Is A Reverse Mortgage Right For You

Writen by Joseph Kenny

In the last few years reverse mortgages have been growing in popularity among the elderly. While there are numerous advantages associated with reverse mortgages there are also disadvantages as well. Before you take out a reverse mortgage, be sure you have the whole story.

First, understand what is involved in a reverse mortgage. Basically, this type of mortgage allows you to transfer a portion of your equity into cash without the need to take on an additional monthly bill, as is the case with a regular home equity loan, or sell your home. With a reverse home mortgage, unlike a regular mortgage, you receive money for the equity in your home and are not obligated to pay it back until you are no longer living in your home. It should be understood that the money will need to be paid back; either when you sell your home, move to another principal residence or die. In the event that you have a lot of equity in your home but you're having difficulty meeting your monthly financial obligations, this can be a good option. Other advantages include the fact that the money you receive from the reverse mortgage is typically tax-free because it will have to be repaid. In addition, depending on which lender you choose, there are typically no income restrictions.

There are regulations in order to qualify for a reverse mortgage. You must be at least 62 years of age and live in the home as your principal residence.

There are three basic types of reverse mortgages. These mortgages are single-purpose reverse mortgages, federally-insured reverse mortgages that are also known as Home Equity Conversion Mortgages or HECMs and proprietary reverse mortgages.

Single purpose reverse mortgages are offered by state and local government agencies as well as some non-profit organizations. One of the major advantages to this type of reverse mortgage is that it will not generally have high costs. Unfortunately, their availability is limited depending on where you live. In addition, there may be regulations specified by the lender regarding what you can use the proceeds of the loan for. The most common purposes include property taxes and home repairs and improvements. This type of loan may also have income restrictions; meaning you can't make more than a certain amount of money in order to qualify.

A HECM will generally have higher cost than a single purpose mortgage and those costs are usually up front. On the flip side, they are more widely available and typically do not have income requirements. In addition, there are no purpose limitations. Because HECMs are backed by HUD you will be required to meet with a counselor from a housing counseling agency who will explain all the details regarding the loan to you. The amount of money you can borrow using a HECM will depend on your age, the value of your home, where you live and current interest rates. This type of loan can be quite flexible; providing options such as a line of credit as well as fixed monthly payments.

Because proprietary reverse mortgages are backed by private loan companies, the options with this type of loan can vary. Usually this type of loan will have a higher cost than a HECM.

Joe Kenny writes for the UK Loans Store where you will find information and reviews of the latest loans and offer more information on personal loans and other loan topics available on site.

Visit Today: http://www.ukpersonalloanstore.co.uk

Refinancings Are Expected To Decline

Writen by Martin Lukac

Frank Nothaft, chief economist for Freddie Mac, says that refinancings are expected to decline this year.

Nothaft predicts that refinancings will only make up around 30% of all mortgage applications by the fourth quarter of 2006. This is partly due to rising interest rates this year.

He pointed out that from 2001 to 2004, the nation was experiencing a refi-boom period, in which refinancings constituted over 50% of mortgage loans.

The predicted decline in refinancings will drag the overall mortgage loan volume down by 12% this year, according to Nothaft. He expects mortgages for home purchases to remain stable.

Many homeowners are taking a different look at refinancings. In 2003, a Freddie Mac survey indicated that 20% of homeowners refinanced to cash out equity in their homes.

"That's very different today," said Nothaft. "In the first half of this year, close to 90% of those who refinanced also engaged in cash out."

The dollar amount of equity extracted from homes due to refinancings hit an all time high in 2005 at $275 billion, according to Freddie Mac reports. The higher interest rates and declining volume of refinancings is expected to bring this number down to $125 billion in 2008.

Nothaft says that approximately $500 billion in first-lien ARMs are expected to reset in 2006 -- approximately 6% of all mortgages. The total amount of mortgage debt to reset this year is $1.2 trillion, or 15% of all loans.

Another economist for Freddie Mac, David Berson, said that a number of homeonwers have been able to build their credit through an ARM and then refinance on better terms before the adjustable-rate phase began.

"The bad news for those in the group who have not refinanced, it may mean they cannot," said Berson, pointing to outstanding debts or credit problems.

Martin Lukac represents http://www.RateEmpire.com and http://www.1AmericanFinancial.com, a finance web-company specializing in real estate and mortgage rates. We specialize in daily updates, mortgage news, rate predictions, mortgage rates and more. Find low home loan mortgage interest rates from hundreds of mortgage companies!

How Much Should You Borrow

Writen by Peter Miller

There's little doubt that we're borrowing more and there's also little doubt that credit is one of the great conveniences of modern life. That said, like Goldilocks you want to borrow the amount that's just right -- and no more.

So what's the right level of debt?

The loan qualification standards used by mortgage lenders are an important guideline. You can typically get that old standby -- the fixed-rate, 30 year mortgage -- if no more than 28 percent of your gross monthly income goes for mortgage principal and interest, property taxes and property insurance (PITI). In addition, as much as 36 percent of your gross monthly income can go to regular monthly costs -- PITI plus car payments, credit card debt, school costs, etc. In addition, because they have more liberal qualification standards, you can often borrow more with other loan programs such as FHA, VA and adjustable-rate financing.

But no matter what type of mortgage financing you consider, the real question should be not how much can you borrow, but rather how much can you borrow comfortably. In other words, financial sanity counts.

Unfortunately the term "financial sanity" is an expression without a definition. The economics that work for the Webbers plainly may not work for the Johnsons. We each have different incomes as well as different interests, expenses and preferences. Given this background one might ask: What makes financial sense for me?

The answer looks like this: If you're living from paycheck to paycheck, if monthly costs are a burden, if savings are small or non-existent, if you do not have health insurance then it's time to re-think debt burdens.

The richest person I ever met, someone who started with nothing and created jobs for more than 50,000 people, once offered this advice: "The key to financial success is saving, and nothing is harder than saving that first $10,000. After that, it's easy."

In other words, it's entirely possible to have a substantial salary and to fail the financial sanity test. The waiting rooms in every bankruptcy court are filled with people who once had big incomes and bigger debts. One day the numbers didn't work and away went the trophy houses and the big cars.

So how do you begin the savings process?

The first step, literally, is to open a savings account. The very nice people who provide checking accounts and credit cards will also be happy to hold your savings.

The second step is to go after every nickel and dime you can find.

The economics of savings resemble gravity: Little pieces brought together in one place produce big results. Here's an example: Imagine that you usually spend $2.50 per day on little things -- coffee, candy or whatever. Instead, you set the money aside in an account that pays 6 percent interest. The result? After 30 years there's almost $77,000 in your account.

There are any number of strategies to save money, but let me suggest a practical approach. Look at your debts. Pick the one with the lowest balance, say a small credit card that requires monthly payments of $25. Save and pay it off. Then identify the next remaining debt with the smallest balance. You now have $25 a month extra that can be applied to the second obligation. Save and pay off the second debt. Maybe with the second obligation you can save $50 a month. After the second debt is repaid, you have an additional $75 a month to attack the third debt.

During this process there are other steps to take. Bring lunch to work. Have one car (hard in some areas, but not impossible). Collect change at the end of the day and deposit rolls of coins every month or so. Eat out -- but not often. Stay away from credit cards. Avoid late fees and maintain good credit by paying bills in full and on time.

As this process continues you'll notice several interesting results.

First, borrowing for real estate becomes easy as debts decline and qualification scores rise.

Second, better credit results in reduced interest rates that can save you big money. Save a half percent as a result of good credit on a $300,000 mortgage and you'll cut costs in the first year of the loan by nearly $1,500.

Third, there's no tax on "savings."

If you have $1,000 in credit card debt and auto costs each month, that money is available only after taxes are paid. To get that $1,000 in cash you may have to earn $1,300 or $1,400, depending on your tax bracket and location. If you pay off your bills and don't have to pay that $1,000 a month, Uncle Sam does not raise your taxes and you gain the equivalent of a huge raise.

When you speak with lenders about your ability to borrow, consider that with good credit you likely can borrow as much as you need if not more. But also consider that as a matter of financial sanity you have a personal obligation to save. If you can buy a home, pay general expenses and still save 5 or 10 percent of your gross monthly income, the odds are overwhelming that borrowing will not be an undue burden now or in the future.

