Refinancing Home Loans to Avoid Disaster Later

Question: “On my house and four rentals I have all adjustable mortgages and everything is going great. The rates vary from 2.5% to 3.5% and you can’t touch rates like that on fixed rates.” Answer: You didn’t ask, but I’m going to give you some advice. The conventional wisdom is that rates will go up
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Can You Get a Loan on a Fixer-Upper House?

Question: “Is it possible to get a loan on a fixer-upper house?” Answer: It depends on the condition. Conventional Loans If the house needs cosmetics and/or miscellaneous minor to moderate repairs, you can probably get a regular “conventional” mortgage. Purchase/Renovation Loans If it needs more than that, you could possibly get a rehab/purchase loan. These
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Does It Matter How Much the Buyer Puts Down on Your Home?

Question: “Since I am not carrying the loan on my house, should I care how much the buyer puts down?” Answer: Yes! All other things being equal, the higher the down payment, the stronger the borrower’s qualifications and looser the lending requirements. And a side benefit is that if the appraisal comes in low the
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Will San Diego Home Prices Increase With Interest Rates?

Question: “Interest rates can’t stay this low forever. When they do start to go up, do you think home values will increase? I think it will shake people off the fence and there will be a mini-surge in home sales.” Answer: That brings to mind the old economist’s joke: Why are there no one-armed economists?
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A New Change in Buying a Fix-and-Flip Property

Question: “I heard you can’t get a loan any more if you buy a flip property. Is that true?” Answer: No, but there was one change involving buying a flip, or renovated resale property. FHA announced that starting January 1st, if you want to get an FHA loan, you can’t even WRITE your offer until
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How to Refinance Without Paying Another 30-Year Mortgage

Question: “We’d like to refi and get our rate down, but we’ve had this loan 10 years. So we just have 20 years left and don’t want to start over on a 30 year loan. Is there a way to get our current lender to just lower the rate or refinance the loan in place?”
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Should You Cosign a Loan on a San Diego Home?

Question: “My son asked me to cosign on a loan so he can buy his first home. Is there any risk to me doing that?” Answer: Cosigning on a loan makes you as liable as the person you’re cosigning for. So if your son is late on his mortgage, his and YOUR credit will be
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Should You Wait or Lock in Your Loan Rate Now?

Question: “I’m buying a home and my lender says he can get me a rate just under 4%. Do you recommend I lock my rate in now or wait to see if rates drop more?” Answer: WHAT I WANTED TO SAY: Why would you lock in your rate now? Just hang on a little longer
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Does it Hurt Credit More to Shop Several Lenders?

Question: “Two questions. I’ve heard that every time a banker runs my credit for a mortgage, it actually hurts my credit. Is that true? And does it hurt my credit more to shop several lenders?” Answer: First of all, your credit is only impacted if a mortgage lender actually runs your credit. A conversation won’t
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Funding Your Residential Rental Purchase

Question: “I have several rentals and want to buy another property, perhaps a little house. I’d like to come up with as little cash as possible. What do I need to put down?” Answer: To buy a residential rental, you’ll need at least 20-25% down, plus closing costs of around 3%. But here’s a good
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