Shopping For Your First Home Mortgage Loan

Shopping for your first home can be one of the most exciting events in your life. To ensure your home shopping experience goes smoothly and you get the best rate possible on your first home mortgage loan you will want to have your finances in order and be prepared to put a down payment on the home.

How To Improve Your Loan Terms
1. Pay off any outstanding balances on your credit cards before applying for your loan.

2. Pay creditors off and ask that they remove your account from any credit history.

3. Rebuild your credit score. (This will help you tremendously, as it will lower your interest rate, down payment requirement and the overall condition of your loan terms.) You will be glad you took the time to correct your credit history and score, as this will allow you to receive better loan terms. With better terms, you will be able to find a mortgage loan that you are confident and comfortable with, which will make paying for your new home much easier to manage.

When To Apply For Your Home Mortgage Loan
Applying for your mortgage loan before you begin shopping is a great option, as this will allow you to be pre-approved for your loan amount and make you 100% aware of your shopping budget. This also allows you to submit offers on the home that you are most interested in without having to wait weeks to see if the lender will approve the amount.

If you are serious about buying your first home we would like to guide you about loan options and terms that may fit your circumstance. Our focus is to create loans that are sustainable for our borrowers so they are set up for homeowner success, now and in the many years to come. Feel free to Contact us today about your options for a new home loan.

Financial Lenders – Offering Sustainable Lending Products

The dream of home-ownership and the ability to provide a safe and loving place for a family is a common hope for many. Reaching that dream can be a challenging and confusing journey. Navigating financial adversity and endless requirements for obtaining a loan can be a very frustrating process, which is why many reach out to lending firms for guidance.

It is important to find the right lending company to suit your needs. Most firms determine home mortgage loan eligibility based on credit scores, so if you have a less than perfect financial history, you will need to be mindful to reach out to a lending firm that considers more than a 3-digit credit score when determining whether or not to extend you a loan.

There are a few companies that give weight to an individual’s history, unique circumstance, and drive to overcome adversity and get back on their feet. These firms consider things like; what caused your financial trouble in the first place, are you successfully paying your bills now, and have you begun to re-establish financial stability. They pledge to be your lending partner and recommend a home mortgage loan that is right for you now and for the long term in order to set your up for success.

For first time buyers, this is an especially important relationship. Finding the right home mortgage lender who will guide you to a loan that makes sense for your situation increases the chances that you will be able to maintain your loan and build a secure future for your family.

These types of lenders truly can help you turn your dreams into reality.  

Lenders make a big difference when buying a home

When you think of buying a new home for yourself, there are mixed feelings of happiness and stress. Happiness because we know that a home is where families live and grow together, a place where bonds develop and love blossoms. The stress is about the complexities of home mortgage loans. Home-ownership is a serious commitment that lasts for many years. It is important that we manage our monthly installments in a way that we are able to make regular payments without any defaults.

On the one hand, buying a home is a symbol of security, and on the other it is associated with a sense of responsibility. At this instance, we need the assistance of a reliable lending company who can provide us with the understanding of loan procedures and payment details.

There are a few factors that must be considered carefully when you decide to buy a home:

• Added financial responsibility: Apart from the monthly loan installments, there are other expenses such as utilities, maintenance, taxes and insurance which are inevitable with the purchase of a home.

• Risk possibility: There is always a risk factor associated with such a significant purchase. Although the value of a property increases over time, there are chances that it may go down.

 • Lesser flexibility: As a renter, it is possible to shift to a new place at a short notice. However, it is very complicated to sell a home and move to a new one.

There are some lenders who earn the trust of their borrowers through their dedicated and caring approach. They act as a partner throughout the process and enable borrowers to make a planned decision by giving them information about the different loan options available. The experts invest time to figure out the requirements of the borrowers and provide them with the best solutions.

When we purchase a home, it is quite an accomplishment. It is part of the American dream. When we get assistance from a trustworthy lending company, buying a home becomes a much more manageable experience.

A new beginning after foreclosure

In 2008, the financial services firm of Lehman Brothers crashed and nearly 25,000 people lost their jobs. After this, the American dream of owning a home was shattered for many. It was the worst financial collapse since the Great Depression of the 1930’s and it led to a complete financial meltdown. What followed the crisis was widespread unemployment and foreclosure for many. It was a great setback for homeowners who were forced to give up their homes because they were unable to make their payments on their home mortgage loans. It was an unforeseen circumstance that came without warning.

