USDA rates drop: A great alternative to FHA in many Californian cities!
With the recent and ongoing changes in FHA, USDA loans are among the hotest mortgage products in many cities in the great state of California.
Today's posted ...
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Mortgage and Lending |
RAINER 8,409 |
| Mike Smith | ||
| location_on Roseville, CA — Fair Housing Resource Center | ||
| web Mike's Blog | ||
Get to Know Mike Smith
Hi there!
First off: Thank you for visiting my blog.
Facts about me:
4 children - committed to their future 14 years experience funding over $356,000,000 in mortgage volume since 1994. Life has taught me that more often than not the greatest joys in life do not cost you a dime: One of my most treasured things to do is watch my 6 year old play on the playground each morning before school!Here is how my expertise benefits you as my client:
I am a subscriber to the mortgage market guide: http://www.mortgagemarketguide.com/bondquotes/index.html
So how the heck does this help you?
Lenders watch the 30 year fixed mortgage bonds trade daily. The current benchmark is the Fannie Mae 6% mortgage bond (not the 10 year Treasury bond). Lenders watch its movement and when it moves they do, by raising the price {i.e. the points you pay} for the current mortgage bond trading out in the markets. Within about 20 minutes of a major move, lenders then re-price and send out new rate sheets to the mortgage brokers.How I save you money:
Since I too watch this, coupled with being a mortgage banker, I can move ahead of the re-price and lock my clients in within seconds saving them money from the re-price. For example, if the mortgage bond is trading at 6.125% at "par" {meaning no cost and no "rebate") and our benchmark 30 yr fixed Fannie Mae bond is off by 25 basis points, this means the lenders are now taking a 25% hit off the posted pricing. So they will send out a new rate sheet that would show the 6.125% price at .25% points. On a $300,000 loan that is an additional $750 in costs to the borrower.Question:
Would you rather keep this $750 or pay the mortgage company??
FHA changes: Are you ready as a Realtor or consumer?
Effective 10-01-2008: No more seller assisted gift funds programs
Effective 01-01-2009: FHA min down will be 3.5%
Question: What other options do we have??
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MORTGAGE UPDATE AUGUST 28, 2008
Current mortgage rates:
Priced with 1% point
30 yr fixed: 6.125% Conforming Jumbo: 6.25%
15 yr fixed: 5.625% ...
USDA Guaranteed Home Loans - 100% Financing with No MI!
Despite the gloom and doom in the marketplace there are still plenty of great financing options.
One such program is especially attractive, if not the most ...
Certifications
First of all...Congrats on being an informed consumer.
I expect you to shop. I understand it; I embrace it!
But if the person you are talking to cannot answer these questions, run don't walk to one who can!
Questions your broker must know:
#1: What are mortgage rates based on?
#2: What is the next economic report that could affect rates?
#3: When the FED changes rates, what does that mean to mortgage rates?
#4: Do you have access to instant live bond quotes?
Yes ....I know the answers to all these.
But you need to call and ask me so you know yourself!
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Certified Mortgage Planner (CMPS): 14 yrs experience & over $356,000,000 in loan fundings. My advice leads to higher net worth: For more info: mortgageplanner@247refi.com or 916-813-4003 cell