The topic of this interview with Jerry Wilson is buying Investment Property. He shares his insights of what it takes and what to expect in 2017 when it comes to financing residential income property. Jerry Wilson has been a Morgage Professional over 25 years. He has funded nearly 1 Billion dollars in transactions.
Spring is approaching fast and it is usually the busiest time of the year for home buying. After a long and cold winter, many people are ready to enjoy the nicer weather and begin to shop for a new home. Spring is also the perfect time for home buying for families with children because it allows them to move during the summer without interrupting school.
Home buying has costs associated with it other than the mortgage itself. Known as closing costs, these fees are a part of the home buying process and they are due at the time that the mortgage is finalized. Buyers, however, can negotiate these costs and reduce the expense with a little bit of effort and with the help of a good mortgage professional.
If you are thinking of buying a new home in the spring here are three helpful tips to reducing your closing costs.
Compare All of Your Mortgage Options
If you’re using mortgage financing to cover some of the up-front purchase cost of your home you’ll have other closing costs to pay including lender fees, mortgage insurance and more. Be sure to compare all of your options with your trusted mortgage adviser to ensure that you’re getting the best possible deal and paying the least amount in fees and interest.
You may also be able to save a bit on your closing costs by choosing a “no points” mortgage. In this type of mortgage you’ll end up saving on closing costs but you’ll be left paying a higher interest rate. Spend a bit of time doing the math to determine the best course of action.
Third Party Fees
Some of the closing cost fees will be associated with third party vendors that must perform required services. Home appraisals, title searches, and costs for obtaining credit reports are some of the items included in this area. While these may be a little harder to negotiate because the lender uses specific companies to perform these services, it does not hurt to ask if you can use your own appraiser or title search company.
Zero Closing Cost Mortgages
Buyers may also wish to inquire about a no closing cost mortgage. This type of mortgage eliminates all closing costs. The lender covers all of the closing cost fees in exchange or a slightly higher interest rate on the loan. In most cases the increase is less than one-quarter of a percent. This type of loan can be very helpful to buyers. Buyers can then use the money that they saved on closing costs to help with the move.
With a little preparation, you can find the best mortgage product for the up-coming spring season. Be sure to contact your experienced mortgage professional, as they will be able to help you find the right mortgage for your specific needs with the lowest out-of-pocket expenses.
| June 03, 2013 | Month/Month | Year/Year | |
|---|---|---|---|
| Median Asking Price | $285,077 | +1.8% | +10.1% |
| Home Listings/Inventory | 8,714 | +3.5% | -23.4% |
| Date | Single Family & Condo Inventory |
25th Percentile Asking Price |
Median Asking Price |
75th Percentile Asking Price |
|---|---|---|---|---|
| 06/03/2013 | 8,714 | $199,000 | $285,077 | $449,900 |
| 05/27/2013 | 8,631 | $197,700 | $285,000 | $449,000 |
| 05/20/2013 | 8,597 | $195,000 | $282,500 | $441,100 |
| 05/13/2013 | 8,460 | $194,950 | $280,000 | $448,500 |
| 05/06/2013 | 8,420 | $191,900 | $279,900 | $449,000 |
The median asking price for homes in Portland peaked in April 2007 at $354,740 and is now $69,663 (19.6%) lower. From a low of $239,125 in February 2011, the median asking price in Portland has increased by $45,952 (19.2%).
