Know About Online Mortgage Lenders

There is a lot more to finding good online mortgage lenders than just choosing the one whose website looks flashy and promises the best interest rates. You need to make sure that the lender you have chosen, possesses a few qualities that will make your loan process a positive experience. Here are the qualities you must look for in an online mortgage lending company before finalizing one. 

http://www.awmlending.com/

Sky is Not the Limit! There are Caps on Interest Rates | Adjustable Rate Mortgage

Adjustable Rate Mortgages’, aka ARMs, monthly payments can move up or down as per the fluctuations of interest rates and financial indexes. http://www.awmlending.com/loans-adjustable.php

Adjustable Rate Mortgage Loans | All Western Mortgage

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Online Mortgage Lenders

Information is power!! Want to learn mortgage terminology? Check out All Western Mortgage's online mortgage glossary for homebuyers. http://www.awmlending.com/

Online Mortgage Lenders

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Mortgage Refinance Calculator to Find Out if Refinance is a Good idea!

Use All Western Mortgage’s loan refinance calculator to accurately determine if refinancing your home loan will be beneficial for you and to determine how much time it will take for you to break even. Use our home refinance calculator here http://www.awmlending.com/calculators-mortgage.php

Mortgage Refinance Calculator to Find Out if Refinance is a Good idea!

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Are you Planning to Buy a Home? Apply For a Mortgage Today!

 

Planning to Buy a Home? Apply For a Mortgage Today!

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Completing All Western Mortgage’s short online mortgage application takes less than 30 minutes. Fill up our mortgage application today and get ready to say hello to your new home. Visit http://awmlending.com/mortgage-application.php and feel free to call us at 702-850-2790 in case of any doubts or queries. http://www.awmlending.com/mortgage-application.php

Types of Mortgage Loans for Potential Homeowners

When it comes to buying a house, taking a mortgage is inevitable for most homebuyers. Earlier from 2000 to late 2008, during the boom of real estate industry, buyers had exotic loan options to choose from as lenders were offering great loans at risky terms. However since then, lenders have returned to the safe environment of home financing.

Nowadays, there are majorly two types of mortgage loans that conventional buyers can choose from. They are as follows:

1.    Fixed Rate Mortgage: As the name suggests, with a fixed rate mortgage, your rate of interest on the loan remains fixed throughout the term of your loan and the repayment is split into monthly installments for the entire duration regardless of its length. During the initial years of this type of loan, only a small amount of principal amount is paid off and the majority portion of the monthly installments is used to pay off the interest. Fixed rate loans can be 10, 15, 20 or 30 years of duration.

2.    Adjustable Rate Mortgage Loans (ARMs): Unlike fixed rate loans, the interest rate on ARMs changes from year to year. The most prevalent type of ARM is Hybrid ARMs. A hybrid ARM comprises the qualities of both Fixed Rate mortgages and Adjustable Rate mortgages. In the initial years of a Hybrid ARM, the interest remains fixed and starts changing only after a pre-specified duration. Hybrid Mortgages can have anything from a three year to 10 year fixed rate interest period.

These are the two types of mortgage loans that are most common with potential homebuyers. All Western Mortgage offers best interest rates on both these types of mortgages. So, if you are on the hunt for mortgage purchase, call us on 702-850-2790 or visit our website – www.awmlending.com now.

All you need to know about Bi-weekly Mortgage Payments

The manner in which you make your mortgage payments can save you a lot of money over the term of the loan. By making biweekly mortgage payments on your home loan, you can save tens of thousands of dollars along with shedding 7-8 years off of your loan term. The reduction in the loan term also leads to a saving of 23-30% of the total interest cost.

In a bi-weekly mortgage payment plan, one additional mortgage payment is made each year. In simpler terms, you will pay 13 loan installments in a year instead of 12. This extra payment is used to pay off the principal part of the loan and as the principal amount decreases quicker, so does the interest charged on it.

