The holiday season is around the corner. The morning air is much cooler and the leaves are starting to change to the beautiful color of Fall. Instead of putting things off like we all do. Why not take advantage of the low rates for a mortgage. We all can use extra cash for the holidays. So consider an cash out refinance or rate and term to reduce your budget. Why not consider a new dream home to enjoy the holidays with all your love ones .We at Consumer Mortgage wish you  great Holiday  Season . Give us a call at 757 -552-7000 or 1-800-882 0066 

Right of Rescission

Have you ever made a decision you later regretted, only to wish you could take it back?  Well the “right of rescission” period is a provision under the Truth and Lending Law that   essentially gives homeowners who are refinancing their mortgage a chance to think things over before committing 100% to the new loan terms.  If a homeowner decides to refinance their mortgage, once closing loan documents are signed, they will have the right to rescind for a period of three business days.  The right to rescind is essentially the “right to cancel” the mortgage transaction and have any fees refunded if they aren’t happy with the loan for any reason.

Rescission   Period is a Chance to Change your Mind

During the rescission period, the borrower has the opportunity to asses the situation and make absolutely certain they want to go through with the refinance.  At this time, they can shop mortgage rates and find something better if need be.  And most importantly, if at any time during those three days they decide they want to back out entirely, they can do so without penalty.  Perhaps you felt pressured by your bank or mortgage broker, or feel you were a victim of predatory lending.  This would be a great time to rescind the mortgage and go someplace else. 

When the Right of Rescission Period Begins

The rescission period begins at midnight the day after loan documents are signed, and ends three business days later including Saturday, but not Sundays or holidays.  At midnight on the third business day the rescission period is over, and the signed loan documents become official.  Borrowers cannot forgo the right of rescission, and must wait it out regardless of whether they like the terms or their mortgage or not.  That said, a bank or lender cannot fund the loan until the rescission period is over.  Example of right of rescission: If loan documents are signed on Monday, the rescission period begins Tuesday and ends Thursday night at midnight.  On Friday the loan would fund and record.  

There Isn’t a Rescission Period on all Mortgage Transactions

It is limited to refinances on owner-occupied properties only!  Purchase transactions do not have a rescission period.  Additionally, vacation/second homes and investment properties do not have a rescission period, even if it is a refinance transaction.

More great tips from Consumer  Mortgage. Gives us a call at 757-552-7000 or 1-800-882-0066 for your next mortgage.

Pre-qualified versus Pre-approved

            Getting pre-qualified is the first step in the mortgage process, with no cost to the customer.   It involves supplying a lender with basic information regarding your debts, income and assets.  From this information, lenders can get an idea of the mortgage amount for which you qualify. 

            Getting pre- approved is the next step.  This process requires you to complete a mortgage application and supply a lender with all the necessary documentation to check your financial background and credit rating.  You will then be told the exact mortgage amount for which you are approved.  The obvious advantage of completing both of these steps before you look for a home is  knowing in advance, how much you can afford to spend.  You won’t waste time looking at properties beyond your means.  The initial pre-qualification stage allows you to discuss with your lender any goals or needs you may have regarding your mortgage.  Your loan officer can then explain your mortgage options and recommend the type of mortgage that might be best suited to meet your needs.  Getting pre- approved for a mortgage also enables you to move quickly when you find the home of your dreams and make an offer that is not contingent upon obtaining financing.  It also lets a seller know your offer is serious and could prevent you from losing out to another purchaser who already has financing arranged.  

            Another great tip from Consumer Mortgage.  Give us a call at 757-552-700 or 1-800-882-0066 and get your financing arranged for your purchase.

Thinking of hiring a contractor?  Here are five essential questions to ask before hiring a Contractor.

1.)        Would you please itemize your bid? – Many contractors prefer to give you a single, bottom line price for a project.  This puts you in the dark as to what the charges are for each aspect of the job.  So by getting an itemized bid, it will show you the various costs for the elements of the job-demolition, framing, plumbing, electrical, tile, fixtures and so forth.

