MHQ - Mortgage HeadQuarters

Whether buying a home for the first time , or looking into your home equity options, there will come a time that you'll need to talk to a mortgage professional about your lending options. With the many options available to buyers and homeowners, trudging through the financial aspects of a mortgage or funding in general can be extremely confusing. Thankfully, we offer many services that can help our clients in just about any stage of life they may be in. Buying, refinancing, taking out an equity loan for home improvements or school, you name it, we've got a way to help! Check out the many services that MHQ - Mortgage Headquarters of Missouri can offer you here! First Time Homebuyer Lending As a first time homebuyer, there may be several factors to getting a loan that you may not be aware of. There are some important steps to getting a mortgage loan: deciding on a maximum loan amount, pre-qualifying for a loan, applying for the loan, and getting funded. Because lender gu...

One of the biggest concerns when purchasing a home is how you'll come up with the funds for closing costs . With vigilant focus on the source of funds for closing mortgage loans, it's important to know what's acceptable. Surprising to many, 'cash in hand' isn't one of those sources. Here's what you need to know and what you'll need to provide: Mattress Money Mattress Money or any "cash on hand" is not acceptable. All funds must be "seasoned," which means your money needs to be in an institutional account (bank, credit union, brokerage, etc.). You will need to provide all pages of up to three months of consecutive statements for proof these funds are yours. Gift Funds Gift Funds are OK with a signed "gift letter" (a form we provide) and evidence of the donor’s ability (a statement showing sufficient funds). Later, we’ll need copies of the check, deposit slip and account statement to show the transfer into your accoun...

A good credit score is important for more reasons than just obtaining new credit. These days, it can factor into everything from landing a new job to getting the best deal on your insurance policies. For so many reasons you may not have even considered, it's more important than ever to avoid late payments on your mortgage! A 100 Point Drop from One Missed Payment? It’s true. A single 30-day-late mortgage payment can cause your score to drop by as much as a hundred points. Credit scoring algorithms vary based on many factors, and in some instances, the damage may be even greater and last for years. The Costs Accumulate At the time, a single missed payment will cost you only a late fee, but the expense really adds up on your next loan or missed opportunity. Low credit scores typically mean a higher rate and cost. Higher rates can mean hundreds of thousands of dollars of extra expense over the life of a loan. Missed Payments are Usually Unplanned Usually, events beyond our...

What is Compound Interest? One of the Wonders of the World! Compound interest (or compounding interest) is interest calculated on the initial principal, which also includes all of the accumulated interest of previous periods of a deposit or loan. But what does compound interest have to do with homeownership and mortgage financing ? Read on to learn about how compound interest works with your mortgage: Simple Interest When you finance a home, you typically pay your loan based on simple interest, which accumulates far less quickly than compounding interest. The interest owed each month is based on the remaining balance. As the balance declines, so does the interest paid. Compound Principal? OK, maybe this isn’t a common term, but that's what's happening on a regular fixed-rate amortizing loan. The amount of interest you pay declines with the balance, yet because you're making a fixed payment every month, you’re always increasing the amount paid in principal. This wor...

One of the great parts of homeownership is the freedom to make changes as you deem necessary. You can literally turn any fixer upper into the home of your dreams with your creative touch in every aspect. While it's an exciting time as a homeowner, it can come with some financial stress. A remodeling project may involve lots of choices, but you have only five basic ways to pay for it: cash, credit cards, personal loans, home equity loans, or cash out refinancing . Many loan options fall into the last category of cash out refinancing, but most require the value of your home to far exceed the amount of the loan. If you simply don’t have the equity, one little known option may be the answer—the FHA 203k . Let's take a look at details of an FHA 203k and see if it's a viable option for you! What is an FHA 203k?  FHA's Limited 203(k) program permits homebuyers and homeowners to finance up to $35,000 into their mortgage to repair, improve, or upgrade their home. Homebuy...