LamCap Partners

02/26/2025

03/25/2023

Do you need more space? Should you buy a bigger home or expand the one you already have?

Maybe you have recently added another child to your family. Maybe it's time to bring your aging parents into your home for more care. Or maybe your job has gone remote, and you need room for an office. Whatever the reason for needing more space, it can be difficult to know whether to move or to add on to your current home. There are several factors to consider. To help you make your decision, here are a few questions to ask yourself…

What Kind of Space Do You Need?

Can Your Current Home Be Modified?

Would a Move Improve Your Life?

How Would a Move or Addition Affect Your Mortgage?

Are You Willing to Move Out During the Remodel?

Finally, it's important to consider the current market climate. While prices are still higher than they were last year, the housing market has definitely started to cool over the past several months in the wake of higher interest rates. Speak to a trusted real estate professional about where there might be affordable options to help you get the added space you crave.

Connect with us to get Pre-Approved for a loan to buy a new home or to refinance your current home loan.

03/17/2023

What are some of the benefits of FHA Loans?

Since its creation in 1934, the U.S. Federal Housing Administration (FHA) has insured over 47.5 million mortgages. These FHA loans are backed by – not supplied by – the government, so it makes choosing your lender an important decision. LamCap Partners can always assist in lending an FHA loan, but for now, let’s focus on why taking out an FHA loan is a great idea for many future homeowners.

Low Down Payment - This is one of the biggest perks of receiving an FHA loan. FHA loans only require a 3.5% down payment (as opposed to 5 to 20% down for conventional loans) if your credit score is 580 or higher. Additionally, this type of loan is great for families or single people who are strapped for cash in the beginning stages of the home-buying process.

A High Credit Score Isn’t Required - While it can be difficult to get a conventional loan if your credit score is lower than 620, FHA loans are accessible if you have a credit score as low as 580. That isn’t to say that if you have a great credit score that you couldn’t get an FHA loan. Many borrowers with good credit choose FHA loans because of the advantages of this loan type.

Lower Interest Rates - FHA loans usually have below-market interest rates, which makes them lower, on average, than comparable conventional loans. Today’s 30-year FHA loan rates start at 2.25% for a borrower with strong credit. By comparison, conventional mortgage rates begin at 2.75% for a similar borrower.

In general, FHA loans are geared more towards first-time homebuyers but are still great choices for borrowers of all types. If you are interested in buying a home and require a mortgage lender, don’t hesitate to reach out to our team at LamCap Partners!

03/10/2023

If you’ve been dreaming about buying that property at your favorite vacation spot but not sure how you’d ever save up for it, there may be an option you haven’t considered: using the equity from your current home to pay for the vacation home with a home equity loan.

What is a Home Equity Loan?
If you’ve built up a significant amount of equity, mortgage lenders will let you borrow a chunk of that with a home equity loan. And equity, in case you’re wondering, is the share of the home you own. It is the difference between the value of your house and how much you owe on your mortgage.

Say for example, your home is worth $500,000 and you only owe $300,000 on your home loan. Your current home equity is $200,000. You gain equity by paying down your mortgage and by value increases in the housing market. The U.S. real estate scene has exploded over the past three years, so most people who bought before then have seen a huge increase in their property value simply because home buying prices have risen so much.

With a home equity loan, you can typically borrow up to 80% of your current equity. In the example above, that would mean you could pull $160,000 out of your home to pay for your vacation property or at least for a portion of it.

The application process is very similar to that of a first mortgage. Your current home will need a new appraisal and you will need to provide your financial data. The lender will probably run a credit check and verify your assets and employment. You will receive the money in a lump sum when the home equity loan closes and you will start making repayment immediately.

03/05/2023

⌛ How Long Does a Mortgage Pre-Approval Last?

The typical mortgage pre-approval letter is good for 90 days. This is because plenty can change in three months, both with housing market conditions as well as the financial circumstances of the borrower. The lender does not want to give an open-ended promise for funding even if the borrower loses their job or takes out a huge new loan.

🔃 How do you RENEW a Mortgage Pre-Approval?

The good news is that mortgage pre-approvals can be easily renewed. As a borrower, keep an eye on the expiration date and talk to your lender before it ends. Your lender can then recheck all your documentation to make sure nothing has changed and re-approve you. You may need to provide updated pay stubs and statements of your assets. If there have been any major life changes like a divorce or job loss or large medical bills, you’ll need to disclose that as well. Any significant changes will likely alter the terms of your pre-approval.

While this renewal process should be quicker than the original mortgage pre-approval time frame as the lender already has most of your information, it can still take several days, so be sure to start the re-approval with plenty of time.

02/25/2023

What should you bring to your Mortgage Closing?

Photo ID - Acceptable IDs could include your signed U.S. driver’s license, U.S. Identification card, or U.S. foreign passport.

A Cashier’s Check - You might need to provide funds at closing (down payment, prepaid interest, property taxes, and closing costs) You can either provide a cashier’s check for the total or wire transfer.

Proof of Homeowners Insurance - Your lender will require you to take out a homeowner's insurance policy before you close, and will want proof of your policy, such as your declarations page that lists your name, address, your premium, and a description of the home you’re insuring.

The Closing Disclosure - This is the document you will have received from your lender at least three days before closing that provides the final loan terms and costs. Be sure to bring this with you to be able to compare any discrepancies on the final paperwork.

Your Co-Borrower - All parties (spouse, partner, friend, or other co-borrower) signing the mortgage documents will need to be present at the closing and bring a valid photo ID.

Your Real Estate Agent or Attorney - With so many legal documents to sign, it's best to have a professional on hand that’s on your side. Your agent or attorney should be very familiar with all the documents you are signing, and can walk you through any questions you may have. They can also identify any legal red flags and protect your interests.

A List of Final Questions - Compile a list of everything you still need to know about the mortgage logistics, like:

“Where do I send my monthly payments?”
“How do I make future property tax and homeowners insurance payments?” “Who should I contact with questions?”

02/19/2023

Refinancing can be a low-interest way to get tax-free cash for remodeling your kitchen, outdoor living space or anything you choose.

If you're not sure of your refinance options, give me a call and we can review your scenario.

02/16/2023

If you are hoping to buy a home this spring, your tax refund can be a huge boost to your mortgage resume. There are several ways you can use it:

👉Down Payment – While there are excellent loans that require as little as 3% down on a home purchase, larger down payments can lower the interest rate you are offered, your monthly payments, your lifetime interest costs. And if your tax return can bring your down payment up to 20%, you’ll save lots of money by not having to pay private mortgage insurance (PMI) on your loan.

👉Closing Costs – When your mortgage closes, there will be additional costs to pay your lender, like origination, title search, and appraisal fees. Closing costs can add up to between 3% and 6% of the loan balance. Your tax return can help cushion that financial hit.

👉Discount Points - You can use your tax refund to buy down your interest rate with discount points. A point is equal to 1% of the loan total and each point typically lowers your mortgage rate by 0.25%. That could save you lots of money in the long run.
Earnest Money - When you go under contract with a home sale, you’ll have to make a deposit called earnest money that is a good faith act that you will complete the purchase. Earnest money deposits can range from 1% to 3% of the sales price and your tax return could help pay for that upfront cost.

👉Improve Credit Score – You cannot buy your way to a better credit score, but if you have a lot of debt, using your tax return to pay it down will boost your credit within a few months. A better credit score means a better can at mortgage approval and lower interest rate offers.

02/14/2023

02/01/2023

You can purchase a home using a reverse mortgage. There will be occupancy, credit, downpayment and age requirements. Get in touch to learn more about using a reverse mortgage to purchase your next home!