What questions should I ask a mortgage lender in St. Marys ? If you’re dealing with a mortgage broker there’s some questions that you should ask both on your first meeting with the mortgage broker and throughout working with your mortgage broker to make sure that you’re getting the best service possible.
USDALoanInfoPA is going to go through 10 different questions that you can ask your mortgage lender in St. Marys. Be aware that your USDA Loan or Mortgage broker will be getting the loan that you need and the service that you want.
The first question that I think everyone should ask a mortgage broker is a pretty straightforward one.
How Much Will a Mortgage Broker Cost?
Most mortgage lenders in St. Marys actually work for free.
So it doesn’t actually cost you anything in order to do it.
They get money because they are paid by the banks when you successfully get a loan.
So they get a small commission of the loan that you apply for and if you get it.
Is a USDA Loan Right For You?
So most mortgage brokers in St. Marys will work for free and it won’t cost you anything.
However, there are some mortgage brokers out there who do require deposits or who do require you to pay.
So, it’s important to ask, “How much will this cost me?” when assessing which mortgage broker you want to go with.
How much do Mortgage Lenders earn in commission from me and from my loan?
This is less to understand exactly how much they make.
You can see what percentage of commissions they make and things like that by visiting USDALoanInfo.
But it’s more to understand whether or not they’ll be willing to give you this information.
A transparent mortgage broker is someone that’d be willing to give you this information and you know that they have your best interest at heart.
Home Loan Application Mistakes
If they skirt around this issue and they don’t tell you how much they earn.
Well then that would send out red flags for me because I can’t trust them to put my best interest at heart because there are some circumstances where one loan will earn them more money than a loan that could potentially be better for me but not as good for them.
So, I’m just trying to establish whether or not this mortgage broker in St. Marys is someone that I can trust.
And by asking them the big question, the money question,”How much will you earn from me?” That’s a great way to understand whether or not you can trust the mortgage lender.
So ask that question and see how they respond.
Do Mortgage Lenders Invest Themselves?
Now, I don’t think a mortgage broker has to be a property investor in order for them to be able to get you a good loan and for them to help you successfully invest in property.
However, if they are interested in property in St. Marys, if they do invest themselves, then that is going to go a long way to help you because they understand what it’s like to be in your shoes.
They understand what you’re trying to get out of this and they’ve done it themselves so they can help you miss some of the pitfalls and things like that.
If they don’t invest themselves, then I would want to ask them, “Have you worked with many people that invest in property?” Because as mortgage brokers, some of them just work with people who are buying their own home.
How To Choose A Mortgage Lender When Buying a Home
Some of the mortgage lender folk who work with people who are doing particular investment strategies.
So, some might work with people who invest in positive cash flow property or who invest in rural areas, who invest using developments.
>>> WELCOME BACK.
WHETHER IT IS TIME TO OWN YOUR DREAM HOME, FINDING THE RIGHT HOUSE IS ONLY THE BEGINNING.
>> FIGURING OUT HOW TO PAY FOR IT IS EVEN MORE IMPORTANT.
JOINING ME NOW IS JEFF MCCARTHY AND PAT GOSA FROM FIRST BANK FINANCIAL CENTRE WITH SOME IMPORTANT QUESTIONS THAT YOU SHOULD WHEN YOU ARE LOOKING AROUND FOR A MORTGAGE LENDER.
GOOD TO SEE YOU GUYS THANKS FOR BEING HERE.
AS I MENTIONED FINDING THE HOME IS LIKE THE FIRST GOOD LIKE MOMENT.
THAT'S WHAT YOU GOT TO DO, BUT AFTER THAT, KNOWING THE RIGHT QUESTIONS TO TALK ABOUT WITH YOUR MORTGAGE LENDER OR SUCH IS IMPORTANT.
SO MANY PEOPLE SPEND YOU KNOW MONTHS LOOKING FOR THE DREAM HOME, THAT THEY ARE GOING TO RETIRE IN OR RAISE THEIR FAMILY IN, BUT A LOT OF PEOPLE DON'T TAKE THE TIME TO FIND THE RIGHT MORTGAGE LENDER FOR THEM.
