Assumption, Assuming a Mortgage
This type of mortgage scenario might just be a nice fit for someone who is looking to save money on closing costs and assume a low interest rate.
This type of mortgage scenario might just be a nice fit for someone who is looking to save money on closing costs and assume a low interest rate.
Owning a home is the American Dream. Of course, this requires you to first get a mortgage unless you have won the lottery or have a very wealthy uncle!
So, you've taken an application with a mortgage broker. He has told you your monthly payment and the total amount you will need at the time of closing. How do you know the charges on the loan are fair? How do you compare this loan to others you have been offered?
Home equity loans are a quick and easy way to tap into the equity you have saved in your home. Savvy homeowners can save a lot of money by shopping from a variety of lenders; however, you need to understand the risks associated with home equity loans and consider alternatives such as a second mortgage before diving in.