VA Guaranteed Home Loans: What You Need To Know

VA Loans are home loans guaranteed by the Department of Veteran Affairs, but are offered by private lenders (banks, online private lenders etc.), to the eligible veterans. If you are eligible for a VA loan, you can either apply for it to buy a new home or you can also use it for refinancing.

The best part of these veteran specific loans is that there is no need to worry about a down payment for them because these loans offer 100% loan financing. However, funding fees and closing costs do apply and that needs to be paid up front.

The other benefits of a VA guarantee include securing a mortgage loan at highly competitive interest rates and the lender is protected against loss if you fail to repay the loan. It also allows veterans the flexibility to buy a great home which would not have been possible otherwise.

Specifically, VA loans help veterans in:

• Buying, building, repairing and refinancing a home
• Installing a solar heating or cooling systems along with other weatherization improvements
• Purchasing and improving a home simultaneously
• Refinancing an existing VA home loan to reduce the interest rate

Other VA safeguards for borrowers are:

• The VA can suspend lenders who take unfair advantage of the borrowers or deny the loan to eligible veterans on the basis of race, color, religion, sexual orientation etc.
• The VA instructs builders of new homes to provide a one year warranty to the buying veterans that the home has been built as per VA approved plans and specifications.
• The borrower who has obtained a VA home loan can only be charged the fees that the VA has deemed allowable.
• The borrower of VA loan can prepay the entire loan without any penalty.
• The VA encourages lenders to extend forbearance if a borrower is temporarily unable to meet payments or terms of the loan.

   All Western Mortgage is a VA approved online mortgage lender that has helped thousands of     veterans to buy their dream home. To apply for our   VA home loans, click here.

Mistakes That Can Get Your Mortgage Application Rejected

Buying a home is a really exciting process, but a rejected mortgage application can crush all your hopes and dreams of having a house of your own. In order to secure a mortgage, it is imperative that the first step of the process remains error free. So, here are a few mistakes that can derail your mortgage application:

 1. Lying about your financial condition: Your credit history gets thoroughly scrutinized before a lender approves you for a mortgage loan. Therefore, withholding information or lying about your financial condition is a big NO. Even if you have a default on your credit report, talk to your lender about it and explain him the circumstances. In most of the cases, lenders will approve your loan if you tell them upfront about a problem.

  2. Not disclosing all your expenses: Before you apply for a loan, make sure that you disclose all your expenses to the lender. Failing to mention about that extra credit card or children’s school tuition fee might lead to the rejection of your loan on the grounds of non-disclosure.

 3. Inconsistent Employment: Lenders prefer working with those borrowers who have been working with the same company for over a year or with the ones who have been in the same line of work for a minimum of two years. If you are planning to change careers and buy a property at the same time, consider putting one of those two things off for the time being. 

 4. Not accounting for closing costs: Apart from the down payment, there are various other upfront costs involved while purchasing a home. These costs include, but are not limited to, mortgage insurance, stamp duty, application fees, origination fees, solicitor fees and inspection fees. Prepare for all these costs beforehand as you won’t want to find out on the day of closing that you’re $20,000 short.

Once you get all the paperwork in order, fill up All Western Mortgage’s online mortgage application here. And if you have any questions regarding the process or are in need of guidance, our expert mortgage professionals are always there to help you. 

Feel free to give us a call at 702-850-2790 any time you want and we will help you with all your problems. 

How to Choose the Best Mortgage Lender to Work With?

If you are looking for a mortgage loan to buy a home and are not planning to waste a month or so in doing so, you need an online direct mortgage lender which is quick, efficient and offers a variety of loan options to choose from. But with a tirade of mortgage lenders claiming to be the best, how do you choose the right one?

Here are some tips that will help you in making the right decision when it comes to choosing the best mortgage lender online.

· Loan Options: Institutional lenders and mortgage bankers generally don’t have many options when it comes to type of loans. They generally believe in the philosophy of one size fits all. A good mortgage lender is one who offers a plethora of mortgage options to choose from that cater to the varied financial needs of his diverse customers.

