Ethics is a huge problem today. One of the major reasons for the downfall of our economy is based on greed and bad ethical judgements. Greed based on personal gain from not being honest with your clients. In the world of mortgages it is easy to deceive to move a client forward but this will come back to haunt the person hopefully.
I believe in treating every client the same as I would treat my mother. Straight Answers with both sides of the coin shown. Risk is discussed and the decision is up to the client in the end. From this approach I have lost business because I was straight up with the client -- I would rather not do business than not have laid it all on the table.
Appraised value is a big concern right now. I discuss the pros and cons with clients about the risk of the appraisal process in the current declining market. Some appreciate knowing the ups and downs others only want to hear it will be "ok". I can't tell everyone it will be "ok" so they go to the person that gives them the warm fuzzy feeling -- some close others get burned. My clients know the risks and accept them -- they know the potential downfall up front.
As an originator my job is to give you the good bad and ugly -- not that 2 out of 3 items in that list are negative. I am not a pessimistic person but this is your home and life we are talking about lets make sure it is a good deal for you.
If you would like honesty as the best policy give me a call or contact me via my website at: http://www.new-hampshire-home-mortgage.com
Thursday, June 4, 2009
Wednesday, June 3, 2009
Commitment
What is Commitment... not on a personal level but for your purchase?
Commitment is when the bank/lender has said yes and all conditions have been satisfied. This is when you know you have the loan... but don't completely relax.
The lender has the right to check your credit, income, assets, and employment status up to and including the day of closing!
As we tell all of our clients -- Don't Buy and Don't Apply. Buying items on credit cards can change your credit score... or applying for new debt. Whatever you want to buy for your new home will still be there AFTER you close!
For more home buying tips contact me via my website at: http://www.new-hampshire-home=mortgage.com
Commitment is when the bank/lender has said yes and all conditions have been satisfied. This is when you know you have the loan... but don't completely relax.
The lender has the right to check your credit, income, assets, and employment status up to and including the day of closing!
As we tell all of our clients -- Don't Buy and Don't Apply. Buying items on credit cards can change your credit score... or applying for new debt. Whatever you want to buy for your new home will still be there AFTER you close!
For more home buying tips contact me via my website at: http://www.new-hampshire-home=mortgage.com
Wednesday, May 13, 2009
Turn Times
Pit Crews measure their success by how fast and efficient they can get their card in and out of a pit stop with a full service. Races are won and lost by the turn time.
What does this have to do with mortgages? Currently lenders are experiencing a high amount of production due to the lower rates and lower home prices. This causes delays. It is the originators job to make sure he/she knows the lenders turn times to be able to guide you with advice in regard to how long you should lock your rate with the lender. A 30 day lock is not much good if it takes the lender 18 days to review your file and another 7 to clear up any outstanding conditions as you won't have time to get the appraisal, title, etc... in to them in time. In that case you would need a 45 or 60 day lock. Lenders are requiring 3rd party verification of income and for many this is executing a 4506-T -- Request for Tax Transcripts through the IRS to make sure what you are showing for income is what you have declared with IRS through your tax filings. This takes time and the more lender utilizing this slows this process down. Originators should be able to see this obstacle coming up and guide you through the process.
For more information visit our website at: http://new-hampshire-home-mortgage.com
What does this have to do with mortgages? Currently lenders are experiencing a high amount of production due to the lower rates and lower home prices. This causes delays. It is the originators job to make sure he/she knows the lenders turn times to be able to guide you with advice in regard to how long you should lock your rate with the lender. A 30 day lock is not much good if it takes the lender 18 days to review your file and another 7 to clear up any outstanding conditions as you won't have time to get the appraisal, title, etc... in to them in time. In that case you would need a 45 or 60 day lock. Lenders are requiring 3rd party verification of income and for many this is executing a 4506-T -- Request for Tax Transcripts through the IRS to make sure what you are showing for income is what you have declared with IRS through your tax filings. This takes time and the more lender utilizing this slows this process down. Originators should be able to see this obstacle coming up and guide you through the process.
