LINTHICUM, MD, March 20, 2023 – NFM Lending and its family of lenders have announced that they have earned the 2024 Top Workplaces USA award, issued by Energage, a purpose-driven organization that develops solutions to build and brand Top Workplaces. The Top Workplaces program has a 15-year history of surveying over 20 million employees and recognizing the top organizations across 60 markets for regional Top Workplaces awards.
Top Workplaces USA celebrates organizations with 150 or more employees that have built great cultures. Over 42,000 organizations were invited to participate in the survey. Winners of the Top Workplaces USA list are chosen based solely on employee feedback gathered through an employee engagement survey issued by Energage.
Results are calculated by comparing the survey’s research-based statements, including 15 Culture Drivers proven to predict high performance against industry benchmarks.
“Earning a Top Workplaces award is a badge of honor for companies, especially because it comes authentically from their employees,” said Eric Rubino, Energage CEO. “That’s something to be proud of. In today’s market, leaders must ensure they’re allowing employees to have a voice and be heard. That’s paramount. Top Workplaces do this, and it pays dividends.”
“We’re honored to be recognized as a 2024 Top Workplace by Energage and USA Today, reflecting our dedication to fostering a positive and inclusive culture,” said Stephanie L. Herring, Chief Human Resources Officer at NFM. “This achievement inspires us to continue prioritizing employee satisfaction and well-being as we strive for excellence.”
“This achievement would not have been possible without our incredible employees’ dedication and hard work,” said Bob Tyson, NFM President and Chief Operating Officer. “I want to thank them for their commitment to making the NFM Family of Lenders a truly great place to work.”
In addition to this award, NFM Lending is consistently recognized for its exceptional company culture. Other awards include: ‘Top Mortgage Employer’ by National Mortgage Professional Magazine; ‘Top Workplace’ by The Baltimore Sun and the Washington Post; ‘Great Place to Work’ by Great Place to Work, ‘Best Mortgage Companies to Work For’ by National Mortgage News, and ‘50 Best Places to Work For’ by Mortgage Professional Magazine. NFM Lending is proud of these accomplishments and each team member for their work to make NFM a Top Workplace.
About NFM Lending
NFM Lending is a national mortgage lending company currently licensed in 49 states and Washington, D.C. The company was founded in Baltimore, Maryland in 1998. NFM Lending and its family of companies include Main Street Home Loans, BluPrint Home Loans, Elevate Home Loans, and Element Home Loans. They attribute their success in the mortgage industry to their steadfast commitment to customers and the community. For more information about NFM Lending, visit https://nfmlending.com/, like our Facebook page, or follow us on Instagram.
Company Contact
NFM Lending
Gene DiPaula
VP, Communications
gdipaula@nfmlending.com
443-451-3126
nfmlending.com
June is the best month of the year – It’s National Homeownership Month! As a local lender, we’re dedicated to helping people achieve sustainable homeownership and their American Dream. We believe in the power of owning a home, and we’re thrilled to celebrate the countless benefits it brings to individuals, families, and communities this month – and every single day of the year!
Homeownership is more than just having a roof over your head – it’s a dream, it’s stability and control of your environment, and it’s a powerful tool for building wealth. Beyond the personal benefits, research shows that stable housing plays a crucial role in children’s well-being, strengthens communities, and contributes to a thriving economy.
We love telling the stories of happy homeowners, especially the ones that capture the joy and fulfillment that comes with ownership after overcoming challenges and hurdles. These new homeowners are the reason everyone at the NFM Family of Lenders is passionate about getting people and families into the homes they love.
The History of National Homeownership Month
To get a glimpse into why we celebrate Homeownership Month nationally, here’s a timeline of homeownership and this special month in the United States. These events have paved the way for more Americans to achieve the dream of homeownership:
Homeownership rates in the US have steadily climbed over the years, offering a reason to celebrate progress. In 1900, the homeownership rate stood at 46.5%. By 2000, it had risen to 66.2%, and it continues to hover near that mark today. National Homeownership Month allows us to reflect on these gains and express gratitude for the increased accessibility of homeownership.
Here’s an interactive data visualization that lets you explore homeownership and renter-occupied housing rates by state.
Single women can celebrate having the highest rate of first-time homeownership (19%) behind married couples (59%), and overtaking single men (10%). Especially since women in the U.S. were not allowed to finance the purchase of real estate without a husband or male cosigner until the 1970s.
However, despite overall growth in minority homeownership, racial and ethnic disparities persist. According to the Census Bureau, the homeownership rate for non-Hispanic White Americans sits at 73.8% (4th quarter 2023), compared to 63% for Asian Americans, 49.8% for Hispanic Americans, and 45.9% for Black Americans. We still have work to do in ensuring equal access to homeownership for all.
