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Price Your Loan | Price Your PMI | Loan Types | Interest Rate Forecast | Homebuyer’s Process and Timeline | Search Homes

Price Your Loan

todays mortgage rates

Price Your PMI

Most borrowers know well enough the importance of finding well priced mortgage rates, closing costs, homeowner’s insurance and other moving related costs but few know that they have a choice in private mortgage insurance. . . . But you do!!!

radian-PMI-comparison

We are tracking the pricing and guidelines for multiple private mortgage insurance providers and as they come competitively available to the market, we’ll make their calculators available to you. At this time, we recommend that once you know the structure of your loan, you shop for your mortgage insurance using the following calculators:

  1. Radian’s PMI Calculator (Jargon to know – BPMI = borrower paid mortgage insurance and LPMI = lender paid mortgage insurance and Single means that you pay a one time fee in exchange for not paying monthly mortgage insruance)
  2. Radian’s Loan Amount Estimator
  3. Genworth online mortgage calculator.
  4. United Guaranty’s PMI calculator
  5. PMI’s PMI Calculator
  6. MGIC’s PMI Calculator

Ask your loan officer about the benefits of the different types of private mortgage insurance such as “borrower paid monthly,” “lender paid,” “split premium” and “single premium” mortgage insurance. To learn more about these types of mortgage insurance right away, click here.

If you are curious about whether or not your mortgage interest, points or mortgage insurance qualify for a tax deduction, please see this IRS publication for guidance – click here.

Loan Types

With the variety of choices in mortgage loan programs available, sometimes the selection process can be mind boggling. At iLoan we’re here to add our expertise to help you with that process but we are also here to equip you with enough tools and information to put you in the driver’s seat.

With the combination of our mortgage calculators, loan pricing engine, mortgage insurance calculators and this informational resource page regarding loan types and programs, we hope to be giving you the tools and knowledge you need to confidently make an informed decision.

Feel free to contact us at any time to request additional information and resources in this endeavor.

Conventional Loans
Fixed Rate Mortgage
Temporary Buydown Mortgage
Fixed Rate Loan
FHA Streamline Refinance
FHA 203k Loans
VA Mortgages
Jumbo Interest Only Loans
Energy Efficient Mortgage
Jumbo and Super Jumbo
VA IRRRL
Fannie Mae Homepath
Rural Development Mortgage
Minnesota Housing Finance Agency
Fannie Mae MyCommunity Mortgages
Reverse Mortgages
Home Affordable Refinance Program
Fixed period Adjustable Rate Mortgages(ARM’s)
Community Land Trust
Mortgage Loans for New Construction
Lease With Option to Purchase

Conventional Loans
A conventional loan is a loan made against real estate as security that does not involving government participation in the form of insuring (FHA) or guaranteeing (VA) the loan. The mortgagee can be an institutional lender or a private party. Conventional loans include those loans insured by private mortgage insurance companies. Learn More

Fixed Rate Mortgages
The most popular of all mortgages are fixed rate mortgages. For years, iLoan has offered low fixed rate mortgages for Fannie Mae loans, Freddie Mac loans, FHA loans, VA loans, Jumbo Loans, Super Jumbo Loans, Non-Agency loans and Rural Development loans. While they’re not for everyone, most people prefer a mortgage in which the interest rate does not change during the entire term of the loan and the payments include both principal and interest. Learn More

Temporary Buydown Mortgages
They are types of mortgages with a series of initial, temporary interest rates that increase in a year- over- year fashion until a permanent interest rate is reached. Learn More

FHA Fixed Rate Loan
The Federal Housing Administration (FHA) provides mortgage insurance on loans offered by approved FHA lenders. It insures loans on single family and multi-family homes. As the largest insurer of mortgages in the world, it has become one of the most popular financing vehicles in recent years, offering many benefits to the borrower. Learn More

FHA Streamline Refinance
The “streamline” refers only to the amount of documentation and underwriting that needs to be performed. The basic requirements of a streamline refinance are:

● The mortgage to be refinanced must already be FHA insured.

● The mortgage to be refinanced should be current (not delinquent).

● The refinance is to result in a lowering of the borrower’s monthly principal and interest payments by at least 5% of the existing payment.

● No cash may be taken out
Learn More

FHA 203K Loans
When a homebuyer wants to purchase or refinance a house in need of repair or modernization, the borrower usually has to obtain financing first to purchase the dwelling or financing to take out any existing liens should they already own it; additional financing to do the rehabilitation construction; and a permanent mortgage when the work is completed to pay off the interim loans with a permanent mortgage. This can be expensive and frustrating, but FHA’s 203K and 203K Streamlines do this all in one convenient loan. Learn More

VA Mortgages
VA Loans are insured by the Federal Government. While FHA is targeted towards first time home buyers or affordable home buyers, VA programs are limited to members of the military. VA loans are available to active, inactive, and retired members of the military and members of the military reserve. Surviving spouses have eligibility rights as well. Learn More