For instance: A mortgage of $100,000 for a term of 30 years at a rate of 6.5% means that the total interest amount on it would be $127,544. When you add the principal amount of $100,000 to it, the grand total comes out to be $227,544. This is the amount that you’ll pay to clear the loan if you make monthly mortgage payments. However, with bi-weekly payments, your interest amount gets reduced to $97,215. This means a total savings of $30,329.

However, some lenders hold off the biweekly payments until they receive both the payments of the month. If this is the case with your lender, then it will not help your cause. In order to avail the full benefits of the biweekly payments, you must have a lender that credits the half of the payment as soon as he receives it from you.

You can use All Western Mortgage’s biweekly mortgage calculator to accurately figure out how much you will save by making biweekly payments on your mortgage loan. Our bi weekly mortgage calculator will provide you a clear picture of the benefits you will avail if you pay off your loan early. So, use it now and increase your pace of equity building.

Adjustable Rate Mortgage: What is it and what are its Benefits

An Adjustable Rate Mortgage loan is a type of home loan in which the interest rate adjusts after a specific period, generally after3, 5, or 7 years. The common perception with ARMs is that they are risky, and many homeowners prefer the safety of a fixed rate mortgage, in which the interest rate remains fixed throughout the term of the loan.

However, the new age hybrid ARMs aim to negate the risk and also offer a variety of benefits. A hybrid Adjustable Rate Mortgage offers a loan at a fixed rate for the initial years of the loan term and only after the completion of the fixed rate duration, the rates start to adjust. Moreover, there are caps on the adjustments of the interest rates to protect the borrowers from paying more than a pre-specified percentage of interest.

Another major benefit of hybrid ARMs is that for the initial years, the interest rate that remains fixed is less than the interest rate offered by FRMs, which allows you to save thousands of dollars in that time period.

Types of ARMs offered by All Western Mortgage:

•    3/1 year adjustable rate mortgage: The interest rate remains fixed for the initial 3 years and starts adjusting yearly after that.
•    5/1 year adjustable rate mortgage: The interest rate remains fixed for the initial 5 years and starts adjusting yearly after that.
•    7/1 year adjustable rate mortgage: The interest rate remains fixed for the initial 7 years and starts adjusting yearly after that.

Our ARMs are amortized over 30 years.  To know more about our ARMs call us on 702-850-2790 or visit our website – www.awmlending.com now.

How Much House Can I Afford: Importance of Mortgage Affordability Calculators

If you are in the market looking to buy a new home, the term mortgage must have crossed your mind a million times and you must be wondering, “How much house can I afford?” This is undoubtedly the most important question that needs to be answered before you jump into taking a mortgage.

Most people wish to know how much mortgage they can afford based on their salary. Unfortunately, it is not that easy. Income cannot be the only deciding factor in establishing your mortgage affordability.

For example, you earn $100,000 in a year, but also own a Mercedes on loan and its repayment sets you back by $2000 every month. In such a case, it won’t matter if you are in the 6 figure club as another person who is making $75,000 a year, but owns a Volvo outright, will be able to afford approximately same amount for mortgage payments.

Many factors will come into play while establishing your mortgage affordability accurately. Most important of those factors will be your monthly expenses and proposed mortgage payments. In simpler terms, we need to check a lot more than your income.

The best way to establish your mortgage affordability is to look at your monthly take-home income and then compare it with all your monthly expenses. All Western Mortgage’s mortgage affordability calculator efficiently takes all these factors into account to accurately predict how much income you will require to afford a particular mortgage loan. You can check it out here - http://www.awmlending.com/calculators-affordability.php

All Western Mortgage has developed various tools and calculators to help you easily calculate all your expenses that effect your mortgage payments. The home affordability calculator is only one such tool. Moreover, our expert lenders are always with you to guide you through the entire loan procedure. So, call us on 702-850-2790 now and allow us to help you in realizing your dream of buying a home.

