Question on mortgage rates for HLS

[CAwireman]

HLS,

I’d like to get more loan info if that’s your occupation.

Feel free to drop me a message with your contact information at: [email protected]

HiggyBaby

[CAwireman]

HLS,

I’d like to get more loan info if that’s your occupation.

Feel free to drop me a message with your contact information at: [email protected]

HiggyBaby

[HLS]

With respect, I can only say that you wasted alot of your time.
An honest mortgage person will hide nothing, tell you the truth about everything, and there is no need to spend a month putting together a thesis.

Nobody needs to see loan payoff statements or letters of recommendation. Your credit report and score tells the underwriter what they need to know about your past, and a W-2, reserve statement and your current income documents the present.

Amazon and the author of the book were happy that you made the purchase though.

I’ll be the first to admit that the industry is full of scumbags, but believe it or not, there are people like me that will tell you more than you want to know about a loan and are not looking to pull a scam or technique to separate you from your money.

Your one inch thick dissertation made you feel better, but I wouldn’t have treated you any differently without it.

Checking with someone like me would have saved you the same tens of thousands of dollars, but you may not have known it.

The only thing that matters is that you are happy. Nobody can know that they got the cheapest loan that day. It’s just unrealistic.

PS: Knowing that you are dealing with someone you can completely trust is not something that you will find in any book. Dealing with someone that tries to screw you and then says I’ll beat any other offers is not the kind of person that I want to deal with on one of the largest financial transactions of my life.

[HLS]

With respect, I can only say that you wasted alot of your time.
An honest mortgage person will hide nothing, tell you the truth about everything, and there is no need to spend a month putting together a thesis.

Nobody needs to see loan payoff statements or letters of recommendation. Your credit report and score tells the underwriter what they need to know about your past, and a W-2, reserve statement and your current income documents the present.

Amazon and the author of the book were happy that you made the purchase though.

I’ll be the first to admit that the industry is full of scumbags, but believe it or not, there are people like me that will tell you more than you want to know about a loan and are not looking to pull a scam or technique to separate you from your money.

Your one inch thick dissertation made you feel better, but I wouldn’t have treated you any differently without it.

Checking with someone like me would have saved you the same tens of thousands of dollars, but you may not have known it.

The only thing that matters is that you are happy. Nobody can know that they got the cheapest loan that day. It’s just unrealistic.

PS: Knowing that you are dealing with someone you can completely trust is not something that you will find in any book. Dealing with someone that tries to screw you and then says I’ll beat any other offers is not the kind of person that I want to deal with on one of the largest financial transactions of my life.

[flyer]

HLS

Really enjoyed reading all of your very informative posts. When you have a moment, I have a quick loan question I’d like to email you, if you don’t mind. You can reach me at
[email protected]

Thanks!

[flyer]

HLS

Really enjoyed reading all of your very informative posts. When you have a moment, I have a quick loan question I’d like to email you, if you don’t mind. You can reach me at
[email protected]

Thanks!

[admin]

I don’t think admin is concerned about reasonable networking.

Correct. People who participate in and add value to the forum are welcome to “network” and make it known if they think they could help someone professionally (including posting their contact info). If anyone gives you a hard time refer them to this post.

I tried installing a private messaging function once so that people wouldn’t need to post their emails. It was very buggy though. If I get a chance I will look into it again.

[admin]

I don’t think admin is concerned about reasonable networking.

Correct. People who participate in and add value to the forum are welcome to “network” and make it known if they think they could help someone professionally (including posting their contact info). If anyone gives you a hard time refer them to this post.

I tried installing a private messaging function once so that people wouldn’t need to post their emails. It was very buggy though. If I get a chance I will look into it again.

[Raybyrnes]

“With respect, I can only say that you wasted alot of your time. An honest mortgage person will hide nothing, tell you the truth about everything, and there is no need to spend a month putting together a thesis.”

Enjoy the post. Think this is true of all professions. People wasting a lot of time thinking that somehow they can game the system.