· 24x7 Customer Support: When you are buying a home for the first time, mortgage can be a confusing process. You need a lending company that is always available on calls and mails to solve your queries and help you out with your doubts.

·  Customer Reviews: It is extremely crucial that you see and check the authenticity of online mortgage lenders’ reviews. If possible, talk to their previous customers and see what they have to say about their loan providers. Better the reviews, more the chances that the lender is a good one and will guide you throughout the process.

All Western Mortgage is a company specializing in home loans, which has been making happy customers since 1981. Want to know what our customers say about us? For direct access to our mortgage loans reviews, visit http://www.awmlending.com/testimonials.php

How To Cut Down Your Mortgage Costs?

If you are struggling to pay your monthly mortgage installments, you must take action quickly before you fall into debt and get your home foreclosed. As soon as you realize that you’re finding it difficult to pay back the mortgage, go to your mortgage loan lender and talk to him. Mortgage professionals, like those there at All Western Mortgage, are understanding people who help you in dealing with your crisis by suggesting various ways out.

Here are some things that you can do to cut down on your mortgage costs:

Switching to a Cheaper Mortgage: The best way of cutting down your mortgage costs is looking for a cheaper mortgage deal and taking a refinance. There will definitely be charges involved with refinancing, but if it lowers your mortgage payments substantially then it is worth a shot.

Ask Your Mortgage Lender for Lower Payments: You can ask your mortgage lender to accept lower payments for a limited amount of time. If you have been a good customer till now, have paid your earlier dues on time and the current financial hardship is of temporary nature, then most mortgage servicing companies will understand your grievance and offer you a new payment plan.

  Changing payments on your endowment policy: If your mortgage is an endowment mortgage, you can either reduce the payments or stop the payments altogether. You can make these payments after you recover from the financial hard patch that you are going through. However, this can be a little risky and you should consult your financial adviser before going ahead with this.

Most mortgage lenders are extremely understanding in this regard and talking to them really helps. All Western Mortgage is the best mortgage loan company in such scenarios. If you ever face difficulty in making your mortgage repayments, we’ll work closely with you and help you overcome this hard time. If you have any questions from us, check our FAQ page here or give us a call at 702-850-2790. 

Step By Step Guide to Refinance Your Mortgage

Are you ready to replace your old mortgage with a new one? Here is a step by step guide that will help you to refinance your mortgage: 

• Establish Goals: First and foremost, you must be clear about why you need a refinance. Is it because you want to shorten your loan term or are you visiting a mortgage refinance company because you want to lower your mortgage payments? Or both? Whatever the reason is, you must ensure that it gets fulfilled by refinancing. 

• Check Your Current Credit Score: The better your credit score, the better mortgage refinance interest rates you’ll be able to secure. 

• Check Your Home’s Current Market Value: Find out your home’s current value by researching your neighborhood and the cost of similar homes which have been sold recently. 

• Compare Mortgage Rates: Compare lenders and shop for the best interest rate. After all, you won’t want to pay more than you have to. 

• Find Out All The Refinance Costs: Refinancing your mortgage has various costs associated with it. Application fees, appraisal costs, origination fees, title insurance etc. are just some of the costs that you’ll incur on refinance. So, get a clear estimate of your closing costs and ensure that you are still saving money before going in for the refinance. 

• Arrange Documents: Gather all your papers like bank statements, salary slips and anything that the lender might ask for. 

• Lock Your Mortgage Refinance Rates: Locking your interest rate at the right time is more art than science. So, tread carefully. 

• Arrange Cash: Have cash on hand for property taxes, insurance and closing costs as some of them would require an upfront payment. 

If you are looking for a refinance, All Western Mortgage is a name you can trust to offer you best interest rates and most flexible terms. Call us on 702-850-2790 or click here to know more. 

