Do You or Your Friends Need Financial Counseling Assistance?
If you encounter someone concerned about losing a home, meeting mortgage payments, rental issues, reverse mortgages, or if you know of someone who could benefit from receiving credit counseling before purchasing a home, you may want to familiarize yourself with the following resources:
- Idaho Housing and Finance Association, in partnership with Idaho Partners for Homebuyer Education Inc. (IPHBE), offers free Housing Counseling to consumers statewide, regardless of income. Access counseling service information at www.idamortgage.com select “Housing Counseling.”
- Gail Cunningham from CNN's excellent commentary, Avoiding the Fear and Shame of Foreclosure.
- Foreclosure isn't the only option. Let us help. Please visit the Homeownership Preservation Foundation to learn more.
- The Idaho Department of Finance has many helpful resources on their website to help you avoid Foreclosure. Please visit their Foreclosure Prevention Resources page to find out more information.
Eric is an ARCH board member and mortgage expert as owner of Commonwealth Capital Mortgage. He has served as a former advisor to Fannie Mae, past President of the California Mortgage Association and past leader in the National Mortgage Association. Here are some of Eric's tips to help you.
Navigating the mortgage maze, what to consider before refinancing:
1. Does your monthly savings justify cost of refinancing?
2. Cost of new loan -- out of pocket, add-ons, mortgage length?
3. How long will it take to recover refinancing cost?
4. Divide loan cost by monthly savings.
Credit Dos & Don'ts: High FICO score = low Interest rate
1. Know your credit score. Visit www.annualcreditreport.com www.annualcreditreport.com 1 time per year.
2. Keep balances under 30% of your High Credit Limit
3. Pay on time to avoid credit dings.
4. Don't cancel old, unused credit cards.
5. WATCH OUT if you meet or exceed your credit limit.
Foreclosure tips:
1. Consider Loan Modification if your monthly payments exceed 38% of your pre-tax income
2. Avoid bogus foreclosure counselors - must be licensed by Idaho Dept. of Finance