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The Drawbacks of a 10 – 1 Arm Mortgage
A 10 1 ARM mortgage is a mortgage that has a fixed interest rate for the first 10 years, and then an adjustable interest rate for the next 1 year. After the first 10 years, the interest rate can be adjusted once per year. The main advantage of a 10 1 ARM mortgage is that…
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The Drawbacks of a First Mortgage
A first mortgage is the primary loan that pays for the purchase of a home. It is typically the largest and most expensive loan that a person will take out in their lifetime. While a first mortgage can be a great way to finance the purchase of a home, there are some drawbacks to consider…
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The Drawbacks Of Having A VOE In Mortgage
Introduction In the mortgage industry, a VOE is a Verification of Employment. This is when a lender contacts the borrower’s employer to verify employment and income. While this may seem like a routine part of the process, there are actually some drawbacks to having a VOE in your mortgage. Here are a few things to…
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The Drawbacks of Having Multiple People on a Mortgage
The Challenges of Having Multiple People on a Mortgage You might think that having multiple people on a mortgage would make the monthly payments more manageable. However, there can be some challenges that come along with it. For one, it can be difficult to qualify for a mortgage if you have multiple people on it.…
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The Effect of Selling Loans on The Mortgage Industry
Mortgage companies may sell loans for a variety of reasons. Some companies may do it to free up space on their balance sheet so they can make more loans. Others may do it to raise capital. Some companies may do it because they’re struggling and need to raise cash quickly. Still, others may do it…
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The Essentials For Completing a Mortgage Loan Application
Introduction There are a few basic requirements that you’ll need to meet in order to complete a mortgage loan application. Here’s an overview of what you’ll need: 1. Personal information: You’ll need to provide some basic personal information, including your name, address, date of birth, social security number, and contact information. 2. Income and employment…
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The History of Mortgage Rates
A mortgage rate is the rate of interest charged on a mortgage. It is determined by the lender, which could be a bank, credit union, or building society. The mortgage rate can be either fixed or variable (floating). If it is a fixed rate mortgage, the interest rate will stay the same for the entire…
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The History of Value Analysis
What is Value Analysis? Value analysis is a systematic appraisal of the design, quality, and performance of a product to improve its value. The concept was first developed by Dr. Lawrence D. Miles in the 1940s as a means to improve the quality of manufactured products. Dr. Miles identified three key areas of focus for…
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The Impact Of Rising Interest Rates On Mortgage Borrowers
Introduction It’s no secret that mortgage lenders have been feeling the heat as of late, thanks in large part to the recent string of interest rate hikes. The latest data from the Mortgage Bankers Association (MBA) shows that delinquency rates on home loans are on the rise, and foreclosures are also picking up. So what’s…
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The Implications Of A Mortgage Note Being Classified As A Cash Receipt
Cash Receipts Received From The Issuance of a Mortgage Notes Payable Would be Classified as a Cash Receipt When a company issues a mortgage note, the cash received from the issuance of the note is classified as a cash receipt. This is because the company has received cash in exchange for the note. The mortgage…