At the tail end of last year, a positive economic outlook prompted the Federal Reserve to raise the federal funds rate for the first time since 2008. Since the federal funds rate is closely tied to mortgage rates, everyone began bracing themselves for the rise in interest rates which was sure to follow. However, that expected spike never materialized. In fact, interest rates have defied expectations by falling to levels we haven’t seen in over a year. Initially, the rates did

Although your total settlement charges will vary depending upon the loan you’re getting, your interest rate and other factors, the fees that you will be charged shouldn't be a mystery. When you apply for a loan, you’ll receive a Good Faith Estimate (GFE) that lists an estimate of the charges you can expect to pay. Before going to settlement, you’ll be given a HUD-1 form which details the actual charges and these should match up fairly closely with the estimates on the GFE. Th

You may be hesitant to refinance because you don’t think you’ll qualify or you believe the process is too complex. In reality, however, many homeowners do qualify for refinancing—and the process is a lot easier than you think. What is a refinance? In simplest terms, a refinance is when a borrower obtains a new mortgage—with a new interest rate and term—to pay off and replace an existing mortgage. A refinance is done to get a lower monthly payment, to make a change in the leng

Buying a home and getting a new mortgage can be daunting, but if you follow a few guidelines, you’ll be more likely to have a smooth buying process: 1) Buy when it's right for you. Don't be too obsessed with the current interest rates or market conditions. The best time to buy is when you are personally and financially ready. 2) Make a solid budget. It doesn’t need to be overly complex, but a good (and realistic) budget can help you determine how much you can truly afford. 3)

"I’VE HEARD COMMENTATORS ON TV TALKING ABOUT ‘HOMEBUILDER CONFIDENCE’ RECENTLY. WHAT IS HOMEBUILDER CONFIDENCE AND WHY WOULD IT BE IMPORTANT?" “Homebuilder confidence” is a statistic from a monthly survey about current economic and housing conditions. More specifically, the survey results—conducted through a poll of the members of the National Association of Homebuilders—are compiled into a report called the Housing Market Index (also known as the “Homebuilder Confidence Surv

"I’M TRYING TO DECIDE IF I SHOULD MAKE UPGRADES TO MY HOME BEFORE I PUT IT ON THE MARKET. ARE THERE ANY GUIDELINES TO WHETHER OR NOT IT’S A GOOD IDEA TO REMODEL BEFORE SELLING?" Although just about every home could be upgraded in at least some small way, there’s no one-size-fits-all answer to this question. Whether or not you should remodel—and what upgrades you should make—will depend on several different factors and you’ll need to consider a few other questions first: Does

Much like being a buyer in today’s housing market, being a seller nowadays is different than it was just a few years ago. While market conditions vary from location to location and each home sale is different, many areas are showing a noticeable uptick in prices and a decrease in time on the market. If you’re looking to sell, here are a few things to keep in mind: Hiring a Professional. Back in the mid-2000’s, some homes were selling so fast that many sellers felt no need to

"Although my credit score is fairly good, my husband’s score is about 100 points lower than mine. Is his score going to be a problem when we apply for a loan?" First, keep in mind that unless you and your husband have opened joint credit accounts in both of your names, your credit score and your husband’s credit score are completely separate. Second, understand that lenders will look at the lower of the two credit scores rather than the higher score or taking the average betw

If you haven’t heard much about interest rates lately, you’re not alone. Interest rates haven’t been front-page news lately because they’ve remained fairly steady since the beginning of the year. But why? And will this trend continue or will the rates fluctuate in the coming months? To see if we can get a better understanding of the rates, let’s look at the interest rate trends over the past year and a half, as reported by Freddie Mac’s Mortgage Rates Survey. Following record

Andy Emanuel from Omega Financial Inc., a mortgage brokerage in Norwood, MA, answers mortgage FAQs. Although having to pay a small tax bill may not affect your credit, other tax situations—specifically how you pay or don't pay your tax bill—can indeed affect your credit and can lower your overall credit score. For 25 years, Omega Financial has been serving mortgage clients in Massachusetts. Our brokers have more than 60 years in the mortgage business. You always will receive

If you’re considering purchasing a new construction home, one important thing that you’ll need to consider is whether or not to hire your own real estate agent. Although home builders do have on-site sales agents who are certainly qualified to help you through the purchase process, hiring your own agent is almost always a good idea. Here are a few reasons why: Your agent works for you, not for the builder. Since buying a home is a major investment, you’ll want someone who is