Housing inventory in Portland, which is typically highest in the spring/summer and lowest in the fall/winter, peaked at 23,354 in July 2008. The lowest housing inventory level seen was 7,969 in March 2013.
| Date | Single Family & Condo Inventory |
25th Percentile Asking Price |
Median Asking Price |
75th Percentile Asking Price |
|---|---|---|---|---|
| June 2013 | 8,714 | $199,000 | $285,077 | $449,900 |
| May 2013 | 8,527 | $194,888 | $281,850 | $446,900 |
| April 2013 | 8,075 | $186,800 | $274,540 | $439,060 |
| March 2013 | 7,969 | $182,923 | $267,425 | $427,213 |
| February 2013 | 7,981 | $179,900 | $262,450 | $419,731 |
| January 2013 | 8,250 | $179,075 | $259,217 | $404,725 |
| December 2012 | 8,627 | $178,900 | $259,720 | $405,750 |
| November 2012 | 9,408 | $179,675 | $260,950 | $408,963 |
| October 2012 | 10,259 | $179,900 | $267,160 | $418,600 |
| September 2012 | 10,828 | $179,900 | $268,975 | $418,450 |
| August 2012 | 11,102 | $179,675 | $268,725 | $418,500 |
| July 2012 | 11,140 | $177,600 | $266,598 | $411,651 |
| June 2012 | 11,362 | $174,825 | $259,675 | $399,950 |
| May 2012 | 11,227 | $169,713 | $252,463 | $399,450 |
| April 2012 | 10,820 | $169,160 | $249,910 | $397,940 |
| March 2012 | 9,683 | $174,450 | $259,450 | $406,225 |
| February 2012 | 10,549 | $169,225 | $248,250 | $388,025 |
| January 2012 | 10,833 | $169,080 | $246,960 | $381,960 |
| December 2011 | 11,461 | $169,925 | $248,375 | $385,675 |
| November 2011 | 12,018 | $174,750 | $250,972 | $397,425 |
| October 2011 | 12,846 | $179,530 | $258,720 | $399,900 |
| September 2011 | 13,509 | $179,939 | $259,900 | $399,900 |
| August 2011 | 14,672 | $179,360 | $256,590 | $395,540 |
| July 2011 | 14,772 | $178,150 | $253,188 | $389,225 |
| June 2011 | 14,762 | $176,475 | $250,970 | $386,970 |
| May 2011 | 14,582 | $173,184 | $249,160 | $375,780 |
| April 2011 | 14,748 | $169,950 | $242,400 | $364,975 |
| March 2011 | 15,458 | $169,800 | $239,675 | $359,575 |
| February 2011 | 15,531 | $169,675 | $239,125 | $354,725 |
| January 2011 | 15,001 | $170,760 | $239,158 | $356,380 |
| December 2010 | 16,118 | $176,200 | $242,700 | $363,363 |
| November 2010 | 17,018 | $180,160 | $249,330 | $373,780 |
| October 2010 | 17,614 | $184,975 | $253,375 | $381,975 |
| September 2010 | 18,282 | $189,100 | $258,925 | $390,950 |
| August 2010 | 18,579 | $190,940 | $261,150 | $397,160 |
| July 2010 | 18,160 | $195,163 | $267,475 | $399,000 |
| June 2010 | 17,488 | $196,853 | $268,875 | $399,800 |
| May 2010 | 17,035 | $198,880 | $269,620 | $399,818 |
| April 2010 | 17,279 | $198,000 | $266,750 | $392,500 |
| March 2010 | 16,495 | $195,600 | $264,460 | $393,960 |
| February 2010 | 15,382 | $194,938 | $264,450 | $395,198 |
| January 2010 | 14,895 | $197,819 | $267,425 | $399,225 |
| December 2009 | 15,329 | $199,897 | $272,038 | $402,212 |
| November 2009 | 15,902 | $202,750 | $277,760 | $417,780 |
| October 2009 | 16,573 | $209,675 | $283,646 | $428,225 |
| September 2009 | 17,165 | $210,000 | $289,475 | $436,100 |
| August 2009 | 17,595 | $211,760 | $292,880 | $444,320 |
| July 2009 | 17,819 | $212,950 | $294,950 | $449,000 |
| June 2009 | 17,870 | $213,460 | $294,920 | $449,100 |
| May 2009 | 17,713 | $211,475 | $293,291 | $445,250 |
| April 2009 | 17,978 | $212,525 | $289,925 | $444,725 |
