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Frequently Asked Questions
How do I know if I am able to refinance?
We are happy to speak with you by telephone about your particular
situation and make sure that you are a good candidate to refinance with
CapCenter. The primary factors that we consider are your credit history and your
loan to value ratio (the amount you are borrowing compared to the current value
of your home.) We find that we are able to help most people and save them money
every month on their mortgage payments, though it is best to speak with one of us
to help determine if you are eligible to refinance. You may also schedule a visit
to our office to speak with someone in person.
Should I select the 15 year or 30 year product?
It really depends on what your goals are. With the 15 year,
you will pay off the loan more quickly with less interest paid over the life of the loan.
However, the 30 year requires a lower monthly payment.
What if my credit isn’t perfect?
At CapCenter we work with people who have diverse credit histories. Once your application is
submitted, one of our Loan Consultants can speak with you further about your credit history;
however, our mininum credit score for a conventional loan is usually 680. The credit score
threshold may be lower for an FHA loan.
Is it worth it for me to refinance?
With a “Zero Closing Cost” loan from us, even a small interest rate reduction versus
your current loan will save you thousands of dollars over the life of the loan.
You could also benefit by reducing the term of your mortgage which would enable
you to build equity in your home more quickly and save you quite a bit
of interest over the life of the loan. You may also be able to eliminate any private
mortgage insurance if your current loan to value is lower than 80%.
Will refinancing lower my current payment?
This depends on the structure of your current loan and other
factors. The free quote feature on our website will show you the monthly principal
and interest payment on your new loan amount with your new loan structure.
Can you explain the entire process to me?
At CapCenter we have a very efficient and user-friendly process.
We are able to answer any questions that you have to make you feel comfortable before
moving on to an application. Once you are ready to apply, we have a very simple
online application that takes about 15 minutes to complete.
After receiving your application, CapCenter will review it to pre-qualify you by
checking to see if there are any red flags. If not, then we will order a credit report and
complete our underwriting of the application. We will then provide you with a commitment
package. You have several days to review the
commitment package, then you sign and return it to us via fax, mail or delivery
to our office. After you have returned the signed commitment package, you can decide
when you want to lock in your interest rates. However, your commitment will expire
approximately three weeks after we issue it. We try to close your loan within 30 days
after you lock your interest rate.
Please note, however, that once you lock in a rate, it’s locked. It does not float
with market interest rates.
Your personal Loan Consultant will assist you every step of the way and will be
happy to answer any questions you may have. Our goal is to make the process as positive
and stress-free as possible.
I saw a lower rate in the newspaper. Why should I not go
with that company? Typically, companies listed on
the paper offer lower interest rates to get the customer’s attention and are accompanied
by additional points and fees as well as other closing costs. When shopping rates,
always compare lenders at the same interest rate. Then, select the lender with the
lowest cost to get that rate. If you make this comparison before making your final
decision, you will find that CapCenter offers its loans at a lower cost.
Are there really no closing costs?
First of all, CapCenter is a direct lender, not a broker. We have created an organization that combines the talents
of mortgage lending experts and legal professionals, providing an efficent, streamlined process. We are able
to operate in large volume with lower profit margins, and pass the savings on to you, our customer.
How do you make money if you don’t charge closing costs?
First of all, CapCenter is a direct lender, not a broker. We
have created an organization that combines the talents of mortgage lending experts
and legal professionals, providing an efficient, streamlined process. We are able
to operate in large volume with lower profit margins, and pass the savings on to
you, our customer.
How much will it cost me to refinance?
CapCenter is a direct lender, not a broker, and we pay for
all closing costs, such as origination fees, the appraisal, title insurance, recordation
taxes and attorney fees. This saves you several thousand dollars versus other lenders.
As with all lenders, there may be some upfront discount points associated with a
particular interest rate, and there could be a credit score adjuster or upfront fee
if you are taking cash out of the transaction. We need to evaluate your specific
loan scenario to see if those might apply. Also, if you have enough equity in your
home, these fees (if applicable) can be rolled into your loan amount which enables
you to close without bringing any cash to the closing table.
What documentation is required for a refinance?
We usually need at least two months (sixty days) of statements. We will need at
least two pay stubs. If you are self-employed or work on commission, then we will
require more documentation. Your Loan Consultant will be able to provide you with
a precise list of needed documentation after reviewing your application.