For more information visit our website at: http://new-hampshire-home-mortgage.com
Monday, May 11, 2009
Live Large!
This is a quote from a paperback hero I had as a kid, I can't remember anything about the book except my hero never gave up, always won, and he Lived Large. Of course for him it meant life on the edge every minute. For the rest of us I don't think we have to go that far. But you need to live and enjoy the moment. My family planted our perennial garden this weekend in front of our home and I was struck by the joy of being able to learn about gardening with my family. All made possible by home ownership and it struck me that in my own way I am Living Large. Large in love for my family and the enjoyment we have in our yard.
The point is renting is good but there is something about pride of ownership that lets you Live Large.
Contact me via my website to find out how you can Live Large! at http://www.new-hampshire-home-mortgage.com
The point is renting is good but there is something about pride of ownership that lets you Live Large.
Contact me via my website to find out how you can Live Large! at http://www.new-hampshire-home-mortgage.com
Friday, May 8, 2009
Purchases
Financing Options:
100% Financing USDA Rural Development -- Income and Geographic limitations down to a 620 Credit Score
96.5% FHA -- No Income Limits Purchase Price Limitations
1% Down Payment with New Hampshire Housing Finance Authority combined with FHA or USDA Rural Development
5% Down Payment Conventional Financing -- can be combined with a Reduced Mortgage Insurance for an additional 1% fee
Reverse Mortgage purchase for clients over 62 years old
YES we have your programs available! For more information contact us via our web site at http://www.new-hampshire-home-mortgage.com
100% Financing USDA Rural Development -- Income and Geographic limitations down to a 620 Credit Score
96.5% FHA -- No Income Limits Purchase Price Limitations
1% Down Payment with New Hampshire Housing Finance Authority combined with FHA or USDA Rural Development
5% Down Payment Conventional Financing -- can be combined with a Reduced Mortgage Insurance for an additional 1% fee
Reverse Mortgage purchase for clients over 62 years old
YES we have your programs available! For more information contact us via our web site at http://www.new-hampshire-home-mortgage.com
Tuesday, April 21, 2009
Comparable Sales
What is the value of your home?
Is it the Assessed value that your town/city has your tax base at?
Is it the cost to replace on your insurance binder?
Is it the intrinsic value that you believe your home is worth?
The value of your home is based on what the market will pay for your home and is a snapshot in time based on what has recently sold in your area. What this means for you is that if your neighbor has the same house and just sold for $200,000 after being on the market for 6 months... chances are your house is worth $200,000, or is it? What if the neighbor had to sell to avoid foreclosure, or was going through a divorce and had to sell -- these are called distressed sales and need to be adjusted for. Our big problem right now is the VAST amount of distressed sales spread throughout our entire area and the LACK of sales. This makes it very difficult for lenders to determine a final value.
Just more information to digest in our ever changing market. Feel free to contact me via my website at: http://www.new-hampshire-home-mortgage.com
Is it the Assessed value that your town/city has your tax base at?
Is it the cost to replace on your insurance binder?
Is it the intrinsic value that you believe your home is worth?
The value of your home is based on what the market will pay for your home and is a snapshot in time based on what has recently sold in your area. What this means for you is that if your neighbor has the same house and just sold for $200,000 after being on the market for 6 months... chances are your house is worth $200,000, or is it? What if the neighbor had to sell to avoid foreclosure, or was going through a divorce and had to sell -- these are called distressed sales and need to be adjusted for. Our big problem right now is the VAST amount of distressed sales spread throughout our entire area and the LACK of sales. This makes it very difficult for lenders to determine a final value.
Just more information to digest in our ever changing market. Feel free to contact me via my website at: http://www.new-hampshire-home-mortgage.com
Thursday, April 16, 2009
As a result of the Homeowner Affordability and Stability Plan (HARP), Evolution Mortgage LLC is participating and pleased to announce a new refinance option, known as the FNMA DU Refi Plus Program. This program allows more flexible loan terms on rate/term refinances to specifically identified loans.
