Dec
24
Can a mortgage company file a 1099 when you are in default without a summary jugement?
Filed Under United States | Leave a Comment
mexlin asked:
We are residents of Texas and the property in foreclosure is in Delaware. Second mortgage holder is threatening to file a 1099.
ALTON
We are residents of Texas and the property in foreclosure is in Delaware. Second mortgage holder is threatening to file a 1099.
ALTON
Dec
22
How do I choose who to get my mortgage through? Major banks or smaller mortgage companies?
Filed Under Personal Finance | 3 Comments
wrackingmybrain asked:
I have an established relationship with Bank of America however there are several other smaller banks and lenders out there with better rates. What happens if you get a mortgage through a smaller bank or lender and they go bankrupt or get bought out by another company? Does it affect your mortgage rate? Is that the chance you take or is the rate locked in no matter what?
LOGAN
I have an established relationship with Bank of America however there are several other smaller banks and lenders out there with better rates. What happens if you get a mortgage through a smaller bank or lender and they go bankrupt or get bought out by another company? Does it affect your mortgage rate? Is that the chance you take or is the rate locked in no matter what?
LOGAN
Dec
19
Artist at Heart asked:
We have been pre-approved by a mortgage company. The mortgage company has recommended a real estate agent. I am a little leary of going with this real estate agent, however, because, being a first time home buyer, I need a lot of guidance. I am afraid that, being tied to the mortgage broker, the real estate agent might not fight to get us the best mortgage deal (if it happens to be with a company other than the original mortgage broker’s).
We have been pre-approved by a mortgage company. The mortgage company has recommended a real estate agent. I am a little leary of going with this real estate agent, however, because, being a first time home buyer, I need a lot of guidance. I am afraid that, being tied to the mortgage broker, the real estate agent might not fight to get us the best mortgage deal (if it happens to be with a company other than the original mortgage broker’s).
How do you go about getting a good mortgage deal?
ANTON
Dec
15
8 FAQs About IRS Tax Liens
Filed Under Taxes | Leave a Comment
Roni Deutch asked:
1. What is an IRS tax lien?
A federal tax lien is the government’s claim on your property as security against an IRS tax debt. Before a lien can be filed, the IRS must notify you and send a notice of payment due. If a delinquent taxpayer refuses to pay the debt after 10 days, then the IRS can create a tax lien for the amount of the debt. Once filed, it will be attached to all of a taxpayer’s property including houses, cars, and even accounts receivable for businesses. The lien also becomes a public document, and will usually affect the recipient’s credit score.
2. How will I know if there is a federal tax lien on my property?
Before the IRS can file a federal tax lien, they will first send you what is called a Notice and Demand for Payment. If no action is taken to resolve the payment due, then the IRS will mail you a Notice of Federal Tax Lien. Legally, this notice must be mailed within 5 days after a tax lien has been filed. They might also try to contact you by telephone, but legally they are required to send you notice via standard mail.
3. What is the difference between a tax lien and a levy?
Although taxpayers frequently confuse tax liens with a levies, they are actually two completely different things. A tax levy is the actual collection of property or assets in order to pay off the debt you owe the IRS. It can take the form of a wage garnishment, a bank levy, or even a property seizure. A tax lien, on the other hand, is a notice that the government has the right ensure payment of the debt by securing the debt against your property. It’s a good idea to think of a tax lien almost as a mortgage against the property, and if you decide to sell it, then the IRS will claim a right to the proceeds of the sale.
4. Why did the IRS file a lien against me?
Tax liens are normally filed against taxpayers who have acquired IRS back tax liabilities. This “taxpayer” could be any individual, but can also be an estate, company, corporation, partnership, association, or trust. Although the exact reasons for the owed back taxes will vary case by case, it is usually the result of unpaid income taxes.
