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HLS
ParticipantThere are still stated income/stated asset programs available for borrowers with credit scores above 680.
Some purchase loans still go as high as 95% to 100%, and rates aren’t that crazy.
The “system” depends on lending. The fact is that most people make their loan payments. A certain % of defaults are expected.
Having a down payment and a crappy credit score isn’t going to work at any reasonable rate. You must have a decent score to start with, and then options open up to you, esp when self employed.
ParticipantI don’t pull anything over on anyone.
I had a borrower happy with a PAR 5.75% rate 2 weeks ago, so I locked it, but ended up taking him to another lender for 5.625%. Saved them money, at no extra cost to them.
Did I have to do this ? NO.Auto finance is a good analogy, but it isn’t regulated through an escrow company.
What most people don’t understand is everything through a broker shop is regulated, and escrow disburses funds.
There are NO backdoor deals or rebates or commissions or YSP or bonuses or any other form of compensation that is paid outside of escrow. It’s illegal.
What is paid through escrow is on the statement.A PAR rate doesn’t pay a penny of compensation, not 1c.
The are still PLENTY of whores in the industry and no shortage of johns lining up for their services.
To the stubborn mules that think going directly to a bank will always get them the best rate, ignorance is bliss.
I’m still waiting for proof from a couple of morons on this site that were going to prove that interest only loans pay a higher commission than other loans. They refuse to believe that a par loan pays NOTHING, that’s why a fee needs to be charged.
A direct lender (Bank, etc) does not and will not disclose the back end overcharging. They don’t have to.
Mortgage brokers were cutting into the banking business so the banking industry lobbied and came up with a way to try and screw the brokerage business. The result was that brokers’ need to disclose everything, TO THE PENNY, and banks have to disclose nothing, giving the false impression that banks are cheaper.
If you find an honest person at a broker shop to give you the PAR rate for a reasonable fee that is what you want.
Shopping by rate is simply STUPID.
Rates change, ethics don’t.Average people are blinded by monthly payments regardless of rates or fees just like on cars.
The best PAR rate that I have today is 5.875%. It was 5.50% last week. That will cost a fee to get, usually 1% of loan amount. Go knock yourself out shopping around. I don’t even know what you qualify for, but that’s the rate today.
Had a guy in Bressi Ranch recently that was proud of his loan. They paid 2.75% to a “friend” in origination fee, over $13,000. I could do that loan for an enemy for $5000, and get them a better rate.
With friends like his, he doesn’t need enemies.There are other fees for title, escrow, etc that don’t net me a penny, but I know who has the best deal and can get the job done.
The ignorance of some educated people is astounding.
ParticipantI don’t pull anything over on anyone.
I had a borrower happy with a PAR 5.75% rate 2 weeks ago, so I locked it, but ended up taking him to another lender for 5.625%. Saved them money, at no extra cost to them.
Did I have to do this ? NO.Auto finance is a good analogy, but it isn’t regulated through an escrow company.
What most people don’t understand is everything through a broker shop is regulated, and escrow disburses funds.
There are NO backdoor deals or rebates or commissions or YSP or bonuses or any other form of compensation that is paid outside of escrow. It’s illegal.
What is paid through escrow is on the statement.A PAR rate doesn’t pay a penny of compensation, not 1c.
The are still PLENTY of whores in the industry and no shortage of johns lining up for their services.
To the stubborn mules that think going directly to a bank will always get them the best rate, ignorance is bliss.
I’m still waiting for proof from a couple of morons on this site that were going to prove that interest only loans pay a higher commission than other loans. They refuse to believe that a par loan pays NOTHING, that’s why a fee needs to be charged.
A direct lender (Bank, etc) does not and will not disclose the back end overcharging. They don’t have to.
Mortgage brokers were cutting into the banking business so the banking industry lobbied and came up with a way to try and screw the brokerage business. The result was that brokers’ need to disclose everything, TO THE PENNY, and banks have to disclose nothing, giving the false impression that banks are cheaper.
If you find an honest person at a broker shop to give you the PAR rate for a reasonable fee that is what you want.
Shopping by rate is simply STUPID.
Rates change, ethics don’t.Average people are blinded by monthly payments regardless of rates or fees just like on cars.
The best PAR rate that I have today is 5.875%. It was 5.50% last week. That will cost a fee to get, usually 1% of loan amount. Go knock yourself out shopping around. I don’t even know what you qualify for, but that’s the rate today.
Had a guy in Bressi Ranch recently that was proud of his loan. They paid 2.75% to a “friend” in origination fee, over $13,000. I could do that loan for an enemy for $5000, and get them a better rate.
With friends like his, he doesn’t need enemies.There are other fees for title, escrow, etc that don’t net me a penny, but I know who has the best deal and can get the job done.
The ignorance of some educated people is astounding.
ParticipantI don’t pull anything over on anyone.
I had a borrower happy with a PAR 5.75% rate 2 weeks ago, so I locked it, but ended up taking him to another lender for 5.625%. Saved them money, at no extra cost to them.