Loans being refinanced under this program must have been sold to FNMA.
Features of the FNMA DU Refi Plus Program
• Maximum LTV as accepted by DU, up to 95%.
• Maximum CLTV as accepted by DU All existing subordinate financing must be re-subordinated. New subordinate financing is not permitted.
• Minimum credit score requirement is 620 on standard conforming limits; 680 on FNMA High Balance. A credit report must still be submitted. Minimum 48 months since a Bankruptcy; 84 months since either a foreclosure or multiple bankruptcy
• DU approve/eligible recommendations (without EA findings) will be accepted
• Primary, second home and investment properties are eligible.
• Eligible properties are 1-4 units, FNMA eligible condos, and PUDs (2-4s are not eligible on FNMA High Balance)• Qualifying ratios are determined by DU.
• The borrower(s) on the existing loan must be identical to the borrower(s) on the new loan. A new borrower may be added to the new loan, as long as the existing borrower(s) is retained.
• Mortgage insurance is not required if the existing loan does not require MI. Loans currently with MI are not eligible for this product.
• Loan amount may exceed existing loan unpaid principal balance only for payment of closing costs, prepaid items and lender fees.
• Borrower may receive up to the lesser of 2% or $2,000 at closing.
• The new refinance loan must result in a tangible net benefit to the borrower in either a) a reduction in the interest rate; b) a reduction in the amortization term; c) the replacement of an ARM or a Balloon/ Reset Mortgage with a fixed-rate loan or d) lower monthly payment that recoups costs within 60 months.
• Documentation requirements are per DU findings
• Property Inspection Waivers (PIW) accepted where allowed by DU, provided:
• Borrower certifies the home has not been listed for sale in the past 6 months and is not currently for sale
• Property county was not declared to be in a FEMA declared disaster county since last first lien lending transaction
• Last first lien lending transaction was not a purchase as an REO sale.
For more information about this exciting new option and if you qualify please contact me via my website at: http://www.new-hampshire-home-mortgage.com
Loans being refinanced under this program must have been sold to FNMA.
Features of the FNMA DU Refi Plus Program
• Maximum LTV as accepted by DU, up to 95%.
• Maximum CLTV as accepted by DU All existing subordinate financing must be re-subordinated. New subordinate financing is not permitted.
• Minimum credit score requirement is 620 on standard conforming limits; 680 on FNMA High Balance. A credit report must still be submitted. Minimum 48 months since a Bankruptcy; 84 months since either a foreclosure or multiple bankruptcy
• DU approve/eligible recommendations (without EA findings) will be accepted
• Primary, second home and investment properties are eligible.
• Eligible properties are 1-4 units, FNMA eligible condos, and PUDs (2-4s are not eligible on FNMA High Balance)• Qualifying ratios are determined by DU.
• The borrower(s) on the existing loan must be identical to the borrower(s) on the new loan. A new borrower may be added to the new loan, as long as the existing borrower(s) is retained.
• Mortgage insurance is not required if the existing loan does not require MI. Loans currently with MI are not eligible for this product.
• Loan amount may exceed existing loan unpaid principal balance only for payment of closing costs, prepaid items and lender fees.
• Borrower may receive up to the lesser of 2% or $2,000 at closing.
• The new refinance loan must result in a tangible net benefit to the borrower in either a) a reduction in the interest rate; b) a reduction in the amortization term; c) the replacement of an ARM or a Balloon/ Reset Mortgage with a fixed-rate loan or d) lower monthly payment that recoups costs within 60 months.
• Documentation requirements are per DU findings
• Property Inspection Waivers (PIW) accepted where allowed by DU, provided:
• Borrower certifies the home has not been listed for sale in the past 6 months and is not currently for sale
• Property county was not declared to be in a FEMA declared disaster county since last first lien lending transaction
• Last first lien lending transaction was not a purchase as an REO sale.
For more information about this exciting new option and if you qualify please contact me via my website at: http://www.new-hampshire-home-mortgage.com
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