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| Justin Ballard - Loan Officer |
| Michigan's Home for FHA Insured Mortgages |
| Dear Justin, I bought a house back in November of 2005. I went with a very popular mortgage option, a sub-prime, adjustable-rate mortgage. For over a year, I was paying 5.5%, which I thought was great for my 30 year loan. However, my two years are up soon, and my mortgage is going to adjust, probably increasing by 2% or more. What should I do? Borrower Michigan |
| Dear Borrower, Your answer is simple: Refinance with an FHA Loan! Assuming your mortgage does not exceed the FHA limits for each county, you can typically refinance into a low-rate FHA insured loan. These loans can go typically to as low (or lower) 6.5%. This rate is also fixed. That means no more fluctuation or panic when the rates go up again. Also, since FHA Loans are insured by the FHA (an offshoot of HUD), the lenders will often give the borrower a more favorable rate. Also, use a mortgage broker to get the lowest "wholesale rates" without all the overhead and penalty points that large mortgage companies and bank may charge. |
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| Mortgage Question of the Week: |
| What to do with my Adjustable Rate Mortgage? |
| Justin A. Ballard 4601 W. Saginaw Hwy, Suite J Lansing, MI 48917 (517) 321-3349 x 309 Email Me! |
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