2.)        Is your bid an estimate or a fixed price? – Homeowners generally assume that the bid they’re receiving is a fixed price.  Some contractors treat their proposals as estimates, meaning the bill could be higher in the end. If the contractor calls it an estimate, request a fixed price bid instead.  If the contractor says he can’t offer a fixed price because there are to many unknowns about the job, then eliminate the unknowns.

3.)        How long have you been in business in this town? – A contractor who’s been plying his trade locally for 5 to 10 years has an established network of subcontractors and suppliers in the area and a local reputation to uphold.  That makes him a safer bet than a contractor who’s either new to the business or new to the area or who plans to commute to your job from a long distance away.  You should also ask for a couple of his earliest clients so you can see how well the work held up over the years.

4.)        Who are your main suppliers? – A supplier is a great reference.  They can tell you a lot about a contractor.  For example do they keep their accounts paid on time, because a lot of suppliers extend credit to contractors.

5.)        I’d like to meet the job foreman.  Can you take me to a job he is running? – Many contractors do not swing a hammer.  They spend their days bidding new jobs and managing their various jobs and workers.  That makes the foreman, who is on the job every day, actually the most important member of the team.  Meeting the foreman on a job that he’s running should give you a good feel for whether he’s someone you want running your project. 

More great tips from Consumer Mortgage.  So give us a call on your cash out refinance for your home improvement project.  Call us at 757-552-7000 or 800-882-0066.

ring a contractor?  Here are five essential questions to ask before hiring a Contractor.

Do I need an Elevation Certificate when shopping for Flood Insurance? A Flood Certificate is in relationship to the Base Flood Elevation, a document generated by an engineer, or surveyor, or qualified person that will provide data to help properly rate properties for flood insurance.  This Certificate will help determine the proper flood insurance premium rate for your home.  So buying a home on the water or near by, always get a Flood Certificate to get the best rate for your flood insurance. Call us at Consumer Mortgage for advice on your next purchase to see what flood zone you may be purchasing your home in. We can help you find out the cost for insurance and provide you with a mortgage program that works for you. Call 757-552-7000 or 1-800-882-0066.

In today’s market, is buying or renting the smarter option?  The answer in our opinion, buy!  Yes, financially, buying is the way to go. It is a buyers market. In the past, the majority of the time under normal circumstances, if you own for at least one year, you can sell and make a profit or at the very least break even. However, in today’s market it is very hard to sell a house. So, when contemplating if you should buy or rent, ask your self these questions; how long do you plan on staying in the area? How good is your employment situation?  Yes banks are being extremely careful loaning money and will make you jump thru hoops but it is worth it if you can land a loan. Here at Consumer Mortgage we have many programs, so give us a call at 757-552-7000 or 800-882-0066. We will use are 30 years in the business to get you the mortgage to purchase your next home.

Did you know you may need mortgage insurance when purchasing a home?  Mortgage insurance (aka Mortgage Guarantee) is an insurance policy that covers lenders or investors for losses that occur when a borrower defaults on a mortgage.  Depending on the insurer, mortgage insurance can be public or private.  In most cases, lenders require mortgage insurance for mortgage loans which exceed 80% LTV (loan to value ratio) of the property’s sale price.  Due to the limited equity in the home, the lender requires that the borrower pay for mortgage insurance that protects the lender against their default.

            For example, you decide to purchase a home which costs $200,000.  You pay a 10% down payment ($20,000) and take out an $180,000 ($200,000-$20,000) mortgage on the remaining 90%.  The lender then requires the mortgage insurer to provide insurance coverage at, for example, 47% of the $180,000 ($84,600), leaving the lender with an exposure of $95,400.  The premium that the mortgage insurer will charge for this coverage will be paid by either you the borrower, or can be paid by the lender.  If you happen to default on your mortgage and the property is sold at a loss to the lender, the insurer will cover the first $84,600 of losses.  Percentage of coverage offered by mortgage insurers can vary from 37% to 78%.