5. How do I get the lien released?
The only way to have a tax lien released is by settling the original tax debt. It will be immediately removed if you pay your debt immediately through a lump sump payment or if you file an Offer in Compromise that is accepted by the IRS. However, if you enter into a monthly payment program with the IRS, such as an Installment Agreement, then the lien will stay in tact until you have satisfied the terms of the agreement. Additionally, if the statute of limitations on the debt expires, then the lien should be automatically removed.
6. What law gives the IRS authority to file a tax lien?
Section 6321 of the Internal Revenue Code gives the IRS the legal authority to file a tax lien. It states: “If any person liable to pay any tax neglects or refuses to pay the same after demand, the amount (including any interest, additional amount, addition to tax, or assessable penalty, together with any costs that may accrue in addition thereto) shall be a lien in favor of the United States upon all property and rights to property, whether real or personal, belonging to such person.”
7. How can I prevent a tax lien?
The best way to avoid a tax lien is to avoid a tax debt in general. This can be accomplished by filing accurate tax returns with the IRS so that you stay 100% compliant. However, if you are already behind on your taxes, then you might want to consider entering into an IRS settlement program such as an Offer in Compromise to avoid getting a tax lien in the future.
8. Can I appeal an IRS tax lien?
Yes, and depending on exactly what part you are appealing, you can do one of several things. The first option is to have an IRS manager review your case for validity and possible mistakes. You may also request a hearing, known as a Collection Due Hearing, with the Office of Appeals. During the hearing, you will need to present your reason(s) as to why your lien should be removed. Some common reasons could include: having paid off the debt before the lien was filed, the statute of limitations on the debt has expired, etc.
KRIS
1. What is an IRS tax lien?
A federal tax lien is the government’s claim on your property as security against an IRS tax debt. Before a lien can be filed, the IRS must notify you and send a notice of payment due. If a delinquent taxpayer refuses to pay the debt after 10 days, then the IRS can create a tax lien for the amount of the debt. Once filed, it will be attached to all of a taxpayer’s property including houses, cars, and even accounts receivable for businesses. The lien also becomes a public document, and will usually affect the recipient’s credit score.
2. How will I know if there is a federal tax lien on my property?
Before the IRS can file a federal tax lien, they will first send you what is called a Notice and Demand for Payment. If no action is taken to resolve the payment due, then the IRS will mail you a Notice of Federal Tax Lien. Legally, this notice must be mailed within 5 days after a tax lien has been filed. They might also try to contact you by telephone, but legally they are required to send you notice via standard mail.
3. What is the difference between a tax lien and a levy?
Although taxpayers frequently confuse tax liens with a levies, they are actually two completely different things. A tax levy is the actual collection of property or assets in order to pay off the debt you owe the IRS. It can take the form of a wage garnishment, a bank levy, or even a property seizure. A tax lien, on the other hand, is a notice that the government has the right ensure payment of the debt by securing the debt against your property. It’s a good idea to think of a tax lien almost as a mortgage against the property, and if you decide to sell it, then the IRS will claim a right to the proceeds of the sale.
4. Why did the IRS file a lien against me?
Tax liens are normally filed against taxpayers who have acquired IRS back tax liabilities. This “taxpayer” could be any individual, but can also be an estate, company, corporation, partnership, association, or trust. Although the exact reasons for the owed back taxes will vary case by case, it is usually the result of unpaid income taxes.
5. How do I get the lien released?
The only way to have a tax lien released is by settling the original tax debt. It will be immediately removed if you pay your debt immediately through a lump sump payment or if you file an Offer in Compromise that is accepted by the IRS. However, if you enter into a monthly payment program with the IRS, such as an Installment Agreement, then the lien will stay in tact until you have satisfied the terms of the agreement. Additionally, if the statute of limitations on the debt expires, then the lien should be automatically removed.
6. What law gives the IRS authority to file a tax lien?
Section 6321 of the Internal Revenue Code gives the IRS the legal authority to file a tax lien. It states: “If any person liable to pay any tax neglects or refuses to pay the same after demand, the amount (including any interest, additional amount, addition to tax, or assessable penalty, together with any costs that may accrue in addition thereto) shall be a lien in favor of the United States upon all property and rights to property, whether real or personal, belonging to such person.”