Benefits of Refinancing Your Mortgage

Many people refinance their mortgage due to a lot of reasons. But, before we get to the benefits of refinancing, let us see what the term actually means.  Mortgage Refinance simply means clearing the existing mortgage and replacing it with a new one that is available at better terms. The various benefits of refinancing at the right time are listed below:

Mortgage Refinance

• Lower Monthly payments: The major benefit due to which people refinance their mortgage is the substantially reduced amount of monthly payments. If the interest rate goes down below 2% than the rate at which you acquired the initial mortgage, it can reduce the amount of your monthly installments drastically. Therefore, it makes sense to refinance your mortgage in such a scenario.

Refinance Mortgage

• Building equity faster: If you can afford to pay a higher amount as monthly installments due to some reason or if you can reduce the loan term at the same amount of monthly installments due to a fall in the mortgage refinance interest rates, you might want to switch from a 30 year loan to a 15 year loan as it will build your equity faster.

Mortgage Refinance Company

• Changing loan type: Another benefit of approaching a mortgage refinance company is that you can change your loan type. If you feel that ARM type is offering you a better deal than your existing FRM or vice versa, you can refinance your loan and get it changed according to your needs and financial requirements.

Do you feel it is the right time to refinance? We can help you with it and tell you if it’ll be a good option for you or not. Call All Western Mortgage on 702-850-2790 or visit http://www.awmlending.com/mortgage-refinance.php to know more. Our professional mortgage refinance experts will be happy to help you.

All You Need To Know About FHA Loans

FHA Home Loans are government insured home mortgage loans that are not as stringent as conventional loans and offer more flexible lending requirements. FHA Loans are available with both fixed rates and adjustable rates, however due to their flexible nature the interest rates on them tend to be somewhat higher and a borrower might also have to pay monthly Private Mortgage Insurance (PMI) premiums.

These Federal Housing Administration Loans are insured by the FHA and have an easier qualification process due to less strict credit and down payment requirements than the conventional type of home loans.

The major benefits of these loans are as follows:

• Lower Down Payments: You can qualify for an FHA mortgage with a down payment as low as 3.5%. However the interest rates might be higher than the conventional loans.

• Lower Credit Benchmarks: One of the best benefits of FHA loans is that you can qualify for them even with a bad credit history.

• Best for Refinance: Many borrowers with newly adjusted ARMs on the higher end look to refinance their mortgages into Fixed-rate FHA mortgages.

Requirements

• Amount of the Loan: Maximum mortgage limits under FHA loans vary by the state.
• Down Payment: Minimum down payment of 3.5% is required.
• Condition of the Property/Home: One of the major guidelines governing the FHA loans states that the home being purchased meets certain conditions and gets appraised by an FHA approved appraiser. Also, FHA loans are available only if they are to be used to buy a home that serves as the primary residence of the borrower.

The Bottom Line

An FHA home loan will be a great option for you if you have less than perfect credit score or limited cash for down payment.
All Western Mortgage is an FHA certified lender and if you don’t have a perfect credit or enough cash for making 20% down payment, we’ll be happy to help you in providing a loan so that you can purchase a place, which you can call home.

The Basics of Adjustable Rate Mortgage

Adjustable Rate Mortgages’, aka ARMs, monthly payments can move up or down as per the fluctuations of interest rates and financial indexes. Most of the ARMs have an initial period of fixed rate where the interest and monthly payments remain the same and after the expiry of that fixed rate period, the interest rates begin to change at preset intervals. This can be monthly, yearly half-yearly or quarterly.

Advantages of ARMs

•    The initial fixed rate period offers lower interest rate as compared to the Fixed-Rate Mortgages
•    After the expiry of the initial fixed-rate period, the interest rate can fall even further, making the monthly payments even lower.

Disadvantages of ARMs

•    After the end of the initial fixed-rate period, the interest rate can go up as well, making the monthly payments higher
•    Interest rates and financial indexes are unpredictable. So, you never know how much you’re going to pay as interest in the future.

