A mortgage is a loan that is secured by real property (land, buildings).

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How do I know if refinance is beneficial enough to me?

I have been contacted because mortgage rate dropped recently. But to what extent it will be beneficial to me to do re-finance.
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187 views

Buying a house 50/50

I'm thinking on buying a house with my Business Partner. I would be living on it. We are thinking on going 50/50 on the loan and down payment and hoa and repairs . Since I would be living there we ...
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173 views

Why should I care about my current mortgage payment's breakdown into principal and interest?

Mortgage payments tables list the amount that goes towards the principal and towards the interest. But since the bank is going to get whatever it is going to get, why should I care about this ...
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5answers
139 views

Mortgage vs. Loan?

I understand the math behind how banks calculate the interest to principal ratio throughout the amortization period. I want to know why banks want you to pay as much interest as possible first? In a ...
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1answer
56 views

Selling stock for mortgage downpayment

I'm planning to buy a house, and the downpayment would come from the funds I'd get from selling some stock. Can I apply for the mortgage pre-approval and show the bank my stocks instead of cash? Or ...
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1answer
104 views

Mortgage for a house on my own land doesn't make sense!

I really don't understand this. Let's say I have a land worth of $30k. I want to build a house for $60k. The bank will use $30k as a downpayment from my land value and give me $60k to build a house ...
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41 views

Buying a home-Make as large a downpayment as possible, or keep cash to invest

I'm trying to decide whether to put a full 20% down on a new home (primary residence), which would eat up most of my cash from sale of current home, or do something like 10% down, 80% conventional ...
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1answer
41 views

How much CMHC fee do I need to pay if I cannot put 20% down on a new home

I am trying to calculate how much CMHC fee I will need to pay if I can only put in 10% downpayment on a new home as opposed to 20%. So as per this calculator: It shows:8640. My question is: is the ...
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1answer
144 views

True cost of a mortgage when considering inflation

For the purposes of this question, let's assume the following: Inflation is and will be a steady 2% I am in the 30% tax bracket and there is a home mortgage interest deduction I have a 30-year fixed ...
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0answers
17 views

What is “Last escrow analysis date”?

I am looking at the 'Escrow Details' on my mortgage and the "Last escrow analysis date" is listed as as 05/01/15. Obviously that date has yet to come. So what does this date represent?
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1answer
115 views

Buy to Let - Daughter-in-Law

My son and daughter-in-law are currently separated. They have 2 kids, and I have a great relationship with my daughter-in-law. I have had a relative die, and she is paying over the odds for rent, so I ...
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1answer
113 views

What is the pitfall of using the Smith maneuver

What are the pitfalls of the Smith maneuver? It seems too good to be true and almost makes a case against fully paying down your mortgage :) What is the catch?
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1answer
34 views

Trading an FHA loan to bank for an REO

I hope this is the right location for this question. I couldn't find a section that better fit this question. If this is not the right place please let me know. I got a house 3 years back using an ...
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1answer
91 views

What happens if the appraisal is different than the sale price?

As I understand: The purpose of a down payment is to minimize risk to the lender. For a traditional mortgage, lenders are willing to lend up to 80% of the value of the house. The appraisal ...
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1answer
49 views

Does it affect our credit score if we refinance one mortgage and apply for a new one within a short span?

We're considering moving from our current home by purchasing a new one prior to selling the old one. However, we refinanced the loan on our current home less than a full year ago (approx 9 months ...
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1answer
58 views

VA Mortgage Refinance Question

We have paid $400.00 for this refinance with the local bank we continually have our checking account and mortgage with. We have been waiting for the weather to be above freezing in order for our ...
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1answer
65 views

Extracting the value of a rate increase

Say I enter in a 30 year fixed rate mortgage at 3% interest a year (in the US). 5 years after, the rates climb to 10% a year for a 25 year mortgage. Assuming the value of the home stayed constant, ...
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3answers
117 views

new car loan vs use mortgage loan to pay for car

We have a mortgage loan for 3.5% and just got a car loan for 1.49%. My husband thinks we should pay off the car with our mortgage loan instead of using the car loan because we can claim mortgage ...
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4answers
2k views

After hitting 80% LTV, my mortgage lender refuses to remove PMI. Any recourse?

