The vast majority of mortgage lenders consider a manufactured home the same as a conventionally stick-built home and they are willing to provide home loans to qualified individuals. This is based on the fact that the value of a factory built home matches that of a stick-built house and can be used as collateral to guarantee the loan. This of course means if the loan goes into default the lender can begin and execute foreclosure proceedings on the home in question.
There are quite a few different financial institutions that provide mortgage services. To get the best home loan for your situation it is important to shop around and see which type will give you the best deal in terms of interest rate, closing costs, and service. Here are some of the more well known types of institutions in the mortgage industry:
Most of these different types of lender have some sort of online presence. Meaning you can get the process started without ever leaving home but most banks, credit unions, and mortgage brokers will require you to visit one of their offices to fill out and sign the necessary paper work.
On the other hand lenders who specialize in online home loans do not require you to pay them a visit because most of them simply do not have branch offices. They are able to conduct and arrange online loans in a fast and efficient manner often at a significant cost savings in fees and closing costs.
There are two basic types of manufactured home loans; the fixed rate mortgage and the ARM (Adjustable Rate Mortgage). A fixed rate locks in a specific interest rate for the life of the loan keeping the monthly payment the same as well.
An ARM is a completely different animal and needs to be considered carefully. The interest normally starts lower then a fixed rate mortgage but at its designated adjustment period that rate is dependent on whatever the current rate is. This means it can go up or down depending on current market conditions. With rates currently low chances are they will trend upward meaning a monthly payment that can be hundreds of dollars more putting serious pressure on anyone’s budget.
For home buyers planning on staying in their home for 5 or more years a fixed rate mortgage is the best choice. An ARM has too many financial dangers as a long term financing option.
For all intents and purposes manufactured home loans are processed and closed the same as any other mortgage. This gives the new factory built home buyer options to get loan terms that work best for their situation.
With recession looming large and joblessness staring in our faces, competition has increased among the auto loan financing companies, providing the most favorable terms to the auto buyers of the day. It is now a buyer’s market and you would do well to do due diligence on the Internet and outside, to draw your pound of flesh and get the best finance deal possible. You can obtain a car loan either online or through a local vehicle dealer.
Once you have decided on the type of vehicle you want to buy, visit the dealer concerned and ask him about the incentive programs for that vehicle. At the same time, browse the Internet for a reliable idea of the prices for purposes of comparison. After this, visit a financial institution that specializes in truck loans and discuss matters threadbare with the concerned loan officer. Some experts opine that at any cost you should stay away from the traditional banks because of their never-ending hidden fees.
For an auto loan, your best option may yet be the credit unions that have decent options that are generally more competitive than the banks, but make sure that they are under the authentic jurisdiction of the credit bureau. Otherwise, it may not help you to enhance your credit.
You may also consider the interesting choice of going in for a pre-owned vehicle that is factory certified and available in the yards of the franchises of the premier manufacturers like Toyota, General Motors, Ford, Honda and the like. Here you could avail loans at special interest rates, and enjoy the honest satisfaction of buying a vehicle that has undergone a thorough factory check up. Moreover, you get a warranty and no initial depreciation. The interest rates will definitely work out cheaper than the banks.
If you have a credit score of around 700, you could avail a loan at an interest of less than 7% and it will rise with diminishing credit score. Most certified programs would start with interest rates of about 3.9% and the approximate current interest rates for new cars from established manufacturers is as low as about 5.9%.
Some people want two auto loans at the same time. If you want to buy your adult son a car, you could get him a certified pre-owned car from one of the brand franchises, and while he is building up his credit rating, you could apply for your second auto loan that will definitely entail a higher initial deposit and a credit score rating of around 700.
If you have not-so-stellar credit, the you may have to get financing for a new or used car through the dealership. This isn’t so bad, and you can still end up with a decent deal. Hear me out and I’ll explain why. First, you’ll have to accept the fact that you are going to be paying a high interest rate. A bankruptcy may have your loan at a 10 – 16% interest rate.
So how can you save money with this scenario? Ideally, you’ll be able to afford a down payment. But even if you can’t, just make sure the loan is not “front loaded.” A front loaded loan has all the interest in the first several payments of the loan, so paying it off early is of no use. So long as it’s a “fixed rate” loan, you’re fine. Because now you can just make extra payments; you can ‘double up’ on your monthly payments and end up not much worse than if you got a low interest loan through your bank.
