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HLS
Participant[quote=UCGal] Obviously you can make more commissions if more people qualify [/quote]
UCG…
For the record, I don’t get a commission for what I do. I charge a fee for my service and offer wholesale rates. There’s a HUGE difference.
I don’t get a penny from the lender unless the borrower decides they want a higher rate and higher monthly payment for the life of the loan instead of paying a fee.This week, the national average rates are about 5.50%… I have 5.00% rate that comes with a fee.
At 5.50% I could get a commission but it’s not in the borrower’s best interest if they plan on staying in the loan for a few years..People falling for no cost loans at higher rates will result in thousands of dollars of wasted money over time, through foolishness.
It’s a decision that most people never get to make.ParticipantPerhaps you misunderstood my statement..
Many people who already have a mortgage cannot qualify for a second one. Millions of people have 6%+ mortgages and cannot qualify for a refi for various reasons.
Many others have no chance of qualifying.
Anyone with a recent foreclosure or late mortgage payments in the past year cannot qualify either.20% down has not been the only option. I bought my first property in 1980 with 10% down.
FHA has become the new subprime lender by allowing 3.50% down but charging a funding fee to do it.
They are losing billions…The % of the population that can get a loan today is probably the lowest % in a long time if not in history.
I believe that 10% should be the minimum requirement. 20% would result in lower home prices.
I would rather have a market with 20%+ down and deal with qualified buyers.
I’m not interested in making money off of ignorant people.
I have told plenty of people that they couldn’t afford to buy a house. If they ended up with a FHA loan it wasn’t from me.ParticipantPerhaps you misunderstood my statement..
Many people who already have a mortgage cannot qualify for a second one. Millions of people have 6%+ mortgages and cannot qualify for a refi for various reasons.
Many others have no chance of qualifying.
Anyone with a recent foreclosure or late mortgage payments in the past year cannot qualify either.20% down has not been the only option. I bought my first property in 1980 with 10% down.
FHA has become the new subprime lender by allowing 3.50% down but charging a funding fee to do it.
They are losing billions…The % of the population that can get a loan today is probably the lowest % in a long time if not in history.
I believe that 10% should be the minimum requirement. 20% would result in lower home prices.
I would rather have a market with 20%+ down and deal with qualified buyers.
I’m not interested in making money off of ignorant people.
I have told plenty of people that they couldn’t afford to buy a house. If they ended up with a FHA loan it wasn’t from me.ParticipantPerhaps you misunderstood my statement..
Many people who already have a mortgage cannot qualify for a second one. Millions of people have 6%+ mortgages and cannot qualify for a refi for various reasons.
Many others have no chance of qualifying.
Anyone with a recent foreclosure or late mortgage payments in the past year cannot qualify either.20% down has not been the only option. I bought my first property in 1980 with 10% down.
FHA has become the new subprime lender by allowing 3.50% down but charging a funding fee to do it.
They are losing billions…The % of the population that can get a loan today is probably the lowest % in a long time if not in history.
I believe that 10% should be the minimum requirement. 20% would result in lower home prices.
I would rather have a market with 20%+ down and deal with qualified buyers.
I’m not interested in making money off of ignorant people.
I have told plenty of people that they couldn’t afford to buy a house. If they ended up with a FHA loan it wasn’t from me.ParticipantPerhaps you misunderstood my statement..
Many people who already have a mortgage cannot qualify for a second one. Millions of people have 6%+ mortgages and cannot qualify for a refi for various reasons.
Many others have no chance of qualifying.
Anyone with a recent foreclosure or late mortgage payments in the past year cannot qualify either.20% down has not been the only option. I bought my first property in 1980 with 10% down.
FHA has become the new subprime lender by allowing 3.50% down but charging a funding fee to do it.
They are losing billions…The % of the population that can get a loan today is probably the lowest % in a long time if not in history.
I believe that 10% should be the minimum requirement. 20% would result in lower home prices.
I would rather have a market with 20%+ down and deal with qualified buyers.
I’m not interested in making money off of ignorant people.
I have told plenty of people that they couldn’t afford to buy a house. If they ended up with a FHA loan it wasn’t from me.ParticipantPerhaps you misunderstood my statement..
Many people who already have a mortgage cannot qualify for a second one. Millions of people have 6%+ mortgages and cannot qualify for a refi for various reasons.
Many others have no chance of qualifying.
Anyone with a recent foreclosure or late mortgage payments in the past year cannot qualify either.20% down has not been the only option. I bought my first property in 1980 with 10% down.
