Home Equity Line of Credit (HELOC): How It Works
A home equity line of credit lets you borrow against your home's equity as you need it, usually at a variable rate. Here is how a HELOC works,…
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Understanding Mortgages
Lenders check your income, assets, debts and the home before they approve a loan. These explainers cover the underwriting rules that most often surprise borrowers, from large bank deposits to appraisal problems.
What Counts as Income for a Mortgage and How Lenders Use It
Lenders count gross income that is stable, documented and likely to continue. Here is how they treat wages, overtime, benefits, rental and self-employment income, and the paperwork that…
800 Credit Score Mortgage Rate: What Your Score Gets You
Fannie Mae's pricing and FICO's national averages do not give a separate 800 credit score mortgage rate. Here is how an 800 score is priced, how it compares…
Getting a Mortgage While on Maternity Leave
You can get a mortgage while on maternity leave. Here is how lenders count your income during and after leave, the documents to gather, and the questions a…
Low Appraisal: What to Do When a Home Appraises Below Price
A low appraisal means your lender will base the loan on a value below your contract price. Here are your five options, in order, with the cash math…
Mortgage Dictionary: Mortgage Terms Explained A to Z
Plain definitions of the mortgage terms you see on a Loan Estimate, a Closing Disclosure or a lender email, from APR to value acceptance.
Mortgage Overlays: Why Lenders Add Rules and What to Do
Mortgage overlays are a lender's own rules that go beyond what FHA, VA, USDA, Fannie Mae or Freddie Mac require. If one lender turned you down, another lender…
What Is a Loan Origination Fee, and Can You Negotiate It?
A loan origination fee is what the lender charges to make your mortgage, and it sits in Section A of your Loan Estimate. Here is what it covers,…
What’s the Difference Between Interest Rate and APR?
The interest rate sets your monthly payment. The APR adds most lender charges and shows the loan's yearly cost over its full term, so here is how to…
What Happens in Mortgage Underwriting?
Mortgage underwriting is the lender's check that you, your income and the home meet the loan program's rules. Here is what underwriters look for, what a conditional approval…