            In order to obtain public mortgage insurance from the FHA (Federal Housing Administration), you must pay an upfront mortgage insurance premium (UFMIP) of 1.75% of the loan amount at closing.  The UFMIP is usually financed in the loan and paid directly to the FHA on the borrower’s behalf.  There may also be a monthly mortgage insurance premium as well of 1.20%, depending on the loan to value ratio.

Give Consumer Mortgage a call today at 757-552-7000 or toll free at 800-882-0066 for your next purchase transaction so we can calculate the amount of mortgage insurance you’ll need!

Did you know you may need mortgage insurance when purchasing a home?  Mortgage insurance (aka Mortgage Guarantee) is an insurance policy that covers lenders or investors for losses that occur when a borrower defaults on a mortgage.  Depending on the insurer, mortgage insurance can be public or private.  In most cases, lenders require mortgage insurance for mortgage loans which exceed 80% LTV (loan to value ratio) of the property’s sale price.  Due to the limited equity in the home, the lender requires that the borrower pay for mortgage insurance that protects the lender against their default.

            For example, you decide to purchase a home which costs $200,000.  You pay a 10% down payment ($20,000) and take out an $180,000 ($200,000-$20,000) mortgage on the remaining 90%.  The lender then requires the mortgage insurer to provide insurance coverage at, for example, 47% of the $180,000 ($84,600), leaving the lender with an exposure of $95,400.  The premium that the mortgage insurer will charge for this coverage will be paid by either you the borrower, or can be paid by the lender.  If you happen to default on your mortgage and the property is sold at a loss to the lender, the insurer will cover the first $84,600 of losses.  Percentage of coverage offered by mortgage insurers can vary from 37% to 78%.

            In order to obtain public mortgage insurance from the FHA (Federal Housing Administration), you must pay an upfront mortgage insurance premium (UFMIP) of 1.75% of the loan amount at closing.  The UFMIP is usually financed in the loan and paid directly to the FHA on the borrower’s behalf.  There may also be a monthly mortgage insurance premium as well of 1.20%, depending on the loan to value ratio.

Give Consumer Mortgage a call today at 757-552-7000 or toll free at 800-882-0066 for your next purchase transaction so we can calculate the amount of mortgage insurance you’ll need!

When buying a home, should I get a termite inspection? The answer is yes. The Tidewater area is ideal for termite infestations.  Termites cause over 5 billion dollars in damage annually in the United States. Most homeowner’s insurance policies do not cover termite damage. This means that any costs resulting from termite damage are the homeowner’s responsibility.  Termites are very difficult to detect.  They can squeeze through the smallest of cracks to enter the house.  Most people won’t notice these pests until the damage is already done.  At that point, the termite colony has million of members.  The most destructive termites are subterranean termites.  These destructive creatures can collapse an entire home.  Termites need wood and moisture in order to survive.  There are preventative measures to keep these bugs away.  Keeping proper ventilation under your home in the crawl space, keeping wood scraps and lumber away, and not allowing water to accumulate near the house are just some of the ways to prevent infestation. Consumer Mortgage has been serving the local area for 30 years.  Give us a call for any of your mortgage needs at 757-552-7000 or 1-800-882-0066.

    

When buying a home, should I get a termite inspection? The answer is yes. The Tidewater area is ideal for termite infestations.  Termites cause over 5 billion dollars in damage annually in the United States. Most homeowner’s insurance policies do not cover termite damage. This means that any costs resulting from termite damage are the homeowner’s responsibility.  Termites are very difficult to detect.  They can squeeze through the smallest of cracks to enter the house.  Most people won’t notice these pests until the damage is already done.  At that point, the termite colony has million of members.  The most destructive termites are subterranean termites.  These destructive creatures can collapse an entire home.  Termites need wood and moisture in order to survive.  There are preventative measures to keep these bugs away.  Keeping proper ventilation under your home in the crawl space, keeping wood scraps and lumber away, and not allowing water to accumulate near the house are just some of the ways to prevent infestation. Consumer Mortgage has been serving the local area for 30 years.  Give us a call for any of your mortgage needs at 757-552-7000 or 1-800-882-0066.

