Fixed Rates

30 Year Fixed Rate Program
30 year fixed mortgage is a type of mortgage loan that is repaid by the borrower making 360 equal monthly payments over a period of 30 years. Since the borrower's payments are 'fixed', the borrower can expect to make the same monthly payment for the entire term of the loan. A 30 year mortgage loan is the most widely accepted program used to finance a residential purchase, and is available for conventional, jumbo, FHA and VA loans.

15 Year Fixed Rate Program
A 15 year fixed mortgage is a type of mortgage loan that is repaid by the borrower making 180 equal monthly payments over a period of 15 years. Since the borrower's payments are 'fixed', the borrower can expect to make the same monthly payment for the entire term of the loan. A 15 year mortgage loan is the most widely accepted program used to finance a residential purchase, and is available for conventional, jumbo, FHA and VA loans.

Variable Rates
The Variable-Rate Mortgage is offered at the prime rate less 0.25%1 and is adjusted every month. That way, you enjoy a discount on the lowest possible rate on the market! The variable payment is adjusted monthly in relation to interest rate movements and in keeping with the remaining amortization. This option minimise the amount of the payment.

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Capped Rate
This is a mortgage that is guaranteed not to rise above a specific rate (the 'cap') within a set period. Unless this is combined with another rate, such as a Discount or Tracker, the Lender's SVR will be charged if it is lower than the capped rate; if it rises above this ceiling the rate charged will remain at the capped level. There are often early repayment charges applicable if the loan is repaid within the capped period.

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Remortgage Rates
For many people, their home is their biggest investment and source of savings. When they need to borrow money for major expenses, or to pay off accumulated debts, they can use their home value to borrow money.

Pay off your credit cards
If you have credit card or other consumer loans, it is often less expensive to consolidate these expensive loans with your mortgage.

Credit card interest rates are usually much higher than mortgage interest rates. And, the interest on your mortgage is tax deductible, while the interest on your credit card is not.

If you have enough home equity, you may be able to pay off your pricey credit card debts and save money.

Refinance vs. home equity loan
Generally, there are two ways to use your home equity to borrow money. You can either refinance with a new mortgage that is larger than your remaining balance (a cash-out refinance) or get a home equity loan.

A cash-out refinance is generally cheaper, but a home equity loan will usually let you borrow more.

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Self Certification
This is a mortgage where a borrower states their income and signs a confirmation of their ability to repay a loan, without having to provide evidence such as accounts, payslips or bank statements. Consequently, S/C rates are often higher than standard Full Status mortgages.

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Cashback Mortgages
This is a mortgage in which the Lender refunds a sum of money, either as a percentage of the loan or a flat figure, to the borrower upon completion. With this type of offer the borrower will typically be tied to the Lender's SVR by early repayment charges necessitating repayment of the cashback if the loan is repaid within a set period.

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Buy-to-Let Mortgages
Whether you are buying your first buy-to-let property or you are a portfolio investor there is some financial information you need to know about:

1. What choices of mortgage interest rates and products are available
2. What is the maximum available loan
3. An illustration of costs and monthly payments
4. An analysis of returns from your investment properties

Our buy-to-let quotation system will give you all of this and more FREE OF CHARGE while you are online.

We only select and recommend those buy-to-let lenders whose products are competitive and whose service standards match those we constantly strive to achieve.

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Commercial Mortgages
We offer commercial loan programs to suit nearly every borrower and property type. Successful commercial real estate financing is dependent upon the availability of competitive funding. My commercial loan programs are fast financial solutions for commercial property owners and investors.

Property Types

Multi-Family
Traditional, multi-family residential complexes located in both city and suburban markets.
Mixed-Use
Properties that integrate and combine residential with different uses, including retail and office spaces.
Office
Traditional office or office type properties.
Retail
Properties with a mix of tenants that meet the convenience needs of neighborhood residents, including video stores, grocery, and financial services companies.
Light Industrial
Single- or multi-tenanted spaces used for warehouse, manufacturing, distribution, or research and development. We offer loans from $250,000 to $3 million in Fixed Rate programs with 25 and 30 year amortization. Adjustable rate programs are available with a 3-year below market start rate. Our loans have competitive rates and quick decision times.