Tips For Finding Best Mortgage Companies & Securing Mortgage Loans at Best Rates

Mortgage Loan Company
When you plan to buy a home, it goes without saying that you are in it for the long haul due to the reason that a mortgage debt of 15, 20 or even 30 years is accompanied by it. Therefore, it is smart to shop around for a while to find the best mortgage loan company out there to accompany you in this long journey. One wrong move can result in the selection of a wrong mortgage company or a wrong product and then you could end up spending thousands of extra dollars that could have been easily saved.

Finding good mortgage loans and a good mortgage lender involves more than just the interest rate. You’ll be handling your mortgage for a minimum of 15 years and therefore, it is important that you work with nothing but the best mortgage company, staffed by professionals, who have your best interest at heart and who can expertly guide you through the entire process. 

Here are some tips that will help you in finding the best lenders and grant you more bargaining power:

Polish Your Credit Score: With great credit score, comes great bargaining power and great bargaining power ensures better interest rates.

Know the Lending Landscape: You’ll have to compare a lot of different type of lenders in order to find out which one suits your requirements the best. Talk to online lenders, credit unions, mortgage bankers etc. You can’t rule anyone out before doing your research and comparisons.

Compare Rates: It goes without saying that you’ll have to sit for hours in front of your computer screen and compare rates and terms nonstop to find the best lender.

Asking the Right Questions: Find out about the lenders’ communication channels, fees, requirements etc. and do it upfront. Don’t be shy in asking the questions.

Read the Fine Print Thoroughly: A mortgage loan is not just principal and interest. There are various other costs and fees associated to it. Before you finalize a lender, grab a magnifying glass and read the fine print thoroughly.
  
If you are planning to purchase a home, All Western Mortgage is a name that has been satisfying its customers since 1981. When it comes to residential mortgages, our happy clients speak for our work. To know more about us, just give us a call at 702-850-2790 or visit http://www.awmlending.com/contactus.php

What is an Amortization Schedule?

The amortization schedule for a mortgage loan is nothing but a table that provides the breakdown of monthly loan repayment installments from the loan’s first payment to its final one. The amount of each installment of a mortgage is divided into two parts. 

One part is used to pay off the principal balance of the loan (the debt that is owed by you), whereas the other part pays off the interest portion (the cost of borrowing). An amortization schedule is a table of periodic loan payments that depicts the parts of installment amounts covering both the portions separately.

While the overall amount of the installment remains same each month (especially under fixed rate mortgage), the portion covering interest and principal keeps on changing. You can use an amortization calculator to see the amount you’re paying towards principal and interest.

In the initial years of a mortgage loan, the majority portion of the installment amount covers the interest portion, whereas a very insignificant portion of the installment covers the principal. 

Therefore, for the first 5-6 years of the loan, the principal balance is hardly paid off. With time, this status quo shifts in the favor of principal payments and later on in the loan cycle the majority amount of an installment covers the balance of the loan.

All Western Mortgage has developed an easy-to-use loan amortization calculator that effectively and accurately depicts the amount you are paying as interest and principal with each mortgage repayment installment. 

All you need to do is enter the amount of your loan, interest rate, and number of months in the calculator and it will show you a breakdown of your mortgage. You can check out this mortgage amortization calculator here. 

Understanding FHA Home Loans

FHA home loans are backed by the Federal Housing Administration and are accompanied by flexible terms and less stringent borrower requirements. These loans have allowed millions of first time homeowners to successfully purchase their dream homes, which would have not been possible with conventional mortgages.

FHA loans require a minimum down payment of a mere 3.5% of the value of the home, have realistic and reasonable credit expectations and flexible income requirements. Providers of FHA backed loans look at the whole picture and do not reject applicants who fall short on any one particular criterion.

Borrowers must keep in mind that the money for Federal Housing Administration loans is not given by the FHA. FHA just guarantees the loan which the borrowers receive from their approved lenders. This means that different lenders might offer you similar mortgage terms or might turn you down depending upon their discretion as the FHA offers lenders flexibility to determine their own eligibility benchmarks. 