    

Should I have a home inspection before I buy a home?   A home inspection is a limited examination of the condition of a property usually in connection with the sale of a home.  Most home inspectors have obtained training and certifications to perform the inspection.  The inspector writes up a report of the findings. The client uses this information to make a decision about the pending home purchase.  The inspector describes the condition but does not guarantee future condition, generally.  An inspector will check the roof, basement, heating system, water heater, air conditioning system, structure, plumbing, electrical, and other aspects of the building that might require repair. Sometimes, a home inspector is confused by the consumer with a real estate appraiser. An inspector determines condition while an appraiser determines the value of the property. Just another tip from your home town mortgage company!  Give us a call at 757-552 7000 or 1-800 882-0066 to discuss your home purchase.

Do you know there are different ways to hold title to your home?

1) Joint Tenancy - In many cases, married couples hold title as joint tenants. Joint tenancy has rights of survivorship, meaning that if one of the joint tenants dies, the remaining rights automatically go to the surviving person(s).  A will is not required to transfer this remaining title to the surviving person(s).  Each person has full right of ownership and can sell their share without the consent of the others, which would then create tenants in common.

2) Tenants in Common - Tenants in Common allows for multiple people to hold title in unequal shares, with each having the right to sell their share, or will their share as they want.  So four buyers could own a property; with one buyer owning 50% and one owning 30% and the other two owning 10% each.  Each would be able to sell or will their own shares as they want.

3) Sole Ownership - When buying property alone as an unmarried person, many people take title as a sole owner. This is called title in severalty.

4) Living Trust - A Living Trust is like having another “entity” own and control your assets, including your home.  But that “entity” belongs to you, or others designated as trustees, who own the entity. While the creator of the Living Trust lives, the Trust is revocable (can be changed) during his or her life. Upon the death of the creator of the Living Trust, it becomes irrevocable (cannot be changed), and probate costs delays are avoided because the assets in the Trust automatically pass according to the dictates of the Trust. Privacy is a major attraction in setting up a Living Trust. A trust document does not become public upon the death of the trust-holder like a Will does.

More helpful tips from your Home town mortgage company.  Call us at 757-552-7000 or 1-800-882-0066.

What does standard home insurance cover?  

1. Dwelling coverage protects against damage and possible loss of your home’s structure in event of a covered claim such as a hurricane, hail, lighting or fire (separate policies are needed for flood and earthquake insurance).  2. Other structures that are protected by standard home insurance policies are detached garages and other buildings on your property.  3. Personal property coverage is included in a standard home insurance policy and protects your personal items and household contents in the event they are stolen or destroyed by fire or other peril covered in your policy.  4. Loss of use coverage provides for your living expenses in the event that you cannot live in your home due to a covered claim.  5. Personal Liability Protection covers you in the event that a lawsuit is presented against you or covered family members for bodily injury or property damage. Pets are included in this portion of the policy.  6. Medical Payments coverage helps cover medical expenses that you might be held responsible for due to an injury sustained on your property when there is no lawsuit. The above items are some good tips from Consumer  Mortgage call us for your mortgage purchase or refinance at 757-552-7000 or 1-800-882- 0066.

  CREDIT REPAIR

            Do you know what your credit score is?  Your credit score is a three digit number based on information from your credit report.  Your credit score represents your credit worthiness and can mean the difference between being denied or approved for credit.  Your credit score can influence whether you get a low or high interest rate.  They can range from as low as 300 to as high as 850.  Is your credit score under 640?  Without paying a credit repair agency, call us at Consumer Mortgage & Investment Corp. for free advice on how you can raise that low credit score.  By following our tips to better your credit, we can help you get the financing you need for a purchase or a refinance.  Being in business for 30 years, we have helped many consumers who were 10 points to 100 points away from making the grade and accomplishing their goals.  Give us a call today so we can start you on the right path to getting your dream home or getting you that low rate you have been hearing and dreaming about.  Call us at 757-552-7000 or 1-800-882-0066

What is a Pre-approval Letter?

