Stop Whining to Your Lender About the Reverse Mortgage Costs

By Borkow Vanrock

Closing a reverse mortgage loan will cost a good bit of money, and place of residence will not affect this fact. This is an essential truth that must be realized.

Usually, closing costs are around five percent of the home value, however if the house is considered on the low end in terms of worth, it could be up to 10%.

This can hit some borrowers hard when it takes them by surprise. Many times they consider the harshness of the transaction the loan company's fault.

So, who do we blame when there is no one else to blame? Mostly people like to point their fingers at the mortgage company. Those greedy pigs.

About 7 separate entities make up the entire closing process, the Federal government being one of these.

A closing document called the Good Faith Estimate of Costs separates and shows all of the closing costs, one of which is the origination fee. It is the sole fee from the bank.

Is it sizable? Yes. Does it take up the lions share of cost. No.

The culprit behind the bulk of the cost is the mortgage insurance. Two percent of the homes worth (for homes worth $417K and below) is billed to the borrower.

FHA can charge up to eight thousand, three hundred and forty bucks, while the bank charges as much as six thousand for origination.

This is newly legislated by the way. I think its funny that the government has no problem capping how much money the lender can make, but they don't cap how much they can charge.

By the way, were you solicited for political donations recently? Perhaps you thought you were on the big Do Not Call list, and you may be, but these guys conveniently left themselves out of that law.

Anyway, another big bite out of the costs comes from the escrow company. They have several fees, including a transaction fee, insurance for the title, and others.

Also add in the official appraisal cost. Sometimes a land inspection is needed as well. These fees are pretty expensive.

I can't speak from states outside of Texas. I wouldn't be surprised if borrowers are on the hook for other expensive little goodies there not mentioned here. Just remember the bank is not always the culprit.

About the Author:

In Texas do not get a reverse mortgage before acquiring this guide. Also.. Definitely get a tremendous fact sheet at this reverse mortgage in Texas informational website.

Curious About How To Make Money Day Trading?

By Sam Lockwood

Day trading is one way to make money by buying and selling stocks. You're using the volatility of the market over the course of the day to make your money. The stock market at the moment is one of the best ones for day trading in more than ten years, since stock prices keep swinging widely.

Through short selling, day traders can profit from stocks even when it looks like the price is on its way down. In every case, day traders will need to use a broker, and to pay very close attention to two basic indicators. These are the NDIX and the TDISC. At the beginning of trading on a particular day, these will tell you a lot about several different exchanges. They're extremely sensitive to volatility, so if the market's going up, the NDIX will rise by two thousand ticks or more in a half hour after opening. If it's going down, the TDISC will drop by that much in the same period.

These rapid fluctuations are how day traders make their money. Doing quick buys and sells are the way that people in this kind of trading make a lot of money. However, these are also the way that they lose it all, if they're not careful. If you're day trading, you won't be buying for the long term. That means it's tempting to ignore your research and buy in volume. You may get lucky, but most times this doesn't happen.

Day trading really is a job, rather than a passive income source. If you're thinking about starting it, you need to have the right training. This could come through an online course or a seminar. No matter how you learn about day trading, you need to be able to get into it with your eyes open.

In addition, you'll need to have a brokerage account. After all, short selling is one of the most important tricks day traders have to use. Short selling is when you borrow a share of a given stock from your broker, then sell it right away. You expect to buy another share later on to give back when it comes due. Profit comes to you when the price of stock drops after you sell. Time things right and understand the market well, and you can do very well.

Of course, there's a reverse to short selling, too. Borrow or buy a share at one price, then sell it for more over the course of the same day.

Day trading means you're going to need good observational skills and incredible nerves. You also have to be willing to have a short memory. That's so that you can stare losses in the face without stressing out or going into a panic.

Now, it is possible to do day trading from home and to do well at it. Use the right programs and tutorials to find out everything you can, and make sure all trades are executed according to a careful plan. Be sure to get them done before the last half hour of the trading day in your market, as well.

About the Author:

You can find all sorts of Day Trading Tips out there so it's easy to start educating yourself about this exciting way to make money. Click Here to read about a day trading system that makes many people a healthy income.

Finding Personal Loans For Fast Cash

By Trinity Davidson

Getting a small loan is sometimes a necessity. The timing of medical emergencies and other unexpected bills can sometimes get in the way. These unexpected expenses can make like complicated, especially if they fall in certain times of the year like the holidays, or around birthdays for that matter. Often, getting a personal loan can really help.