A word of caution here. Don’t fall victim to the following scam. Most car dealers are honest, hard-working folks, but a few dealerships out there have given car dealers the reputation of, well, “car salesman.”
Here’s how it works: Because they want to make the sale, they’ll offer you a competitive interest rate. After signing the papers, trading in your old car and driving home, you get a call from he dealership – a couple days or more later. A clause in the contract you signed says the interest rate is based on “loan approval.” So they inform you that the bank didn’t approve your loan at the low interest rate. But since you’ve gotten used to the car and it would be embarrassing to return it, you accept the higher payments.
If you are wondering why they would sell you the car at 5% APR if they knew you had bad credit, the simple reason is to sell the car.
Ideally, you could avoid any and all dealer car financing problems by getting your bank or other financial institution to approve a loan. Even if you do have bad credit, go through your own bank first. It’s unlikely they will loan you money at any rate, but if they do, you’re better off with a high interest rate loan from the bank than from the dealership. For one thing, you’ll be able to easily refinance this loan for a lower interest rate after a year. But refinancing a bad credit car loan through the dealership could be asking for (more) trouble.
There is another ‘scam’ that corrupt dealerships have been known to pull on people who have bad credit. And that is they will take a Factory-to-Consumer Rebate and apply it to the price of the car. This makes them appear to you like they’re doing you a favor by getting you a lower price on the car. The reality is different, however: Because the Factory-to-Consumer Rebate is for YOU, so that you can apply it towards your down payment.
Don’t let the dealer take this from you and use it as a negotiating tool on the car. The Factory-to-Consumer Rebate is for you–to take as cash–or to apply it to your down payment.
And as always, remember that when you are negotiating with a car dealer – even the honest ones (which the large majority are) – remember to “haggle” (negotiate) the price of the car – NOT the monthly payments! Even if you are crawling to them for help because you have bad credit – such as a bankruptcy, don’t let them get you to start talking monthly payments until you’ve already gotten the price of the car ironed out.
If you are asked how you will be paying for the car, answer, “I’m not sure yet.” (You don’t want them to know you will or will not be paying cash, financing it, or whatever until the price of the car has been negotiated.)
If your car insurance is due for renewal and you are considering buying another policy then this article will provide you with important facts that you should know about. Car insurance policies are getting increasingly expensive and you should do all that you can to reduce your costs. How much you have to pay for your car insurance is dictated by a variety of factors as they apply to you and your vehicle.
In this article we will examine coverage limits, your age, gender and marital status, your location and insuring other household members. All of these factors will have a great influence on how much you will have to pay for your policy.
Coverage limits are generally dictated by the price that you are willing to pay for your insurance. A higher level of coverage will generally result in higher premiums. The best way to find a good value policy is to comparison shop. Nowadays it is generally accepted that the best way to do this is by using a car insurance comparison website.
Your age, gender and marital status will have a great effect on the auto insurance rates that you are offered. Insurers rate drivers using a variety of criteria, if you are a young single male driver you will usually have to pay higher rates. If you are a middle-aged female married driver then your rates will be lower. Insurers calculate the best car insurance rates for you by comparing levels of risk. Those groups which are statistically more likely to be involved in an accident have to pay correspondingly higher rates.
Location plays an important part in deciding how much your premiums will cost. Drivers who live in an urban environment will usually pay more than those from a rural area. This is because drivers who live in cities and heavily populated areas are more likely to be involved in an accident, or to have their car stolen or vandalized. Insurers generally offer better rates if you’re able to demonstrate that you keep your vehicle in a garage at night. You may also be able to improve the security arrangements of your automobile by fitting an alarm, immobilizer and steering wheel lock.
Insuring other household members will have an influence on the cost of your policy and the best car insurance rates that you offered. If you have teenage family members living with you and they are added to your policy, then your costs will increase. This may still work out cheaper than if your teenage driver were to have a separate policy in their own name.
In conclusion, there are a variety of different factors which can affect your ability to be offered the best insurance rates. Some of these are coverage limits, how old you are, whether you are male or female and whether you are married or single. Your rates will also be affected by the area where you live and whether other household members are included in your policy.