| March 2009 | 18,506 | $214,153 | $289,930 | $443,360 |
| February 2009 | 18,449 | $216,014 | $293,968 | $448,125 |
| January 2009 | 18,872 | $219,952 | $297,855 | $452,809 |
| December 2008 | 19,842 | $223,220 | $302,773 | $458,508 |
| November 2008 | 20,983 | $226,382 | $307,532 | $464,024 |
| October 2008 | 22,086 | $229,650 | $312,450 | $469,724 |
| September 2008 | 22,973 | $233,730 | $319,580 | $474,990 |
| August 2008 | 23,314 | $235,200 | $322,000 | $475,725 |
| July 2008 | 23,354 | $236,074 | $324,550 | $475,000 |
| June 2008 | 22,657 | $239,150 | $324,920 | $479,459 |
| May 2008 | 21,505 | $239,900 | $325,000 | $480,947 |
| April 2008 | 20,669 | $239,900 | $324,937 | $479,912 |
| March 2008 | 19,381 | $241,300 | $324,860 | $485,960 |
| February 2008 | 18,409 | $240,485 | $324,925 | $479,912 |
| January 2008 | 17,659 | $243,500 | $324,962 | $481,765 |
| December 2007 | 18,584 | $245,120 | $327,975 | $489,355 |
| November 2007 | 19,926 | $248,665 | $330,475 | $486,425 |
| October 2007 | 20,762 | $249,950 | $337,260 | $493,980 |
| September 2007 | 20,656 | $253,425 | $339,900 | $497,749 |
| August 2007 | 19,837 | $257,712 | $342,975 | $499,124 |
| July 2007 | 18,710 | $261,120 | $349,120 | $499,930 |
| June 2007 | 17,670 | $264,282 | $349,950 | $507,949 |
| May 2007 | 16,386 | $264,900 | $350,975 | $512,662 |
| April 2007 | 15,059 | $264,900 | $354,740 | $517,740 |
| March 2007 | 13,897 | $264,450 | $353,850 | $523,425 |
| February 2007 | 13,814 | $258,517 | $349,800 | $516,750 |
| January 2007 | 13,726 | $255,810 | $349,637 | $507,441 |
| December 2006 | 14,746 | $257,149 | $348,246 | $499,949 |
| November 2006 | 15,671 | $258,837 | $348,750 | $499,900 |
| October 2006 | 16,027 | $259,640 | $348,834 | $499,900 |
| September 2006 | 15,239 | $261,098 | $349,675 | $499,937 |
| August 2006 | 14,029 | $264,925 | $350,737 | $518,587 |
| July 2006 | 12,864 | $264,920 | $350,470 | $525,980 |
| June 2006 | 11,261 | $264,925 | $349,975 | $530,937 |
| May 2006 | 9,804 | $262,340 | $350,940 | $532,360 |
| April 2006 | 8,701 | $256,433 | $346,433 | $526,224 |
The Department of Numbers contextualizes public data so that individuals can form independent opinions on everyday social and economic matters.
[QE] is definitely a pretty roundabout way of driving money into the real economy. Instead of putting the money directly to work, pay money to people who already have assets even more than their assets are currently trading for, in the hope that they’ll put at least some of the money to work.
In a sidenote he addresses “helicopter money” AKA “QE for the people.”
QE involves paying over a $ (or Pounds, or Yen) amount in return for an existing asset. This is a crucial feature, and accounts for many of the drawbacks — in particular that the policy benefits above all existing holders of assets. In theory, just handing money to everybody in the country is a more effective and equal way of acheiving its aims. But you don’t have to be a hard-money Bundesbanker to be at least a little uncomfortable with where this might end up
QE via asset purchases does strike me as a very roundabout way of addressing a demand shortfall in a substantially consumer driven economy. But as the above post suggests, nothing else may be politically viable.
…
Institutional home buying fatigue?
