Category: News

With tax day coming let’s focus on the positives and review how owning a home can help lower your tax bill. To be clear you’ll need to do an itemized return to take advantage of the deductions. And the deductions are just that, deductions from the income that is subject to tax, not just taking an amount straight off your tax bill. Onto the benefits! The biggest one, you may already be familiar with: is the interest deduction. The money you pay in interest over the year on your loan is fully deductible on the first $750,000 of your loan or up to $1 million if your loan originated before December 15, 2017. The other biggie is deducting property taxes. You can deduct up to $10,000 in state and local…

With housing prices rising in recent years, one-quarter of home buyers 23-31 received financial help from family for their down payment and 17% of those aged 32-41 also received help according to the National association of realtors. Down payment gifts still need to be documented accurately in a gift letter. If you’re in the process of buying a home and receiving financial help from a family member, you may be asked to provide a gift letter. This document is an essential part of the loan application process and helps ensure that the down payment funds you’re using come from legitimate sources. A gift letter is a written statement from the person providing the gift (the giver) stating that they’ve given you money for the down payment on your home purchase.…

We saw more activity in the market as rates dropped in a volatile business environment. Applications were up 7% and Freddie Mac reported the average rate on the average 30-year fixed mortgage was 6.60%. It dropped in the last weeks to 6.60% from 6.73% previously. In a statement by Freddie Mac’s Chief Economist Sam Khater, he said “turbulence in the financial markets is putting significant downward pressure on rates, which should benefit borrowers in the short-term.” And he continued, “our research concludes that homebuyers can potentially save $600 to $1,200 annually by taking the time to shop among multiple lenders.” At Mortgage One Solutions, you can find a clever solution to achieve your dream of becoming a homeowner. Now that the market is in a volatility period, you can use…

With increased borrowing costs, many buyers see their options limited, and you might consider buying a fixer-upper. We’ve all seen the home makeover shows with amazing before and afters, but is it right for you? Here are a few things to consider: 1. Know Your Limits: How much of the work can you do? How much time do you have to put into renovations? Are you prepared to live in a work zone for a while? 2. Work Out Costs In Advance: Have a contractor walk through the inspection with you and get a written estimate for the work he would do. If you are doing the work yourself price the costs of supplies, either way, add 15% to the costs because surprises are likely. 3. Check Permitting Costs and…

For many people buying a home is the American dream, but saving for the down payment might not be. Here are some tips and strategies to make your down payment: 1. First-time home buyer programs: there are several first-time home buyer programs, such as FHA, VA, and USDA loans that have lower down payment requirements than conventional loans. 2. Old-fashioned monthly savings: this takes longer but make a monthly budget of your spending – see where you can cut back and see how much you can save monthly - then commit to saving towards your down payment each month. 3. Tax Return: with tax season here, if you are getting a refund, try setting it aside towards your down payment. 4. Get a side gig: if you have enough time…

The pre-qualification for a W2 candidate can be easier than for a self-employed one, and some mortgage lenders can be concerned about a steady income to fulfill the monthly mortgage payment. There are clever solutions that can help you to get a mortgage if you take some steps in advantage. Your possibilities of getting a mortgage can improve by following up on these recommendations: ✓ Increase your credit score by paying down debt ✓ Offer a larger down payment ✓ You can enlist a co-borrower At Mortgage One Solutions we are a committed team to help you to achieve your dream house as self-employed through the MOS P&L Program, designed to do this possible for you. Requirements: ✓ Credit Score of 660 for an 80% LTV ✓ Credit Score under…

There are many factors to consider at the time of starting the mortgage loan process. Each scenario is different according to the type and term of the loan that you are requesting, the required documentation, how long time you spend providing it to the lender, the loan amount, and the cash to close. In Mortgage One Solutions, we have a committed team ready to provide you with all the information and guidance that you require to start your mortgage loan process, with an estimated closing date according to the conditions of your scenario. Some steps forward: the most important and basic documents to start your mortgage loan process in your particular situation are your ID documents (Driver's License, Social Security Card, Work Permit, Tax ID), income proof such as pay…

The answer is yes. Appraisals are used for insurance and taxation purposes or to determine the property’s selling price. This home valuation is necessary for purchasing or refinancing transactions. The appraisal is the basis for knowing an estimate of a property value on a specific date determined by a qualified professional appraiser. The value may be based on replacement cost, the sales of comparable properties, or the property’s ability to produce income. The appraisal is determined too based on the location and age, as well as the conditions and features of the property. The appraiser will deliver a report that indicates if the property can be sold “as is” or if it might come subject to repairs, if this last occur then the lender will request a final inspection. The…

An adjustable-rate mortgage (ARM) is a type of mortgage in which the interest rate can fluctuate over time. The key advantage of an ARM is that its initial interest rate is usually lower than that of a similar fixed-rate mortgage, making your monthly payments more affordable initially. Depending on the terms of the ARM, these lower payments can last for several years or even a decade. This makes it a good option for those who plan to stay in their home for a short period of time and move before the ARM resets to a variable rate. As interest rates rise, payments will also increase. ARMs can also be beneficial if you anticipate a significant increase in income or assets in the future. When the ARM resets, you will be…

Owning a house can come with many advantages, including an increase in property value when the real estate market is rising. Not only does this mean a profit when you put your home up for sale, but also grants you the ability to leverage equity as needed. If you have equity and are unsure of how to take advantage of it, here are 5 options. Debt Consolidation - with interesting rates rising, the interest payments on credit cards and personal loans can be big part of the payment. If you have equity a loan to consolidate the debt into a lower interest rate may be worth considering (of course be careful not to incur too much new credit card debt). Higher Ed - if you have children getting ready for…