Questions tagged [mortgage]

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

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21
votes
4answers
10k views

HELOC debt is 2x my mortgage, help [duplicate]

My home equity line of credit (HELOC) amount owed has now grown to where it is approximately double the amount remaining on my mortgage and the interest payments are killing me. I have no other debt. ...
1
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2answers
93 views

Future value vs total amortized cost of a loan

My goal is to determine the total cost of a mortgage loan (principle + interest for 30 years) I assumed that the future value(FV) of a loan is the total amortized cost of the loan. Is that assumption ...
1
vote
1answer
124 views

What is payment period, and why is it equal 100 in this mortgage table?

Here’s the table: I think the payment period is a month, but I don’t understand why it’s 100. The image is taken from this Excel exercise: http://web.utk.edu/~dhouston/excel/exer3.pdf
-4
votes
2answers
220 views

How to calculate someone's true net worth?

Is there a way I can look up or calculate another person's net worth through math? Is a person who is making credit card, car, house, etc payments owe more that what they have equal they are worth ...
1
vote
4answers
445 views

European banks, low interest rates and “free money” for home owners?

Where I live in Scandinavia and across Europe, interest rates are very low. More and more people are using the rising value of their home to draw out money. I would almost call it "free" money when ...
2
votes
1answer
976 views

Should I pay extra towards my mortgage or HELOC?

My first mortgage has a balance of $147k with 4.75% fixed interest rate. My home equity line of credit (HELOC) has a balance of $87k with prime minus 1.1%. I've been making about $50 extra payment ...
3
votes
1answer
110 views

Can previously low wages hurt my chances of an approved home loan?

Some quick stats about me. Received a pre-approval for $280,000 Credit Score: 808 Current Salary: $63,500 Job: Junior Software Engineer My main concern here is regarding the eventual income ...
2
votes
1answer
185 views

Working remotely in U.K for a Japanese company - want to get mortgage

I have been living in Japan with my husband for the past 3 years. We are both British. I work for an IT consulting firm with only a handful of staff where I am the only foreigner. I'll be turning 30 ...
2
votes
2answers
204 views

Can I pay off a portion of my lease to increase mortgage approval amount

My girlfriend is applying for a mortgage, but is unable to get approved for enough because of high payments on her car lease. These numbers are rounded for convenience, but currently, the payments ...
1
vote
2answers
119 views

I have an apartment bldg in Chicago, I only have an equity loan of 48K, can I tear it down and build new?

My husband and I own an apartment building in Chicago near White Sox Park. It has foundation issues and a water line issue. It has 3 apartments. One apartment is gutted and we have not done any ...
5
votes
2answers
200 views

Loan for mortgage from father to son

My brother got an amazing loan to buy his house from dad for $200,000 but he only pays $150 a month ($100 capital + $50 interest). My question is, is this legal? Doesn't the IRS see this as more of a ...
4
votes
5answers
323 views

Buying a vacation home

My wife and I are thinking to buy a house in upstate NY. We live in Brooklyn, NY (US) and rent AirB&B houses for weekends year round for a few days there. Our thought is that we would like to buy ...
6
votes
4answers
1k views

Job transfer with a house I can't sell. How should I handle it?

We have a house with a 180k 1st mortgage (Huntington) and 55k 2nd mortgage (PNC). Each is from a different company. The house just appraised at 190k. I'm being transferred by my employer from ...
0
votes
1answer
224 views

To make a Gift Deed or Sale Deed

I live in a house that have a share of my brother. I want to pay my brother share in cash by taking a Home loan. The house is in name of my father. Now I am confused & blank about thinking that ...
4
votes
3answers
451 views

Monthly terms on mortage are significantly lower than rent, but I already have debt. Does it make sense to buy a house?

Short version. We are currently saving around 1.5k a month. We have 3k in savings. We have around 80k in debt. We earn 55k a year. The monthly payments on a mortgage for a 180k house are ...
8
votes
4answers
959 views

Difference between a mortgage and buy-to-let in UK

In terms of rights, whats the difference between getting a regular mortgage and a buy-to-let mortgage for a property in the UK? For example, if I wanted to invest in a property, and got a regular ...
3
votes
2answers
186 views

How to Calculate a BiWeekly Repayment Loan?

