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How do I get my free appraisal from the Alabama Mortgage Center? Answer |
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Is there a fee to discuss my potential home purchase or refinance? Answer |
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How important is my credit score in the home loan process? Answer |
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How do I know how much house I can afford? Answer |
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How much cash will I need to purchase a home? Answer |
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What does my mortgage payment include? Answer |
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How do I know which type of mortgage is best for me? Answer |
| 8. |
What is the difference between a fixed-rate loan and an adjustable-rate loan? Answer |
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How is an index and margin used in an ARM? Answer |
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How do I get my free appraisal from the Alabama Mortgage Center? |
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At the time of your purchase or refinance loan closing through the Alabama Mortgage Center, the appraisal will be paid for by us, NOT YOU - a savings of up to $400! And don't worry, we will not hide this cost or make up for it by charging you somewhere else, it is truly a discount to you! |
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Is there a fee to discuss my potential home purchase or refinance? |
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No, the initial mortgage consultation is absolutely FREE so call or email the Alabama Mortgage Center today! 205.567.7337 |
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How important is my credit score in the home loan process? |
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Credit scores are VERY important, especially in the current mortgage and housing markets. Lender guidelines change almost daily but we are happy to discuss the details with you as we review your specific situation. Yes, the credit markets have tightened in recent months but it is still a great time to consider a purchase or refinance so let the Alabama Mortgage Center experts guide you through the process with confidence. |
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How do I know how much house I can afford? |
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Generally speaking, you can purchase a home with a value of two or three times your annual household income. However, the amount that you can borrow will also depend upon your employment history, credit history, current savings and debts, and the amount of down payment you are willing to make. You may also be able to take advantage of special loan programs for first time buyers to purchase a home with a higher value. Give the Alabama Mortgage Center a call, and we can help you determine exactly how much you can afford. |
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How much cash will I need to purchase a home? |
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The amount of cash that is necessary depends on a number of items. Generally speaking, though, you will need to supply:
Earnest Money: The deposit that is supplied when you make an offer on the house
Down Payment: A percentage of the cost of the home that is due at settlement
Closing Costs: Costs associated with processing paperwork to purchase or refinance a house
Contact the Alabama Mortgage Center today for a written proposal (Good Faith Estimate) for any number of loan scenarios. We would be glad to discuss your situation so call today for your FREE mortgage consultation! |
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What does my mortgage payment include? |
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For most homeowners, the monthly mortgage payments include three separate parts: Principal: Repayment on the amount borrowedInterest: Payment to the lender for the amount borrowedTaxes & Insurance: Monthly payments are normally made into a special escrow account for items like hazard insurance and property taxes. This feature is sometimes optional, in which case the fees will be paid by you directly to the County Tax Assessor and property insurance company. |
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How do I know which type of mortgage is best for me? |
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There is no simple formula to determine the type of mortgage that is best for you. This choice depends on a number of factors, including your current financial picture and how long you intend to keep your house. The mortgage consultants at the Alabama Mortgage Center can help you evaluate your choices and help you make the most appropriate decision. Give us a call today!!! |
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What is the difference between a fixed-rate loan and an adjustable-rate loan? |
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With a fixed-rate mortgage, the interest rate stays the same during the life of the loan. With an adjustable-rate mortgage (ARM), the interest changes periodically, typically in relation to an index. While the monthly payments that you make with a fixed-rate mortgage are relatively stable, payments on an ARM loan will likely change. There are advantages and disadvantages to each type of mortgage, and the best way to select a loan product is by talking to us. |
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How is an index and margin used in an ARM? |
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An index is an economic indicator that lenders use to set the interest rate for an ARM. Generally the interest rate that you pay is a combination of the index rate and a pre-specified margin. Three commonly used indices are the One-Year Treasury Bill, the Cost of Funds of the 11th District Federal Home Loan Bank (COFI), and the London InterBank Offering Rate (LIBOR). |
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