Jumbo Interest Only Loans
Interest-only mortgage loans are like regular home loans but instead of paying monthly principal and interest on the loan, only the interest is paid. This usually, but not always, continues through the period for which the loan is fixed. Just as interest only loans largely went away after the great depression, so too are they largely going away after this great recession. Nonetheless, they still exist in the jumbo and super jumbo markets. Learn More

Energy Efficient Mortgages
FHA’s Energy Efficient Mortgage program (EEM) helps home buyers or homeowners save money on utility bills by enabling them to finance the cost of adding energy efficiency features to new or existing housing as part of their FHA insured home purchase or refinancing mortgage. Learn More

Jumbo and Super Jumbo Loans
A jumbo mortgage is a loan that has a loan amount that exceeds the conforming loan amount that can be purchased by Fannie Mae or Freddie Mac. A Super Jumbo Mortgage is classified as a residential mortgage or other home-equity secured loan in an amount greater than $650,000, although lenders differ on just what constitutes a super jumbo mortgage subject to their own internal investment criteria. Jumbo loans are usually purchased by private investors or maintained by the lender itself. Learn More

VA IRRRL Streamline Refinance
If you are looking to lower your interest rate and your monthly mortgage payment on your VA mortgage, you may want to consider an IRRRL. IRRRL stands for Interest Rate Reduction Refinancing Loan. You may see it referred to as a “streamline” or a “VA to VA.” Completion of an IRRRL must result in a lower interest rate, except when refinancing an existing VA guaranteed adjustable rate mortgage (ARM) to a fixed rate mortgage. In this particular instance, the rate may increase. Learn More

Fannie Mae HomePath
Fannie Mae created special financing packages for purchasers of homes that they own and are selling. Few lenders are able to facilitate these programs. Proudly, iLoan offers both. Learn More

Rural Development Mortgages
The United States Department of Agriculture has two very distinct programs designed to promote home ownership for rural Americans. The Direct RD (rural development) loan is primarily used to help low income individuals purchase homes and is available only at your local USDA office. These loans provide housing at a subsidized interest rate and can have a “recapture” feature when the home is sold. Learn More

MN Housing Finance Agency Loans
Through the Minnesota Housing Finance Agency (MFHA), the State of Minnesota offers eligible homebuyers loans with subsidized interest rates and mortgage insurance for low-to-moderate income homebuyers, that is correct, it is not just for first time homebuyers anymore! Learn More

Fannie Mae MyCommunity
Fannie Mae My Community loans are different from other 95% financing mortgages in the regard that they have dramatically cheaper monthly mortgage insurance, are subject to income limitations and don’t require any of the borrower’s down payment to be from their own funds. Fannie Mae My Community loans also allow community seconds up to 105% of the purchase price or appraised value; whichever is less. (Community seconds are 2nd lien mortgages that may be funded by a municipality, state, county, state or local housing finance agency, nonprofit organization, or an employer. These loans can assist buyers with down payment and closing costs.) Lastly, this loan allows for extra flexibilities with options to serve teachers, police officers, firefighters, and health care workers, and people with disabilities or a family member with a disability. Learn More

Reverse Mortgages
A FHA HECM reverse mortgage loan is a very special type of loan that permits borrowers to convert some of the equity in their home to cash. Reverse mortgages can give senior homeowners the funds they need to lead a more secure and enjoyable retirement, repair their homes, or potentially pay for long-term care and other necessary expenses, while allowing them to continue to live in their own homes for as long as they want. Learn More

Home Affordable Refinance
Many homeowners pay their mortgage on time but are not able to refinance to take advantage of today’s lower mortgage rates. The White House spearheaded an initiative to allow HARP Mortgages consumers to get a Home Affordable Refinance through Fannie Mae or Freddie Mac. Their programs are called the DU Refi Plus and LP Open Access respectively. This is particularly useful to borrowers wishing to refinance if they have lost equity in their home as a consequence of the housing market downturn. Learn More

Fixed Period ARM’s
A fixed period adjustable rate mortgage is has a fixed rate for a certain amount of time followed by an adjustable period through the remaining term of the loan. The periods for which the loan is fixed are usually 1, 3, 5, 7 or 10 years. Once the loan becomes variable the interest rate is determined by adding the loan’s margin to the index that the loan is tied to. For instance, if the loan’s margin was 2.25% and the index value were 1.75% then the rate would be 4%. Learn More

Community Land Trust Mortgages
Community land trusts are created to preserve long-term affordable housing by purchasing homes in their communities, then leasing the land using a long-term ground lease to low-income and moderate-income families at affordable monthly ground rents. Community Land Trusts (CLT) have had a foothold in the Twin Cities for decades. More broadly, the leasehold form of home ownership is more common in Minnesota than many would think. It is a market that Realtors would do well to be skilled in. More especially, it is a market that is crying out for more readily available, quality financing through Fannie Mae. For the most part, loans for purchasers of Community Land Trust properties are done as portfolio loans at banks that typically come with higher rates and/or less advantageous terms. But better options exist. Learn More