IT'S ALMOST AN AFTERTHOUGHT FOR A LOT OF PEOPLE.
THAT CAN BE A BIG MISTAKE IN THE PROCESS.
>> WHEN SHOULD PEOPLE START LOOKING FOR THE RIGHT LENDERS? IS THERE A SPECIFIC TIME? >> I TELL YOU, SOONER THAN LATER BECAUSE, YOU WOULD HATE TO HAVE TIFFANY SOMEBODY FIND THEIR DREAM HOME AND FIND OUT LATER THEY DON'T QUALIFY FOR THAT MORTGAGE LOAN.
THE SOONER CAN YOU GET IN TO TALK TO A LENDER THE BETTER.
WHETHER IT IS YOUR FIRST TIME BUYING A HOME OR FOURTH TIME, OUR GUIDELINES ARE ALWAYS CHANGING, THE LOAN PROGRAMS CHANGING, SO IT'S GOOD TO GET IN AND TALK ABOUT YOUR INDIVIDUAL SITUATION WHETHER IT BE INCOME, CREDIT, DOWN PAYMENT WHAT HAVE YOU.
>> I KNEE BEING PRO APPROVED AND KNOWING WHAT YOU CAN AFFORD ARE IMPORTANT.
WHAT ARE THE VERY FIRST THINGS YOU SHOULD ASK YOUR LENDER? IF I COME IN TO MEET WITH YOU OR ONE OF YOUR SALES STAFF WHAT SHOULD I BASICALLY SAY? >> USUALLY.
PEOPLE HEAR FROM THEIR FAMILY AND FRIENDS AND SAY FIND OUT WHAT THE RATES ARE AND CLOSING COSTS ARE.
A IMPORTANT ASPECT OF COURSE.
MORE IMPORTANT IS REALLY, ASKING ABOUT THE DIFFERENT LOAN PROGRAMS THEY MAY QUALIFY FOR.
ALSO THEIR INCOME.
YOU KNOW WE HAVE TO SOURCE THAT.
IS IT JUST W2 INCOME, COMMISSION INCOME.
WE NEWS INCOME THEY ARE TRYING TO COUNT TO QUALIFY.
SAME WITH ASOCIETIES WE HAVE TO TRACK THOSE ASSETS A PAPER TRAIL WHERE ARE THEY COMING FROM.
THE SALE OF A HOME OR ASSET.
MONEY THAT IS GIFTED TO THEM.
WE HAVE TO NAVIGATE THROUGH ALL OF THAT.
THEN GIVE THEM A GREAT IDEA WHICH LOAN PROGRAM IS BEST FIT FOR THEM.
>> THERE ARE DIFFERENT LOANS THAT CAN HELP YOU THAT ARE SO IMPORTANT.
WHY DO YOU THINK IT IS IMPORTANT THAT A LENDER HAS EXPERIENCE? >> I THINK A LOT OF TIMES BECAUSE THEY ARE ASKING THOSE QUESTIONS.
THEY ARE ASKING ABOUT THE INCOME, THE ASSETS AND WHAT HAVE YOU.
THEY KNOW THE LOAN PROGRAMS, THE LOPE GUIDELINES.
YOU WANT SOMEONE THAT IS VERY EXPERIENCED IN THOSE TO ASK THE RIGHT QUESTIONS NOT SO MUCH THE CUSTOMER ASKING YOU THE QUESTIONS, BUT SO THEN YOU CAN CREATE THAT PRODUCT FOR THEM, THAT FITS THEIR NEEDS.
DO YOU SEE OFTENTIMES PEOPLE COME IN AND THEY DON'T REALLY KNOW WHAT TO ASK OR THEY DON'T KNOW WHAT THEY CAN AFFORD? >> EXACTLY.
>> I BET.
>> I REALLY SUGGEST PEOPLE TO GET IN AND GET PREQUALIFIED.
EVEN BETTER TO GET PREAPPROVED THEN IT GOES TO THE UNDERWRITER TO MAKE SURE WE HAVE ALL OF OUR DUCKS IN THE ROW.
