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Secured Loans on Home

Bills.com Team
UpdatedMar 26, 2024

Can you sell your home if you have a loan secured on it, if you intend to pay it off at the end of the sale?

Can you sell your home if you have a loan secured on it, if you intend to pay it off at the end of the sale?

Yes, you can sell your home if it is secured by a mortgage. A mortgage, or home loan, is a lien against the title of the home. Theoretically, that means that if you ever sell, or refinance, your current home then the mortgage loan will be paid off.

Practically speaking, what happens when you sell your home is that the proceeds will actually be paid out of an Â"escrowÂ" account, or a short-term account that is used to pay off liens against the title. This usually happens at the closing. Any proceeds left over, after paying off liens and fees and closing costs, will then be transferred to your bank account (hopefully you make money on the home sales!)

In order to insure that the title is ‘cleanÂ’ Â- a title insurance company will usually come in at closing and certify that everything is paid off before you get your proceeds.

I hope that his helps you make the right decision for your particular situation, and thanks for asking Bill for help!

I hope this information helps you Find. Learn & Save.

Best,

Bill

Bills.com

Mortgage market update: the latest

No surprise that mortgage rates fluctuate. If you are thinking about purchasing a home or maybe considering refinancing your current mortgage, then you want to be up to date on mortgage rates.

Mortgage rates February 21, 2024
According to Freddie Mac, the 30-year mortgage rate for the week of February 21, 2024 is 6.9%. This represents a 13 basis points increase from the previous week's rate.
Note: A basis point is equal to one-hundredth of one percent (0.01%). In numerical terms, if the mortgage rate changes by 20 basis points, it means the rate has changed by 0.20%.
According to Freddie Mac, the 15-year mortgage rate for February 21, 2024 is 6.29%. This is a 17 basis points increase from last week’s rates.

What does the mortgage rate mean for you?
Mortgage rates play a vital role in determining your monthly payment. Let's take a look at the avergage interest rates (APR) for February 25, 2024 based on Zillow data for borrowers with a high credit score (680-740) in the United States:

  • For a 30-year conventional loan, the interest rate is 6.88%.
  • If you opt for a 15-year conventional loan, the interest rate stands at 6.08%.
    Using the rates mentioned above, a $279,082 30-year-year mortgage would result in a monthly payment of $1,834. On the other hand, a 15-year mortgage would require a monthly payment of approximately $2,367.

Experience a smooth mortgage process: Shop around and get pre-approved today!
Shopping around for mortgages and getting pre-approved can make your home-buying or refinancing process easier. Ready to take the plunge? Check Out mortgage rates now for the best options available.

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2 Comments

BBill, Jul, 2009
Go to https://www.bills.com/autoloan/loan/ fill out the form, and you will be contacted by up to four lenders matched to you. The individual lenders matched to you may or may not make title loans for boats, motorcycles, or airplanes.
BBob Atwell, Jul, 2009
do you have boat loans?