If you need less than $1,000 to cover your unexpected expenses, you may want to think about securing a payday loan. This can help you to float until your next paycheck and will get your expenses covered.

If you need money quickly, this is the way to go. Just be sure that you will be able to pay back the money on time and in full to avoid paying more interest than necessary. With this kind of loan, you will find out if you are approved or not very quickly. Most lending sources will let you know within a few hours if you qualify or not. If you do qualify, they will most likely be able to deposit the loan amount in full directly to your savings or checking account within one day.

For those of you that need to borrow more than $1,000, you may need to find a different type of loan. Some lenders offer car title loans or you could go to a bank to get a home equity loan. Understand that your home or car would be on the line.

Taking out a loan on your car or home could have consequences, so make sure that you understand how it all works. Failing to make your payments would inevitably force the bank to seize your asset which means you would lose your home or car.

Most lending sources will offer these loans on a short-term basis. Usually, you will need to pay them back within a couple of weeks. If you need a longer pay schedule, be sure to negotiate that up front. You will want to be clear on the terms and conditions so you dont inadvertently default on the loan. Now that you have the basic information, you can decide for yourself if a fast cash personal loan is the right step for you.

About the Author:

Trinity teaches individuals about fast personal loans and many types of loans for people with bad credit.

Looking for a Cheap Loan UK

By Rashel Dan

Oftentimes, no matter how great the pay is at a certain job, people will find that they need to get a cheap loan UK. This is where a cash advance, payday loan, or just any kind of personal loan can come in handy.

Unfortunately, if you don't know where to find the best rates, you can easily get tied up with high interest rates. But there are places where one can make a person loan and not suffer the consequences of paying too much back to a loan institution.

Places To Get Fair Loans

Traditional outlets such as banks can give you fare rates. This is especially great in the sense that banks are always accessible and you probably won't have trouble making a loan. The drawback is that a bank (if popular) will charge a little more interest than if you go online.

Online banks, on the other hand, can help because lenders there have lower overheads. This means that they charge less when they give out personal loans. Online banks are probably the best places where you can get the lowest loan rates. You also don't necessarily have to be in the UK to manage your loan.

Online banks also offer you the service of contacting them anytime if you have any problems with a particular personal loan. Surprisingly, you might also find that supermarkets, shops and post offices are offering financial loans, but there are not many who are keen on the idea just yet.

The only other place to look for a cheap loan UK is through borrowing and lending exchanges. Now, these exchanges work in much the same way that a co-operative works. This means that they can offer people low-cost personal loans. It comes out low-cost because they cut out most of the people in the middle who try to gain commissions from representing lenders. It's these extra costs that can add to the interest of a loan as one is paying it back.

With exchanges, people can lend and borrow from each other directly. This can be done by two parties entering into a legal contract with each other. What the exchange does is it manages the collection of the payments and if there are payments that are not made on time or not made at all, then a recovery process similar to a banks can be implemented.

As a cheap loan UK alternative, the risk is low since amounts that are loaned or borrowed are spread between 50 borrowers and lenders at the very least; thus, lower payments are required.

About the Author:

How can you find a cheap loan UK? Know how to process online pay day loans UK.

Learn More About Credit Card Offers

By Darren Cason

It is very important to compare credit card offers. The first thing you need to do is look at the fine print in the Terms and Conditions, where you can learn more about the card offers. Although some providers advertise cards with no annual fees or zero percent APR, the fine print can often tell a different story.

Another area to look at is the credit card company's policy on fraud liability. The fine print can often lay out stipulations which could mean that you are responsible for some of the charges if your card is used for fraudulent uses. Also consider the APR, since some ads claim to offer zero percent during an introductory period, but the fine print sets out limits on the use of the card in order to qualify for the zero interest period.

Cash advances are another thing to consider before applying for a card. Many cards charge up to 31.99 percent APR for cash advances, which is a very high interest rate. In fact, this is the highest allowed by law. Some card providers even go beyond this rate, believing that they will not be caught.

Be careful of catchy ads, because they can lure you into a card that may not be the best deal for you. Carefully investigate any credit card company before you apply for their card, to make sure that the card is legitimate. This will save you many hassles in dealing with the company later. There are many scam companies out there, especially those that offer credit cards regardless of your credit history if you give them a small deposit. These types of companies are illegal, because credit checks are mandated by law. Be sure you know how to spot a legitimate offer before you begin applying or redeeming chase card or other credit cards..