So, where one lender might refuse your application for an FHA loan, the other might approve it in an instant. The key is to approach multiple lenders.

According to the FHA guidelines, the minimum credit score requirement for a mortgage is 500. However, most lenders will consider anything below 620 to be subpar and having a score below that might get your application cancelled. 

Also, having no credit history is not a problem when it comes to taking an FHA loan. The lenders can use other payment records like rent payments to determine your eligibility.

Apart from that, FHA loans also have very lenient requirements in terms of income, closing costs, debt to income ratios and mortgage insurance. This is the reason they are so popular among the masses.

To check your eligibility for an FHA backed mortgage, call All Western Mortgage on 702-850-2790 now and if you need more info about the same, click here. 

How Adjustable Rate Mortgage Works

An Adjustable Rate mortgage is a type of home loan in which the interest rate changes throughout the life of the loan on the outstanding principal balance. In most types of adjustable rate mortgages, the initial rate of interest remains fixed for a specific period of time and after the completion of that period, it begins to reset yearly or sometimes even monthly. The adjustment of the interest rate depends upon an index plus an additional spread, known as ARM Margin.

Indexes and Margins

After the expiry of the fixed rate period, the interest rates on ARMs begin to increase or decrease as per an index plus a set margin. Most of the ARMs are tied to one of the following three indexes:

•    The maturity yield on one-year Treasury Bills
•    The 11^th District cost of funds index
•    The London Interbank Offered Rate

The index rate keeps on fluctuating, whereas the margin remains the same. For example, if the index rate is 4% and the margin is 2%, the adjusted rate of interest on the mortgage will be 6%. However, the adjustable rates of mortgage will fall to 4% if the index is 2%.

Rate Caps on ARMs

Most ARMs come with rate caps in order to protect the borrower in the scenario of drastic change in adjustable mortgage rate. There are three types of caps:

• Periodic Caps: These rate caps limit how much the interest rate can change from one year to the next year.
• Lifetime Caps: These caps limit how much the rate can increase during the term of the loan.
• Payment Caps: These caps determine how much the monthly mortgage payment can increase.

   If you still have some doubts regarding Adjustable Rate Mortgages, then feel free to call All Western Mortgage at 702-850-2790 or click here. Our expert professionals are always there by your side to solve all your queries.

Planning Your Budget For a Mortgage Purchase

If you are looking for home loans, chances are that you must have already read a million articles and blogs online that are offering you some or the other advice. However, the most important advice anyone can offer is to plan an airtight budget before you jump into the ocean of mortgage purchase.

The first thing you need to do before taking your first home mortgage is work out how much you’re earning and how much do you need to live each month. Include everything from the smallest to the largest expenses like amounts spent on food, clothing, car insurance, electricity bills, gas bills, water bills and any other household expenses.

While planning your budget, list everything on which you spend money. It is advisable to maintain a spending diary to keep a track of where your money is going. Also, don’t forget to include occasional expenses like birthdays, car tax, insurance and festivals like Christmas and Thanksgiving.

You can also use All Western Mortgage’s online calculators to determine what mortgage amount will suit you the best according to your spending needs and expenses.

Keep a regular check on your budget. If your circumstances change for the better, keep a track of your extra income to make the most of it. Alternatively, you will have to find out where you can cut costs to manage your lifestyle with less money if your circumstances change for the worse.

Once you have prepared a comprehensive budget and are absolutely sure that you can manage making home mortgage payments without sacrificing on your lifestyle, only then think about purchasing a home.

For more information on budget planning and mortgages, call All Western Mortgage’s expert advisors at 702-850-2790 or visit http://www.awmlending.com/mortgage-purchase.php

Tips For Filling A Short Mortgage Application Online With An Online Lender

When you are filling a short mortgage application form with an online lender, you must feel comfortable and secure while working with him. It is advisable to apply with more than one online lender so that you’ll be able to compare the different loan terms offered by different lenders. Here are some tips that will help you with the application process. 

