Mortgage

Mortgage means long-term loan that you put together through a bank or financial institution. The property serves as security for the mortgage or loan. Home Mortgage is generally taken for buying house and the mortgage is repaid in monthly installments over a period of 15 years and more from a mortgages company. There are basically four components in mortgage payment i.e., principal, interest, taxes and insurance. Mortgage or loan repayment in monthly installments is known as amortization. It is structured in a manner that the property owner pays the maximum interest in the first few years and the principal starts getting adjust slowly. As the time passes the interest amount reduces with each installment and on the other and the principal amount increases by each payment of mortgage installment.

Down Payment

Down payment means the difference amount which the house owner has to pay

from his/her pocket between the cost of the property and the mortgage amount.

Down Payment = Cost of the property- Mortgage/loan amount.

Current mortgage rates

Current mortgage rates is the price a which a person pays for the use of money he does not own, and the return a lender receives for deferring his consumption, by lending to the borrower. Interest rates are expressed as a percentage    Loan Repayment / Mortgage reduction Your monthly payments go partly to repay your loan (principal amount) and partly to pay the interest for your loan. In most of the cases you need to pat some processing fee on the mortgage amount which is generally between .2% to .5% of total mortgage/loan amount

The typical fees, charges and expenses that cover the loan processing and closing are:

Types of fees:

  • Origination fee
  • Appraisal fee
  • Credit report
  • Inspection fee (newly constructed homes only)
  • Document preparation/review fee

Charges:

  • Attorney’s fees
  • Title insurance
  • Transfer tax (excludes refinances)

Mortgage Refinancing
Refinance your mortgage at today’s low rates. Apply for a mortgage, compare loan programs and rates, refinance your current mortgage, and consider a  home equity loan or line of credit.