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ARM (Adjustable Rate Mortgage)
1, 3, 5, 7, 10 Year Adjustable Rate Loan Programs

An Adjustable Rate Mortgage (ARM) is a mortgage loan that is most widely known for its low starting interest rate (when compared to the 30 & 15 year mortgage loans). This 'low' introductory rate is used to calculate the mortgage payment for a specified period of time. Once this introductory period is over, the interest rate is adjusted periodically based on a preselected index. The most commonly used index is the yield on the one-year Treasury Bill. The new interest rate is determined by adding this index to a set margin (which is determined by the lender). Although there are a variety of adjustable rate mortgage programs available, the most common program is the One Year Adjustable Mortgage (one Year ARM). The interest rate on the one year ARM is adjusted once each Year, for 30 years. APR's on variable rate loans are subject to increase but may decrease from year-to-year, the borrower should be prepared to handle an increase in his/her monthly payment (should the index rate increase).

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Jumbo
A jumbo mortgage is a mortgage loan which is larger than the limits set by Fannie Mae and Freddie Mac ($322,700 as of 1/1/2003). Since these two agencies will not purchase these types of loans, they usually carry a higher interest rate (to enhance their value and marketability to investors).

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Bad Credit OK
Your credit report may be full of dings, compounded with a history of foreclosure and bankruptcy, but you may still get a loan for home purchase, refinance, or even cash out of your current home. It doesn't matter whether you have charge-offs, collections, or tax liens on your credit report, as long as you can meet the specific guidelines for loan approval by a multitude of lenders specialized in the credit-damaged borrower.

The lending industry uses categories to asses the credit risk of any particular borrower. If the property checks out and you have sufficient income, impeccable credit and the required down payment you are considered an 'A' borrower. An 'A' borrower can walk into almost any lender and get a mortgage loan. A borrower can fall short in one of these areas and still be considered an 'A' borrower, as long as the other areas can compensate for the weakness. For example, a borrower that exceeds the required monthly debt-to-income ratios (28% housing debt and 36% combined debt) could offer a large down payment. Many lenders will also excuse modest credit 'blemishes' if a reasonable explanation is provided (i.e. job transition, medical problems). Being 30-60 days late on one credit card payment is a typical blemish that could be accepted by a lender.

But what about those that have more serious marks against their credit. Depending on how tarnished your credit history has been, lenders will typically place borrowers into the following credit categories, which are qualified by time frames:

A-minus credit:
Acceptable blemishes within the last two years: Charge-offs, or collection accounts, of minor amounts (e.g. less than $500 in all) are acceptable. Medical bills, including hospitalization and clinic visits, are usually disregarded by the lender. As for payment habits, the borrower can have no more than two 30 days late payments, or one 60 days late payment on revolving or installment credit.

B credit:
Acceptable blemishes within the last 18 months: Up to four 30 days late , or up to two 60 late days payments are allowed on revolving and installment debt. If the credit ding is an isolated incident, a 90 days late payment is allowed within the last 12 months. Charge-offs, or collection accounts, which are isolated, insignificant, and less than $1,000 in all, are acceptable. However, outstanding collection accounts less than four years old must be paid. Bankruptcy or foreclosure that had been discharged or settled previous to the 18 month time frame is allowed.

C credit:
Acceptable blemishes within the last 12 months: No more than six 30 days late payments, three 60 days late payments, or two 90 days late payments are allowed on revolving or installment credit. Open collections accounts and charge-offs may not exceed $4,000 and must be paid in full. Bankruptcy or foreclosure that had been discharged or settled prior to the last 12 months is acceptable.

D credit:
A sporadic disregard for timely payment or credit standing categories the borrower in this class. Open collections accounts, charge-offs, and judgments must be paid through loan proceeds. The borrower who had filed bankruptcy and had been discharged prior to the last six months is acceptable, as much as the ex-homeowner who had his previous home foreclosed and settled prior to the last six months. However, mortgage payments cannot be longer than 90 days past due.

The above are general industry guidelines to make lending judgment on the borrower's loan application. There are no hard-and-fast rules of separating the borrower on the border line between one credit category and another. Also, there are compromising variations between one lender to the next depending on the degree of subjectivity involved in underwriting and how much each lender wants to commit their funds.

Down payment requirements are being reduced
Typical lenders in the market of credit-damaged borrowers usually lend only up to 80% of the appraised value of the home, so the borrower often has to have 20% equity or come up with a 20% down payment for a purchase. Extensive shopping may uncover a company that will lend a greater percentage.

What about income? A-minus and B-credit borrowers are often allowed to allocate 50% of their income to pay for combined monthly debt (compared to the standard 36% guideline used for A credit borrowers), while the bottom rung of the credit ladder can be stretched to 60%. As for proof of income, some lenders do have "Stated Income" programs which do not require tax returns, W-2s, or pay stubs, but may require up to 6-month bank statements to verify income activity.