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Peter G. Miller is a syndicated real estate and personal finance columnist who appears 70 newspapers.

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Home Equity Loan Comparison Are All Home Equity Loans Equal

Writen by L. Sampson

Home equity loans are ideal for obtaining quick cash for debt consolidation, home improvements, etc. Homeowners can acquire loan approvals much quicker than non-homeowners. Because of rising home values, many homes have gained a significant amount of equity. Hence, homeowners are able to tap into this equity and access extra funds.

What are Home Equity Loans?

Home equity loans are similar to other types of loans offered by banks, credit unions, and other financial institutions. The only difference is that a home equity loan uses your property as collateral. Furthermore, equity loans are primarily based on the amount of equity your home has acquired.

For example, if the original mortgage amount was $200,000, and the amount owed to the mortgage company is $130,000, the home has acquired $70,000 in equity. Thus, homeowners may obtain a home equity loan up to this amount. The money can be used for any purpose such as building a cash savings, paying off debt, or establishing a college fund.

Different Types of Home Equity Loans

Homeowners may select one of two different types of home equity loans. One type of home equity loan is a second mortgage. When homeowners obtain a second mortgage, they receive a lump sum of money from the lender. In turn, the property gains a second lien.

Similar to first mortgages, homeowners are obligated to make monthly payments to the holder of the second lien. Because second mortgages are generally smaller than the initial mortgage, payments are considerably less.

Homeowners also have the option of applying for a home equity line of credit. This type of home equity loan offers flexibility. Instead of receiving a one-time lump sum, homeowners gain access to an open line of credit. For an average length of ten years, homeowners may withdraw funds as needed. Unlike second mortgages, lines of credit do not have fixed monthly payments. Rather, payments are based on the amounts withdrawn from the account.

Choosing the Right Home Equity Option

Deciding between a second mortgage and a home equity line of credit may be difficult. However, homeowners must access their personal needs. Second mortgages are more fitting for persons who need immediate cash for a one-time purchase, whereas lines of credit are more suitable for homeowners who require smaller cash amounts over an extended period.

Go to http://www.homeequitywise.com for a Home Equity Loan Comparison.

Refinance Home Mortgage Loan With Poor Credit Choosing A High Risk Refi Lender

Writen by L. Sampson

To help you recover from your poor credit status, consider refinancing your home mortgage loan to improve your financial situation for the long term. When you work with a high risk refi lender, you can secure near market rates and lock in reasonable fees. Sub prime lenders also allow you maximum flexibility with your loan terms, allowing you to design your own debt elimination plan.

Getting The Most Out Of A Refinanced Mortgage

To get the most out of your refi, identify your financial goals for the refi process. Do you simply want lower payments with your home loan or you looking at your total debt picture? Do you want to sell in a couple of years? How soon do you want to be out of debt?

The answers to these questions will help you pick the best refinance package for your goals and budget. If you are planning to apply for a home equity loan in the future, you may do better to cash out your home's value now to save on fees and rates. That way you can consolidate credit card debt and other high interest bills.

For those planning to move or refinance in a few years, don't pay a lot in upfront fees and points. Even though these closing costs can lock in a lower rate, you won't have enough time to recoup the cost, let alone see a savings.

To get out of debt faster, shorten your loan period. You may also reduce your rates with this step.

Focusing On The Numbers Gets You A Better Refi

Focus your lender search on loan quotes. When you request these no risk loan estimates, you get numbers on interest rates and fees that you can compare. Based on your general credit standing, you also get an idea on your monthly payments.

In today's lending climate, many more companies offer sub prime financing. So don't rule out banks or credit unions in your loan search. Recommended financial companies are a good place to start your search. But remember that the more lenders you investigate, the more likely you are to find a low cost loan.

Go to http://www.refinancesmarts.com for help in finding the best Subprime Mortgage Refi Lender.

Are You Getting The Lowest Interest Rate On Your Home Equity Loan

Writen by L. Sampson

Here's a little secret about home equity loan lenders – they don't charge the same interest rates for loans. Even though analysts talk as if there is one mortgage rate, in reality each financial company sets rates based on their own criteria. Hence, interest rates for home equity loans can differ a point or more between lenders.

So if you want to be sure you are getting the lowest interest rate on your home equity loan, shop lenders. With online sites you can easily check rate charts, investigate fees, and even request personalized loan quotes before you commit to any financial company.

How To Shop For A Home Equity Loan

You have two ways to compare lending companies; either call up each company to talk to a representative or search online for loan information. While speaking with a bank representative will get you a hard sell speech, researching online will get you straight facts.

Nearly all financial companies now have websites that post information about loan terms, current interest rates, and general financial information. Most also have the option to receive a free loan estimates based on your general credit status and financial information. You can also use a mortgage broker site to collect loan information from several different lenders.

Getting The Most Out Of Your Research

Before you start piling up information about home equity loans, make a plan. Begin by checking rate charts on lender sites. Usually these list out a generic rate for mortgages and home equity loans, along with other types of credit. This will give you an idea of who has the most promising rates.

Once you have narrowed your search, the next step is to request loan quotes based on your credit status. At this point, you don't want to give access to your credit report, which would down-grade in status with multiple credit inquires. Just provide general statements about your credit standing, income level, and assets.

After you have sifted through loan estimates, you will have arrived at the lowest home equity rates for your credit score. With this systematic approach, you take the risk out of committing to a financial company. The hours you have invested in your loan will pay dividends for years to come with lower interest payments.

Go to http://www.homeequitywise.com for help finding the Lowest Interest Rate Home Equity Loan.

Multiple Benefits Of Uk Secured Homeowner Loan

Writen by Amanda Pane

UK secured homeowner loan is offered to the homeowners in the United Kingdom. In this loan the home of the borrower works as collateral. Offering the home as collateral the borrower does not lose his right to live in the home. He simply assures the lender that in the event of his failure to repay UK secured homeowner loan the lender can take possession of the home and recover the unpaid amount.

Being secured against the home of the borrower UK secured homeowner loan comes with a lot of important benefits. The borrower can live in his home as before in spite of taking a loan against it. Then the loan will carry low interest rate. So the borrower can save a good quantity of money. There will be the chance of borrowing a big amount. Of course, the amount of equity available in the home will have important role to decide the sum you can borrow.

After that, the repayment period of UK secured homeowner loan will be stretched over a long time; so you can repay the loan in small installments. In addition there will be flexibility in all the other terms of the loan. As a result it will be much easier for you to carry on with the loan, so there will be less chance of failure.

What more, getting approval for UK secured homeowner loan will be much easier even if you have a bad credit record. The lender has the assurance of recovering his money through the collateral. So your poor credit record will not prevent him from offering you the loan. However, you may have to lose your home if you fail to off the loan. So it is recommendable to stick to the terms and conditions of the loan carefully.

The author is a business writer specializing in finance and credit products and has written authoritative articles on the finance industry. He has done his masters in Business Administration and is currently assisting finance-hub as a finance specialist.

For more information please visit http://www.finance-hub.co.uk

Finding The Perfect Cash Back Equity Loan Fast

Writen by James Ellison

There are dozens of loans obtainable on the Internet, including cash back equity loans. Cash back equity loans are equipped to help home-owners create improvements on their home. Improvements, as might be expected, will bring gain to the equity on the home, which is the reason lenders are often more than adequate when serving cash back loans, plainly because people in general will get their money back one way or another.

The cash back equity loans are brought out against the equity on the home, so the lender will supply the buyer a large amount of cash against the mortgage on the home. The money can be utilized at the buyer's free will; nonetheless, it is smart to use the money as designated. If you owe on credit cards or other bonded obligations, you may want to pay back the debts to free up cash, particularly if you are paying more high-level interest rates on your credit card accounts.

A few recipients use the money to buy a new car; all the same, this is only contributing to the debt. The cash back loans call for the borrower to pay a certain amount of payments on a loan before the cash is dispensed.

