Hawaii Mortgage

Archive for January, 2010

I have a friend who is buying a house. He is trying to get the best rate. There are mortgage brokers that are offering a rate that is 0.125% better than the banks. Right now, that is around 6.25% for a 30 year loan at 80% financing. Are mortgage brokers the best deal? Thanks.

I like that your asking about a good mortgage… not the BEST. There is no BEST out there. If your friend likes the rate (more importantly the payment) then he should be ok.

Find a loan officer you like and can trust. When you get the good faith estimate keep in mind that the items from the loan officer are going to be:

Origination, Mortgage Broker Fee, Processing, Credit Report and if they are sneaky an application fee.

Most of the items the loan officer discloses to you are in fact 3rd party fee’s and in reality we have little control of this… Especially with a purchase since many of the service providers are picked by the agents.

Appraisal, tax service, underwriting, title/escrow, notary, doc prep etc… Also taxes and insurance.

Expect title and escrow to cost a pretty penny. Keep in mind that the companies that are used are typically picked by the agents but it is a negotiable item in the contract. If you shop around you maybe able to find better pricing. Make sure it is better for both you and the seller or the seller most likely will not be willing to change companies.

Regarding the rates… depending on the loan amount, credit, documentation etc… they may be great or they maybe on the high side. Without knowing the scenario it is hard to tell if the pricing is right in line; however 6.25% is not a bad rate.

Good Luck

Kevin 866-562-6838 x 106
kruorock@firstratelending.com

I’m hoping to buy a home in the near future. I have a very good job, but I am currently on contract. I have been here for close to a year and have another year still remaining on my contract, at which time I will hopefully be made perminant. I have $25,000 to put down towards a home and have a good credit score. What are my odds of getting a mortgage? How reluctant are companies to give loans to people who work on a contract?
I’m not working for a temp agency, I’m working on a contract at a University. I’m full time and salary, but after 1 year they do not have to keep me on full time if they choose.

Lenders are getting a lot more picky about their qualifications due to the credit crisis. If you have 2 years of work history w/ tax records, etc, they may just ask you for W-2 forms and pay stubs. But, they may also ask for a copy of the contract, which could make things difficult. You may want to go through a mortgage broker who has experience with more difficult loans.

If you’re unable to take out a traditional loan, there are other ways you can buy a property called "creative financing." You may be able to find seller financing (the seller funds the loan) that works in your situation. See the site below for info on how that works.

I have a research project on the Subprime mortgage crisis, but I need to have some pros and cons. I need help on finding them. The topic can be broadened or narrowed in order to get them. Can anyone help me??
Thanks

The pro behind it was that people who couldnt normally afford a house, COULD get a mortgage

The con behind it was that even with all these favorable "perks" for these people, their inability to pay crashed the entire housing and credit market.

Congress caused this by dictating to the banks that they must lend to higher-risk borrowers….

If you’re a wholesale mortgage lender AE, where do you look for business? Do you go to any websites where brokers are looking for lenders that can do a particular loan? If so, what websites do you go to?

Dear Yoli,

That’s a good question. Scottsmanguide is a great match up tool to see what lenders provide what programs. I’m sure that any good broker will use many resources to keep up with lender trends and programs.

My experience tells me that usually when wholesale mortgage lenders find a few investors to work with, they will stick with them if they prove reliable. Good service is hard to find.

Hope this helps.
Daisy

I’m looking for a mortgage (UK). I don’t know if I should first sort out the mortgage or should I firstly find the property?

Not sure about it in the UK but I got preapproved 1st and worked some numbers to know what I would be comfortable paying for a house in the US inclusive of taxes and insurance. What you can get approved for is often MORE than you want/need to spend to be comfortable (in Texas anyway) After that I began to look in thta price range. In my opinion, it saved me alot of time looking at things that would not fit my budget.

I have two homes with one mortgage on each (same lender). One home is now in negative equity and has a high interest rate on the mortgage. Even though the bank refinanced the home only two years ago as an 80/20 loan, they will not allow me to refinance now. I thought about renting until the market get’s better but I can not cover all of the costs.

Its easier to get the bank to approve a short sale recently. You will likely have to be several months behind and it will be an alternative to a foreclosure.

Check with your lender as they may issue a 1099 to you for the loss they incur. Then you are stuck with the taxes.

Its really tough out there and the market just keeps getting worse. I have been a RE appraiser for 23 years and never seen the market this bad.

Sorry for the bad news;
Max

I understand that some law prohibits mortgage lenders from giving ARM to people over certain age. I am 54 years old and I am struggling with this rate now. Someone told me I could use this fact to persuade my lenders to reduce my interest rate, or to move me to a fixed rate. Is this true?

what law requires that lenders violate the fair housing act?

i wouldn’t think that they could discriminate on the basis of age for ANY reason. it is illegal.

Please note that Texas is the only state with a legal right to secede from the Union. (Reference the Texas-American Annexation Treaty of 1848.)

We Texans love y’all but we’ll probably have to take action since Barack Obama won the election. We’ll miss you too.

Here is what can happen:
1: Barack Hussein Obama becomes President of the United States and Texas immediately secedes from the Union.