7. How can I prevent a tax lien?
The best way to avoid a tax lien is to avoid a tax debt in general. This can be accomplished by filing accurate tax returns with the IRS so that you stay 100% compliant. However, if you are already behind on your taxes, then you might want to consider entering into an IRS settlement program such as an Offer in Compromise to avoid getting a tax lien in the future.
8. Can I appeal an IRS tax lien?
Yes, and depending on exactly what part you are appealing, you can do one of several things. The first option is to have an IRS manager review your case for validity and possible mistakes. You may also request a hearing, known as a Collection Due Hearing, with the Office of Appeals. During the hearing, you will need to present your reason(s) as to why your lien should be removed. Some common reasons could include: having paid off the debt before the lien was filed, the statute of limitations on the debt has expired, etc.
KRIS
Dec
15
Home insurance FAQ
Filed Under Customer Service Representative | Leave a Comment
insurancefaq asked:
Hi, i considered necessary to know who offer the best home insurance? to be exact price and cover?
Just wondering where I can get the best adjectives round deal I got a large amount from State Farm when I insured my car with them do. They are a right company that has been surrounded by business a long…
Home insurance canceled for nonpayment because hill froze my vindication?
My home insurance canceled for nonpayment because bank froze my report at the same time I processed my stipend and I did not know till it was to unpaid and my payment be rejected. I took care of the mound problem and my account is unfrozen and the…
Home insurance contents claim?
Im after a rough estimation. Im thinking of putting through a claim for my laptop through my home insurance. Ive got a premium of within between roughly 300-400. The laptop is worth lb700. I wanted to know how much should i expect my premium to increase after my claim? (Roughly) Also would i be…
Home Insurance Dupe – What can be done?
used mneysupermarket.com to purchase home insurance in October. From tomorrow I shall no longer be liing contained by the house and I will be renting it out. (I went for the cheapest insurance as I have to prove I had home insurance to redeploy my mortgage to a buy to…
Home insurance excess keep increasing?
Hi, i have the most comprehensive home insurance cover, i own the most expensive insurance available in writ to cover everything, i mean everything, even my guests. I appreciably have a big monthly premium, i have have to recently construct a claim on my laptop and have previously for other items, and it…
home insurance for a home that be built 107 years ago…?
why on earth did i take a quote of 3500-4000 for 300k insurance on this home? Is the home that damn old? I’m an insurance agent and I also enjoy an old home. My house be built in 1903. There own been seriously of updates to…
Home insurance how does it work?
Hello, My question is, does anyone know how insurance companies want if an area have a high crime rate? Do they freshly go by record crimes that have have claims through insurance or any recorded crimes regardless? I hold been interested contained by getting home insurance as my parents don’t have…
Home insurance policy premium?
My home insurance premium went up by $100 this year from $340 to $440. Customer Service told me that this is due to the increased coverage. Coverage singular went up by $15,000. Do I enjoy to agree with that or can I give an account them to keep the coverage as it be to…
Home insurance surrounded by the UK? how does it work?
I am a tenant in an appartment surrounded by London with my boyfriend. I’d resembling to know if I need to return with a home insurance for this appartment and what king of insurance (building or content?). I mean, if at hand is a fire, a window…
Home insurance!?!?
about how much would home insurance be in the toronto west nouns? a moment ago crowd within a free form and grasp a quote from these associates here gsx1.com/insurancecomparison.html… They’ll compare adjectives insurance companies in the USA and find which companies submit the best prices, if it works out remember my points please
Home insurance, beforehand or after closing?
Should I purchase home insurance before or after closing? Closing is only 3 weeks from immediately Get insurance BEFORE the closing & best advise, start calling today. This gives the agent time to find you a company that best fits your requests & if there is an underwriting issue – antediluvian roof,…
Home Insurance?
