Top Questions to Ask Your Mortgage Lender Before Signing

1. What Types of Loans Do You Offer?

Understanding your options is key to choosing the best mortgage for your needs. Lenders typically offer a variety of loans, such as fixed-rate, adjustable-rate mortgages (ARMs), FHA loans, and VA loans. Each type comes with different terms, interest rates, and benefits. Ask your lender to explain the pros and cons of each option to determine which suits your financial situation best.

2. What Is the Interest Rate and Is It Fixed or Adjustable?

The interest rate directly affects your monthly payments and the total cost of your mortgage. Fixed-rate mortgages maintain the same interest rate throughout the life of the loan, offering stability in budgeting. Adjustable-rate mortgages, on the other hand, may start with a lower initial rate that changes periodically based on market conditions. Clarify the details, such as how often the rate can change and by how much, if considering an ARM.

3. What Are the Closing Costs?

Closing costs can include loan origination fees, appraisal fees, title insurance, and more, potentially amounting to 2-5% of the loan principal. Ask for a detailed breakdown of these costs early in the process to avoid surprises at closing. Inquire whether any part of these expenses is negotiable or if assistance programs are available to help cover them.

4. Are There Any Prepayment Penalties?

If you plan to pay off your mortgage early or make extra payments to reduce the principal, ensure that your lender doesn’t charge prepayment penalties. This clause can prevent you from saving on interest if you wish to pay down your debt faster. Confirm the terms so you don’t face unexpected fees if your financial situation allows for early repayment.

5. What Is the Minimum Down Payment Requirement?

Down payments vary, often between 3% and 20% of the home's price. A higher down payment can mean lower monthly payments and potentially better loan terms. Ask about the minimum requirement for your chosen loan type and whether private mortgage insurance (PMI) is necessary if your down payment is less than 20%. PMI adds to your monthly expenses, so understanding when it can be removed is crucial.

6. Can You Estimate the Monthly Payment and Total Loan Cost?

Knowing the total cost of your loan, including principal, interest, taxes, and insurance (PITI), helps you budget effectively. Request an itemized estimate of your monthly payments, including any PMI or HOA fees if applicable. This insight ensures you won’t overextend your budget once the mortgage is finalized.

7. How Long Does the Loan Process Take?

Understanding the timeline for processing your loan is vital, especially if you’re in a competitive market. Ask your lender about the average time for loan approval and funding. This helps set realistic expectations and allows you to plan for contingencies if there are any delays.

8. What Happens If My Financial Situation Changes?

Life is unpredictable, and your finances can change. Inquire whether the lender offers any flexible solutions, like payment deferments or restructuring options, in case of job loss or unexpected financial difficulties. Knowing your lender’s policies ahead of time can provide peace of mind.

9. Can I Lock in the Interest Rate?

Interest rates can fluctuate frequently. Ask if the lender offers rate-lock options and for how long. This feature can protect you from market changes during the loan processing period, ensuring you benefit from the rate quoted when you applied.

10. Are There Any Additional Fees or Fine Print I Should Know About?

Always ask for clarity on potential hidden fees or charges that could arise. These can include application fees, document preparation costs, or maintenance charges. Getting a clear understanding helps avoid unexpected financial obligations post-signing.

Taking the time to ask these questions can help ensure that you choose a mortgage lender and plan that align with your financial goals. For personalized mortgage guidance or any questions, contact Eagle Mortgage today. We’re here to support you every step of the way in making your homeownership journey as smooth as possible.

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One Pan Chicken and Potatoes

