About Sue Baxter

• I heard that brokers cannot be trusted. Why should I trust Sue Baxter?
  
• What are your up front fees?.
  
• Why do you charge fees for almost everything? Most firms do not charge for the same thing.
  
• What makes Sue Baxter different from all the rest?
  
• Why does Sue Baxter offer a warranty that no other company does?
• Are the fees I pay refundable?

• How can I get pre-qualified to determine how much I can borrow?
  
• What loan program best suits my needs?
  
• What are no income verification, no ratio loans (asset loans)?
  
• What are first-time buyer mortgages?
  
• How do I get started?
  
• How long is the approval process?
  
• How can I monitor interest rates?
  
• What is A Loan To Value (LTV) and how does it determine the size of my loan?
  
• What types of loans are available and what are the advantages of each?
  
• When do ARMS make sense?
  
• What are the advantages of 15- and 30-year loan terms?
  
• Can I pay off my loan ahead of schedule?
  
• Are there special mortgages for first-time homebuyers?
  
• How large of a down payment do I need?
  
• What is included in a monthly mortgage payment?
  
• What factors affect mortgage payments?
  
• How does the interest rate factor in securing a mortgage loan?
  
• What happens if interest rates decrease and I have a fixed rate loan?
  
• What are discount points?
  
• What is an escrow account? Do I need one?
  

About Sue Baxter

	I heard that brokers cannot be trusted. Why should I trust Sue Baxter?
	Broker's received a bad reputation during the "refinancing craze" when anyone wanting to be a broker was recruited. These individuals, often used car salesman, were provided rudimentary training in Mortgage 101 and thereafter left to sell with minimum supervision. The result was unscrupulous predatory lending (charging excessive and often exorbitant fees). At Sue Baxter, we have been associated with the mortgage industry for well over 15 years and are strong supporters against predatory lending and mortgage fraud in general. We are the only mortgage brokerage company that offers a warranty to provide you security in dealing with us. You will not get "too good to be true" quotes - we will always offer you the best realistic rate available.
	What are your upfront fees?
	We charge $35.00 to get you pre-approved for a loan which includes a tri-merge credit report. This fee is less than most companies will charge you just for the report itself. Under select circumstances, we may waive this fee. When you get to the point in your mortgage application of submitting your full 1003 (Uniform Residential Loan Application), we request a $179.00 application fees. This again, is money we have to pay up-front to submit your loan to the underwriters. This fee is not only applied (credited) to the costs of the overall transaction, but is fully refundable in the event we cannot procure you a mortgage (a very rare event).
	Why do you charge fees for almost everything? Most firms do not charge for the same thing?
	Like everything else in life, to do things right costs money. That is just the simple economic facts of doing business. Without spending that money, the results (any quote you receive) will be erroneous. We charge up-front costs to limit the number of frivolous inquiries, i.e., people looking simple for the best rate quote (realistic or not) rather than the best mortgage. We could, like other companies, perform this service for free. The result, using inadequate information, would be to provide you with a quote that would not stand up to our warranty. And that we cannot do. The bottom line is that we WILL NOT mislead you or compete with low-ballers that cannot live up to their initial misleading quotes. Our fees are minimal, are credited back to you during closing, and insure accurate and realistic quotes. Ask other brokerage firms to provide you with a warranty in writing - they will not.
	What makes Sue Baxter different from all the rest?
	Honesty, Integrity, and our willingness to work hard and go the extra mile. We are the only brokerage firm that offers a warranty to protect you from low-balling, unrealistic rates, and other unscrupulous acts. Read About Us, the Services we offer, the Programs we have available, and Why you should choose Sue Baxter, compare us to other arbutus firms, and you will understand how we are different. With over 80% of our business coming from referrals as a result of our many satisfied customers, we are different.
	Why does Sue Baxter offer a warranty that no other company does?
	Simply because we can! By spending the time to thoroughly investigate and examine your record and match it to a specific program that meets your individual needs we are able to stand-by our mortgage quotes with a warranty. We DO NOT provide "best case scenario" mortgage quotes to mislead you into believing we can deliver what we claim, only to change it at a later date when the full facts become available.
	Are the fees I pay refundable?
	Absolutely. If we cannot procure you a mortgage, we will refund your pre-approval and your $179.00 application fee, no questions asked. These fees simply represent an investment in your mortgage, a financial commitment, that if we are unable to fulfill, will be refunded to you. Additionally, all of these fees are applied to your application so, in the end, you will be credited these fees at closing.

