Millennials especially are buying their first home. However, some buy a house that they need at the moment, not a house they will need in the future if they get married or want to grow their family with children. So you go on a quest for a second home that will fit your new needs for an extra bedroom for your baby girl or looking for that house that will fit your whole family and will have an amazing yard to have fun in and entertain. But the question remains in the back of your mind, “What should I do with my first house?” Normally people think about selling their first home so they can wish it bon voyage for the next person to enjoy it. However, some consider the idea of renting their first home out to others. While there are many perks to renting out a property, there are also some downfalls as well to. Here are some factors that will help you weighing the decision to sell your first home or rent it out.

Financial perks and considerations – So let’s talk about some of the perks of renting out your first house. Not only do you have another property investment, but if you rent it out, you can build a real estate invest portfolio. You can convert your first house into a rental and leave your perfect mortgage payment in tact which is more favorable if you obtained a down payment and a low mortgage interest rate.  However if you are searching for your second primary residence, it will help if you show them you have a lease in place of the current home. When you buy your second home, you need to remember that a second mortgage will increase your debt-to-income ratio and you will have to again qualify for the second mortgage.

Tax advantages – If you are looking to make your first home a rental property, make it a priority to sit and speak with an accountant to talk about the tax rules. The tax rules can be very complicated when you are renting out your property and they will help you understand them. The most substantial tax advantages to converting your first home in a rental property comes in the form of depreciating the property, the deduction of maintenance expenses, and the deduction of your mortgage insurance. Again, speak to an accountant about those situations as they will help you if it’s worth renting your first home out or selling it.

Is your home an ideal rental property? – You love your first home and you think everyone who have ever stepped foot in your home would love it as well! However, just because you love it, doesn’t mean it’s ideal for everyone! Generally speaking, a one to three bedroom house is much easier to rent out than a larger home. What would also help is if you do a general search on who are the renters are in your city and what type of properties they rent. For example, is it close to town or how is the area you are in? The broader appeal you have for renters, the more luck you will have on renting it out. If you are not sure if your property is rentable, seek the advice from a real estate professional. They will tell you as well as help you create a comprehensive strategy that is tailored to your situation and market.

Rental fees – We know that rental rates vary greatly in every way, especially if you are renting out a single family home or a condominium. Because the rate varies, it is hard to say what the perfect price to rent your property is. One of the ways you can find out is by doing research the rental market to homes that are similar like yours. You can see what the average they are being rented for and you can price your property competitively. Make sure you do your homework and faction all of costs in the consideration, including your mortgage payment and property insurance. One of the downsides, however, when you rent your property out is the costs that can come up from repairs, property damage, or late and unpaid payments from the tenant. So when you are pricing your rental property, keep in mind about those occurrences that may happen.  If this is your first time being a landlord, you can also look into a property management company that will handle all of the responsibilities you would have as a landlord. However, that will come at a price, so you might want to include that in your math and rental price.

Many experts recommend you to rent your first home to other people. To buy a second investment and to have two investments to hold on to is a great idea. However, before you go put your property on the market, think about the current housing market and the situation before you make a leap into it. If you are in a seller’s market, it could make it tough to get into your new home without cashing out the equity of your first home. Another option is to refinance your home to get some of the equity out.

Looking to buy your second home? Think you should sell your first home or rent it out? Why not give us a call at (973) 577-7008 and ask our mortgage experts to make a fool proof plan for your new home.

When you are applying for a mortgage, there will be many questions you may ask yourself during the process. One of the questions you might ask yourself is do I want a 15 year or 30-year mortgage? If you are thinking about making your mortgage last for 15 years, there are some benefits for you paying your mortgage off sooner, rather than later.

One of the benefits you will have is you will save more money. A 15-year mortgage dramatically cuts your home-loan repayment time. The faster you pay off your loan, the less interest you would need to pay, which could save you tens of thousands of dollars over the lifetime of the mortgage. Not only that, the interest rate for a 15-year mortgage often better rates than a 30-year mortgage.

Another benefit of a 15-year mortgage is you build equity in your home faster than a 30-year mortgage. If you combine a shorter mortgage term with the rising house prices, you could have exponentially grown the amount of equity you have. This is a great benefit especially if you want to refinance down the road. The risk you present to your lender when you try to refinance will be smaller due to your smaller loan-to-value ratio with the 15-year mortgage compared to a 30-year mortgage.

