Marco Santarelli

DECEMBER 29, 2024

Refinancing can be an effective way to lower your interest rate, reduce your monthly payments, or take cash out of your existing home equity. Calculate Potential Savings: Use a refinancing calculator to estimate savings and understand how long it would take to recoup any costs associated with refinancing (closing costs, etc.).

Mortgages

Redfin

JULY 15, 2025

This Redfin guide is here to be your checklist, breaking down the upfront costs you’ll need to cover to actually close on your home and make it yours. From inspections to closing fees, here’s what you should know (and plan for) before you get the keys. Closing costs So, what are closing costs ?

Closing costs

The Mortgage Report

JULY 15, 2025

Adding someone to the home’s title is possible without changing the loan. But refinancing means you may end up with a higher interest rate and pay closing costs again. Option 1: Addition to the title Option 2: Loan assumption Option 3: Loan modification Can you add someone to a mortgage without refinancing?

FHA 203k rehab loan

Redfin

JULY 24, 2025

However, you will almost certainly have to cover closing costs. We’ll explain how it’s possible to roll closing costs into your new loan, potentially eliminating the need for upfront cash. How to avoid paying closing costs. Equity requirements for mortgage refinancing?

Mortgages

AAOA

APRIL 14, 2025

You could use: Personal savings Investors Home equity Remember, a larger down payment often means better loan terms. Navigating Closing Costs and Prepayment Penalties Dont forget about closing costs when budgeting for your apartment building purchase. It also gives you more equity in the property from the start.

FHA loan

The Close

NOVEMBER 25, 2024

Some financing options include the following: Conventional loans Government-backed loans Home equity loans (HELOCs) or lines of credit Hard money loans Cash Reaching out to a lender is the best way to get more detailed information on these different loan options and determine which one fits your investment needs.

Hard money loan

Redfin

JULY 31, 2025

State and local programs: Cities and states may offer down payment assistance, forgivable loans, or closing cost help. Fannie Mae’s HomePath Ready Buyer Program : This offers up to 3% in closing cost assistance when purchasing a HomePath property and completing a homeownership course. Also keep an eye on equity potential.

Purchase and sale agreement

AAOA

MAY 22, 2025

You need to lookthe potential to optimize operations, increase cash flow, and build equity through forced appreciation. Inspect: Rent rolls Financial statements (T-12s) Unit-by-unit condition Leases and legal compliance Title, zoning, insurance history CapEx needs (roof, HVAC, plumbing, etc.) million, 30-unit apartment complex.

Due diligence

Redfin

MARCH 4, 2025

These could also include any home equity loans or lines of credit you may have with your lender. Preliminary title report Youll want to find your original title report. The homebuyer will still have a title company perform a preliminary title report as part of the home selling process.

Purchase and sale agreement

Redfin

JANUARY 28, 2025

However, there are other costs you need to account for in addition to the loan itself, such as: Equity payment: Youll need to pay the seller for the equity theyve already built up in the home. Fewer closing costs: Assuming a loan typically involves lower closing costs compared to obtaining a new mortgage.

Loans

Redfin

FEBRUARY 28, 2025

From the down payment to closing costs, there are a lot of expenses to consider. Whether youre buying a house in Seattle or a home in Denver – this Redfin guide will break down every major cost to help you budget effectively and avoid surprises. home price about $420,000as a benchmark for estimating these costs.

Earnest money deposit

Redfin

JULY 10, 2025

Beyond taxes: Other financial factors to consider Even if you meet the IRS timeline, you’ll want to make sure you’re financially prepared for the other costs and risks that come with an early sale. Have you built enough equity? Here are some common costs to budget for: Real estate agent commission : Typically 5%–6% of your sale price.

Equity

Redfin

JUNE 17, 2025

It can help you save on agent fees, offer the possibility of a gift of equity, and reduce or eliminate your down payment. Gift of equity : A home must be sold at fair market value , but your family member can offer a gift of equity to make it affordable. On a $400,000 sale, that could mean saving about $20,000 in closing costs.

Purchase and sale agreement

Redfin

JULY 23, 2025

Faster equity: Putting more money down means you build equity in your home more quickly. No PMI: A 20% down payment helps you avoid Private Mortgage Insurance, an added monthly cost. It represents the portion of the home’s cost not covered by the mortgage. Do you need a down payment when refinancing?

FHA loan

Marco Santarelli

MAY 3, 2025

Closing Costs: Factor in the closing costs associated with refinancing. These costs can include appraisal fees, title insurance, and other expenses. You'll need to weigh these costs against the potential savings. This is the amount of time it will take for your savings to offset the closing costs.

Debt-to-income ratio

Norada Real Estate

JUNE 7, 2025

What Will the Closing Costs Be, and What's My Break-Even Point? You'll encounter closing costs, which can typically range from 2% to 6% of your total loan amount, according to The Mortgage Reports. This is the amount of time it will take for your monthly savings to offset the upfront closing costs.

Mortgages

Redfin

JULY 30, 2025

If you’re wondering if you’re ready to buy a house , consider these three factors: Financial stability: If you have a low credit score, lots of debt, and not enough funds to cover a down payment and closing costs, you may want to wait to buy a home. This way, you’ll have a chance to build equity. What are the closing costs?

Pre-approval

The Mortgage Report

JUNE 23, 2025

Reduced up-front fees: Many wholesale lenders charge lower origination or lender fees, reducing your total closing costs. Your broker can collect multiple offers and help you understand the interest rates, fees, and closing costs different lenders charge. Do wholesale mortgages come with any fees?

