Frequently Asked Questions

- Do I need to find a home before applying? 

 

   The short answer is no. In fact it is better to apply for a mortgage and get Pre-Approved prior to searching for properties. That way you have a clear target as far as price point and you aren’t searching for properties that you could potentially not qualify for.

 

- What is an appraisal? 

 

   An appraisal is a valuation of the property based on the condition and recent sales in the area. The lender will use this report to determine how much they will lend you. In some instances you may qualify for an appraisal waiver which waives the need for an appraisal, and streamlines the loan process.

 

 

- What is PMI (Private Mortgage Insurance)? 

   PMI is an insurance that lenders require if the loan you are applying for is more than 80% of the value of the property. It is strictly for the benefit of the lender, and insures them in case a borrower defaults on a loan.

 

 

- Should I get an adjustable or fixed rate loan? 

 

   This all depends on your specific needs. In some cases an adjustable mortgage may be more beneficial than a fixed mortgage if you plan on keeping a property for a short period of time. This is because adjustable rates typically carry lower interest rates than a fixed rate. On the other hand if you plan on staying in a property for a long period of time, the stability of a fixed rate may be more appealing.

 

 

 

-Should I refinance my mortgage?

   Based on today’s historically low rates, it’s probably a good idea to refinance your loan. Several factors should be taken into consideration when refinancing. The big ones are: "How much will it lower my payment? How long will it take to break even on the investment of the closing costs?" and "How much money will I save over the life of the loan?" Our experts at Invest America Lending Group, Inc. can help you determine these numbers.  

 

 

-When is a good time to refinance?

   Anytime could be a good time depending on what the purpose is. If rates are low and you want to lower your rate and payment, it’s a good time. If you want to cash out money to pay off higher interest rate credit cards it could be a good time. If you want to shorten the term of your loan from 30 year mortgage to a 15 year mortgage it may be a good time. In general rates are at an all time low. Let the professionals at Invest America Lending Group, Inc. show you what the benefits of refinancing could mean to your overall financial improvement.

 

 

-What documents do I need to apply? 

 

   The most basic information will be a well completed application, as well as your last 2 years tax returns, your 2 most recent pay stubs, your 2 most recent bank statements to verify your assets and checking and your credit and credit scores.  

 

 

- What does it mean to lock in the interest rate? 

 

   An interest rate lock is a determined time frame (usually 15, 30 or 45 days) that guarantees a person’s interest rate. This means that if by chance interest rates go up, the rate that it is locked at will be the guaranteed rate.  

If you still have any questions, do not hesitate to email us and we will assist you.

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NMLS #367540

Phone: (305) 595-2080

Fax: (305) 595-2081

9360 Sunset Drive Suite #232

Miami, FL 33173

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