| |
| |
|
Real Estate Information |
|
|
|
What is a Predatory Lender?
Several months ago, the 3,000-member California Association of Mortgage Brokers (CAMB) created the first real definition to describe the abusive lending practices of predatory lenders. According to the CAMB, predatory lending was described as "placing consumers in loan products with significantly worse terms and/or higher costs than loans offered to similarly qualified consumers in the region for the primary purpose of enriching the originator and with little or no regard for the costs to the consumer." Most mortgage brokers provide good service to their clients, yet there are a few who use unethical practices. Those brokers, called "predatory lenders" by the CAMB, not only over-charge consumers, but they also get paid in other hidden ways. For instance, avoid lenders who charge more than the usual three percent fees for a conventional loan or four percent fees for a government-sponsored loan. Even non-prime lenders can't justify excessive fees. Also watch for hidden loan costs, such as the Yield-Spread Premium. This term refers to a rebate that's given to brokers when they place a borrower at an interest rate higher than the rate for which they qualify. Refuse to pay yield-spread premiums and unwarranted fees, and avoid brokers who include these charges in their loans. Besides charging high points and fees, predatory lending practices may also include such things as "packing" credit insurance on to a loan, making mortgage loans to homeowners who don't have the income to repay them, and repeatedly refinancing loans. When it comes to obtaining a real estate loan, it's your responsibility to become a knowledgeable consumer, which means you'll need to keep asking questions of your lender. If you aren't able to get clear, easily understandable answers to your questions, it's possible that you may be dealing with a predatory lender. Copyright © 2005 Jeanette J. Fisher - All Rights Reserved. Jeanette Fisher, author of "Credit Help! Get the Credit You Need to Buy Real Estate," helps people buy their dream home or finance multiple investment properties. Jeanette teaches real estate investing and Design Psychology. For help with your credit or answers to your questions, visit the Real Estate Help Credit Center at http://www.recredithelp.comSubscribe to Credit Help! Tips. Send a blank email to CreditTips at reCreditHelp.com Get the credit you need to buy your dream home or multiple investment properties!
MORE RESOURCES:
Google News |
|
|
|
RELATED ARTICLES
The Secret to Maximum Real Estate Profits: Lighting Lighting is the most important detail of interior Design Psychology for selling houses. Lighting influences a prospective buyer's feelings within a space more than any other interior design element. NAR® Broker Will Swear It - Real Pro' Agents Share It - FSBO Truth For posting the "Truth" on your website, some FSBO's will not like you. These prospects would not have listed with you anyway. Dramatic Profits From Preconstruction Real Estate Investing The preconstruction process is an innovative real estate investment opportunity in which you buy tomorrow's property at today's price. Preconstruction investing is a boon for the investor or buyer as well as the developer or builder. Alicante to Mar Menor - You can Still Find Cheap Property in Spain The Murcia region in Spain benefits from some of the most beautiful coastlines of Europe. Nowhere else will you find so many fascinating contrasts - with Spanish Mediterranean architecture, magnificent mountain ranges and beautiful long sandy beaches. A Beginners Guide to Flipping Houses If you're dreaming of making money in real estate, it's time to stop dreaming and get to work, because making money in real estate isn't just a vague pipedream. It can be done, even by a young and inexperienced person, when you learn how to "flip" houses. Homes For Sell By Owner - FSBOs and Buyer Brokers You're selling your home as a FSBO (for sale by owner) and you get annoyed when real estate brokers call you, right? That's a reasonable response when you're doing all the work to market your property to save thousands of dollars in broker commissions. However, when a "buyer broker" calls, you might want to listen. Make Your House Earn Its Keep Did you realise that there is a lot you can do get an income from what is probably your most valuable asset? Not only is your property a great (long-term) investment, your home could also bring you an income while you are still living in it. Here are some ideas to make your property really earn its keep. Mechanics Lien on Your House In many places you can buy a house and a contractor can put a lien on it within 90 days of construction or delivery of materials. For example if a contractor fails to pay a subcontractor he/she can place a lien against your