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Frequently Asked Questions
Finest Capital is the
Superior Mortgage Source
Want easy fast
answers direct from an experienced loan professional? Use our
Quick
Quote Form - we'll answer all your questions and when you're
ready, deliver the right loan solution customized for you! Or for even
faster services call us at 516-933-1800. You'll be glad you did!
These FAQs relate to Residential and Commercial Institutional
(Bank)
loans.
Choose a category for instant access to the
complete list of questions.
 Before
You Apply
After
You Apply
Interest
Rates
Home
Equity
Closing
Mortgage
Insurance
Commercial
Loan Information
Company
Information
Before You Apply
I have not yet applied. Who do I contact for general
information and questions regarding your services?
If you have not been assigned a personal loan officer or underwriter,
you can speak with one of our qualified loan consultants by calling
516-933-1800. Our business hours are Monday through Friday, 9 am
to 5 pm EST.
Can I apply for a loan if I have filed
for bankruptcy?
Yes. In most cases, we can provide you with a loan if your bankruptcy
discharge is at least 1 year old. If your bankruptcy was discharged less than
12 months ago or if
your credit problems have continued, we may be able to still to approve
your loan.
I live outside the United States.
Can I still get a loan?
We offer commercial loans internationally. For Residential loans, if
you are a United States citizen or green cardholder and are purchasing a
property within the United States, you are eligible for our loan programs -
even if you currently live outside the United States. We also can
provide loans for US properties to foreign nationals. We will consider residential loans for properties located outside the United States.
Can I finance 100% of my loan?
Yes. We have several loan programs that offer 100% financing on purchases.
Do you require a minimum loan amount?
Yes. Currently we do not accept residential (1-4 family) applications for loans less than $50,000
however we can help guide you to lenders that provide these loans.
You must enter a loan amount of at least $50,000 to be considered for our
programs and interest rates. Some exceptions may apply so speak with a
loan consultant at 516-933-1800 for details.
Is there any cost to apply?
No. We do not require an initial up-front fee to submit an application
and for us to conduct a preliminary credit analysis which begins the
loan process. You will be required to submit an application fee once we
determine that we can place your loan and you decide to proceed.
How do I determine how much I can
afford to borrow?
Our calculators are
easy-to-use tools for estimating your buying power. Enter the required
information and see what you can afford. For more accurate answers you may prefer to speak directly with one of
our qualified loan specialists at 516-933-1800.
I do not have a lot of money for a
down payment. Can I still get a loan?
Yes. We have a variety of loan programs that offer a loan with a minimal
down payment. Your personal loan officer can explain these options to you
and help you find the best program for your needs.
Do I have to apply online or can I
phone, fax or mail my application?
Although getting started online is the fastest and easiest option, we can
also fax or express mail our application package to you. We'll do whatever
it takes to make you comfortable. Call us at 516-933-1800, and we'll make arrangements to complete the application over
the phone, via fax or mail.
I live near one of your offices. Can I come
in to complete an application?
Yes. Our offices are set up for client visits however we can take
application over the telephone, via mail or we'd love to meet with you at
your home or work to assist you in person. Please call us at 516-933-1800
and we'll get you started right away.
What documents will I need to provide
with my application?
Our streamlined loan process minimizes the number of documents that you are
required to provide; however, the actual documents that you need to send us
will vary based on your situation. For more information, please contact a
loan consultant at 516-933-1800.
What criteria do you use to evaluate
my loan application?
In addition to the information you submit in the online Fast Quote, we
review your personal finances, including your credit history, employment and
income, collateral, liabilities and assets.
What if I don't have an email address?
You do not need an email address to complete our online Fast Quote form,
just provide us your telephone number and we'll call. If you need one,
don't worry, there are many websites that offer free email accounts. Hotmail
(http://www.hotmail.com), Yahoo (http://www.yahoo.com), and MSN (http://www.msn.com)
are some of the most popular providers, and all three allow you to set up
your email account in a matter of minutes, free of charge. Remember, you can
always contact one of our loan officers at 516-933-1800,
and have them take your information over the phone, via fax or mail.
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After
You Apply
What should I expect once I complete the
online application?
After completing one of our online forms, a loan officer will contact you to
answer any questions you may have, discuss your loan program options and
complete the application process.
How long will it take for my loan to be
approved?
Upon receipt and verification of all required supporting information and
documentation, we can approve your loan within 1 business day if your loan
qualifies for one of our automated underwriting systems. Even if you do not
qualify for desktop underwriting, your loan can be approved within 5
business days, provided we have obtained sufficient up-front information
from you.