New Construction Mortgages
There are several loan types that can be used for purchasing and/or building newly constructed homes. Each has their own distinct advantages and disadvantages. When buying or building new construction homes, it’s important to weigh each of the pros and cons to each type of financing. Learn More

Lease with Option to Purchase
Since the housing crash and great recession, there have been swelling ranks of people that have had credit damaged but have increased their savings and reduced their consumer debt. Many of these people, in a reasonable timeframe will qualify for conventional, VA, FHA, or Rural Development loans but at this time, do not. For those who have their finances situated, saved money and increased their capacity to cover their housing payments, a Lease with Option to Purchase is a great choice. Learn More

Interest Rates – Where They’re Headed

While nobody can claim to know where rates are headed, we make a point of knowing more than enough to make accurate, educated guess and equip ourselves with cutting edge tools to ensure that you get the best rate possible. We do this by counseling, tracking and forecasting. As well, our loan officers receive alerts to aid in locking your loan at the optimum time.

All of our loan officers can counsel and track rates for you using cutting edge, web based software that will set target rates for you and automatically shop your transaction 3 times a day until your mortgage interest rate and closing cost specifications are met. It’s expensive, but you’re worth it! If you would like us to track a target rate for you, please let us know!

While we use many forecast methods and market modeling methods, we encourage you to follow along as well. Here are some forecasts you may be interested in reading:

Process and Timeline for Homebuyer

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The following outlines the Buyer Timeline in more detail … The following outlines the Loan Process in more detail …
I. Communicate with Agent (2-4 days and ongoing) I. Pre-Qualify Yourself (1 day)
1. Priorities II. Shopping Process and Variables (2-10 days)
2. Reasons for Priorities 1. Principles of Rate, Closing Costs & PMI – video
3. Long Term Timeline 2. Available Loan Product Options – options
4. Short Term Timeline 3. Competency & Knowledge – license checkresumeBBB
5. Cross Check Buyer’s Interests with Financing 4. Service
II. Searching (1 days to 18 months) 5. Empowering the Client – video
1. Home Buyers Scouting Report® (HBSR) – video 6. Locking vs. Floating – video
2. Study the Market 7. Bank vs. Broker vs. Correspondent – audio
a. Neighborhoods III. Pre-Approval Process (1-4 days)
b. Schools 1. Apply – secure online application
c. Places of worship 2. Submitting Needed Paperwork – checklist
d. Value trends 3. Meeting – contact us
e. Distressed housing data 4. Signing Lending Disclosures – lending disclosures
f. Public records 5. Paying for Appraisal – audio
g. HOA’s IV. Preliminary Processing (7 days)
h. Drive by’s 1. Initial Quality Control – video
3. Revisit Step 1 and Refine Search 2. 3rd Party Reports –audio
III. Schedule Showings (30-90 days) 3. Reconciling Income and Assets – audio
IV. Write Offer & Negotiate Contract (1-5 days) 4. Submit to Underwriting – audio
1. Loan Shopping Ends Here V. Preliminary Underwriting (1-4 days)
2. Construct Contract 1. Reconcile Loan with Lender and Insurer Guidelines – audio
3. Negotiate Contract 2. Issues Conditional Loan Approval – audio
4. Inspection Contingency VI. Final Processing (1-7 days)
a. Potential Contract Amendments & Renegotiation 1. Collection of Final Loan Conditions – audio
5. Financing Contingency 2. Clearing of final Loan Conditions – audio
V. Final Walk Through 3. Submission for Final Underwriting
VII. Final underwriting (2-4 days)
1. Clear conditions
2. Final QC – audio
3. Issue “Clear to Close” or Final Loan Commitment – audio
VIII. Pre-Funding (2-4 days)
1. Prep Closing Docs and Closing Instructions – audio
2. Reconcile and Approve HUD1 with Title Company – audio
IX. Closing (1 days)
1. Execute Contracts
2. Execute Final Disclosures
3. Disburse Funds

Search Homes

Search Homes

When it comes to searching for real estate online, we invite you to check out the Home Buyers Scouting Report® (HBSR) from Home Buyers Marketing II, Inc. The HBSR is a FREE, secure website that lets you customize your home search and view all the available homes in this market that match your personal search criteria.

And, when newly listed homes that match your search criteria become available, you’ll be the first to know with email alerts from HBM II. Click on the link to start your search or contact me for more information.
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The Home Buyers Scouting Report® is provided directly to the buyer by HBM II, a licensed national real estate brokerage service company, not to or through a lender. The FREE home finding service is provided directly to prospective homebuyers by HBM II and its real estate brokers, as part of their ordinary real estate brokerage services. HBM II, Inc. works cooperatively with other real estate agents across the United States in attempting to find ready, willing and able buyers for homes listed for sale. The role of the Preferred Loan Officer is to assist in determining a comfortable home price range for Home Buyers Marketing II, Inc. (HBM II) to use when it is searching for property listings within the buyer’s search criteria.