Mortgage Lenders and Choice

Some very pertinent issues you need to be aware of expand beyond just the lending itself.  Are you subject to AMT?...will you be?  Do you need to avoid a 4506?  From what source are down payment funds coming?  Are you holding title in trust?...should you?  Have you developed a cash flow priority model yet?  Have you exceeded the home equity indebtedness cap on cash out previously?  Which loan structure is most beneficial - combination (combo) loan strategy or one loan with either SFPMI/LPMI rate/SPLPMI (8+ types of mortgage insurance)?  If cashing in assets for down payment, which assets should be utilized / what holding period should be incurred to obtain an investment interest deduction should home equity deductibility be exceeded?  

Making your decision should be based on everything potentially affecting the outcome of your mortgage, financial plan and taxation.  Since 2000/2001 and the technology boom / bust, the mortgage lending industry has subsequently taken a turn.  Some aspects have changed for the better, some not.  Many consumers are not yet aware that acquring financing is not only about obtaining the lowest rate and front end fees (although that is a primary component).  Rather, it is about the lowest effective cost according to time value, structure and changes in those values over time (loan structure, asset base, property time owned etc).  We utilize complex financial and Mortgage Planning software to break apart how your dollars play out over a given period of time depending on these loan leveraging scenarios compared side by side.

There are many unforeseen circumstances that can occur at some point in a client’s life for which a reasonable level of advise on mortgage and financial planning need occur...either purchasing or refinancing.  Preparation for many financial avenues of your life should be addressed simultaneous to the home purchase or refinance i.e., estate planning, wills, divorce or marriage probability, future expenses, cash flow priority, whole life/disability/job loss insurance, conversion or re-election of the property to something other and so forth.

An expert in the field of real estate finance and mortgage loans will be centered on credit availability, product knowledge, taxation, time values and arbitrage principles and proper planning.  He or she will ask questions to help guide you, not sell you.  An expert will be current on guidelines and current loan guidelines - and why one is beneficial over another.  Mortgage programs are as diverse as they come.  It takes a knowledgable professional to help you make the right choice for yourself.  FIND THE PROFESSIONAL FIRST... AND THEN COMPARE VALUE.

CALL
JON MILLER
DIRECTLY AT:
312.738.6013 jmiller@chicagobancorp.com