home base business

Secured Home Loans: Provides Guaranteed Low Rate Finance

By: Johns Tiel

Nowadays, the use of home is not only limited for dwelling purposes, it is also being used to raise finances to fill the cash void. In fact most of the people who own a home is availing secured home loans to avail bigger amount of finances at a comparatively low interest rate.

These are collateral based loans. To avail these loans, a borrower is needed to attach his valuable home as collateral against the loan amount. The presence of collateral acts as an assurance and the lender can take relief from the fact that in case of non repayment, he can recover the amount by repossessing it. The amount obtained under these loans can be used for a number of purposes such as consolidating debts, purchasing a car, meeting wedding expenses, family vacation, education financing and many more.

The amount approved under these loans is based on the equity value present in the collateral. This means a home with a higher equity will ensure a bigger amount. Usually borrower can avail amount in the range of £5000-£75000 with a repayment duration that last for a period of 5- 25 years. Since the amount is secured against a valuable asset, interest rates are kept very low. With an extendable repayment period and a low interest rate makes it easy for the borrower to repay the entire amount, without any threat towards the asset.

Individual borrowers with a history of bad credit such problems such as IVA, CCJs, etc can avail these loans effortlessly. It is possible because lenders have an asset to bank upon. However the interest rate will be slightly higher.

To obtain favorable terms and conditions on the loans, borrower can use the online mode. The online lenders process the loans without taking any extra fee. Besides by comparing the free quotes, borrower can select lenders which suit their conditions best.

Since its inception in the loan market, secured home loans are proving to be the best loan option to avail finances at optimal rates.

Article Source:
http://www.articlecity.com/articles/business_and_finance/article_9270.shtml

The Saddest Paycheck Of All In The Mortgage Industry When Just Starting Out As A Loan Officer

By: Rob Lawrence

I get a lot of emails from loan officers who are currently working for a mortgage company, but are looking to advance their career and go out on their own. When they see the kind of money that can be made in this business, it?s no wonder they aren?t satisfied with their 50% commission spread (or even less!).

When I first started in the industry, my commission spread was 20% of the yield spread premium or YSP. And, if that wasn?t bad enough, we worked on teams of three people?two loan officers and a processor. This meant that any commissions I and my team earned, had to be split three-ways amongst us all. I?m not kidding! My commission after all was said and done was a measly 6.5-7.0% of the YSP. So, on a $3,000 loan, I would make about $200 at most. You don?t want to see what it looked like after they took taxes-out. Absolutely pitiful. Being ignorant (of the mortgage industry), didn?t make me stupid.

That was many years ago. You can see why I was eager to get out of there ASAP. Of course, not having any mortgage experience at all, at the time, I didn?t know any better. I had no idea what the ?reasonable? commission structure was. I figured this was how the industry worked. How shocked I was when my eyes were opened. And to think on that original $3,000 loan, I could have at least had $1,500 or more (depending on the mortgage company). But, I have no regrets because it gave me my start and is the main reason I am successful today.

I?m sure many of you encountered the same dilemma as I did. You have to start somewhere. You have to learn the business inside and out. You have to put a stake in the ground. So, no matter where you work currently, or how bad you think the pay scale is, think of me and my first loan and my sad paycheck.

My point is, learn all you can learn. Observe everything. Take lots of notes and ask questions. Be curious. Make contacts with as many wholesale reps as you can. And network like crazy. Yes, there is a steep learning curve to this business. The first 6 months are grueling, but if you keep the faith and learn as you go, your rewards won?t be too far away.

And even if you can?t stand the mortgage firm you currently are with, the good news is that there is always a way out. Mortgage companies are always hiring and bigger commission checks may be only a phone call and an interview away.

Article Source:
http://www.articlecity.com/articles/business_and_finance/article_9355.shtml