Types of Mortgage Loans
Any type of home buyer’s loan that is not offered or secured by a government entity, such as the Federal Housing Administration (FHA), the U.S. Department of Veterans Affairs (VA) or the USDA Rural Housing Service, but instead is available through or guaranteed by a private lender (banks, credit unions, mortgage companies) or the two government-sponsored enterprises, the Federal National Mortgage Association (Fannie Mae) and the Federal Home Loan Mortgage Corporation (Freddie Mac).
What is a Conventional Loan?
This is a license issued under governmental authority that permits the holder to operate a motor vehicle
What is a Driver's License?
This is an indication for lenders and creditors whether an individual is a lending risk due to a history of late or missed payments.
What is payment history?
This is a form of mortgage fraud, whereby the value of a home is deliberately appraised at an inflated amount, well above its fair market value
What is Appraisal Fraud?
This is recommended if you are thinking about buying a home but you are not sure what your credit looks like.
What is talk to Mark Lidel with Peoples Mortgage?
This Loan type is designed for low-to-moderate income borrowers, require lower minimum down payments and credit scores than many conventional loans.
What is an FHA Loan?
A form on which a taxpayer makes an annual statement of income and personal circumstances, used by the tax authorities to assess liability for tax.
What is a Tax Return?
This refers to the amount of credit you have used compared with how much credit you have been extended by a lender. It also refers to a ratio that lenders use to determine your creditworthiness and is a factor that is used to determine your credit score.
What is credit utilization?
This is a type of home loan that offers lower monthly payments in the first few years but is considered high-risk because of its difficult-to-understand terms and higher future payments.
What is an Exotic Mortgage?
This is a proper next step if you are thinking about buying a home but you are not sure how much you can afford.
What is talk to Mark Lidel with Peoples Mortgage?
This is a mortgage loan available through a program established by the United States Department of Veterans Affairs to assist service members, veterans and eligible surviving spouses to become homeowners.
What is a VA Loan?
This is the form that an employer must send to an employee and the Internal Revenue Service (IRS) at the end of each year. This is the official Wage and Tax Statement that reports an employee's annual wages and the amount of taxes withheld from their paycheck.
What is a W-2?
This is a record of a consumer's ability to repay debts and demonstrated responsibility in repaying debts
What is Credit History?
This is a type of loan granted to individuals with poor credit scores (640 or less, and often below 600), who, as a result of their deficient credit histories, would not be able to qualify for conventional mortgages.
What are sub-prime mortgages?
This is a sensible approach if you would like to review options to eliminate your Mortgage Insurance.
What is talk to Mark Lidel with Peoples Mortgage?
This loan is a type of financing made by or guaranteed by the United States Department of Agriculture. The RHS lends directly to low-income borrowers in rural areas and also guarantees loans that meet RHS requirements made by approved lenders.
What is a USDA Loan?
A piece of paper that is given to an employee with each paycheck that shows the amount of money that the employee earned and the amount that was removed for taxes, insurance costs, medical, etc.
What is a pay statement?
Evaluating the recency of liabilities.
What is New Credit?
This was the result of the financial services industry and its allies who believed that the U.S. financial industry needed credit easing in order for it to remain competitive, had attempted to repeal a provision of the Gramm-Leach-Bliley Act since the 1980s, and they were finally successful.
What is deregulation?
This step is strongly encouraged if you are considering a cash-out refinance to re-model your home.
What is talk to Mark Lidel with Peoples Mortgage?
A type of financing that exceeds the limits set by the Federal Housing Finance Agency (FHFA). Unlike conventional mortgages, this loan type is not eligible to be purchased, guaranteed or securitized by Fannie Mae or Freddie Mac.
What is a Jumbo Loan?
a printed record of the balance in a bank account and the amounts that have been paid into it and withdrawn from it, issued periodically to the holder of the account.
What is bank statement?
This refers to the types of accounts or liabilities that make up a consumer's credit report.
What is Credit Mix?
These investment vehicles which initially offered higher interest rates (i.e. better returns) than government securities, along with attractive risk ratings from rating agencies.
What are Mortgage Backed Securities (MBS) or Collateralized Debt Obligations (CDO's)?
Buying, refinancing, consolidation, remodeling or reverse mortgage...this is always the best step.
What is talk to Mark Lidel with Peoples Mortgage?