Mortgage Loans

Being on the hunt for a home to buy in Virginia can be a tedious task, but well worth it all the same. There are many steps to follow when you are looking at purchasing your forever home. One of those steps is to look into Mortgage loans, there are several different types of these. A mortgage is an agreement between you and a lender that allows you to borrow money to purchase or refinance a home and gives the lender the right to take your property if you fail to repay the money you’ve borrowed. More people than not have to get a mortgage when they purchase a home. A mortgage is a necessity if you can’t pay the full cost of a home out of pocket. For example, investors sometimes mortgage properties to free up funds for other investments. In order to receive one of these loans you have certain criteria to meet before hand. In this article we will go over Mortgage Loans the different types and what all they consist of. No time to waste we have a house to buy, let’s begin!

You are likely to save more money with a mortgage over renting, and when you combine this with the strong possibility that house prices will continue to rise over a standard 30-year term, it’s a sensible investment for your future. Right now during the process of finding your dream home you want to be sure that you are making all the right choices, this is your future and where you will make many memories in the years to come. Getting in a rush can cause you to skip some very important steps. In order to apply for a mortgage you will need to have a few things prepared and ready to go:

Items needed to apply for a mortgage 

• utility bills.
• proof of benefits received.
• P60 form from your employer.
• your last three months’ pay slips.
• passport or driving license (to prove your identity)
• bank statements of your current account for the last three to six months

You will need to have employment to qualify for a mortgage loan, however, one way you might be able to qualify for a mortgage without a job is by having a mortgage co-signer, such as a parent or a spouse, who is employed or has a high net worth. A co-signer physically signs your mortgage in order to add the security of their income and credit history against the loan. While you can have a perfect credit score without being on the electoral roll, it’s very difficult to get a mortgage without it. Lenders use electoral roll data in identity checks (to ensure you are who you say you are, and live where you say you live and that you’re not laundering money). It is a great smart well calculated step to have a mortgage, if you are renting you are not helping your credit at all. Acquiring a mortgage, especially this early in your life, ties up a lot of your money in a single investment. It also ties you down and makes it less easy to relocate. On the other hand, it means that you’re starting to build up equity in a home, provide tax deductions, and can boost your credit history. Having good credit is always a wise choice, so treat your credit carefully one bad item can ruin chances of building the life you want.

Paying off your mortgage early helps you save money in the long run, but it isn’t for everyone. Paying off your mortgage early is a good way to free up monthly cashflow and pay less in interest. But you’ll lose your mortgage interest tax deduction, and you’d probably earn more by investing instead. Mortgages are seen as “good debt” by creditors. Since the mortgage debt is secured by the value of your house, lenders see your ability to maintain mortgage payments as a sign of responsible credit use. They also see home ownership, even partial ownership, as a sign of financial stability. You may be what is called a first time buyer, Most first time buyer mortgages are straight repayment loans, where all your payments go to paying down the debt until you eventually own your home outright. Interest only mortgages aren’t generally offered to first time buyers despite their low up front costs. Keep in mind age can also factor into the approval of a mortgage loan, many lenders impose an age cap at 65 – 70, but will allow the mortgage to continue into retirement if affordability is sufficient. Lender choices become more limited, but some will cap at age 75 and a handful up to 80 if eligibility criteria are met. Term lengths may be restricted.

There are several different types of Mortgage loans available when you are going to apply

LOANS:

• Personal Loan.
• Business Loan.
• Home Loan.
• Gold Loan.
• Rental Deposit Loan.
• Loan Against Property.
• Two & Three Wheeler Loan.
• Personal Loan for Self-Employed.

MCS Mortgage Services serving Maryland and Florida are here to help you find and get your dream home. Offering many loan options for everyone. If you are searching for your forever home contact us today, we look forward to working with you.