>>> A LOT OF PEOPLE I WOULD GUESS JUST GO IT THEIR PRIMARY BANK.
THEY THINK OKAY I ALREADY HAVE AN ACCOUNT WITH THESE PEOPLE THAT WORKS.
I'M JUST GOING TO GO THERE BECAUSE I'M FAMILIAR WITH IT.
THAT'S NOT ALWAYS THE RIGHT DECISION.
CORRECT? >> IT VERY WELL COULD BE.
IT MIGHT NOT BE YOU'RE RIGHT.
DOES THAT LENDER USE GRANTS THAT ARE AVAILABLE TO FIRST TIME HOME BUYERS? DO THEY DO CONSTRUCTION LENDING.
COULD THEY DO PORTFOLIO LENDING.
DO THEY HAVE ALL OF THE COATS IN THE RACK SO TO SPEAK WITH THE DIFFERENT LOAN PROGRAMS OUT THERE AND DO THEY UNDERSTAND THEM IF THEY DON'T DO A LOT OF THEM THEY MIGHT NOT BE THE BEST CHOICE.
>> ARE THEY COMPETITIVE WITH THEIR RATES OF COURSE AND CLOSING COSTS.
>> LIKE YOU SAID THE FIRST THING PEOPLE THINK OF IS WHAT IS THAT PERCENTAGE AT.
THAT'S WHAT IS MOST IMPORTANT.
IT IS NOT ALWAYS WHAT IS THE MOST IMPORTANT PIECE OF IT ALL.
WHAT DO YOU GUYS THINK SETS YOU APART AT FIRST BANK FINANCIAL CENTER? >> FOR ME MY SALES TEAM.
WE HAVE AN EXPERIENCED GROUP THEY KNOW TO ASK THE RIGHT QUESTIONS.
THEY ALSO HAVE A PASSION FOR THE BUSINESS LIKE I DO.
THY THINK THEY WANT TO HELP THAT CUSTOMER HAVE A GREAT EXPERIENCE THROUGH THE LOAN PROCESS AND, NAVIGATE AGAIN, TO BE YOU KNOW LIKE A FUN EXPERIENCE TOO.
>> OWNING HOME IS STILL I THINK THE AMERICAN DREAM WHETHER IT IS A CONDO, A HOME, A TOWN HOME WHATEVER THAT MEANS TO YOU, OWNING I STILL THINK IS THE BIGGEST THING.
YOU HAVE A GREAT OFFER FOR PEOPLE WHO ARE WATCHING TODAY TO WORK WITH YOU GUYS.
>> WE DO FOR MORNING BLEND VIEWERS IF THEY GO TO FVFCWI.
COM/300 CLOSING THEY CAN DOWNLOAD A COUPON FOR $300 OFF CLOSING COSTS.
THEY CAN USE THAT MONEY FOR PAINT OR A RAKE, TO RAKE NEW LEAVES IN THEIR YARD.
WHATEVER THEY NEED FOR THEIR NEW HOME.
>>I LOVE IT IT'S GREAT YOU GUYS.
PEOPLE CAN COME IN AND MEET WITH ANY OF YOUR GREAT STAFF.
FIND OUT A LITTLE MORE ABOUT WHAT THEY ARE QUALIFIED FOR OR DIFFERENT TYPES OF LOANS THAT WILL HELP THEM GET THE DREAM HOME THEY HAVE ALWAYS WANTED.
>> HERE'S INFORMATION FOR FIRST FOR FOR FOR FIRST BANK FINANCIAL CENTER.
THERE IS A COUPON ON THERE AS JEFF MENTIONED FOR $300 OFF OF CLOSING COSTS.
MAKE SURE YOU DO THAT, GET THOSE $300 AND LIKE YOU SAID YOU CAN USE THAT FOR PAINT OR WHATEVER YOU WANT MAYBE TOWARDS THE NEW.
So I would want to find a mortgage broker who either had that experience themselves or who had clients that they had got similar deals for ’cause that way I know that they can negotiate on my behalf and they can get this deal across the line.
What details do Lenders need from me?
