Are closing costs unavoidable?

Closing costs for a mortgage or refinance loan are sometimes offered as an incentive in real estate transactions, but could they make or break a deal?

Admittedly, closing costs can add up. Homebuyers might pay between two and five percent of a home'€™s purchase price in closing costs, if not more. Such costs may include...

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Is a higher mortgage rate worth the extra liquidity?

When purchasing real estate, there are several financing approaches a buyer might take. 

For someone interested in a long-term commitment, it may make sense to make a sizable down payment in order to qualify for the lowest interest rates on a 20-year or even 30-year mortgage. 

For other buyers who don't want to establish permanent roots,...

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Do reverse mortgages ease retirement worries?

Some might imagine the benefits of retirement to include a more relaxed schedule and fewer debts. For example, children might be grown, a house mortgage might be paid off, and retirement accounts may have vested. Why, then, are some retired Americans exploring a reverse mortgage?

For readers unfamiliar with the term, a reverse mortgage is...

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Restrictions on jumbo mortgages may be loosening

As readers may know, Fannie Mae and Freddie Mac are stockholder-owned corporations that, according to their websites, purchase mortgage loans complying with certain guidelines. Those mortgages are then packaged into securities that investors can purchase.

In the wake of the housing crash, the underwriting guidelines of Fannie Mae and Freddie Mac remain strict. For conforming...

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Are government-guaranteed mortgages unfair?

Some commentators may question the federal government’s level of involvement in the mortgage market. At least two entities that guarantee mortgages, Fannie Mae and Freddie Mac, are government sponsored. That involvement may raise certain expectations and policy questions.

Under the current system, a government-guaranteed mortgage might have additional requirements that a borrower must meet to...

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Mortgage rates rise across the country

Worcester residents thinking about buying real property or refinancing the existing homes may be interested to learn that mortgage interest rates are migrating north from their historic lows set earlier this year. The chief financial officer for Well Fargo & Co., the nation's biggest mortgage lender, does not believe that...

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