FAQs

How do I calculate loan to value?

Loan to value is the loan amount divided into the value of the home.

What is APR?

APR is annual percentage rate, which takes into account the interest rate, points and certain other fees. APR is always higher than the note rate. Loan payments are based on the note rate, not the APR.

What are prepayment penalties?

Some investors require that a loan be kept open for a period of time. In this situation, paying the loan off early would result in a monetary penalty.

Can the seller pay closing costs?

Sellers are typically allowed to pay closing costs. The amount is based on a percentage of the closing costs, and varies with loan type and occupancy.

What is the difference between FHA and Conventional loans?

Differences between FHA and conventional loans include loan amount, credit score requirement, occupancy and an array of other variables.

Can I co-sign for my son/daughter/mother/father?

Some loan types allow for co-signing. Underwriting guidelines vary depending on several factors.

Can I pay my taxes and insurance outside of my mortgage payment?

Most investors allow this, but charge a one-time fee at closing.

How can I determine my credit score?

Many online companies provide access to free credit scoring.