I recently refinanced my home. At the time based on the appraisal vs. amortization I found I would be stuck with PMI (private mortgage insurance) for about 9 months. I've paid extra on the mortgage ...
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3answers
77 views

Investment property refinance following a low appraisal?

Before I met my wife, I bought a house in April 2007, using a mortgage from my credit union. In December 2011 I refinanced this mortgage into a 4.625% fixed conforming 25-year mortgage with a Lender. ...
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2answers
128 views

Reporting a debt with $0 minimum payment on loan application

I am planning to buy a house later this year, and will be applying for a mortgage. I'm aware that part of the application will be reporting the amount I pay now for other outstanding loans (student ...
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0answers
38 views

Accepting a deposit into my mortgage from a third party and paying them interest

I'm a net borrower with a variable interest rate mortgage secured against my house. Let's say there is $200,000 owing and I'm paying 5% interest to the bank. It has a redraw at-will facility and I'm ...
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1answer
43 views

Loan Application in South Dakota

A co-worker of mine is going in to apply for a loan and start the closing documents for their home, and from the sounds of it they are not going through a Realtor because they are already living in ...
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2answers
138 views

How do you choose which mortgage structure is appropriate when buying a home?

My lease is up in 1 month, and I'm looking to buy a home in the next 4 weeks. I have narrowed it down to two that I am interested in. I'm wondering about the type of mortgage I should get. Which ...
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1answer
215 views

Mortgage interest deduction isn't affecting total income tax refund/owed?

I am reporting 2014 tax with TaxAct software. One question is about mortgage interest deduction. We bought the house(marriage joint) on 1998. It is our main and only residence. The rough mortgage ...
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0answers
177 views

Can I buy my wife out of our house without affecting her benefits?

My wife and I separated and she moved out of our family home. She has not worked for the duration of our marriage as I had a good income and she looked after our young children. She has chosen a life ...
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3answers
191 views

Does an LLC Protect me From Owing a Mortgage?

Let's say myself and my two peers, Adam and Ryan, start a limited liability company together, called Adryda LLC. We each put in $10,000 and take 33% equity. Later, Adryda buys a property with the ...
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2answers
460 views

Fixed versus adjustable rate mortgages for short duration ownership

I am planning on buy a house in the US. I expect to use the own the home as my primary residence for 5 years and then use it as a rental property. I think that means I will have to refinance after 5 ...
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1answer
61 views

Best way to make most of savings with ISA and Offset mortgage

I currently have an offset mortgage and also ISA stocks and shares account. The mortgage is only small as the property wasn't expensive and I placed a large deposit (40% of property) down. I have ...
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3answers
272 views

Paying over the minimum mortgage payment

I have a mortgage with Wells Fargo which I just obtained a few months ago for a new home. Due to unexpected circumstances, I am no longer planning on staying in the home as long as I thought I would. ...
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1answer
84 views

Should I use my primary home or the investment property for collateral on the mortage when buying an investment property?

I am buying a rental house in ocean city, MD. My primary home is PA. I do not know whether it is better for me to take mortgage on my primary house or part time rental house? Which give me more tax ...
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3answers
112 views

How to figure out the life time saving of refinancing?

I'm looking at refinancing my $290,000 mortgage (present is 30 yr fix, and with 26 yrs left) from 5.0% to 3.875% with no fees. I'm trying to figure out the lifetime savings. I believe this change in ...
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3answers
220 views

Does this Budget Make Sense for a New Condo?

I’ve been obsessively reading for the past week or two about how much of your gross/net income to be spending on Mortgage/Insurance/Taxes/HOA. More conservative estimates were at 25% of your gross ...
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1answer
150 views

What I can do to offset a bad fixed-rate mortgage?