Depending on the extent of the blemishes, borrowers with less-than-perfect credit histories can expect to pay higher than market interest rates for their home loan. But if getting into a home or refinancing out of a bind is one's goal, there are plenty of lenders out there among whom the homebuyer or borrower can shop around to get the appropriate financing. If you are having trouble finding a lender that caters to borrowers with less than perfect credit, you might want to consult with a mortgage broker. Since brokers typically deal with a multitude of lenders, they might know of lenders that make such loans.

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Refinancing
For many people, their home is their biggest investment and source of savings. When they need to borrow money for major expenses, or to pay off accumulated debts, they can use their home value to borrow money.

Pay off your credit cards
If you have credit card or other consumer loans, it is often less expensive to consolidate these expensive loans with your mortgage.

Credit card interest rates are usually much higher than mortgage interest rates. And, the interest on your mortgage is tax deductible, while the interest on your credit card is not.

If you have enough home equity, you may be able to pay off your pricey credit card debts and save money.

Refinance vs. home equity loan
Generally, there are two ways to use your home equity to borrow money. You can either refinance with a new mortgage that is larger than your remaining balance (a cash-out refinance) or get a home equity loan.

A cash-out refinance is generally cheaper, but a home equity loan will usually let you borrow more.

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125% LTV
This popular loan program is a great way to reduce your monthly payments by allowing you to consolidate those high rate credit cards and installment loans. Cashing-out equity for home improvement or for an investment opportunity may be another reason for selecting this type of loan program.

Example of how you may benefit from our 125% LTV loan program

...Before Refinance:
Home Value: 200,000
Credit Card Debt: 75,000
Rate: 6.85%
Term: 30 Years
Mortgage Payoff: 150,000
Monthly Mortgage Payment: 982.00
Monthly Debt Payment: 1,250

...After Refinance:
New Loan: 237,000
New Rate: 7.25%
New Payment: 1,616.76
Old Payment: 982.00 + 1,250 = 2,232.00
Monthly Payment Savings = $615.24
Yearly Savings: 7,382.88
3-Year Savings: 22,148.64
5-Year Savings: 36,914.40

* Payments based on 30 Year Amortization, 100% ltv, 1st lien position, 7.25% rate, 7.35% APR.

APR may vary depending on term and amount.
Rates are subject to change.
Loan application subject to credit and underwriting guide lines

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100-102% LTV
Looking for a 100% financing on your new home mortgage? We have several lenders who can offer you this excellent type of loan program. Some even allow up to 6% seller concessions to pay your closing costs! If you are looking for max LTV, submit your loan application today and pre-qualify by tomorrow!

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Interest Only
This type of loan program is for those who would like to significantly lower their mortgage payments by allowing you to pay only the interest on the loan. This type of loan is great for debt consolidation up to 100% LTV.

Example of how you may benefit from an Interest Only Loan Program

...Before Refinance:
Mortgage Balance: 225,000
Rate: 7.5%
Term: 30 Year
Monthly Mortgage Payment: 1,573.23

...After Refinance:
New Loan: 225,000
New Rate: 3.75%
New Payment: 703.00
Old Payment: 1,573.23
Monthly Payment Savings: 870.23
Yearly Savings: 10,442.76
3-Year Savings: 31,328.28
5-Year Savings: 52,213.80

* Payments based on 30 Year Amortization, 80% ltv, 1st lien position, 3.75% rate, 3.85% APR.

APR may vary depending on term and amount.
Rates are subject to change.
Loan application subject to credit and underwriting guide lines
Home Equity Line (HELOC)

This type of program is very popular for those looking to do home improvements and who are not interested in tapping into all of their home's equity at one time. With this type of program you can draw on your equity at your leisure making this an excellent loan program that you control. A "HELOC" is usually setup on an interest only payment and is fixed to either the LIBOR or Prime index and can be used for at least 10 years before principal payments are required.

Example of How and Interest Only HELOC Payment is Calculated:

Rate + Index x Remaining HELOC Balance/divided by 12 Months = Mo. Payment

4.25 + 1.00 x 35,000 /12 Mo. = $125.00

* Payments based on 30 Year Amortization, 80% LTV, 1st lien position, 5.25% rate, 5.35% APR.

APR may vary depending on term and amount.
Rates are subject to change.
Loan application subject to credit and underwriting guidelines

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Home Equity
A home equity line is a form of revolving credit in which your home serves as collateral. Because the home is likely to be a consumer's largest asset, many homeowners use their credit lines only for major items such as education, home improvements, or medical bills and not for day-to-day expenses.

