Is Applying for Mortgage Pre-Approval Important or Required?

approved mortgage loan with house key
apply for mortgage pre-approval before making an offer on a home, it certainly is beneficial. It is important to mention that pre-qualification and pre-approval are not the same things. With pre-qualification, lenders use the information you supply, without any verification, to determine how much they are willing to borrow. With pre-approval, you go through the same verification processes, just like you were applying for your mortgage. The end result is an exact amount of money lenders will borrow you to purchase your home. Completing pre-approval processes unlock these added benefits:
  • Sellers will know you are serious when you make an offer.
  • Sellers tend to favor buyers who are pre-approved rather than having to wait for you to secure financing.
  • You will save time by not looking at homes that are outside what you can afford.
  • You will know the minimum amount of money you will need down to finalize the mortgage.
  • You will have an idea how much additional money you will require for inspections, closing, and so on that you cannot finance.
  • You will know what homes you can afford and whether you will need a larger down payment to get the home you truly want.
  • You will know if there are things on your credit report you need to clean up before reapplying to get a lower rate or a higher mortgage amount.
As you can see, taking the time to get pre-approved for a mortgage is well worth it. To start the pre-approval process, or if you have further questions about different mortgage financing options, please feel free to contact Elite Financial at (800) 908-LEND or (805) 494-9930 today!

Don’t Put Off Your Summer Home Makeover – Get a Cash-Out Refinance

Luxury Home with Pool at Sunset

A cash-out refinance mortgage loan is where you refinance your existing loan and, at the same time, convert your available equity into cash. You could qualify for as much as a 90% LTV (loan-to-value) mortgage!

The great thing about refinancing your home and using it for a summer home makeover is you can increase the value of your property. Some great ideas of what you can do with the cash from your refinance loan include:

  • Enclose your backyard with a privacy fence.
  • Enclose your patio.
  • Renovate your patio/deck.
  • Build a covered outdoor kitchen/entertainment area.
  • Get a new garage door.
  • Add a new room to your home.
  • Install an in-ground pool.
  • Finish your basement and turn it into a man cave, game room, playroom, or she-shed.
  • Have solar panels installed on your
  • Get new energy efficient windows installed.
  • Increase the amount of insulation in your home.
  • Remodel your kitchen with new cabinets, countertops, and energy-efficient appliances.
  • Renovate your bathroom and turn it into your own personal “spa.”
  • Get a new tankless hot water heater installed.

After all the makeover projects are completed, you can even use part of the cash you receive to take a much-needed vacation!

One of the great things about refinancing, compared to using credit cards or other loans, is you have a single monthly payment with a fixed interest rate. To learn more about refinancing your home and getting cash out for your summer home makeover, please feel free to contact Elite Financial at (805) 494-9930 today!


What Every Vet Needs to Know About VA Loans

What Every Vet Needs to Know About VA Loans

Elite Financial thanks all veterans for their service to our country and would like to share with you some interesting information about VA loans which you might not know.
  1. You do not have to be a first-time buyer. You can take advantage of VA home loans anytime you want to purchase a new home. Plus, this benefit never expires!
  2. buy inderal 10mg VA mortgages do not require a down payment. You don’t have to wait to save up a down payment to buy a home. You can purchase one today.
  3. go to link VA mortgages do not require private mortgage insurance (PMI). Unlike FHA loans that require PMI, VA mortgages do not, which eliminates this added cost to your monthly payments. veteran with family - home lending
  4. VA mortgages can be used to refinance or cash out equity in your existing home. You could get lower monthly payments and a lower rate or tap into the equity for home improvements or other reasons.
  5. VA mortgage rates are lower. Interest rates are lower compared to conventional mortgage loans, which saves you money over the life of the loan.
  6. Surviving spouses could quality for VA mortgages. If you are the surviving spouse of a veteran, you could buy a home with no money down and no PMI.
  7. VA mortgages do not require high credit scores. VA mortgages allow for previous foreclosures, bankruptcies, and lower credit scores for approval.
  8. VA mortgages are available for condos and manufactured homes. Your VA benefit includes a wide range of home buying options.
For more information about VA mortgage loans, or to apply, please feel free to contact Elite Financial at (805) 494-9930 today!

What Real Estate Scams You Should Watch Out For After Buying Your Home

Real Estate Scams
You finally made the decision to buy your first home. You put in the time to find the right home and get financing from a mortgage company. As you are looking forward to your closing date, there are some people who would try to pull different real estate scams on you and turn your experience into a nightmare.

To protect yourself and your investment, here are some of the more common scams:
  • Emails requesting you wire transfer closing funds. These emails are almost always an attempt to scam you out of this money. Most closings require you to show up with a cashier’s check in hand.
  • An offer to purchase the home for more than what you paid. You may be contacted by someone who tells you they are very interested in buying the home and will pay you twice what you paid, as long as you prepay their closing costs today.
  • Calls or emails from bogus moving companies. These scammers want you to prepay for your move and entice you by offering low rates. Professional movers will never ask for payment until you are in your new home.
  • Emails requesting you prepay homeowners’ association (HOA) fees. Your HOA will not do this before the closing. Instead, they will mail you a letter or come talk to you directly once you move in.
If you are still looking for financing to buy your dream home, please feel free to contact Elite Financial at (800) 908-LEND or (805) 494-9930 today!

The Pros & Cons of a 30-Year Fixed Home Loan

30 Year Fixed Home Loan
30-year fixed-rate mortgages are one of the most popular types of loans people get from mortgage lenders to purchase their homes. This type of loan has a fixed interest rate that never changes over the life of the loan. Even if rates go up over the 30-year period, the interest rate on your loan will not.

Other pros of 30-year fixed-rate mortgages include:
  • Monthly payments are the same, which makes budgeting easier.
  • The monthly payment is typically less compared to other mortgage loans.
  • It’s an ideal loan choice for home buyers who intend to stay in their home for 10 years or longer.
  • FHA 30-year fixed-rate mortgages could only require a 3% down payment
Even with these benefits, there are a few cons to 30-year fixed-rate mortgages you need to be aware of, as follows:
  • You may require private mortgage insurance.
  • You could pay more interest over the life of the loan, compared to a shorter fixed-rate-term loan.
  • The total costs of borrowing can be more if you only keep your home for 10 years or less.
  • It can take longer to build equity in the home, depending on the amount of your down payment.
To learn more about 30-year fixed-rate mortgages and other types of mortgage loans, please feel free to contact Elite Financial at (800) 908-LEND or (805) 494-9930 today! We offer a wide range of mortgage options to help you purchase your home.