Home Loan Savvy Bringing clarity to the mortgage lending process
Our mission: To provide you with information so you are well prepared to begin your mortgage or home loan search.
The Basics
Types of Lenders
Bank / Credit Unions / Community Lenders
Direct lenders
Often have stricter underwriting guidelines
Typically have limited products
Mortgage Loan Originators are registered and not licensed
Mortgage Lender (non-bank)
Direct Lender
Sells loans to many different institutions providing larger choice
Multiple guidelines
Loan Officer must be licensed
Mortgage Broker
Not a direct lender (less control)
Saves you time shopping for a rate
Expert at finding the right lender for your situation.
Licensed Loan Officers
Loan Types
Conforming
Mortgage loans with the safe standards such as those set by Fannie Mae & Freddie Mac.
Non- Conforming
There a wide variety of mortgage products offered under this umbrella, most notable are Jumbo Loans & Interest Only Loans.
FHA
These loans are insured by the Federal Housing Administration. They require both upfront and annual mortgage insurance.
VA/USDA
VA mortgages enabling veterans to put no money down. USDA offers loans to low income households in rural areas with no down payment.
Closing Costs
Points
Discount points help lower your rate
Origination fees cover lender overhead
Underwriting Fee
Charged by lenders to cover the costs associated with the underwriting process.
Processing Fee
A fee to cover the costs of originating home loans or mortgages.
Credit Report
This a third party fee passed through by the lender for your credit report
Appraisal Fee
Paid to appraiser to value the property.
Title Insurance & other Settlement Costs
Include Title search, title insurance, notary & closing fees.
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