Are you looking to retire in the next 10 to 20 years? If so, a 15-year mortgage will be great for you, especially if you want to downsize your home when you retire. When you choose a 15-year mortgage, it allows you to reduce the strain on your cash flow in retirement. You will also be paying off the loan much quicker than a 30-year loan and might even finish paying off the loan before you retire. So when you do retire, you won’t have to pull a lot out of your savings to cover living expenses since your home

Want to learn more about a 15-year mortgage? Then give us a call at (973) 577-7008.

Mortgage Loans For Medical Professionals

It must be tough when the fate of people’s lives is literally at your hand. Or if you have to do a simple procedure like take blood from a patient and you can’t find the right vein to stick the needle in or one of your patients had an accident in their bed. Your job in general is stressful enough, so let us at RHF show you how much we appreciate you.

If your job is in the medical profession, may we show you all about our Mortgages for Champions program? If you are looking to buy a home or refinance your home, our program can help you cut some of the closing costs out, which means more money for you in the long run. Certain closing fees like the loan application fees or the underwriting fee will be waived. As the borrower, you are only responsible for the third party fees like the title and appraisals. The savings are in the thousands when you think about it.

Are you looking for the following?

• First and Second Time Buyer Programs
• 203k Streamline to add or update your home
• Purchase a single family home, or a two, three, or four family unit property, a condominium or manufactured home or mixed usage commercial property like a store with apartments attached
• Little to no down payment loans
• Competitive low rates and the flexibility in credit criteria
• Refinance up to a 97375% loan to value appraised value of your home or a cash-out refinance mortgage for up to 85% the loan value

Then let Residential Home Funding Corp. help you out with the benefits of Mortgages for Champions program on top of it. Doctors, nurses, laboratory techs, pharmacists, or if you work in the medical field, you might be qualified for this special saving on top of your mortgage. We are the experts when it comes to helping you with your home, but we may not be the best when it’s time to scrub in for surgery….

If you want to find out if you qualify or have any questions, call us at (888) 886-5829.

Minimum credit scores and maximum loan limits apply. Not all applicants qualify. RHF is an Equal Housing Lender. Certain products are not available in all states. Credit and collateral are subject to approval. This is not a commitment to lend. Program, rates, terms and conditions apply. Lender application, commitment, processing and underwriting fees waived. Borrower pays 3rd party fees including, but not limited to, title, appraisal and any points.  Licensed Mortgage Banker: NMLS# 34973

If you want to see an allegorical personification, or a person based off of human psychology, of justice, you will be presented an image of Lady Justice in front of you. She is known as the Roman goddess of Justice (as Justita) and is equivalent to Themis, a Greek goddess who is described as “[the Lady] of good counsel”. Lady Justice can also be traced as far back as the ancient Egyptians goddess Isis and Maat. She was first sculpted with her blindfold by Hans Gieng, a Renaissance sculptor, in the late 15^th century. The blindfolded Lady Justice represents a theory in law: blind justice.

Blind Justice is a theory the law should be determined guilty or not guilty with an open mind and without any bias or prejudice. The Supreme Court motto is “Equal Justice Under Law”. With this belief, the Supreme Court justice takes the following oath:

“I, [name], do solemnly swear [or affirm] that I will administer justice without respect to persons, and do equal right to the poor and to the rich, and that I will faithfully and impartially discharge and perform all the duties incumbent upon me as [title] under the Constitution and laws of the United States. So help me God.”

Some sculptors though leave her blindfold off and create her with a scale in one hand and a sword in the other. Some courthouses leave her blindfold off due to the fact she was originally not blindfolded. Others believe that the blindfold is redundant to her sword and scale and that her “maidenly form” guarantees her impartiality. The scale represents justice that is well balanced and fair while the sword represents the power and strength of justice.

Lady Justice, with or without her blindfold, is a symbol to all on how the court system tries to be fair and grant everyone with a fair trial beyond prejudice and bias. May she continue to raise her sword, make her scale balanced, and continue to be blind to any sort of bias or prejudice to this day.

It’s coming! The time we light up the tree, light the candles, and celebrate the holidays with love ones. However, the time for gift exchanges are coming as well! Did you know we can spend an average of $800 for holiday items (however, it includes décor and cards) in 2018 season? Holiday budgeting takes time, effort, and discipline. Here are some tips on how you can keep on track with your budget!

