Douglas County Mortgage Broker: Real Estate Information - Yaerd Approved Partner
Paul Tenorio
Allied
Capital Mortgage
service@yourbestmtg.com
(P) 720-277-5544
(F) 720-528-7975
Q: What are “no cost loans”
A: No cost loans occur when your mortgage broker pays for all your closing costs including your appraisal, underwriting, credit report, processing, title and escrow fees.
Q: What are Interest Only loans?
A: Interest only loans are loans that do not require you to pay towards the principal balance. You are simply paying the interest owed on the loan without reducing the principal.
Email Allied Capital Mortgage Directly
- OR -
Q: What is an Option ARM?
A: An Option ARM allows you to choose between 4 payment options each month when you pay your mortgage. You can choose to pay the lowest interest rate (as low as 1%), the interest-only payment, the principal and interest payment or the accelerated principal and interest payment. This is the popular “negative amortization” mortgage loan.
Q: What is an Origination Fee?
A: It’s a fee typically charged by your mortgage company to do your loan?
Q: Why use a mortgage broker?
A: Mortgage brokers have access to many different banks/lenders that save the homeowner time and money in searching for the best interest rates and the best mortgage loan for their situation. A bank has a limited number of mortgage products available to the home owner. They typically work with good credit borrowers.
Q: What is a Good Faith Estimate?
A: A good faith estimate is an estimate of all the closing costs involved in your new home loan. At Allied Capital Mortgage we stand by our good faith estimates.
Q: Who will service my mortgage?
A: Most mortgages are sold to much larger banks so they may service them. Some of those banks include Washington Mutual, Countrywide, Chase, Bank of America, and Wells Fargo.
Q: How much will my adjustable rate mortgage adjust?
A: That depends on the terms in your Promissory Note. Some can adjust as much as 6 points the first time they adjust but every adjustable rate mortgage has maximum amounts it can adjust.
Q: Which one of my credit scores does the mortgage broker use to determine my interest rate?
A: Typically it is the middle of your three credit scores. There are mortgage loans available which average all three of your credit scores and some that take the highest score.
Q: Can a credit counseling services raise my credit scores?
A: The only way to raise your credit scores is to pay down your debt and pay your debt on time. If you have made late payments in the past, it will take a number of months for those late payments to stop negatively affecting your credit scores. No one can legally remove negative trade lines from your credit report.
Q: When I get to my closing, am I obligated to go through with my loan?
A: NO. You are never obligated to go through with your loan until you sign all the closing documents. If you have questions or are unhappy with any of your loan characteristics, you can postpone the closing until you are satisfied.
Q: What is the biggest tax advantage to owning a home vs. renting?
A: The biggest advantage is the tax deductibility of your interest payments on your mortgage. The money you pay towards renting is not tax deductible and you are not building equity in your own real estate by renting.
Q: What is 100% Financing?
A: 100% Financing occurs when you are approved for a mortgage for the entire purchase price of your new home. You may have to come up with closing costs unless the seller of the home pays them for you.
Copyright PTEN, LLC 2007