FHA 203k rehab loan

Redfin

JULY 28, 2025

Table of contents What are prepaid costs when buying a home? So, which prepaid costs should you expect at closing? What should you expect to pay in prepaid costs? How to estimate prepaid costs Closing costs vs. prepaid costs What can you do to prepare?

Earnest money deposit

Redfin

JULY 29, 2025

There are plenty of upfront costs you’ll want to be aware of and we listed a few of them. Upfront costs when buying a home Here’s a breakdown of what to expect: 1. Down payment This is your biggest upfront cost—and it goes straight toward your ownership stake (equity) in the home. It’s optional but highly recommended.

Inspection

Redfin

JANUARY 28, 2025

However, theres a catch: the buyer must still qualify for the loan under the FHA’s guidelines, and any difference between the loan balance and the homes purchase price (the seller’s equity) must be covered, either through cash or secondary financing. What are the requirements to assume an FHA loan?

FHA loan

The Mortgage Report

JULY 22, 2025

Refinancing comes with closing costs , which usually cost between 2% and 5% of the loan amount. Things to consider: You’ll need everyone on the title to agree to the sale. The current market and property value will impact how much equity each party receives. Time to make a move?

FHA 203k rehab loan

Marco Santarelli

JUNE 8, 2025

To tap into home equity: A cash-out refinance allows you to borrow against the equity you've built in your home, though this should be approached with caution. You'll encounter closing costs , which can include appraisal fees, title insurance, and lender fees. How much will the refinancing closing costs be?

Mortgages

Redfin

JULY 24, 2025

It represents the portion of the home’s cost not covered by the mortgage. Establishes the buyer’s immediate equity in the property. Increased equity : A large down payment gives you more immediate ownership (equity) in your home, which can be helpful for future decisions like selling or taking out a home equity loan.

Principal

Redfin

FEBRUARY 24, 2025

Unexpected expenses: Unforeseen challenges, such as discovering hidden underground utilities, can lead to additional costs. Financing and closing costs: If you’re financing the land purchase or construction, anticipate paying 2% to 5% of the loan amount in closing costs. is $419,200. through 2025.

Debt-to-income ratio

Redfin

AUGUST 4, 2025

Instead of spending years saving up, you can start building equity in a home and stop paying rent. While it’s an added cost, it’s not a permanent one. Once you build up 20% equity in your home, you can request to have PMI removed, and it will automatically be canceled once you reach 22% equity.

VA loan

Redfin

AUGUST 5, 2025

How to handle a gift of equity A gift of equity is when someone sells a home to a family member for below market value. The seller may have to pay a gift tax if the gift of equity exceeds $15,000. Perform a title search Don’t skip out on completing a title search , even if your parents are the only ones who’ve owned the home.

Purchase and sale agreement

Redfin

MARCH 4, 2025

These properties are often priced below market value, making them attractive to buyers looking for a good deal or hoping to build equity quickly. Lenders will typically clear the title and vacate the property before selling it to you. As soon as the transaction is complete, you will receive the keys and title to the house.

Pre-approval

Marco Santarelli

JUNE 13, 2025

This decline can be beneficial for homeowners wishing to reduce their current mortgage payments, tap into equity for home improvements, or consolidate debt. Understanding Mortgage Refinancing Costs When refinancing, it’s essential to consider not only the rate change but also the costs involved. 7.32 -0.13 6.25 -0.11

Mortgages

The Close

MARCH 11, 2025

Investment property lines of credit: Dependent on an investors property equity, this credit line is suitable for property acquisition or rehabilitation. Home equity lines of credit (HELOCs): Drawing from the equity of a primary residence, this loan can fund both property purchases and renovations.

Sales

Marco Santarelli

APRIL 27, 2025

You control your equity 100% from day one. It's just you, the seller, maybe agents, and the title company. Instant Equity & Wealth: Owning outright means you have 100% equity immediately. It's crucial to think about these carefully: Opportunity Cost: This is perhaps the most significant financial consideration.

Finance

Marco Santarelli

JUNE 23, 2025

You'll build equity faster, too! Cash-Out Refinance: Access equity in your home for renovations, education, or other major expenses. Closing Costs: Refinancing comes with closing costs, which can include appraisal fees, title insurance, and origination fees, consider this cost as well.

Mortgages

Marco Santarelli

JUNE 15, 2025

Are you looking to lower your monthly payment, shorten your loan term, or tap into your home equity? Refinancing involves closing costs. If you're only planning to stay in your home for a few years, you might not recoup those costs before you move. Can you afford the closing costs?

Mortgages

Redfin

JULY 3, 2025

Renting a home before buying can be a practical option if you need time to adjust to a single income, rebuild your credit , or save for a down payment and closing costs. However, buying sooner may help you settle into a stable living situation and start building equity instead of paying rent.

Debt-to-income ratio

Marco Santarelli

JUNE 28, 2025

Taking out cash: A cash-out refinance allows you to borrow against your home equity to fund major expenses like home renovations or education. Break-even point: Calculate how long it will take you to recoup the closing costs through your monthly savings. Check your credit report and address any issues before applying.

Mortgages

Redfin

JULY 17, 2025

Savings: Decide how much each of you can contribute from your savings towards the down payment, closing costs, and moving expenses. Emergency funds: Discuss how you’ll handle unexpected costs, such as repairs or sudden loss of income. They’ll explain how your chosen form of title affects inheritance and ownership.

Purchase and sale agreement

The Mortgage Report

JULY 16, 2025

First, you’ll be applying for a whole new mortgage, which means a whole new set of closing costs. Don’t just stick with your current lender unless it offers a lower rate or closing costs than the others. Check your home’s equity. Lots of equity makes it easier to refinance, although your ex may want some of it.

FHA 203k rehab loan