December 23, 2024

Prep time Cook time Serves 15 minutes 1 hour 2 minutes 4 to 6 Ingredients 3 cloves garlic 3 to 4 large lemons, divided 1 medium red bell pepper 2 pounds Yukon gold potatoes 1/4 cup plus 1 tablespoon olive oil, divided 1 tablespoon dried oregano 1 1/2 teaspoons kosher salt, divided 3/4 teaspoon freshly ground black pepper, divided 2 pounds bone-in, skin-on chicken thighs (4 to 6) 1/2 to 3/4 cup low-sodium chicken broth 1/2 medium bunch fresh dill or parsley, or a combination 3 ounces feta cheese (optional) Instructions 1) Arrange a rack in the middle of the oven and heat the oven to 400ºF. 2) Prepare the following, adding each to the same large bowl as you complete it: Mince 3 garlic cloves. Juice 2 to 3 of the large lemons until you have 1/3 cup. Cut 2 pounds Yukon gold potatoes into 1-inch wedges. Trim and cut 1 medium red bell pepper into 1-inch pieces. 3) Add 1/4 cup of the olive oil, 1 tablespoon dried oregano, 1 teaspoon of the kosher salt, and 1/2 teaspoon of the black pepper. Toss to evenly coat the potatoes and pepper. 4) Cut the remaining 1 large lemon into 6 wedges. Pat 2 pounds bone-in, skin-on chicken thighs dry with paper towels. Season all over with the remaining 1/2 teaspoon kosher salt and 1/4 teaspoon black pepper. 5) Heat the remaining 1 tablespoon olive oil in a large (at least 12 inch) cast iron or oven-safe skillet over medium-high heat until shimmering. Add the chicken skin-side down in a single layer. Cook until the fat is rendered and the skin is crisp and golden brown, about 12 minutes. Transfer the chicken to a plate skin-side up in a single layer (the chicken will not be cooked through at this point). 6) Add the potato mixture and any liquid at the bottom of the bowl to the skillet and stir to coat in the pan drippings. Arrange into an even layer. Pour 1/2 cup of the low-sodium chicken broth over the top. Nestle the lemon wedges and chicken skin-side up into the potatoes. Pour in any accumulated juices on the plate. 7) Transfer the skillet to the oven. Roast until the chicken is cooked through and the potatoes are tender and browned in spots, 40 to 50 minutes. If the skillet becomes too dry, add the remaining 1/4 cup low-sodium chicken broth. 8) Let the chicken and potatoes rest for 5 minutes. Meanwhile, coarsely chop the leaves and tender stems from 1/2 medium bunch fresh dill or parsley until you have about 1/2 cup. 9) Crumble 3 ounces feta cheese over the chicken if desired (about 1/3 cup). Sprinkle with the herbs. By Rachel Perlmutter

Unlocking New Opportunities Through Mortgage Refinancing

December 2, 2024

Refinancing your mortgage is more than just a way to lower your interest rate—it’s a versatile financial strategy that can open doors to new opportunities. Whether you're looking to build long-term financial security, create a safety net for unexpected expenses, or achieve a specific life goal, refinancing offers numerous possibilities. Here are some unique ways refinancing can help you take control of your financial future. Build Equity Faster For homeowners who want to pay off their mortgage sooner, refinancing into a shorter loan term, such as moving from a 30-year to a 15-year mortgage, can be a game changer. While this approach may increase your monthly payments, it can significantly reduce the total interest paid over the life of the loan and help you build equity in your home more quickly. Faster equity growth also provides added financial security, giving you more options for future borrowing or home sales. Stabilize Your Monthly Payments If you currently have an adjustable-rate mortgage (ARM), refinancing into a fixed-rate mortgage can provide stability in your monthly payments. Fixed-rate mortgages protect you from interest rate fluctuations, offering predictability in your budget—especially valuable in an uncertain economic climate. This switch can help you plan better for the long term without worrying about rising rates. Tap Into Your Home’s Value with a Cash-Out Refinance A cash-out refinance allows you to access the equity in your home for a lump sum of cash. This option is ideal for homeowners looking to fund significant expenses like starting a business, paying for college tuition, or even creating an emergency fund. While it does increase your mortgage balance, it often comes with lower interest rates compared to personal loans or credit cards, making it a cost-effective way to finance large expenses. Plan for Retirement As you approach retirement, refinancing can be a strategic move to align your mortgage with your future financial needs. For instance, if you’re looking to reduce monthly expenses, refinancing to a lower interest rate or extending your loan term could free up cash for other retirement goals. Alternatively, a cash-out refinance could provide funds for investments or healthcare costs, ensuring you’re financially prepared for this new chapter of life. Is Refinancing Right for You? Every homeowner’s situation is unique, and refinancing isn’t a one-size-fits-all solution. It’s essential to consider your financial goals, current mortgage terms, and the costs associated with refinancing. Working with an experienced mortgage professional can help you weigh the pros and cons to make the most informed decision. Why Choose Eagle Mortgage Inc.? At Eagle Mortgage Inc., we understand that refinancing is more than just a transaction—it’s an opportunity to improve your financial outlook. Our team of experts is here to guide you through every step of the process, helping you tailor a refinancing solution that aligns with your goals. Whether you’re looking to save on interest, fund life’s milestones, or simply take charge of your finances, we’re here to help. Contact us today to explore refinancing options designed to meet your needs and maximize the potential of your home.

Beef Noodle Casserole

By Liz Gibbs • November 18, 2024

Comfort Food for the Cold!

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