Did I have to do this ? NO.Auto finance is a good analogy, but it isn’t regulated through an escrow company.
What most people don’t understand is everything through a broker shop is regulated, and escrow disburses funds.
There are NO backdoor deals or rebates or commissions or YSP or bonuses or any other form of compensation that is paid outside of escrow. It’s illegal.
What is paid through escrow is on the statement.A PAR rate doesn’t pay a penny of compensation, not 1c.
The are still PLENTY of whores in the industry and no shortage of johns lining up for their services.
To the stubborn mules that think going directly to a bank will always get them the best rate, ignorance is bliss.
I’m still waiting for proof from a couple of morons on this site that were going to prove that interest only loans pay a higher commission than other loans. They refuse to believe that a par loan pays NOTHING, that’s why a fee needs to be charged.
A direct lender (Bank, etc) does not and will not disclose the back end overcharging. They don’t have to.
Mortgage brokers were cutting into the banking business so the banking industry lobbied and came up with a way to try and screw the brokerage business. The result was that brokers’ need to disclose everything, TO THE PENNY, and banks have to disclose nothing, giving the false impression that banks are cheaper.
If you find an honest person at a broker shop to give you the PAR rate for a reasonable fee that is what you want.
Shopping by rate is simply STUPID.
Rates change, ethics don’t.Average people are blinded by monthly payments regardless of rates or fees just like on cars.
The best PAR rate that I have today is 5.875%. It was 5.50% last week. That will cost a fee to get, usually 1% of loan amount. Go knock yourself out shopping around. I don’t even know what you qualify for, but that’s the rate today.
Had a guy in Bressi Ranch recently that was proud of his loan. They paid 2.75% to a “friend” in origination fee, over $13,000. I could do that loan for an enemy for $5000, and get them a better rate.
With friends like his, he doesn’t need enemies.There are other fees for title, escrow, etc that don’t net me a penny, but I know who has the best deal and can get the job done.
The ignorance of some educated people is astounding.
ParticipantI don’t pull anything over on anyone.
I had a borrower happy with a PAR 5.75% rate 2 weeks ago, so I locked it, but ended up taking him to another lender for 5.625%. Saved them money, at no extra cost to them.
Did I have to do this ? NO.Auto finance is a good analogy, but it isn’t regulated through an escrow company.
What most people don’t understand is everything through a broker shop is regulated, and escrow disburses funds.
There are NO backdoor deals or rebates or commissions or YSP or bonuses or any other form of compensation that is paid outside of escrow. It’s illegal.
What is paid through escrow is on the statement.A PAR rate doesn’t pay a penny of compensation, not 1c.
The are still PLENTY of whores in the industry and no shortage of johns lining up for their services.
To the stubborn mules that think going directly to a bank will always get them the best rate, ignorance is bliss.
I’m still waiting for proof from a couple of morons on this site that were going to prove that interest only loans pay a higher commission than other loans. They refuse to believe that a par loan pays NOTHING, that’s why a fee needs to be charged.
A direct lender (Bank, etc) does not and will not disclose the back end overcharging. They don’t have to.
Mortgage brokers were cutting into the banking business so the banking industry lobbied and came up with a way to try and screw the brokerage business. The result was that brokers’ need to disclose everything, TO THE PENNY, and banks have to disclose nothing, giving the false impression that banks are cheaper.
If you find an honest person at a broker shop to give you the PAR rate for a reasonable fee that is what you want.
Shopping by rate is simply STUPID.
Rates change, ethics don’t.Average people are blinded by monthly payments regardless of rates or fees just like on cars.
The best PAR rate that I have today is 5.875%. It was 5.50% last week. That will cost a fee to get, usually 1% of loan amount. Go knock yourself out shopping around. I don’t even know what you qualify for, but that’s the rate today.
Had a guy in Bressi Ranch recently that was proud of his loan. They paid 2.75% to a “friend” in origination fee, over $13,000. I could do that loan for an enemy for $5000, and get them a better rate.
With friends like his, he doesn’t need enemies.There are other fees for title, escrow, etc that don’t net me a penny, but I know who has the best deal and can get the job done.
The ignorance of some educated people is astounding.
ParticipantI don’t pull anything over on anyone.
I had a borrower happy with a PAR 5.75% rate 2 weeks ago, so I locked it, but ended up taking him to another lender for 5.625%. Saved them money, at no extra cost to them.
Did I have to do this ? NO.Auto finance is a good analogy, but it isn’t regulated through an escrow company.
What most people don’t understand is everything through a broker shop is regulated, and escrow disburses funds.
There are NO backdoor deals or rebates or commissions or YSP or bonuses or any other form of compensation that is paid outside of escrow. It’s illegal.
What is paid through escrow is on the statement.A PAR rate doesn’t pay a penny of compensation, not 1c.
The are still PLENTY of whores in the industry and no shortage of johns lining up for their services.
To the stubborn mules that think going directly to a bank will always get them the best rate, ignorance is bliss.
I’m still waiting for proof from a couple of morons on this site that were going to prove that interest only loans pay a higher commission than other loans. They refuse to believe that a par loan pays NOTHING, that’s why a fee needs to be charged.