Owning a home is a powerful tool for building wealth, particularly for low and middle-income families. Statistics show a significant gap in net worth between homeowners and renters. In 2022, the Federal Reserve reported a median net worth of $396,200 for homeowners, compared to just $10,400 for renters. This means the average homeowner has nearly 40 times the net worth of a renter. (see graph below):
Here’s what Economist at First American Title, Ksenia Potapov, has to say about the wealth gap between renters and homeowners:
“Renters don’t capture the wealth generated by house price appreciation, nor do they benefit from the equity gains generated by monthly mortgage payments . . .”
So, what’s the secret behind the #1 wealth builder for low- and middle-income Americans? Here are some key factors:
Home Value – Loan Amount = Equity
Equity: the cornerstone of wealth building
Housing equity is the largest component of net worth for most owner-occupied households. Owning a home, even at a more affordable price point, can significantly contribute to your overall financial well-being through appreciation. This is especially evident for Black and Hispanic homeowners and those with lower-to-mid range incomes.
Owning a home offers a variety of advantages that go far beyond just financial rewards. In fact, the impact on your physical, mental, and financial well-being can be life-changing. A 2013 study by two professors at the University of North Carolina at Chapel Hill documents a range of social benefits associated with homeownership.
National Homeownership Month is a time to celebrate progress, but we acknowledge that significant barriers still prevent many Americans from achieving the dream of homeownership. Here at NFM Lending, we are committed to addressing these challenges head-on.
Recognizing that racial and social inequities, limited financial literacy, and systemic issues have historically disadvantaged certain communities in homeownership, we believe that advocacy and tailored financial solutions are key to closing these gaps. By providing access to funding for home construction and ownership, we can promote inclusive growth in the housing market.
We’re strong believers in creating a housing market that’s open to everyone. That’s why NFM offers special programs and resources to empower first-time homebuyers, low and moderate-income families, and communities of color. These initiatives aim to make homeownership a reality for everyone. And we want everyone to experience the joy and stability that comes with owning a home! You can learn more about our equity, and inclusion initiatives on our website.
National Homeownership Month is a time to celebrate the power of owning a home and the positive impact it has on individuals, families, and communities. We’ve come a long way in increasing accessibility and equity in h, but there’s still work to be done. Here at NFM Lending, we’re committed to helping more people achieve their homeownership goals and build generational wealth in the process.
If you don’t know where to start, give us a call! We’re here for you before, during, and throughout your entire homeownership journey.
LINTHICUM, MD, April 5, 2024 — NFM Lending and its Family of Lenders is proud to congratulate their loan originators who were recognized in the Scotsman Guide Top Originators 2024 lists.
Each year, Scotsman Guide recognizes the nation’s top-producing mortgage loan originators. Originators are ranked in ten categories, including Top Dollar Volume, Most Loans Closed, and Top Purchase Volume. Each set of rankings is thoroughly audited, making Scotsman Guide the mortgage industry’s “most intensely reviewed, accurate and substantiated rankings of its kind.” To be considered, entrants must either have done at least $25 million in loan volume or personally closed 75 or more home loans in the 2023 calendar year.
Oleg Tkach was ranked at #75 nationally and led the Top Dollar Volume category for the company with $150,593,253 in production, followed by Jane Floyd ranked 3106 nationally with $$150,593,253, and Daniel Sa ranked #191 with $$101,483,726.
“What an incredible year it was for these top salespeople!” said NFM Lending President / Chief Operating Officer, Bob Tyson. “Everyone in the mortgage industry knows the headwinds we faced last year, and yet these individuals faced the challenges head-on and came out on top. Congratulations to them and all our originators. We are looking forward to a great 2023.”
NFM Lending would like to recognize and congratulate all the loan originators within the NFM Family for this incredible achievement.
Top Dollar Volume
NFM Lending
David Arocho
Michael Badessa
Michel Baez
Camille Baldwin
Tyler Barnett
Andrew Beigel
Trevor Bennett
Benjamin Burkett
Brian Burnham
Anthony Cellini
Michael Colagrossi
Jerry Cook
Gregory Cowart
Casey Coyle
Mario Cua
Mack Dadyan
Rich Dillman
Jane Floyd
Ronald Gosewisch
Dana Gounaris
Tina Konidaris
Dakotah Kutz
Tracy Marino
Kelsey Marquardt
Kyle McCort
Jeff Miltenberger
Todd Novosel
Brandon Pavlovic
Jesse Perrone
Craig Pollard
Bryan Raiford
Steven Rivera
Daniel Sa
Shanon Schinkel
Justus Sharp
Matthew Shiner
Shane Staples
Rob Stettler
Blane Stewart
Oleg Tkach
Raquel Wilson
Tammy Wittren
Main Street Home Loans
Darran Anthony
Neil Bourdelaise
Clay Carroll
Karen Dulmage
Derek Evans
Carolyn Flitcroft
Rita Hairston
David Licciardi
Peter O’Donnell
Kyndle Quinones
Michelle Roman
Salvatore Savastano
John Savastano
David Travers
Jon Wald
BluPrint Home Loans
Jeff Welgan
Elevate Home Loans
Chris Magnotta
Element Home Loans
DeAnn Ellis
Sharon Wofford
Most Loans Closed
NFM Lending
NFM Lending is proud of these loan originators’ accomplishments and wishes them continued success.