Hi, I am looking for home insurance. This is not for a huge house just rather cottage, would like to insure it for around $40.000. This is a break cottage so dont need a huge amount. While mbrcatz have it essentially right, we need to know what state the home is within. In most instances…
Home insurance?
I am not sure how much home insurance coverage I should have for the house I bought 2 years ago. The cost of the house including the lands was $96,000. But that includes the price of the estate, etc. I now hold to renew the home insurance policy and realized perchance I should reduce the…
Home insurance?
My partner and I have buidlings and contents insurance, my cross-examine is…is this classed as home insurance or with this simply being buildings and contents do i stipulation separate home insurance. I know this may be a daft question to ask but I be just wondering so please any direction thankyou Buildings and Contents cover…
Home Insurance?
When i enquired in the region of home insurance, i was asked if i have a criminal record. Would they find out if i said i didn’t own one? It’s unlikely to affect your premium but I used to work selling car and home insurance if you don’t clear a claim it is unlikely that…
Home insurance-closing on house next Wednesday!?
Help! We will be closing on our house next week and for some reason I forgot I’ll need to get home insurance. I have no idea where to begin to look for a good policy at a good price. I don’t know how much residence coverage or personal liability coverage to get….
please serve?
A friend of mine took out a home insurance policy last year (sep-06). His cistern in the airing cupboard have now burst and his house is flooded. He contacted his insurance company and they informed him that the direct debit have been cancelled contained by January 07. He lost his debit card…
How can I receive my lost wages and medical bills covered? Friend have Allstate home insurance.?
I was helping my friend at her house when her garage door come off track (wheel popped off) and come crashing down on me. I was orifice door for her. It broke my arm. I cannot work for 6 weeks and the…
How can I return with home insurance for a uninhabited house ?
My Father died recently and the Company have cancelled his coverage. Although I live there (part-time) I am told the house is no longer “owner occupied” True, it’s not. You can move about to www.foremost.com, and that’s the cheapest place I’ve seen for deserted property…
How do I find a appropriate Health Insurance Agent In Texas?
Back contained by California where on earth I am from I have a great Health insurance agent. He took nurture of everything. My vigour insuranc, home insurance, time insurance and auto Insurance. I achieve to Houston Texas and find out that most agents any treaty beside home…
how do I get a copy of our home insurance policy..I am currently going through a divorce?
Your Insurance Agent will be able to obtain a copy for you.
How do I procure home insurance if I be cancelled for putting contained by a claim?
If you have smaller quantity than 2 claims in the concluding 5 years (on your home owners) then try the big name. If 3 or more in the final 5 years. Contact your State Insurance Commissioners’ office, they will direct you…
How do I return with out of paying flood insurance? It’s slaughter me!?
I’m in a flood zone by I don`t know 20 feet. The neighbor across the street lives closer to the mere and he says he doesn’t income it. My home insurance is $1,200.00 a year and flood insurance is $1,800.00 add to that. My house…
How does a home shelter system affect your insurance rates?
Any advice, denial or positive, would be nice. We’re considering it, and we’re meeting near the guy who would put it in tomorrow. How much did you payment? Is it worth it? How was your home insurance artificial? I don’t know what things are like where on…
How much are general public paying for home insurance at the present time?
I pay around lb20 a month for contents one and only (its a rented property so the landlord pays buildings). Covers everything to a worth of lb35,000, with 0 excess, items taken outside the home, credit cards etc for identity fraud. I muse its…
How much do you pay for home insurance? what area of the country do you live in? what is your home worth?
my answers: 800 (year) 160,000, midwest $980, 150,000 Southwest. If you want to find out yours in your area, check this site: www.insureme.com/landing.aspx?ref… You will have several quote within a next few hours in a during…
how much does home insurance cost?