For many, foreclosure is a painful reality because it is associated with one of the most important possessions of our lives – our homes. A home is more than a structure with four walls; it’s our dream, a world where our families can feel safe. In the case of financial hardships, when we have no other options but to accept a foreclosure, we feel broken. At this point, it is important to understand that foreclosure is not the end. With lending companies who care, there can be a new beginning in assuring the possession of a new house.

Usually, a borrower who has gone through foreclosure is supposed to wait for years before applying for home mortgage loans. There are a few lending companies who work with borrowers sooner with the aim of helping people get into a new home, even after foreclosure. Such lenders have the ability to walk in the borrowers’ shoes and understand their situation. Unlike other lenders who make re-entering the market difficult, there are some lending companies who try to figure out the circumstances of the borrower and work with them. In return, the borrowers invest their trust in them because of the lender’s interest in helping them start anew.

Not all lenders take the time to understand and identify the causes of previous struggles. There are a few, however, who possess the understanding and experience to deal with the emotions of people who face helplessness in times of hardships. The true separation between such compassionate lenders and their competitors lies in the reliability and determination to provide solutions that will last in the long run.

Buying a Home? – Find a Perfect Lender

Becoming a home owner for the first time is indeed the most cherishable moment in our lives. After all, our homes are not just structures, but a place where relationships blossom and happiness dwells.

However, amidst all of the excitement of buying a home for the first time, there are a few traces of apprehensions that we experience with respect to the most important aspect of purchase – the home mortgage loan. As a result, home-owners seek the services of a trustworthy lender, who can guide them with clear and concise details on how to navigate the mortgage process smoothly.

Lenders understand the little intricacies that are involved in a home purchase in context to the financial conditions of a buyer. They enter into a committed relationship with the buyer and provide sustainable home financing solutions with an aim to take away the excessive burden from the buyer’s shoulders and enable him to enjoy his valuable possession with peace and contentment.

We cannot deny that buying a home sometimes involves undue financial pressures. If we do not make a planned decision at the very beginning, we might face difficulties later. Professional lending companies are well adept to analyze and chalk out appropriate plans for buyers that are suitable for them in terms of payments and duration of the loan. The objective of their strategies is to ensure that a buyer can afford to make all of his payments on time.

Expertise of professional lenders The services of some lenders are unique in nature. The lenders try to analyze the need of borrowers and customize their solutions accordingly. Lenders assist borrowers with the following:

• Analyzing the situation of a buyer in detail
• Help a buyer in understanding every aspect of a purchase
• Assist a buyer in making informed decisions
• Ensure the well-being of a buyer

Having a roof over your head is a fulfilling experience and buying a home is one of the biggest financial decisions. With an overwhelming sense of responsibility, lenders make it easy for borrowers to make the right decision for themselves.

There is a Silver Lining Even after a Foreclosure

Buying a home is the most fulfilling experience; however, losing it is equally as devastating. It is a terrible feeling and we often take a lot of time to come to terms with such a situation. There are many reasons that lead to foreclosure. The more common ones are as follows:

• Unforeseen incidents
• Job loss
• Inability to refinance
The impact of a foreclosure is often overbearing. Besides the emotional implications, there is an immediate need to find a place to stay. Foreclosure is also accompanied with an unfavorable effect on the credit rating of a homeowner. It is a personal financial disaster and the individual must take time to cope with it.

However, once the finances are back on track and the borrower intends to buy a house again, the situation may not be in his favor.

Need to repair the credit history Borrowers have to reestablish a good record and it takes a long time to build up an ideal credit history. In normal circumstances, one must wait several years after a foreclosure to buy another house. However, there are some professional lenders who are empathetic enough to understand the definite reasons that led to the foreclosure. If the reasons depict the right intent of a homeowner, they can actually help him/her out to secure a second chance and buy a home.

For example, after the 2008 economic crisis, many people were rendered homeless due to job losses. This was a situation where these jobless people could not afford to make their regular home mortgage loan payments. However, they could not be held responsible for the crisis. In such circumstances, any conventional lending company would not consider the facts behind a homeowner’s inability to make timely payments. Instead, they would outright reject his loan application for the purchase of a new house.