The cash back loans also move on the quantity of the mortgage offered. Put differently, if you withdraw a loan in the amount of $100,000, the cash back loan will furnish a large sum of cash. Cash back loans against equity is attractive, even so the loans often have higher rates of interest. The idea of the loan is to assist the borrower and lender to thrive in the mortgage game.

One of the numerous lenders providing cash back loans has this plan that will offer around $3000 plus or minus on a $80,000 loan. So, the cash back loans are likeable, but other loans against equity have more beneficial deals at times. When looking at loans, consider all items of the terms first before signing a contract to be sure you are getting the best trade.

Getting Equity Loans Fast

Obtaining an equity loan is moderately easy today. A lot of lenders are providing equity loans on the internet. They are introduced to someone who owns a home with credit troubles and so forth. All the same, some lenders require a credit rating around 720; still, few lenders will take applications from borrowers with bad credit ratings.

The negative aspect is that the borrower will not pick up rebates offered in some loans for superior credit ratings, nor will they get the lowest interest rates or monthly payments.

Yet, home equity loans can be of acceptable use if you are yielding high interest rates on secured loans or credit cards. The loans frequently pluck the interest rates into the loan, changing them to a lower rate. It's a matter relying on the lender and type of loan, but varied loans provide rewarding choices, while other loans deliver higher risks. So, when looking for equity loans you need to look at all options.

E-loans are a kind of equity loan that aids the borrowers to save. The E-loan mixes credit scores with the loans assisting the borrower to find an outlet from paying high interest. Numerous lenders offer E-loans that pluck the fees and costs of the loan into the monthly payment, thus bringing down the cost for the homebuyer.

Some other types of loans concentrate on the same principle; nevertheless, the lenders might throw in clauses or penalties. Put differently, the loaner may sense that offering you a great choice poses a menace and will integrate penalties and clauses in the arrangement.

It becomes batty; but this is how some lenders work. The penalties may specify that if the recipient pays off the mortgage loan sooner than the term agreement, then he may be impelled to pay off the first loan plus paying off the second loan. Therefore, study and read the small print before taking equity loans.

James Ellison is a successful Webmaster and publisher of Great Equity Loan Tips.com He provides more fast equity loan facts, tips and advice online at Cash Back Equity Loan Tips.

Exclusive Mortgage Leads On The Internet

Writen by Jay Conners

For loan officers and mortgage brokers looking for exclusive mortgage leads, receiving them over the internet is the way to go these days.

By buying exclusive internet mortgage leads over the internet you will be receiving them on-line and in real time, or fresh.

This means you will be receiving your leads hot off the press. And, because they are exclusive, you will be eliminating your competition.

But before you go and make a move with a mortgage lead company, be sure to do your homework.

You want to be absolutely sure that you are getting your money's worth, so check out your potential prospect's web site thoroughly, than call the lead company and speak with someone in customer service.

If they don't give a number for you to call, than move onto the next lead company. Think of it this way, who are you going to call when you need a refund for a questionable lead?

Ask the person in customer service how they obtain their leads.

This is what you will want to hear.

You will want to hear that they obtain their leads through web sites they own and operate on their own. This pretty much guarantees the real time quality that you are looking for.

This is what you don't want to hear.

If they tell you that they obtain their leads through third part vendors, than they are recycling leads. Or pretty much selling what is know in the industry as junk.

Keep in mind, you work hard for your money, so take the time to make sure that you will be getting what you pay for.

Jay Conners has more than fifteen years of experience in the banking and Mortgage Industry, He is the owner of http://www.jconners.com a mortgage resource site. You can also check out his blog at http://wwwmortgagespot.blogspot.com for more articles

Mortgage Refinancing Things To Think About

Writen by Luke Fitzsimmons

Mortgage refinancing has changed the way people think about their financial situation and home. Many consumers have learnt that mortgages are not just a method of purchasing a house, but also a method of raising cash.

You can generate cash by refinancing your house and releasing some of the equity. Many houses have increased in value substantially over the past few years. If you have not had your property valued recently you might just find out that you have more equity than you imagine.

Mortgage refinancing can be used by people with bad credit and debts to improve their situation, the money raised by refinancing can be used for debt consolidation enabling you to pay off expensive credit cards, loans and any other debts you may have. This can help reduce interest payments and help ease the financial pressure in the short term. By extending the term of these debts you could end up paying back more. You should also take into account that you are securing these debts against your home.

Reasons for mortgage refinancing
We know you are interested in a remortgage (as it's more commonly known) and we know you want to improve your financial situation, otherwise why would you be reading this information? But it is important to think about your motivation for refinancing your mortgage. Here are some mortgage refinancing motives for you to consider.

To pay off debts and credit cards
Consumers are becoming more reliant on credit cards and personal loans but while it is fun spending the money or maybe making essential purchases on your credit card the interest rates are very expensive and can soon add up to a substantial debt. By remortgaging and releasing some of the equity in your home you can pay off your debts and credit cards which can save you money in interest payments in the long run.

Lower monthly mortgage payments by switching to a different type of mortgage
You may be paying a higher interest rate on your mortgage than you need to. When interest rates are lower than what you are currently paying then changing your mortgage to one with a better rate will help reduce your payments, improve your financial situation and help get you out of debt. Mortgage refinancing can enable you to change the term of your loan, consolidate your debts and secure a lower interest rate. This can reduce your monthly mortgage payments saving you money both monthly and over the life of the loan, therefore improving your financial situation.

To raise cash
As we mentioned above refinancing a mortgage is becoming a more common method of raising cash - the interest can be lower that that of a credit card or personal loan. The cash you raise can be used for any purpose like your children's university, investments, and asset purchases like a car, or simply to treat your family to a holiday. You can remortgage to raise cash for home improvements that will actually increase the comfort of your property, like an extension or a second bathroom (if you are considering this check planning permission first).

Luke Fitzsimmons has provided this article on behalf of Regency Mortgage Corporation a firm of professionally qualified brokers specialising in Mortgage Refinancing.

For additional resources, articles and information to help you make the decision as to whether or not Mortgage refinancing is right for you visit http://www.regency-remortgage.co.uk or for the relevant page http://www.regency-remortgages.co.uk/mortgage-refinancing.html or http://www.rmcgroup.co.uk/remortgage.html the main Regency Mortgage Corporation site.

Survey Ranks Mortgage Customer Satisfaction

Writen by Martin Lukac

J.D. Power and Associates released a new study of customer satisfaction for primary mortgage borrowers in the U.S. The study revealed some interesting reasons for satisfaction or non-satisfaction with a mortgage originator.

Homeowners ranked USAA Federal Savings Bank the highest in customer satisfaction when it comes to the service of a primary mortgage, according to the survey.

The customer satisfaction was calculated in four areas: the administration of the account, the billing process, the payment process and the process of contacting the mortgage servicer.

"USAA Federal Savings Bank is simply doing things right and doing them right the first time," said Rocky Clancy, the executive director of the mortgage practice for J.D. Power and Associates. "When USAA makes commitments to their customers, they meet those comitments. Customers will forgive mistakes, but they tend not to forgive broken promises. Problems are inevitable, but having a proper approach to those issues can speak volumes."

The study revealed that around 45% of mortgages do not remain with the originator for servicing after the mortgage is closed. Those consumers with outsourced mortgages on average have satisfaction score of 32 index points lower.

"While this is a common practice in the industry, removing the homeowner from the decision to sell the mortgage to a different company for servicing can create confusion and a sense of betrayal among customers," explained Clancy.

"Customers want stability and consistency with their home loans, and lenders who can deliver those are rewarded with customers who are not only more satisfied and loyal, but also have twice as many additional products with the lender."

Fifty percent of customers pay their mortgage bill electronically, a surge from the 34% in 2004. The study revealed that electronic payments result in a higher customer satisfaction level overall.

"The more billing and payment of mortgages is automated or conducted online, the more consistent and accurate loan servicing becomes, ultimately leading to higher levels of customer satisfaction," said Clancy.

"The bottom line is that satisfied customers require less contact with their servicer's customer service department, resulting in lower servicing costs for the lender.

"In addition, mortgage servicers who are successful in satisfying their customers can expect greater revenue as a result of customers recommending the company to others more often, and obtaining additional non-mortgage services from the lender."