FHA has become the new subprime lender by allowing 3.50% down but charging a funding fee to do it.
They are losing billions…The % of the population that can get a loan today is probably the lowest % in a long time if not in history.
I believe that 10% should be the minimum requirement. 20% would result in lower home prices.
I would rather have a market with 20%+ down and deal with qualified buyers.
I’m not interested in making money off of ignorant people.
I have told plenty of people that they couldn’t afford to buy a house. If they ended up with a FHA loan it wasn’t from me.ParticipantRen…
Unfortunately, perhaps you have been talking to the wrong people for your information.You have got to understand that “BANKS” are often the worst place to get mortgage information and loans from. BANKS are nothing more than mortgage brokers, unless they are doing portfolio loans.
Portfolio loans carry a lot of risk. A few of the largest portfolio lenders failed. (WAMU, DOWNEY SAVINGS, WACHOVIA-WORLD SAVINGS)
You are often dealing with an uneducated BANK employee who knows nothing more than what they are told in sales meetings and sit at a computer screen offering products/information that ONLY that BANK offers.
Many of the employees have a crappy credit score and have never qualified for a loan themselves. They often give out wrong information because they dont understand a question.
They may tell borrowers that the BANK doesn’t charge any points/fees. This is what they are told to say. It’s a LIE. Many people believe this and think that they are getting a free loan.In reality the borrower is paying a higher rate and higher monthly payment FOR THE LIFE OF THAT LOAN.
In the long run, the no point loan can cost tens of thousands of dollars.What they don’t often don’t know is how to offer any sound advice.
GSE’s set the requirements for loans for 15/30 YR fixed. (+ others)
Loan pricing is a matrix table, based on credit score, equity and property type. Pricing can also be higher when you take cash out on a REFI OR pay off a 2nd or HELOC.Minimum down payment for rental property is 20% down. At origination, with 20% down you will pay a pricing hit of 3.00% of the loan amount more OR take a higher interest rate than if it was a primary residence.
With 25% down the pricing hit drops to 1.75%.
It doesn’t get any better than that.
There are addtional pricing hits for 2-4 unit properties.It is possible to currently get 5% rates on rental property, by paying the hits up front and having a lower rate/payment fixed for 30 years. Many don’t know/understand this.
Many “mortgage brokers” are just as ignorant as bank employees. To generalize that either is the way to always get the best loan is just ignorant.
(So is shopping by rate)Most BANKS are nothing more than “mortgage brokers”
Even if the service loans, they don’t own the loans.Getting a “no cost” loan from a bank was the worst financial decision of their lives that many people made. Bad mortgage advice can be really expensive, (even though it’s free)
Uneducated consumers dealing with uneducated sales people for the largest transaction of their lives helped contribute to the biggest bubble in the history of the world.
The govt allowed it to happen and now wants to pretend like they can fix it…. HLS
ParticipantRen…
Unfortunately, perhaps you have been talking to the wrong people for your information.You have got to understand that “BANKS” are often the worst place to get mortgage information and loans from. BANKS are nothing more than mortgage brokers, unless they are doing portfolio loans.
Portfolio loans carry a lot of risk. A few of the largest portfolio lenders failed. (WAMU, DOWNEY SAVINGS, WACHOVIA-WORLD SAVINGS)
You are often dealing with an uneducated BANK employee who knows nothing more than what they are told in sales meetings and sit at a computer screen offering products/information that ONLY that BANK offers.
Many of the employees have a crappy credit score and have never qualified for a loan themselves. They often give out wrong information because they dont understand a question.
They may tell borrowers that the BANK doesn’t charge any points/fees. This is what they are told to say. It’s a LIE. Many people believe this and think that they are getting a free loan.In reality the borrower is paying a higher rate and higher monthly payment FOR THE LIFE OF THAT LOAN.
In the long run, the no point loan can cost tens of thousands of dollars.What they don’t often don’t know is how to offer any sound advice.
GSE’s set the requirements for loans for 15/30 YR fixed. (+ others)
Loan pricing is a matrix table, based on credit score, equity and property type. Pricing can also be higher when you take cash out on a REFI OR pay off a 2nd or HELOC.Minimum down payment for rental property is 20% down. At origination, with 20% down you will pay a pricing hit of 3.00% of the loan amount more OR take a higher interest rate than if it was a primary residence.
With 25% down the pricing hit drops to 1.75%.
It doesn’t get any better than that.
There are addtional pricing hits for 2-4 unit properties.It is possible to currently get 5% rates on rental property, by paying the hits up front and having a lower rate/payment fixed for 30 years. Many don’t know/understand this.