A mortgage pre-approval is based on your credit, income and assets that are verbally disclosed at the time of pre-approval. While we are expressing a desire to fund or broker a mortgage based on your credit and income, this does not constitute a commitment to lend and your application has not yet been approved.  This pre-approval letter simply provides the real estate agent or seller the written pre-approval they need to begin the process.  We have reviewed your credit and income documentation, or that you verbally disclosed to us, and that upon that review with the information provided, we are able to pre-approve you based on that information.

In order to successfully close your loan, you will need to provide current pay stubs, W-2’s and tax returns if required.  Final approval is contingent upon all underwriting guidelines being met.  Such as:  review of an acceptable appraisal (equal to or greater than the purchase price) and title search, all income and assets verified, as well as any other condition an underwriter may note.

  I can get you pre-approved today, in a matter of minutes!

So give us a call today at 757-552-700 or toll free at 1-800- 882-0066            

These are some of the things you can do to stay qualified, when you are applying for a mortgage to refinance or purchase a home. Here is a list of do not's. 1. Do not change jobs or decided to become self employed. 2. Do not buy a vehicle. 3. Do not charge on a credit card or get passed due on a payment. 4. Do not use any of your down payment money for other matters. 5. No furniture until you own the home. 6. Do not apply for any credit cards. 7. No large deposits into your bank account. 8. Stay with the same bank during your processing time. 9. No co-signing for anyone on a loan.10. Simply do not buy anything till after closing your loan. Give us a call to qualify for your home loan at 757-552- 7000 or 1-800-882-0066.

Interest Rate Reduction Refinancing Loan

Department of Veterans Affairs VA Streamline Refinance.  The VA "streamline" the Interest Rate Reduction Refinancing Loan or IRRRL.  The advantage for a Veteran is to lower their rate or with adjustable rate to get a low fixed rate.  Some of the benefits of the streamline is no appraisal required, in some cases reduced credit score standards, no income proof, no out of pocket costs, and an opportunity to defer up to two payments.  Appraisal may be required in the near future, so let's get started  with a call to 757-552-7000 or toll free at 1- 800-882-0066.

Consumer Mortgage & Investment Corp. has a program that is not score driven.  Even with marginal credit  we can help you.  We do need the income proof to show the ability to pay back the loan.  We can loan up to 50% of the appraised value of the home.  This loan helps you to get back on track to solve your credit issues With a good mortgage payment history for 12 months and all other credit issues in order, your score should be in place to refinance for better terms.  Give us a call at 757-552-7000 or toll free at 1-800-882-0066. .

YOUR HOME TOWN MORTGAGE COMPANY
No matter if your are attempting to refinance or purchase a home, working with your home town mortgage company is always the way to go!  At Consumer Mortgage & Investment Corp.,we have been serving the Tidewater area for 30 years.  1.)We can come to your home or 2.) Call us at 757-552-7000 or toll free at 800-882-0066 to schedule an appointment at one of of our office locations in Virginia Beach or Newport News also 3.)You can apply quickly,easily and securely online at www.consumermtg.com.  But there is something about meeting the person that is handling your mortgage face to face and ending that meeting with a hand shake that gives you that sense of ease and security.  If you're not sure what you qualify for or if just have questions, please don't hesitate to call us 757-552-7000 or toll free at 800-882-0066.  We answer calls anytime day or night.  Talk to a real person when it's convenient for you!

 

Solution for folks whose mortgage is underwater.Underwater meaning you owe more on your home then it's worth. [HARP2] Home Affordable Refinance Program with Fannie Mae or Freddie Mac Mortgages. If you are not sure what type a mortgage you have, just give a call and i will find out for you .The program as of April 2012 will loan up to 150% of the value of your home.Just give me a call at 757 552 7000.Ask for Nelson Shrewsbury.

MORTGAGES

Rates are still very low for all mortgage programs. FHA VA Conventional and Reverse Mortgages.Give me a call at 757-552-7000 or toll free at 800-882-0066 - Nelson Shrewsbury