Snail mail credit card ads are often from illegitimate companies, and you should always toss these ads. Even the ones from legitimate credit card companies like MasterCard, Visa, or American Express should be thrown away. You should do your own research, rather than applying for cards based on heir ads. All cards offer unbelievably great deals according to their ads, but these offers are often negated by the fine print in their terms and conditions.

Finally, make sure you know exactly why you need a credit card. Determining whether you will need cash advances and whether you can and will pay your balance in full every month can impact which card is the best choice for you. There are many options, including those with rewards points or cash back programs. What you want from a credit card will change which card you should choose.

Lastly, use your card wisely. It can be great for paying bills, purchasing necessities when cash is low, or for use during emergencies. However, be sure to use it responsibly.

About the Author:

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Exploring the 4 Property Rule

By Susan Lassiter-Lyons

If you are looking to finance real estate, portfolio lending may be the way to go. One of the reasons for this is portfolio lending is not restricted to the new 4 property rule. With a portfolio lender, it is possible to finance an unlimited number of mortgages. However, those looking to get loans through conventional lenders such as Fannie Mae and Freddie Mac will run into the 4 property rule.

Obviously new lending rules were needed to curb the losses of hundreds of lenders that are now out of business. But, in my opinion, the 4 property rule is ridiculous. In fact, this rule borders on Socialism. The 4 property rule severely hinders the ability of a real estate investor to continue doing business.

So, what specifically is the 4 property rule? Essentially, the new rules of conventional lending state that a person will be limited to four financed properties at one time. Again, this is a thoroughly absurd rule that undermines many benefits of real estate investing. Basically, if you are limited to only four financed homes, you can not flip property in vast numbers.

This type of rule does very little to help our economy recover. In my opinion, it is a form of Socialism. And, last time I looked we lived in a country founded on Capitalism. So, this rule overall does nothing to improve our situation and in fact the 4 property rule can significantly weaken our economy.

Before the subprime meltdown, investors took advantage of rapidly increasing real estate values. They would purchase properties at low prices and then sell high. Sometimes, real estate investors purchased huge volumes of properties to resell. The affordable housing they provided had a positive impact on our economy.

That is, in the absence of the 4 property rule, the sale of massive volumes of real estate would yield a number of positive effects. For example, the revenues generated could be invested into the stock market. Once invested, it would provide liquidity to many different companies. It would also generate significant tax revenue to the state and local governments. And, of course, the wealth created by this multiplexing of real estate sales would greatly expand purchasing. This would improve the economy in other sectors of the market. With the onset of the 4 property rule, all of this would cease and much of the economy could be undermined. Hopefully, this rule will eventually be revoked and return a more free market approach to the world of real estate.

Then again, regardless of whether or not this rule is revoked, portfolio lenders are not restricted to such a rule. If you wish to seek massive financing, a portfolio lender is the lender to visit.

About the Author:

Susan Lassiter-Lyons has been teaching real estate investors the secrets to investor loans since 2002. Her free report, The Death of Real Estate Investing, reveals how to find portfolio mortgages nationwide.

Reverse Mortgage Borrowers Not Getting Lift From Appraisals

By Scweezeme Vanrock

I received an email a few days ago from a prospective customer. I say prospective loosely because I'm quite sure he won't become one.

After warming me up by praising my marketing skills, he asked me his burning question: What can you do different than any other guy to get me the highest possible amount of cash from my house?

I replied that I can't. All reverse mortgage lenders use the same formula to arrive at how much money can be squeezed out of the loan.

So he asks me to use an appraiser that really does a "good job". Of course this is code for an appraiser who fudges up his numbers to make the loan or transaction work.

He was asking this, because he knew if his home was assessed at a high amount, the lender would give him a heftier loan.

With home values reducing he is in the same shaky boat as many senior mortgage holders. They want to use the reverse loan to rid themselves of the burden of the monthly payment.

However, with a low appraisal the reverse lender cannot always give enough to complete this goal for them. Instead, the borrower has to continue paying on the forward mortgage until the worth of his house goes up enough to try again.

Unfortunately borrowers aren't the only ones struggling; appraisers are as well. For awhile they were able to pad their appraisal reports.

A totally "by the book" appraiser reading this might be a little hot under the collar. But everyone knows plenty of fudging was going on.

Now the finger is pointing at everyone in the real estate industry for causing the big mortgage mess, even appraisers. They are being watched more closely than they were before.

With the frequency of appraisal reviews taking place, appraisers could possibly lose their license if they don't do things by the book.

I relayed all of this information to the potential client, and he hasn't called me since. I warned him that other lenders would assure him the highest possible appraisal.