The study was based on responses from 12,799 homeowners between March and April of 2006. The top ten mortgage servicers according to satisfaction ranking were:

1. USAA Federal Savings Bank
2. BB&T
3. Citizens Bank
4. GMAC Mortgage
5. Wells Fargo
6. Bank of America
7. First Horizon Home Loans
8. CitiMortgage
9. SunTrust Mortgage
10. Fifth Third Bank

Martin Lukac represents http://www.RateEmpire.com and http://www.1AmericanFinancial.com, a finance web-company specializing in real estate and mortgage rates. We specialize in daily updates, mortgage news, rate predictions, mortgage rates and more. Find low home loan mortgage interest rates from hundreds of mortgage companies!

First Time Buyer Be Careful And Alert

Writen by Philip Mould

First time buyer term is used for all those individuals who have no experience of home purchase and are indulging in the purchase for the first time in life. To help out such people, first time buyer mortgage is introduced in the market. It is a financial help for first time buyers so that they need not spend any more money on rent.

A first time buyer has to be very careful before he signs any mortgage deal. There are various fake and unprofessional lenders who bewilder you with mortgage rates. Hence, to avoid all such confusions you should update yourself with current mortgage rates by spending a good time on various websites of the lenders. Besides this, you need to be cautious about the location you choose for your new home. Take a good advice from your friends or those who have good experience in home purchasing.

A first time buyer is charged low interest rate, small and affordable monthly instalments and provided good repayment period. He gets flexibility so that he can repay all his instalments as per his convenience. A first time buyer has to make a small down payment right at the beginning of the purchase, while lender finances the rest of the amount.

However, the drawback you face is losing your property if you fail to repay the amount. Lender will seize your newly purchased house which you have to keep as collateral. The Internet is a great tool for the first time buyer to get more information about lenders in less time.

About The Author:

The author is a business writer specializing in finance and credit products and has written authoritative articles on the finance industry. He has done his masters in Business Administration and is currently assisting Adverse-Credit-First-Time-Buyer as a Mortgage specialist.

For more information please visit http://www.adverse-credit-first-time-buyer.co.uk

House Refinance 3 Financial Benefits You Can Experience With The Right House Refinance Loan

Writen by T Crowley

You may be presented with numerous mortgage refinance options, but have you really stopped to think about how a good mortgage refinance solution can benefit you? A good house refinance solution can provide you with money now to do home improvements. These home improvements can increase the value of your property significantly, and this can translate into you getting a higher selling price for your home should you decide to sell it in the future. A home refinance can also provide you with the option to save a great deal of money on your mortgage interest rate, which allows you to keep more of your hard earned money. Learn 3 Financial Benefits You Can Experience with the Right House Refinance Loan.

1) Receive an Extra Incentive for Making Home Improvements You Have Wanted to Complete, but Have Not Had the Money You Needed to Finish Your Projects.

If you are like many homeowners, you may have a list of home improvements you want to make, but you just haven't had the money to make the improvements.

Refinancing your mortgage can allow you to use some of the equity in your home to do Home improvements. If you make home improvements that improve the value of your property e.g. kitchen remodeling, your property will be more attractive to prospective buyers if you choose to sell your home in the future. This can mean you can sell your house for thousands more! Hopefully the additional equity you can receive will provide you with more incentive to finish your Home Improvement projects sooner than later.

2) Get a Lower Interest Rate.

If your financial situation or credit situation has changed since you purchased your original loan, you should consider a house refinance to take advantage of lower interest rates. Low rate refinance solutions can allow you to keep more of your hard earned money.

3) Save Money Refinancing Your Variable Interest Rate Mortgage Into a Fixed Interest Rate Loan.

Refinancing your variable loan into a fixed loan can save you thousands of dollars especially as interest rates continue to climb. If you plan on staying in your home for several years, it may not be beneficial in the long run for you to have a variable interest rate.

Although many adjustable rate mortgage loan programs allow you to choose your payment option each month (e.g minimum, interest only or full P&I payments), if you only opt to make minimum loan payments for years to reduce your monthly expenses, you will find yourself paying a great deal more interest over the life of your loan than you could have ever imagined.

If you plan on staying in your home for several years, and can't handle rising interest rates, refinancing your adjustable rate mortgage to a lower fixed mortgage rate may be a great option for you. Obtaining a low rate refinance solution that fits YOUR needs can be one of the best decisions you can ever make towards your financial well being now, and in your future.

For additional mortgage refinance resources please visit =>http://www.i-mortgagenetwork.com/Refinance_Mortgage.htm

T. Crowley provides resources that can help you find the best mortgage loan solution for YOUR needs. Visit her website =>http://www.i-mortgagenetwork.com and receive a FREE, NO OBLIGATION House Refinance quote.

Debt Consolidation Home Equity Loans Best Way To Reduce Debts

Writen by L. Sampson

Many people seek out easy ways to reduce their debts. Unfortunately, there is no such thing as a quick fix. Yet, there are ways in which consumers can eliminate their debts sooner. Instead of paying on a credit card for twenty or thirty years, consider other debt elimination strategies. One approach involves using a home equity loan to payoff debts.

Reduce Debts with a Home Equity Loan

Owning a home makes reducing debts much simpler. Homes regularly increase in value. Moreover, as homeowners make payments to reduce the principle balance, the home acquires equity. Tapping into your home's equity is a practical means of paying off debts. This way, homeowners can access their money without moving.

Aside from paying off debts, a home equity loan is also useful for building a cash reserve for retirement, home improvements, college expenses, capital for a start-up business, etc. However, the most widely used purpose is debt consolidation.

How Does Debt Consolidation Work?

With a debt consolidation, homeowners obtain a lump sum of money from their home's equity. In turn, this money is used to payoff credit cards, auto loan, student loans, and other consumer loans. Once all unnecessary bills are paid in full, homeowners make a single monthly payment to the home equity lender to repay the consolidation loan.

Benefits of a Debt Consolidation Home Equity Loans

Because home equity loans have lower rates than most credit cards, a debt consolidation enables homeowners to become completely debt free in three to ten years. Furthermore, home equity loans are easier to qualify for. If hoping to obtain a personal debt consolidation loan from a bank, the odds of approval are small. Home equity loans involve collateral, thus the approval odds are high.

Making the Most of a Home Equity Loan

If using a home equity loan to consolidate debts, the key to becoming debt free is wisely managing future debts. Therefore, avoid acquiring additional debts. By accumulating new debts, homeowners are potentially overextending themselves. If unable to manage the home equity loan payments, the loan may default. If this occurs, the home equity mortgage lender may foreclose on the property.

Go to http://www.homeequitywise.com for more information on Home Equity Debt Consolidation.

Home Equity Line Of Credit Calculator

Writen by Kevin Stith

Confused about your credit line value? True, finding the correct value for our equity and credit line can be extremely confusing. However, it is of utmost importance, as it helps us in securing a home equity line of credit from different banks and companies.

To enable us to have an estimate of the credit line, different companies, banks, and other financial organizations help in calculating our home equity line of credit. A home equity line of credit is secured against the equity of a home, holding the home as collateral. Hence, the credit line essentially depends on the equity, or the difference between the estimated value of the home and the outstanding mortgage loans against it.

Financial institutions look for a number of factors while calculating our credit lines. They usually look into our financial standing, such as our ability to pay, by researching our incomes, debts, and credit history, besides other things.

Bureaus compile essential information on our name, social security number, credit history, public records, and even a list of all financial inquiries made. All this information is then boiled down to a credit score, or FICO score.

Depending upon the appraised value of our home, loans or mortgages we owe, and the loan-to-value ratio, companies and other financial institutions provide a credit line quote. Different types of calculators help us determine how much we will pay in monthly installments, the closing costs for selected loan products, and rate options.

Some companies that offer home equity line of credit calculators include Bank Rate, E-loan, Bank of America, Flagstar Bank, Ditech, Net Bank, Interest.com, and many more. Credit calculators, available online, help us calculate our credit lines at no cost. Completely free, they help us find the best deal.

Home Equity Line provides detailed information on Home Equity Line Of Credit, Home Equity Loan Line Of Credit, Home Equity Line Of Credit Rates, Home Equity Line Of Credit Calculator and more. Home Equity Line is affiliated with Home Equity Line Of Credit Rates.

