what is a good home loan ?

Answer 1

Depends on what you're looking for, purchase or refinance? Good credit, bad credit, equity, etc. Rates can be anywhere from around 6% to 10 or 11% depending on these factors and some others. You can email me with details if you'd like.

Answer 2

the question is far to vague to give you an accurate response...

I am a mortgage banker, and i originate mortgage loans for hundreds of people yearly.. Each and every client of mine has a Different idea as to what a GOOD HOME LOAN for them is...

What i mean by that is every person in america has completely different financial situations..whether it is employment, credit, debt, assets, expenses, etc...

a loan that makes sense for you may make absolutely no sense for your neighbor, just as the neighbor next to them qualifies for something else...

The best suggestion i have for you is to speak with a professional. What they would do is look at your credit, ask basic information about your finances, and give you an analisys..

Now you would know what OPTIONS you have out there, and it will be a lot easier to decise which is best for you..

just to give you an idea, if you need a LOW monthly payment i would suggest an interest only or a option arm. If you wnat to p[ay off your house soon, and money is not an issue, i may suggest a 10 or 15 year mortgage..

The point is without knowing your particular financial situation, no one can give you an estimate..

My name is Jason Fry, and I am a loan officer with Providential Bancorp, a nationwide mortgage lender. We are partnered with over 80 different investors that all have different options. I'd be happy to assist you in a mortgage loan, or at least be able to let you know exactly what YOU QUALIFY FOR. You can then make a more informed, and educated decision whether it would be the right move for you.

Feel free to give me a call at 312-264-6448, or
you can email me at [e-mail].


Thank You, and good luck!

Jason Fry
Providential Bancorp

Answer 3

Are you totally confused now - Take a deep Breath - . All the advice given is good advice - The thing to consider - is what YOU are truly wanting to do. Buy a home, stay in it 5 yrs - 10 yrs - 30 yrs - I bought my home in 1992 - knowing I would be staying in it until I either got married or raised my 2 sons - 2006 I am still in my home, and when I purchased my home, got it with a 6.5 fixed rate thru RGHS - Gov First Time home Loans. Go to: http://eligibility.sc.egov.usda.gov/eligibility/welcomeAction.do

Now since I am a Broker - with a Company that underwrites for 150 companies - I give my clients options....like the usda rural program, Hud.gov site or Getting a regular conventional mortgage.

Why a Broker:
Talk with a broker, a broker underwrites for many company's (Like I mentioned, I underwrite for 150 companies) so I only have to pull credit 1 time, and they look at my credit. A single lender (not a broker) has programs available, but they may not be able to help you and your situation, so you go elsewhere, and than that person pulls your credit (see what I mean.) If you shop, your credit is pulled and that is considered a soft pull, for a 30 day period. Just like shopping for a auto, it is good for 30 days. If you apply for a credit card, that is considered a "hard" pull and it drags down your credit score. When looking for a home, please do not apply for a credit card, Department Charge Card, Gasoline Card or make any major purchases, like a auto, etc. This will pull your credit down.

For a Purchase: Decide on how much you want to spend, if you want to escrow the taxes and insurance. Say the taxes are 1200 a YR and insurance 800 a year (just an estimate, ok) That is 2,000 a year divided by 12 = 166.66 If you paid 1,000 a month now - (166.66) your P/I Principle and Interest would be 833.34. Now you decided on the price range you are looking into. If you have great credit, a 1 loan at 130,000 at a rate of 7 percent over a 30 year time would be 864.89 - This is just a estimate - ok -

Also, It greatly depends if you need help with closing cost, (The seller could do Seller Help toward your closing cost). If that is the case, I normally tell my clients NOT to hackle over the price, since you are asking for closing cost help - especially if the home is thru a realitor, and the seller has to pay the realitor their fee which runs from 3-6 percent of the selling price, and you ask for 3-5 percent toward closing cost -assistance) Follow me so far??

Lenders look at your middle credit score to qualify a person - and if your credit is low, than you will be going SUB-Prime, and any amount over 80 percent does not have MI - There are alot of companies I underwrite for that does NOT charge MI - normally the rate is slightly higher. Say you got qualified and your rate was 8.50 at par (Par, means that is what rate the lender quotes you, with no addon's to the rate for the lender to make pts on the back - some Lo"s add pts on the rate to make their money - instead of charging it up front). The 8.50 does not have MI included.

Programs: 30 yr fix, Interest only with a fixed interest rate over certain period of years, 2 yrs, 5 yrs ,7 yrs ,10 yrs. This is interest only, nothing is being paid on our principle mortgage (the amount your borrowed). There are pick a payment programs - where you get 4 payment options. There is the adjustable rate mortgage. This is a lower rate (versa a fixed rate, if you have a lower credit score), but the rate will adjust up, in 2 or 3 yr's where you will need to refiance again. Be careful, that you do not use up all your equity in your home - or hope that your home builds some equity in the 2-3 yr period you have it or that property value will go up for your area; to pay for the closing cost again associated with a refinance.


Rule of Thumb: Sub-Prime (estimates)
I underwrite for companies, that will do 100 percent financing with a 540 mid score. But the rate is higher.

Middle Score 500 - 535 Ltv 80 - high rate
536 - 559 Ltv 90 little better rate
560 - 580 100 percent-better rate
580- 620 100 percent- good rate


Conforming A+ 621 + Rates are Great
Some companys conforming starts at 680+
Depends on the Company it is submitted to. I know it is confusing - That is why you need a professional that knows the business, terms, rates, and has many lenders to submitt your file to, to get you the best deal out there.

FHA loans have MI included, Conforming A+ borrower's loans have MI included, but the rates are better starting in the mid to high 6's (with rates going up.) The more money you borrow - the higher the rate normally. There are alot of factors involved.

With a government loan - hud.gov, USDA Rural, collections and judgements will have to be paid (most ppl do not know that) but for FHA it is true....

Good Luck, and if I can help in any way check out my web site, for links to all the credit reporting agency's and other useful information.

Answer 4

I would have to assume that you have not had a home loan before based on your question. I would also agree with much of what frymail said, this is a definitely a vague question considering that each person's situation is different.

If you are indeed a first time homebuyer, then the best place to start is www.hud.gov. This is a government site filled with tons of information that will help you determine the next logical step for yourself. After reviewing the site, then ask some friends or family members who did their home loan and if they would refer you to them.

GOOD LUCK!