Who do I contact once my loan is in
process?
Once we have received your completed application and supporting
documentation, an underwriter will be assigned to your file. Your
underwriter will be responsible for collecting any remaining documentation,
preparing your application for approval, and clearing your file for closing.
What should I do if I entered my
information incorrectly and need to correct it? How can I update my
information?
For security purposes, we do not allow borrowers to update their profiles on
the website. If you have already completed an application and need to
correct or update your information, you may call us at 516-933-1800 or
email us and a loan officer will make the
changes you request.
How can I check the status of my application
or loan?
During application, your loan officer is available to answer your questions
and offer advice. Once your loan is in process, your underwriter can provide
you with status updates and any additional information you may require.
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Interest Rates
What are the differences between fixed
and adjustable rate mortgages?
Adjustable rate mortgages (ARMs) offer a lower initial interest rate than
most fixed rates loans; however, the interest rate can change periodically
(usually in relation to an index) and your monthly mortgage payment will go
up or down accordingly. With a fixed rate mortgage, your interest rate and
monthly mortgage payments will stay the same for the life of your loan,
regardless of market conditions. When weighing the advantages and
disadvantages of both, it is important to consider how much risk you are
willing to assume. For many people, an ARM is the right mortgage choice,
particularly if your income is likely to increase in the future or if you
only plan on being in the home for 3 to 5 years. On the other hand, if you
are looking to put the kids through college or buy a new car in the future,
then a fixed rate mortgage is a safer choice.
How do I know if it's best to lock my
rate or let it float?
Mortgage interest rate movements are as hard to predict as the stock market,
and no one can really know for certain whether they'll go up or down.
If you have a hunch that rates are on an upward
trend, then you'll want to consider locking the rate as soon as you are
able. Before you decide to lock, make sure that your loan can close within
the lock in period. It won't do you any good to lock your rate if you can't
close during the rate lock period. If you think rates might drop while your
loan is being processed, take a risk and let your rate "float" instead of
locking. You can watch rates and lock in depending on the loan program. It's a good idea to
discuss your options with your loan officer - he or she is an excellent
resource for rate information.
When can I lock my rate?
You can lock your rate as soon as you find a property and complete our
application. After submitting your completed online application, your
personal loan officer will contact you. At that time, you may decide to lock
your rate. Please note that you must specify a property address in order to
lock.
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Home
Equity
What is a Home Equity Loan?
A Home Equity Loan, also known as a second mortgage, allows you to borrow a
one-time disbursement of funds*, using the equity in your current home or
property as collateral. Your interest rate is usually fixed and the loan is
amortized over a fixed term. Like a traditional mortgage, you borrow a set
amount, you receive the set amount of funds in one disbursement and then you
pay that loan back with interest over a set amount of time.
* You may borrow up to 100% of the equity in
your home. Because you have the option to rescind or cancel your loan for up
to 3-days following the closing, your money will not be distributed until
the end of this 3-day rescission period.
What is a Home Equity Line of Credit?
A Home Equity Line of Credit allows you to periodically access an account of
funds* via various means, using the equity in your current home or property
as collateral. This loan is similar to a credit card account in that you are
only charged interest on the outstanding balance, and there is usually a
credit limit or maximum that you can draw against. For instance, you may
have a credit limit of $100,000, but if you only withdraw $5,000 of that,
you will only pay interest on that $5,000. The interest rate is usually tied
to the Prime Rate with a margin, and may even be below Prime.
* You may borrow up to 100% of the equity in
your home. Because you have the option to rescind or cancel your loan for up
to 3-days following the closing, your money will not be accessible until the
end of this 3-day rescission period.
What is the difference between a fixed rate
and a variable rate?
With a fixed rate loan/line, the interest rate will not change during the
term of the loan. With a variable rate, the interest rate will move up or
down, according to a pre-selected index, over the term of the loan. Home
Equity loans offer a fixed interest rate, and Home Equity Lines of Credit
feature a variable rate. Interest rates are based on the amount you borrow
and the loan term.
What can I use Home Equity money for?
Home Equity Loans and Lines of Credit can be used for almost anything. The
most common uses include debt consolidation, home improvement,
purchase/payoff of auto, boat or other high-ticket items, purchase of
investment property, college tuition and future ready reserve.
Is the interest tax deductible?
In most cases the interest on home equity loans and lines of credit can be
tax deductible. Consult your tax advisor about your specific situation.
Will my first mortgage be affected by a home equity loan?
No. Your first mortgage balance is used to determine your borrowing options,
but your home equity loan/line is totally separate and has no effect on your
first mortgage.