About NFM Lending
NFM Lending is a national mortgage lending company currently licensed in 49 states in the U.S. and Washington, D.C. The company was founded in Baltimore, Maryland in 1998. NFM Lending and its family of companies includes Main Street Home Loans, BluPrint Home Loans, Freedmont Mortgage Group, Elevate Home Loans, and Element Home Loans. They attribute their success in the mortgage industry to their steadfast commitment to customers and the community. For more information about NFM Lending, visit www.nfmlending.com, like our Facebook page, or follow us on Instagram.
Confused about pre-qualification and pre-approval? You’re not alone! Many first-time homebuyers get tripped up on these mortgage terms; not only do they sound similar they have a few similar qualities. Here we break down the difference between pre-qualification and pre-approval, explaining what each involves. Also learn about the benefits of getting pre-approved, and how it can give you a leg up in today’s competitive housing market.
Imagine pre-qualification is like window shopping. You get a general idea of what you like and where you might want to shop, but you’re not quite ready to commit.
Pre-qualification is a quick and easy process, often done online with a calculator. First answer some basic questions about your income, job situation, and any debts you have. Then, based on this info (which you provide), a lender will give you a rough estimate of how much you might be able to borrow.
Remember: Pre-qualification is a great first step, but it’s not the real deal – a pre-approval is where things get serious.
Pre-approval, on the other hand, is like actually having your credit card out and ready to swipe at the store. You know exactly how much you can spend, and sellers know you’re a serious buyer. This gives you the upper hand to other window shoppers when you’re find the right place and want to make an offer right away.
Income, Assets, Debts
You will fill out a mortgage application and answer some questions about your finances, rental or ownership history, and credit history. Then you will provide documents to verify your:
Save our Pre-Approval Document Checklistto help you organize your documents before getting pre-approved.
Credit
Next, we will pull your credit report to see your credit score, checking to see if there were any red flags in the past that weren’t disclosed. Things like bankruptcy, delinquency on a loan, etc.
Savings
We’ll also discuss how much you have set aside for a down payment and closing costs.
Based on this verified information, you’ll receive a pre-approval letter stating the exact amount you’re pre-approved for, and the estimated interest rate.
The pre-approval letter will only be good for 60-90 days. Finances change, interest rates change, and we want to make sure clients still qualify for what they were originally pre-approved for, or maybe they qualify for even more after additional review!
You’ll just need to provide updated (or additional) documents you’re asked for. We will take current interest rates into consideration and how the fluctuations in interest rates could affect your affordability.
Pre-Approval with a Trusted Lender
Getting pre-approved with a trusted lender provides you with added peace of mind and gives you access to a professional who can run multiple scenarios for you and all the “what ifs”:
We’re here to help, so use our expertise to your advantage now and for your future.
During your application, but honest and upfront about your financial situation. This will help us give you an accurate picture of what you can afford and avoid any surprises down the road. We can often work through many of the challenges our clients are nervous to share with us.
Remember, we are here to serve you! Its our goal to help homebuyers achieve sustainable homeownership and build generational wealth now and in the future.
Beyond Pre-approval: Setting Sail on Your Homebuying Journey
With your pre-approval letter in hand, you’re officially ready to set sail on your homebuying adventure! Here are some additional things to keep in mind:
Check out our home loan process map to see what’s to come in your homebuying journey.
By understanding the difference between pre-qualification and pre-approval, you’ll be a more informed and confident homebuyer. With the right preparation and resources, you’ll be well on your way to finding your dream home!
LINTHICUM, MD, May 3, 2024 — NFM Lending is pleased to announce the opening of a new branch led by Branch Manager Petros Christophilis. The branch is located at 3334 NE 65th Street, Seattle, WA 98115. The new NFM Lending branch will focus on expanding NFM’s flexible and powerful lending platform to better serve community families with exceptional customer service. NFM Lending offers Conventional, FHA, VA, USDA, Jumbo, and many other loan options to fit every borrower’s needs.
