Payment Changes With a Fixed-Rate Mortgage

I have a fixed-rate mortgage... but my payment just went up.  How can that be?

This is one of the most common questions the Center receives from recent homebuyers who are wondering what's happening...

• Are they being taken advantage of by their lender?
• Has their loan been confused with someone elses?
• Did they sign the wrong paperwork at closing? 

Using the "Ask A Question" form on the Center's website... several homeowners asked this question, leading us to create a video podcast of the possible answers:

This short video, just six minutes long, gives an overview of how a monthly mortgage payment can change - even if someone has a fixed-rate mortgage.

This is the kind of information that is covered, in-depth, in the Home Stretch workshop.  If you're thinking about buying your first home, think Home Stretch first.

If you've already bought your home... and have a question about your mortgage or your payment, feel free to contact a local housing counselor today!

Sad Testimonial

If you aren't familiar with the MN Home Ownership Center's website... we have a form/widget installed on several pages of the site that allows people to send us questions about their housing situation.  A few days ago the Center received a comment through our online form that I thought I'd share with all of you:

Hi, I wish I knew about your organization before I was put in a position where I was given poor advice by my real estate agent on my short sale of my home. I was told by [my agent] to sign a lien release at closing and that would be the same as a satisfaction of debt agreement but afterward my old mortgage comapny informed me that I owe the deficiency balance and now I have to file bankruptcy. do you know of anyway out of this situation so I dont have to file bankruptcy ? I can't afford to pay back the 145,000.00 dollars they want me to pay. Thanks for your time-

We've been able to connect this consumer with a Housing Counselor that may be able to refer the client on for free legal services... but the sad fact is that there is probably nothing that can be done for this client now... short of declaring bankruptcy. 

$145,000 is an expensive mistake to make... and we hope that this homeowner's sad tale will help motivate other homeowners that are struggling with their mortgage to seek the FREE, non-biased advise and support of a non-profit Housing Counselor.  For more information about the statewide network of Housing Counselors in Minnesota, click here.

Video Question #1 - First time home buyer

The Center has started work on a series of video-responses to on-line questions we've received.

Our first question comes from Tom in Bloomington:

I'm looking to buy my first home, and I found a site on the internet that can sell me a listing of HUD owned foreclosed properties for only $99.00... is this a good deal?

Our answer via video, is here: