I am looking for an online mortgage lender thats does mortgages in Virginia Beach, VA. Who has the best rates?
I actually just got preapproved to purchase a new home with a pretty nice interest rate at http://www.virginiabeachvamortgage.com/ and they were very helpful. It is my first time purchasing a home.
They also have a page where you can check the daily rates. My rate actually ended up being lower then the rate on that page though because I qualified for an FHA loan and I am a first time home buyer. Make sure to ask about FHA rates.
I am planning to buy a home and wanted to know why everyone thinks that home mortgage loan is tax beneficial.
Example:-
If we are paying around $15,000 a year in interest+property taxes and in tax refund( 15% tax bracket) we get back around $2K-3K and we are happy.
Its like paying government $100 and getting back $15 and we are happy with that.
Correct me if I am wrong
You’re partially wrong.
If you pay $15,000 a year in interest and property taxes AND you are in the 15% tax bracket, you get to reduce that $15k from your income. This means you will pay $2,250 less in federal income taxes. So in other words, you are paying $15k to save $2k. It’s not good business sense, but it’s better than not saving anything…but that’s not the entire story…it gets worse.
You only get to deduct the $15k IF AND ONLY IF you itemize your deductions (instead of taking the standard deduction). If you are married, your standard deduction is $11,400 ($5,700 if you are single).
Since you are paying $15k in interest/taxes, you get to deduct an extra $3,600 than you otherwise would have been entitled to anyway. Therefore, your net tax benefit really isn’t $2,250. It’s only $540 (15% of $3,600).
But wait…it gets worse…
You are only paying $15k in interest/property taxes the FIRST YEAR of the mortgage. Keep in mind that part of your mortgage payment goes to principle. While your payment each year will be the same, the amount going towards principle and the amount going towards interest will change. Eventually, that $15k payment each year will only be a few thousand worth of interest…at which point there is ZERO tax benefit.
The subprime mortgage fiasco cuts into consumer spending and the revenue lenders receive from interest. It has been about 6 months now that this issue has effected the market. As the market reached all time highs just a couple weeks ago, what would the say is the overall health of the market? The subprime issue has taken its toll on the real estate market as well. Some say that it will last into mid 09. In this case, would real estate rental markets be in higher demand? Also, if the real estate market is in a slump, why are REITs looking like a spectulative buy right now for a lot of people? Simply diversification?
Thanks everyone for their thoughtful input!
we’re in a correction that will last at least the next several months which has the potential of becoming a bear market for the next year or two. the problem looks like its not contained as major foreign banks have recently acknowledged related investment losses and mutual funds are selling profitable investments in emerging markets in favor of security of US dollars/treasuries. even the chinese government has come out to say they believe in the safety of the US dollar. all debt is being repriced not only bcas of subprime mess but bcas debt from already announced LBOs will soon hit the credit market as well. classic case of over supply. future M&A will have to be driven by cash but in an economic slowdown, you would think most would preserve cash until they see a light at the end of the tunnel (i.e. some competitors may not survive a bear market/recession).
as for ur question re reits, the following article may shed some light. further evidence the mortgage market is shaky.
I am trying to sell my house quickly and I would like to know if there is another way besides listing it for sale and following the process of showing in and accepting offers from buyers.
lenders dont buy homes….private investors do.
Mother passed away a she had a house that she was still making mortgage payments on.
There are 2 silbings left. Mother didn’t get a chance to add our names. What do we do with the house? Can we sell it. The payments
are still being made.
Mother didn’t have a will.
First of all, the will must be probated. If there was no will, then you must petition for letters of administration. If the will specifically bequeaths the property to somebody, it would go to that person subject to the payment of administration expenses and taxes.
The personal representative of the estate (executor or administrator) will sell the house and pay off the mortgage.
Will the second mortgage holders come after you or be able to put something (other than a foreclosure) on your credit like a judgement? Would they be ale to garnish wages or do anything crazy like that in the future? The reason for two loans was a first and second (100% loan) was used to purchase the home. The value dropped and the foreclosure auction will only be enough to cover the first mortgage and part of the second. If you could site any websites that show these types of laws it would be appreciated. Thanks.