I want to calculate the biweekly repayment loan. I have gotten the monthly using this formula (D) = {[(1 + i) ^n] - 1} / [i(1 + i)^n] Monthly Payment = Loan_Amount / D How can I convert this to ...
1
vote
2answers
57 views

How to Calculate Interest Only Payment - Formula

I am trying to make a calculation for a monthly and biweekly - INTEREST ONLY. My Values: Loan: 30,000 Annual Rate: 2.99% Term 2 Years, 4 Months Calculation: 2 Years 4 Months = 2.33 Years Monthly ...
1
vote
1answer
411 views

Extra money - pay mortage or invest?

Our situation: Both 28 years old Both working full time with stable jobs No debts (no student loans, cars are paid, etc.) except a 80$/month 0% interest 2 years loan for home furnitures. Family ...
-1
votes
1answer
189 views

Should I squirrel money and wait until the next recession to invest in TD E-Series? [closed]

After prolonged research on finance and investing I'm about ready to start putting money into actual investment products for a retirement fund down the line. And for a number of reasons I've decided ...
11
votes
8answers
7k views

Is it better to take highest mortgage you can afford?

My partner and I are looking to buy at the moment. I won't get into all the details but we live in Germany, have a budget in mind and have talked with a few brokers and providers. Our idea for the ...
28
votes
4answers
6k views

Would switching jobs cause a mortgage to be turned down?

We have an accepted offer on our house. We are currently looking to buy a different house. We went through the pre approval process for a new mortgage and were approved to a certain dollar amount. ...
57
votes
5answers
15k views

Borrowing money in one country to pay off debt in another

I'm currently living in Germany and can borrow a substantial amount of money at almost no interest, effective 3.4%. In my home country I have several mortgages, basically at the moment funding ...
5
votes
2answers
1k views

If I sell my house without buying another property, do I need to pay stamp duty when I'm ready to buy again?

If I sell my current flat (bought in 2014) to move abroad; if/when I return to the UK, would I need to pay stamp duty on a new house purchase? Assuming no properties here are worth more than £300k ...
3
votes
5answers
250 views

Pay up mortgage upfront or keep paying installment with capital invested?

I am facing a dilemma. I have 82k in cash and I have an 82k remaining mortgage to pay off. I can either continue the mortgage and invest my 82k cash into an investment vehicle (FD/CD) @ 7%, or just ...
66
votes
9answers
20k views

How is early-and-often home buying as “get rich” advice feasible?

I am being told by this guy that the following is a guaranteed-to-work way to become rich and retire early. He says to start early. 20 years, or near that age. Buy 1 house a year. Rent it out. Start ...
1
vote
2answers
85 views

Standard Tax increase starting 2018 and itemized deductions

I am trying to purchase a house in the next few months. The 2018 Standard Deduction for married couples filing jointly will be $24k. I think that to reach this limit with itemized deductions, I would ...
0
votes
1answer
168 views

Cost/benefit of maxing out 401k using mega backdoor

Forgive me if I get the details wrong and if this needs to be split up into multiple posts, but I'm very new to all of this. I'm 22, have ~60k non-emergency money saved up, and got a new job with ~...
1
vote
1answer
229 views

I recently bought a house with a co-owner, is buy out the best option?

I closed on a home with a co-owner in June 2018. We did not sign any pre-closing agreement determining what will happen if we split up. We currently divide everything 50/50 including the maintenance,...
2
votes
2answers
880 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 ...
29
votes
4answers
14k views

Does a larger down payment make an offer stronger?

I'm a first time home buyer, buying in the Jersey City area. My realtor insists that, given two similar offers, the one with a higher down payment is viewed as a stronger offer. My realtor even said ...
0
votes
2answers
369 views

Why would a mortgagor need a postponement clause for a 2nd mortgage?

101 Streetsmart Condo Buying Tips for Canadians (2006). Douglas Gray, B.A., LL.B.. p. 40 Bottom. The author replicated the quote benaeth in his other book (unrighteously?). Secondary Financing ...
1
vote
1answer
94 views

Why would a shrewd lender lend for a condominium whose lease is shorter than the length of the land lease?