1. Decide how much you can spend – Holiday money MUST come from your disposable income. If you plan on using credit cards, prepare for a bill that could take months, or even years, to repay. Not only would it take months for you to pay it off, but think about the interest rate. That is extra money you shouldn’t have to spend! Ideally, you might have saved extra money throughout the year to prepare for this time of year. If you haven’t (which most of us here admit we didn’t), cut back on some extras like movies, going out for dinner, or coffee on the run until the holidays are over. There are some things in your budget you can trim back.
2. Budget for everything – Not only should you budget for the gifts, but budget for small things we never think about like the gas to go to the shopping malls or if we pay for parking. Consider other expenses that will occur during the holidays like decorations, food, and drink for parties, greeting cards, postage if you are mailing cards or gifts, travel expenses, holiday apparel, and charitable contributions. Those are the small things that we don’t think about when we budget for the holidays.
3. Make a complete gift list with the entire family present – This list should include everyone you are giving gifts to. Write down which family member will be receiving gifts, which one of your friends will receive a gift, as well as anyone else that should be acknowledge during the holiday season like teachers, bus drivers, the mail carriers, as well as the office gift exchange.
4. Decide on who is getting what gift – Each person you are deciding on buying a gift for, set a firm “no more than” purchase price for the gift. Also be realistic: $25 might buy you a glove, hat, and scarf made out of cotton, but $25 will not buy you a 100% cashmere glove, hat, and scarf set. However, if disposable income is tight, designate half the list as “card-only people” or who will get “homemade or bake” gifts like cookies, ornaments, or knitting or crochet projects. Sometimes homemade gifts are more welcomed especially if children make them.
5. Set on expectations with family members, especially children – If gifts are going to be minimal, start by advising the children early so they won’t build their expectations. Also now is the time to discuss reasonable and economically feasible gift-giving tactics, like grab bags, name exchanges, or skipping gifts all together.
6. Start shopping early – We all know that late November and December will be the time for door busters and sales, but that also means you have to deal with big crowds, pressure to shop for everyone, and wrapping and mailing the gifts. Sign up for e-mail alerts from retailers early! Some of them have good sales before Black Friday. Save your sanity with people pushing you around and making you forget the true meaning of the holidays.
7. Check your emotions at the store door – Gift giving deals are going to be all around us. With deals like buy 3 get 2 free, you will start overbuying gifts for people you don’t mean to buy for. Before you cash in on those deals, remind yourself what you owe: credit card debt, rent/mortgage, car payments. Is it worth not paying those debts so you can cash in on the deals?
8. Work sales and don’t let them work you – If a gift on your list is on sale, buy it. If it’s not, is it worth going over your budget for or wait till there is a better sale?
9. Keep track of spending – When it comes to budget, it is very easy to overspend with credit cards. Cash is king when it comes to being on a budget. Put your cash in an envelope. When the money is gone, it’s gone. If you use credit cards, it’s possible to go overboard and overspend which you will pay off your holiday debt over time and pay more in interest. Don’t enter the New Year handicap on your financial situation!

Do you have any other tips on how to budget for the holidays?

Mortgage Loans For Police and Law Enforcement

Thank you for your dedication to protect us!

At Mortgages For Champions, we appreciate all the hard work and effort police officers and law enforcement personnel like you do to protect us. That is why we offer two different types of home loans that are special for law personnel just like you. If you are:

• First or second time home buyer
• Looking to add a new addition or remodel your home with a 203k streamline
• Looking to purchase a single family, two to four family unit, a condominium, or a manufactured home
• Want to purchase a mixed usage commercial property like a store with apartments attached
• Looking for programs that require little to no down payments
• Want to refinance your home for up to 97.7% loan to value of the appraised value of your home
• Cash-out refinance home loan for up to 85% loan to value

Then let us help you obtain those goals. We offer the following types of programs specially for you:

1. Government Pension Loan – This loan is funded through the state’s housing and financing departments eligible to paid police officers in certain applicable states. With this loan, you would want to read the fine print as there might be some high fees or tax implications you are acquired to pay. Borrowers are responsible for all closing costs as well as the application fees. Under certain circumstances, borrowers may roll the closing costs in their home loans.
2. Mortgages for Champions – This loan program offers no bank closing costs to you. Application fees, loan processing fees, mortgage underwriting fees, mortgage commitment fees and associated commitment points are waived from your closing cost – an average of 2-3% savings on your loan! This program is for anyone who’s approved for Fannie Mae and FHA program. To qualify, you or someone in your immediate family must be active or retired and are able to provide the proper documentation.

So if you are a state trooper or a corrections and parole officer, or if you are active or retired, we have a special program for you. Consider this as a way of saying thanks for all the hard work you and your fellow officers do every day to make sure we are safe and secure. For more information, feel free to click ”Apply Now“ on the top right corner or give us a call at 1-888-763-3500.