Here are some of the factors that put together up the cost of homeowners insurance: Credit score Dwelling Coverage Amount Deductible Prior Claims Location of Home To receive a solid quote from a local agent try the home insurance directory: http://www.insuremyhouse.com depends on what you want it to cover flood fire…
How much does you home insurance stir up when you buy a trampoline?
how much idc but like im wondering, and say that you dont make clear to the insurance company does it really matter, its kind of the home owners decicion This is going to depend on the state and company you are insured near. The company…
How much does your home insurance progress up next to a German Shepherd?
I’m getting quotes and I’m finding that they are really HIGH!
how much home insurance should I buy?
My current package insures my home for the amount of the purchase price, which seem high. Should I insure the structure and property for the amount it would cost to go back to the beginning, rather than the full purchase price? Do you own a mortgage? If you do, the mortgage…
More home insurance questions please visit : InsuranceFreeFAQ.com
RODOLFO
Hi, i considered necessary to know who offer the best home insurance? to be exact price and cover?
Just wondering where I can get the best adjectives round deal I got a large amount from State Farm when I insured my car with them do. They are a right company that has been surrounded by business a long…
Home insurance canceled for nonpayment because hill froze my vindication?
My home insurance canceled for nonpayment because bank froze my report at the same time I processed my stipend and I did not know till it was to unpaid and my payment be rejected. I took care of the mound problem and my account is unfrozen and the…
Home insurance contents claim?
Im after a rough estimation. Im thinking of putting through a claim for my laptop through my home insurance. Ive got a premium of within between roughly 300-400. The laptop is worth lb700. I wanted to know how much should i expect my premium to increase after my claim? (Roughly) Also would i be…
Home Insurance Dupe – What can be done?
used mneysupermarket.com to purchase home insurance in October. From tomorrow I shall no longer be liing contained by the house and I will be renting it out. (I went for the cheapest insurance as I have to prove I had home insurance to redeploy my mortgage to a buy to…
Home insurance excess keep increasing?
Hi, i have the most comprehensive home insurance cover, i own the most expensive insurance available in writ to cover everything, i mean everything, even my guests. I appreciably have a big monthly premium, i have have to recently construct a claim on my laptop and have previously for other items, and it…
home insurance for a home that be built 107 years ago…?
why on earth did i take a quote of 3500-4000 for 300k insurance on this home? Is the home that damn old? I’m an insurance agent and I also enjoy an old home. My house be built in 1903. There own been seriously of updates to…
Home insurance how does it work?
Hello, My question is, does anyone know how insurance companies want if an area have a high crime rate? Do they freshly go by record crimes that have have claims through insurance or any recorded crimes regardless? I hold been interested contained by getting home insurance as my parents don’t have…
Home insurance policy premium?
My home insurance premium went up by $100 this year from $340 to $440. Customer Service told me that this is due to the increased coverage. Coverage singular went up by $15,000. Do I enjoy to agree with that or can I give an account them to keep the coverage as it be to…
Home insurance surrounded by the UK? how does it work?
I am a tenant in an appartment surrounded by London with my boyfriend. I’d resembling to know if I need to return with a home insurance for this appartment and what king of insurance (building or content?). I mean, if at hand is a fire, a window…
Home insurance!?!?
about how much would home insurance be in the toronto west nouns? a moment ago crowd within a free form and grasp a quote from these associates here gsx1.com/insurancecomparison.html… They’ll compare adjectives insurance companies in the USA and find which companies submit the best prices, if it works out remember my points please
Home insurance, beforehand or after closing?
Should I purchase home insurance before or after closing? Closing is only 3 weeks from immediately Get insurance BEFORE the closing & best advise, start calling today. This gives the agent time to find you a company that best fits your requests & if there is an underwriting issue – antediluvian roof,…
Home Insurance?
Hi, I am looking for home insurance. This is not for a huge house just rather cottage, would like to insure it for around $40.000. This is a break cottage so dont need a huge amount. While mbrcatz have it essentially right, we need to know what state the home is within. In most instances…
Home insurance?
