What Is an FHA Mortgage Loan? An FHA Loan is a mortgage loan insured by the Federal Housing Administration (FHA). The FHA does not provide the loan; rather, it insures the loan for the lender. If the borrower defaults, the lender can seek recourse from the FHA. This lowers the lender’s risk and... 

What Are Mortgage Loan Closing Costs? Mortgage closing costs are the payments you make when you finalize your purchase agreement. Costs vary by state and even by community. Some costs are determined by law, others by the lender, and some are simply customary in a particular region. But there are some... 

Choosing Rates vs. Points in a Mortgage Loan Among the many decisions you will have to make when choosing a mortgage loan is whether or not to pay points. While a very high credit rating may give you the option of a low rate with no points, some borrowers will elect to pay points to reduce their interest... 

Choosing a Mortgage Loan Choosing a mortgage loan is not as easy as simply finding the lowest interest rate. There are many other factors that will determine which mortgage is right for you. Your financial picture, including your income, savings, cash reserves, and debt-to-cash ratio will determine how... 

What Is APR for Mortgage Loans? “APR” stands for annual percentage rate. The APR is a much better indicator than just the interest rate of the actual cost of a mortgage loan, as it estimates what you’ll pay over the course of an entire year. The Federal Truth in Lending law requires...