A direct lender (Bank, etc) does not and will not disclose the back end overcharging. They don’t have to.
Mortgage brokers were cutting into the banking business so the banking industry lobbied and came up with a way to try and screw the brokerage business. The result was that brokers’ need to disclose everything, TO THE PENNY, and banks have to disclose nothing, giving the false impression that banks are cheaper.
If you find an honest person at a broker shop to give you the PAR rate for a reasonable fee that is what you want.
Shopping by rate is simply STUPID.
Rates change, ethics don’t.Average people are blinded by monthly payments regardless of rates or fees just like on cars.
The best PAR rate that I have today is 5.875%. It was 5.50% last week. That will cost a fee to get, usually 1% of loan amount. Go knock yourself out shopping around. I don’t even know what you qualify for, but that’s the rate today.
Had a guy in Bressi Ranch recently that was proud of his loan. They paid 2.75% to a “friend” in origination fee, over $13,000. I could do that loan for an enemy for $5000, and get them a better rate.
With friends like his, he doesn’t need enemies.There are other fees for title, escrow, etc that don’t net me a penny, but I know who has the best deal and can get the job done.
The ignorance of some educated people is astounding.
ParticipantRegardless of what method you use, very few borrowers actually get the best possible rate that they could have on the day that they lock.
Shopping for a rate is exactly what gets you into this mess.
Until you know what you actually qualify for, you will be fooled by the best liar.
On any given day, 10 different lenders will have 10 different “best rates”
Henry Ford guaranteed to sell you a car in any color, as long as it was black.
ParticipantRegardless of what method you use, very few borrowers actually get the best possible rate that they could have on the day that they lock.
Shopping for a rate is exactly what gets you into this mess.
Until you know what you actually qualify for, you will be fooled by the best liar.
On any given day, 10 different lenders will have 10 different “best rates”
Henry Ford guaranteed to sell you a car in any color, as long as it was black.
ParticipantRegardless of what method you use, very few borrowers actually get the best possible rate that they could have on the day that they lock.
Shopping for a rate is exactly what gets you into this mess.
Until you know what you actually qualify for, you will be fooled by the best liar.
On any given day, 10 different lenders will have 10 different “best rates”
Henry Ford guaranteed to sell you a car in any color, as long as it was black.
ParticipantRegardless of what method you use, very few borrowers actually get the best possible rate that they could have on the day that they lock.
Shopping for a rate is exactly what gets you into this mess.
Until you know what you actually qualify for, you will be fooled by the best liar.
On any given day, 10 different lenders will have 10 different “best rates”
Henry Ford guaranteed to sell you a car in any color, as long as it was black.
ParticipantRegardless of what method you use, very few borrowers actually get the best possible rate that they could have on the day that they lock.
Shopping for a rate is exactly what gets you into this mess.
Until you know what you actually qualify for, you will be fooled by the best liar.
On any given day, 10 different lenders will have 10 different “best rates”
Henry Ford guaranteed to sell you a car in any color, as long as it was black.
ParticipantNot sure what other banks did, but as far as WAMU HELOCS are concerned, the Fed funds rate cut that took effect on Sept 10th was not reflected to borrowers until Nov. 1st, affecting the Dec payment.
Also,Many subprime ARM loans have margins of 5% or higher.
Many resets could be based on a 12 month average rate which is figured 45 days before a loan resets. They do not simply use the lower current index on the day of adjustment.Many people will still have large jumps in payment that will not be affordable. Most people cannot tell you what their index & margin even is, and what their payment will go up to if it is less than the max jump, which is often 2pts, and converts to an amortized payment rather than interest only.
A 40% increase in payment is not unusual.
ParticipantNot sure what other banks did, but as far as WAMU HELOCS are concerned, the Fed funds rate cut that took effect on Sept 10th was not reflected to borrowers until Nov. 1st, affecting the Dec payment.
Also,Many subprime ARM loans have margins of 5% or higher.
Many resets could be based on a 12 month average rate which is figured 45 days before a loan resets. They do not simply use the lower current index on the day of adjustment.Many people will still have large jumps in payment that will not be affordable. Most people cannot tell you what their index & margin even is, and what their payment will go up to if it is less than the max jump, which is often 2pts, and converts to an amortized payment rather than interest only.
A 40% increase in payment is not unusual.
ParticipantNot sure what other banks did, but as far as WAMU HELOCS are concerned, the Fed funds rate cut that took effect on Sept 10th was not reflected to borrowers until Nov. 1st, affecting the Dec payment.
Also,Many subprime ARM loans have margins of 5% or higher.
Many resets could be based on a 12 month average rate which is figured 45 days before a loan resets. They do not simply use the lower current index on the day of adjustment.Many people will still have large jumps in payment that will not be affordable. Most people cannot tell you what their index & margin even is, and what their payment will go up to if it is less than the max jump, which is often 2pts, and converts to an amortized payment rather than interest only.
A 40% increase in payment is not unusual.
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