I am not sure how much home insurance coverage I should have for the house I bought 2 years ago. The cost of the house including the lands was $96,000. But that includes the price of the estate, etc. I now hold to renew the home insurance policy and realized perchance I should reduce the…
Home insurance?
My partner and I have buidlings and contents insurance, my cross-examine is…is this classed as home insurance or with this simply being buildings and contents do i stipulation separate home insurance. I know this may be a daft question to ask but I be just wondering so please any direction thankyou Buildings and Contents cover…
Home Insurance?
When i enquired in the region of home insurance, i was asked if i have a criminal record. Would they find out if i said i didn’t own one? It’s unlikely to affect your premium but I used to work selling car and home insurance if you don’t clear a claim it is unlikely that…
Home insurance-closing on house next Wednesday!?
Help! We will be closing on our house next week and for some reason I forgot I’ll need to get home insurance. I have no idea where to begin to look for a good policy at a good price. I don’t know how much residence coverage or personal liability coverage to get….
please serve?
A friend of mine took out a home insurance policy last year (sep-06). His cistern in the airing cupboard have now burst and his house is flooded. He contacted his insurance company and they informed him that the direct debit have been cancelled contained by January 07. He lost his debit card…
How can I receive my lost wages and medical bills covered? Friend have Allstate home insurance.?
I was helping my friend at her house when her garage door come off track (wheel popped off) and come crashing down on me. I was orifice door for her. It broke my arm. I cannot work for 6 weeks and the…
How can I return with home insurance for a uninhabited house ?
My Father died recently and the Company have cancelled his coverage. Although I live there (part-time) I am told the house is no longer “owner occupied” True, it’s not. You can move about to www.foremost.com, and that’s the cheapest place I’ve seen for deserted property…
How do I find a appropriate Health Insurance Agent In Texas?
Back contained by California where on earth I am from I have a great Health insurance agent. He took nurture of everything. My vigour insuranc, home insurance, time insurance and auto Insurance. I achieve to Houston Texas and find out that most agents any treaty beside home…
how do I get a copy of our home insurance policy..I am currently going through a divorce?
Your Insurance Agent will be able to obtain a copy for you.
How do I procure home insurance if I be cancelled for putting contained by a claim?
If you have smaller quantity than 2 claims in the concluding 5 years (on your home owners) then try the big name. If 3 or more in the final 5 years. Contact your State Insurance Commissioners’ office, they will direct you…
How do I return with out of paying flood insurance? It’s slaughter me!?
I’m in a flood zone by I don`t know 20 feet. The neighbor across the street lives closer to the mere and he says he doesn’t income it. My home insurance is $1,200.00 a year and flood insurance is $1,800.00 add to that. My house…
How does a home shelter system affect your insurance rates?
Any advice, denial or positive, would be nice. We’re considering it, and we’re meeting near the guy who would put it in tomorrow. How much did you payment? Is it worth it? How was your home insurance artificial? I don’t know what things are like where on…
How much are general public paying for home insurance at the present time?
I pay around lb20 a month for contents one and only (its a rented property so the landlord pays buildings). Covers everything to a worth of lb35,000, with 0 excess, items taken outside the home, credit cards etc for identity fraud. I muse its…
How much do you pay for home insurance? what area of the country do you live in? what is your home worth?
my answers: 800 (year) 160,000, midwest $980, 150,000 Southwest. If you want to find out yours in your area, check this site: www.insureme.com/landing.aspx?ref… You will have several quote within a next few hours in a during…
how much does home insurance cost?
Here are some of the factors that put together up the cost of homeowners insurance: Credit score Dwelling Coverage Amount Deductible Prior Claims Location of Home To receive a solid quote from a local agent try the home insurance directory: http://www.insuremyhouse.com depends on what you want it to cover flood fire…
How much does you home insurance stir up when you buy a trampoline?
how much idc but like im wondering, and say that you dont make clear to the insurance company does it really matter, its kind of the home owners decicion This is going to depend on the state and company you are insured near. The company…
How much does your home insurance progress up next to a German Shepherd?
I’m getting quotes and I’m finding that they are really HIGH!
how much home insurance should I buy?
My current package insures my home for the amount of the purchase price, which seem high. Should I insure the structure and property for the amount it would cost to go back to the beginning, rather than the full purchase price? Do you own a mortgage? If you do, the mortgage…
More home insurance questions please visit : InsuranceFreeFAQ.com
RODOLFO
Dec
13
Reverse Mortgage FAQs
Filed Under Mortgage | Leave a Comment
justin narin asked:
is a reverse mortgage?
A reverse mortgage is a loan product that allows homeowners 62 years of age and older to use their equity to generate tax-free income, without having to sell the home or take on a new mortgage payment. In fact the reverse mortgage is exactly what the title states, the reverse of a standard mortgage.
How is a reverse mortgage different from a standard mortgage?
With a standard mortgage, the borrower (or homeowner) makes monthly payments to the lender (or bank or mortgage company), in order to pay back the loan that the lender originally lent to for the purchase or refinance of the house. This payment includes interest that the lender charges the borrower for the loan. In a reverse mortgage, the situation is reversed; the lender makes monthly payments to the borrower. However, in both a standard and reverse mortgage, the lender secures their loan amount by using the house as collateral.
Do I make monthly payments on a reverse mortgage?
No monthly payments are due on the loan and the loan is repaid when the moves or sells the home, passes away, or ownership otherwise changes hands
What factors determine the amount of the reverse mortgage?
There are a few factors that determine how much money a borrower will receive from a reverse mortgage, such as the value of the home, borrower’s (and co-borrower’s) age, current interest rates and any lending limits that may be standard for your geographic area. As a rule of thumb, the older the borrower and the more valuable the home, the larger the available loan amount.
What can we use a reverse mortgage for?
The proceeds from the reverse mortgage can be used for anything, completely at the discretion of the borrower, though most borrowers use the funds for home repairs or modifications, health care expenses, to settle other debts, or for their long-planned vacation! Reverse mortgages are available for nearly all property types with the exception of co-ops, though co-op owners in some metropolitan areas, specifically New York, should have local options.
Can I receive a lump sum payment from a reverse mortgage?
Homeowners can choose how they want to receive their payments, either as a lump sum, monthly payments or as a line of credit. The line of credit is the most popular option, with nearly 60% of reverse mortgage borrowers choosing to the option to draw income or a lump sum off the line at the time of their choosing.
What happens if I decide to sell my house?
If the home is sold and the proceeds of the sale exceed the mortgage amount, the balance belongs to the borrower or their heirs.
What happens to my existing mortgage?
For reverse mortgage borrowers with an existing mortgage, that mortgage will need to be paid off completely, so that the new reverse mortgage will be the only lien on the house. If the proceeds from the reverse mortgage are not ample to pay off the existing mortgage, the borrower will need to access savings or other sources to pay off the rest of existing mortgage amount. In this scenario, the borrower won’t have access to any additional funds from the reverse mortgage; however, they will no longer have a mortgage payment!
Can I get expert advice before I get a reverse mortgage?
One very important facet of the reverse mortgage process is the consumer counseling that is required for borrowers contemplating a reverse mortgage. Your lender can help you find counseling agencies and most programs are approved and monitored by HUD and/ or A A R P. The counseling is required to make sure that the terms and risks of the program are clear to you. Counselors are obligated by law to review with you all of the implications of the new mortgage, and what your potential options are.
For more articles on Reverse Mortgage, visit: http://www.bills.com/reversemortgage
CARROLL
is a reverse mortgage?
A reverse mortgage is a loan product that allows homeowners 62 years of age and older to use their equity to generate tax-free income, without having to sell the home or take on a new mortgage payment. In fact the reverse mortgage is exactly what the title states, the reverse of a standard mortgage.
How is a reverse mortgage different from a standard mortgage?
With a standard mortgage, the borrower (or homeowner) makes monthly payments to the lender (or bank or mortgage company), in order to pay back the loan that the lender originally lent to for the purchase or refinance of the house. This payment includes interest that the lender charges the borrower for the loan. In a reverse mortgage, the situation is reversed; the lender makes monthly payments to the borrower. However, in both a standard and reverse mortgage, the lender secures their loan amount by using the house as collateral.
Do I make monthly payments on a reverse mortgage?
No monthly payments are due on the loan and the loan is repaid when the moves or sells the home, passes away, or ownership otherwise changes hands
What factors determine the amount of the reverse mortgage?
There are a few factors that determine how much money a borrower will receive from a reverse mortgage, such as the value of the home, borrower’s (and co-borrower’s) age, current interest rates and any lending limits that may be standard for your geographic area. As a rule of thumb, the older the borrower and the more valuable the home, the larger the available loan amount.
What can we use a reverse mortgage for?
The proceeds from the reverse mortgage can be used for anything, completely at the discretion of the borrower, though most borrowers use the funds for home repairs or modifications, health care expenses, to settle other debts, or for their long-planned vacation! Reverse mortgages are available for nearly all property types with the exception of co-ops, though co-op owners in some metropolitan areas, specifically New York, should have local options.
Can I receive a lump sum payment from a reverse mortgage?
Homeowners can choose how they want to receive their payments, either as a lump sum, monthly payments or as a line of credit. The line of credit is the most popular option, with nearly 60% of reverse mortgage borrowers choosing to the option to draw income or a lump sum off the line at the time of their choosing.
What happens if I decide to sell my house?
If the home is sold and the proceeds of the sale exceed the mortgage amount, the balance belongs to the borrower or their heirs.
What happens to my existing mortgage?
For reverse mortgage borrowers with an existing mortgage, that mortgage will need to be paid off completely, so that the new reverse mortgage will be the only lien on the house. If the proceeds from the reverse mortgage are not ample to pay off the existing mortgage, the borrower will need to access savings or other sources to pay off the rest of existing mortgage amount. In this scenario, the borrower won’t have access to any additional funds from the reverse mortgage; however, they will no longer have a mortgage payment!
Can I get expert advice before I get a reverse mortgage?
One very important facet of the reverse mortgage process is the consumer counseling that is required for borrowers contemplating a reverse mortgage. Your lender can help you find counseling agencies and most programs are approved and monitored by HUD and/ or A A R P. The counseling is required to make sure that the terms and risks of the program are clear to you. Counselors are obligated by law to review with you all of the implications of the new mortgage, and what your potential options are.
For more articles on Reverse Mortgage, visit: http://www.bills.com/reversemortgage
CARROLL
Dec
10
How do I look up mortgage information in the public records office?
Filed Under Search Engine Optimization | 2 Comments
remo7 asked:
I would like to go to the public records office and find specific mortgage information. For example, what type of mortgage someone has.
DEANDRE
I would like to go to the public records office and find specific mortgage information. For example, what type of mortgage someone has.
DEANDRE
Dec
9
twister382836 asked:
My mom and sister are both named on the mortgage. Payments are still being made. My mom just passed and my sister does not have a job because she was caring for our ailing mother.
NORRIS
My mom and sister are both named on the mortgage. Payments are still being made. My mom just passed and my sister does not have a job because she was caring for our ailing mother.
NORRIS
Dec
7
How does rental income on a 1st mortgage affect mortgage affordability on a second home?
Filed Under Renting & Real Estate | 4 Comments
Ronaldo asked:
For example if my 1st mortgage is $1000 per month and i charge a rental income of $1000 per month, is it a wash? Or do i get the $1000 rental income added to my gross monthly income and have the $1000 mortgage payment added to my monthly liabilities?
MASON
For example if my 1st mortgage is $1000 per month and i charge a rental income of $1000 per month, is it a wash? Or do i get the $1000 rental income added to my gross monthly income and have the $1000 mortgage payment added to my monthly liabilities?
MASON