When you first take out a mortgage, your credit score will probably drop because you’ve taken on a very large amount of debt. However, if you continue to make regular, on-time payments you’ll probably see this score get back up to its pre-mortgage levels in six months to a year.

Mortgages can also help your credit score by establishing you as a trusted borrower. If you make the required payments every month, lenders will be more willing to let you borrow in the future than someone without any credit history.

If you don’t make your mortgage payments on-time, however, your credit score will decline. If the bank ends up foreclosing on the property or opting for a short sale, your score will take a substantial hit as well.

If you realize that you can’t afford to keep up your mortgage, it’s best to keep on making regular payments while you negotiate with a lender. Even though you may end up in a foreclosure or short sale, the impact on your score won’t be quite as bad if you have a solid payment history.

To learn more about Texas mortgages and how your mortgage may affect your credit score, contact Georgetown Mortgage Bank today.

The post How Will a Mortgage Affect My Credit Score? appeared first on Georgetown Mortgage.

What is the interest rate?
The interest rate will determine how much you pay over the life of the loan and makes a good starting place for comparing loans offered by different lenders.

Are there any points?
Lenders may offer you lower rates if you agree to pay discount points. One point is equal to one percent of the principal. On a $200,000 home, a point would be $2,000.

How much are closing costs?
Closing costs and fees can add up quickly. Your lender is required by law to send you a good faith estimate of their closing costs within three days of your application. Read the estimate carefully and make sure you understand what you’re being charged for.

How do I lock in the interest rate?
Lenders will typically allow you to lock in at a certain interest rate while your mortgage application is processed. This will protect you if rates go up during the time that it takes to get your application approved. Find out how much it will cost to lock in and how long the lock-in will last.

What documents do I need to provide?
All lenders will ask you for loads of documentation before you’re approved. It’s better to know up-front what you’ll need so that you can prepare in advance and expedite the application process.

Can I pay off the mortgage early?
More specifically you want to find out if you’ll be charged any fees for paying off your mortgage early.

How long will it take to close the loan?
Every lender will require some time to review your documentation and the loan you’re asking for. If you’re looking at waiting six to eight weeks, however, you may want to reconsider lenders or find out what kinds of things you can do to make the process run smoother.

At Georgetown Mortgage we are committed to providing you with the right mortgage to fit your unique situation. Contact us today to find out more about our Texas home loan options.

The post 7 Questions to Ask Your Mortgage Lender appeared first on Georgetown Mortgage.

All four schools which made it to the Final Four had an impressive showing in terms of home price. The St. Mary Gaels (average home price: $1,071,735) and the Miami Hurricanes (average home price: $1,736,974) squared off in a heated matchup which ended with Miami advancing to the finals.

However, not even Coral Gables, the hometown of Miami University, could keep up with Villanova, PA. After sweeping Cambridge, MA in the semis, Villanova clinched the entire tournament with a home price of $2,407,805. The Wildcats benefited substantially from few key players including 770 Godfrey Rd., on the market for a mere $25 million, and 265 Abrahams Ln., with an asking price of $7,695,000.

We hope you had some fun with our March Madness brackets and get to watch some real March Madness in the coming weeks.

To see our first four March Madness brackets, click on the links below.

• East
• Midwest

If you're looking for a Texas home loan (sorry 770 Godfrey Rd.) contact Georgetown Mortgage Bank today.

The post March Madness by Average Home Price: The Final Four appeared first on Georgetown Mortgage.

Not quite as competitive as some of the other brackets, the Midwest division was dominated by St. Mary's College in California. St. Mary's is located in Moraga, California, a Bay Area suburb located 10 miles east of Oakland and 20 miles east of San Francisco. As of the 2000 census, Moraga was the 79th wealthiest town in the United States with a population over 10,000.

13 years later, it doesn't look like much has changed. With an average home price of $1,071,735, Moraga crushed Ft. Collins, Colorado ($369,771) in the Elite Eight round and will make it's way to the Final Four.

Check back later today for the completion of our NCAA bracket as well as an in-depth analysis the championship game.

The post March Madness by Average Home Price: Midwest Bracket appeared first on Georgetown Mortgage.

While Miami easily reigned supreme, the division did have a few exciting matchups, including an early meeting between the Colorado Buffaloes and the Hurricanes. With an average home price of $1,736,974, Coral Gables, the hometown of the University of Miami, swept Boulder, one of its top competitors, with an average home price of $828,411.

Miami's largest challenge came in the final round when it went head to head against the University of California at Berkeley. With an average home price of $1,060,222 Berkeley dominated it's early matchups including an exciting face-off with LIU Brooklyn ($688,877) in the Sweet Sixteen round. In the Elite Eight final, however, not even California could keep up with Coral Gables. The Hurricanes easily beat out the Golden Bears and will continue on to the Final Four.

Looking for a home loan in Texas? Contact Georgetown Mortgage Bank today.

The post March Madness by Average Home Price: East Bracket appeared first on Georgetown Mortgage.