We just don’t see the returns there that are adequate to incentivize us to continue to invest, [Bruce] Rose, 55, chief executive officer of Carrington Holding Co. LLC, said in an interview at his Aliso Viejo, California office. There’s a lot of — bluntly — stupid money that jumped into the trade without any infrastructure, without any real capabilities and a kind of build-it-as-you-go mentality that we think is somewhat irresponsible.
#2013-05-29 [ via ]
…
Housing inventory trajectory for 2013.
I forgot to point out this post by Calculated Risk earlier this week. He’s using my housing inventory data to chart the trajectory of listings coming online this year. Inventory has come way down over the past couple of years and the big question is whether this winter will mark a bottom. If a lot of homes go on the market this spring, it probably indicates a bottom.
…
Steve Randy Waldman: I think the behavior of real interest rates is the empirical fingerprint of the effect of inequality on demand.
Where the missing demand comes from:
Household borrowing represents, in a very direct sense, a redistribution of purchasing power from savers to borrowers. So if we worry that oversaving by the rich may lead to an insufficiency of purchases [by poorer households], household borrowing is a natural place to look for a remedy. Sure enough, we find that beginning in the early 1980s, household borrowing began a secular rise that continued until the financial crisis.
Why that’s a problem:
Suppose that the mechanism that reconciles inequality and adequate demand is household borrowing. Is that sustainable? After all, poorer households would have to borrow new purchasing power in every period in order to support demand for as long as inequality remains high.
How it messes with the role of banks in the economy:
We very explicitly ask banks to intermediate the deficit in demand, exhorting them to lend lend lend for macroeconomic reasons that are indifferent to microeconomic evaluations of solvency. We can have a banking system that performs the information work of credit analysis and lends appropriately, or we can have a banking system that overcomes deficiencies in demand. We cannot have both when great volumes of lending are continually required for structural reasons.
The elegance and insight density of this post is off the charts!
Data on deptofnumbers.com is for informational purposes only. No warranty or guarantee of accuracy is offered or implied. Contact ben@deptofnumbers.com (or @deptofnumbers on Twitter) if you have any questions, comments or suggestions.
Department of Numbers
http://www.deptofnumbers.com/
Although the financial markets have tightened lending guidelines and financing requirements over the last few years, the right advice when applying for your loan can make a big difference.
Not all loans are approved. And even when they aren’t approved immediately, it doesn’t have to be the end of your real estate dreams.
There are many reasons why a mortgage loan for the purchase of your real estate could be declined.
Here are a few things to understand and prepare for when applying for a mortgage:
Loan-to-Value Ratio
The loan-to-value ratio (LTV) is the percentage of the appraised value of the real estate that you are trying to finance.
For example, if you are trying to finance a home that costs $100,000, and want to borrow $75,000, your LTV is 75%.
Lenders generally don’t like a high LTV ratio. The higher the ratio, the harder it normally is to qualify for a mortgage.
You can positively affect the LTV by saving for a larger down payment.
Credit-to-Debt Ratio
Your credit score can be affected negatively, which in turn affects your mortgage loan if you have a high credit-to-debt ratio.
The ratio is figured by dividing the amount of credit available to you on a credit card or auto loan, and dividing it by how much you are currently owe.
High debt loads make a borrower less attractive to many lenders.
Try to keep your debt to under 50% of what is available to you. Lenders will appreciate it, and you will be more likely to get approved for a mortgage.
No Credit or Bad Credit
Few things can derail your mortgage loan approval like negative credit issues.
Having no credit record can sometimes present as much difficulty with your loan approval as having negative credit.
With no record of timely loan payments in your credit history, a lender is unable to determine your likelihood to repay the new mortgage.
Some lenders and loan programs may consider other records of payment, like utility bills and rent reports from your landlord.
Talk to your loan officer to determine which of these issues might apply to you, and take the steps to correct them.
Then, you can finance the home of your dreams.
With inventories down and prices up, sellers are ending the costly incentives they have been forced to offer buyers during the six-year long buyers’ market. Concession-free transactions make deal-making simple on both sides of the table.