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 11th District cost of funds index
•    The London Interbank Offered Rate

Sky is Not the Limit! There are Caps on Interest Rates

The fluctuations of interest rates don’t mean that your monthly payments can skyrocket. There are certain caps on the interest rates that protect the interests of both the borrowers and the lenders. The types of caps levied on the Adjustable Rate Mortgage are:

•    A periodic rate cap that governs how much the interest rate can change from one year to the next
•    A lifetime cap that governs how much the rates can rise during the life of the loan
•    A payment cap that limits the amount of monthly payments

For more info on Adjustable Rate Mortgages, feel free to call All Western Mortgage at 702-850-2790 or

http://www.awmlending.com/loans-adjustable.php

Are you new for Mortgage Loan? Read All Western Mortgage’s Simple Guide

All Western Mortgage’s easy to use guide for apply a mortgage application. This guide will help you which types of information you will need to provide for a mortgage application. http://www.awmlending.com/shortapp.php or for further questions, call us on 702-850-2790.

How to Complete a Mortgage Application?

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Read All Western Mortgage’s Mortgage Terminology

Read All Western Mortgage’s Mortgage Terminology to know market’s generally used mortgage terms. Please Visit our website for more info. http://www.awmlending.com/mortgage-glossary.php or for further questions, call us on 702-850-2790.

Mortgage Glossary of All Western Mortgage

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All Western Mortgage | Mortgage Lending Company

All Western Mortgage is the best mortgage lending company in USA. Check our types of mortgage loans. Your dream home loan is just a few clicks away. Visit our website for more info.

http://www.awmlending.com/ or for further questions, call us on 702-850-2790.

Standard Mortgage Calculator | All Western Mortgage

Use All Western Mortgage's standard monthly mortgage payment calculator to find the amount of monthly installments based on loan term, amount of loan and interest. http://www.awmlending.com/calculators-standard.php

Standard Mortgage Calculator | All Western Mortgage

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How to Cope With The Rising Interest Rates on Adjustable Rate Mortgage

An Adjustable Rate Mortgage is a great option if you are looking for lowest mortgage rates in the initial years of the loan, but there is always a risk of rate hikes with them. A significant increase in the mortgage rates can lead to Payment Shock and this is quite common with the ARMs as the interest rate on them keeps fluctuating yearly. ARMs have an initial fixed rate period of up to 7 years and once this period gets over, the rate resets annually as per the condition of the market. It can move either up or down and if it moves up, the mortgage payments can skyrocket.

But fear not. Here are some ways to cope with the payment shock of ARMs.

1.    Know The Rate Caps: ARMs are always accompanied by an interest rate cap that limits their fluctuation. There are two types of rate caps. The first one limit how much the rate can increase from one year to the next and the second one limits the rate increase over the life of the loan. Before you take an adjustable rate mortgage, find out about the rate caps and in order to avoid payment shock, ask your lender to calculate the payments of worst case scenario. Thus, you’ll have an idea of what to expect.

2.    Refinance: ARMs are most suitable for people who don’t plan to live in the same house for more than a few years and are planning to move out before their first rate adjustment. However, if you do plan to stick around for long then refinancing your ARM to a Fixed Rate Mortgage is the best way to avoid payment shock.

3.    Loan Modification: If you are struggling to meet your mortgage payments due to rate hikes and have missed a couple of them, your lender may modify the terms of your loan. This might include switching to a fixed rate loan without refinancing or lowering your monthly payment to avoid foreclosure.

4.    Get Rid of PMI: You can ask your lender to remove the Private Mortgage Insurance from your loan in order to cope with the unrealistically high payments.
However, ARMs are not all that bad. They offer lower initial rates than fixed rate mortgages and there is always a chance of interest rates going down rather than going up.

If you are feeling the burden of payment shock or have any further questions regarding ARMs, feel free to call All Western Mortgage at 702-850-2790 or just visit http://www.awmlending.com/loans-adjustable.php