1. Prepare Your Information: Once you start filling up a short mortgage application online, the form might require some information that you might not have access to or you might not be sure of. Therefore, it is important that you compile all the information related to your credit reports, employment history, expenses etc. at one place before starting with the form. 

2. Fill Up The Application of More Than One Lender: There are a vast number of online lenders available and all of them offer different loan structures, interest rates and terms. When you apply with different lenders, the chances of your approval increase in direct proportion to the number of forms you fill. 

3. Compare the Different Offers You Get: Once you secure more than one mortgage approval, compare the rates and terms offered by them. The major factors to keep in mind for the comparison are the rates of the loans, their duration, closing costs and each lender’s reputation. 

4. Use The Mortgage Calculators: In order to determine the your mortgage affordability and calculate the monthly payments of different loans, use All Western Mortgage’s mortgage calculators before filling our short application. 

At All Western Mortgage, we guarantee you best interest rates, flexible loan terms, low closing costs and a plethora of mortgage options to choose from. So, what are you waiting for? Apply Now!

A Borrower’s Guide to Mortgage Application

What is a mortgage application?

The basic purpose of a mortgage application is helping the lender decide whether to lend money to the borrower or not. But when you apply for a mortgage, filling the standard Uniform Residential Loan Application is a little bit more complicated than that.

There are a total of 5 sections in the application form and here is a section by section summary of the same, which will allow you to understand it better.

Section 1: The first section describes the loan program that you wish to apply for. There are a lot of loan types available like conventional (Fixed Rate or ARMs), VA, FHA, USDA etc. It is important that you have a comprehensive discussion with your loan officer to understand which loan type will suit your financial needs and conditions the best.

Section 2: This section of an offline or online mortgage application deals with the property information and purpose of the loan. If you haven’t yet decided the type of property that you wish to purchase, parts of this section will be checked as “to be determined.” The other info that you need to fill in this section includes, who will own the house, how the title will be held and the source of down payment.

Section 3: This section deals with your personal information, which includes your and the co-borrower’s full name, birth date, contact details etc. This section can be easily filled by you without any help.

Section 4: The 4^th section of a mortgage application deals with your employment information and a two year job history with your present or previous company is the minimum requirement.

Section 5: The final section deals with your financial ability to repay the mortgage and asks for the details of your monthly income and combined housing expenses.

Now that you are aware of all the sections of a mortgage application, fill it up here and avail best interest rates on home loans offered by All Western Mortgage.

Are You Getting The Best Mortgage Deal From Your Mortgage Loan Company?

Mortgage is an extremely heavy and expensive debt and every single penny that you can manage to save on your monthly payments can make a huge difference on the over-all repayment amount. Therefore, it is a good idea to check every now and then whether you are getting the best deal on the home loan from your mortgage loan company or not.

If you are availing the benefits of a special kind of mortgage plan for a fixed period, always check for the availability of a better deal a few months before its expiry. In order to ensure that you don’t end up struggling to make the ends meet, it is necessary that you don’t pay more than what you have to.

Another important aspect that you must remember is that lower interest rate is not the only criterion to focus on while switching your mortgage plan. Your mortgage lending company might charge you for changing your mortgage plan or for closing your account earlier than the agreed upon time. If you switch from your previous lender to another online mortgage lender, there might be costs associated with that as well. So, keep all these factors in mind before making the switch and signing on that dotted line.

Making a switch at the right opportunity in favor of lower interest rates and affordable switching costs can save you thousands of dollars in mortgage payments and can make your life easier Therefore, always be on the lookout for a better mortgage deal.

If you are searching for some professional financial advice regarding the same, contact All Western Mortgage by visiting www.awmlending.com or by calling us directly on 702-850-2790. Our expert mortgage advisors are always there for you to guide you through the complex process of mortgages