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Why don't I just go to the bank directly? |
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One of the services we provide you with, is finding the perfect loan program with the most competitive pricing custom tailored to your individual situation. A bank may try to shoehorn you into the few programs that they have available, and their pricing often is much higher than what you would find from Arrona Financial. We deal with the wholesale market, so we have reduced rates and are exposed to a variety of products, many which typical banks do not offer. Bottom line, we can at the very least, get you what the others can get you with improved pricing, provide you with more options, and offer you priceless advice. Plus you are working with a true mortgage professional that is passionate about helping you. |
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What is a Certified Mortgage Planner®? |
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Certified Mortgage Planners® are more than loan officers. Certified Mortgage Planners® are trained, certified and qualified advisors who help homeowners become debt free, build wealth and reach their life dreams more quickly by implementing intelligent mortgage, cash flow and home equity strategies. CMPs® help homeowners use their mortgages to minimize interest expense, maximize savings and build wealth in the fastest and safest way possible. By managing their clients’ mortgages over the long term, rather than focusing on the one-time sale of a mortgage loan, Certified Mortgage Planners® help their clients make smart choices in managing and optimizing their home equity. By assisting clients in reworking their debt and equity structure, CMPs® ultimately help their clients reach their financial goals sooner and with greater security. |
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Why shouldn't I put down as much money as possible? |
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Big mortgages mean small down payments. Small down payments mean you retain lots of cash that you can then invest. Small mortgages are the opposite: Small mortgages require big down payments, which leave you with little or no cash left over for investing. What we can show you during our initial consultation is that keeping your money in the proper investments can create you a lot more wealth over time. Would you rather be debt free and not wealthy, or wealthy and have preferred (tax-advantaged) debt. Do you think that Bill Gates cares if he has a mortgage? |
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How is an index and margin used in an ARM? |
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An index is an economic indicator that lenders use to set the interest rate for an ARM. Generally the interest rate that you pay is a combination of the index rate and a pre-specified margin. Three commonly used indices are the One-Year Treasury Bill, the Cost of Funds of the 11th District Federal Home Loan Bank (COFI), and the London InterBank Offering Rate (LIBOR). Each of these indexes have there advantages during various economic times. Contact us to find out which is the best index to be in at the time. We have our finger on the pulse of economic activity recieving hourly updates so we can make the most informed decisions. No one else has this knowledge or dedication to understanding of the markets. |
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How do I know which type of mortgage is best for me? |
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There is no simple formula to determine the type of mortgage that is best for you. This choice depends on a number of factors, including your current financial picture and how long you intend to keep your house. Arrona Financial can help you evaluate your choices and help you make the most appropriate decision.
We can sit down with you and help you plan your future. We can put your dollars to work for you to help you create wealth. Let us show you how to safeguard your equity, make it liquid and to have it earn a rate of return. |
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What does my mortgage payment include? |
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For most homeowners, the monthly mortgage payments include three separate parts:
Principal: Repayment on the amount borrowed
Interest: Payment to the lender for the amount borrowed
Taxes & Insurance: Monthly payments are normally made into a special escrow account for items like hazard insurance and property taxes. This feature is optional, in which case the fees will be paid by you directly to the County Tax Assessor and property insurance company.
We have many programs that allow you to make the interest only payment, and even defer interest by making a payment lesser than the interest only payment. Contact us for more details and to find out which is best for you. |
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How much cash will I need to purchase a home? |
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The amount of cash that is necessary depends on a number of items. Generally speaking, though, you will need to supply:
Earnest Money: The deposit that is supplied when you make an offer on the house
Down Payment: A percentage of the cost of the home that is due at settlement
Closing Costs: Costs associated with processing paperwork to purchase or refinance a house
We work with sales professionals that are experts at writing purchase contracts that can help to cover many of the costs affilitated with buying a home. Contact us for a referral to a Real Estate Sales agent that we trust referring you to. |
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How can you help me create wealth with my mortgage? |
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We can help you create wealth in many ways. We implement the concepts of author of Missed Fortune 101 Douglas Andrew's to maximize wealth.
The basic concept is to separate the equity from your house for 3 reasons. For safety (the equity in your house is not safe), liquidity (the equity in your house is not liquid), and rate of return (the equity in your house does not earn a rate of return).
With the proper loan program, we can further enhance your wealth through wealth creation strategies.
For more information on this, we can send you out additional information. |
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How do I know how much house I can afford? |
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Generally speaking, you can purchase a home with a value of 6 to 7 times your annual household income. However, the amount that you can borrow will also depend upon your employment history, credit history, current savings and debts, and the amount of down payment you are willing to make. You may also be able to take advantage of special loan programs for first time buyers to purchase a home with a higher value. Give us a call, and we can help you determine exactly how much you can afford. |
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What is the difference between a fixed-rate loan and an adjustable-rate loan? |
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With a fixed-rate mortgage, the interest rate stays the same during the life of the loan. With an adjustable-rate mortgage (ARM), the interest changes periodically, typically in relation to an index. While the monthly payments that you make with a fixed-rate mortgage are relatively stable, payments on an ARM loan will likely change. There are advantages and disadvantages to each type of mortgage, and the best way to select a loan product is by talking to us.
We find it most advantageous to structure the loan to your lifestyle. Generally a loan with a shorter fixed period of time has a lower interest rate. We work to optimize your payment and tax to fit your needs. |
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What is going on in the market today? |
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Chaos, pure chaos. No not really, but it may seem that way. Please contact us to discuss further. We would be more than happy to give you a market update. |
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Why monkeys? |
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We like monkeys. Be rest assured that we do not monkey around. No monkey business here. |
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Do I pay more for your mortgage planning services? |
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Nope. Our mortgage planning advice is pure value that we ad to our list of services at no additional cost. We pride ourselves as being true mortgage professionals, and besides having some of the best rates in the Milky Way Galaxy, we also have the best advice. Why would you want anything less? |
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When is a good time to take action and buy or refinance? |
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Now! House prices are low, rates are low, and the loan program you had your eye on may not be around for ever. If you need to look at properties we can recommend you to an excellent Realtor. |
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