“I am thrilled to join the NFM Lending family, a decision inspired by the company’s exceptional culture, dedication to outstanding customer service, and the comprehensive range of loan programs offered,” said Christophilis. “I feel like I have truly found a new home here and am excited to begin this next chapter of my career with such a reputable and well-rounded company.”
The branch’s goal is to continue to provide the same commitment and dedication to borrowers, ranging from first-time homebuyers to seasoned buyers looking for their next home, a second home, or investment properties.
“We are very excited to announce the addition of Petros to the NFM family,” said NFM Founder/CEO David Silverman. “Petros is one of the very top originators in Washington State in both production and professionalism. His work ethic and experience level are at the top of the game, and we look forward to working with Petros to increase his presence in the region and help as many families as possible realize their dream of home ownership and lower payments.”
Christophilis is currently seeking qualified Mortgage Loan Originators for full and part-time positions.
For more information, please contact:
Petros Christophilis Branch Manager NMLS# 92866 206-406-4690 petros@teampetros.com teampetros.com
About NFM Lending
NFM Lending is a national mortgage lending company currently licensed in 49 states and the District of Columbia. The company was founded in Baltimore, Maryland in 1998. NFM Lending and its family of companies includes Main Street Home Loans, Bluprint Home Loans, Elevate Home Loans, and Element Home Loans. They attribute their success in the mortgage industry to their steadfast commitment to customers and the community. For more information about NFM Lending, visit www.nfmlending.com, like our Facebook page, or follow us on Instagram.
Dreaming of shedding years off your mortgage and saving a ton on interest? You’re not alone. From millennials and Gen Z to those who are preparing to retire, many homeowners are prioritizing early mortgage payoff. Here we’ll explore powerful techniques to pay off a mortgage early like biweekly payments, lump sum payments, and even the potential of mortgage refinance. We’ll answer all your burning questions, like “Is it really better to pay off my mortgage early or invest?” Let’s unveil the best ways to pay off your mortgage early and help you craft a personalized plan for financial freedom.
Now that you’re a homeowner, you aren’t paying your landlord’s mortgage and instead you’re building equity in your own place. Now picture yourself with that same home and free from a monthly mortgage payment, with the financial freedom to invest, travel, retire, or just breathe a little easier. That’s the magic of early payoff.
There’s no one-size-fits-all approach to early mortgage payoff. The ideal strategy depends on your financial situation, risk tolerance, and long-term goals. Consider these factors when creating your plan:
Once you’ve considered these factors, you can choose the strategies that best suit you.
Before we delve into specific strategies, let’s solidify the role of interest vs principal in your mortgage payment. This is key to maximizing your payoff efforts.
Note: There are other costs added to your total monthly mortgage payment (local property taxes, homeowners insurance, HOA fees, etc.), but we’re only discussing principal and interest right now.
Every monthly payment is divided between interest and principal. In the early years of your loan, a larger chunk goes towards interest, with a smaller amount chipping away at your principal balance.
Example: For simplicity, let’s imagine your monthly Principal and Interest (P&I) payment is $1,000. Every loan is amortized over time, meaning monthly payments are split between principal and interest, reducing the loan balance over the span of your loan term. In the beginning, maybe $700 goes to interest and only $300 reduces your loan amount. The next month, your overall principal is reduced by $300 and the interest is now calculated upon your new, lower balance. That’s why early payoff is so powerful – it allows you to pay down the principal faster, reducing the overall interest you pay over time.
Related: Take a look at our amortization calculator.
Pro Tip: Before changing your payment strategy, confirm if your mortgage servicer allows extra principal payments without penalties.
Alright, now that you’re armed with that knowledge, let’s explore some strategies to conquer your early mortgage pay-off strategy. Get ready, these may surprise you!
One popular way that some homeowners pay down their principal more quickly is to make biweekly payments. Instead of paying one monthly payment, you pay half the payment every 2 weeks.
Here’s a simple example to show the power of a biweekly payment. Let’s say you have a home loan for $400,000 with a 7% interest rate on a 30-year mortgage. In the example below you would pay $139,850.33 less in interest over the life of the loan with biweekly mortgage payments than if you made standard monthly payments!
There are online calculators available to determine these payments, or we can talk and run the numbers for you!
Because a year has 52 weeks, this works out to 26 biweekly payments. This essentially allows you to make 13 full payments a year instead of 12. That one extra payment really compounds over time! When you pay your principal balance down faster, there’s less money to charge interest on, which lowers the amount of overall interest paid.