Rather than spending months reading books I would think that a better analysis would be ” What am I looking to accomplish? What is going to make me feel most comfortable at night? After coming to terms with this matching the product up with a professional should be easy. Professional who know what they are doing are not going to waste their time trying to oversell someone. If they know the market they will be in line with their pricing.

[Raybyrnes]

“With respect, I can only say that you wasted alot of your time. An honest mortgage person will hide nothing, tell you the truth about everything, and there is no need to spend a month putting together a thesis.”

Enjoy the post. Think this is true of all professions. People wasting a lot of time thinking that somehow they can game the system.

Rather than spending months reading books I would think that a better analysis would be ” What am I looking to accomplish? What is going to make me feel most comfortable at night? After coming to terms with this matching the product up with a professional should be easy. Professional who know what they are doing are not going to waste their time trying to oversell someone. If they know the market they will be in line with their pricing.

[Alex_angel]

HLS. You said rates are down now compared to early May before the spike, but when I check certain rates websites like bankrate.com it shows them to be still higher and close to the May spike.

I have a question for you. If someone were to buy a $700k home with 5% down and has an over 700 fico and family income is over $150k. What is the rate they can get today? I am asusming a 80/15/5 loan. Is this rate something they could have recieved in early May prior to the spike? It still seems to be at least 1/2% higher. If that buyer decides to buydown points how much would a point cost? How much can buying down $20k of points get you?

The reason I ask is that some builders/lenders will give you an incentive to buydown $20k in points. Yet even with the buydown the rate is equivalent to what some bank websites claim without buying down any points. The builder/lender seem to jack up the rate, then claim that $20k bought you down almost 1% but in reality it is just getting you down to a rate you can get from anywhere.
If you’d like to take this offline. Please email me at
[email protected]

thanks

[Alex_angel]

HLS. You said rates are down now compared to early May before the spike, but when I check certain rates websites like bankrate.com it shows them to be still higher and close to the May spike.

I have a question for you. If someone were to buy a $700k home with 5% down and has an over 700 fico and family income is over $150k. What is the rate they can get today? I am asusming a 80/15/5 loan. Is this rate something they could have recieved in early May prior to the spike? It still seems to be at least 1/2% higher. If that buyer decides to buydown points how much would a point cost? How much can buying down $20k of points get you?

The reason I ask is that some builders/lenders will give you an incentive to buydown $20k in points. Yet even with the buydown the rate is equivalent to what some bank websites claim without buying down any points. The builder/lender seem to jack up the rate, then claim that $20k bought you down almost 1% but in reality it is just getting you down to a rate you can get from anywhere.
If you’d like to take this offline. Please email me at
[email protected]

thanks

[HLS]

Alex…
Please understand that sites like bankrate are very misleading.
Without qualifying you for your EXACT situation, the rates and “average” rates that you are looking at don’t tell the whole story, and honestly mean nothing.

The industry has been built on misleading the borrower into believing that they qualify for a certain rate, then in many/most cases finding out that it it’s going to be higher OR that they don’t qualify at all. It disgusts me.

Most who “shop” by asking “what’s your rate” are just asking to be fooled. When asked, most in the industry just lie and offer a lower rate than what is truly available, to mislead and make the borrow think that they found the lowest rate. Even if they were to lock the rate that day, it doesn’t mean that they will qualify and get approved.
I could lock a rate even though I know you don’t qualify for it. (Not something that I do) to get you started in the process.

I know it’s what most people do, and it’s why many people have a horrible experience or go through torture to get a loan. Lots of liars in the biz.

I’d need answers to important questions before I could price the loan for you. It’s what YOU don’t know about sites like bankrate that are dangerous.
With the limited information above, you may not even qualify for 95% financing.

