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1. What is a Good Faith Estimate? Answer
2. What is PITI? Answer
3. What is PMI Answer
4. What is a Warranty Deed Answer
5. What is Owner Title Insurance? Answer
6. What is Lender Title Insurance? Answer
7. How do I know my loan rate will be Answer
8. What are closing costs? Answer
9. Should I roll in my fees in to my loan amount? Answer
10. What are prepaid interest and escrow funds? Answer
11. Can I subordinate my loan? Answer
12. What is the difference between an Equity Line of Credit and another type of second mortgage? Answer
13. How long will it take to close my loan? Answer
14. Will my credit report affect my chance of obtaining a loan? Answer
15. Can I correct my credit? Answer

Q : What is a Good Faith Estimate?
A : It is a form on an estimate of the fees that you will pay to close your loan. This is a break down of the fees that charged by the lender, attorney, appraiser and other third party fees.
 
Q : What is PITI?
A : The portions of your monthly payment amount which includes your principal, interest, taxes, and homeowner's insurance.?
 
Q : What is PMI
A : Private Mortgage Insurance (PMI) is usually mandatory for loans when the ratio of the amount of the loan to the value of the subject property is greater than 80%
 
Q : What is a Warranty Deed
A : It is a deed to show the grantor or the seller warrants or guarantees that good title is being conveyed.
 
Q : What is Owner Title Insurance?
A : Owner title policy is an optional settlement charges, it protects only the owner of the property interest in the title of the property. Typically, it is something that you will be offered to purchase at closing; it is like an insurance you purchase for yourself.
 
Q : What is Lender Title Insurance?
A : This is a compulsory to obtain. This insurance is for the lender to insured a specific amount of loss caused by defects of title to real estate, wherein the insured has an interest as purchaser, mortgagee and otherwise.
 
Q : How do I know my loan rate will be
A : Rates vary primarily based on the type and the purpose of the loan, your credit history and income, loan amount, value of the property, and the number of points you are willing to pay.
 
Q : What are closing costs?
A : Closing cost can be also known as Settlement costs. These are the cost a lender or broker charges for funding and completing you loan and are generally charged at the time of closing.  Closing costs vary greatly depending on your state, county, and or metropolitan area. They are also depending from one lender to another, so it pays to shop around.
 
Q : Should I roll in my fees in to my loan amount?
A : The choice basically comes down to “pay now” or “pay later”. If you have the funds now, it makes sense to cover the expenses out of pocket and save through lower loan payments and interest costs on a smaller loan.  On the other hand, if your budget is currently tight, roll in the costs with your loan amount makes sense because it allows you to get the loan without immediate expense.
 
Q : What are prepaid interest and escrow funds?
A : Prepaid interest and escrow funds are costs generally associated with a mortgage. At the time of closing your loan, a lender will often require you to provide the funds to establish your escrow accounts (be sure your taxes and insurance paid on time) and to pay the interest for the time period between the loan closing date and the end of the closing month.
 
Q : Can I subordinate my loan?
A : Your lender needs to agree in writing to claim on a property is inferior to the claim of another. This usually happens on your second mortgage.
 
Q : What is the difference between an Equity Line of Credit and another type of second mortgage?
A : An Equity Line of Credit is money in an account that can be used as you need it.  You can use any portion of it at any time and pay it back at any time. The Interest rate usually variable and is tied to the prime rate. As for second mortgages, such as the Home Equity Loan is a simple interest loan product.  You borrow a lump sum and pay it back over a period of years with interest.
 
Q : How long will it take to close my loan?
A : Generally 2 to 4 weeks, many factors alternate the timeframe it will take for each individual application onto subsequent funding, some examples are: how quickly you submit the documents or verification required by the lenders; certain time of year will be busier for the other agencies involved in your transactions such as title companies, appraisers, underwriters and etc.
 
Q : Will my credit report affect my chance of obtaining a loan?
A : If you have had credit problems, be prepared to discuss them honestly with us. We know there can be legitimate reasons for credit problems, such as unemployment, illness or other financial difficulties. If you had a problem that's been corrected, and your payments have been on time for a year or more, your credit may be considered satisfactory. If there are any errors that still remain we can assist you to take the appropriate steps to correct these issues so that we can obtain the best possible financing for you.
 
Q : Can I correct my credit?
A : You have the right, under the Fair Credit Reporting Act, to dispute the completeness and accuracy of information in your credit file.   If your file showed that you were late in making payments on accounts, but failed to show that you were no longer delinquent, the credit reporting agency must show that your payments are now current. Or if your file showed an account that belongs only to another person, the credit reporting agency would have to delete it. Also, at your request, the credit reporting agency must send a notice of correction to any report recipient who has checked your file in the past six months.

For those items in your credit profile which you feel deserve further explanation (such as an account that was paid late due to the loss of job, military call-up, or unexpected medical bills), you may send a brief statement to the appropriate credit reporting agency. The information will be placed on your credit profile and will be disclosed each time your credit profile is accessed.