Similar to biweekly payments, you can make an extra payment towards the principal each month. Even a small amount can make a big difference over time. Let’s revisit our example: $400,000 loan at 7% interest with a 30-year loan term. If you consistently put an extra $500 towards the principal each month, you could save a significant amount of money on interest payments in the long run.
There are online calculators available to determine these payments, or we can chat and run the numbers for you!
Important! Be sure to clearly communicate to your lender that any extra payments should be applied to the principal, not interest.
Don’t underestimate the power of small changes. Consider rounding up your monthly payment to the nearest hundred and applying the difference towards the principal. This might seem insignificant, but over the years, it can make a dent in your loan amount.
For example, rounding up a $1,950 payment to $2,000 translates to an extra $50 towards the principal each month. Over a 30-year loan term, that’s a total of an extra $18,000 you’ve put towards your loan principal and $18,000 less that interest has had to compound on!
Tax refunds, bonuses, or unexpected financial windfalls can be powerful tools for early mortgage payoff. Instead of spending them all, consider putting all or part of that money towards a lump sum payment on your mortgage principal.
Let’s say you receive a hefty $5,000 tax refund. Putting that entire amount towards your principal can significantly decrease your loan balance, reducing your future interest payments.
Refinancing your mortgage can be a strategic move for early payoff. It involves replacing your existing loan with a new one, typically with a shorter term (like a 15-year loan) and ideally a lower interest rate. For example, if you were to refinance and get a 2% lower interest rate, you could save thousands of dollars on interest over the life of the loan.
Another benefit of a shorter loan term: With a 15-year loan, you’ll be putting more money towards your principal balance each month. This allows you to pay off your house much faster and save on overall interest costs. While your monthly payment will increase because the loan term is shorter, it won’t double (which is a common misconception with shorter term mortgages).
Important to consider: There are closing costs associated with refinancing a mortgage. These upfront fees can be significant. Let’s discuss this to make sure the long-term savings from a lower interest rate outweigh the upfront costs of refinancing.
If it fits well into your budget, a 15-year fixed-rate mortgage might be an option when purchasing a new home. While the monthly payments will be higher than a 30-year loan, you’ll build equity much faster and save a ton on interest in the long run. Let’s discuss your options and we can give you advice on what would be best for you with your personal budget and finances.
Related: Check out our calculator to compare 2 mortgage options!
It might not all be about “can I pay down my mortgage early?”, a better question might be “should I?”
Ultimately, the decision depends on your financial goals and risk tolerance, but it is important to know all of your options!
Remember, paying off your mortgage early is a marathon, not a sprint. Be patient, stay disciplined, and celebrate your milestones along the way.
Let’s talk! We can run all kinds of scenarios for you on your current and potential mortgage options. We’ll see how funds can be allocated and the long-term impact of those choices. We’d love to help you calculate your individual situation!
NFM Lending is not a Financial Advisor, Tax Advisor or Credit Repair Company. You should consult with a Financial Advisor, Tax Advisor or Credit Repair Company to learn more. Refinancing an existing loan may result in the total finance charges being higher over the life of the loan.
LINTHICUM, MD, April 29, 2024 – NFM Lending and its Family of Lenders are thrilled to announce that Mortgage Executive Magazine has recognized it as the 15th largest retail housing lender in the United States. This significant achievement highlights the company’s commitment to excellence and innovation in the mortgage industry.
In an impressive showcase of talent, 58 of NFM Lending’s loan originators have been named among the top 1% of originators nationwide. Additionally, eight of these outstanding professionals have earned spots in the esteemed top 200 originators list:
Oleg Tkach – Lynnwood, WA – #23
Jane Floyd – Tampa, FL – #37
Daniel Sa – Columbus, OH – #70
Ron Gosewisch – Haddonfield, NJ – #138
Dana Gounaris – Haddonfield, NJ – #147
Andy Beigel- Columbus, OH – #182
Tina Konidaris – Raleigh, NC – #194
David Arocho – Columbus, OH #200
Greg Sher, Managing Director of NFM Lending, expressed his pride and congratulations to the recognized individuals: “This recognition from Mortgage Executive Magazine is a testament to the hard work, dedication, and unparalleled professionalism of our team. Each of our loan originators plays a vital role in our success, and being named among the top performers in the nation is a well-deserved honor. I am incredibly proud of their commitment and the example they set for the entire industry. Their excellence propels NFM Lending forward, demonstrating every day what we stand for.”
This accolade reflects individual excellence and underscores NFM Lending’s robust training programs, innovative mortgage solutions, and client-focused approach, which collectively contribute to such high-level industry performance.