With a home equity line, you will be approved for a specific amount of credit-your credit limit-meaning the maximum amount you can borrow at any one time while you have the plan.

Many lenders set the credit limit on a home equity line by taking a percentage (say, 75 percent) of the appraised value of the home and subtracting the balance owed on the existing mortgage. For example:
 

Appraisal of home	$100,000
Percentage	x75%
Percentage of appraised value	$75,000
Less mortgage debt	-$40,000
Potential credit line	$35,000

In determining your actual credit line, the lender also will consider your ability to repay, by looking at your income, debts, and other financial obligations, as well as your credit history.

Home equity plans often set a fixed time during which you can borrow money, such as 10 years. When this period is up, the plan may allow you to renew the credit line. But in a plan that does not allow renewals, you will not be able to borrow additional money once the time has expired. Some plans may call for payment in full of any outstanding balance. Others may permit you to repay over a fixed time, for example 10 years.

Once approved for the home equity plan, usually you will be able to borrow up to your credit limit whenever you want. Typically, you will be able to draw on your line by using special checks.

Under some plans, borrowers can use a credit card or other means to borrow money and make purchases using the line. However, there may be limitations on how you use the line. Some plans may require you to borrow a minimum amount each time you draw on the line (for example, $300) and to keep a minimum amount outstanding. Some lenders also may require that you take an initial advance when you first set up the line.

Costs to Obtain a Home Equity Line

Many of the costs in setting up a home equity line of credit are similar to those you pay when you buy a home. For example:

• A fee for a property appraisal, which estimates the value of your home.
• An application fee, which may not be refundable if you are turned down for credit.
• Up-front charges, such as one or more points (one point equals one percent of the credit limit).
• Other closing costs, which include fees for attorneys, title search, mortgage preparation and filing, property and title insurance, as well as taxes.
• Certain fees during the plan. For example, some plans impose yearly membership or maintenance fees.
• You also may be charged a transaction fee every time you draw on the credit line.

Comparing a line of credit and a traditional second mortgage loan

If you are thinking about a home equity line of credit you also might want to consider a more traditional second mortgage loan. This type of loan provides you with a fixed amount of money repayable over a fixed period. Usually the payment schedule calls for equal payments that will pay off the entire loan within that time. You might consider a traditional second mortgage loan instead of a home equity line if, for example, you need a set amount for a specific purpose, such as an addition to your home.

In deciding which type of loan best suits your needs, consider the costs under the two alternatives. Look at the APR and other charges. You cannot, however, simply compare the APR for a traditional mortgage loan with the APR for a home equity line because the APRs are figured differently.

• The APR for a traditional mortgage takes into account the interest rate charged plus points and other finance charges..
• The APR for a home equity line is based on the periodic interest rate alone. It does not include points or other charges.

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No-Doc-Limited
Our No-Doc/Limited Doc Loan programs offer self-employed business owners an easy way to qualify for a mortgage. We have several lenders who offer very competitive No-Doc/Limited Doc programs with excellent rates and flexible terms for those who have the credit score to qualify.

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Stated Income
Our "stated" income program is a loan program offered by many of our lenders. This program is great for self-employed borrowers and allows you to "State" your income without the need for verification. Our stated income program allows a borrower to meet the "Debt-To-Income" ratio required by our lenders.

Construction
Whether you're planning to build your dream home or just thinking about it, we can help. We can answer your questions, and guide you through the loan process. We'll be with you every step of the way from framing your front door to turning the key. At Family Home Lending, we're home construction lending experts. We can answer your questions and your builder's questions so your project keeps moving smoothly from groundbreaking to housewarming. Our Construction-to-Permanent Loan is based on ordering an appraisal based on the future value of the home. That's right I said future appraised value of you home. We can lend 90% of the future appraised value of a primary home, and 80% of the future appraised value for a spec home. The construction loans is based on the actual cost which can include the purchase of the land.

We can offer new construction loans on the following property types:

* Primary Homes
* Second Homes
* Modular Homes
* Spec. Homes for Builders
* Complete Rehabilitation

This means with one application, you get all the financing you need in two easy processes your construction and permanent loan. All fees and points will be built into both mortgages. Based on the project if it has enough value we can finance your land and wrap your closing cost into your construction loan up front. Below you will find the list of items you will need to get your construction loan started.

* Plans and Specifications
* Plot Plan
* Proof of a Land contract or a Deed
* Proof the Land is build able from your local Building Inspector
* Title Commitment
* Homeowners Insurance
* Line item list of all cost to build your project

Terms of the construction loan are for 3 or 6 month periods. This loan program offers interest only (up to 5 draws) 30-year amortization.

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