There’s no better gauge of the onset of a seller’s market than the demise of concessions that were considered essential to attract buyer interest just a few months ago. The National Association of REALTORS®’ December REALTOR® Confidence Outlook reported that the market has steadily moved towards a seller’s market with buyers more willing to bear closing costs, in some cases paying for half or more of the closing cost. Tight inventories of homes for sale are making markets increasingly competitive.
NAR reports that last year 60 percent of all sellers offered incentives to attract buyers. The most popular was a free home warranty policy, which costs about $500, offered by 22 percent of sellers, but 17 percent upped the ante by paying a portion of buyers’ closing costs and 7 percent contributed to remodeling or repairs.
Concessions linger where inventories are still adequate and sales slow, but in tight markets like Washington D.C., the times when buyers can expect concessions are already over.
“Buyers are discovering, to their dismay that homes they wanted to see or possibly buy have already been snatched up before they even get a chance to see or make an offer on the property. This area’s unprecedented low inventory levels are slowly driving up home prices and making sellers reluctant to cede little if any concessions to buyers. Realtors are warning (or should in some cases) buyers to be prepared to act that day if they are interested in a property,” reporters a local broker.
In Albuquerque, supply is dwindling and sales are moving to a more balanced market. “Buyers can expect sellers to offer less concessions and sales prices will be close to list price,” reports broker Archie Saiz.
In Seattle, not only are concessions a thing of the past, desperate buyers are even resorting to writing “love letters” to win over sellers in competitive situations. Lena Maul, a broker/owner in Lynnwood, reports a successful letter-writing effort last month by one of her office’s clients. Those buyers, who were using FHA financing, wrote a letter introducing themselves to the seller and explaining why they liked the home so much. After reviewing 13 offers, including one from an all-cash investor, the seller chose the letter-writer’s offer.
New regulations enacted last year by the Federal Housing Administration to limit its exposure to risk forced many sellers to cut back on the amount of assistance on buyers’ closing costs. Sellers are now limited to no more than six percent of the loan amount.
Underwriting standards on conventional mortgages also have the effect of limiting the amount sellers can contribute.
In recent years many lenders have disallowed seller paid closing costs on 100 percent financed home loans because of the high foreclosure rate.
However, seller paid closing costs are typically limited to 6 percent of the loan amount at 90 percent loan-to-value or lower, 3 percent between 90-95 percent, and then usually 3 percent for 100 percent loan-to-value.
Some sellers bump up the home sales price to pay for concessions. However the buyer will need to get the higher amount he will need to borrow covered by the appraisal and he will have to meet increased debt-to-income ratio in order to close his loan.
The demise of concessions will make buying and selling a little simpler and more rational. As one observed asked, “Why would anyone selling a home pay the home buyer to buy it?”
For more information, visit www.realestateeconomywatch.com
This past week, several reports were released, all of which showed that declining home inventory is affecting sales. This decline is creating a seller’s market in which multiple bids are being made to purchase homes. According to the National Association of Realtors, existing home sales fell 1% in December, but were still at the second highest level since November, 2009. Inventory of homes for sale fell 8.5 from November, the lowest level since January of 2001, and are down 21.6% from December of 2011.
Following that lead, pending home sales dropped 4.34% in December to 101.7 from 106.3 in November, yet was 6.9% higher than December, 2011, according to the National Association of Realtors. The Chief Economist at NAR stated that “supplies of homes costing less than $100,000 are tight in much of the country, especially in the West, so first time buyers have fewer options”. Mortgage ratesare still low, affordability is still there, but the available homes are dwindling. In the meantime, home prices are increasing at a faster pace. According to the latest S&P/Case-Shiller index for November, property values rose 5.5% from November of 2011 which was the highest year over year increase since August of 2006.