Many “mortgage brokers” are just as ignorant as bank employees. To generalize that either is the way to always get the best loan is just ignorant.
(So is shopping by rate)Most BANKS are nothing more than “mortgage brokers”
Even if the service loans, they don’t own the loans.Getting a “no cost” loan from a bank was the worst financial decision of their lives that many people made. Bad mortgage advice can be really expensive, (even though it’s free)
Uneducated consumers dealing with uneducated sales people for the largest transaction of their lives helped contribute to the biggest bubble in the history of the world.
The govt allowed it to happen and now wants to pretend like they can fix it…. HLS
ParticipantRen…
Unfortunately, perhaps you have been talking to the wrong people for your information.You have got to understand that “BANKS” are often the worst place to get mortgage information and loans from. BANKS are nothing more than mortgage brokers, unless they are doing portfolio loans.
Portfolio loans carry a lot of risk. A few of the largest portfolio lenders failed. (WAMU, DOWNEY SAVINGS, WACHOVIA-WORLD SAVINGS)
You are often dealing with an uneducated BANK employee who knows nothing more than what they are told in sales meetings and sit at a computer screen offering products/information that ONLY that BANK offers.
Many of the employees have a crappy credit score and have never qualified for a loan themselves. They often give out wrong information because they dont understand a question.
They may tell borrowers that the BANK doesn’t charge any points/fees. This is what they are told to say. It’s a LIE. Many people believe this and think that they are getting a free loan.In reality the borrower is paying a higher rate and higher monthly payment FOR THE LIFE OF THAT LOAN.
In the long run, the no point loan can cost tens of thousands of dollars.What they don’t often don’t know is how to offer any sound advice.
GSE’s set the requirements for loans for 15/30 YR fixed. (+ others)
Loan pricing is a matrix table, based on credit score, equity and property type. Pricing can also be higher when you take cash out on a REFI OR pay off a 2nd or HELOC.Minimum down payment for rental property is 20% down. At origination, with 20% down you will pay a pricing hit of 3.00% of the loan amount more OR take a higher interest rate than if it was a primary residence.
With 25% down the pricing hit drops to 1.75%.
It doesn’t get any better than that.
There are addtional pricing hits for 2-4 unit properties.It is possible to currently get 5% rates on rental property, by paying the hits up front and having a lower rate/payment fixed for 30 years. Many don’t know/understand this.
Many “mortgage brokers” are just as ignorant as bank employees. To generalize that either is the way to always get the best loan is just ignorant.
(So is shopping by rate)Most BANKS are nothing more than “mortgage brokers”
Even if the service loans, they don’t own the loans.Getting a “no cost” loan from a bank was the worst financial decision of their lives that many people made. Bad mortgage advice can be really expensive, (even though it’s free)
Uneducated consumers dealing with uneducated sales people for the largest transaction of their lives helped contribute to the biggest bubble in the history of the world.
The govt allowed it to happen and now wants to pretend like they can fix it…. HLS
ParticipantRen…
Unfortunately, perhaps you have been talking to the wrong people for your information.You have got to understand that “BANKS” are often the worst place to get mortgage information and loans from. BANKS are nothing more than mortgage brokers, unless they are doing portfolio loans.
Portfolio loans carry a lot of risk. A few of the largest portfolio lenders failed. (WAMU, DOWNEY SAVINGS, WACHOVIA-WORLD SAVINGS)
You are often dealing with an uneducated BANK employee who knows nothing more than what they are told in sales meetings and sit at a computer screen offering products/information that ONLY that BANK offers.
Many of the employees have a crappy credit score and have never qualified for a loan themselves. They often give out wrong information because they dont understand a question.
They may tell borrowers that the BANK doesn’t charge any points/fees. This is what they are told to say. It’s a LIE. Many people believe this and think that they are getting a free loan.In reality the borrower is paying a higher rate and higher monthly payment FOR THE LIFE OF THAT LOAN.
In the long run, the no point loan can cost tens of thousands of dollars.What they don’t often don’t know is how to offer any sound advice.
GSE’s set the requirements for loans for 15/30 YR fixed. (+ others)
Loan pricing is a matrix table, based on credit score, equity and property type. Pricing can also be higher when you take cash out on a REFI OR pay off a 2nd or HELOC.Minimum down payment for rental property is 20% down. At origination, with 20% down you will pay a pricing hit of 3.00% of the loan amount more OR take a higher interest rate than if it was a primary residence.
With 25% down the pricing hit drops to 1.75%.
It doesn’t get any better than that.
There are addtional pricing hits for 2-4 unit properties.It is possible to currently get 5% rates on rental property, by paying the hits up front and having a lower rate/payment fixed for 30 years. Many don’t know/understand this.
Many “mortgage brokers” are just as ignorant as bank employees. To generalize that either is the way to always get the best loan is just ignorant.
(So is shopping by rate)Most BANKS are nothing more than “mortgage brokers”
Even if the service loans, they don’t own the loans.Getting a “no cost” loan from a bank was the worst financial decision of their lives that many people made. Bad mortgage advice can be really expensive, (even though it’s free)
Uneducated consumers dealing with uneducated sales people for the largest transaction of their lives helped contribute to the biggest bubble in the history of the world.
The govt allowed it to happen and now wants to pretend like they can fix it…. HLS
ParticipantRen…
Unfortunately, perhaps you have been talking to the wrong people for your information.You have got to understand that “BANKS” are often the worst place to get mortgage information and loans from. BANKS are nothing more than mortgage brokers, unless they are doing portfolio loans.
Portfolio loans carry a lot of risk. A few of the largest portfolio lenders failed. (WAMU, DOWNEY SAVINGS, WACHOVIA-WORLD SAVINGS)
You are often dealing with an uneducated BANK employee who knows nothing more than what they are told in sales meetings and sit at a computer screen offering products/information that ONLY that BANK offers.
Many of the employees have a crappy credit score and have never qualified for a loan themselves. They often give out wrong information because they dont understand a question.
They may tell borrowers that the BANK doesn’t charge any points/fees. This is what they are told to say. It’s a LIE. Many people believe this and think that they are getting a free loan.In reality the borrower is paying a higher rate and higher monthly payment FOR THE LIFE OF THAT LOAN.
In the long run, the no point loan can cost tens of thousands of dollars.What they don’t often don’t know is how to offer any sound advice.
GSE’s set the requirements for loans for 15/30 YR fixed. (+ others)
Loan pricing is a matrix table, based on credit score, equity and property type. Pricing can also be higher when you take cash out on a REFI OR pay off a 2nd or HELOC.Minimum down payment for rental property is 20% down. At origination, with 20% down you will pay a pricing hit of 3.00% of the loan amount more OR take a higher interest rate than if it was a primary residence.
With 25% down the pricing hit drops to 1.75%.
It doesn’t get any better than that.
There are addtional pricing hits for 2-4 unit properties.It is possible to currently get 5% rates on rental property, by paying the hits up front and having a lower rate/payment fixed for 30 years. Many don’t know/understand this.
Many “mortgage brokers” are just as ignorant as bank employees. To generalize that either is the way to always get the best loan is just ignorant.
(So is shopping by rate)Most BANKS are nothing more than “mortgage brokers”
Even if the service loans, they don’t own the loans.Getting a “no cost” loan from a bank was the worst financial decision of their lives that many people made. Bad mortgage advice can be really expensive, (even though it’s free)
Uneducated consumers dealing with uneducated sales people for the largest transaction of their lives helped contribute to the biggest bubble in the history of the world.
The govt allowed it to happen and now wants to pretend like they can fix it…. HLS
June 13, 2009 at 6:25 PM in reply to: Who has the best 10/1 or 30-year fixed I/O programs? (pls don’t laugh) #415256ParticipantThe rates are still historically low..The monthly change in payment isn’t going to make a difference in qualifying for most people.
As of Friday, for a qualified borrower, I had 5.25% 30 YR Fixed.
For a $400K loan, the difference in payment between 5.25% and 4.75% is $123 month.
There is still an option to buy down to 5% or below. HLS
June 13, 2009 at 6:25 PM in reply to: Who has the best 10/1 or 30-year fixed I/O programs? (pls don’t laugh) #415751ParticipantThe rates are still historically low..The monthly change in payment isn’t going to make a difference in qualifying for most people.
As of Friday, for a qualified borrower, I had 5.25% 30 YR Fixed.
For a $400K loan, the difference in payment between 5.25% and 4.75% is $123 month.
There is still an option to buy down to 5% or below. HLS
June 13, 2009 at 6:25 PM in reply to: Who has the best 10/1 or 30-year fixed I/O programs? (pls don’t laugh) #415819ParticipantThe rates are still historically low..The monthly change in payment isn’t going to make a difference in qualifying for most people.
As of Friday, for a qualified borrower, I had 5.25% 30 YR Fixed.
For a $400K loan, the difference in payment between 5.25% and 4.75% is $123 month.
There is still an option to buy down to 5% or below. HLS
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