First Time Homebuyers | Should You Buy Now Or Wait For Mortgage Rates To Drop?

➡️ Schedule a FREE Personalized Mortgage Consultation 📞 with a Kelly Zitlow Group team member today! ☎️ bit.ly/3wERfRV
We lend in 45 states + Washington D.C. Our mission is to provide honest, well-communicated, and knowledge-based lending experiences to all those we serve. Let's chat and see if we can help you achieve the dream of homeownership. ☎️ bit.ly/3wERfRV ☎️
🌎 Learn more about us at: www.kellyzitlowgroup.com
➡️ ✔️ SUBSCRIBE TO THE MORTGAGE “HOW DO I” CZcams CHANNEL: bit.ly/SubscribeToMortgageHowDoI
MORE VIDEOS
📺 Videos for Home Buyers: bit.ly/2OnxUCa
📺 Videos For Real Estate Agents: bit.ly/3wiJZcO
KELLY ZITLOW, NMLS 164330
Sr. Mortgage Advisor
EVP, Sales & Marketing
[e-mail]
www.kellyzitlowgroup.com
480.725.0150
Kelly Zitlow is a Public Speaker, Sr. Mortgage Advisor, and Executive Vice President of Sales & Marketing with Cornerstone Home Lending, a Division of Cornerstone Capital Bank, SSB. All information presented is for educational purposes only and is used to help you as the viewer in your home buying or selling process.
Cornerstone Home Lending, a Division of Cornerstone Capital Bank, SSB. Cornerstone Capital Bank, SSB. Member FDIC. NMLS ID# 2258 | Equal Housing Lender
Loan Production Office:
14635 N Kierland Blvd Ste 140, Scottsdale, AZ 85254
#mortgage #buyingahouse #firsttimehomebuyer

[@joea.2433]

So it's ok to get into a balloon loan right now.

[@MortgageHowDoI]

A temporary buy down differs from a balloon loan. With a temporary buy down, a borrower is qualifying at the note rate and the P&I payment will never be higher than that based on the note rate. The temporary part comes into play in that the payment is less for the duration of the temporary buy down. Meaning if the note rate is 7% on a 30 year fixed rate, and a borrower did a 1 year temporary buy down, the payment would be based on 6% (1 point less than the note rate) for the first 12 months of the loan. Thereafter, the payment increases based on the note rate which was 7% in this example. A balloon loan is different as once the balloon period ends the full loan balance is due and payable. For example, if one borrows $100,000 that has a 5-year balloon loan, at the end of the 5 years the full balance due would need to be refinanced into a new loan or paid in full. Hope that helps clarify the differences.