up your loan application process and get you the best deal for your situation.

You should not leave out information that is crucial to your loan application. Changing employment dates to appear more appealing will cause problems when the U/W does a verification of employment. Being completely honest and upfront with all information will streamline your application and give you a better chance of approval than changing facts to appear better than they are.

Do not change jobs.
Do not quit your job.
Do not get so caught up in obtaining your mortgage that your work suffers and you get fired.
Do not try to falsify employment or income.
We've all heard stories of borrowers that quit their jobs the day before or the day of their closing, then the lender re-verifies employment and the loan is denied.

After applying for a mortgage do not apply for any new credit until your loan closes. This includes charging new funiture or leasing / purchasing a new car. Any new debt will effect your debt to income ratio and may disqualify you from your loan. When any retailer asks you for your social security number this means they are going to pull your credit: do not give them the information! Tell them you are applying for a mortgage and do not want any new inquries to your credit history.

When applying for a mortgage, do not apply to multiple lenders at the same time. This is illegal. Your credit score will also suffer as multiple lenders pull your credit. Choose a mortgage broker which has the ability to match your application up with any wholesale lender available to them. This will allow you to avoid the shopping process all together and help keep your credit from being ruined in the process.

Do not be allowed to let yourself be talked into borrowing more money then you think you can afford vto pay back. With some of todays stated loan programs it is east to get in over your head. Pick a budget and stick to it.

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