Myths about self-employed individuals include they must earn enough income to buy a home without financing it. You may, however, qualify for traditional residential mortgages such as FHA and VA loans if you show stable income from a business or dividends. As noted by...
real estate banking & finance
Understanding the purpose of closing costs
The financial aspect of buying and selling real estate in Florida encompasses several factors. Closing costs, in particular, reference the money required to cover various aspects of a transfer in homeownership. When buyers and sellers understand what closing costs...
Can pre-approval improve your chances of getting a home loan
Seeking pre-approval for a home loan in Florida is just the beginning of the financing process. Your vigilance in following the steps may increase your chances of pre-approval. Once you have a formal pre-approval document in hand, you can use it to your advantage as...
What is mortgage insurance?
Some home buyers got an unpleasant surprise if they put down less than 20%. It comes when the lender informs the buyer that they need to buy mortgage insurance. Also known as private mortgage insurance (PMI), it adds expense to those likely stretched a little thin as...
Mortgage rates at historic lows
Mortgages are often the biggest financial burden on any budget. In light of the current economic environment, the Federal Reserve has cut interest rates to spur the economy. A benefit of this cut is that mortgage lenders followed suit and similarly slashed their...
What are some short term lease concerns?
Short term rentals are becoming more common. These rentals may include rooms, apartments or entire homes. If you have spare housing, it may sound beneficial to list your room or apartment for extra income. Forbes explains that while short term rentals are growing in...
Parents may benefit by purchasing condos for their college kids
Owning a condominium in Florida has several benefits even for an individual who does not wish to reside in it. With the increasingly high costs of college tuition, parents have turned toward condos as a less expensive alternative for providing housing for their adult...
How important is the debt-to-income ratio?
When buying a home in Florida, you most likely must secure a mortgage loan from a lender. Lenders have strict requirements you must meet to qualify for a loan. A home loan is one of the largest debts you will take on. It also requires a long-term commitment, often...
How does a reverse mortgage work?
Florida homeowners have several options when it comes to accessing funds that are tied up in their home. While a home is not a liquid asset so there may not be cash available, there are ways to turn equity into cash. It is important that you understand if this is a...
How can you get a better interest rate on a mortgage?
If you plan to buy a home in Florida and do not have the cash to make the entire purchase, you will have to borrow money from a bank or another lending institution. With this comes interest rates that you pay over the course of your loan. Because the smallest increase...