The Orange County Mortgage Blog

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1. Before you start looking for a home, you must get "Pre-Qualifed" for your loan;  Banks, Credit Unions, and Mortgage Brokers are where you would go for consultation and application.  They will take the loan app., process your supporting documentation and issue your pre-qual or pre-approval letter for the real estate agent presenting your offers to purchase the property.
2. You Will Need a Down Payment in today's Market; Down Payment requirements can vary depending on your credit score and funds available for down and closing costs.  Various Government Programs exist to assit with down payment, in the form of grants or other programs like calHFA, the California Housing Finance Agency.  They use a zip code and area maps for properties that meet their specified criteria for down payment assistance.  Our Loan Counselors can help you with this assistance and would be happy to explain the program to you!
3. If you have marginal (around mid 600's) or bad credit, consult a Pinnacle Loan Counselor.  You may be able to qualify for an FHA loan program or the counselor can recommend a no cost effective way to raise up your scores in a short period of time.  It's always best to Start Early - checking your credit scores and updating any erroneously reported misinformation that could be dragging down your scores otherwise hindering your ability to acquire the most optimum interest rate.
4. Should you select a mortgage with a Fixed or Adjustable rate?  The answer to this question is really quite simple; How Long do you plan on owning the property? And where interest rates appear to be trending is a secondary concern to making this decision.  If rates are low and stable for the time being, you might want to consider a 5/1 adjustable rate loan that has an initial fixed term of 5 years, then subsequent years it can adjust up or down depending on where rates are at. But if you are in the majority and figure on being in your home at least for next 7 years, a low fixed rate might be the best way to go.
5. Why might I have to pay for Mortgage Insurance?  First off, M.I. Protects the Lenders Interst in your home, and is not, what is often misconstrued, to be protection for the home owner in case of illness or job loss, etc.  M.I. is a Loan Requirent for loans with Less than 20% Down Payment and stays on the loan until the value of the home and/or the loan balance decreases to 79.9% or under the current value of the home.

Stay tuned by Subscribing to this Blog for upcoming additional tips and info for First Time Buyers or Move-up Buyers looking to become Better Informed about the Home Buying Process. 

And Please do Comment on what you like or dislike about my blog, or ideas and suggestions for future blog postings that you'd like to see and learn more about regarding mortgage and real estate tips, info and current trends in the market!   See you soon......................

if you'd like to discuss any particular Mortgage or Housing needs or just have general questions, I can be reached at

(714) 595-0400