I-Mortgagenetwork

What Is A Mortgage?

You may have a solid understanding of what mortgages are, but in the event that you don’t, we want to make sure we cover that topic here on our site. So here goes…what is a mortgage?

A mortgage is a loan in which your home functions as collateral for that loan. In many cases a mortgage lender, or bank will loan you a large sum of money (often times 80% of the price of the home), which you are required to pay back with interest over a specific period of time e.g. 30 years for a conventional mortgage loan.

If you come across hard times (which isn’t too difficult to do given the current state of the US economy) and you fail to pay back your loan as specified in your mortgage loan agreement, your lender can unfortunately take your home away from you by way of an often dreaded legal process known as a foreclosure.

For many years, the standard mortgage type available to consumers was a 30 year fixed principal and interest (P&I) loan. The payment of this loan would vary by consumer based on the price of the house, down payment, and interest rate.

The next evolution in mortgage loans was adjustable rate mortgages (ARMS). This became an attractive option to many consumers because it gave the consumer the power to choose how much they paid on their mortgage each month, as outlined in their mortgage agreement.

They could often choose a minimum payment (lowest monthly payment), interest only payment, principal and interest payment, or an accelerated payment plan to pay off their mortgage loan faster.

Although this option sounded quite attractive, it has led to a major mortgage crisis, that has ultimately changed the landscape of mortgage loans now, and in years to come.

Unfortunately, many lenders were able to get unqualifed borrowers into a mortgage via creative means e.g. approved loans with no documentation (or very little) verification and stated income rather than complete financial records and verification.

This resulted in many homeowners failing to understand the terms of their mortgage, issues maintaining mortgage payments, and ultimately foreclosures. According to RealtyTrac, lenders filed a record 3.8 million foreclosures in 2010, up 2% from 2009 and an increase of 23% from 200. Unfortunately 2011 looks even worse, and according to RealtyTrac CEO James Saccacio, as many as 250,000 foreclosures will likely be resubmitted and added to the numbers for 2011.

It is critical that you get a mortgage loan that is within your means, and fully understand the terms of your mortgage loan, to help insure that you won’t be another casuality of the mortgage crisis.

We are here to help provide you with information to help you make informed decisions when securing your mortgage loan, so you can be set up for success in your financial future, and will no longer need to ask…what is a mortgage?

What Everybody Ought To Know — About How To Choose The Right Mortgage Loan Solution and Save Money Now!

Whether you currently are in the market for a House Refinance Loan, need to learn how to save money on refinance home closing costs, Debt Consolidationor another type of mortgage loan solution, it would serve your well to do some research. Even if you have poor credit it’s not too late to research your options. Bad Credit Mortgage Refinance Loan Solutions have provided an excellent service to millions of families and have helped them dramatically improve their financial situation. Finding the right mortgage solution to best meet your specific needs can also help you drastically improve your financial situation as well.

You may be amazed to learn how many types of mortgage loan programs exist….even if your credit is far from perfect, you may still have several mortgage options at your fingertips. What it takes is:

1) A little research on your part to identify what you need to get out of a mortgage loan so you can make an informed decision on the loan you should secure e.g. If your objective is to reduce some of your outstanding debts or lower your monthly payments, a House Refinance,Debt Consolidation , or Bad Credit Mortgage Refinance loan may be an ideal option for you.

2) The assistance of a mortgage professional who wants to help you find a good mortgage loan solution that meets YOUR needs and does not want to see lenders lining their pockets with your hard earned money. That is where we come in!

We are here to help you gain a better understanding of different mortgage programs that our available. There are a lot of mortgage loan programs out there, and we know it can be very overwhelming to think about locking into the right mortgage program that will allow you to keep more of your money.

The information on this site can show you how to make a mortgage solution work FOR you (such as a house refinance loan or debt consolidation loan), and in the process save you as much as hundreds or thousands of dollars each year.

Read through our mortgage resources that we have compiled for you. If you like, sign up, and we will put you in touch with a mortgage professional who is there to help you through the mortgage loan process. Best of all, our services are completely FREE so you have nothing to lose!

Sign up for an advisor Now!!!