01 Nov 2013
By Mark Feder
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Recent Government Activity And Its Effect On Mortgage Interest Rates

Mortgage Tips
Mortgage rates typically are tied more to the yields on the 10-year Treasury note more than any other indicator. With the government in flux as the shutdown happened and ended, mortgage rates are also changing. Overall, mortgage rates have decreased because of a lack of confidence in the government's ability to get its finances under control. Although rates spiked in September when the Fed hinted that they would not be purchasing as many bonds, they quickly released an announcement that they would actually be maintaining their current purchasing habits. The Time Is Ripe For Homeowners Since then, mortgage interest rates…
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02 Oct 2013
By Mark Feder
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How Does An Interest-Only Mortgage Work?

Mortgage Tips
When you have been researching your different options for a mortgage on your home, you might have heard of an "Interest-Only Mortgage". What exactly does this type of mortgage mean and how does it work? Usually when you take out a loan, you must pay back the capital debt (the amount you borrowed) and the interest on that debt. An interest-only mortgage offers a cheaper option for purchasing a property, because you will only be making payments on the interest and not the capital. Compared to a repayment style mortgage where you are paying down the principle of the loan,…
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01 Oct 2013
By Mark Feder
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Don’t Let Confusion With Mortgage Jargon Cost You

Mortgage Tips
A recent study of US and UK home buyers, conducted by the London based Nationwide Building Society, found that more than 40% of people buying homes were confused by the jargon that lenders used to describe mortgages. When it comes to taking out a mortgage on your home, could confusing mortgage jargon be costing you money and causing you to make ill-informed choices? According to the study, only 31% of home buyers understood what the term "LTV" meant, an acronym that stands for "loan to value" and describes the ration between the amount of the mortgage and the value of…
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13 Sep 2013
By Mark Feder
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What You Need To Know About Mortgage Insurance

Mortgage Tips
If you are on the verge of buying real estate, you've probably heard the term Private Mortgage Insurance. Mortgage professionals talk about it a great deal, but you may be asking, "What is it exactly? And why should I care?" Private Mortgage Insurance Defined PMI is required by lenders if the down payment of a purchase is less than 20 percent of the home's value. It protects the lender if the borrower defaults on the loan. It also makes the lender more apt to loan, even if the down payment is as low as 3%, because in the long run,…
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