General Mortgage Questions

	How can I get prequalified to determine how much I can borrow?
	Sue Baxter can provide you with a prequalification letter within minutes. By disclosing some basic income and assets figures, you and your realtor can receive a prequalification letter based on the information you provided. If you or your realtor desire a more formal communication in the form of a commitment and preapproval certificate, you will need to complete our slightly more thorough Preapproval form and we will need to perform a complete credit check. Upon receipt of your verifications, Sue Baxter can issue a commitment letter subject only to an appraisal of the property you intend to buy. This commitment will specify an actual amount, rate and term. If you are interested in only a rough estimate, without a prequalification or preapproval certificate, you can calculate how much you can afford on our online calculators.
	What loan program best suits my needs? (fixed rates, arms, balloons, buydowns?)
	Your loan application is unique. Sue Baxter has a team of skilled mortgage professional who will work with you to determine which program best suits your needs depending on your unique situation. Many factors to consider are the length of time you intend to be in your home, cash flow, are you a risk taker or not, etc. Because we have hundreds of loan options available, these options are not realistically discussed on-line. Contact us by e-mail or by phone to discuss your needs in detail.
	What are no income verification, no ratio loans (asset loans)?
	In some circumstances, you may find it advantageous to refrain from verifying your income or assets. Under different scenarios, there are financing options available that do not require that you disclose your income or verify your assets. These programs vary from lender to lender and the pricing runs accordingly. These programs are particularly attractive to the self-employed and small business ownersContact us for more information.
	What are first-time buyer mortgages?
	In order to accommodate the First Time Home Buyer, there are many programs available that provide flexibility relative to down payment requirements and monies left in reserve. Programs are available with as little as 3% down and no reserves. Contact us for more information.
	How do I get started? What is the process?
	You can apply here online at our application center. This is a secure channel, so all the information forwarded to us is encrypted for complete confidentiality. However, we feel that one of your largest financial investments should have human and personal interaction, and encourage you to contact us to discuss your needs and what programs may best suit your needs before or after completing our on-line application. One of our skilled mortgage professionals at Sue Baxter will review financial options with you and inform you of the advantages and disadvantages of each available loan program. Applications can be processed through overnight mail, e-mail, or through our Application Center. A complete detailed description of the entire mortgage process is available in the section titled "The Mortgage Process". Sue Baxtercan also refer you to a real estate agent and an attorney to help you through the transaction as well.
	How long is the approval process?
	The application process will range between 2-6 weeks depending on how long it takes to get the necessary paperwork together. You assistance in the accumulation of documentation is critical to a smooth process. If you have been pre-approved, the loan is subject only to the appraisal and title work to close. The sooner you get started, the sooner it will be over. Most delayed loans occur because the applicant fails or is tardy in forwarding necessary paperwork or documentation.
	How can I monitor interest rates?
	There are a variety of ways to monitor current interest rates. You can contact us for the latest up-to-the-minute rates. If you really enjoy "surfing the net", and searching for all this information, the latest in mortgage rates, car loans, etc., can be found at BankRate.com.
	What is A Loan To Value (LTV) and how does it determine the size of my loan?
	The loan to value ratio is the amount of money you borrow compared with the price or appraised value of the home you are purchasing. Each loan has a specific LTV limit. For example: With a 95% LTV loan on a home priced at $150,000, you could borrow up to $142,500 (95% of $150,000), and would have to pay $7,500 as a down payment. The LTV ratio reflects the amount of equity borrowers have in their homes. The higher the LTV the less cash homebuyers are required to payout of their own funds. So, to protect lenders against potential loss in case of default, higher LTV loans (80% or more) usually require mortgage insurance policy.
	What types of loans are available and what are the advantages of each?
	There are so many loan types (more than 300 programs) that it is not possible to list them all. Our Programs Page does provide a partial list. The most familiar of these programs include: Fixed Rate Mortgages: Payments remain the same for the life of the loan. Predictable. Housing cost remains unaffected by interest rate changes and inflation. Adjustable Rate Mortgages (ARMS): Payments increase or decrease on a regular schedule with changes in interest rates; increases subject to limits. < Generally offer lower initial interest rates. Monthly payments can be lower. May allow borrower to qualify for a larger loan amount.