Mortgage Executive Magazine recognized the following originators as being among the top 1% in the nation:
David Arocho
Michael Badessa
Michel Baez
Camille Baldwin
Tyler Clayton Barnett
Andrew Beigel
Trevor Bennett
Benjamin Burkett
Brian Burnham
Anthony Cellini
Michael Colagrossi
Jerry J. Cook Jr
Gregory B Cowart
Mario Anthony Cua
Mack Dadyan
Rich Dillman
Jane Ann Floyd
Ronald Gosewisch
Dana Gounaris
Tina Konidaris
Dakotah Kutz
Tracy Colleen Marino
Kelsey Marquardt
Jeff Walter Miltenberger
Todd Novosel
Brandon Pavlovic
Jesse Diane Perrone
Craig Pollard
Bryan Raiford
Steven Rivera
Daniel Sa
Shanon Schinkel
Justus Sharp
Matthew Shiner
Shane G Staples
Rob Stettler
Blane Stewart
Oleg Tkach
Raquel Jeanette Wilson
Tammy Wittren
Darran Anthony
Neil Karl Bourdelaise
Clay Carroll
Karen Dulmage
Derek Evans
Carolyn Flitcroft
Rita Hairston
David Licciardi
Peter O’Donnell
Kyndle Quinones
Michelle Roman
Salvatore Savastano
John Savastano
David A Travers
Jon Wald
Chris Magnotta
DeAnn Ellis
Jeff Welgan
NFM Lending is proud of these loan originators’ accomplishments and wishes them continued success.
About NFM Lending
NFM Lending is a national mortgage lending company currently licensed in 49 states in the U.S. and Washington, D.C. The company was founded in Baltimore, Maryland in 1998. NFM Lending and its family of companies includes Main Street Home Loans, BluPrint Home Loans, Freedmont Mortgage Group, Elevate Home Loans, and Element Home Loans. They attribute their success in the mortgage industry to their steadfast commitment to customers and the community. For more information about NFM Lending, visit www.nfmlending.com, like our Facebook page, or follow us on Instagram
Tax Day has come and gone, but while tax season isn’t on most people’s list of “favorite day of the year”, there’s a light at the end of the tunnel: your tax refund! The average refund in 2023 was $2,753, and with that kind of windfall, a tropical getaway might seem tempting. But before you jump on a plane, let’s explore how you can leverage your tax refund. A down payment for a first-time homebuyer, or long-term goals like financial freedom and building generational wealth!
Are you dreaming of homeownership? Using your tax refund for a home purchase could lead to several advantages when owning your first home! Here are some benefits to a larger down payment on your loan:
Related: Down-payment assistance programs can help first-time homebuyers get started and increase your down payment!
Down payment requirements vary by the type of loan you want to have. Lower down payment doesn’t always mean a better loan program; there are multiple different factors to decide which loan program is right for you. The best mortgage for a first-time homebuyer is the loan that you’re most qualified for. That will depend on several factors, including your debt-to-income ratio, credit score, and yes…down payment.
We take all of these factors into consideration and help you strategize between your options and choose the right one to fit your current and future goals.
Related: Check out our mortgage calculators to do the down payment math yourself!
It’s easy to see how a first-time homebuyer can use a tax refund for a down payment and boost their homebuying strategy, but what about people that already own a home? Other than using the funds for home renovations, how can you use your refund to set yourself up for a better future?
We understand the allure of a vacation, but here’s the thing: by putting your tax refund towards your mortgage, you’re essentially doing two things at once: saving money on interest payments in the long run and building equity in your home faster.
Your tax refund may also be able to help you pay fees associated with refinancing to save you money by:
If you’ve decided to use your tax refund on your existing mortgage, there are a few ways to go about it:
A lump-sum payment directly to your principal balance shortens your loan term, builds equity, and ultimately saves you on interest. The more you pay down the principal, the more interest you save.
Keep in mind:
If you’re looking for options to lower your monthly payments specifically, refinancing might be a good fit if rates have lowered since you first bought your home.
Refinancing your mortgage means replacing your existing loan with a new one, potentially with a lower interest rate, better terms, or you could take cash out for projects or major life changes. Here’s where your tax refund can come in handy – it can help cover the refinancing fees, including closing costs and appraisals.
Related: How Important is Credit Score When Buying a Home?
While refinancing can save you money in the long run, there are upfront costs involved that you should consider. The Mortgage Reports estimates closing costs to range between 2-6% of your loan amount.
Here are some situations where refinancing might not be the best move for you:
Not sure if refinancing is right for you? That’s why we’re here! Our team can do a complete cost analysis for you before you start the process, making sure you’re confident in your decision before taking the first step.
Let’s say your tax refund this year wasn’t quite enough to make a huge dent on your homeownership goals today. Don’t worry, there are still ways to optimize your tax situation for next year’s return, potentially putting more money back in your pocket to fuel your homeownership dreams.
