HOME EQUITY LOANS

Another great testimonial: My wife and I would like to thank you for all the help and patience shown to us through the entire loan process. As you know, this was our first time purchasing a home and we had very little experience. You advised us on the best loan program and found the best rate with the lowest points. As you know, we compared your programs to others out there. Golden Shores' loans were the best on the market and your service could not be beat. We want to thank you for walking us through the entire process and explaining everything in a language we could easily understand. You not only explained the paper work, you actually came to the escrow office and went through the documents with us, step by step. It was very reassuring to have you there by our side. In addition, your friendly staff was always kind and patient with our many questions during the process. If we had a question they couldn't immediately answer, they would find the answer and call us right away. You should be proud of the employees at Golden Shores Financial. This was our first home loan, but definitely not our last. As our family grows, we will use your company for all of our lending needs. Thank you again for the wonderful services you provide.

How Much House Can I Afford?
How much house you can afford depends on how much cash you can put down and how much a creditor will lend you. There are two rules of thumb: You can afford a home that's up to 2 1/2 times your annual gross income. Your monthly payments (principal and interest) should be 1/4 of your gross pay, or 1/3 of your take-home pay. The down payment and closing costs - how much cash will you need? Generally speaking, the more money you put down, the lower your mortgage. You can put as little as 3% down, depending on the loan, but you'll have a higher interest rate. Furthermore, anything less than 20% down will require you to pay Private Mortgage Insurance (PMI) which protects the lender if you can't make the payments. Also, expect to pay 3% to 6% of the loan amount in closing costs. These are fees required to close the loan including points, insurance, inspections and title fees. To save on closing costs you may ask the seller to pay some of them, in which case the lender simply adds that amount to the price of the house and you finance them with the mortgage. A lender may also ask you to have two months' mortgage payments in savings when applying for a loan.

home equity loans