It’s one thing to call up a mortgage broker and just to get an estimate of your borrowing capacity but if you’re going through pre-approval and stuff like that, then you’re going to need to provide the mortgage broker with more in-depth details.
You might need pay slips; you might need proof of identity, all of that sort of stuff.
If you ask them up front, “What details do you need from me?” And when you go to your meeting with them you actually provide them with those details, well that just makes things so much easier.
Top Ten List of Bad Mortgage Lenders
Remember, a mortgage lender is only paid once the deal goes through and once you actually get financing.
So the easier you make it for them, the more likely you are going to get better service.
What can I do as a client to make this go as smoothly as possible?
You have the goal of getting financed for your property, the mortgage lender has a goal of you getting financed for your property and no one wants it to be difficult.
And so, if you can ask the mortgage broker, “Look, how can I work with you? How can I make things easy for you?” They’re the experts; they know what they’re doing.
They can tell you exactly what they need and then you can work hard to provide that for them so that they can get everything across the line as quickly as possible.
You know, I have customers,I deal with customers and even though I’m not a mortgage broker myself, I know that when there’s difficult customers that you don’t want to deal with, it just makes life so much harder and you don’t want to work hard for those people.
And when there’s customers who are really nice to you and who try really hard to help you provide them with the service you provide, you will bend over backwards to do anything you can for those customers to get them across the line, to help them as much as possible.
So, be one of those customers that the mortgage broker wants to bend over backwards to help you because you have their interest at heart as well.
You want to see them get paid.
You want to see them do an easy mortgage so they get paid easily.
And so you can develop a relationship into the future.
Which lenders can I borrow the most from?
Most people go into a mortgage broker looking for the cheapest interest rate possible.
What is the cheapest interest rate I can get? And the fact of the matter is a mortgage broker is likely to show you the banks that will lend you the amount of money you need and will also have the cheapest interest rate as well.
However, they might not showy ou banks that will lend you more money than you potentially need at the moment.
Now, it’s important to ask, “Which lenders can I borrow the most from?” because this will help you to project into the future.
Maybe you don’t need to know that for this loan right now but maybe, in the future, you might need to borrow money again and you know, or roughly my borrowing capacity is this.
Or if you find out which lenders you can borrow more from, and you find that you can actually borrow an extra $300,000, well you might split up your deposit and invest in two investment properties instead of just one.
And so asking them, “Which lenders can I borrow the most from?” is a great question to ask to really understand your position.
Because, yes, interest rate is important but how much you can borrow is also important as well.
Can I see a full list of my borrowing options?
Most mortgage brokers will provide you with, usually, like a top three or sometimes only a top one.
And I always like to think, “Can I see a full list of my borrowing options?”Again, this is less to say you want to go through all of this in minute detail and see.
You’re probably going to still choose from one of the top three ones.
But you just want to see that they’re giving you the full amount of information.
And most mortgage brokers are good people but there are some dodgy mortgage brokers out there who are just trying to get the deal that gives them the biggest commission.
And so by asking to see a full list of what your borrowing options, you can then look at that and you can then assess, “Okay, well which loan do I think is going to be best for me?” rather than just taking the recommendation of the mortgage broker who may or may not be thinking about themselves.
So, again, most mortgage brokers are great people out there to help you but it’s always a good idea to get a full list of your borrowing options that are available.
Will this put a mark against my credit file?
And so this is when you’re trying to work out how much you’re going to borrow and stuff like that.
When you go into a bank and you try and find out how much you can borrow, often, the bank will do a credit check and this puts a mark against your credit file.
And what happens is if you have a lot of these marks against your credit file, even though it’s nothing bad, this can actually stop you getting a loan.
So, talk to your mortgage broker and when you’re looking at, “What can I borrow?”or your looking at getting pre-approval, just understand, “Will this put a mark against my credit file?” ‘Cause it’s not bad to have a couple or whatever.
But if you’re getting lots and lots of marks against your credit file, then that could be an issue.
So just make sure and you know when a mark’s being put against your credit file and when a mark isn’t being put against your credit file.
How soon can I revalue or borrow again?
So if you’re investing in a property to renovate it or to develop it or even if you’re investing in a property that’s potentially under market value, you want to know how quickly can you revalue that property so you can get equity and then hopefully draw equity out of the property to go ahead and invest again.
