Saturday, March 22, 2014

March 21 - Online Discussion Question 4

What are some bad ideas when it comes to mortgages? Also, what are some things to keep in mind when obtaining a mortgage?

12 comments:

  1. Some bad mortgage options are:
    ARM
    Reverse Mortgages
    Accelerated, or Bi-Weekly Payoff

    When obtaining a mortgage keep in mind that it should be a 15-year fixed-rate loan with at least a 10% down payment. Payments shouldn't be more than 25% of your take home pay. don't be afraid to rent for the first couple months! If it's the right thing to do, it will safe you a lot of money and stress in the long run.

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  2. Some things to avoid when getting a mortgage are getting a 30-year mortgage, Adjustable Rate Mortgages, VA loans (if you can save a 10% down payment and get a Conventional Mortgage), and Reverse Mortgages.
    While obtaining a mortgage, remember to have at least 10% of the cost as a down payment, and if you can have a larger percentage that's even better. Get a 15-year fixed-rate mortgage and make sure that your payment is no more than 25% of your monthly income.

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  3. ARM, interest only loans, reverse mortgage, accelerated/bi-weekly payoff,

    at least 10% down, no more than 25% of total take home pay, 15yr fixed rate only, buy in the bottom price bracket of the neighborhood

    travis

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  4. Bad mortgage options are: Adjustable Rate Mortgages, Reverse mortgages and Bi-Weekly payoffs.

    When obtaining a mortgage, keep in mind that the best plan is a 100% down plan. But if you have to get a mortgage, wait until you're out of debt with a fully-funded emergency fund.

    Autumn

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  5. Mortgages to avoid include, ARM, reverse mortgages, & bi-weekly payoffs
    When you get a mortgage yous should remember that you should have at least 10% down, otherwise 100% is the best idea, because then you won't have a mortgage. You should be both out of debt, and own a fully-funded emergency fund.

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  6. Mortgages to avoid:
    ARM
    Reverse Mortgages
    Bi-weekly Payoffs
    VA Loans
    30 year Mortgage

    The best plan is the 100% down plan, because then there is no mortgage. If you can't afford that then you need to put 10% down and get a 15 year mortgage. You also will need a fully funded emergency fund and try to stay out of debt.

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  7. ARM, interest only loans, reverse mortgage, and accelerated/bi-weekly payoff are always bad ideas.
    At least 10% down, but no more than 25% of total take home pay, 15yr fixed rate only, and buy in the bottom price bracket of the neighborhood

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  8. ARMs, bi-weekly payoffs, and reverse mortgages are all bad mortgages.

    Put down no less than 10%, go with the 15 year instead of 30, don't buy until you have a good emergency fund and no debt.

    eyezik

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  9. VA loans, ARM's and reverse mortgages.
    Have at least a 10% down payment and use the 15 year fixed rate mortgage. never buy until you have absolutely no debt, have a steady job and a fully funded emergency fund.

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  10. There are many things that you need to avoid when it comes to mortgages. There are VA loans, reverse mortgages and balloon mortgages. One of the things that you need to keep in mind when getting a loan is that you should never plan on getting a raise or a bonus. If you make your payments based on a future pay raise then there is a chance that that raise will never come. Then you are stuck not being able to pay off the debt. This is never good.
    Adam

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  11. I agree with Adam… you just have to watch what you are doing think before you do… there are LOTS of messes you can get yourself into..

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  12. Bad Mortgages:
    Adjustable Rate Mortgages
    Balloon Mortgages
    VA Loans
    Interest Only Loans
    Reverse Mortgages
    Accelerated/Bi-Weekly Payoffs

    Keep in mind that the best mortgage is a 100% down mortgage, but if you must actually get a loan, go for a conventional mortgage with at least 10% down.
    A 15-year conventional loan is strongly recommended by Dave Ramsey. Do not feel obligated to buy a house as soon as possible - it is often a good idea to rent until you have a secure, decent-paying job and a large down payment saved up.

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