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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) #415819June 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) #415978
HLS
ParticipantThe 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 12, 2009 at 9:40 AM in reply to: Who has the best 10/1 or 30-year fixed I/O programs? (pls don’t laugh) #414423ParticipantFirst of all, it just isn’t realistic to think that there is ONE lender who always has “the best”
rates or programs.Loans fall apart all the time for reasons other than the rate; people don’t qualify, even though they think that they do.
Getting the loan done is what counts and knowing how to get it done when something goes wrong is what counts.You can shop for quotes on the internet and have your lead sold 50 times and get 50 emails/phonecalls from mtg people all promising you the lowest rate. The most foolish way to “shop” for a mortgage, yet the way many people do.
The premium that you will pay for an interest only 30 YR fixed is expensive money. It’s about a .50 difference in rate. The I/O option is only for 10 years. In years 11-30 your payment jumps as it becomes amortized over 20 years.
On a $400,000 loan your payment difference is about $300. By paying $300 more, you will lower your principal balance by at least $450 a month, in excess of a 50% return guaranteed. Nobody is going to be able to beat that return consistently.
With a 10YR ARM you have a choice of I/O or fully amortized. The I/O option is expensive money.
With 10% down you are going to pay mortgage insurance, which is also expensive money.
If you would like to discuss what your options are, I’ll be happy to help.My contact info was posted above. HLS Sheldon
June 12, 2009 at 9:40 AM in reply to: Who has the best 10/1 or 30-year fixed I/O programs? (pls don’t laugh) #414663ParticipantFirst of all, it just isn’t realistic to think that there is ONE lender who always has “the best”
rates or programs.Loans fall apart all the time for reasons other than the rate; people don’t qualify, even though they think that they do.
Getting the loan done is what counts and knowing how to get it done when something goes wrong is what counts.You can shop for quotes on the internet and have your lead sold 50 times and get 50 emails/phonecalls from mtg people all promising you the lowest rate. The most foolish way to “shop” for a mortgage, yet the way many people do.
The premium that you will pay for an interest only 30 YR fixed is expensive money. It’s about a .50 difference in rate. The I/O option is only for 10 years. In years 11-30 your payment jumps as it becomes amortized over 20 years.
On a $400,000 loan your payment difference is about $300. By paying $300 more, you will lower your principal balance by at least $450 a month, in excess of a 50% return guaranteed. Nobody is going to be able to beat that return consistently.
With a 10YR ARM you have a choice of I/O or fully amortized. The I/O option is expensive money.
With 10% down you are going to pay mortgage insurance, which is also expensive money.
If you would like to discuss what your options are, I’ll be happy to help.My contact info was posted above. HLS Sheldon
June 12, 2009 at 9:40 AM in reply to: Who has the best 10/1 or 30-year fixed I/O programs? (pls don’t laugh) #414916ParticipantFirst of all, it just isn’t realistic to think that there is ONE lender who always has “the best”
rates or programs.Loans fall apart all the time for reasons other than the rate; people don’t qualify, even though they think that they do.
Getting the loan done is what counts and knowing how to get it done when something goes wrong is what counts.You can shop for quotes on the internet and have your lead sold 50 times and get 50 emails/phonecalls from mtg people all promising you the lowest rate. The most foolish way to “shop” for a mortgage, yet the way many people do.
The premium that you will pay for an interest only 30 YR fixed is expensive money. It’s about a .50 difference in rate. The I/O option is only for 10 years. In years 11-30 your payment jumps as it becomes amortized over 20 years.
On a $400,000 loan your payment difference is about $300. By paying $300 more, you will lower your principal balance by at least $450 a month, in excess of a 50% return guaranteed. Nobody is going to be able to beat that return consistently.
With a 10YR ARM you have a choice of I/O or fully amortized. The I/O option is expensive money.
With 10% down you are going to pay mortgage insurance, which is also expensive money.
If you would like to discuss what your options are, I’ll be happy to help.My contact info was posted above. HLS Sheldon
June 12, 2009 at 9:40 AM in reply to: Who has the best 10/1 or 30-year fixed I/O programs? (pls don’t laugh) #414984ParticipantFirst of all, it just isn’t realistic to think that there is ONE lender who always has “the best”
rates or programs.Loans fall apart all the time for reasons other than the rate; people don’t qualify, even though they think that they do.
Getting the loan done is what counts and knowing how to get it done when something goes wrong is what counts.You can shop for quotes on the internet and have your lead sold 50 times and get 50 emails/phonecalls from mtg people all promising you the lowest rate. The most foolish way to “shop” for a mortgage, yet the way many people do.
The premium that you will pay for an interest only 30 YR fixed is expensive money. It’s about a .50 difference in rate. The I/O option is only for 10 years. In years 11-30 your payment jumps as it becomes amortized over 20 years.
On a $400,000 loan your payment difference is about $300. By paying $300 more, you will lower your principal balance by at least $450 a month, in excess of a 50% return guaranteed. Nobody is going to be able to beat that return consistently.
With a 10YR ARM you have a choice of I/O or fully amortized. The I/O option is expensive money.
With 10% down you are going to pay mortgage insurance, which is also expensive money.