The cause of the low inventory can be attributed to several factors. For the week ending January 18th, loan applications increased 7.0% on a seasonally adjusted basis, according to the Mortgage Banker’s Association. The Refinance Index rose 8% with refinances representing 82% of all applications. The seasonally adjusted Purchase Index rose 3%, the highest level since May, 2010. Many homeowners have chosen a mortgage refinance instead of moving to another home which is one reason that inventory is down. In addition, many underwater homeowners have refinanced through the HARP program which is available for loans that were sold to Fannie Mae or Freddie Mac prior to June 1, 2009. These homeowners may not yet be in a position to sell their homes until they have gained back enough equity. As home prices increase, this will eventually happen. The same can be said for those who refinanced through the FHA streamline program which is offering reduced fees for loans that were endorsed prior to June 1, 2009. Refinancing through these two government programs, both available until the end of 2013, hit all time highs in 2012.
Home builders are busy, but not currently building new homes at the rate that was seen during the housing boom. According to the Census Bureau and the Department of Housing and Urban Development, total new homes sales in 2012 hit the highest level seen since 2009 and were up 19.9% from 2011. There was much progress made in 2012, but sales for new homes fell 7.3% in December.
On the down side, the Census Bureau reported that homeownership fell 0.6% to 65.4% during December, down from 65.5% at the end of October and 66% at the end of 2011. Homeownership reached a peak of 69.2% in 2004 and has been falling since that time. The latest Consumer Confidence index dropped to 58.6 which is the weakest since November of 2011. It was previously at a revised 66.7 in December. This fell more than expected and is due to the higher payroll tax that is taking more out of the pockets of consumers.
The housing market, which is still in recovery, remains fragile. The lack of inventory and the rise of home prices may affect its progress this year. As home prices increase, fewer consumers will be able to qualify for a home loan. Existing homeowners may choose to refinance remain where they are instead of purchasing another home. While jobless claims have fallen, there are still many consumers who are out of work or are working lower paid jobs. The housing market is dependent on jobs, not just for salaries, but for consumer movement from one area to another.
FreeRateUpdate.com surveys more than two dozen wholesale and direct lenders’ rate sheets to determine the most accurate mortgage rates available to well qualified consumers at about a 1 point origination fee.
http://ml-implode.com/viewnews/2013-01-30_DecliningHomeInventoryAffectingSales.html
As a home buyer , you can get a feel for whether a home’s systems and appliances are in working order. However, you can’t know for certain until after the home’s been inspected.
This is why real estate agents recommend that buyers hire a licensed home inspectors immediately after going into contract. It’s the best way to really know the home which you’re buying.
By definition, a home inspection is a top-to-bottom check-up of a home’s physical condition and systems, including a review of the structure, and its plumbing and electrical systems. Home inspections are not the same as a home appraisal, which is a valuation of the property.
When you commission a home inspection, you should be present for it. Here are 3 reasons why :
Seeing For Yourself There’s a big difference between reading a report and seeing “live” what may be right or wrong with a home. With first-hand knowledge of a potential issue, you’ll be in a better position to determine whether a problem warrants contract cancellation, or whether it’s an additional negotiation point.
Discovering The Home Via a home inspection, you will learn where the systems reside within a home (e.g.; boiler room, garage), and how to operate them. This is a valuable educational opportunity and most inspectors are happy to share what they know. It’s also a chance to ask questions about maintenance and upkeep.
Better Understanding A home inspector’s job is to review and disclose the condition of the home. The inspector’s report, however, is just a summary on paper. In being present for the inspection, a buyer will be able to visualize and understand the report’s conclusions more clearly. This can make for more effective re-negotiations with the seller, in the event that damage or distress is identified.
So, what should you do during the home inspection? Your primary tasks are to watch, listen, learn and ask questions. A professional home inspector will welcome your participation in the process.
Visit MultnomahForeclosures.com for the notice of default lists (Homes in Foreclosure) for Multnomah County and other Oregon counties.
