1. How do I know how much house I can afford? Answer
2. What is the difference between a fixed-rate loan and an adjustable-rate loan? Answer
3. How is an index and margin used in an ARM? Answer
4. How do I know which type of mortgage is best for me? Answer
5. What does my mortgage payment include? Answer
6. How much cash will I need to purchase a home? Answer
7. What documents will I need for pre-approval? Answer
8. Employment Opportunities Answer

Q : How do I know how much house I can afford?
A : Generally speaking, you can purchase a home with a value of two or three times your annual household income. However, the amount that you can borrow will also depend upon your employment history, credit history, current savings and debts, and the amount of down payment you are willing to make. You may also be able to take advantage of special loan programs for first time buyers to purchase a home with a higher value. Give us a call, and we can help you determine exactly how much you can afford.
 
Q : What is the difference between a fixed-rate loan and an adjustable-rate loan?
A : With a fixed-rate mortgage, the interest rate stays the same during the life of the loan. With an adjustable-rate mortgage (ARM), the interest changes periodically, typically in relation to an index. While the monthly payments that you make with a fixed-rate mortgage are relatively stable, payments on an ARM loan will likely change. There are advantages and disadvantages to each type of mortgage, and the best way to select a loan product is by talking to us.
 
Q : How is an index and margin used in an ARM?
A : An index is an economic indicator that lenders use to set the interest rate for an ARM. Generally the interest rate that you pay is a combination of the index rate and a pre-specified margin. Three commonly used indices are the One-Year Treasury Bill, the Cost of Funds of the 11th District Federal Home Loan Bank (COFI), and the London InterBank Offering Rate (LIBOR).
 
Q : How do I know which type of mortgage is best for me?
A : There is no simple formula to determine the type of mortgage that is best for you. This choice depends on a number of factors, including your current financial picture and how long you intend to keep your house. Woodside Mortgage Services Inc can help you evaluate your choices and help you make the most appropriate decision.
 
Q : What does my mortgage payment include?
A : For most homeowners, the monthly mortgage payments include three separate parts:
  • Principal: Repayment on the amount borrowed
  • Interest: Payment to the lender for the amount borrowed
  • Taxes & Insurance: Monthly payments are normally made into a special escrow account for items like hazard insurance and property taxes. This feature is sometimes optional, in which case the fees will be paid by you directly to the County Tax Assessor and property insurance company.
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    Q : How much cash will I need to purchase a home?
    A : The amount of cash that is necessary depends on a number of items. Generally speaking, though, you will need to supply:
  • Earnest Money: The deposit that is supplied when you make an offer on the house
  • Down Payment: A percentage of the cost of the home that is due at settlement
  • Closing Costs: Costs associated with processing paperwork to purchase or refinance a house
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    Q : What documents will I need for pre-approval?
    A : LOAN UNDERWRITING NEEDS LIST For the purposes of underwriting your mortgage, we will need the following items for all borrowers that will be on the mortgage. All items noted may not apply. If you have any questions, make sure you discuss them with your loan officer. 1. Most recent two years Federal tax returns including W-2s, 1099s and any other schedules. The IRS must have all copies of tax returns on file to be valid. Please do not send state of local taxes. 2. Three (3) most recent pay stub(s) depicting month and year to date earnings; we may need additional paystubs prior to closing. 3. Last 2 months asset statement(s) (all pages including blank pages) for account(s) being used for down payment and closing costs. All non-payroll deposits must be verified. 4. Copy of divorce decree/separation agreement (if applicable) including documentation of minimum 6-month history of payments (cancelled checks, CSEA printout, etc.). 5. Bankruptcy discharge documentation, if applicable. 6. Copy of current mortgage statement (for refinances only). 7. Copy of driver’s license(s). 8. Name and phone number of insurance agent. 9. Credit card information: - Name of holder - Number - Security code - Expiration date - Billing address The credit card information is required to lock loan terms including interest rate. The credit card account will be charged approximately $400 for the cost of an appraisal report; this amount will be credited at loan closing. IMPORTANT: Please advise if the property will be held in a trust (purchases) or is presently held in a trust (refinances). Please do not staple any documents.
     
    Q : Employment Opportunities
    A : Woodside Mortgage is always looking for experienced professionals to join our team. We employ seasoned loan originators, not order takers, and require a minimum two years experience as a residential loan originator. Accordingly, we pay top commissions and bonuses and provide premium benefits including a 100% co-insurance health plan, dental, 401(k), life and other. If you are interested in working with Ohio’s leading team of residential loan originators, call 800-929-2202 or fax your resume to 216-591-2398.