2: George W. Bush will become the President of the Republic of Texas. You might not think that he talks too pretty but we haven’t had another terrorist attack and the economy was fine until the effects of the Democrats lowering the qualifications for home loans came to roost.

So what does Texas have to do to survive as a Republic?

1. NASA is just south of Houston, Texas. We will control the space industry.
2. We refine over 85% of the gasoline in the United States.
3. Defense Industry–we have over 65% of it. The term "Don’t mess with Texas" will take on a whole new meaning.
4. Oil – we can supply all the oil that the Republic of Texas will need for the next 300 years. What will the other states do? Gee, we don’t know. Why not ask Obama?
5. Natural Gas – again we have all we need and it’s too bad about those Northern States. John Kerry and Al Gore will have to figure out a way to keep them warm….
6. Computer Industry – we lead the nation in producing computer chips and communications equipment -small companies like Texas Instruments, Dell Computer, EDS, Raytheon, National Semiconductor, Motorola Intel, AMD, Atmel, Applied Materials Ball, Miconductor, Dallas Semiconductor Nortel, Alcatel, etc etc. The list goes on and on.
7. Medical Care – We have the research centers for cancer research, the best burn centers and the top trauma units in the world as well as other large health centers. The Houston Medical Center alone employs over 65000 people.
8. We have enough colleges to keep us getting smarter: University of Texas, Texas A&M, Texas Tech, Texas Christian, Rice, SMU, University of Dallas, University of Houston, Baylor, UNT (University of North Texas), Texas Women’s University, etc. Ivy grows better in the South anyway.
9. We have an intelligent and energetic work force and it isn’t restricted by a bunch of unions. Here in Texas it’s a Right to Work State and, therefore, it’s every man and women for themselves. We just go out and get the job done. And if we don’t like the way one company operates we get a job somewhere else.
10. We have essential control of the paper, plastics, and insurance Industries etc.
11. In case of a foreign invasion we have the Texas National Guard, the Texas Air National Guard and several military bases. We don’t have an Army but since everybody down here has at least six rifles and a pile of ammo, we can raise an Army in 24 hours if we need one. If the situation really gets bad, we can always call the Department of Public Safety and ask them to send over the Texas Rangers.
12. We are totally self-sufficient in beef, poultry, hogs and several types of grain, fruit and vegetables, and let’s not forget seafood from the Gulf. Also everybody down here knows how to cook them so that they taste good. Don’t need any food.
13. Three of the ten largest cities in the United States and twenty-three of the 100 largest cities in the United States are located in Texas. And Texas also has more land than California, New York, New Jersey, Connecticut, Delaware, Hawaii, Massachusetts, Maryland, Rhode Island and Vermont combined.
14. Trade: Three of the ten largest ports in the United States are located in Texas.
5. We also manufacture cars down here but we don’t need to. You see nothing rusts in Texas, so our vehicles stay beautiful and run well for decades.

This just names a few of the items that will keep the Republic of Texas in good shape. There isn’t a thing out there that we need and don’t have.

Now to the rest of the United States under President Obama:

Since you won’t have the refineries to get gas for your cars, only President Obama will be able to drive around in his big 9 mpg SUV. The rest of the United States will have to walk or ride bikes.

You won’t have any TV as the Space Center in Houston will cut off satellite communications.

You won’t have any natural gas to heat your homes but since Mr. Obama has predicted global warming you will not need the gas as long as you survive the 2000 years it will take to get enough heat from Global Warming.

So in other words go screw yourselves. Oh that’s right. You already have!

Signed The People of Texas

P.S. This is not a threatening letter – just a note to give you something to think about!

SLEEP WELL TONIGHT THE EYES OF TEXAS ARE UPON YOU

i hope to see a LOT of fellow texan support here!
nodumgys, that is for the yanks that dont know any better. lol

Kind of makes you proud to be a Texan doesn’t it.

I’m planning to relocate, but current owe a mortgage for $50k. I also have a bankruptcy on my record thats a couple of years old. I’d like to find new home in the state I choose to live in. Would I be able to get a second mortgage or refinance my current home in order to pay for a new one?

That depends on a few things.

How much equity do you have in your current home?

What is your credit score?
What is your debt load?

Yes you can get a 2nd mortgage on your current home to buy another, people do it all the time.

Your income must support maintaining your current home (you should be able to get a renter in there to offset the mortgage payment or some portion there of) and support your new mortgage.

You can get a loan with a BK. Many lenders require it to be discharged for 2 years, however, there are still a few lenders that will lend on a BK only being discharged 1 day.

In a nutshell, yes you can, if all your other ducks are in a row.

Good luck

In this short video I share 3 tips for getting the best mortgage rate.

First, know your vitals and how they affect your rate. FICO scores, LTV, DTI ratios, etc. all can affect your rate and you need to know how to adjust accordingly.

Second, the amount of secondary market lenders your broker or banker works with can have a significant impact on the end rate you receive. Every secondary market lender prices differently every day.

Third, know how your broker or banker is paid. I believe you can get better rates from commissioned loan officers, but you need to know their target commission so you can get the best rate and they make a fair commission.

Email me if you want more tips on getting the best mortgage rate at joe@omahavoices.com.

Duration : 0:2:45

Read the rest of this entry »

Technorati Tags: buying, interest, mortgage, rate, Real Estate, refinance