alking about mortgage loans

1st Mortgages and 2nd Mortgages

When we are talking about mortgage loans, there are two different types, they are a 1^st mortgage loan and there is a 2^nd mortgage loan, which is referred to as a home equity loan. It is impossible for someone to take out a home equity loan if they do not own – or – are in the process of paying off their home.

The first mortgage is the initial loan that you took out to purchase your home. If you have no money – or lack thereof and want to get a house, there are ways that you can get approved for a 1^st time mortgage. Don’t worry, there are people out there that want to help you get a home, that way you are happy, and the lender is happy. You will be required in most cases to make a down payment though, maybe in the 10% and up area, the more you put down the lower your interest rate will be. A good company to go through for first time buyers would be Fannie Mae, they are there to help you, especially with the homes that are not extremely expensive.

If someone is wanting to get another loan for something, well, then they have the collateral of their home that they are able to put up. Basically, 2^ndmortgage, or home equity loan is just that, you are using your house as the loan, and if you cannot pay the loan back, you lose your house. Sounds scary don’t it? It doesn’t have to be if you take the necessary precautions and you go through every single scenario, such as if you lose your job or get sick – are you still going to be able to make those payments on time?

There are many factors that will consider how much you will be able to take out of the loan, like how much you currently owe on the house – and how much equity you have in your home, meaning the value of your home. So if your home is worth say 65,000 dollars, some lenders might lend you around 50,000, and there are some cases where lenders will give you the full 100%.

So those are the two types of house mortgages, but there is more, one other one that is great if you can apply for it – the home equity plus refinance.This is where you take the rest of the money that you owe on the 1^stmortgage and combine it with the home equity loan, and you are left with making only one payment. This can be very beneficial for interest rates, just think of it as getting a brand new fresh cut loan, and you have a lot of money to play around with too.

Govt bows, to consult all parties on women's bill!!!

New Delhi: The government on Thursday tried to seek consensus over the women’s reservation bill, saying it would consult all parties on the legislation and find a solution to the suspension of seven Rajya Sabha MPs

Prime Minister Manmohan Singh was ready to consult all parties for a consensus on the women's reservation bill before it is tabled in the Lok Sabha, said Finance Minister Pranab Mukherjee.

"There is no harm in calling an all party meeting. The prime minister has pointed out that we can consult all parties (to arrive at a consensus) and for exploring ideas and possibilities to narrow down the differences," said Mukherjee, who is Leader of the Lok Sabha.

He was replying to a short discussion in the Lok Sabha over the government's flagship bill that seeks to reserve a third of all legislative seats in India for women.

Parliamentary Affairs Minister P K Bansal said he expects a “resolution” on the suspension of MPs in a few hours. The seven MPs are scheduled to meet Rajya Sabha Chairman Hamid Ansari this evening.

• BJP split over women's bill, Advani to meet MPs

• Lalu to Speaker: Listen to us and we'll behave

The bill, which is vociferously opposed by the parties with mass base mainly in the Hindi heartland of north India, was cleared by the Rajya Sabha Tuesday. It is expected to be introduced in the Lok Sabha in coming days.

The legislation has led to frequent disruptions of the two houses of parliament. On Thursday as well, both houses were adjourned amid uproar over the bill.

Progress over the bill appeared in sight afterSamajwadi Party chief Mulayam Singh Yadav, RJD leader Lalu Prasad and Janata Dal (United) president Sharad Yadav, who are opposed to the bill, met Mukherjee.

Trinamool Congress leader Mamata Banerjee, Nationalist Congress Party chief Sharad Pawar and DMK leader T R Baalu also attended the meeting.

"The government has assured us that all sections of the House will be consulted before bringing the bill in Lok Sabha," said Sharad Yadav after the meeting.