Mortgage Terminology That Everyone Should Know

Writen by Connie Barker

When you are searching for or reading through any mortgage, there are some terms that are vitally important to how you perceive the paperwork. If you aren't familiar with all of the terms, then you might misunderstand what the document is saying and agree to something that you might not mean to. Here are some of the basic terms that you should understand before you sign anything:

1. Creditor – this is the party who is selling, or who holds the current deed to the property that you are buying. They legally own the property and have the legal right to sell it, or secure it by a mortgage. This is usually the mortgage company, bank, or other lending institution. The creditor is also listed as the "mortgagee" or "lender" in some cases.

2. Debtor – this is the party who is buying the property. If you are looking to purchase the property, then the debtor is you. This party must ensure that they are able to repay the mortgage to the creditor before the creditor will sign the mortgage.

3. Conveyance – this is the term for the legal exchange of the property from the creditor to the debtor.

4. Hypothecation – this is just a fancy term for the debt that is incurred by the mortgage. This is what the debtor has when they sign the mortgage and turn over the money to the seller of the property.

5. Redemption – this is when the mortgage, or debt, is paid in full.

6. Mortgage by demise – this is when the creditor assumes ownership of the property until the debt is paid in full. This form of mortgage was widely used in the past, but is seldom used today, and is even outlawed in some countries.

7. Mortgage by legal charge – this is the basic type of mortgage that is available to day. In this case, the debtor (or buyer) is legally the owner of the property, but the creditor retains enough rights over the property to ensure that they will be paid.

There are many more mortgage terms that you should be familiar with when searching for a mortgage. You should make sure that you are aware of other terms that you might need to know before you head into a mortgage broker's office to sign any paperwork. Hopefully these terms help to give you a little more of an idea of what you are signing when you do make it to that part in the process.

Connie Barker is the owner of several financial websites including those that deal with Learning Mortgage Terminology

Nontraditional Ways To Finding Your First Home Mortgage

Writen by Connie Barker

If you are in the market for a mortgage and this is your first time around this block, there are some great options available to you. No matter what your income, high or low, there are many programs out there to help you find the perfect mortgage and help you lock in that low interest rate. Here are some places that you can check with to find help with finding that perfect first mortgage:

Your state's housing authority. While you might think that this option is only for people who are looking into low-cost housing, you're wrong. The housing authority in each state offers many different programs and options to help first time home buyers get into that home they've always wanted and get out of the rental market. They offer programs on everything from low-cost housing to investment programs designed to help you save for your first mortgage's down payment. They also offer seminars and classes on how to manage your credit, how to apply for a first mortgage, how to manage your money when purchasing a home, and many other different areas that can be of great value to first time buyers. So, look into the programs that they offer before you head anywhere else. Chances are that you will find something that will help you out.

Local charities and human services departments. Again, you might think that these programs are only for lower income families, but they can offer some valuable services to first time home buyers. They might offer some of the same classes and seminars as the housing authority, but they will also be able to point you in the right direction for some of the government backed mortgages for first time buyers that are invaluable when you are searching for a mortgage broker. If you can go through these programs and ensure that you already have backing through them, it is so much easier to get a mortgage through a traditional lender for your home.

When you contact a mortgage company, ask them about special programs that they offer for first time buyers. Most mortgage companies offer incentives for first time buyers and will even help you to fill out the paperwork for some of the government programs that are available to you. So, before you just get down to filling out the paperwork, make sure that you ask about any programs that they know of or offer to help you.

Don't get discouraged or feel like you can't get help in finding a first mortgage that won't break your bank. There are too many programs out there that can help you with that first time home purchase.

Connie Barker is the owner of several financial websites including those which deal with First Home Mortgages

Mortgage Applications Down Last Week

Writen by Martin Lukac

Mortgage applications fell by 4.6% last week, according to the Mortgage Bankers Association.

When compared to one year ago, mortgage applications are down 31.3%. The purchase index has declined 6.2%, to 19% lower than last year at this time. The refinance index fell 1.6% last week, 46% lower than last year.

The decline in purchase applications has been steeper than the drop in U.S. home sales. New-home sales have fallen by 6% for the year. Existing home sales are down by 7%.

Refinancings made up 35% of total applications for last week, only up slightly from 34% the week earlier. Compared to the refinancing boom of 2003 when refinancings accounted for over 80% of applications, the refinancing market is down.

Adjustable-loans made up 29% of total applications.

Mortgage rates decreased to a four-week low last week. The average rate on a 30-year fixed-rate mortgage was 6.73%, down from 6.81%. The 15-year fixed-rate averaged 6.38%, down from 6.40 the week prior.

Adjustable-rate mortgages also saw declining interest rates. A one-year ARM fell to 6.28%, down from 6.41% the week prior.

The MBA data was released after an industry survey showed that the confidence of U.S. home builders fell in July to a 14-year low. Home builder confidence dropped three points to 39 for July, according to the National Association of Home Builders on Tuesday.

Martin Lukac represents http://www.RateEmpire.com and http://www.1AmericanFinancial.com, a finance web-company specializing in real estate and mortgage rates. We specialize in daily updates, mortgage news, rate predictions, mortgage rates and more. Find low home loan mortgage interest rates from hundreds of mortgage companies!

Balloon Mortgage Basics

Writen by Louie Latour

Balloon mortgages have a bad reputation these days; however, when used properly they can be an excellent short-term fix to a financial need. Here is how you can use a balloon mortgage to your advantage.

Balloon loans are a short-term mortgage that provides very low monthly payments and low interest rates for a specified period of time. At the end of the specified period of time the balance of the loan is due in full. This means you will have to refinance or pay off the entire loan balance. Most mortgages of this type come with terms ranging from five to seven years. These loans are repaid using an amortization schedule based on 30 years of repayment; while this results in a much lower payment, you will be required to pay more when the balloon payment comes due.

Balloon mortgages are ideal for real estate investors or those trying to sell a property when they have already purchased their new one. There is risk involved with this type of mortgage; if you are unable to sell or refinance the mortgage when the balloon payment is due you could lose your home.

Conversion/Reset Options

If you are considering a balloon mortgage there are ways to minimize your risk. Conversion and reset options allow you to change the terms of your mortgage when the balloon payment is due. Using this option could result in higher interest rates and finance charges.

Balloon mortgages are ideal for homeowners that:

• Plan on selling their properties when the balloon payment is due and need low monthly payments.

• Expect a large increase in their income and will be able to pay off the balloon payment when it becomes due.

Avoid Using a Balloon Mortgage:

• If you are planning on staying in your home and will not be able to refinance or pay off the balloon payment when it becomes due.

• If you do now want the risk associated with rising interest rates that could raise your monthly payment significantly when you are forced to refinance the loan.

To learn more about your mortgage options, including how to avoid common mistakes, register for a free mortgage guidebook.

To get your free mortgage guidebook visit RefiAdvisor.com using the link below.

Louie Latour specializes in showing homeowners how to avoid common mortgage mistakes and predatory lenders. For a free copy of "Mortgage Refinancing: What You Need to Know," which teaches strategies to find the best mortgage and save thousands of dollars in the process, visit Refiadvisor.com.

Claim your free guidebook today at: http://www.refiadvisor.com

Balloon Mortgage Refinance

Best Mortgage Rates In Florida

Writen by Marcus Peterson

Florida is a dreamland for a borrower as well as a moneylender. The borrower will get the best rates while the moneylender will get the best business. The real-estate boom means that mortgage companies are flourishing.

Mortgage rates in Florida are the best available. There are different types of mortgages that you can choose. The different types of mortgage loans available in Florida are: FHA (Federal Housing Administration) loans, consolidation loans, land loans, conventional loans, balloon loans and refinance mortgage loans.

The most popular mortgage type in Florida is the fixed-rate loan. Generally, these loans have a term of 15 or 30 years. The ARM (adjustable rate mortgage) loans are also gaining popularity. Other loan types are the hard equity loans, interest only loans, 100% cash out refinance, construction loans, commercial mortgage loans, farmers home loans, no PMI (Private Mortgage Insurance) loans, vacant land and acreage mortgage loans.

