First Time Home Buyers use FHA Mortgage and Seller Paid Closing Costs to Buy Real Estate Now. Best Market Conditions for Foreclosures and Short Sales in Decades. Go To http://RealEstateMarketingThisWeek.com
Part 7 (Excerpt)
The old rules no longer apply and Suze Ormond should know that.
We have Dan Havey the author of Real Estates Future in the studio today.
Michael, I was just curious, back when I got into the industry many, many years ago there used to be a rule of thumb that if you were going to refinance you had to lower your interest rate by at least two percent and I know as time went along and products changed that really became unnecessary, but I am just curious in todays mortgage market its a lot different than we were dealing with even two years ago. Is that still true that there is a 2% rule? Whats going on now?
I happened to catch Suze Orman on television and she was talking about mortgages, the caller who called in to the program, the question became I believe similar to what Dan just asked, her comment was that basically if you’re in 6% interest rate or above now is the time to re-fi. That is what she said, a blanket recommendation. I know a lot of people put a lot of credence into what she says, maybe you could speak to that, the lowest interest rates you’ve seen in your career, you have been doing this for a while.
I have, and they are. You know there was a lot of speak the last couple weeks about the Fed, the Fed funds rate by the way is the lowest it’s ever been in history. As of this week the discount rate is to the point that banks are lending money to each other at nothing, the Fed funds rate for intrabank lending is at zero, the problem is the banks don’t have any money.
To be serious about the refinancing, because its a serious topic, I think people are starting to see their mail boxes filled with lots of advertising crap about refinance. I believe that doing the refinance is no different from doing a loan modification or buying a house, you need to sit down with the human being that’s local, that you can know is a legitimate source. You’re going to give all this personal information about you, your family, your kids, your Social Security number, you want to make sure you have somebody there that you know whos legit.
In regard to the old rule of thumb 2%, nothing could be further from the truth, and I will expand, but to the point of Ms Ormond that if youre at 6% or higher, that is a blanket statement and blanket statements never work. We just did a refinance for a guy who was at 5 1/2%, and it makes sense. Every situation is different, as far as how much do I have to lower my interest rate to make it work? It depends on the type of mortgage that you get.
The only type of loan to get today in December of 2008 is a 30 year fixed. I know that one of the things that was really interesting to me, and that you and I have referred clients to one another for several years, so we share a number of clients, were familiar with those families and those households, and this is Wednesday, on Monday and Tuesday of this week I’ve had seven phone calls from clients who you’ve already done loans for, refinances for, asking if this is the time to refinance a loan that is only a couple years old.
And I know in several of those cases the answer is yes you’re actually helping families right now with that process. I am and we do. To answer the question, you need to determine what the payback term is, in other words when your refinance is done it’s a new loan, there’s the title insurance, appraisals, lots of different things may need to be done, not in every case, but in most cases there are costs associated with that. The cost has to be offset by the amount of savings. Its a breakeven analysis
Absolutely it is, the shorter the breakeven the better the loan. I am working on a case right now which is going to be done in the next couple of days where the guy lowered his interest rate by an1/8 of a percent and it made sense for him. It’s not for everybody, 2 percent or lower, 2% is significant, now you’re talking about really significant savings in terms of cash flow…
Duration : 0:6:31
Read the rest of this entry »
Technorati Tags: adjustable, Administration, ARM, attorney, avoid, Bank, bankruptcy, buyer, Closing, Corporation, cost, credit, Discount, down, estate, expert, Fannie, fed, federal, FHA, first, fixed, FNMA, foreclosure, fraud, Freddie, funds, Future, home, housing, income, Insolvency, interest, lender, Loan, loss, Mac, Mae, Marketing, Median, mitigation, mod, Modification, mortgage, Negotiate, no, Owned, payment, price, program, Purchase, rate, real, realtor, refinance, rent, REO, Repo, Resolution, RTC, S&L, sale, Savings, scam, Seller, Servicer, short, TARP, tax, time, Trust
Some OF The Loans We Offer
