Tag Archive for: mortgage loans

Oil & Rates Plummet; Why “Portable” Mortgages Are A Really Dumb Idea

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Oil prices plunged last night on credible rumors that the U.S. and Iran are close to an agreement to end the war. And, as I’ve been noting since the war started, as goes oil, so go rates. Rates fell sharply Portable mortgages are loans that homeowners can transfer from one home to another. Naïve housing analysts often float portable mortgages as a great way to free up “locked down” inventory (homes with very low rates that owners do not want to lose – so they refuse to sell). Homeowners with very low rates also often get excited by the prospect of portable mortgages.Read More

Cross-Collateralized Loans; More 6% Mortgages Than 3%; Rates 1% Lower Than Last Year; Loans For Canadians

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A Cross-Collateralized Mortgage Is One That Is Collateralized By More Than One Property Fannie Mae, Freddie Mac, FHA, and competitive jumbo lenders do not allow it, as it fosters foreclosure, payoff, and secondary-market issues. Non-QM and bridge loan (buy-before-sell) lenders do, however, allow for cross-collateralization – and it is proving to be a very valuable tool!Read More

No Income Verification HELOCS & Mortgages; What Does It Mean?

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One of our best agents, who gets my blog but clearly does not read it 😊, asked yesterday if we have Home Equity Lines (HELOCS) for self-employed borrowers who cannot document income with tax returns or paystubs. Our answer of course was a resounding “yes.” More importantly though, it made for great blog fodder, as I want to set out what “no income verification” means in today’s mortgage world.Read More

Fannie Mae Yanks Their 620 Minimum Credit Score Requirement; Time To Celebrate?

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We have been crushing the dreams of homebuyers all week… And – it’s not because we want to or because we’re doing something wrong. It is solely because we are telling them the truth: Fannie Mae’s removal of its 620 minimum credit score requirement will not help about 98% of borrowers with scores under 620.Read More

10 Things First-Time Buyers Should Know

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We hired a full-time condo expert away from Chase Bank, and he does nothing but help us analyze condo projects for eligibility and financing options.Read More

Algorithm Lending Is Returning, Thankfully! (5-MINUTE HELOCs ARE HERE)

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Prior to 2008, mortgage lending relied very heavily on algorithms – which would have worked beautifully if ONLY home values had gone straight up forever and if interest rates fell forever.Read More

Rocket Buys Redfin, Mr. Cooper, A Title Company, A Hardware Store, A Donut Shop, A Pharmacy, And A Dog Grooming Business

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Rocket’s very smart plan is to cover every aspect of the real estate process, including lead gen, real estate brokering, lending, title, escrow, and loan servicing.Read More

Everyone Wants To Jump In The Mortgage Pool! Come On In – The Water’s Boiling

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Interest rates fell this week more than most analysts expected, and the 10 Year Treasury Yield is down to 4.67% - surprising everyone, given that we heard so many predictions about the 10-Year staying above 5%. Here are a few reasons why: (1) The Fed announced yesterday that they are not raising rates (and many analysts think they are done raising); (2) More and more prominent analysts and hedge fund managers are predicting a recession and lower rates soon; (3) There are clear cracks in the labor market; and (4) Consumer and manufacturing surveys are yielding surprisingly negative results.Read More

Qualifying For Mortgages With Assets Only – No Income Necessary

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WHOM ARE ASSET BASED LOANS GOOD FOR? Asset based loans are perfect for two types of borrowers: (1) wealthy borrowers with very complex financial pictures that would make qualifying in […]Read More

Please Don’t File Your Taxes – If…

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We like to remind borrowers who are currently making offers or who have just made an offer to NOT file their tax returns. Borrowers should file taxes by all means, but we recommend filing an extension now (if making offers) and then filing taxes when the next deadline hits. Filing taxes shortly before a transaction is slated to close can either delay a transaction and/or kill it altogether.Read More

5 Things To Consider When Buying A House

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These are 5 things to consider when buying a house. Every homebuyer should review when planning to purchase a home in California and Texas.Read More

Forbearance Confusion; Mortgage Industry Remains Alive

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Many consumers were caught off guard when their loan mods adversely impacted their credit and/or did not result in the elimination of any debt (they merely had payments restructured).Read More

Understanding the Different Types of Home Loans

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Home loans can be confusing, with terms like FHA, VA, conforming, jumbo, and non-QM often used interchangeably. But each type of loan has distinct features, requirements, and benefits. Here’s a breakdown of the main mortgage categories to help borrowers understand their options.Read More