Mortgage VS. Deed Of Trust: What’s The Difference?

Posted onDecember 27/2017By

While a mortgage and a deed of trust do work similarly, it’s important to know there are significant differences between the two. These differences are especially important in the case of foreclosure, The biggest difference between the two are the amount of parties involved in each contract. In a mortgage, there are just two parties: the borrower, and the lender. In a deed of trust, however, there are three: a borrower, a lender, and a trustee. In a traditional mortgage, whether fixed rate or variable, the borrower holds the title to the property, though the home is still collateral in the mortgage loan. In a deed of trust, the trustee temporarily holds the title on the property and hands it over to the borrower once the loan is repaid in full. A mortgage and a deed of trust will only really affect the homeowner should the homeowner default on their…

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Owning VS. Renting: Which Is Better For You?

Posted onDecember 06/2017By

It’s quite common to get frustrated when renting. After all, you’re paying often expensive rent each month, sometimes even putting work into the property, and while it does cover your accommodation, once you move out you’ve got nothing to show for it. If you own your home however, your monthly mortgage payments are similar to paying rent except they are going directly towards your own home: your own investment. Once you own your home outright, it’s a huge asset, especially in a city with such a high and competitive real estate market. Many people, if financially able, would choose owning a home as the money they put into accommodation goes directly into the property, their own investment. There are, however, considerations to take into account whether renting or owning. Depending on your lifestyle, owning may not be right for you even if you do have the cash for a down…

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3 Possible Reasons Your Mortgage Offer Was Denied

Posted onNovember 20/2017By

Before you begin the mortgage application process, it’s important to understand all the aspects of the application including why you will, or why you won’t, be able to qualify. In your mortgage application, you will be asked to provide many documents related to your personal finance, employment history, outgoing expenses, income, loans, and credit score. During this process you will also be on the lookout for a good mortgage loan with low mortgage rates. If, after all this, your mortgage is denied, it can be crushing. Here are some reasons your mortgage was, or could be, denied, to keep in mind for the next time you apply: 1. Credit Score Poor credit history is one of the most common reasons mortgage loans are denied. You can find out ahead of applying if your credit score meets the minimum to be approved, which is helpful because if you know your score…

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Can Mortgages Be Transferred To Another Property?

Posted onNovember 06/2017By

If you’re moving house, or would simply like to transfer your equity mortgage to another property, you may be able to do so by getting a portable mortgage. Most mortgages, in fact, are portable, and you should be able to port your mortgage to a new theory. However, there are some conditions. Even though porting is a feature offered in many equity mortgages, there are some reasons you may not be able to, or that it may be more challenging, which are dependant on your lender. It’s important to know that when you request to transfer your mortgage you are effectively re-applying. Just like the first time you applied for a mortgage, your financial or employment circumstances and credit score will be taken into account. If these have changed since you first applied they could affect your ability to transfer your mortgage, or the rate you will receive. For this…

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What Is An Industrial Mortgage?

Posted onOctober 27/2017By

An industrial mortgage, as the name suggests, is a mortgage received specifically for an industrial property. These kinds of properties can include manufacturing plants, factories, workshops, storage units, or warehouses. They are usually located in the area of a city or town specifically meant for industrial use. There are many reasons for buying a building for industrial use. You may want to continue actively using it and take over the existing business, or you may wish to start your own. You may want to renovate the building for another use or as an investment to resell. Whatever your reasons for buying, you can apply for an industrial mortgage for the property. Industrial mortgages actually fall under the category of commercial mortgages. A commercial mortgage is a mortgage on any kind of property that is meant to generate income. However, a commercial mortgage can have housing units in the building, while…

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