Understanding Mortgage Discount Points

When applying for a home loan at the Lake of the Ozarks, you want to get the best rate possible for you. In today's blog, your Lake of the Ozarks mortgage lender discusses mortgage discount points and how they can help you lower your interest rate and save you money in the long run. 

Mortgage Discount Points

Mortgage discount points are a one-time, upfront fee that gives the borrower access to a discounted mortgage rate. Essentially, it's prepaid mortgage interest. In general, one discount point will lower your mortgage rate by 25 basis points or 0.25%. The points are fees used to "buy-down" your mortgage interest rate. The cost of each discount point is equal to 1% of your total loan. Be sure not to confuse these points with "origination points," which are fees the bank charges to do your loan.

How Your Mortgage is Affected

As a rule of thumb, one discount point will lower your mortgage rate by 0.25%. However, two discounts points won't necessarily lower your mortgage rate by 0.5%. Different banks will offer different sets of discounts in exchange for you buying points. While your upfront costs will increase, you can see a significant savings in your monthly payment when you choose to purchase discount points. In addition, the costs of your discount points are tax-deductible, so there's also a tax advantage to purchasing discount points.

Should I Purchase Discount Points?

Every Lake of the Ozarks mortgage loan will have its breakeven point for buying points. If you plan to stay in your home beyond that point (and don't plan to refinance), then purchasing the discount points is probably a good idea. If not, the points can be a waste, so be sure to do the math to see if its the right move for you. Also, be sure to look at the mortgage rate alone, not the APR. The APR is a calculation that shows the long-term cost of holding a mortgage, but it assumes you'll hold your loan for 30 years, which is rarely the case.

Choosing to purchase discount points is a financial decision that varies from borrower to borrower. Talk to your favorite mortgage lender at the Lake of the Ozarks today to see what rates are available to you and go from there. For all your home financing needs, give us a call at 573-746-7211. Home loan rates are still at all-time lows, so act now before they start rising!

For Lake area news, resources and tips on financial services, please 

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Michael Lasson

Senior Loan Officer

NMLS #: 493712

4655 B Osage Beach Parkway

Osage Beach, MO 65065

Direct:  (573) 746-7211

Cell: (573) 216-7258

Fax:(866) 397-0318

Email:  mlasson@fsbfinancial.com

**The postings on this site are my own and do not necessarily represent First State Bank of St Charles’s positions, strategies, or opinions.

Enjoy a Turkey Feast at the Lake this Thanksgiving!

The holiday season is upon us and this week, people will be gathering with family and friends for delicious food! For those of you that are tired of cooking all day for that big Thanksgiving feast, consider eating out at one of the fine dining restaurants at the Lake of the Ozarks. In today's blog, your Lake of the Ozarks mortgage lender offers a few places you can enjoy an amazing Thanksgiving feast this Thursday!

Thanksgiving Feasts at Lake of the Ozarks

H. Toads Bar & Grill
Time: 11 AM to 3 PM
Prices: $26 for Adults, $20 for Seniors, $12 for Children 6-12, Free for Children 5 and Under
Reservations: 573-365-5620  

The Lodge of Four Seasons
Time:  11 AM to 3 PM
Prices: $39.95 for Adults, Half Price for Children Under 12, Free for Children Under 5
Reservations Required: 573-365-3000

The Inn at Grand Glaize 
Time:  3 AM to 3 PM
Prices: $18.95 for Adults, $15.95 for Seniors, $9.95 for Children 12 and Under, Free for Children Under 3
Reservations Recommended: 573-348-4731

Old Kinderhook 
Time: 11 AM to 4 PM
Prices: $35 for Adults, $27 for Seniors, $12 for Children 5-10, Free for Children 4 and Under
Reservations: 573-317-3560

Tan-Tar-A Resort
Time: 11 AM to 5 PM
Prices: $28.95 for Adults, $18.95 for Seniors (55+), $14.95 for Children Ages 4-12, Free for Children 3 and Under
Reservations: 573-348-3131

J. Bruner's Restaurant
Time: Restaurant Opens at 3 PM
Prices: $29 per Person
Reservations: 573-348-2966

The Turkey Tradition 

As you're eating turkey each year, do you ever think about why most people eat turkey at Thanksgiving? While there may not have been turkey on the table at the "First" Thanksgiving in 1621, there were definitely wild turkeys in the Plymouth area. Due to the fact that wild turkey was hunted then and that it's a uniquely American bird, turkey gained traction as the Thanksgiving meal of choice soon after Lincoln declared Thanksgiving as a national holiday in 1863. In addition, turkeys were large enough to feed an entire table (unlike a chicken) and were also not as common as pork, so they seemed suitable for such a special occasion.

Happy Thanksgiving from your favorite mortgage lender at the Lake of the Ozarks! If you enjoy these annual events at the Lake of the Ozarks each year, consider making the Lake area your second home. I'm here to help you with all your Lake of the Ozarks home financing needs. Give us a call at 573-746-7211 today! 

For Lake area news, resources and tips on financial services, please 

LIKE my Facebook Page, Follow me on Twitter or Connect on LinkedIn

Michael Lasson

Senior Loan Officer

NMLS #: 493712

4655 B Osage Beach Parkway

Osage Beach, MO 65065

Direct:  (573) 746-7211

Cell: (573) 216-7258

Fax:(866) 397-0318

Email:  mlasson@fsbfinancial.com

**The postings on this site are my own and do not necessarily represent First State Bank of St Charles’s positions, strategies, or opinions.