101 Streetsmart Condo Buying Tips for Canadians (2006). Douglas Gray, B.A., LL.B.. p. 44. Leasehold Mortgage A leasehold mortgage is a mortgage on a house or condominium where the land is ...
4
votes
3answers
415 views

First time buyer unsure on which mortgage to go for

My husband and I are first time buyers are are looking at mortgage options but I'm unsure which option is preferable. We only have a 5% deposit so are being hit with not great interest rates. Our ...
5
votes
6answers
2k views

Formula for Cost of Potential Home from Monthly Mortgage

I'm trying to find a way to calculate the price of a home I can afford based on my potential downpayment, the monthly rent I can afford, and the interest of a potential loan. I've seen questions like ...
67
votes
3answers
18k views

If you have a home mortgage, why do you still have to pay all of the property tax?

If I have a home mortgage and have only paid off 20% of the principal, then the bank technically "owns" the remaining 80% of the home. So, why isn't the bank required to pay 80% of the property tax ...
1
vote
3answers
385 views

Comparison of Mortgage Rate vs 10 Year Treasury Rate

One of the typical reasons mentioned to not pre-pay a mortgage is that the interest is tax deductible and therefore the effective rate on the mortgage is much lower. However, this argument doesn't ...
8
votes
3answers
449 views

Extra cash - go towards mortgage, or stock?

I have cash I can either put towards my mortgage, or invest in the stock market. I live in the US, and have no other debts. My mortgage interest rate is fixed at 3.5%. No penalties on pre-payment. In ...
4
votes
2answers
2k views

Refinance a land loan into a mortgage loan

If I obtain a 10 year land loan and but finance the build of a house with my own money will I be able to refinance that land loan into a conventional 30 year mortgage loan eventually?
5
votes
1answer
437 views

How should I calculate property value at remortgage?

Purchased a house (in the UK) with a 2 year fixed mortgage. When it comes to remortgaging, how is the property value calculated? Can I have any input into this, or is it done on "drive-by valuation"? ...
4
votes
4answers
3k views

Is USAA REALLY that scary for me to use for my mortgage? [closed]

I know responses may be heavily opinion-based, but I have trust in this community and I'm at my wits' end going back and forth on this. I just went under contract on my first house purchase, and I'm ...
6
votes
3answers
1k views

Will having a secondary signee with bad credit on a mortgage raise or lower interest?

My girlfriend and I are purchasing a house. We were told that it would be better to have the mortgage solely in my name as the only account holder due to her credit score. My question is, between ...
2
votes
1answer
2k views

How does DTI work while building a house?

Lenders are pretty consistent and clear about how DTI (debt-to-income ratio) is calculated and the limit of 45% for a traditional mortgage against a primary residence. New construction loans seem to ...
2
votes
1answer
953 views

Penalty on fixed rate mortgage in Netherlands

Is there any way to get out of a mortgage with >6% rate of interest which was fixed for 10 years (I am in my 5th year)? The only option that my mortgage provider bank provides, consists of a >30K euro ...
3
votes
1answer
191 views

Formula for Calculating Periodic Fixed Payments with Multiple Rate Changes

I'm trying to figure out how to extend the formula provided by Chris Degnen in this previous question What is the formula for the monthly payment on an adjustable rate mortgage? to add in a third ...
0
votes
2answers
295 views

Missing Quarter in Form No 16

My previous employer has mistakenly no mentioned the Q3 in my Form 16, but it has the details of Q2 and Q4. I have applied for a home loan and the bank wants it clear. But the problem is that the ...
5
votes
7answers
4k views

Why would a bank take a lower all cash offer versus a higher offer via conventional lending?

There seems to be a a belief that a bank or individual will always take cash over conventional financing from a buyer, even if the buyer who is purchasing through conventional financing offers a ...
2
votes
1answer
690 views

Cancel PMI at 78% or at 75% if Fannie Mae

I just requested my bank to cancel PMI, since my balance reached 80%. Bank sent me note that I need appraisal and also my LTV should be 75% since my loan is less than 5 years old. Bank clarified that ...
4
votes
2answers
306 views

Mortgage Adviser Signed Me Up For Multiple Home and Life Insurances (UK)

So, back in 2016 we bought our home with the help of a mortgage adviser. During the process they signed us up for home insurance and life insurance. At the time I (perhaps stupidly) believed they ...
5
votes
2answers
860 views

I have paid $7000 extra of my mortgage in 6 months. Should I transfer this to my $11,000 car loan or is it better of the home loan?

My car loan is 6.49% but it costs $12 a month for every month you pay it off early. It is a 60 month loan, I have been on it for 6 months and have paid off $2500 (From $14 000 to $11-500. My ...