My mortgage came up for renewal right at the time in 2009 when UK interest rates hit rock bottom. This was unprecidented, and most financial advice was to take out a fixed-rate mortgage. So I perhaps ...
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2answers
62 views

Evaluating Mortgage Refinance Loan Offers - Short Time Frame

I currently have a 4.5% mortgage with a balance of $247,000, and am going to refinance. However, my situation is a little atypical in that I don't plan to live in the house more than 3-4 more years. ...
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3answers
134 views

Issue with mortgage valuation on new build property

I have a friend who recently put a deposit down on a new-build flat in a large new development in Scotland, it's priced at £150,000. He's paid the reservation fee, and been approved for the mortgage ...
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9answers
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15 year mortgage vs 30 year paid off in 15

I've found similar questions, but they all seem to focus on a preexisting 30 year mortgage and whether or not it makes sense to refinance to a 15. My question is a bit different. I have not yet ...
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1answer
77 views

Mortgage property

My Husband and I bought a mortgage house in 50/50 partnership, I am not working and he is paying all costs. However he works out of town and decided to stay there. But he is still paying full ...
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1answer
174 views

Can having a co-signer on a house loan reduce the down payment required?

I have worked as a freelance web designer for 3 years before taking a salary job at a company 6 months ago. I have enough money saved up and make enough at this job to own a house but I doubt I will ...
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3answers
121 views

What is a tranche?

I am studying Collateralized Mortgage Obligations (CMOs) - My understanding is that the product consists of mortgages which have real estate as collateral. The mortgages are bundled in batches ...
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1answer
81 views

FAFSA, internship and a new house

I completed 2 internship this year and my total income was roughly 24K. I had 7k or so withheld. I wrote checks to my parents:5k to contribute with the minimum to receive a mortgage loan required and ...
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1answer
128 views

Put extra payments towards almost paid off house or newer house?

My wife and I have two houses: one her parents live in and has only 4.5 years of mortgage payments left, the other we live in and is only 2 years into a 30 year mortgage. She has been making extra ...
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2answers
81 views

Does FHA goes hand in hand with PMI ?

I am curious: Can a first time home buyer put a %20 downpayment (to escape the PMI) and still have that low HUD APR? Do HUD and PMI have to go hand in hand ? This is what I think: if I am a ...
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1answer
86 views

Does settlement of second mortgage count as short sale?

Does settlement of second mortgage count as short sale? Suppose you settle a second mortgage debt (perhaps because the house/home is seriously underwater). That will report to the credit bureaus as a ...
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1answer
69 views

mortgage/title and gift giving tax law question

my mother has offered to gift me the 20% needed for my new home purchase. It has been determined that adding her would be a hindrance to my mortgage loan, thus I am facing gift giving tax issues. ...
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1answer
28 views

Home (re)Finance and Providing Additional Information

Since mortgage refinance rules require substantial information, and the goal is to evaluate whether the borrower has the discipline and ability to repay the loan, it would make sense to gather ...
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1answer
126 views

Everyone says you should start saving young. However, should my priority be to pay off my mortage? [duplicate]

Everything I read says you should use time to your advantage and start saving as soon as possible. However, I have a home mortage with an interest rate higher that what one could expect to make out of ...
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1answer
87 views

Construction loans - when do payments begin?

For the sake of round numbers, consider this scenario: $300,000 land purchase $700,000 cost to build a home $200,000 down payment Figure building the home will take 1 year. My question is, for ...
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2answers
86 views

Does a house mortgage make it easier to get a personal loan?

This question is about whether a house mortgage "on its own" would improve a persons chances to qualify for a personal loan. With this I mean, does a house loan provide benefits that, simply because ...
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1answer
97 views

Why would my mortgage payment change if the interest rate stayed the same?

I just received a letter from my bank , stating that my yearly rollover interest rate would not be changing. As of now we pay $353.72 on the principal and 61.63 on the interest. This loan is almost 18 ...