I am so excited to launch Biz Blast Radio per the request of our members. Each week, I will answer your questions in 5 minutes or less during the live broadcast of Biz Blast Radio. The show airs for 15 minutes every Wednesday at 12:00 p.m. EST on Blog Talk Radio. Here’s the direct link: http://blogtalkradio.com/biz-blast-radio
During our first episode, I answered two questions and will follow-up with additional information in this post.
- Obtaining a Mortgage
- Is it necessary to have separate business/personal accounts
Be sure to listen to the rebroadcast below and then continue with the learning from my answers below.
Run time of the show: 15 minutes
The first question came in from Pauline, who asks “my husband and I are wanting to buy a house but we don’t know where to start. What would you suggest?”
During the live show, I gave Pauline some pointers on where to start and would like to continue with the conversation here. (hopefully you’ve listened to rebroadcast above so that you can follow along accordingly).
Pauline, once you’ve reviewed your credit report for errors and you have all of your financials in order, then it’s time to start interviewing mortgage brokers/bankers. If your credit score is above 800, then you may do better by going to your bank or credit union as you will typically get a better interest rate. If your credit is in the mid to high 700’s, you’re looking at a decent interest rate. Below the mid 700’s, your looking at a higher rate. Lending practices have changed considerably since the failing of financial institutions as well as Fannie Mae and Freddie Mac.
As you’re interviewing mortgage brokers, choose one that you feel comfortable with. Look for things like, are they answering your questions in a clear and understanding manner? Are they rushing you to make a decision? Do you feel comfortable with this person? Bear in mind that you will need to put your trust in this person to follow through one the biggest investment of your life. Are they capable to do so? Caution: Do not allow every mortgage broker you interview to pull your credit report as too many pulls will ding your credit score. Lenders look at this as “shopping around”.
As the mortgage broker what they typical look for in points on both the front end and back end (this is how they get paid). Many times they will not discuss what they will get on the back end because that’s between them and the lender, however it does affect your interest rate. I always shared this with my clients as I didn’t feel it was necessary to not disclose this.
Ask them to provide you with a sample closing statement for their fees so that you can get a clear understanding of what you will be spending along the home buying process. Things such as surveys, appraisals, home inspections, termite inspections, attorney’s fees, title company fees, etc.
Another word of caution, whatever you do, do not hide anything from your mortgage broker. If you’ve had a bankruptcy or judgments in the past, disclose this as they may be able to overcome these issues. If you do not disclose hiccups in your financial past, they will lose trust in you and may not be able to follow through on the loan. So be honest above all else.
Here are the three credit bureaus that I promised you during the live show:
Addresses for Credit Bureaus
P.O. Box 9556
Allen, TX 75013
P.O. Box 740241
Atlanta, GA 30374-0241
Trans Union Consumer Relations
P.O. Box 2000
Chester, PA 19022-2000
When mailing your request, make sure you send your request by certified mail w/return receipt. It’s amazing how things end up lost in their mail rooms.
General Contact Numbers
Office in TX: 1-888-397-3742
Business Line (also has option for Personal): 1-888-202-4025
Office in GA: 1-800-685-1111
Dispute Fax #: 1-888-826-0573
Office in PA: 1-800-888-4213
1-800-916-8800 (consumer relations)
On the Internet
If you need additional information, please leave it in the comments below or simply send me an email to firstname.lastname@example.org
The second question came from Jack, who asks “is it necessary to have separate accounts for business, such as checking and credit cards”. Listen to the rebroadcast (above) for my answer to Jack’s question.
I hope you enjoyed our first broadcast of Biz Blast Radio and you’ll join us every Wednesday at 12:00 p.m. EST for some more answers to your questions.
To get your questions answered live on the show, be sure to email them to email@example.com. In the meantime, join us over at our Facebook page where I will continue to answer your questions.
Until next time, be blessed!