Dennis's Mortgage blogs

From one of my many sources, here is one of the latest forecasts on what mortgage rates will do: Forecasts were calling for a 0.4% decline in income and a 0.9% drop in spending. In other words, income didn't drop as much as expected, but spending was slower than forecasted. These readings, along with downward revisions to November's results have prevented this report form influencing this morning's mortgage pricing.

What does this really mean?  It's very simple, at least it is if you are in my line of work.  Mortgage rates are at an all time low!  That means, if you have an interest rate in the 6's and would really like one in the 5's or even 4's, NOW is the time to secure that rate. 

As everyone knows, mortgage rates like to live in the 6% range.  I know it's only a matter of time before the rates go back up.  It could be 3 months or it could be 1 month.  Either way, if you are thinking about lowering your monthly payment, feel free to give me a call.  I will review your financial situation, research the best loan products available for you and present several different options and let you decide what you would like to do.   

Envoy Mortgage is endorsed by Fannie Mea and FHA.  That means you are assured to receive the best interest rates possible.  Feel free to call or email me today.

My contact information is: Dennis Noonan

Phone: 360-600-5580     Email: dnoonan@envoymtg.com

MBS prices are up, Jobless claims are up, the Dow is down, Oil prices are going down...What does all this mean? 

It's very simple, at least it is if you are in my line of work.  Mortgage rates are at an all time low!  That means, if you have an interest rate in the 6's and would really like one in the 5's or even 4's, NOW is the time to secure that rate. 

As everyone knows, mortgage rates like to live in the 6% range.  I know it's only a matter of time before the rates go back up.  It could be 3 months or it could be 1 month.  Either way, if you are thinking about lowering your monthly payment, feel free to give me a call.  I will review your financial situation, research the best loan products available for you and present several different options and let you decide what you would like to do.   

Envoy Mortgage is endorsed by Fannie Mea and FHA.  That means you are assured to receive the best interest rates possible.  Feel free to call or email me today.

My contact information is: Dennis Noonan

Phone: 360-600-5580     Email: dnoonan@envoymtg.com

• Don't make an expensive purchase. It may be tempting to order that new sofa for your soon-to-be living room, but its best to avoid making major purchases like furniture, cars, appliances, electronic equipment, jewelry, or vacations until after the closing. Financing that furniture with a store credit card or even one of your own credit cards could jeopardize your credit worthiness during the time it means the most. Using cash to purchase big items can also create a problem because many banks take into consideration your cash reserve when approving your mortgage.

• Don’t apply for new credit cards. Applying for new credit cards allows the credit card company to pull your credit report. In a retail situation, your credit can be pulled several times. This ultimately lowers your credit score and could potentially limit your ability to purchase the home.
• Don't get a new job. Lenders like to see a consistent job history. Generally, changing jobs will not affect your ability to qualify for a mortgage loan - especially if you are going to be making more money. But for some people, getting a new job during the loan approval process could raise some concern and affect your application.
• Don't switch banks or move money around. As your lender reviews your loan package, you will likely be asked to provide bank statements for the last two or three months on your checking accounts, savings accounts, money market funds and other liquid assets. To eliminate potential fraud, most loans require a thorough paper trail to document the source of all funds. Changing banks or transferring money to another account - even if its just to consolidate funds - could make it difficult for the lender to document your funds.
• Don't disregard your lenders requirements. You may have been pre-approved for the loan but your work with the lender is far from over. In order to process your loan, you need to meet certain requirements. Your lender will need copies of your bank statements, W2s and other paperwork. It is up to you to get it to him or her as soon as possible. Failure to submit certain qualifying documents could cause you to lose your loan and the financing you need to buy your home.

1. Mortgage Rates for both conventional and FHA loans are extremely low! This means people who currently own homes, now have a way of refinancing into a lower payment, paying off debt and saving money all around. For anyone looking to purchase a home, they can now do so with a fantastic interest rate.

2. Mortgage Rates for jumbo loan amounts are finally lower now than they have been for a long time.

3. Buyers, this is for you...Thanks to all of the foreclosures and short-sales, you can pick up a home at a bargain of a price! In most cases purchase the home with little money down and move in with equity already in the home. This was hard to do a few years ago.

4. For current home owners...If you are in a neighborhood that has foreclosures or short sales going on, like I am, chances are, your taxes will go down because of lower assessment values! How cool is that, your monthly payment on taxes could go down! Not bad if you have no intentions of moving out in the next couple of years.

5. For first time home buyers...The government is now allowing a sizeable tax credit. What a great way to increase your chances of getting more back at the end of the year.

There you have it, a few good things that are currently available in our mortgage industry. I'm sure there are many more reasons, but these are the ones off the top of my head.

More to come...

Dennis Noonan
Sr. Mortgage Profesional
Axia Financial
360-600-5580
Email: dennis.noonan@axiafinancial.com

 http://responsiblelending.org

After reading most of the bill, my initial thoughts were, "About Time". Our government is doing something good for our economy and the mortgage industry. The bill that was recently signed has a lot of very good and much needed help embedded within the proposal. 
While this bill focuses on helping to keep the number of homes that could go into foreclosure from actually going into foreclosure, I believe our government overlooked one important aspect of foreclosures. What do we do about the homes that have gone past the foreclosure point and are now owned by a bank? Everyone in the mortgage or real estate industry knows that there are a record number of homes on the market. How do we continue to help people purchase homes whether it is a foreclosed home, REO or a brand new home? Instead, section 113. CASH INVESTMENT REQUIREMENT AND PROHIBITION OF SELLER-FUNDED DOWNPAYMENT ASSISTANCE removes one of the best programs we have to offer people who are buying a home! 
Traditionally, an FHA loan allowed the seller of a property to contribute the 3% down needed for FHA financing. This allowed a person who did not quite have the 3% down to still get into a home at 97% financing. This type of transaction is at least 50% of the loans we do today. 

If this is taken away, what do you thing will happen to the mortgage industry. Common sense says, the purchase market will go from slow to slower. Hmm? I truly hope our Congress has a plan to reinstate this vital tool that has already helped several hundreds of thousands of people get into homes. 
How I see it, Congress did something good on one end of the process, but took away a perfectly great program that has helped keep our housing market afloat. All in all I’m not sure what to think? Any thoughts?