Jan
20
Can a mortgage lender add to the principal balance during a modification?
Filed Under Personal Finance | 1 Comment
christine asked:
I recently modified my mortgage and my lender added an additional $5,000 to the principal balance. When I asked about this, I was told that they were legal fees however I paid legal fees for 4 months during the “pre mod stage” because my home was in foreclosure. My payments are lower but I am concerned about the additional balance that was added. I pulled my credit report and it indicates my balance on a $124,000 loan is $129,000 which most like has affected my credit. So my debt to income is worse now than what it was before.
Arnita
I recently modified my mortgage and my lender added an additional $5,000 to the principal balance. When I asked about this, I was told that they were legal fees however I paid legal fees for 4 months during the “pre mod stage” because my home was in foreclosure. My payments are lower but I am concerned about the additional balance that was added. I pulled my credit report and it indicates my balance on a $124,000 loan is $129,000 which most like has affected my credit. So my debt to income is worse now than what it was before.
Arnita
Jan
9
annual percentage rate help?
Filed Under Personal Finance | 1 Comment
Ian asked:
APR means annual percentage rate, for home mortgages the buyer must be informed of the APR of that includes additional costs incurred at the closing of the loan. The additional costs are best described as?
APR means annual percentage rate, for home mortgages the buyer must be informed of the APR of that includes additional costs incurred at the closing of the loan. The additional costs are best described as?
a.) pre-paid finance charges
b.) actual prorated real estate fees
c.) legal fees
d.) taxes
Im leaning towards pre-paid finance charges, but im unsure please help!
Kathern