Everything to a lender is risk/reward. One thing that I can tell you for sure, is that you will be MUCH better off with 10% down and a PAR(wholesale) rate for a 80/10 rather than 5% down and buying the rate down. (15%-20% down even better)

Find someone that you can trust, agree on a fixed fee to them, and let them find you the best loan that you actually qualify for. That’s probably the best way to “shop” for a loan.

Anything other than that is what leads to the lies, deceptions, trickery, overcharging, etc that goes on, EVEN when you deal with family & friends. People asked to be fooled and get what they wish for.

Dealing with builders is a whole other game. They try to make a profit from every angle of the transaction, including upgrades and financing. There is no solid generalization, but they also mislead with their rates.
In general, incentives from builders are convenient, but expensive.

Assuming that going directly to a bank gets you the best loan is probably the biggest myth out there. It might be possible,(esp when compared to a slimeball) but if you’re dealing with someone honest, you may have many more options to get a better loan.

Banks DO NOT have to disclose when you are overcharged, brokers DO have to disclose it. It’s the power of the banking industry.

My general advice is don’t strap yourself and be a slave to a mortgage, esp in this market.

Knowing what you need to qualify for a great loan means that you can prepare & plan for it, instead of walking in and getting blindsided.

I’d be happy to speak with you privately about your situation.
Please look for my email. Thanks.

[HLS]

Alex…
Please understand that sites like bankrate are very misleading.
Without qualifying you for your EXACT situation, the rates and “average” rates that you are looking at don’t tell the whole story, and honestly mean nothing.

The industry has been built on misleading the borrower into believing that they qualify for a certain rate, then in many/most cases finding out that it it’s going to be higher OR that they don’t qualify at all. It disgusts me.

Most who “shop” by asking “what’s your rate” are just asking to be fooled. When asked, most in the industry just lie and offer a lower rate than what is truly available, to mislead and make the borrow think that they found the lowest rate. Even if they were to lock the rate that day, it doesn’t mean that they will qualify and get approved.
I could lock a rate even though I know you don’t qualify for it. (Not something that I do) to get you started in the process.

I know it’s what most people do, and it’s why many people have a horrible experience or go through torture to get a loan. Lots of liars in the biz.

I’d need answers to important questions before I could price the loan for you. It’s what YOU don’t know about sites like bankrate that are dangerous.
With the limited information above, you may not even qualify for 95% financing.

Everything to a lender is risk/reward. One thing that I can tell you for sure, is that you will be MUCH better off with 10% down and a PAR(wholesale) rate for a 80/10 rather than 5% down and buying the rate down. (15%-20% down even better)

Find someone that you can trust, agree on a fixed fee to them, and let them find you the best loan that you actually qualify for. That’s probably the best way to “shop” for a loan.

Anything other than that is what leads to the lies, deceptions, trickery, overcharging, etc that goes on, EVEN when you deal with family & friends. People asked to be fooled and get what they wish for.

Dealing with builders is a whole other game. They try to make a profit from every angle of the transaction, including upgrades and financing. There is no solid generalization, but they also mislead with their rates.
In general, incentives from builders are convenient, but expensive.

Assuming that going directly to a bank gets you the best loan is probably the biggest myth out there. It might be possible,(esp when compared to a slimeball) but if you’re dealing with someone honest, you may have many more options to get a better loan.

Banks DO NOT have to disclose when you are overcharged, brokers DO have to disclose it. It’s the power of the banking industry.

My general advice is don’t strap yourself and be a slave to a mortgage, esp in this market.

Knowing what you need to qualify for a great loan means that you can prepare & plan for it, instead of walking in and getting blindsided.

I’d be happy to speak with you privately about your situation.
Please look for my email. Thanks.

[SD Realtor]

HLS your points about the builders preferred lender cannot be understated. It is unfortunate but I would say over 95% of the home buyers looking to buy in the new developments go straight to the preferred lender because of the 20k or 30k incentive program. Pretty sad to see but people get hypnotized by the incentive program rather then seriously shop for a better loan, then run the numbers to see how much they could have saved in the long run.

SD Realtor

[Author]

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