COUNTRYWIDE CLARIFIES LENDING CHOICES.Byline: GREGORY J. WILCOX It's getting increasingly tougher to buy a house. Sure, sales are in a funk Funk , Casimir 1884-1967. Polish-born American biochemist whose research of deficiency diseases led to the discovery of vitamins, which he named in 1912. , but that hasn't yet pushed down prices by any great degree. Foreclosures are at record high levels, prompting lenders to tighten credit standards Credit Standards The guidelines a company follows to determine whether a credit applicant is creditworthy. . Some loan products have vanished. But Calabasas-based Countrywide coun·try·wide adv. & adj. Throughout a whole country; nationwide: launched a fundraising campaign countrywide; a countrywide search. Adj. 1. Home Loans, the nation's largest lender, last week began what it called a broad initiative to let buyers know there are options when it comes to obtaining a loan or refinancing Refinancing An extension and/or increase in amount of existing debt. . The company said its 9,000-strong sales force is getting new mortgage cost calculators, which will show customers cost-effective cost-effective, n the minimal expenditure of dollars, time, and other elements necessary to achieve the health care result deemed necessary and appropriate. choices for structuring their home loans. The company even commissioned a national survey last month of 3,435 adults (including 2,280 homeowners), asking them to compare choice vs. a one-size-fits-all mortgage. The survey found: 76 percent strongly agreed that they wanted to be informed by mortgage lenders about as many closing cost choices as possible so they can make a decision best suited to their circumstances CIRCUMSTANCES, evidence. The particulars which accompany a fact. 2. The facts proved are either possible or impossible, ordinary and probable, or extraordinary and improbable, recent or ancient; they may have happened near us, or afar off; they are public or . Sixty-nine percent strongly agreed that they are more likely to trust a mortgage lender who is open and honest about the many options available to them given their individual situation. Asked their level of agreement with the notion that the way in which closing costs Closing Costs The numerous expenses (over and above the price of the property) that buyers and sellers normally incur to complete a real estate transaction. Costs incurred include loan origination fee, discount points, appraisal fee, title search, title insurance, survey, taxes, are paid should be tailored to the individual based on the borrower's unique set of circumstances, 87 percent strongly agreed or somewhat agreed. Nine out of 10 U.S. homeowners agree that there is really no such thing as a mortgage without fees. Three of five U.S. homeowners indicated strong agreement with the idea that "one size fits all" mortgages aren't necessarily the best option for everyone. "People clearly understand that there will be costs when they finance a home," Dan Hanson Dan Hanson was the head football coach for Malone College, holding that position from 2002 to 2005. During his tenure, he compiled a record of 13 wins and 27 losses. References
Naturally, there is a marketing campaign afoot here. Countrywide calls it "It's Your Choice." Here are a couple of examples. No money needed for closing costs because a lender can pay them. In this scenario, the lender does not require cash from the borrower to pay closing fees. Instead, the buyer obtains a loan with a slightly higher interest rate. The company said this can be a smart move for buyers who have little money set aside or who plan to be in a home for a short time because their savings in closing costs can often more than offset their increased interest expense. Reap REAP Rural Education Achievement Program REAP Reserve Education Assistance Program (US DoD) REAP Resource Efficient Agricultural Production (Canada) REAP Rural Economic Area Partnership the rewards of lower interest when you pay closing costs upfront. This may benefit a buyer who is planning on staying in a home for a while because the lower rates saves them money over the long term. Minimize your mortgage interest rate by paying loan discount points. It could be attractive if you plan to stay in the home for more than five years. Mix it up with the combination of a first mortgage and a second mortgage. It's a way to avoid private mortgage insurance and enables you to pay down the second mortgage separately. If the second mortgage is a home equity line of credit, borrowers may reuse reuse - Using code developed for one application program in another application. Traditionally achieved using program libraries. Object-oriented programming offers reusability of code via its techniques of inheritance and genericity. the available credit in their line as they pay it down. None of this seems new. During the big boom in the early part of this decade, when many buyers treated their homes like an ATM, I asked a Countrywide executive how many specific kinds of home loans were available. He couldn't tell me. Neither could executives at companies that track how mortgage rates behave. Whatever kind of loan you decide to get, just make sure to read the fine print. greg.wilcox(at)dailynews.com (818) 713-3743 |
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