There are a lot of lenders out there who don’t allow you to revalue within a 12-month period.
So, speak to your mortgage broker about the lenders that will allow you to revalue faster.
And basically, this will give you an idea of how quickly you can revalue to consider going again.
You’re also going to want to ask them, “After I invest in this property, how soon can I borrow again or what do I need to do to put myself in a position to be able to borrow again and to purchase the next property?” Because hopefully, your goal isn’t just to purchase one property but to grow your property portfolio and to achieve that financial freedom and that financial security that you’re striving for.
Will My Loans be ‘cross-collateralised’?
Now, I have heard a lot of stories about investors whose loans have been cross-collateralised and it’s cause major problems when they’ve gone and sold their property because the bank shave been able to take that money and pay off debt.
And basically, you want to avoid this at all costs from what I hear.
And so, it’s good to ask your mortgage broker, “Will my loans be cross-collateralised in any way?” Generally going with the same lender for two loans does it by default, even though it doesn’t say they’re cross-collateralised.
So, it’s just something that you want to look at the fine print, you want to understand, “Are these cross-collateralised?” And if they are, try and avoid it, try and get loans that aren’t going to be cross-collateralised.
So there you have some questions to ask your mortgage broker next time you go and see a broker to find out how much you can borrow or get pre-approval or get financed for another property.
If you are in the market, looking at properties and you want to see some high rental yield properties, then I’ve got 10 property listings that I’ve gone out and found for you guys.
You can see what high rental yield properties look like that are likely to generate a positive cash flow.
Did You Know – You Can Get Pre-Approved for a USDA Loan in St. Marys?
Ben LillistonBlockedUnblockFollowFollowingJan 2In August 2016, the Department of Agriculture’s Farm Service Agency quietly announced a major change regarding its loan program for medium-sized Confined Animal Feeding Operations (CAFOs). The agency would no longer require an environmental review under the National Environmental Protection Act (NEPA) prior to the approval of such loans. Nor would neighboring farmers, rural residents or local government officials have notice that such an operation was being built until construction began. The agency gave no reasoned justification for the decision despite the high stakes for community members, clean air and water, and the climate.This week, IATP joined seven other family farm, sustainable agriculture and citizen organizations in filing suit against the USDA, charging that the decision violated requirements under NEPA and the Administrative Procedures Act by depriving the public of the opportunity to comment on the proposed change.NEPA is one of the nation’s most important environmental laws. It requires environmental review for any government funding actions, which entails looking at the impact both directly from the action and also the cumulative effects. For example, the location of numerous CAFOs within a watershed that passes through multiple states should be assessed for their cumulative impact. NEPA also applies to climate impacts, as a federal judge noted recently in blocking the Trump administration’s approval of the Keystone XL pipeline. NEPA applies to all federal agencies and to many types of federal actions, from permits to loans.This USDA decision, made during the Obama administration and continued under the Trump administration, came as rural communities around the country are increasingly experiencing and fighting back against the harmful environmental and health impacts of these industrial CAFOs. In California, San Joaquin Valley communities are opposing air and water pollution from mega-dairies. In Iowa, groups are calling for a moratorium on new operations until water quality issues are addressed. In North Carolina, environmental justice groups are pushing back against the water, air and quality of life problems associated with the high concentration of hog and poultry CAFOs. These are mostly in African American, rural counties and are worsened by manure lagoon spills caused by two recent hurricanes.CAFOs are considered a major source of air pollution. Waste from cow (beef and dairy) and hog CAFOs collect in manure lagoons, often open and uncovered, and release gases into the environment. The smell from the manure lagoons decreases the quality of life for surrounding communities. In addition, the liquid manure is often sprayed onto nearby fields, causing additional emissions, odor and particulate drift to surrounding communities. CAFOs emit a variety of air pollutants, including ammonia, hydrogen sulfide, methane, nitrous oxide, volatile organic compounds, and particulate matter. These pollutants can lead to health problems, particularly for children and the elderly, including respiratory illnesses; irritation to the eyes, nose and throat; anxiety and depression; memory