The biggest contest of this division didn't really come in the Elite Eight round, but in the Sweet Sixteen matchup between Harvard University and Iona College. Situated in picturesque New Rochelle, NY, Iona College had an average home price of $526,550.

However, New Rochelle was no match for Cambridge, MA, the hometown of Harvard. With its eclectic collection of bookstores, coffeehouses and arthouse cinemas, Cambridge rose to the occasion with an average home price of $898,417.

In the Elite Eight round, Harvard easily beat out Boise State which rose to the top of its bracket with an average home price of $290,657.

Looking to refinance your home to a lower rate? Contact Georgetown Mortgage Bank today,.

The post March Madness by Average Home Price: West Bracket appeared first on Georgetown Mortgage.

While we won't be making any official tournament predictions, we did think we'd have a little fun this week with the March Madness brackets. Instead of filling out the brackets with the team we think will win on the court, we decided to see which college town would win if we based the brackets on average home price.

The average prices that we used were pulled from Trulia.com and are current as of the first full week in March. Below is the South bracket of the tournament.

Based on average home prices for the town, Villanova was an easy winner. The affluent Philadelphia suburb had an average home price of $2,407,805 at the beginning of March. In second place, Los Angeles had an average home price of $1,205,598.

So Villanova continues onto the final four and will face the winner of the East bracket.

Looking for a home loan in Texas? Contact Georgetown Mortgage Bank today to learn about your mortgage options.

The post March Madness by Average Home Price: South Bracket appeared first on Georgetown Mortgage.

Credit Card Debt. Other forms of debt such as credit cards come with higher interest rates than your mortgage. It might be wise to pay these off first before you worry about your home loan.

Emergency Savings. You never know what life will throw at you and it’s always wise to have a cash cushion in case you get laid-off or injured.

Retirement Plans. If you have extra money, consider saving for retirement by contributing the maximum amount to your 401(k) and IRA. Like mortgage interest payments, contributions to retirement accounts are tax-exempt.

College Savings. Got kids? Fund a college savings program such as a 529 plan. In states with an income tax, college savings are tax-exempt.

Refinancing. If you’re paying a higher rate from a few years ago, you might spend your extra cash refinancing to one of the lower rates on today’s market. In the long run, it could end up saving you big, particularly if you’re going to hold onto the mortgage for a long time.

Other Investments. At the moment, mortgage rates are incredibly low (around 3.7 percent). Finding an investment opportunity that pays more than 3.7 percent in interest could end up earning you more money than you can save by paying off a mortgage early.

If you’ve taken care of these other opportunities and don’t feel comfortable investing your money into higher earning funds, then it’s time to start thinking about paying down your mortgage early. To learn more about the advantages and disadvantages of paying down your mortgage early contact Georgetown Mortgage Bank today.

The post Paying Off Your Mortgage Early appeared first on Georgetown Mortgage.

• How old is the roof? Replacing or repairing a roof could cost you anywhere from $2,000 to $12,000. It’s best to know beforehand if it’s going to be a problem.
• Do the faucets work? In general, you should try and get as much information as you can about the plumbing system. If it’s old, you might have to replace it. If there’s a leak you’ll have to pay someone to repair it.
• How much are utilities? The utility bill is a cost that many homebuyers don’t think about until they have to pay it. Knowing how much you’re water, gas and electric will be in advance could help you identify some potential problems with the home. For instance, an extreme heating bill could mean that the home isn’t well insulated.
• Are there any problems with the home? Texas mandates that home sellers disclose problems with the property in a seller’s disclosure form. However, it could save you some time if you ask about problems up front.

To learn more about home buying, Texas home loans and the sorts of questions that buyers should ask before making an offer, contact Georgetown Mortgage Bank today.

The post Questions to Ask Before Buying: Condition of the Home appeared first on Georgetown Mortgage.

Time is perhaps the largest risk involved with a short sale. Unlike a standard home sale between a seller and a buyer, there’s a third party involved in the short sale process: the lender. Not only do you have to agree on a price with a seller, but also whoever holds their mortgage.

Getting the bank’s approval can take from three to six months, during which you can’t be sure if you’re going to get the house or not. If the sale falls through, you’ve ended up wasting a lot of time that you could’ve spent searching for other homes. In addition, if you have to negotiate a new price, you’ll also have to negotiate a new interest rate which could be higher than before.

Many listing agents will also require that you put down a deposit on the home or perform an inspection prior to the lender’s approval. This essentially locks you into the home and if the lender doesn’t agree on the sale, you could lose a substantial chunk of change.

Lastly, buyers need to be wary of the potential for poor property conditions in a short sale. The home is sold “as is” and most sellers don’t have the money (or motivation) to pay for small repair jobs. What you see is what you get, and fixing up the property could cost you as much as you saved on the sale to begin with.

To learn more about how to obtain a Texas home loan for a short sale, contact Georgetown Mortgage Bank today.

The post Risks of Buying a Short Sale appeared first on Georgetown Mortgage.