Multnomah Country Foreclosures
http://multnomahforeclosures.com
Fred Stewart
Stewart Group Realty Inc.
info@sgrealtyinc.com
http://www.sgrealty.net
Chris Diaz is the founder of Charis Financial, Inc. He has over 15 years experience in helping homeowners with their mortgages and has closed hundreds of short sales over the last 4 years. His website is http://www.charisfinancialinc.com. Send questions to moneymatters@ocregister.com; reference ³Short Sales² in the subject line.
I was recently approved for a short sale by (my bank). The loan was in escrow and ready to close within a few days. I then got a letter from (the bank) denying my short sale due to “quality review”. My approval letter wasn’t set to expire for another two weeks and nobody in (the bank) could give me a valid reason as to why I received this denial. Have you seen this scenario before and do you have any suggestions for me as I really don’t want to lose my home to foreclosure?
Yes, the out of the blue “QA Review” denial. This one is a difficult one because of the lack of explanation from your bank. It’s difficult to accept that one can have an approval in hand, with an expiration date that hasn’t yet expired, and still get a denial for a reason that is unexplained. However, this is a reality and it does happen, albeit somewhat infrequently.
Even though your lender has accepted responsibility for their part in one of the largest instances of mortgage fraud on record with the robo-signing incident, they have a QA team that dedicates a great deal of time and effort in making sure that their company is free from other purveyors of fraud. As well they should because there are lots of unscrupulous people trying to steal a buck instead of earn one.
One recent incident, in which a bank was victimized, was where short sale negotiators were doctoring up fake approval letters along with a fake bank account to have funds wired to, and stealing money that way. The FBI said that three California men probably netted $10 million doing that.
Here are two of the main reasons that we’ve been told as to why a QA department would deny your file and what you can do to reverse or overturn the decision:
1. Buyer information is incorrect. Sometimes QA will deny a deal if the buyer’s preapproval has inaccuracies like the wrong NMLS number, broker number, or property address. This can also happen if the buyer’s “proof of funds” is determined to be fraudulent or doctored in any way. We have also seen it happen where the buyer is getting a loan but has enough money in the bank to pay for a property in cash. Even though they could’ve bought the house in cash, because there was no preapproval letter for a loan, QA denied the short sale until we provided that letter. This has happened even if we weren’t specifically asked for the letter.
2. The Equator account being used to process the short sale has been flagged. Some banks use an automated processing system called Equator to handle their short sales. Equator centralizes all communication for all files that a real estate licensee is working on with them. Sometimes, a licensee can involve themselves in schemes like I described above, or can just be guilty of shoddy work and upload documents from files incorrectly. If the QA team catches either of these two things they may flag that file or all of the files of that particular agent. Once that happens they would contact the agent for an explanation. However, if they feel that there are deliberate inaccuracies in the file an agent can be suspended from doing any further deals with that bank. If that happened your deal could be denied even if there was nothing fraudulent done on yours.
If a QA team has denied your short sale, have your agent address these two situations first as they are the most common. So long as you’re dealing with someone who is ethical, there is probably just a minor oversight of buyer info that the bank needs to have satisfied. Have your agent submit the complete buyer info first and then call to have the decision reversed.
The recent elections in Greece and comments by the Federal Reserve have given our housing market a gift, at least temporarily. Watch today’s video to find out what happened and how you can benefit from this!
If you are shopping for a home loan, you MUST know the right way to compare lenders, and how to choose the best rate/fee structure for your needs. In some cases, the lowest mortgage rate isn’t always the best choice … watch today’s video to find out why!
When you buy a home, and repairs are needed, it’s important to make sure your Sales Agreement is written the right way. Here’s a few tips on what your mortgage lender will expect, and how to make your home loan process go smoother!
FHA finally did something right … they are reducing the mortgage-insurance cost for borrowers who qualify for a streamline refinance. If you or someone you know currently has an FHA loan in the mid 4’s or higher, have them contact me now!
When mortgage rates drop, many people make the mistake of taking too long to “shop around”, or waiting to lock a rate. If the market shifts quickly, a delay can cost you thousands. Watch today’s video to find out why!
You don’t see