The Worth of a Good Mortgage Broker

Increasingly, a good mortgage representative is vital. Credit has tightened considerably in the last six months and especially in the last six-eight weeks. People with sterling credit scores and 20% down and a solid job history will have no problem getting a mortgage. Mortgage brokers and banks are generally giving better rates on fixed rate loans now than adjustables which are completely out of favor. Lenders no longer can afford to absorb the risk. If you do not having perfect credit or a large deposit, loans are still available at rates that in any time prior to the last few years would still be considered excellent rates. We have been spoiled with extremely low rates in the last few years, which has gotten us into the current economic downturn via interest only adjustables, 0% down financing, and the lender encouragement of the public to refinance their homes and take out second mortgages or home equity loans to do home repairs, pay off credit cards etc.

In any case, good loans are still available but adjustables and no verification loans are virtually extinct. There is a new market of FHA loans also for people with a low downpayment but you will need to check with a local mortgage broker to make sure that the Hoboken condo that you might want to purchase can qualify for FHA. It is my understanding that many Hoboken condos that did not conform in the past do qualify now. As with a lawyer, make sure you use a mortgage broker or bank that routinely does business in Hoboken. The mortgage company does not necessarily have to be located in Hoboken to do the job, just be familiar with the market here and the nature of condominium complexes in our town.