I was recently asked by a newspaper to condense my 256 page book to a single little table with only five points. Here they are.  Enjoy!
  • Zero Point loans are sucker loans. They are hugely profitable to lenders, which is why they are willing to subsidize your loan to the tune of $2,000. They say the rate is "slightly higher." Don't believe it! It may not sound much higher but it adds up to an extra $15,000 over the eight year life of a normal loan. That $15,000 will come out of YOUR wallet. HERE'S SOME PRUDENT ADVICE: If you are going to be in your house more than a few years, pay points to buy down the rate and YOU get to keep the $15,000.
  • When you refinance, forget how much you will save every month. You are better off paying down the loan balance faster by making the same payment you made before. If you are five years into a 30 year loan, sending in your old payment amount can save you over $100,000.
  • The worst credit card debt management plan ever devised is to pay the minimum amount due every month. That maximizes the lender’s profit. Guess what? A 30 year loan is like a huge credit card where the lender wants you to make the minimum payment every month. Outfox them by paying more whenever you can. At current rates, adding a paltry $10 to every monthly payment saves you over $8,000 in interest.
  • Most people ask for the most expensive product offered by the industry, the 30 year fixed-rate loan. But most people are in their homes for 10 years, some even less. Most people would be far better off getting a cheaper loan where they would pay only for the rate protection they need.
  • Don’t rate shop by phone. A mortgage is not a thing, it is the result of a process. You will get the best results when you go through the process with a lender you can TRUST, one who will help you and, if needed, go to the mat for you. You won’t find that person in the Yellow Pages but by getting referrals your friends, co-workers, and neighbors, one of whom will have found a gem of a lender.

Now that was about one page.  What do you think is on the other 255? More great stuff.