Avoiding Private Mortgage Insurance

When you choose to become a homeowner, you're taking on more expenses than just a monthly mortgage payment. One of the those expenses could be private mortgage insurance (PMI). This type of insurance protects the Lake of the Ozarks mortgage lender if the borrower defaults on the loan. Keep reading to learn how you can avoid paying PMI on your home loan at the Lake of the Ozarks.

What is Private Mortgage Insurance (PMI)? 

Private Mortgage Insurance, or PMI, is an insurance policy paid by the homeowner to protect the lender in the event the homeowner isn't able to make payments on the home. For conventional loans, PMI is required when a home's equity percentage is less than 20%. This insurance exists because homes that default typically sell at auctions and may go for up to 20% less than the home's true value. PMI is called "private" because it is offered by private companies as opposed to the government. PMI automatically ends when a homeowner's equity reaches 20% of the home's value.

Ways to Avoid Paying PMI

The easiest way to avoid paying PMI is to put down 20% or more when obtaining your Lake of the Ozarks mortgage loan. Depending on the purchase price of your home, coming up with enough cash to cover 20% can be difficult. Don't worry though, there are plenty of options out there that allow lower downpayments, many of which also don't require PMI. Talk to your mortgage lender at the Lake of the Ozarks about first-time home buyer programs and other low-to-no downpayment options that you could qualify for. Here are a couple options to consider:

1. VA Loans 
With favorable terms, competitive interest rates, and no monthly mortgage insurance premium, VA Loans are designed to make homeownership more affordable for qualified U.S. veterans. This option allows you up to 100% financing without having to pay PMI. 

2. USDA Loans 
Rural Housing loans, sponsored by the U.S. Department of Agriculture, are designed to make homeownership more affordable for borrowers in rural communities. For qualified borrowers, a Rural Housing loan can provide up to 100% financing with competitive rates and terms. This option also does not require paying PMI, even with little to no downpayment. 

Your Lake of the Ozarks Mortgage Professional

When it comes to your Lake of the Ozarks home financing needs, Lakelender Michael Lasson is here to help!  I'll discuss financing options, offer competitive interest rates and back it up with the first class service you deserve. Give us a call at 573-746-7211 to learn more about your mortgage options!
 

For Lake area news, resources and tips on financial services, please 

LIKE my Facebook Page, Follow me on Twitter or Connect on LinkedIn

Michael Lasson

Senior Loan Officer

NMLS #: 493712

4655 B Osage Beach Parkway

Osage Beach, MO 65065

Direct:  (573) 746-7211

Cell: (573) 216-7258

Fax:(866) 397-0318

Email:  mlasson@fsbfinancial.com

**The postings on this site are my own and do not necessarily represent First State Bank of St Charles’s positions, strategies, or opinions.

Proud Sponsor of the 2016 Signature Chefs Auction

Your Lakelender Michael Lasson of First State Bank Mortgage is a silver sponsor for the 2016 Signature Chefs Auction at the Lake of the Ozarks to be held on November 9. Guests will enjoy an evening of culinary excellence, while supporting the March of Dimes. Keep reading to learn more about the upcoming event.

Signature Chefs Auction Lake Ozark 

The March of Dimes Signature Chefs Auction is an annual fundraiser that is always in good taste! The gala showcases enticing culinary creations from Central Missouri's top chefs, along with distinctive, one-of-a-kind auction items and experiences.

Date: Wednesday, November 9
Time: 5:30 PM
Place: Lodge of Four Seasons, Lake Ozark, MO

About March of Dimes

The March of Dimes is dedicated to healthy pregnancies and to giving every baby a healthy start, but the key ingredient is you! Fund the Mission provides an opportunity to make a significant investment to further the mission of the March of Dimes. Fund the Mission gifts are 100% tax deductible.

Culinary Talent 

The Signature Chefs events feature local culinary talent who create a selection of fine cuisine for an exclusive audience. Our chefs are artists, innovators and philanthropists, and we look forward to sharing their talents at the event. This year's chefs include:

• Corey Roberts, Baxter's Lakeside Grille
• Christopher (Red) Messinio, Camden on the Lake 
• The Grille at Porto Cima
• HK's 
• Bill Ferguson, JB Hook's 
• Mark Wedig, JJ Twig's 
• Joseph Cape, JJ's at the Copper Pot 
• Chris Galloway, PaPPo's Pizzeria and Pub 
• Pierre Torres, Redhead Yacht Club 
• Ruthie D's 
• Robert Sills, The Savannah Grille 
• Shorty Pants 

Your Lake of the Ozarks mortgage lender is a proud sponsor of this event. We hope you can attend this wonderful dinner event. You won't be disappointed - the food is amazing!

For Lake area news, resources and tips on financial services, please 

LIKE my Facebook Page, Follow me on Twitter or Connect on LinkedIn

Michael Lasson

Senior Loan Officer

NMLS #: 493712

4655 B Osage Beach Parkway

Osage Beach, MO 65065

Direct:  (573) 746-7211

Cell: (573) 216-7258

Fax:(866) 397-0318

Email:  mlasson@fsbfinancial.com

**The postings on this site are my own and do not necessarily represent First State Bank of St Charles’s positions, strategies, or opinions.