Here are some key strategies to consider:
Reach out to us to learn more about MCCs and eligibility requirements in your area!
Keeping good records of your mortgage-related expenses is crucial. This includes your loan documents, receipts for points paid, and documentation of any home improvements you make.
It’s important to note that tax laws can be complex, and eligibility for deductions and credits can vary depending on your specific circumstances. Consulting with a tax professional is always recommended to ensure you’re taking advantage of all the benefits available to you and remaining compliant with federal tax law. We can help you explore these options, or get you in contact with a great Tax Advisor.
By implementing these strategies and working with a trusted loan officer, you can turn your tax refund into a springboard for achieving your homeownership dreams. We’re here to guide you through every step of the journey, from maximizing your tax refund to navigating the mortgage process.
Get a no-cost pre-approval and explore down payment options for first-time homebuyers – click the Apply Now button above!
* NFM Lending is not a Financial Advisor, Tax Advisor or Credit Repair Company. You should consult with a Financial Advisor, Tax Advisor or Credit Repair Company to learn more. The pre-approval may be issued before or after a home is found. A pre-approval is an initial verification that the buyer has the income and assets to afford a home up to a certain amount. This means we have pulled credit, collected documents, verified assets, submitted the file to processing and underwriting, ordered verification of rent and employment, completed an analysis of credit, debt ratio and assets, and issued the pre-approval. The pre-approval is contingent upon no changes to financials and property approval/appraisal.
LINTHICUM, MD, April 25, 2024 – NFM Lending and its family of lenders have announced today that it is a 2024 Top Workplaces Culture Excellence honoree. Top Workplaces Culture Excellence awards recognize organizations that excel in specific areas of workplace culture. NFM was recognized in five categories:
Innovation: This award celebrates organizations that have embedded innovation into their culture and create an environment where new ideas come from all employees.
Work-Life Flexibility: This award celebrates organizations that offer their employees options in how and where they work and managers who care for their employees’ concerns.
Compensation & Benefits: This award celebrates organizations that provide employees with not only material rewards but also appreciation for their work.
Leadership: This award celebrates organizations whose leaders inspire confidence in their employees and the company’s direction. These leaders understand customers’ needs, which front-line employees hear every day.
Purpose & Values: This award celebrates organizations that have embedded their mission and values into their culture and are efficient in their work to bring it into reality.
“I am thrilled to share that our NFM Family of Lenders has been recognized for Culture Excellence by Top Workplaces,” said Stephanie Herring, Chief Human Resources Officer at NFM Lending. “This accolade reflects our collective effort to build an environment where passion, dedication, and innovation are at the forefront. It is a true testament to our unwavering commitment to not just meet, but exceed, the highest standards of workplace culture. Congratulations to every member of our team who plays a part in making our company a remarkable place to work!”
Top Workplaces awards are determined by feedback from a research-backed employee engagement survey. Energage, a purpose-driven organization that develops solutions to build and brand Top Workplaces, distributed the survey used to determine recognition in the Culture Excellence program. The Top Workplaces program has a 17-year history of surveying and celebrating people-first organizations nationally and across 60 regional markets.
“Earning a Top Workplaces award is a badge of honor for companies, especially because it comes authentically from their employees,” said Eric Rubino, Energage CEO. “That’s something to be proud of. In today’s market, leaders must ensure they’re allowing employees to have a voice and be heard. That’s paramount. Top Workplaces do this, and it pays dividends.”
About NFM Lending
NFM Lending is a full-service residential mortgage lender licensed in 49 states and the District of Columbia. We have a team of more than 1000 employees nationwide dedicated to a superior customer and business partner experience. The company was founded in Baltimore, Maryland, in 1998 by David
Silverman and his wife, Sandy, who are still involved in running the company. NFM Lending and its companies include Main Street Home Loans, BluPrint Home Loans, Elevate Home Loans, and Element Home Loans. They attribute their success in the mortgage industry to their steadfast commitment to customers and the community.
For more information about NFM Lending, visit www.nfmlending.com, like our Facebook page, or follow us on Instagram.
LINTHICUM, MD, April 19, 2024 – NFM Lending and Main Street Home Loans (a division of NFM Lending) are proud to announce that the Maryland Mortgage Program (MMP) has recognized them as Gold Tier lenders. This prestigious acknowledgment underscores their commitment to providing exceptional mortgage solutions to Maryland homebuyers.
The Maryland Mortgage Program is renowned for its 30-year fixed-rate home loan solutions tailored for eligible homebuyers purchasing in Maryland. MMP stands out due to its competitive loan terms and unique portfolio of financial incentives, including down payment and closing cost assistance, which significantly benefit many new homebuyers.