Who handles my closing and where do I sign the paperwork?
If you are refinancing, we will close your
loan in our office in Innsbrook/Glen Allen. You are not required to retain an attorney
or other closing agent. If you would like us to forward closing documents to you
in advance for review, please let us know and we will be more than happy to make
those documents available to you.
If your loan is being used to purchase a new home, we will pay for your closing
if you use one of our approved attorneys, and then the closing will take place in
his/her office. If you choose to use your own attorney, we will pay up to $400 towards
the cost of the closing.
How can I contact someone at CapCenter to help me?
We want to make sure that we are available to communicate with
you in a way that is most convenient for you, so we provide several different ways
to contact us. You are more than welcome to contact our office at (804) 968-5000
in order to speak with a representative. You can also email us or speak with one
of our representatives via the live chat feature on our website.
Do I have to escrow or can I waive escrow?
You may waive escrows if you meet certain parameters. Specifically,
• You must be getting a mortgage on your primary residence • The LTV must be 80%
or lower • The median credit score for each borrower must be >= 680. There is a fee
of 0.25% of your loan amount to waive escrows.
Can I qualify for a purchase loan before I have found the
property I wish to purchase? Yes. In fact, it is
a good idea to get a pre-approval from us in advance of looking for a home so that
you know not only how much you can afford, but whether you qualify for a loan. A
Pre-approval from CapCenter will provide you and your realtor with far greater comfort
in your search for a home. In contrast, a simple pre-qualification from other lenders
is of limited value since it simply tells you what you ought to qualify for without
taking into consideration your credit-worthiness.
Please explain about the $13 application deposit/fee; how
does this fee work? In order to submit your online
application, you must provide us with a valid credit card number. This is for your
$13 application deposit. If you close with us, we will not charge the $13. If you
are denied or if you choose to withdraw, then we will charge $13 if we have ordered
a credit report and underwritten your loan.
When can I lock my rate? I want to lock today. Is that possible?
Our process is different from many lenders and locking a rate is one of the significant differences.
At CapCenter we have a very efficient and user-friendly process. We are able to
answer any questions that you have to make you feel comfortable before moving on
to an application. Once you are ready to apply, we have a very simple online application
that takes about 15 minutes to complete.
After receiving your application, CapCenter will review it to pre-qualify you by
checking to see if there are any red flags. If not, then we will order a credit report and
complete our underwriting of the application. We will then provide you with a commitment
package. You have several days to review the
commitment package, then you sign and return it to us via fax, mail or delivery
to our office. After you have returned the signed commitment package, you can decide
when you want to lock in your interest rates. However, your commitment will expire
approximately three weeks after we issue it. We try to close your loan within 30 days
after you lock your interest rate.
Please note, however, that once you lock in a rate, it’s locked. It does not float
with market interest rates.
Your personal Loan Consultant will assist you every step of the way and will be
happy to answer any questions you may have. Our goal is to make the process as positive
and stress-free as possible.
How do I lock in a rate?
After your loan is approved, we provide you with a commitment package. You then
need to print and sign several documents included in the commitment package, and
fax them back. Once you do that you can lock, but you can also wait and “float.”
How do I take cash out when I refinance? Is there a fee?
As long as you have enough equity in your home, you are
able to do a “Cash Out Refinance.” You may incur a small fee if you have less than
40% equity in your home. The fee amount is based on the amount of equity in your
home (LTV) and your credit score.
Can I pay off and close my HELOC or second mortgage if I
refinance with CapCenter? At CapCenter we do offer
the ability to pay off your second mortgage when you refinance. This will eliminate
the second payment and consolidate both loans into a refinanced primary mortgage.
This type of refinance is called “cash out refinance.” It is necessary to have at
least 25% equity in your home to be a candidate for a cash out refinance. If you
have less than 40% equity, there may be an initial charge.
Do you still offer an 80/15/5 loan?
We cannot offer the 15% financing portion, but we could still do the first mortgage
loan for you. We would refer you to your local bank to see if they could do the
15% financing portion.
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Need expert advice on your new home loan or refinance?
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804-968-5000
Monday-Friday, 8:30am to 5:00pm
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