There are some lenders who take note of actual facts behind foreclosure. They help borrowers to become proud homeowners again; they provide all of the necessary assistance that can help borrowers secure a new home through easy procedures. These lenders serve as support pillars to help borrowers sail through their financial crisis and gift themselves the priciest possession – a home.

Checklist For Borrowers Re-Entering The Market After Foreclosure

“Where we love is home - home that our feet may leave, but not our hearts.”- Oliver Wendell Holmes

More than a roof, more than a shelter, more than a structure on a plot of land; our homes are built with love and commitment. A home is a place where we learn the most, love the most and it’s a place where we can be ourselves. During financial instability, people struggle to secure their most important asset, their home. Due to unforeseen circumstances, sometimes people have to sacrifice the security of their homes, and when that happens it becomes difficult to recoup and come to terms with life. The emotional distress during foreclosure and the process of shifting from your own home to a rented apartment is painful.

When luck and circumstances are not in our favor, we must make critical decisions. Sometimes this means that homeowners have to step out of a home that promises love, security and togetherness. Apart from the distress and the pain, there are serious repercussions that come from home loss. Damage to one’s credit score is imminent and distressing. For this reason, the previous homeowner will have to wait two to three years before re-entering the market to buy a home again.

When people approach lenders to buy a home for the second time, several factors are taken into consideration. Those who are planning to re-enter the market after foreclosure should consider the following before approaching a lender for a home mortgage loan:

·         Job stability: People who fell into foreclosure due to job loss have to prove their job stability before re-entering the market. Lenders look for job stability before granting a suitable home mortgage loan.

·         Saving attempt: After a foreclosure, it is important to rebuild savings to prove financial stability and the ability to make monthly payments on time.

·         Attempt to improve credit score: It is a difficult and time consuming process. A foreclosure can drop a credit score by about 150 points. On-time bill payments and keeping credit card balances below the maximum level help to regain the lost score.

·         A valid reason for foreclosure: If a foreclosure occurred due to a justifying circumstance such as job loss or unexpected medical bills, then the waiting period for a new home mortgage loan can be reduced.

Most importantly, it is important to explain to lenders the exact reason for foreclosure. Accordingly, lenders suggest an affordable home mortgage loan. Lenders try to balance affordability and equity to offer a sustainable program that is beneficial in the future. Lenders work as partners and suggest loans that can be transformed into performing assets. 

Source Via: www.1stalliancelending.com

Home Mortgage Loans for People in Crisis

High time for technology to take a back seat – before you raise your eyebrows and wonder what this statement is all about, relax and think about the shoulder you can lean on during crisis. Well, that is where technology fails. Technology brings us together, but nurturing fosters the bond between people. The presence of a friend in thick and thin, the unconditional love of parents, the joy of dining together, the touch of a new born baby can only be experienced. People, who are severely affected by economic and financial crisis, find it difficult to revive; however, like a phoenix, these people are determined to rise from the ashes and build an abode for themselves. Borrowers need a piece or two of advice and customized solutions to give wings to their dreams.

People who have lost their homes are financially distressed but they are determined to face the tough situation. With an aim to improve their credit score, borrowers pay off all debts, look for a job with steady income and start saving. Most lending companies offer home mortgage loans on the basis of the three-digit credit score; however, the unsaid stories of hardship cannot be ignored. Quality investment of time and imbibing faith in borrowers can do wonders.

Financial terminology, countless documents and complex calculations make things difficult for people aspiring to buy a home again, with low credit score. Tech savvy lenders often forget the words of compassion and believe in objective answers limited to ‘yes’ and ‘no’. Empathetic home lenders emphasize on quality conversation. These companies use the power of technology to reach people in financial crisis, but the process is personalized. Representatives answer the calls of people who search for home mortgage loans online and dial a number. They revert to an old fashioned conversation.

Borrowers believe in the philosophy of John Wayne, “Tomorrow hopes we have learned something from yesterday”. Words of wisdom, suggestions, customized solutions and a heart to listen to the story of borrowers can build hope. Borrowers aspiring to secure a home for their loved ones can reach these lending companies, explain their current financial status, express their anxiety, agony and desire to realize their American Dream.