The other types include the commercial mortgage loan taken for the commercial purposes, and the interest-only loan. The commercial mortgages are similar to ordinary mortgage loans but they are easy to get and also have a uniform rate whether you take it for a small business or a big business.

Interest-only loans allow you to pay back only the interest for some time, usually up to five years, and then you can pay the principal along with the interest. Most of the interest-only mortgages have adjustable rates, so there is a chance of paying more interest rates in the future.

Florida has some of the lowest refinancing rates on the market. So if you wish to refinance your home mortgage, a Florida lender is the best option. You can look for the best rates on the Internet.

Florida Mortgage Rates provides detailed information on Florida Mortgage Rates, Florida Mortgage Rate Refinance, Florida Mortgage Interest Rates, Best Mortgage Rates In Florida and more. Florida Mortgage Rates is affiliated with Florida Interest Only Mortgages .

Mortgage Loan Annual Percentage Rate Apr And The Truth In Lending Act

Writen by Louie Latour

If you are in the market for a mortgage it is important to understand what the Annual Percentage Rate means and what you need to know in order to find the best mortgage. Here are tips to help you shop smartly for your mortgage loan.

Comparison shopping for a mortgage can be a difficult task. Mortgage lenders use one interest rate to calculate your monthly payment but advertise a different interest rate. What does it all mean anyhow? When you shop for a mortgage it is important to understand the difference in the two interest rates. Here is what you need to know.

Annual Percentage Rate

The Annual Percentage rate (APR) is calculated by factoring in interest charges and any other fees charged by mortgage lenders over the duration of the loan. APR is expressed as a yearly expense. This formula gives you a good (but not great) estimate of the cost of any given loan offer.

Truth in Lending

Legislation in the United States, "The Truth in Lending Act," requires mortgage lenders to post the Annual Percentage Rates for all of their loan offers. This legislation is intended to protect borrowers form deceitful lending practices.

APR is a Good Starting Point; However…

You will want to get the complete picture of all costs, including closing costs. Closing costs are listed on the "Good Faith Estimate" your lender is required to provide you after receiving your application. You will want to apply with more than one lender to get your hands on this Good Faith Estimate for all of the loan offers you are considering. You can learn more about finding the best mortgage loan and avoiding common mortgage mistakes by registering for a free mortgage guidebook.

To get your free mortgage guidebook visit RefiAdvisor.com using the link below.

Louie Latour specializes in showing homeowners how to avoid common mortgage mistakes and predatory lenders. For a free copy of "Mortgage Refinancing: What You Need to Know," which teaches strategies to find the best mortgage and save thousands of dollars in the process, visit Refiadvisor.com.

Claim your free guidebook today at: http://www.refiadvisor.com

Apex Mortgage Refinance

Get A Mortgage Loan With Bad Credit

Writen by Barry Davis

Homeowners run into financial trouble all the time and with a mortgage loan to pay, it can become a stressful situation. So what happens to the homeowners out there who have bad credit? Are they able to get help?

Just because your credit is bad does not mean that you are helpless. It is possible to get 100 percent mortgage financing with bad credit. The best part is that it's almost as easy as if your credit was spotless! There are many lenders out there who will offer 100 percent mortgage loans. If you are fortunate enough, you can find lenders who will give 103 percent mortgage loans so you can cover your closing costs.

There are a few different choices you have when trying to obtain one of these types of mortgage loans. A huge advantage with getting these loans is that you can get a home with a small downpayment, or even no downpayment at all. While this is a benefit to anyone buying a home, it's even more of a help to someone with bad credit. Just owning a home will help you out with credit if your payments are on time, plus you build equity while living in the home.

Through most lenders and circumstances, you probably won't have to pay for any type of private mortgage insurance. This insurance is really a protection for the lender. So if you had to pay this, you would be spending a lot of money on something that does not protect you.

When getting this mortgage loan, you can get an 80/20 arrangement. This means that you will take out one mortgage for 80 percent of the home. Then you will take out a second mortgage loan for the remaining 20 percent of the value. Occasionally you will find a lender that will finance your entire home value with a single mortgage. This is ideal as you will be paying less money in the long run.

Why isn't everyone doing this? Chances are, if you get this type of loan, you have higher interest rates. You also have to pay closing costs and any fees that are applicable from the lender. Don't forget that you are also purchasing a home with no equity. Prices of real estate constantly go up and down, and if they drop, there is a chance you might owe more than the value of your home.

So if your credit score is low but you are looking for a mortgage, there is hope at the end of the tunnel. A few quick searches online will give you some lenders to choose from. Make sure to research them all before making a decision. Always ask as many questions as possible to ensure that all of your needs and interests are being met.

Please visit the author's website for more information on Bad Credit Mortgage Loans and other financial information.

Adjustable Rate Mortgage

Writen by Michael Colucci

The adjustable rate mortgage is a type of loan which will be secured on a home which has an interest rate and monthly payment that will vary. The adjustable rate will transfer a portion of the interest rate from the creditor to the homeowner. The adjustable rate mortgage will often be used in situations where fixed rate loans are hard to acquire. While the borrower will be at an advantage if the interest rate falls, they will be at a disadvantage if it rises. In places like the United Kingdom, this is a very common type of mortgage, while it is not popular in other countries.

The adjustable rate mortgage is excellent for homeowners who only plan to live in their homes for about three years. The interest rate will typically be low for the first three to seven years, but will begin to fluctuate after this time. Like other mortgage options, this loan allows the homeowner to pay on the principle early, and they don't have to worry about penalties. When payments are made on the principle, it will help lower the total amount of the loan, and will reduce the time that is necessary to pay it off. Many homeowners choose to pay off the entire loan once the interest rate drops to a very low level, and this is called refinancing.

One of the disadvantages to adjustable rate mortgages is that they are often sold to people who are not experienced in dealing with them. These individuals will not pay back the loans within three to seven years, and will be subjected to fluctuating interest rates, which often rise substantially. In the US, some of these cases are tried as predatory loans. There are a number of things consumers can do to protect themselves from rising interest rates. A maximum interest rate cap can be set which will only allow interest rates to rise at a specific amount each year, or the interest rate can be locked in for a specific period of time. This will give the homeowner time to increase their income so that they can make larger payments on the principle.

The primary advantage of this loan is that it lowers the cost of borrowing money for the first few years. Homeowners will save money on monthly payments, and it is excellent for those who plan on moving into a new home within the first seven years. However, there are risks to this type of mortgage that must be understood. If the owner has problems making payments, or runs into a financial emergency, the rates will eventually rise, and the owner who cannot make payments may lose their home.

One term that you will hear lenders talking about is caps. The cap can be defined as a clause that will set the highest change possible for the interest rate of the loan. Homeowners can set up a cap on their mortgage, but they will need to make a request from the lender, as the cap may not be present on the rate sheets that are presented.

Michael Colucci is a writer for Adjustable Rate Mortgage which is part of the Knowledge Search network.

A Short History Of The Mortgage

Writen by Connie Barker

Most people know what a mortgage is, due to the fact that many people have one. But, do you know how the mortgage itself came about? Here is some basic history on the mortgage and where it came from:

In the beginning, a mortgage was just a conveyance of land for a fee. The buyer paid the seller a set rate, with no interest, and the seller would sign over the land to the buyer. There were usually conditions that had to be met before the land would be the property of the buyer, just like today, but usually it was based upon the assumption that the land would produce the money to pay back the seller. So, a mortgage was written due to this fact, and the mortgage stayed in effect no matter if the land produced or not.

But this old arrangement was very lopsided in that the seller of the property, or the lender who was holding the deed to the land, had absolute power over it and could do whatever they liked, which included selling it, not allowing payment, refusing payoff, and other issues which caused major problems for the buyer, who held no ground at all. With time, and blatant abuse of the mortgage system, the courts began to uphold more of the buyer's rights so that they had more to stand on when it came to owning their land. Eventually, they were allowed to demand the deed be free and clear upon the payoff of the property. There were still steps taken to ensure that the seller still had enough rights to keep their interest safe and make sure that their money was paid.