loss; and heart disease.But these operations are more than just a threat to their neighboring communities — they are also a threat to the climate. The enormous amounts of manure produce greenhouse gas (GHG) emissions like methane (20 times more potent that carbon dioxide) and nitrous oxide (300 times more potent). Methane is produced through the digestive process of ruminants (primarily beef and dairy cows in the U.S.) and nitrous oxide is produced through the decomposition of liquified manure. The EPA saysthat U.S. GHGs from agriculture have grown by approximately 17 percent since 1990, with the main driver being the 68 percent rise in emissions from livestock manure.These CAFOs operate on contract and are often owned, run or controlled by large, often global, meat and dairy corporations. For example, a recent FSA loan outlined in the lawsuit went to expand a hog CAFO in Wells County, Indiana, that was built to supply the Brazilian meat giant JBS. A turkey CAFO in Martin County, Indiana, received a loan to supply poultry giant Perdue. These corporate beneficiaries are a major source of global GHGs, according to a report by IATP and GRAIN released earlier this year.The FSA’s decision to exempt mid-sized CAFOs from environmental review is not minor. Medium-sized CAFOs can hold as many as 699 dairy cows, 999 cattle, 2,499 hogs, 54,999 turkeys or 124,999 chickens. FSA records obtained through the Freedom of Information Act show that since the rule change, FSA provided at least 130 direct loans over $100,000 or guaranteed (government-backed) loans over $300,000 to animal agriculture facilities in the state of Indiana alone. For more than 100 of those loans, FSA did not conduct an environmental assessment, according to the lawsuit. FSA determined, without justification, that environmental assessments were not needed for loans to CAFO operations in Arkansas, Indiana, New York or Iowa.These large-scale industrial animal operations are propped up by government policy and subsidies in a variety of ways — from Farm Bill programs that subsidize cheap animal feed production and manure management, to exemptions from reporting air emissions. The expansion of the CAFO model has led to massive overproduction, lower prices for producers and relentless pressure to continually increase exports for the global meat and dairy companies.Many CAFOs around the country would not exist without FSA loan support. The use of public money should reflect the public good. Public investments in the CAFO model of production have come at the expense of support for independent farmers and ranchers who are protecting rural waterways, air and the climate. Providing a full accounting of possible environmental risks, including potential climate impacts, should be a minimum standard before any public resources are invested.
10 Questions You Should Ask Your Mortgage Broker
Walk into any high street bank or building society and mention that youre looking for a mortgage, and youre likely to be bombarded with leaflets, if not hurried into a private office to meet their mortgage advisor. Mortgages are big business and every large financial institution will offer several types of loan for buying property. Its a good idea to check out as many different lenders as possible before making a decision experts repeat the phrase shop around like a mantra these days and you could save yourself a lot of money by comparing whats on offer. Your own bank may be a good place to start if youve banked with them for a while and have a good financial record they may be more confident about loaning you a large amount of money such as a mortgage. However, with relatively low interest rates and a booming market, these days the competition among lenders is fierce and you may find a better deal elsewhere. Dont feel that you have to use the same bank for your mortgage as for your personal account. There are a number of websites that produce tables of comparative mortgage offers just type mortgage into your search engine and see the amount of results you pull up. Which, the magazine of the Consumers Association, is a reliable source of information on the current market. Check their website for guides on Which mortgage at www.which.co.uk The financial pages in newspapers carry adverts as well as news on the latest deals beware though of being seduced by adverts promising low rates without giving all the details theres more to finding the right mortgage than just picking the best rate. The bank are likely to advertise their lowest rate, and you are likely to have to meet certain criteria before qualifying for that particular deal. Check for things like hidden clauses or Higher Lending Charges these are one-off charges applied to some deals that are supposedly to cover insurance protection for the bank when they lend to you. They will not, however, provide the lender with any security! Ethical investment is also a consideration for some borrowers Muslim banks, for example, are forbidden from charging or paying interest. You can find out more about ethical banking and investments at www.eiris.org The Islamic Bank of Britain complies with Sharia Law, contact them at www.islamic-bank.com