RE/MAX Executive Realty



Posted by RE/MAX Executive Realty on 6/6/2021

Image by Nattanan Kanchanaprat from Pixabay

Owning a home can be an amazing experience. But interest from your mortgage accumulates over time, leaving you to seemingly pay an arm and a leg to finance your home. But while you may think that paying off your mortgage early is a great idea, that isn’t always the case.

You May Have Other Debt

Paying off your mortgage early can save you on interest costs, but you more than likely have other debt to deal with. If you have other debts — like car loans, student loans or credit card debt — then these should be paid off first. Try to focus on your debts with higher interest rates; these tend to be associated with credit cards. After you’ve paid those debts off, then moving on to pay off your mortgage could be a good choice.

You Don’t Want to Go Broke

Paying off your mortgage may sound great and all, but you must consider all of your expenses, including possible emergencies. Saving on interest is very tempting, but it shouldn’t come at the expense of your emergency fund. You never know when something serious will happen, so do your best to set aside some cash. If you have hefty savings and all of your expenses are accounted for every month, then you can move on to paying off your mortgage early.

Consider Your Future

Many people try to pay as much as they can towards their mortgage, only to find out that they used up all of their money. While they have some big expenses and big life changes that cost money, now they have to save up in order to cover those costs. That being said, it’s best to think about your future before paying more towards your mortgage. Are you planning on having kids? Thinking of going back to school? With how frequent life changes, you never know when you could use money down the road. While it might seem like a great plan to throw money at your mortgage payment, think about your life goals and how your finances fit in that equation.

It Can Be Beneficial

Although we’ve made some points above that suggest that you shouldn’t pay off your mortgage early, it can still be very beneficial to do so. Let’s say your household is doing very well with finances and money is pouring in quickly. If your other debts and finances are taken care of, then paying off your mortgage early can help you save on interest; the larger amount you pay, the more you’ll save on interest. However, this can be a tough choice. Be sure to consider the points mentioned above before paying this loan off early.





Posted by RE/MAX Executive Realty on 12/27/2020

Image by annca from Pixabay

You’ve finally found the perfect home. It’s got the number of bedrooms you wanted, a spacious kitchen, updated bathrooms, and even a beautiful vegetable garden out back. Now comes the tricky part—how to pay for it.

Numerous home buyers find financing their mortgages through a credit union to be a good option. According to Magnify Money, approximately nine percent of mortgages are held by credit unions. These non-profit organizations essentially operate like banks, but are more laid back, less aggressive, and easy to work with. Here are some of the top benefits you’ll find when financing your mortgage through a credit union.

Experience a Simplified Lending Process

As a part of their philosophy, credit unions put a higher priority on customer service than they do profits. They don’t have to answer to external stockholders and put priority on profits the way traditional for-profit banks do. As a result, credit unions are equipped to offer easier loan approvals and decent mortgage rates. Even if you have a lower credit score or have saved a smaller down payment than traditionally required, you can usually find a credit union willing to work with you.

Enjoy Lower Fees & Put Money Back into Your Pocket

Credit unions are known to offer fewer origination fees and lower processing costs because they don’t have the same requirements banks do. For instance, credit unions don’t have to pay federal taxes and need to break every year due to their non-profit status. These savings are usually passed onto their members.

Build a Personal Relationship with Lender

Many mortgage seekers find they enjoy working with an entity that strives to treat them as a person, not as a distant account number. Since many credit unions are smaller entities than their for-profit banking counterparts, they typically offer a “small-town” feel, even if they are a large credit union. This is because their memberships are limited to specific affiliations.

Also, a consideration you might find of value is the fact credit unions don’t typically sell out to other entities. Chances are you’ll have one lender to deal with through the lifetime of your mortgage (although not a 100% guarantee). If you borrow from a bank, chances increase for your loan to change hands many times over the years.

There are many benefits to knowing who services your loan. If a problem or other issue arises, you’ll almost always know who you can turn to and where to send your payment.

How to Join a Credit Union

Ideally, you’ll want to be preapproved before starting your home search so you know how much you qualify for and don’t waste time looking at homes out of your price range—this is no matter what lender you ultimately decide to take out a mortgage with. But if you’re looking for low maintenance and high- quality lenders, a credit union might suit your needs.

If you’re not sure you can join one, be sure to consider all of your personal and professional affiliations, be they your college alumni, employer, HOA or church, to name a few. You can find out which ones you are eligible to join by checking your affiliations at CUlookup.com.




