Ask us about        REVERSE MORTGAGES

Safe Haven Mortgage offers a full range of reverse mortgage products.  Contact us today for more information.

____________________

NY Home of the Week

  Hage Realty Home of the Week

This outstanding home is available today.  See our CNY Home of the Week under Resources

    _________

Click on RESOURCES for the FL and NY Realtor Network.

1. What documents will I need for a normal application? Answer
2. What is the difference between a fixed-rate loan and an adjustable-rate loan? Answer
3. How do I know how much house I can afford? Answer
4. How do I know which type of mortgage is best for me? Answer
5. What does my mortgage payment include? Answer
6. How much cash will I need to purchase a home? Answer
7. How is an index and margin used in an ARM? Answer

Q : What documents will I need for a normal application?
A : There are many different loan programs, which have varying levels of documentation.  The level of documentation your loan requires will depend upon your specific circumstances.

The following list are basic documents needed for a "full documentation" loan.

1. Your names and addresses for the past two years. If you have changed your name, or address within the past two years, this information must be provided on the application.

2. Employer's names and addresses for the past two years.  This information will be used by the Lender to verify your employment history.

3. Last 3 months checking and savings account statements.  If you have made any large deposits or withdrawals during this time period, additional documentation explaining these may be required.  Also, if you have broker accounts which are an asset, the last 3 months statements to verify the asset will be required, especially if you are intending to use any of this money on the transaction.

4. Last two years W-2 statements, 1099 statements, and copies of Tax Returns. If you are self employed or seeking a first time homebuyer loan (SONYMA - NY ONLY), you will need three years tax returns.

5. Last 30 days pay stubs if you are not self employed. If you are self-employed you should have a year to date profit and loss statement.

6. Pension or Social Security Income Borrowers using pension or social security income to qualify for a loan should be prepared to produce the awards letter, as well as a copy of the monthly check or bank statement showing the deposit.  If the income is from a pension, a copy of the pension plan may be required.

7. Child Support or Alimony Income  If you need income from either child support or alimony to qualify for a loan, you must be able to show a 12 month history of payment receipt in order to use this income.

8. Real Estate Information. If you currently have a mortgage, you will need to provide statements showing the loan number, current balance, escrow estimates and contact information (for payoffs).  If you rent, you should be prepared to prove 12 months payment history in the form of cancelled checks, money order stubs or similar documentary evidence.  Cash payment receipts are sometimes not accepted as verifiable proof of income, unless the landlord can demonstrate depositing the cash.

9. Divorce or Bankruptcy Papers.  If you are divorced, you should provide a complete copy of your divorce decree and written settlement statement (if applicable).  If you have filed previously for bankruptcy, you should provide the bankrputcy petition with list of creditors included and the discharge in bankruptcy.

10. For VA loans you will need your Certificate of Eligibility and DD214.

11. Patriot Act Information At the time of closing, you will need to produce a photographic ID (Drivers License, Passport, etc) and your Social Security Card.  If you have misplaced your social security card, you should contact your nearest Social Security Office to obtain a replacement.

 

 
Q : What is the difference between a fixed-rate loan and an adjustable-rate loan?
A : With a fixed-rate mortgage, the interest rate stays the same during the life of the loan. With an adjustable-rate mortgage (ARM), the interest changes periodically, typically in relation to an index. While the monthly payments that you make with a fixed-rate mortgage are relatively stable, payments on an ARM loan will likely change. There are advantages and disadvantages to each type of mortgage, and the best way to select a loan product is by talking to us.
 
Q : How do I know how much house I can afford?
A : Generally speaking, you can purchase a home with a value of two or three times your annual household income. However, the amount that you can borrow will also depend upon your employment history, credit history, current savings and debts, and the amount of down payment you are willing to make. You may also be able to take advantage of special loan programs for first time buyers to purchase a home with a higher value. Give us a call, and we can help you determine exactly how much you can afford.
 
Q : How do I know which type of mortgage is best for me?
A : There is no simple formula to determine the type of mortgage that is best for you. This choice depends on a number of factors, including your current financial picture and how long you intend to keep your house. Safe Haven Mortgage LLC can help you evaluate your choices and help you make the most appropriate decision.
 
Q : What does my mortgage payment include?
A : For most homeowners, the monthly mortgage payments include three separate parts:
  • Principal: Repayment on the amount borrowed
  • Interest: Payment to the lender for the amount borrowed
  • Taxes & Insurance: Monthly payments are normally made into a special escrow account for items like hazard insurance and property taxes. This feature is sometimes optional, in which case the fees will be paid by you directly to the County Tax Assessor and property insurance company.
  •  
    Q : How much cash will I need to purchase a home?
    A : The amount of cash that is necessary depends on a number of items. Generally speaking, though, you will need to supply:
  • Earnest Money: The deposit that is supplied when you make an offer on the house
  • Down Payment: A percentage of the cost of the home that is due at settlement
  • Closing Costs: Costs associated with processing paperwork to purchase or refinance a house
  •  
    Q : How is an index and margin used in an ARM?
    A : An index is an economic indicator that lenders use to set the interest rate for an ARM. Generally the interest rate that you pay is a combination of the index rate and a pre-specified margin. Three commonly used indices are the One-Year Treasury Bill, the Cost of Funds of the 11th District Federal Home Loan Bank (COFI), and the London InterBank Offering Rate (LIBOR).