In the U.S., some states have created their own version of the mortgage, which is why they are referred to as "lien states". In England and Wales, the Law of Property Act of 1925 created a close parallel to the U.S.'s stance on mortgages. In 1934, mortgages began to be widely used again in the U.S., and the Federal Housing Administration helped to lower the down payments on homes to make it easier for buyers to purchase a home. During that time, around 40% of people in the United Sates owned homes. Now, that number is closer to 70%, due to the lower interest rates.

Although mortgages today have evolved into many different forms, they are still basically the same essential contract that they were in the beginning. Now, there are many more laws and regulations to help protect the buyer, seller, and creditor. There are also many different ways to lock in a low interest rate, you just need to talk to your mortgage broker about what the rates are now and what kinds of programs they offer to keep those interest rates low throughout the life of your loan.

Connie Barker is the owner of several financial websites including those that deal with Home Loans

Happy Birthday Buy To Let

Writen by Martyn Witt

This summer marks the Tenth anniversary of the buy-to-let mortgage. In July 1996 Mortgage Express (part of the Bradford & Bingley group) were the first to trial a dedicated buy-to-let mortgage product, and currently has a market share of approximately 20 per cent.

Buy-to-let mortgages evolved after new legislation within The Housing Act gave landlords more power to evict tenants who were not keeping up with their rent. In September 1996, the Association of Residential Letting Agents (ARLA) launched these loans via a panel of lenders, and hence the buy-to-let mortgage arrived in the UK property marketplace.

Relaxation of criteria reflects the realisation that buy-to-let is not as risky as lenders first thought. There are now around 70 lenders offering the buy-to-let product however albeit that around 50 per cent of all buy to let loans are written by the 6 members of the ARLA panel:Paragon, GMAC, Mortgage Express, Birmingham Midshires, NatWest and The Mortgage Business.

A risk analysis of buy-to-let versus residential shows residential loans have a higher risk profile. Latest figures from the Council of Mortgage Lenders showed that 0.68 per cent of buy-to-let mortgages had been in arrears for more than three months, compared with 0.97 per cent of normal loans.

High house prices and a growing population have meant that more people are now renting for longer, fuelling the demand for rental property. Amateur and novice landlords alike who have enjoyed success after dipping their toe into the water with one or two properties now have the confidence to further increase their portfolios.

Over the past decade the sector has enjoyed exceptional growth, to now represent approx. 8 per cent of total housing stock in the UK. The first mortgage deals were inflexible, commercial style products with high interest rates, up to 4 per cent over Bank of England base rate, and low loan to values up to a maximum of 75 per cent. Historically, rental cover had to equal 130 per cent of the mortgage to protect both the lender and the landlord against voids and the higher risk.

Landlords now benefit from an average loan to value of 85 per cent, and rental cover now averaging 125 per cent of the mortgage payment. Although lending is available to 90 per cent and rental cover at 100 per cent.

Recent research revealed that 83 per cent of landlords plan to increase or maintain their portfolios in the next six months, showing that the appetite for investment remains. The average property portfolio has increased from three per landlord in 1996 to seven this year.

Buy-to-let lending has grown from £3.1 billion in 1999 to £24.5 billion during 2005 and the market alone is worth over £73 billion and still growing. The fragility of world stock markets and the pensions crisis has ensured that more and more investors are turning to bricks and mortar to secure their future.

Whilst the increasing student, single person and migrant population will continue to support the rental sector, growth in rented households is predicted to be around 3 per cent over the next ten years. However the downside is for first time buyers, who are often vying for similar properties as buy-to-let investors, despite government assurances of support the growth in the buy to let market could well herald the decline of the first-time buyer.

With rising property prices and diminishing rental yields First Mortgage Trust have designed a buy-to-let rental calculator that takes some of the guesswork out of the initial process which can be found under the calculator section at their website.

Mortgage-Loan-UK is a premier resource for personal finance information along with an extensive collection of mortgage related calculators. The most recent addition being the buy to let calculator designed with rising property prices contra rental yields in mind and can be viewed at http://www.mortgage-loan-uk.net/buy_to_let_mortgage_calculator.htm. Also view our top ten buy to let products and our database with over 400 products updated daily, for more information, go to http://www.mortgage-loan-uk.net/buy_to_let.htm

The New 50 Year Mortgage

Writen by Joseph Kenny

Just a few short years ago, many people were amazed by the prospect of a 40 year mortgage. While 30 year mortgages had dominated the market for decades, the idea of being able to spread out your mortgage payments over forty years was just almost too much to comprehend. Now, there is the new 50 year mortgage and if the 40 year mortgage took the finance world by storm the 50 year mortgage is leaving many people speechless.

But, is a half century mortgage really a good idea? Well, there are certain some advantages to a 50 year mortgage. The most obvious advantage is that it allows a homeowner to spread out the cost of a home purchase and lower monthly mortgage payments. In housing markets where prices have skyrocketed this can be a major pro because it may make it available for individuals to purchase homes who might not have been able to do so otherwise.

Of course, there are also major disadvantages to consider as well. When considering a 50 year mortgage it is extremely important to consider your age at the time of the purchase. For example, let's say you're 30 at the time your purchase the home. With a 50 year mortgage, your home would not be paid off until you're 80. If you think you'll still be able to meet those monthly mortgage payments long after the age by which most people have retired, this might not be a bad option. On the other hand, if you're looking to be debt free by the time you retire, it's best to consider another option.

It is also important to remember that the longer you draw out the payments on your home purchase, the more you're paying in interest. This is why many critics of the 50 year mortgage are referring to them as interest-only loans. When you stop and actually look at the numbers, you'll see that with this type of mortgage you're paying a lot more in interest for your home that you would with any other type of home loan, even a 40 year mortgage. That's money you might be able to put toward something else, especially if you're looking ahead toward retirement.

On a $300,000 home purchase at the going interest rate the monthly payments would be in the neighborhood of $1,800 per month with a 30 year mortgage. Conversely, with a 50 year mortgage at the same interest rate you could drive down the price of the monthly mortgage payment by about $200 per month. Since, you'll be paying for the home 20 years longer with the 50 year mortgage than you would with the 30 year mortgage; however, you'll actually end up paying more than $300,000 more for the home over the course of the 50 year mortgage than with the 30 year mortgage.

If you went with the 30 year mortgage and the monthly payment that is $200 a month more, sure you'll spend $72,000 over the course of the next 30 years but then your home will be paid for in full. With the 50 year mortgage you'll still be responsible for that $1,600 a month house payment for the next 20 years.

Joseph Kenny writes for the Loans Store who can offer cheap loans to UK residents and secured loans if you have a poor credit history.

Visit Today: http://www.ukpersonalloanstore.co.uk

Mortgage Refinancing Refinance

Writen by George Baddour

When you think about mortgage refinancing, your main objective has to be saving on your monthly mortgage payment, so the most important reason to refinance is to get a lower interest rate.

If you have a high rate, it is important to follow up with interest rates news. A just drop of half or three quarters of a percentage point can lower your monthly payment. If you don't refinance, you'll be paying thousands of dollars after just couple of years.

If you know how long you plan to stay in the home, and if it is a short period like two years for example, it is wise to get an ARM loan that is usually lower than fix rate.

However before refinancing, you should ask yourself how much points will I pay to lower my monthly payment? If you are planning to stay a long time in the house, it might make sense to pay for points. But if you plan to move shortly, it will not be keen to refinance. For taking the right decision, it's worth to calculate it right!

Cash Out Loans are great for people who will benefit from the money in a reasonable way like paying college tuition, expensive surgery operations or investing in business, real estate or in any lucrative project. Interest rates are generally the same as what you pay on a mortgage where you don't take cash out, except of paying additional fees that vary depending on the LTV (Loan To Value).

In Interest Payment Only you have the option to pay only the interest on your loan or both the principle and the interest. Refinancing to an interest payment only is a good move as you can have some cash in your hand every single month, but Watch it! You'll still owe the mortgage company. However if that cash flow is spent on other investment, it will be a great step.

Some of these investments are: Increase your home value by home improvements, pay down high-interest credit card debt, save for your children college tuition and of course the choice is yours, you might be buying a newer economical car to save on gas and/or repair expenses.