PERSONAL LOANS Unsecured Personal Loan – Supreme Advances can help make your dreams a reality with an unsecured personal loan. Whether your plans include a vacation, a major purchase, school or consolidating your bills into one, simple monthly payment – we can tailor a unsecured personal loan to fit you and your budget! Applying is quick and easy and you can usually expect to have an answer in 24 hours or less. (Home ownership NOT required) Secured Personal Loan – Supreme Advances has been serving the needs of people just like you for over 7 years. Working together, we can help you pay off your credit cards, take care of unexpected expenses, pay tuition, buy furniture or take a well-deserved vacation with a secured personal loan. Your secured personal loan application will receive our immediate attention and a quick response! (Home ownership NOT required) Personal Line of Credit – Lines of credit are normally secured with real property, a line of credit gives you convenient access to a pre-established credit limit – when you need it most! Once approved, you can access this revolving line of credit simply by writing a check for up to your pre-approved, available credit limit. As you make payments to reduce outstanding balance, the amount again becomes available to borrow. (Home ownership NOT required) Signature Loans – We know in today’s world, credit is a necessity! You may be planning to make a major purchase, but might not want to obtain a secured loan or use your credit card. What you’d really like is the convenience of a non-revolving, signature loan.(Home ownership NOT required) to learn more about this life changing offer please visit our website at PrivateFastLoans.com
loans personal loans payday loans student loans bad credit loans home loans auto loans car loans home equity loans unsecured loans fast loans countrywide home loans bad credit personal loans pay day loans cash loans small business loans fha loans mortgage loans online loans business loans debt consolidation loans private student loans direct loans loans for bad credit bad credit car loans students loans unsecured personal loans online payday loans secured loans bank loans consolidation loans no credit check loans loans for people with bad credit college loans faxless payday loans va home loans bad credit personal signature loans quick loans bad credit home loans no fax payday loans commercial loans cheap loans unsecured debt consolidation loans bad credit student loans personal loans for bad credit used car loans fha home loans bad credit auto loans loans investment mobile home loans consolidating student loans government loans compare personal loans federal student loans personal loans for people with bad credit military loans equity loans loans with bad credit car title loans countrywide loans real estate loans sallie mae student loans construction loans loans online cash advance loans title loans poor credit loans short term loans va loans astrive student loans sba loans installment loans signature loans easy to get payday loans manufactured home loans same day payday loans quicken loans fast cash loans motorcycle loans bad credit payday loans high risk personal loans stafford loans consolidate student loans chase student loans payday loans or cash advances home improvement loans bad credit installment loans instant payday loans high risk loans home settlement loans school loans instant loans used auto loans hard money loans personal loans with bad credit loans cash unsecured bad credit loans poor credit personal loans personal loans bad credit quick cash loans
Duration : 0:4:17
Read the rest of this entry »
Technorati Tags: Auto, bad, business, Car, cash, countrywide, credit, day, equity, fast, FHA, home, loans, pay, payday, personal, small, student, unsecured
http://www.HomeMortgage.com If youre looking to refinance your home loan — dont stress! HomeMortgage.com can help! Let us work for you to find multiple home mortgage quotes from top lenders. Whether youre looking for a 5 or 30 year fixed rate mortgage, HomeMortgage.com helps you feel at home with your loan by providing several mortgage refinancing options. Visit www.HomeMortgage.com today!
Duration : 0:0:57
Read the rest of this entry »
Technorati Tags: best, Calculator, canadian, home, lender, mortgage, refinance
http://www.mortgagehelplosangeles.com If the market value of your home is currently less than you owe your bank, AND if you are current in your payments and your credit is still in good shape, you may qualify for a new mortgage refinance approach that will reduce your principle to 90% of the current market value AND keep your credit intact. Details are included in this video or you can call Bill Rayman, Senior Vice President of Los Angeles Based Mortgage Capital Partners, to discuss solutions currently available to you. Call 310-453-4016 or read more on this blog http://www.mortgagelosangeles.blogspot.com
Duration : 0:8:31
Read the rest of this entry »
Technorati Tags: Beverly Hills, Culver City, debt consolidation, Hollywood, home finance, home loan lender, home loans, home refinance, Long Beach, Los Angeles, Manhattan Beach, Marina del Rey, mortgage, mortgage brokers, mortgage companies, mortgage lenders, mortgage rates, Pacific Palisades, Pasadena, refinance, Santa Monica, short pay refinance, Venice
I was wondering what is the best way (who to go to) to try and refinance your home with a lower interest rate. I have no clue where to go! The credit score is pretty low, but still need to lower monthly payments.
Serious answers only please and thank you!
It’s not ME that didn’t pay my debts…I got stuck with stuff from my ex husband…that’s why my credit isn’t what it used to be…thanks!
if your credit is bad this is not going to happen, no one is lending money these days to those that fail to pay their debts.