Oh and real examples would be great. I’ve heard many people say yes they can come after you, but of those that have actually been foreclosed on I’ve yet to hear one of them tell me an actual horror story. This could be because many second lien holders use fear to get some people to pay them money and salvage some of their loss.
coragryph, keep in mind the 2nd was used as purchase money, so it was not a 2nd mortgage that was "taken out". Also, have you actually heard of this happen or only studied it? Thats what i’m finding out, that most lenders don’t go through with that, as they end up getting nothing after spending all the money to legally fight it and most individuals could file BK to avoid it.
What you are talking about is what was called an "upside down mortgage" where the mortgage debt is worth more than the house, which is decreasing in value.
Say you have a house worth $20k, and one mortgage for $25 and a second for $10K.
When the mortgages are foreclosed, the first mortgage gets all the $20K, and can sue the homeowner for a "deficiency judgment" for the last $5k that remains on the mortgage. The second mortgage holder can sue the homeowner for their $10k claim, and get a civil judgment, but it will not be attached to anything (meaning there is nothing they can take or foreclose to get their money) but they can garnish income.
That’s how it would be in your example. The first mortgage holder gets their money and goes away. the 2nd gets part, and sues you for a deficiency judgment for the remaining money.
what it sounds like is you need a bankrupcty lawyer, if you want to keep the house. good luck
If you want to know if they will actually bother, yes, because civil judgments last for 10 years (at least in NYS) and you can renew those babies. Meaning, they can wait until you have the money, no skin off their nose. Also, since they changed the bankruptcy laws, its not as easy as it was to get rid of debt as it was last year. There’s much less protection for debtors, now.
My mortgage will go to adjustable soon and what can you tell your lender so the interest stays the same? I have a 3/1 arm.
You really have no control over your interest rate. You can try to plead that you don’t have the money if it increases, but… tough shit. You can try to compare interest rates in your area, but it won’t do any good because the terms of the loan you signed are unique.
That’s the entire point of an ARM, the interest rate stays low for the first few years, then is subject to increase after that. Sorry if you don’t understand this, but that is not your lender’s fault.
You’re not alone (millions of borrows don’t understand the terms of the legal documents they sign regarding mortgages), but that might not give you much comfort.
I am trying to find out what is the best newspapers or websites used to find jobs in Texas, especially the houston area and what is the most common sources used for mortgage lenders. Do people usually use the banks or mortgage companies? I want know a good mortgage lender with good principles and low interest. Please, only people who are really familiar with these subjects and with serious answers. I would really appreciate your help. Thanks to all those who are willing to assist. Bless you.
the houston chronicle, yahoo hotjobs, alot of jobs are posted online.
you just gotta search for them.
I’m planning to relocate, but current owe a mortgage for $50k. I also have a bankruptcy on my record thats a couple of years old. I’d like to find new home in the state I choose to live in. Would I be able to get a second mortgage or refinance my current home in order to pay for a new one?
That depends on a few things.
How much equity do you have in your current home?
What is your credit score?
What is your debt load?
Yes you can get a 2nd mortgage on your current home to buy another, people do it all the time.
Your income must support maintaining your current home (you should be able to get a renter in there to offset the mortgage payment or some portion there of) and support your new mortgage.
You can get a loan with a BK. Many lenders require it to be discharged for 2 years, however, there are still a few lenders that will lend on a BK only being discharged 1 day.
In a nutshell, yes you can, if all your other ducks are in a row.
Good luck
I am a iraq and afgan vet at 24 years old but ive been out of the Marines now for over a year. Im now engaged and am soon to buy a house. I cant find any websites that explain te differences in all the different mortgage loans. From what i understand both VA and first time buyers are 0 down. But if i use the VA then i loose first time buyers for any future buys. With me fresh out of the military and my fiancee fresh from college teaching her first year FHA could be a option also i think. My credit has no negatives and lots of movement up and down for 7 years and she never had anything till she got her new car after graduation which is in her name. Banks wont like me for a coulple more years yet but between the two of us we should be good. Im only saying this because i think it would make a difference in which loan to shoot for. Thanks for all your time and help!!
In order to really determine which type of loan is best for you, your individual situation need to be assessed further.
VA Loans will allow you 100% Financing with up to 4% contribution from the seller. The government guarantees 25% of your loan.
FHA Loans will allow you 97.75% Financing with up to 6% contribution from the seller. The government insures your loan.