|Frequently Asked Questions|
Q. How much home can I afford to purchase?
A. As a rule of thumb, you can qualify for a payment equal to 30% to 60% of your gross monthly income. This payment could include principal & interest payment, taxes, insurance ( fire & flood ) and mortgage insurance if required. In many cases we can exceed this guideline. That's why it's best to consult one of our professional loan representatives for a more accurate assessment of your "home-ability."
Q. What is pre-qualifying Vs pre-approval of my application?
A. Pre-qualifying is supplying basic information that determines if you fall within the general guidelines for a mortgage. Pre-approval is a "commitment" based on your income and or credit such that the selection of an acceptable property is all that is required to close the transaction. Pre-qualifying is a first step, while pre-approval identifies you by agents & home sellers as being a most able buyer and could assist you in your negotiations by demonstrating you are a ready & able buyer.
Q. How do I determine how much equity is in my home?
A. At Barnett Financial, you can borrow up to 100% of your homes value. If you are improving your home, we can use the enhanced value* after improvements are made. To determined the loan amount that would best suit your needs, contact a loan representative.
Q. What can home equity proceeds be used for?
A. Most borrowers use the cash they receive to payoff and consolidate high rate credit cards; make needed home repairs or improvements; for business capital or to invest; for education; etc. In short, home equity loans can be used for any purpose!
Q. I'm currently renting and feel like I'm throwing money away every month. How much cash do I need to buy a home?
A. At Barnett Financial, if you qualify you need ZERO DOLLARS DOWN and can even roll any costs into the mortgage. You'll be amazed at how much home you can afford for the same or close to what you now pay in rent.
Q. What does it mean to lock in a loan?
A. Loans are priced based on delivery. A loan that will close in 10 days will be better priced than a loan that would close in 60 or 90 days, due to the uncertainty of interest rates. We can lock in your loan and guaranty it until closing based on commitments issued by some of the largest mortgage lenders in the country. We offer free loan locks up to 45 days! Please e-mail us or contact a loan officer to discuss rate locks in conjunction with your application. Rate lock at application lets you know exactly what your rate will be at closing!
Q. I'm holding a mortgage from a property I sold recently. I'm tired of collecting monthly checks. Can I sell the mortgage for cash?
A. YES! We can sell your mortgage for cash on properties in 50 states! Why collect payments and have hassles when your lump sum cash can be working for you! Go to mortgage purchases for a no obligation appraisal of what your mortgage note is worth today!
Q. I own my own business and own several commercial properties. I'd like to refinance and get some cash out, but I don't want to release my tax returns and go through a drawn out application process. Can you help me?
A. We have commercial mortgage loans from $10,000.00 to $5 million or more that only require equity in the property! While banks can take 2-3 months and have large up front costs, we can approve and close your commercial loan in days or weeks, not months! Call us and let us personally tailor a loan that meets your needs without the "bank hassle!"
Q. Why use Barnett Financial instead of a bank?
A. We at Barnett Financial know how to present your information accurately, precisely, and in a format that lenders approve! When it comes to handling your transaction whether it be a $10,000.00 equity loan, $150,000.00 home purchase or $4,000,000.00 commercial loan we have experienced, seasoned loan officers, not "manager trainees" to guide your loan to a smooth closing.
Q. How long does it take, from application until closing?
A. A home equity loan or mortgage purchase... 4-5 working days; refinance or purchase of a home typically... 14-21 days; commercial loans anywhere from 21-30 days. Of course exceptions can be made... serving our customers needs is our top priority. We have closed mortgage loans the same day as applied for! Call right away if you need to close right away! We deliver!
Q. What is an application fee and do all lenders charge one?
A. Some lenders charge a fee before they take an application, and keep it whether they approve you or not! We never charge a fee to apply and we welcome your inquiry anytime- 24/7, 365!
* Subject to underwriting guidelines.