Loan Products
No Closing Cost Loans
No Closing Cost Loans can be done as a purchase or refinance. A loan with no closing costs is achieved when the lender pays a premium in exchange for a higher interest rate. The premium is used to pay for the closing costs. The following is a comparison of a refinance with a loan balance/payoff of $350,000.00.
| No Closing Cost | Closing Costs Financed in loan amount |
|---|---|
| Loan Amount - $350,000.00 | $356,197.00 |
| Interest Rate - 6.5% | 6.125% |
| Closing Costs - 0 | $6197.50 |
| Monthly Payment - $2212.24 | $2164.29 |
In this example, the borrower would save $47.95/month by adding the closing costs and taking the lower rate of 6.125% but the savings is at a cost of $6,197.50. If you divide the savings of $47.95 into the closing costs, you will see it takes 129 payments, or 10.7 years to recover the closing cost investment. Since interest rates fluctuate up and down over time, it makes more sense to do a No Closing Cost Loan and refinance in the future when rates fall below the current level, at no expense to the borrower. In other words, when the interest rate drops 3/8 of a point below the above example, the rate would move from 6.125% to 5.75%. At that time, the No Closing Cost rate would be 6.125% which enables the borrower to refinance again adding $0 to their loan balance and lowering their payment by $85.36/month.
If the borrower had rolled the closing costs into the loan amount earlier, costing over $6,000.00, they would have to spend an additional $6,000.00 to refinance again which would add another 10 years of recovery time. The No Closing Cost Loan is the most cost effective choice.
Contact Us For A “ 2 Minute Quick Quote “ Today!
Or call us today at 770 805-0909
Note: Interest Rates shown above are for comparison only. Actual rates may be lower, higher, or the same as rates shown.
FHA LOANS
- No Minimum Credit Score
- Cash Out refinances allowed to 95% of home’s value
- Non-Occupant Co-Borrowers are allowed
- Down Payment Assistance Programs are available
- Great for First Time Homebuyers with excellent interest rates
- FHA Loans are assumable by a qualified buyer
- No Reserve requirements ( do not have to submit bank statements if you qualify )
- Alternative Credit accepted if nothing reporting on credit report ( rent, cable tv bill, car insurance, electric bill, gas bill, phone bill, etc ). These accounts must have at least a 12 month history with no 30 day late payments.
FHA loans are great for First Time Homebuyers and for homeowners in a high interest rate loan to convert to a fixed rate mortgage with excellent interest rates.
Contact Us Today for a “ 2 Minute Quick Quote “
Or call us at 770-805-0909
Jumbo - Super Jumbo Loans
Money Source Inc. has the lowest rates, starting at 5.25%*, and best terms for Jumbo - Super Jumbo Loans. Our Investors ( Banks, Mortgage Companies, REITS, Insurance Companies, Global Financial Service Companies, etc ) offer many unique programs including 100% Financing to $1.8M, Stated Income, No Doc ( Do not verify income, assets, or employment ), and Option Arms with Fixed Rates. Whether you are refinancing, purchasing a new primary residence, 2nd home, or investment property, contact us today to save thousands.
Click Here for a “ 2 Minute Quick Quote “
Or call us today at 770-805-0909/Jumbo Loan Dept
* Interest Rates are effective 10/1, 2007 and are subject to change without notice.