Mortgage Basics 101

I just found the house of my dreams…now I need a mortgage. Where do I go? Who do I talk to? What do they need?

You might be surprised to find that these are very common questions. The best answer to all of them is do your research, be accountable, and be INFORMED. Applying for a mortgage is a little more involved than shopping for a car, but not much (and some might say it’s a little easier).

In general there are 2 basic types of mortgages, fixed and adjustable rate. Underneath the umbrella of these two categories are a wide variety of programs and variations. Fixed rates are the most common, and give you a definite payment and timeline of amortization. Adjustable rates offer you a lower initial payment, but the structure allows your rate to increase according to market factors and you may end paying a significantly higher rate than when the mortgage began.

When speaking with a loan officer or mortgage lender, you will need the following from each individual who will be listed on the loan:

• 2 years of W-2’s and federal returns
• 1 month most recent pay stubs
• 2 months bank statements

Most importantly, be open, honest, and partner with your mortgage lender and loan officer.

Advanced Mortgage Services is conveniently located on the South Shore in Braintree, Norwell, & Plymouth.

For additional information on services offered by Advanced Mortgage Services please call 781-659-6555, 508-747-9520, 888-665-6345, or visit www.ams-loan.com. A Fair Housing and Equal Opportunity Lender, Advanced Mortgage Services is a fully insured and licensed Massachusetts Mortgage Lender and Mortgage Broker (license #MC3702.)

0 Down Loans

While it seems that we have all heard about the subprime mortgage disaster there are still reputable programs available to help acquire a mortgage and become a home owner for little money up front.

Fannie Mae has a pilot program called ‘Affordable Advantage’. This program is available in 3 states (Massachusetts, Wisconsin, & Idaho) to a limited number of borrowers, and can help you to purchase a home for as little as $1,000 down. The criteria include:

• First time home buyer
• 30 year fixed rate mortgage
• Documentable employment history
• Good credit (scores of 680 – 720)
• Participated or undergone credit/housing counseling

There is a fair amount of controversy and concern with this program. One of the biggest concerns is that in a time of declining home values, it is quite possible that the new home owner could immediately be ‘underwater’ when putting such a small amount of equity into the initial purchase of a home.

The important thing to note is there are options out there. Mortgages and home ownership are complex and significant matters. Fortunately, we have an amazing staff of loan officers at Advanced Mortgage Services who can guide you through your options and educate you to the proper choice.

Advanced Mortgage Services is conveniently located on the South Shore in Braintree, Norwell, & Plymouth.

For additional information on services offered by Advanced Mortgage Services please call 781-659-6555, 508-747-9520, 888-665-6345, or visit www.ams-loan.com. A Fair Housing and Equal Opportunity Lender, Advanced Mortgage Services is a fully insured and licensed Massachusetts Mortgage Lender and Mortgage Broker (license #MC3702.)

ARMs – Good Thing or Bad Thing?

Adjustable rate mortgages (ARMs) offer early rates that are lower than fixed rate mortgages. After the introductory period - usually in the first year – your rate is calculated to market conditions and is subject to potential increases. The increase on your rate may be capped by the terms of your loan by the year and also over the life of the loan.

The affordability of an ARM, especially during the initial period makes it an attractive option to home buyers. However, you should consider multiple factors before signing on the dotted line:

• Typically a good solution if you plan to stay in your home no more than 3 - 5 years
• Be confident in a worst case scenario that your future income would be enough to cover both the potential increase in rates and your monthly payments
• How comfortable are you with the risk factor?

Keep in mind that the first word of ARM is adjustable, as long as you are well informed, have a good relationship with your mortgage lender, and understand all the factors of an adjustable rate mortgage, you may find that this is the perfect mortgage for you.

Advanced Mortgage Services is conveniently located on the South Shore in Braintree, Norwell, & Plymouth.

For additional information on services offered by Advanced Mortgage Services please call 781-659-6555, 508-747-9520, 888-665-6345, or visit www.ams-loan.com. A Fair Housing and Equal Opportunity Lender, Advanced Mortgage Services is a fully insured and licensed Massachusetts Mortgage Lender and Mortgage Broker (license #MC3702.)

Is loan modification an option for me?

This is actually a very broad reaching question, however with the right tools and knowledge Advanced Mortgage Services may be of help to you.

First, loan modification is not a new loan (like refinance). It is a change in the terms of your existing loan. General qualifications include:

• Loan MUST be controlled by Freddie Mac or Fannie Mae
• Mortgage originated before 1/1/2009
• Home MUST be the owner’s primary residence
• Have a mortgage balance of less than $729,750
• The owner’s debt to income ratio must show that the monthly mortgage payment is more than 38% of the owner’s pre-tax monthly income.
• Mortgage difficulties must be due to financial hardship (i.e. change in income, unexpected medical expenses, increase in payments)

Advanced Mortgage Services is conveniently located on the South Shore in Braintree, Norwell, & Plymouth.