Loan Consultant and Article Writer in Free Information.
For detailed mortgage information and tips, go to All About Mortgage.

Best Home Equity Loan Low Rate Home Equity Loans

Writen by L. Sampson

Home equity loans are a practical way to obtain extra cash for a multitude of expenses. For example, if you need to finance an extensive home improvement project or your child's college expense, these loans make is possible. There are many options for getting a home equity loan. For the most part, homeowners want to acquire the lowest rate. Here are a few tips to help you secure a low rate home equity loan.

Basics of Home Equity Loans

Home equity loans are very easy to acquire. Even with bad credit, many lenders will approve a home equity loan request. The concept surrounding these loans is simple. As your home increases in value, so does the equity. Once you've acquired enough equity, the opportunity to tap into this equity presents itself.

Home equity loans are essentially personal loans secured by your home. Unlike reverse mortgages, equity loans must be repaid. However, because the loan amount and terms are shorter, most homeowners can have the balance paid within two to ten years.

Compare Home Equity Lenders

You are not required to use your current mortgage lender for a home equity loan. If a good payment history has been created, some homeowners choose to apply with their existing lender. Still, it's beneficial to obtain quotes from other mortgage lenders. In some instances, new lenders offer lower rates.

Another factor when comparing lenders is choosing a lender to meet your needs. Individuals with high credit scores may benefit from acquiring a loan with a traditional mortgage company. On the other hand, if your credit is less than perfect, high risk or sub prime lender may present better offers.

Get Knowledgeable about Credit

If you want a low rate home equity loan, it helps to have a high credit score. When determining mortgage rates, lenders refer to credit reports and scores. Homeowners with a high credit rating are good candidates for prime rates.

Moreover, to obtain your desired loan amount, it helps to reduce your debt to income ratio. Even if your home's equity is $75,000, the lender may not approve you for the full amount. If undertaking a large home improvement project, or you need a large sum of money for another purpose, consider reducing debts before applying for a home equity loan.

Go to http://www.homeequitywise.com for help finding the Best Home Equity Loan Interest Rate.

Mortgage Loan Comparison Shopping

Writen by Louie Latour

Finding mortgage loan offers is easy; however, choosing the best loan without overpaying for the financing is difficult. Most homeowners concentrate only on the interest rate, if you do this you'll overlook other negotiable expenses like closing costs.

Here are tips to help you determine which loan offer is best for you.

Compare All Fees, Not Just Interest Rates

When shopping for a mortgage loan the Annual Percentage Rate is a helpful for comparing loan offers; however, it does not provide a breakdown of all costs associated with the loan. You want an accurate picture of all costs associated with the mortgage offers you consider; this breakdown of expenses is found on the Good Faith Estimate that lenders are required to provide you. Make sure you understand all of the fees on this estimate and ask your lender about any other fees like prepayment penalties that are not listed on the Good Faith Estimate. If the lender is hesitant to provide you this information or stalls, find another mortgage lender.

Shop Based on Your Circumstances

If you have special circumstances you may need to shop from lenders that specialize in mortgages suited for you. Examples of special circumstances include borrowers with poor credit or homeowners in need of jumbo mortgage loans. If you are a homeowner with special borrowing needs, consider using a mortgage broker to find loan offers tailored for your situation.

Customer Service is Important; However…

When you evaluate loan offers you should be mindful of the customer service you receive; however, base your decision on the mortgage terms and interest rates rather then the service. The reason for this is that mortgage lenders regularly buy and sell mortgage loans so there is no guarantee that the mortgage lender you finance your home with will be your lender in five years. If you take less favorable terms and conditions because you prefer to deal with a certain finance company you could be disappointed when that lender sells your mortgage to another lender.

Shop from a Variety of Mortgage Lenders

Shopping from a variety of mortgage lenders improves your chances of finding the best mortgage for your situation. A mortgage broker may be able to provide loan options you were not aware of that can help meet your financial goals. You should be careful when using a mortgage broker as it is easy to overpay for financing when you have to pay a hidden broker commission on top of your mortgage fees and closing costs. Learn more about your mortgage options including how to avoid common mistakes by registering for a free mortgage guidebook.

To get your free mortgage guidebook visit RefiAdvisor.com using the link below.

Louie Latour specializes in showing homeowners how to avoid common mortgage mistakes and predatory lenders. For a free copy of "Mortgage Refinancing: What You Need to Know," which teaches strategies to find the best mortgage and save thousands of dollars in the process, visit Refiadvisor.com.

Claim your free guidebook today at: http://www.refiadvisor.com

no doc refinancing

Refinancing Mortgage Loans

Writen by Connie Barker

Refinancing your home can be a huge decision, especially if you have been invested in that home for a long time. Unfortunately there are times when it becomes necessary to refinance your home and it is during those times that you want to make sure that you are getting the best deal possible. Today's homeowners who are looking to refinance have a tool that many didn't have ten years ago, the internet.

Applying for a refinance mortgage online can offer some great benefits. The one thing that the internet has provided for instance is anonymity. You can ask questions for as long as you want without committing to telling a mortgage broker or a lender your name. Everyone knows that often when you give up your personal information to a potential lender they are likely to continue contacting you until you are frustrated. Being able to do your initial research online eliminates this.

Another plus to being able to seek out refinancing online is that you can do it from the comfort of your own home. One can survey interest rates, compare companies and seek out the best deal all the while being comfortable in their own home. This allows the homeowner to take time with their research and thus hopefully finding an even better deal.

It is the opinion of many experts in the area of refinancing online that the fact that this can be done also offers the homeowner the chance to control more of the process. Too often one of the main complaints the homeowner has on the other end of the process is that they didn't have all of their questions answered. Being able to conduct your own research online will allow the homeowner to be in total control of the process of researching and if they have a question they can find the answer instead of trusting that a mortgage broker will do it for them.

Finally, homeowners can do all of their paperwork online. This is a very convenient point on the list of reasons why being able to refinance online is a great new tool. Many people today just don't have time to stop and go to the bank or lender and sit for hours on end until the process is through. Being able to apply online affords homeowners the opportunity to do the paperwork from home, send it in and then waiting until the final part of the process to actually visit the lender in person. In some cases everything can be done over the internet so that the homeowner doesn't have to visit a lender at all. This, in fact, is becoming more of the norm for those who turn to the internet for refinancing.

So if you are looking to refinance your home, consider taking on the process online, it may save you time and money.

Connie Barker is the owner of several financial websites including those that deal with Refinancing Mortgage Loans

Home Equity Loans Online How To Choose The Best Lender

Writen by L. Sampson

Home Equity Loans can provide home owners with quick cash for remodeling, emergencies or debt consolidation. The interest rate is relatively low, and, in many cases, is tax deductible, making them an inexpensive way to borrow money. And finding a lender online can make the process even easier. Here's how to choose the best online Home Equity lender:

SEARCH WITH A BROKER.

Some online services allow you to compare rates and quotes from a variety of lenders. This is a simple way to "shop around" without doing a lot of research. By entering some basic criteria--such as the loan amount and the current value of your home--you'll get almost instant quotes from three, four or even more different Home Equity lenders. However, these services may partner with particular banks or financing companies, so they should be your first step, but not your last. Do an Internet search, too, to find other lenders for comparison.

COMPARE EVERYTHING.

Most folks just look at the interest rate when comparing loan options, but it's also a good idea to compare fees, too. Extra charges could tack on thousands to your costs, and they can vary dramatically. Although online lenders often offer low-cost loans because of their low overhead, you should still carefully review all the paperwork. If you're looking for the least expensive loan, it's important to research the additional fees you must pay.

CHECK THEM OUT.

Check with local agencies and the Better Business Bureau to ensure the lender doesn't have complaints or lawsuits filed against them. Most scammers and banks that offer poor service or high costs will have suffered some type of bad publicity. A well-known lender with a long history and good reputation is your best bet for getting a fair deal and great customer service.

Searching for a Home Equity lender online can simplify the process and help you get your cash faster. But there are lots of scammers online, too, so it's always best to do your research carefully before choosing a lender.

Go to http://www.homeequitywise.com for help finding the best Home Equity Loan Lenders online.