If you’re thinking about buying a home, you’ve probably asked yourself this question at least once: Should I pay off my debt first… or move forward and buy now? It’s a smart question. And the honest answer is: it depends. As a mortgage loan originator, I’ve walked many clients through this exact conversation. The right…
When you hear the word amortization in the mortgage world, it might sound complicated, but it’s really just a structured way of paying back your loan. Put simply, amortization is the process of spreading your mortgage payments over time so that each monthly payment covers both principal (the money you borrowed) and interest (the cost…
One of the most common misconceptions I hear, especially when it comes to reverse mortgages, is that you must own your home outright—with no mortgage at all—to qualify. While that sounds logical at first, it’s not actually true. Let’s clear this up. The reality is, many homeowners still have a balance on their mortgage when…
When shopping for a mortgage, one term you may hear is “discount points.” It sounds nice—after all, who doesn’t want a discount? But in the world of home loans, discount points don’t lower the price of the home; instead, they lower your interest rate. A discount point is essentially a form of prepaid interest. Each…
When shopping for a home loan, it’s common to believe the lowest advertised interest rate automatically means you’re getting the best deal. After all, a smaller rate means a smaller payment, right? Not necessarily. This is one of the most common myths about mortgages—and believing it can actually cost you more in the long run….