For additional information on services offered by Advanced Mortgage Services please call 781-659-6555, 508-747-9520, 888-665-6345, or visit www.ams-loan.com. A Fair Housing and Equal Opportunity Lender, Advanced Mortgage Services is a fully insured and licensed Massachusetts Mortgage Lender and Mortgage Broker (license #MC3702.)

Reverse Mortgage…just what is it?

A reverse mortgage is available to individuals who meet the following criteria:
• At least 62 years of age
• Occupy the home as a primary residence for the duration of the loan
• Own the home out right or only owe a small amount on the existing mortgage that can be paid off at closing time with the advance of the reverse mortgage

Quite simply a reverse mortgage allows you to receive monthly payments against the equity of your home (think of it as the opposite of a conventional mortgage). While the mortgage payment that you receive is part of a mortgage loan that you must pay back, you will NOT have to pay the loan back as long as you live in the home. If you pass away or stop living in the home as your primary residence the loan must then be re-paid. The total amount owed at the end of the loan is equal to the payments received, plus accrued interest.

General benefits of a reverse mortgage:
• Tax free
• No income restrictions
• Most payments will not affect Social Security or Medicare benefits


Many seniors use a reverse mortgage as a tool to supplement their Social Security or Medicare benefits.

Massachusetts mortgage lender Advanced Mortgage Services is a renowned expert in the field of reverse mortgages. Loan officers at both locations are ready to answer your reverse mortgage questions, and assist you with the entire process through the final transaction.

Advanced Mortgage Services is conveniently located on the South Shore in Braintree, Norwell, & Plymouth.

For additional information on services offered by Advanced Mortgage Services please call 781-659-6555, 508-747-9520, 888-665-6345, or visit www.ams-loan.com. A Fair Housing and Equal Opportunity Lender, Advanced Mortgage Services is a fully insured and licensed Massachusetts Mortgage Lender and Mortgage Broker (license #MC3702.)

Carol Nemet Curran named Loan Officer at Advanced Mortgage Services

Advanced Mortgage Services recently announced the appointment of Carol Nemet Curran as a Licensed Loan Officer. Advanced Mortgage Services, with offices in Norwell and Plymouth, MA, is a full service mortgage company offering a wide range of financing programs tailored to meet each customer’s needs.

As a Loan Officer at Advanced Mortgage Services, Nemet Curran will draw on her extensive experience in the mortgage industry, ranging from loan origination to risk assessment and underwriting activities. In addition, Nemet Curran has also been actively involved in the marketing, technical, and educational aspects of the mortgage industry.

Before joining Advanced Mortgage Services, Nemet Curran most recently served as Senior Loan Officer/Marketing Representative at Consolidated Mortgage Services, Inc.

Nemet Curran received a B.A. in Economics from the University of Massachusetts Boston, and a Graduate Certificate from the Program for Women in Politics and Public Policy at the McCormack Graduate School of Policy Studies at the University of Massachusetts Boston. She is a dedicated advocate for mental health care services for children and is actively involved at the State House. In her free time, she is also devoted to her artistic passion as a professional photographer.

A native of Weymouth, MA, Nemet Curran resides with her husband and son in Kingston, MA.

Wounded Warrior Project receives over $10,000 from Advanced Charitable Services, presented by Norwell and Plymouth based Advanced Mortgage Services

Advanced Mortgage Services staff presents a generous check to Wounded Warriors on behalf of Advanced Charitable Services, Inc., a non-profit organization to promote and raise funds for worthy charitable causes. The over $10,000 donation that will benefit wounded Iraq and Afghanistan veterans was raised via a golf tournament. Advanced Mortgage Services staff volunteered their time and efforts to manage the tournament.



(Left to right) Included in the presentation are Advanced Mortgage staffers Brian Comer, Trish Foley, Linda Perry of Wounded Warriors, Jim “Wojo” Wojciechowski, Larry Corcoran, Sheree Kent, Andrew Van Dyk, Stacey Jordan and Carol Curran.

Wounded Warriors Project, a national organization that helps wounded veterans of the Iraq and Afghanistan engagements, received a financial boost via a check for $10,500 from Advanced Charitable Services based in Norwell, MA.

The sizable donation was raised via a golf tournament recently held at Southers Marsh Golf Club, Plymouth. More than 85 golfers participated in the fund-raiser which included a round of golf, dinner, awards and auction.

“We are delighted to help out the veterans who paid a high price for our freedom,” noted Brian Comer, President of Advanced Mortgage Services. He added, “The spirit and the success of this initial event have inspired us to make it an annual outing and fund-raiser for this great cause.”