If you would like to discuss what your options are, I’ll be happy to help.My contact info was posted above. HLS Sheldon
June 12, 2009 at 9:40 AM in reply to: Who has the best 10/1 or 30-year fixed I/O programs? (pls don’t laugh) #415141ParticipantFirst of all, it just isn’t realistic to think that there is ONE lender who always has “the best”
rates or programs.Loans fall apart all the time for reasons other than the rate; people don’t qualify, even though they think that they do.
Getting the loan done is what counts and knowing how to get it done when something goes wrong is what counts.You can shop for quotes on the internet and have your lead sold 50 times and get 50 emails/phonecalls from mtg people all promising you the lowest rate. The most foolish way to “shop” for a mortgage, yet the way many people do.
The premium that you will pay for an interest only 30 YR fixed is expensive money. It’s about a .50 difference in rate. The I/O option is only for 10 years. In years 11-30 your payment jumps as it becomes amortized over 20 years.
On a $400,000 loan your payment difference is about $300. By paying $300 more, you will lower your principal balance by at least $450 a month, in excess of a 50% return guaranteed. Nobody is going to be able to beat that return consistently.
With a 10YR ARM you have a choice of I/O or fully amortized. The I/O option is expensive money.
With 10% down you are going to pay mortgage insurance, which is also expensive money.
If you would like to discuss what your options are, I’ll be happy to help.My contact info was posted above. HLS Sheldon
ParticipantThe .75% is a hit to pricing, not to the interest rate of your loan. At origination, you can choose to either pay the .75% of the loan amount up front OR accept an interest rate that is about .25% higher for the life of the loan.
You need 20% down to avoid mortgage insurance.
You need 25% down on a condo to avoid the pricing .75 hit.
It also depends on your credit score. If your mid score is below 740 you will have additional pricing hits…. HLSParticipantThe .75% is a hit to pricing, not to the interest rate of your loan. At origination, you can choose to either pay the .75% of the loan amount up front OR accept an interest rate that is about .25% higher for the life of the loan.
You need 20% down to avoid mortgage insurance.
You need 25% down on a condo to avoid the pricing .75 hit.
It also depends on your credit score. If your mid score is below 740 you will have additional pricing hits…. HLSParticipantThe .75% is a hit to pricing, not to the interest rate of your loan. At origination, you can choose to either pay the .75% of the loan amount up front OR accept an interest rate that is about .25% higher for the life of the loan.
You need 20% down to avoid mortgage insurance.
You need 25% down on a condo to avoid the pricing .75 hit.
It also depends on your credit score. If your mid score is below 740 you will have additional pricing hits…. HLSParticipantThe .75% is a hit to pricing, not to the interest rate of your loan. At origination, you can choose to either pay the .75% of the loan amount up front OR accept an interest rate that is about .25% higher for the life of the loan.
You need 20% down to avoid mortgage insurance.
You need 25% down on a condo to avoid the pricing .75 hit.
It also depends on your credit score. If your mid score is below 740 you will have additional pricing hits…. HLSParticipantThe .75% is a hit to pricing, not to the interest rate of your loan. At origination, you can choose to either pay the .75% of the loan amount up front OR accept an interest rate that is about .25% higher for the life of the loan.
You need 20% down to avoid mortgage insurance.
You need 25% down on a condo to avoid the pricing .75 hit.
It also depends on your credit score. If your mid score is below 740 you will have additional pricing hits…. HLSApril 20, 2009 at 6:45 PM in reply to: Help: 1 person owns the mortgage, 2 persons own the deed #384843ParticipantI have never had ANY problem with someone being on the deed but not on the loan.
I see no advantage to having someone on a loan if their income is not needed to qualify.
The lower borrower’s credit score is used, not the highest. Having a spouse on a loan can end up costing a bunch of extra money.If you are on a loan, then you must be on the deed.
Being on the loan is financial responsibility.
Being on the deed is ownership.A spouse not on the loan will need to sign a few documents. Properties can be transferred in and out of trusts regardless of who is on the loan.
A foreclosure will only affect the person who is on the loan, not all who are on the deed.
*Consult your attorney for legal advice*April 20, 2009 at 6:45 PM in reply to: Help: 1 person owns the mortgage, 2 persons own the deed #385310ParticipantI have never had ANY problem with someone being on the deed but not on the loan.
I see no advantage to having someone on a loan if their income is not needed to qualify.
The lower borrower’s credit score is used, not the highest. Having a spouse on a loan can end up costing a bunch of extra money.If you are on a loan, then you must be on the deed.
Being on the loan is financial responsibility.
Being on the deed is ownership.A spouse not on the loan will need to sign a few documents. Properties can be transferred in and out of trusts regardless of who is on the loan.
A foreclosure will only affect the person who is on the loan, not all who are on the deed.
*Consult your attorney for legal advice*April 20, 2009 at 6:45 PM in reply to: Help: 1 person owns the mortgage, 2 persons own the deed #385358ParticipantI have never had ANY problem with someone being on the deed but not on the loan.
I see no advantage to having someone on a loan if their income is not needed to qualify.
The lower borrower’s credit score is used, not the highest. Having a spouse on a loan can end up costing a bunch of extra money.If you are on a loan, then you must be on the deed.
Being on the loan is financial responsibility.
Being on the deed is ownership.A spouse not on the loan will need to sign a few documents. Properties can be transferred in and out of trusts regardless of who is on the loan.
A foreclosure will only affect the person who is on the loan, not all who are on the deed.
*Consult your attorney for legal advice* -
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