How Can I Find Out About Schools & Community Resources?

 

Often times we at Title Junction get asked about how to find more information about schools and community resources. One of the easiest ways to do that is to contact the Chamber of Commerce for either Cape Coral or Fort Myers for promotional literature or talk to your real estate agent about welcome kits, maps, and other information.

You can get information about school systems by contacting the city or county school board or the local schools. A good place to start for more information on schools in the areas of Cape Coral and Fort Myers is the Lee County School Board.

You may also want to visit a Lee County library branch. It can be an excellent source for information on local events and resources and the librarians will probably be able to answer many of the questions you have.

More questions about Community Resources and Schools in the Fort Myers, Cape Coral, and other surrounding areas? Give Title Junction a call at 239.415.6574.

When Do I Get My Loan Closing Disclosure?

 

If an eligible loan proceeds from Estimate to closing, creditors must provide a Closing Disclosure form documenting the actual transaction terms and costs THREE business days before consummation. It must be in writing, whether paper or digital, and disclose ONLY the information specified by the CFPB.

If terms or costs change prior to consummation the creditor must provide a corrected disclosure containing the updated terms. In some cases, this may require an additional 3-business-day waiting period to consummation.

Consummation and Closing are legally distinct although they may occur at the same time depending on applicable State laws. Consummation occurs when you become contractually obligated to the CREDITOR on the loan not, for example, the real estate seller. The Disclosure must be delivered three business days prior to the legal Consummation date.

What Is A Certificate of Eligibility, or COE?

 

What Is A Certificate of Eligibility, or COE?

The COE is the key document that verifies to lenders that someone is eligible for a VA-backed loan.

Servicemembers, Veterans and National Guard and Reserve members may apply online or through their lender; most lenders have access to the system and can verify eligibility IF the VA has records on file.

The VA also maintains a hotline for assistance.

Surviving Spouses can use VA Form 26-1817 to request determination of their eligibility for VA Loan Guarantees.

Your lender may be able to assist with processing or contact the VA for information this video did not address.

Understanding Your Loan: Additional Information Can Be Important

 

Page 4 of your Closing Disclosure is important. It is NOT just standardized form information that is identical for every loan.

Review these terms:

  • Assumption: can this loan be transferred to another person if you sell or transfer the property?
  • Demand: can the lender require early repayment of the loan?
  • Late Payments: what penalty, after what period, applies?
  • Negative Amortization: does this loan schedule or allow payments that do NOT fully cover the interest due, resulting in increased loan principal?
  • Partial Payments: what is THIS lender’s policy?

You should also review Escrow Account details to understand whether you will pay additional property costs via regular Escrow Account payments or handle them yourself directly.

Understanding Your Loan: Closing Disclosure Page 1

 

The first page of your Closing Disclosure documents:

  • The Loan Amount – the total you will actually borrow
  • The Interest Rate – which does NOT include the fees factored into the APR on Page 5

If this loan has a penalty for pre-payment or includes a balloon payment Page 1 will summarize the terms.

Projected Payments will show the chief cost components – Principal & Interest, Mortgage Insurance and estimates of your Escrow Payments over the life of the loan. You may see different columns for different periods if changes in terms such as mortgage insurance change payment totals.

Closing Costs summarizes your loan closing expenses, and Cash To Close adds the additional amounts due to give you the cash balance you will need in 3 business days.

What Are The Major Types Of VA Loans?

 

What Are The Major Types Of VA Loans?

Major Veterans Affairs loan programs described in this video include:

1) Purchase Loans.

These help eligible parties buy a home at competitive interest rates with little to no down payment and little or no private mortgage insurance.

2) Cash Out Refinance Loans which enable taking cash out of home equity to pay off debt, fund school or make home improvements.

3) Interest Rate Reduction Refinance Loans also called Streamline Refinance Loans can help veterans obtain lower interest by refinancing existing VA loans

Other programs include:

4) Native American Direct Loans to help eligible Native American veterans finance homes on Federal Trust land.

And

5) Adapted Housing Grants to help veterans with service-connected disabilities buy, build or modify a home suited to their disabilities.

Many states offer additional resources to veterans, too.

Talk to your home lender about your situation.

What Are VA Home Loans?

 

What Are VA Loans?

As the video says, the name is misleading – they’re not loans FROM the VA.

The VA – short for “US Department of Veterans Affairs” – is the Federal military veteran benefit system.

The VA administers benefits and services for Servicemembers, Veterans their dependents and survivors.

Programs related to home loans are one of their key services.

The VA is not a bank; they do not provide home loans themselves.

But they do guarantee a portion of home loans provided to veterans and other eligible people by banks and mortgage companies.

These guarantees enable lenders to provide more favorable terms.

They are are commonly called “VA Loans”.

They cover buying, building, repairing, retaining and adapting homes for personal occupancy by eligible Veterans and survivors.

Understanding Your Loan: Cash And Transaction Summaries

 

Page 3 of your Closing Disclosure will compare cash requirements from your Loan Estimate to your actual final charges. If “Did this change?” is “YES” notes for changed sections should be provided.

The bottom line final “Cash to Close” is the money you will need in-hand in three business days.

If your transaction has a Seller the summary table will show a line by line comparison of Borrower to Seller transaction details.

If there is no Seller you may see a Payoffs and Payments table instead.

Review the summary tables to understand the transaction and your financial commitments at loan consummation.

Understanding Your Loan: Closing Cost Details

 

Page 2 of your Closing Disclosure details specific closing costs.

Section A includes: Origination charges collected by the lender Origination fees paid to brokers, loan officers or other parties and Discount Points – prepaid interest. These figures should match your original Loan Estimate.

Section B covers services for which you could NOT shop. The total of these should be within 10% of the total from your Loan Estimate.

Section C covers services you could shop. If you chose providers from the lender’s written list, costs should be within 10% of Loan Estimate. The set of services you can shop may vary on different loans.

The Recording Fees in Section E should be within 10%; other costs in E, plus F, G and H, may vary from your Loan Estimate without tolerance limits.

This page will also break out the costs YOU will pay, before or at closing; the costs the Seller will pay, any costs paid by others and any credits from your Lender.

Your Rights And Rules For Closing Disclosures

 

The Closing Disclosure documents the actual terms of your loan transaction. You should receive it no later than 3 business days before consummation. It must be in writing – paper or digital.

If the loan terms or costs change prior to consummation, your lender must provide a corrected disclosure AND an additional 3-business-day waiting period until loan consummation.

Waiving the 3-day waiting period is only permitted in certain circumstances, and only when the waiting period would cause a bona fide personal financial emergency.