Minimum credit scores and maximum loan limits apply. Not all applicants qualify. RHF is an Equal Housing Lender. Certain products are not available in all states. Credit and collateral are subject to approval. This is not a commitment to lend. Program, rates, terms and conditions apply. Lender application, commitment, processing and underwriting fees waived. Borrower pays 3rd party fees including, but not limited to, title, appraisal and any points.  Licensed Mortgage Banker: NMLS# 34973

There are many symbols and images out there that we recognize who they are and the meaning. When we see an image of an apple with a bite taken from it, we recognize it as the logo for Apple/Mac computers. However, when we see the snakes around a rod, we recognize that as a logo for the EMT and anything medical. However, what is the story behind the symbol, and why? And did you know there are two versions out there?

The actual symbol is called The Rod of Asclepius. The symbol takes its name from Asclepius, a Greek god who was associated with healing and the medical arts to his followers. In ancient Greece, the sick and injured slept on temple grounds where a group of non-venomous snakes slithered around. The snakes were believed to be remedial and their skin-shedding was a symbol of rebirth and renewal. The staff was viewed as a walking stick that’s associated with physicians back in the day.

However, to this day, Americans confused associating the caduceus symbol, with two snakes and wings, as the symbol of medicine instead of the Rod of Asclepius. The caduceus symbol actually represents the Greek god Hermes, who was a patron of commerce, traders, thieves, liars, and gamblers; a bit different from the Rod of Asclepius. The United States mistakenly used the caduceus symbol for medicine as a mistake in the late 19^th and early 20^th century. Walter J. Friedland, author of “The Golden Wand of Medicine”, conducted a survey in the early 1990’s and found that majority of the professional medical associates display the Rod of Asclepius while commercial medical associations were most likely to use the caduceus. Friedland’s theory is that professional organizations understand the real meaning behind the symbol while the commercial organization uses the false symbol as a concern on how well a certain symbol will be recognized by the general public.

As you can see one symbol can be confused as another and can represent the symbol for health and medicine. When you see the rod with the single snake wrapped around it, think of the Greek god Asclepius who was called upon to heal the sick and elderly with his snakes. And you also know now that the symbol with wings and two snakes are a common misinterpretation for the medical symbol.

How to reduce closing costs and finish the deal to homeownership

To obtain a mortgage, we have to pay miscellaneous fees regarding the title, land surveyor, the government for their taxes and recording the deed, and other fees. The closing costs alone can be an additional 6% of the loan. However, the closing costs are not set in stone and there are ways to reduce the cost itself.

1. Know that different areas will equal different costs – Yes, not only does the location of your property depend on the price overall, but it can affect your closing costs. Areas where taxes are more expensive will have a higher closing cost overall. It also depends on what state you live in as well. Bankrated.com did a study where they asked lenders representing each state for an estimated closing cost for a $200,000 single family home mortgage with 20% down. As of August 2016, Hawaii’s average closing cost of $2,655 was the highest while the lowest closing cost was in Pennsylvania with $1,837.
2. Know what costs you can negotiate on – Some of the fees on your closing costs are negotiable. One of the costs you can negotiate will be your homeowner’s insurance. Shop around to see how much each company will charge you, and try to see if there are deals like if you bundle your auto and other insurance together or discounts like if you are buying a new home versus an existing one. Not too sure what other costs are negotiable and which aren’t? Ask your loan officer and they will help you out.
3. Don’t pay extra points to lower your interest rate – Homebuyers have the option to pay for points in exchange of lowering your interest rate. While interest rates are low as they are now, it might be a cost not worth putting into. However, you can also refinance in the future if rates are lower than they are now.
4. Take a look at Reissue Rates – Want a discount on your homeowner’s title insurance policy? Take a look to see if you qualify for a Reissue Rate. In most states, the seller has to purchase the home and insurance policy within 10 years to qualify. Take a look at the seller’s policy to find out. If you can’t find that information, your title company can locate it and see if you qualify for a Reissue Rate or not. This task can save you hundreds on closing costs alone.
5. Ask the seller if they will pay a portion of the costs – If the seller is desperate and the market is struggling, you can ask if the seller can pay a portion of the closing cost. Trust your real estate expert and ask if it’s the right move. If the seller is motivated enough to sell you their property, you might save some money on your cost.
6. Review the closing cost forms and take a look for red flags – When you shop around comparing costs, feel free to ask questions. For example, if one lender is not disclosing a fee up front, ask why they didn’t include it. If you notice one company is charging dramatically less than another company, ask about the price difference. By reviewing and asking questions, you will know the estimate of your closing cost will be. If you are not sure what you are being charged for, ask your loan officer.

While there is no “one cost” to rule and set them all, closing costs can easily be negotiated. With the tricks and tips we’ve presented, you can channel your inner “car salesman” and negotiate to save hundreds on your closing cost.