Few decisions affect us more directly than the ones we make about money. Be smart.

 

 

Many lenders will try to entice you into a loan that seems to good to be true.  Here's a helpful hint: "If it seems to good to be true... It probably is." If you come across a proposal like this you should take a look at what type of loan it is. For example a Option ARM loan which is a monthly adjustable mortgage that gives the borrower several options when it comes to making payments; one of which is to pay a minimum payment that carries a negative amortization.  (A "Neg-Am" is a minimum payment that doesn't cover interest charged increasing the balance of your loan each month.) Getting locked into a risky mortgage can be financially devastating causing borrowers to be forced into foreclosure or pay out an inordinate amount of money as their debt increases month to month.

 

We recognize that not every borrower will end up with Crescent Capital, but regardless, we want to provide information that will help enable you to make smart decisions that won't leave you financially compromised in the years to come.  Therefore, we have put together information that EVERY borrower should review before even step footing into a lenders office:

 

♦ Financial literacy 101

♦ Mortgage literacy 101

♦ Well informed people are more likely to ask others for help.

♦ The less people know the more likely they are to run into trouble. Ask questions.

♦ What's the value of a fixed 30 year mortgage?

♦ What's the trade off between fixed and adjustable?

♦ Why are adjustable mortgages more likely to have a prepayment penalty?

♦ Is it law in California that impound accounts must pay interest? If so how much? What are the laws regarding the interest rate?

♦ Taxes paid when selling a home both federal and state

♦ Bio

♦ Broke USA

♦ How do lenders price loans. What are the risks and how you can minimize them? Credit score. Financial track record.

♦ What is APR? And why is it different tha my interest rate?

 

 

 

A more in depth look:

What do Daily Rates mean, how are they calculated, why do they change, and how does the economy impact them?