Michele Comer, Senior Vice President of Advanced Mortgage Services based in Norwell and Plymouth, Mass., formed Advanced Charitable Services, Inc., a non-profit organization to promote and raise funds for worthy charitable causes.

Linda Perry, Area Outreach Coordinator for the Wounded Warrior Project, was on hand to accept the check and noted, "This kind of contribution and community effort help raise the spirits of our wounded Iraq and Afghanistan vets, as well as help to fund the programs and services that the Wounded Warrior Project offers to help them to rehabilitate and assimilate back into the civilian world."

Wounded Warriors offers a range of programs, services and events designed for an individual’s needs beyond a vet’s hospital stay. Services range from combat stress recovery, peer mentoring, family caregiving, benefits counseling, advocacy, disabled sports programs, and backpacks stocked with necessary items for vets as they are discharged from a medical facility.

The mission of the Wounded Warrior Project is to honor and empower wounded warriors. Its purpose is to raise awareness and to enlist the public’s aid for the needs of severely injured service members, to help severely injured men and women aid and assist each other, and to provide unique, direct programs and services to meet their needs. WWP is a national, apolitical organization headquartered in Jacksonville, FL.

The next golf tournament/fund-raiser for Wounded Warriors is scheduled for this summer. To participate, contact Stacey Jordan, (800) 337-4660.

HUD’s little known 203(k) Mortgage Program expands options for homeownership

DATELINE: NORWELL and PLYMOUTH, MA…
A fixer-upper or handyman special may be all you can afford but how can you get a mortgage on a house that needs work? It’s a catch-22 situation that vexes potential homebuyers eager to become a homeowner in today’s buyer’s market.

“Many potential homeowners aren’t even aware of the existence of HUD 203 (k) loans that are specifically designed to meet the challenge of financing the purchase of a home that needs rehabilitation,” explains Brian Comer, President of Norwell and Plymouth based Advanced Mortgage Services. “The 203 (k) program eliminates the need to take out multiple loans to fix up a property. Rather than taking out a short term loan to buy the property, and another short term loan to cover the costs of repairs and improvements, and a third loan to obtain permanent financing to cover the first 2 loans, the 203 (k) program allows the borrower to take out one loan to cover both the purchase and rehabilitation costs.”

According to HUD (The US Department of Housing and Urban Development) guidelines, the 203(k) loan process includes the following steps:
* A potential homebuyer locates a fixer-upper and signs a contract contingent on 203 (k) loan approval
* Working with an FHA-approved 203(k) lender, the homebuyer arranges for a detailed proposal showing the scope and cost of the work that needs to be done
* An appraisal is done to determine the value of the property after renovation
* If the homebuyer meets the lender’s credit criteria, the loan will be issued for an amount covering the cost of the property, remodeling costs, closing costs and a contingency reserve.
* At the closing the seller is paid and the remaining funds are escrowed to pay for repairs and improvements.
* Work begins after the loan closes
* Escrowed funds are released during the construction period to pay for repairs as they are completed
* 10% of each payment for repairs is held back until the lender determines their will be no liens on the property after rehabilitation is complete

Advanced Mortgage Services is an approved HUD 203 (k) lender. For further information about this government insured mortgage program please call 781-659-6555, 508-747-9520, or 888-665-6345, or visit www.ams-loan.com.

Advanced Mortgage Services outlines options for tapping into home equity for cash strapped senior homeowners.

DATELINE: NORWELL and PLYMOUTH, MA…
With investments down and a continuing consumer credit crunch, more and more seniors are taking a second look at reverse mortgages as an attractive way to tap into the equity in their home. Even though home values have fallen, many senior homeowners retain a sizeable amount of equity in their homes.

“Tapping into a home’s equity is a very viable option for senior homeowners who are cash poor and house rich,” explains Brian Comer, President of Norwell and Plymouth based Advanced Mortgage Services. “Reverse mortgages continue to offer seniors the ability to be able to stay in their homes and maintain their quality of life as they age without having to worry about the limitations of a restricted income.”

A reverse mortgage is essentially the opposite of a traditional mortgage. Unlike traditional mortgages where borrowers make monthly payments, in a reverse mortgage the cash flow is reversed, and the lender makes payments to the borrower, enabling borrowers to use the tax free cash they receive in any way that they wish. Seniors commonly use the money to supplement their retirement income, pay for medical expenses, pay off an existing mortgage or debt, fund home repairs, or for travel or vacations. Payment may be received in a lump sum, as a line of credit, or in monthly installments.

To qualify senior homeowners must have positive equity in their homes and all homeowners listed on the title must be at least 62 years of age. There are no minimum income, asset, or credit qualifications to meet and no effect on Social Security or Medicare benefits sine the IRS currently treats mortgage proceeds as a loan advance rather than taxable income. The property must be the primary residence of the borrower and properly insured and maintained, with real estate taxes kept current. As long as the borrower continues to live in the property the loan can never be called.

