The Ins and Outs of Non-QM Loans for the Self-Employed

What Is a Non-QM Loan? Non-QM loans are mortgage loans that do not comply with the definition of a Qualified Mortgage. The Qualified Mortgage is part of a set of standards included in the Dodd–Frank Wall Street Reform and Consumer Protection Act, which became law in 2010 after being signed by President Obama. Qualified Mortgage standards are designed to help …

How Much Mortgage Can I Reasonably Afford?

Ah, the quest to buy a house. What fun to tour open houses, watch HGTV, and dream of the palace that will surely be yours as you start looking into buying a home. But then reality sets in: Who wants to fall in love with a home that’s out of their price range? That’s why as a home buyer, you …

Why Do You Need a Mortgage Pre-Approval?

Buying a home? Do this one thing first Ready to buy a home? There’s one thing that will help you before you even begin the homebuying process. Yes, that’s right: Turn off HGTV. Reschedule your showings. Because this piece of documentation should be done before you even start the home-shopping process. We’re talking about getting a mortgage pre-approval. Four benefits …

How Do I Improve My Credit Score?

Surprise! Improving your credit score might be easier than you think. Do you worry that the dream of getting a home loan is out of reach because of a low credit score? The great news is that it’s relatively easy to boost your credit and make that mortgage dream a reality. Here are 4 steps that can help improve your …

Why Should I Refinance My Mortgage? 

Refinancing your mortgage can yield some important financial benefits and it’s important to understand when — and why — a refinance makes sense. Is a mortgage refinance right for you? That’s a good question and one that many homeowners ask at some point. The answer often hinges on things like how long you’ve owned the home, what you’re currently paying for your …

What Happened to Subprime Mortgage Loans?

Once plentiful, subprime loans seem to have disappeared. Where did they go? In one sense, subprime loans have disappeared — and justifiably so, given the chaos they created during the mortgage crisis. Plus thanks to new lending laws like the Dodd-Frank Consumer Protection Act, you can’t get belly up to a broker, claim any income you like, and get a …

Do’s and Don’ts of Down Payments

Don’t leave your down payment for the last minute. Gathering funds as soon as possible will save you time and energy later. If you’re shopping for a house, you should already be thinking about your down payment. Partially, this is because your down payment has a big impact on what you can afford. While there are many options for low …

Advantages of a 40 Year Mortgage

You can get a 40 year mortgage! (And we have them at Newfi.) But it’s important to understand the advantages and disadvantages of 40 year mortgages before you consider one. First, it’s important to understand that there are two main types of 40 year mortgage available: Fully amortizing. With a fully amortizing 40 year mortgage, every payment you make goes …