How much can I borrow?
Your loan/line amount is determined by taking a percentage (up to 100%) of
your home's fair market value and subtracting the balance of any outstanding
mortgages on the property. Please refer to the
Home Equity Loan Calculators to help you
determine how much you can borrow.
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Closing
Where will the
closing take place?
Closings may be held in our corporate headquarters in Hicksville, at an attorneys office or the borrower's home
or office.
When will I know the exact amount of money I
will need at closing?
Just to make sure there are no surprises at
closing, your underwriter will contact you a few days before the closing
date to review your final costs and loan terms. If you're purchasing a new
home, the numbers that the underwriter provides are related to your new
mortgage only. Additional costs or even credits may need to be applied based
on your agreement with the seller. The closing agent will calculate the
exact amount that you'll need to bring to closing and contact you at least
24 hours prior to closing with the final figures. The funds you bring to
closing must be in a certified form, such as a bank check or money order.
You should consult your attorney about these items.
What happens at the loan closing?
The closing will take place at the office. If you are purchasing a new
home, the seller may also be at the closing to transfer ownership to you,
but in some states these two events actually happen separately. During the
closing, you will be reviewing and signing several loan papers, including
the Settlement Statement, the Truth-in-Lending Statement, the Note and the
Mortgage or Deed of Trust. Just to make sure that there are no surprises at
closing, your underwriter will contact you a few days before closing to
review your final fees, loan amount, first payment date, etc.
What's included in closing costs?
Closing costs are expenses over and above the price of the property. Closing
costs include points fees, attorney's fees, taxes, prepaid insurance,
points, escrow, title insurance and survey fees. Closing costs usually
amount to between 2 and 6 percent of your mortgage. A complete list of your
closing costs can be found on the HUD 1 Settlement Statement, and your
underwriter will go over your closing cost items with you as well.
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Mortgage Insurance
What is Private Mortgage Insurance or PMI?
PMI is a type of insurance provided by a private mortgage insurance company
that protects us, the lender, in the event that you default on the loan.
Mortgage insurance is usually required on a conventional loan when your down
payment is less than 20%.
How do I pay for mortgage insurance?
Mortgage Insurance premiums can be paid annually from an escrow account,
paid up-front as a closing cost or financed in your loan amount and paid
monthly as part of your mortgage payment.
How can I avoid mortgage insurance?
The easiest way to avoid PMI is to make a down payment of at least 20% of
the purchase price of the property. However, if you do not have the funds,
you may consider a second mortgage loan, sometimes called a piggyback loan.
The most common type of second mortgage is an 80/10/10, where a down payment of 10%
is made, 80% is financed as usual, and the remaining 10% is financed in a
second mortgage at a higher interest rate. The "blended rate" of the
80/20 may result in lower payments than an 80% + mortgage with PMI.
When can I cancel my mortgage insurance?
Typically, PMI will no longer be required once your loan balance falls below
80% of the home value. You can reach this 80% level by 1) paying off enough
of your loan over time to reduce the principal balance, 2) your home
appreciating (increasing in value) enough that your loan balance is less
than 80%, or 3) a combination of the two.
You should verify that your loan agreement
allows for PMI to be cancelled once you reach the 80% loan-to-value ratio.
Sometimes, your PMI will be cancelled automatically once you have paid
enough; however, we will not know if your house increases in value. You will
need to provide us with a certified appraisal of your house in order to
verify the current market value.
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Commercial Loan Information
Do you finance land loans?
Yes, we provide commercial loans for land.
Call to speak with one of our loan consultants at 516-933-1800.
Do you finance mixed-use property loans?
Yes, we provide commercial loans for mixed-use properties.
Call to speak with one of our loan consultants at 516-933-1800.
Do you finance commercial property loans?
Yes, we provide commercial loans for commercial properties.
Call to speak with one of our loan consultants at 516-933-1800.
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Company Information
Finest Capital Ltd is a
Registered Mortgage Broker, New York State Banking Department
arranging 1 - 4 family residential and commercial mortgages through
excellent 3rd party providers.
Finest Capital Ltd shops hundreds of loan programs and rates offered
by the nation's leading wholesale lenders to find the best program and terms
for your residential and commercial institutional needs. You deal
directly with us - and
only us - from application to closing. This ensures a faster, more efficient
loan process and expert service from start to finish.
Finest Capital Ltd's commercial loan division has many
commercial institutional (bank) lenders ready to meet your
commercial and business financing needs and we have affiliate direct lenders
providing private bridge (hard money) loans.
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