Since mortgage rates are predicted to rise, are adjustable-rate mortgages a bad idea right now?
As interest rates are at historically low levels, the best decision is generally to lock in these low rates now. However, there may be some instances where opting for an ARM (adjustable rate mortgage) could save you money. For example, if you plan to move within the fixed rate period of the loan (a 5/1 ARM...

What is an FHA loan?
An FHA loan is insured by the federal government. This mitigates the risk to lenders and therefore gives them the ability to loan to those who qualify for an FHA loan with less strict lending standards. For example, instead of the usual 20% down payment, an FHA loan only requires a 3.5% down payment,...

Looking to relocate to Southern California - who can help or offer any tips?
There are so many advantages and disadvantages to each county you have mentioned. Each have areas which are more and less expensive and therefore have higher and lower taxes. The best option for you is to speak with a Realtor and really discuss your needs with him or her. I am a mortgage banker in San Diego...

What type of loan has the most stringent form of credit guidelines?
Conventional loans have the most stringent credit guidelines. FHA and VA are less strict due to the fact that they are insured by the government. However, you do have to pay for this insurance. If you are concerned about your credit, it would be wise to speak with a mortgage banker about your specific...

Can I be processing two loans at the same time and back out of whatever loan doesn't close first?
If you are looking for efficiency, this is not the route to take. You should shop in the beginning and get two or more GFEs (good faith estimates) and see which lender will offer you the best deal and go with that lender. It could result in a red flag but will definitely end up costing you more money in the long...

Just got married and my wife has bad credit...what should we do? We're looking to buy a house in the next year.
She should work on repairing her credit no matter what you decide to do but it is possible to qualify for a mortgage without her. However, this completely depends on your situation. What price range are you looking at? What is you income and credit? Do you need her income to qualify? These are all things...

Can I borrow the downpayment for my fha loan?
No, you cannot borrow in the traditional sense for your down payment. However, there are a couple of options if you don't have the money saved. You can borrow from your 401k; but this is really just a loan from yourself. Another option is getting gift funds from a friend or family member; this is NOT a loan,...

How can I refi if I'm underwater and don't have a Fannie or Freddie loan?
You can do a streamline without an appraisal if your loan is FHA, VA or USDA. If not, however, your will need to wait for the value to go back up (which they are) or pay down your principle to qualify to a refi.

What do I do if my wife has no credit?
Yes, you can get a loan in your name only, however, this means that you cannot use her income to qualify. If your income is high enough to qualify for what you would like to purchase, then this is the best option. If you need her income, then your options will be limited, but it is possible. You should seek out...

Can we refi from conventional to VA?
Yes you can. As has already been stated, however you will need to look at the differences in costs for different loan programs. My advice is to call a local mortgage banker to go over your specific situation and discuss what would be the best option for you.

Is there any way I can get a mortgage on a house that I don't have residency with?
Absolutely. It is referred to as an investment property. As Peter said they can require a larger down payment and will have a slightly higher interest rate but it is very common.

Should I refi to a fixed rate mortgage?
Of course it depends on your situation; you need to look at how long you plan to be in the home. In general, if you plan to be in the home for a long period it makes more sense to be in a fixed-rate mortgage. Although rates have gone up in the recent weeks; they're still near all-time lows and you may want to take...

What's the best option for a first time home buyer?
FHA loans are great programs because of the low down payment and low interest rates. However, with an FHA loan comes mortgage insurance. Contact a local lender to go over your individual situation to figure out what your best option is.

How can I improve my credit score?
The first thing you should do is get a copy of your credit report and look for negative items. Sometimes these items are erroneous and it's pretty easy to dispute them. You should also only use up to 30% of your revolving credit so look in to paying off your debt. Pay all of your debts on time and your credit...

Do I ever have to pay back the cash from a home equity loan? Or is it basically just free money?
Yes your do have to pay it back; as William stated, it's called a loan for a reason. However, it is a great program and way to use what you have put into your home for other needs.

I have a 614 middle score on my credit can I get a va loan?
Credit score requirements vary in different states. It is generally 640 here in California but it could be possible to get a loan with a slightly lower score. However, you can always work to raise your score and apply once your score is higher. Call a local mortgage banker to get advice on what score you...

Should I pay cash for my home if I have the financial means
If paying for the home in cash will deplete your savings, then you should consider a mortgage for a portion of the home. However, as was stated by Mr. Lewis, you may be able to make a better return on you funds if you invest elsewhere. There are many factors to consider and this is something you really should...

whats the absolute lowest credit score you have to have to get a mortgage loan
There is not a minimum for FHA technically, however, banks do impose their own limits. To get a decent rate you should work to bring your score above 620, or even better a 640 and then apply for a mortgage.

When can we expect the mortgage rates to fall again?
Rates have already gotten better in the past couple weeks after their large increase. I regret to say that we have probably hit bottom. Rates are still very low, though and I wouldn't wait to apply expecting them to fall again. If you have a mortgage banker that watches the market, you will want to float...

My lender says I should lock because rates are probably going up from here. Is she right?
It is very difficult to predict exactly what rates will do since they depend on a variety of factors. However, we are predicting a decent jobs report on Friday which would move rates up slightly. This expectation comes after a stronger than expected ADP jobs report. There is no guarantee of this, of...