dbj1000

3 loans? I guess I don't understand your reply. Obviously we considered the fees associated with the loan, and the rates on the 80% and 10% portions when deciding. The "conditions under which they were issued" doesn't mean much to me, but I guess we probably considered those too.

...but what's your point, Mr. Fatbrit?

fatbrit

The broker has the chance to screw you all the way along the line. Unless you give us the full details of the loan we cannot make a valid assessment of whether the loan was or was not a good deal.

For example: she got a mortgage @ 5.5% but paid 5 discount points = crap deal; she got a mortgage @ 5.5% but paid a $3000 loan origination fee and there’s a hefty prepayment penalty for the next 5 years = crap deal

The point is to warn others that just because their broker told them they got a great deal and they can quote the interest rate, it may not be all that they could have achieved with due diligence.

dbj1000

Oh, I see! Well how is 5.25%, no points, $250 loan origination, no other fees?

Point taken, but I wasn't aware that I was submitting my mortgage for your judgement. I was simply offering my experience and some little advice.

fatbrit

You weren't. But one advantage of a board such as this is that other contributors can fill gaps that one poster might miss. Don't take it personally. I have no problem when other people fill in the gaping chasms in my advice as it leads to a better understanding of the topic in question.

dbj1000

Thanks, I won't take it personally then

...but you never did tell me if our deal was any good!

fatbrit

You weren't asking, remember! Spilt milk now, anyway!

P.S. Loan looks fine to me.

redlobster

How about answering as follows:

What is all the fuss about? All you have to do is buy the house now as a second home. You use the current job details and the UK house to get your loan. You can get an aggressive mortgage, which gives you an option of minimum payment, interest only, or interest and principal. You decide how you want to pay each month. Rates are as good if not better than normal mortgages available to US citizens

When you come over leave well enough alone for the first 24 and then consider refinancing. At that stage you are here with great scores and can pick your mortgage.

It can be a joint policy so when you are here your partners credit score is also growing nicely.

PM for more in-depth info ....Redlobster..... Old thread I know,but hey !!!

Pulaski

I think that credit history records expire after seven years, so you may find that your "live" credit history is virtually non-existant, unless you have been using US credit cards from time to time while living in the UK.

Back to the mortgage question. Yes, you can buy without a job, no it is not unusual, and no you won't pay off-the-scale charges and interest. Just like in the UK there are plenty of people who are self employed and can't show several years of reliable income, or just plain don't want to disclose their personal financial affairs to a mortgage bank. What this product is called in the US is a "Stated Income" mortgage, which basically means that you have to declare that you have, or will have, the income to pay the mortgage - and the price you pay is having to put down a 30-40% down payment, to protect the lender if you default.

BTW don't default, American banks are much less reticent about foreclosing!

redlobster

What this product is called in the US is a "Stated Income" mortgage, which basically means that you have to declare that you have, or will have, the income to pay the mortgage - and the price you pay is having to put down a 30-40% down payment, to protect the lender if you default.

25% down is achievable for a "stated income" with reasonable interest rates

Redlobster