	When Do Arms Make Sense?
	An ARM may make sense if you are confident that your income will increase steadily over the years, or if you anticipate a move in the near future and aren't concerned about potential increases in interest rates.
	What are the advantages of 15- and 30-year loan terms?
	30-Year: In the first 23 years of the loan, more interest is paid off than principal, meaning larger tax deductions. As inflation and costs of living increase, mortgage payments become a smaller part of overall expenses. 15-year: Loan is usually made at a lower interest rate. Equity is built faster because early payments pay more principal.
	Can I pay off my loan ahead of schedule?
	Yes. By sending in extra money each month, or making an extra payment at the end of the year, you can accelerate the process of paying off the loan. When you send extra money, be sure to indicate that the excess payment is to be applied to the principal. Most lenders allow loan prepayment, though you may have to pay a prepayment penalty if you pay it off too soon (like refinancing). Ask your lender for details.
	Are there special mortgages for first-time homebuyers?
	Yes. Lenders now offer several affordable mortgage options which can help first-time homebuyers overcome obstacles that made purchasing a home difficult in the past. Lenders may now be able to help borrowers who don't have a lot of money saved for the down payment and closing costs, have no or a poor credit history, have quite a bit of long-term debt, or have experienced income irregularities.
	How large of a down payment do I need?
	There are mortgage options available that only require a down payment of 5% or less of the purchase price. But the larger the down payment, the less you have to borrow, and the more equity you'll have. < Mortgages with less than a 20% down payment generally require a mortgage insurance policy to secure the loan. When considering the size of your down payment, consider that you'll also need money for closing costs, moving expenses, and --possibly-- repairs and decorating.
	What is included in a monthly mortgage payment?
	The monthly mortgage payment mainly pays off principal and interest. But many lenders also include local real estate taxes, homeowner's insurance, and mortgage insurance (if applicable).
	What factors affect mortgage payments?
	The amount of the down payment, the size of the mortgage loan, the interest rate, the length of the repayment term, escrow, and payment schedule will all affect the size of your mortgage payment.
	How does the interest rate factor in securing a mortgage loan?
	A lower interest rate allows you to borrow more money than a high rate with the some monthly payment. Interest rates can fluctuate as you shop for a loan, so ask-lenders if they offer a rate "lock-in" which guarantees a specific interest rate for a certain period of time. Remember that a lender must disclose the Annual Percentage Rate (APR) of a loan to you. The APR shows the cost of a mortgage loan by expressing it in terms of a yearly interest rate. It is generally higher than the interest rate because it also includes the cost of points, mortgage insurance, and other fees included in the loan.
	What happens if interest rates decrease and I have a fixed rate loan?
	If interest rates drop significantly, you may want to investigate refinancing. Most experts agree that if you plan to be in your house for at least 18 months and you can get a rate 2% less than your current one, refinancing is smart. Refinancing may, however, involve paying many of the same fees paid at the original closing, plus origination and application fees. You can use our Refinance Calculator to help you determine if you should refinance.
	What are discount points?
	Discount points allow you to lower your interest rate. They are essentially prepaid interest, with each point equaling 1% of the total loan amount. Generally, for each point paid on a 30-year mortgage, the interest rate is reduced by 1/8 (or .125) of a percentage point. When shopping for loans, ask lenders for an interest rate with 0 points and then see how much the rate decreases with each point paid. Discount points are smart if you plan to stay in a home for some time since they can lower the monthly loan payment. Points are tax deductible when you purchase a home and you may be able to negotiate for the seller to pay for some of them.
	What is an escrow account? Do I need one?
	Established by your lender, an escrow account is a place to set aside a portion of your monthly mortgage payment to cover annual charges for homeowner's insurance, mortgage insurance (if applicable), and property taxes. Escrow accounts are a good idea because they assure money will always be available for these payments. If you use an escrow account to pay property tax or homeowner's insurance, make sure you are not penalized for late payments since it is the lender's responsibility to make those payments.