Posts

Fannie/Freddie Yank Their 1/2 Point Refi Fee

On Saturday night my wife Heejin and I had a wonderful date at an outdoor Italian restaurant. The food and weather were perfect, and the ambiance was even better with overhead string lights, friendly passersby, and a saxophone player in the background. The only problem was that there were too few customers, and we would […]Read More

Fannie Mae’s New 50 Basis Point Fee Slams Refinance Borrowers

As I mentioned yesterday, Fannie Mae and Freddie Mac imposed a new fee of 1/2 point, or 50 basis points, on all refinance loans – catching the entire mortgage world completely off guard. What the new fee means in reality is that all refinance borrowers will now face 1/8 to 1/4 percent higher rates when […]Read More

Fannie & Freddie Breaking Off From Government Control?

INTEREST RATES COULD SHOOT UP AT ANYTIME We often remind both borrowers and agents that interest rates are generally expected to remain low for some time, but that does not mean they cannot shoot up unexpectedly. Our point is that both buyers and current mortgage holders should take advantage of today’s low rates now before […]Read More

Jumbo Rates Are LOWER Than Our Conforming; Jumbo vs. Conforming

Our Jumbo rates are as much as 1/2 percent lower than our Conforming (Fannie and Freddie) rates. Our low Jumbo rates are also available for qualified borrowers down to the “low balance” conforming loan limit of $484,350. These very low Jumbo rates are highly unusual and there are several reasons for this including: (1) Fannie […]Read More

2019 Conforming Loan Limit Increases – Good and Bad

PEOPLE WALKED AWAY FROM MORTGAGE OBLIGATIONS B/C THEY WERE UPSIDE DOWN In 2006, a relative of mine asked me to help her qualify for a condo purchase. Wanting to help, I loaned her enough money to clean up her credit, to pay off her consumer debt and to make a down payment. I then cosigned […]Read More

“Jumbo” Rates Now Lower Than Conforming (Fannie and Freddie) Rates

Fannie Mae and Freddie Mac now have serious competition for “high balance” loan amounts above $453,100. For years, few Jumbo lenders could match Fannie’s and Freddie’s “conforming” loan rates. (As a reminder, a “conforming loan” is a loan that conforms to or meets all of Fannie and Freddie’s guidelines). But, many jumbo investors now offer […]Read More

Conforming Loan Limits Way Up For 2018; What It Means

Fannie and Freddie recently announced their 2018 Loan Limits, and they went up significantly. The “Low Balance” limit for a one-unit property jumped from $424,100 to $453,100. And the “High Balance” limit (for “High Cost” counties comprising most of coastal California) jumped from $636,150 to $679,650. The limits for two, three and four unit properties […]Read More

Condos – Three Numbers To Know

If you’re looking at a Condo, there are three numbers to know: 1) % of owners delinquent with HOA Dues: Less than 15% of owners must be less than 60 days late. This number is often an issue after market corrections b/c people are more likely to walk away from condos (and stop paying HOA […]Read More