Payday Loan Fairy

If you are talking about the one page web sites where you put in a little bit of information, don't do it. If you are talking about a site where you have a lot of information available for your review and reading, perhaps yes.

As a Principal Mortgage Broker of a Mortgage Broker Business in Florida, I have opted not to advertise with most web sites who provide rates because the rates are fictitious (I am talking about those big name companies you see every day on the web). I have often seen where the lender or broker would have to pay you to give you the rate that is provided online! I choose not to play these games...but I can sleep at night and my clients come back to us.

If you feel comfortable with the web site, they provide a wealth of information, and/or you speak with someone who you feel comfortable with, then I'd say fill out their online mortgage application. After wards, within 3 days, they should send you a Good Faith Estimate (GFE) with the rate and terms along with all the costs you can expect to pay (Line Items with numbers in the 800 range).

VERY IMPORTANT, don't let everyone pull your credit report!!!!!!!! These online applications often have - in small print- that you are giving permission to pull your credit. Have your credit pulled one time and tell everyone what is on it when you shop. Pulling your credit does pull your scores down (see Credit on the sites below for more info).

Be careful. Do some research. And listen to your thoughts and emotions. If it doesn't feel right or sounds too good, it probably is no good.

2006-10-16 13:44:07 by ladyinblue

I found a mortgage company online that says they can help people with low credit scores and low down payments to buy a house, they sent me an application but the thing is it says i have to pay $69 to submit the application, is this a normal practice? am i just out this money if they end up not being able to approve me for the home loan? i just wanna make sure this isnt some kind of scam, it seems like a reputable company but im not sure, any thoughts?

I work at a mortgage company and there is no charge to apply for a mortgage. But if you're dealing with a company that help finance people with low credit scores it is certainly a possibility that there is an application fee. There are cost associated with pulling credit reports and the bank will charge that to the customer. If you have bad credit it's a strong possibility you may be denied then the bank will lose that money, so in order to avoid a loss, they charge the fee to you. Most of the time it's non-refundable.

2007-06-07 12:06:46 by domsmom701

Also where can I go to find this information without having to fill out a online loan application?

My house is worth $600000, I have $120000 in equity, I want to take out a 2nd mortgage for $55,000. I'd like to know the rates currently February 15, 2007.

Thanks

Assuming that you have good credit the rate will depend on the type of 2nd your looking for and your state.

If you're interested in a Home Equity Line of Credit (HELOC) then you're looking at Prime (8.25%) minimum. At that loan amount figure a 1/2 point add to the margin +/- so somewhere around 8.75% interest only.

If you're talking about a fixed 2nd then you are most likely in the 7.625% or slightly higher.

Closing costs on a 2nd are typically ALOT lower than a new 1st (refinance) since title and escrow is cheeper. Depending on the lender you go with many have a low or no closing cost option but will have a small early closure fee to reimburse them for their 3rd party costs of title and escrow. This is usually in the $500-$750 range if you close with in 3 years of opening the line.

I agree with the above poster however. You should look at what the payment with you existing 1st and a new 2nd will be and also find out what a cash out refinance will put you at. You may find that with a new refinance that you will pay yourself back for the closing costs and reap 20-25 years of overall lower payments. Really check this out... it can save you thousands per year in interest payments. You can go to my companies site for a mortgage calculator. Use this to see what your payments could be either way. No application required.

If you would to discuss your scenario in detail, drop me a line.

Kevin 866-562-6838 x 106
kruorock@firstratelending.com

2007-02-15 21:28:10 by tenped