Unlike a traditional mortgage where the balance starts high and the borrower’s monthly payments reduce the loan balance, the balance of a reverse mortgage loan starts low and continues to increase as more cash is drawn and the deferred interest charges are added to the balance. Repayment is required if the home is sold, or when the last borrower permanently leaves the property, or passes away. At that time, the heirs can sell or refinance the property to pay off the loan.

The only reverse mortgage insured by the U.S. Federal Government is called a Home Equity Conversion Mortgage or HECM, and is only available through an FHA approved lender. According to the National Reverse Mortgage Lender’s Association, HECMs, which are insured by the Federal Housing Administration (FHA), a branch of the U.S. Department of Housing and Urban Development (HUD), account for nearly all reverse mortgages made today in the U.S.

The number of HECM loans made during the current recession have remained steady despite decreasing home values. HUD data, which is reported by federal fiscal year (each federal fiscal year begins October 1 and runs through September 30 of the following year) shows that 114,692 HECM loans were made during FY 2009, and 112,154 HECM loans during FY 2008.

For additional information please call the Reverse Mortgage Division of Advanced Mortgage Services at 888-665-6345 for a free personalized consultation.

Advanced Mortgage Services LLC
Advanced Mortgage Services LLC was founded as a mortgage lending company in 2005 by Brian Thomas Comer, a financial services professional with more than 13 years experience in the South Shore real estate market. Advanced Mortgage Services is a full service mortgage company that values and nurtures long-term customer relationships, providing options and solutions with maximum benefit and genuine concern for their customer’s interests.

Advanced Mortgage Services team of loan officers maintains rigorous licensing requirements set by the Massachusetts Division of Banks and is committed to upholding the highest standards in the mortgage industry while offering customers the best possible solution for any mortgage-related needs.

Advanced Mortgage Services, which is an active participant in many community events and organizations throughout the South Shore, is located at 335 Washington Street in Norwell, MA 02061 and has an additional office at 25 Main Street in Plymouth, MA 02360.

For additional information on services offered by Advanced Mortgage Services please call 781-659-6555, 508-747-9520, or 888-665-6345, or visit www.ams-loan.com. A Fair Housing and Equal Opportunity Lender, Advanced Mortgage Services is a fully insured and licensed Massachusetts Mortgage Lender and Mortgage Broker (license #MC3702.)

Dazzling decorating reaps rewards for Habitat.

DATELINE: NORWELL and PLYMOUTH, MA…
Plymouth’s 1st annual holiday window decorating contest in the downtown business district featured a $500 prize, donated by The Plymouth Growth and Development Corporation, for the business or organization whose window decorations garnered the most votes. Enterprising fundraisers at Habitat for Humanity of Greater Plymouth wanted to compete in the contest to aid in their ongoing fundraising efforts but were thwarted by the lack of a downtown Plymouth storefront to decorate.

Advanced Mortgage Services, with 3 storefront windows at their 25 Main Street offices, offered an ideal location for Habitat volunteers to ply their magical decorating skills. Eager to partner with Habitat, Advanced Mortgage Services not only agreed to let Habitat use their windows to decorate, but also upped the ante by offering to double Habitat’s prize if they won the contest.

For Brian Comer, President of Norwell and Plymouth based Advance Mortgage Services, the contest represented more than just window dressing, “We’re in the business of helping folks become homeowners. By partnering with Habitat we’ll be contributing in a small way to someone becoming a new homeowner down the road. We were pleased to have this opportunity to help out.”

One of Habitat for Humanity of Greater Plymouth’s upcoming projects will include building a new Habitat home on South Street in Plymouth, a project that Comer hopes Advanced Mortgage Services employees will also aid with some sweat equity when building gets underway later this year.

Advanced Mortgage Services LLC
Advanced Mortgage Services LLC was founded as a mortgage lending company in 2005 by Brian Thomas Comer, a financial services professional with more than 13 years experience in the South Shore real estate market. Advanced Mortgage Services is a full service mortgage company that values and nurtures long-term customer relationships, providing options and solutions with maximum benefit and genuine concern for their customer’s interests.

Advanced Mortgage Services team of loan officers maintains rigorous licensing requirements set by the Massachusetts Mortgage Bankers Association and is committed to upholding the highest standards in the mortgage industry. With a combined expertise of more than 50 years, Advanced Mortgage Services offers customers the best possible solution for any mortgage-related issue.

Advanced Mortgage Services, which is an active participant in many community events and organizations throughout the South Shore, is located at 335 Washington Street in Norwell, MA 02061 and has an additional office at 25 Main Street in Plymouth, MA 02360.

For additional information on services offered by Advanced Mortgage Services please call 781-659-6555, 508-747-9520, or 888-665-6345, or visit www.ams-loan.com.