NFM Lending and Main Street Home Loans received this honor, demonstrating a deep understanding and exceptional ability to administer MMP loans. This recognition as a Gold Tier Lender place them at the forefront of over 100 approved mortgage lenders capable of expertly guiding homebuyers through the home purchasing process with customized loan packaging solutions.
Bob Tyson, President and COO of NFM Lending, expressed his enthusiasm about the recognition, stating, “We are thrilled to be acknowledged by the Maryland Mortgage Program as a Gold Tier Lender. This accolade is a testament to our dedicated team’s hard work and our commitment to providing valuable financing options to Maryland residents. Our goal is to continue making home ownership accessible and affordable, and our status as a Gold Tier Lender enhances our ability to do so.”
Nick Mautino, Sales Manager from NFM Lending and Kyndle Quinones, Branch Manager from Main Street Home Loans accepted the honor.
About NFM Lending
NFM Lending is a national mortgage lending company currently licensed in 49 states in the U.S. and Washington, D.C. The company was founded in Baltimore, Maryland in 1998. NFM Lending and its family of companies includes Main Street Home Loans, BluPrint Home Loans, Elevate Home Loans, and Element Home Loans. They attribute their success in the mortgage industry to their steadfast commitment to customers and the community. For more information about NFM Lending, visit www.nfmlending.com, like our Facebook page, or follow us on Instagram.
If you’re considering buying a home with an Accessory Dwelling Unit (ADU) or a property with ADU potential, or even adding one to your existing property, this is the article for you. Many Gen Z and millennial homebuyers are loving the idea of an Accessory Dwelling Unit to offset their mortgage with rental income through house-hacking. Other people may be interested in ADUs to gain extra living space for family, or with so many American’s working from home, added office space! There are tons of benefits to an Accessory Dwelling Unit and we’ll consider those and how you might go about owning one in this article.
ADUs are smaller secondary residential units on a single-family property. They typically feature a separate kitchen, bathroom, and entrance from the main house.
In today’s low-inventory housing market, ADUs are a great option for many people. Here are some reasons people build or buy properties with ADUs:
ADUs are versatile spaces that can serve various purposes depending on your goals. Consider if you want more internal space (like a basement conversion) or more yard space. Do you aim for rental income? Maybe you want to downsize and live in the ADU while renting the main house?
Home improvement projects like kitchen updates, bathroom additions, and energy-efficient windows can increase your home’s value. Building an ADU is another great way to add value.
ADUs can be profitable in smaller cities and towns as well as urban areas, but provide another great benefit of affordable housing in places where it is highly sought after. A study from Porch showed that in large cities, properties with ADUs typically sell for 35% more than similar homes without them.
There can be a few drawbacks to consider depending on the type of ADU you have, how you use it, and your expectations going in:
Adding an ADU may increase your property taxes because it increases the value of your property. It’s recommended to reach out to your county assessor’s office beforehand to determine the potential tax impact. Consulting with an accountant or tax advisor can also be beneficial to discuss your specific situation.
Whether or not an ADU can have a separate address depends on your location. Here are some possibilities:
Thinking about building an ADU requires early preparation for a smooth process. Zoning regulations and legal requirements are in place to ensure these projects align with the community’s planning goals. Cities and counties have varying approaches to ADUs; Some actively encourage them for more housing options, while others have restrictions to protect existing neighborhoods. Understanding the specific rules in your desired location is crucial. Don’t assume what’s allowed elsewhere applies to your area!
To ensure your ADU meets all requirements and integrates seamlessly with your property, working with experienced contractors and designers specializing in ADU construction is essential. Here are some qualities to look for in professionals:
Financing an Accessory Dwelling Unit can vary depending on how you plan to use it. If you intend to use rental income from the ADU to offset your mortgage or qualify for a larger loan, many loan types will allow for current or projected rental income to be taken into consideration, while others don’t.
USDA Loans: If you’re looking to buy a home outside of a big city, with no down payment, a USDA home loan is a great option. However, you cannot use rental income from an Accessory Dwelling Unit on the property to qualify for the mortgage. With a USDA loan, you would be better off using the ADU for single-family living, multigenerational living situations, or an office/additional space for those residing in the main unit.
If you’re interested in exploring the possibility of adding an Accessory Dwelling Unit to a property you’d like to buy, or purchasing a property with an Accessory Dwelling Unit already onsite, here are some next steps:
By carefully considering these factors and taking the necessary steps, you can determine if an Accessory Dwelling Unit is the right fit for you and unlock the potential value and functionality it can add to your current or future property.