real estate. Taxes When You Sell Your Home What's the difference between death and taxes?Death doesn't change every time Congress meets. But taxes certainly did in 1997, and the Taxpayer Relief Act of that year made a dramatic difference in the tax liability of those who sell their own homes. Afford A Dream Home In Belize Shopping for property in Belize is not as simple an undertaking as you might initially expect!Firstly, real estate agents as we know them are non existent! Real estate brokers that do exist are likely to be unlicensed, unregulated and certainly not trained or insured.Secondly, the majority (and I mean the majority) of property for sale is not advertised!But with property prices remaining affordable, the quality of property available attractive, the climate beautiful, the people welcoming, the quality of life incredible and the opportunities in Belize plentiful, more and more people need to know HOW they can go about procuring themselves their dream home in Belize. 11 Different Ways to Participate in The New Millennium Real State Boom Many parts of the country are going through a real estate boom. In recent reports real estate is showing double digit growth in many parts of the country. Questions To Ask The Landlord Before Renting His Apartment Apartment hunting is not the easiest thing around. You may find places not suited to your tastes or those which do are not to your budget. Searching For Maui Beachfront Houses? Who wouldn't want to move into a Maui beachfront house?From the custom architectural jobs done on many Maui homes,to the beautiful beaches and other natural attractions inMaui, you're bound to find something you will love aboutMaui beachfront houses. However, like any home buyingprocess, you'll need to make sure several things are inorder before you make your move into your new Mauibeachfront house. The Value of Foreclosed Property The discount on a foreclosed property is not as great if the state allows deficiency judgments by lenders against borrowers. In contrast, the discount is larger if the property is being sold in a state that requires foreclosures to proceed through the judicial system. Panama is Hot - A World Class Retirement Haven Thats Ripe For Profitable Real Estate Investment If you've followed any of the major survey agencies around the world that rate places for retirement, Panama has been on top of the list in many, and for a few years running. So, if you're looking for a place outside U. How to Attract Clients in Residential Real Estate Doesn't it seem like everyone you know has a friend, relative, or acquaintance that is a realtor? How could anyone, especially someone new to the industry, possibly achieve success when faced with this much competition?The answer begins to appear when you consider the following questions:How many licensed real estate agents have the talents required for success in sales?How many have been trained in effective selling techniques?How many know how to prospect effectively?How many know which questions to ask to determine the factors that are most important to each prospect's buying decision?How many take their profession seriously and are willing to put in the effort and hours that are required to build a successful business?How many of them regularly sell multiple houses per month?The 80/20 rule definitely applies to residential real estate. In fact, some statistics suggest the ratio is more like 90/10 (where 90% of home sales are made by just 10% of realtors), with the vast majority of home sales by the top 1%!So, how can a novice realtor attract clients? By building his or her credibility and relationships. Investing in Real Estate Profitably: Eliminating the Need for Mortgage Insurance In an earlier article, we presented various options for ensuring that you have positive cash flow when holding rental houses, by minimizing loan payments. One problem which we now can address is to how to eliminate the need for paying mortgage insurance. Howard Stern is Hot in Real Estate Howard Stern has over 20 property related files in Queens, 27 in Brooklyn and 1 in Manhattan. The files include mortgages, releases or satisfaction pieces, liens and powers of attorney. Secrets of Making Money from Real Estate - Part 3 Great, now how do I actually INVEST in real estate?Investing in real estate will get easier the more you do it. The first deal may take some time, but like anything, the more you do it the better you'll become. Reinventing Real Estate, Part 1: Online and Empowered Consumers Are Taking Charge and Paying Less For decades, the real estate world turned in a predictable manner. The roles of buyers, sellers and real estate professionals were fairly well defined and transactions followed a predictable path of yard signs, newspaper ads, open houses and miles of paperwork.
|
| home | site map |
| © 2006 |