Tags: mortgage   home loans   Financing  
Categories: Uncategorized  


Posted by RE/MAX Executive Realty on 12/9/2018

Obtaining a home loan is a must for most homebuyers. However, assessing a wide range of home loan options and making the best-possible decision can be difficult, particularly for a buyer who is evaluating these options for the first time.

Lucky for you, we're here to help you perform a deep analysis of home loan options and make an informed decision.

Now, let's take a look at three tips to help you evaluate different home loan options.

1. Find Out How a Home Loan Works

The home loans that one lender offers may differ from the options provided by another lender. As such, you'll want to learn the ins and outs of each available home loan to guide your decision-making process.

Understanding how a home loan works may make it easy for you to discover your dream house too.

For example, if you get pre-approved for a home loan, you can enter the real estate market with a budget in hand. You then can use this amount to narrow your house search, which may lead to a fast, seamless homebuying experience.

2. Understand All of the Costs

The total amount that you pay each month under the terms of a home loan agreement may vary based on a variety of factors. Fortunately, if you understand all of the costs associated with a home loan, you may be able to find a loan that matches your finances.

Review all of the paperwork associated with a home loan as well. That way, you can find out the length of a home loan agreement and other relevant home loan information and proceed accordingly.

3. Get Expert Home Loan Insights

There is no such thing as "bad" questions about home loans. And if you're uncertain about how to proceed with a home loan, you can always receive expert guidance from a lender.

Oftentimes, lenders employ friendly, knowledgeable home loan specialists who can respond to your concerns and questions. If you meet with these specialists, you can get comprehensive home loan insights that you may struggle to obtain elsewhere.

As you get ready to pursue a home loan, you also may want to consult with a real estate agent. This housing market professional can help you get in touch with the best lenders in your area and secure a home loan in no time at all.

Of course, let's not forget about the assistance that a real estate agent can provide throughout the homebuying journey, either.

A real estate agent will serve as your guide to buying a house. He or she will help you hone your home search, explore top-notch residences in your city or town and find a residence that matches your expectations. Plus, a real estate agent will even negotiate with a seller's agent on your behalf to help you get the best price on your dream house.

Ready to make your homeownership dream come true? Use the aforementioned tips, and you can secure a home loan and take the next step toward purchasing your ideal residence.




Categories: Uncategorized  


Posted by RE/MAX Executive Realty on 2/5/2017

If you have seen your latest credit score and feel like youíre less than financially fit, donít fret. Thereís plenty of reasons why people end up with bad credit. Thereís also plenty of things that you can do to amend and work with your bad credit. 


The Factors


Mortgage lenders look at a variety of factors when it comes to your credit and determining if youíre ready for a home loan. These include:


  • Age of credit
  • Payment history
  • Amount of credit debt


If you have opened new accounts frequently or ran up credit card balances without paying them down, these behaviors could negatively affect your credit score. 


Changing Your Habits


Just changing one of these bad habits can help your credit score in a positive way. This also means that a bad credit score doesnít equal not being able to get a home loan. Your home loan may just come at a higher price. 


What If Youíre Turned Down For A Loan?


You can ask your lender why youíre unable to get a loan. Some possible reasons that youíre getting rejected:


  • Missed credit card payments
  • Failure to pay a loan
  • Bankruptcy
  • Overdue taxes
  • Seeking a loan outside of what you can afford
  • Legal judgements
  • Collection agencies


If you have defaulted on a loan, missed payments or filed for bankruptcy, chances are that youíll have trouble securing a home loan. Other factors that can affect your credit score include negative legal judgements that have affected your credit, or having a collection agency after you. 


How To Fix It


If you have bad credit, itís not the end of the world. Itís possible that lenders can give you a loan if your credit score isnít too low. You could, however, face higher interest rates as a penalty for a low credit score. This is due to the fact that youíre more likely to default on a loan based on your risk factors. 


You can improve your credit score by:


Keeping existing accounts open

Refraining from opening new accounts

Trying not to approach too many lenders to find the right interest rate. Every time you get a credit check, it affects your score. 


Finding A Loan


Signs of bad credit can take awhile to disappear from your credit report. Sometimes, you have the opportunity to explain to lenders what these factors are in detail so you can secure the loan. There are even mortgage companies that assist you through the loan process to give you a boost in getting the loan.


FHA Loans


FHA loans are a great program option especially for people with bad credit. These loans offer low down payment options and have lower credit score standards. FHA loans have been helping people to secure their first homes since 1934.


If you have bad credit, the dream of home ownership is still possible. If youíre early in the process, get to work and keep that credit score up so that when you head out to apply for a loan, youíll be able to secure it.         




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