Most lenders will promise it, but won't do anything differently when it comes down to it. I choose to let seniors know all the facts and risk losing them as a client.

About the Author:

Find out about the steps to getting a California reverse mortgage. Also, head over to the California reverse mortgage website for the basics.

Are Retailer's Credit Cards A Good Idea?

By Steven J. Talrechi

The ads are nearly inescapable. They beckon to us from everywhere; telling us that we can buy with no money down ad accruing no interest for as long as three years!

However, are these retailers' credit cards really the deal they seem to be? Let's take a look at what happens when you take on a credit card from a retailer.

It is true that these retailer's credit cards do typically offer a 0% interest rate and allow you to make purchases with no payment s for as long as the first two years; although this is usually limited to specific purchases. Let's suppose for instance that you sign up for a retailer's credit card offered by a furniture store. You might have with this card a discount of 10% on the purchase, along with having to make no down payment and no payments needed for two years.

That's great, if you can swing it. However, there's a caveat. If you don't pay off that credit card balance IN FULL within the time the store gives you to pay off the balance (let's say, two years), you might think that you're going to be charged interest beginning the first day after the end of that introductory period, but that's usually not true. In fact, you're also likely going to be charged interest retroactively to the day of the purchase, and it may also very well be compounded during those months, usually every 30 days or every billing cycle.

These cards should be approached with caution. If you cannot pay off the balance in full before the end of the introductory period, then you are probably better off without this card. Those retroactive interest charges could add up to quite a lot of money. Remember that these retailer's credit cards often have much higher interest rates than a regular MasterCard of Visa would.

If you're not sure that you can pay the entire balance within the introductory period, don't apply for the retailer's credit card. You are much better off not incurring this kind of debt; if possible, pay cash for these large purchases. If you cannot do so, then use a regular credit card instead ? the lower interest rates will end up saving you a lot of money over time. While you may lose out on the discount offered on the purchase price, you'll still be saving money by avoiding these retroactive interest charges.

If the retailer's credit card in question is from a shop where you are a regular and you know that you can afford to pay the entire balance before the end of the introductory period, then these cards can be a good deal for you. If not, then you would be well advised to avoid these retailer's credit cards. Those retroactive interest charges can really hurt you otherwise. Make sure you can afford to quickly repay the balance before you sign up for anything.

Finally, remember that no matter which credit card you use, you're going to end up paying a lot in interest charges if you don't use responsibly. So shop carefully, and pay down your credit card balances as soon as you can; in fact, it's a good rule of thumb to have that you never carry balances on credit cards for more than 30 days. Credit used responsibly can be a good thing, but you have to be careful just two you get it from.

About the Author:

Steven J. Talrechi is an expert on credit for over 10 years. He authors various topics on said field, including applying for a credit card, and different credit card offers.

Getting Secured Personal Loans

By Trinity Davidson

Secured Personal Loans can help you reach your financial needs. Whether you are looking to remodel your home, pay for your daughters wedding, or go on the vacation youve always dreamed of, a secured personal loan can help finance your desires. You can meet your immediate needs for only a monthly payment.

You can lock in a loan with a fixed annual percentage rate and a monthly payment that is manageable for your income level while being able to provide for the urgent expenses. The bank will offer you a lower percentage rate on this kind of loan because you will be required to provide approved collateral.

Obviously, not everyone is able to qualify for this kind of loan since it does require collateral. A true candidate for approval of this loan will have something of large value to back up the loan and lessen the risk to the lender. Some banks will allow you to offer a mobile or manufactured home as security for repayment.

The amount that you can borrow with this type of loan varies and is determined primarily by the size of your asset. If your home is paid off, you may be able to get a loan for as much as $250,000, sometimes more. If you still owe a lot on your home your available loan size will be much smaller.

The term of the loan will usually vary and will be set in accordance with the size of the loan and with your ability to pay. In some cases these loan can extend for as long as ten years. If you're looking to extend to a longer term, you might want to consider a mortgage type loan instead.

The application process will typically require you to gather some information. Since the loan amounts can be quite large, the bank will most likely require specific information to guarantee your collateral. You will most likely need to provide a copy of your drivers license and social security card. They will also want to see your W2 information, current utility bills to verify your address and if you are purchasing a boat or RV, the purchase order may be required.

Once the bank has approved you for the loan, they will usually direct deposit or wire the funds to you within 48 hours. The entire process can usually be finished within a week so you may be closer to having some financial room that you think.

About the Author:

Trinity shows people interesting options for personal loans including personal loans for people with bad credit.