Home Refinance in Gloucester County, NJ

Have you been thinking about refinancing your home? With all of the negative housing industry news lately, it is easy to forget about lowering your housing bills with a refinance. Rates are currently very low and there is a large percentage of home owners who can benefit from a refinance.

Does your math line-up?

You can refinance to save money every month. You can also refinance to change the loan terms. Typically when home owners change loan terms, it is from a 30 to 15 year loan. The reality is that I've met many home owners who's "math" doesn't line up.  For example, I may ask them when they plan to retire. They answer, "in 10 years", but the facts are that their mortgage will last for the next 30 years, and they can't afford to comfortably make the mortgage payments on their "retired income" (in 10 years).

As the saying goes, "You don't know unless you ask!" Should you refinance now? Maybe. The best plan is to talk to someone with access to mortgage rates and options, that can give you sound advice. Talk to a knowledgeable loan officer today. The worst he/she can say is, "Now is not a good time". Conversely they may help you save money, time, and help you properly plan for retirement.

If you would like to talk to a local mortgage loan officer, feel free to call and I'll do my best to point you in the right direction for your personal needs.

Steve Kappre is a mortgage loan officer in New Jersey. Steve is married with 3 children, has lived in South Jersey his whole life and has 10 years experience as a mortgage loan officer. For more info or questions feel free to contact Steve.

• NJ First Time Home Buyer
• Purchase, refinance, rehab loans
• Conventional, FHA, USDA, VA, HMFA, First Time Home Buyer, Police and Fire, Live Where You Work, and more

Call direct @ 856-419-3561 | Subscribe to Steve's blog via e-mail | NJ Loan Officer .com | NMLS ID: 218007

Can I Qualify for a Mortgage with a Large Collection/Derogatory Debt on My Credit?

Can a home buyer qualify for a mortgage with a large collection-type account on their credit, such as a car repossession or a judgment? And if so, does the buyer have to pay it off before settlement?

The answer is YES a buyer may qualify for a mortgage with a large derogatory/collection account on their credit report. If the buyer has to pay it off before or at settlement (or not at all) mainly depends on the underwriter/lender.

When it comes to a collection-type account, lenders will vary as to what exactly has to be done to qualify for a mortgage. Some loan officers will tell a buyer to pay off all collection accounts or anything at all derogatory on their credit. This can at times be some of the worst advice for a home buyer. Here is why ... 

• Paying off a collection account can drop your credit score, and we are talking A LOT of points.
• Not all collections/judgments (etc.) are required to be paid off.

Buyers: Get approved FIRST - Then see what the requirements are to go to settlement. Even if a lender requires an account to be paid off, it can almost always be paid at settlement. This is better for the buyer as they can save the money required and it won't drop their credit score before settlement.

There is another potential option: Sometimes a buyer is allowed to bypass paying off the entire collection if they can clearly document satisfactory payments on the account for 12+ months. In this case the monthly payment is calculated into the buyer's monthly installment debts.

TIP: If a loan officer quick looks at your credit report and tells you to pay every collection and/or derogatory account off, and then come back to him/her to get qualified, then you should probably find another loan officer to work with, one who has a much better grasp on the realities of the credit scoring model.

Steve Kappre is a mortgage loan officer in New Jersey. For more info or questions feel free to contact Steve.

• NJ First Time Home Buyer
• Purchase, refinance, rehab loans
• Conventional, FHA, USDA, VA, HMFA, First Time Home Buyer, Police and Fire, Live Where You Work, and more

Call direct @ 856-419-3561 | Subscribe to Steve's blog via e-mail | NJ Loan Officer dot com | NMLS ID: 218007

Great info when considering a listing agent to sell your home. There is no reason these days that a seller's home should not show up on Google BY ITSELF (aside from Real estate centered websites). I'm not saying it should stay #1 on Google for weeks. But it should be found outside of the MLS and other real estate websites. When interviewing agents to sell your home, ASK QUESTIONS such as "do you blog, and can YOU SHOW ME SOME EXAMPLES ... ?" It is your home - as a seller be tough on agents during the interviewing process and you won't have to be tough during the entire selling timeframe!!

No not a horse, but a Philadelphia Phillie. On my recent tour of Citizen's Bank Park, there is a section in the stadium that has the shadows of some of the great Phillies. This was one of my favorites, and if you call yourself a Phillie's Phan, you have to know this one ...

Steve Kappre is a mortgage loan officer in New Jersey. For more info or questions feel free to contact Steve.

• NJ First Time Home Buyer
• Purchase, refinance, rehab loans
• Conventional, FHA, USDA, VA, HMFA, First Time Home Buyer, Police and Fire, Live Where You Work, and more

Call direct @ 856-419-3561 | Subscribe to Steve's blog via e-mail | NJ Loan Officer .com | NMLS ID: 218007

Real Estate Professional in Training and YOUR HOME is the Training Ground!!

Everyone is a "newbie" at some time. We see managers training the teenager at Taco Bell or the "Student Driver" signs atop of cars.   But when was the last time you saw a "Real Estate Professional in Training" badge on a Realtor or loan officer?

Never?

A good real estate company will hold an agent's hand during the "baby" stage. And a good lender will make sure a complete mortgage application is completed for a new loan officer. Sadly what often takes place is a "sink or swim" training method and some poor soul's home purchase is the training ground.  We've seen this with both newbie real estate professionals and often with the "I'm using a relative" scenario.

Is it a fair question to ask a professional how many transactions they have completed lately ... this year ... EVER?  ABSOLUTELY.

I'm working with a newbie ... I'm scared!

As a home buyer, working with a new agent or loan officer isn't necessarily a curse. Just because a real estate professional is new to the business doesn't mean they have to be new to professionalism! Indeed, some new real estate professionals are years ahead of some of the "dead wood" that has been around for years. (And I would tell some people to their face if they asked!). If a newbie has strong support, you can feel confident they should do a fair job. If they lack support and they are green, then you are rolling the dice and "good luck" with them handling one of the largest transactions of your life.

Real estate transactions are highly detailed. The home buyer should never be the training ground that a new agent or officer learns the ropes on. They might lose a commission check if the transaction doesn't close. A home buyer however may lose a home, a place to stay, a lot of money, or even worse.

As a home buyer, DO NOT be afraid to ask questions upfront and put the professional you choose to work with to the test. Any professional worth your time will welcome the questions and concerns. And that is a fact, because in such a situation, the professional has the oppurtunity to shine, which will help all parties understand one another and work better together.

(Side Notes for the Professional ... As a new agent or loan officer, do not accept a company that treats training as a "put out the fire" situation. If the company you are joining doesn't have a training program written down before you join them, be skeptical about what training you will recieve. Some owners/managers are nothing more than glorified salespeople and are only looking to make money from you. They don't care about your success. Don't line their pockets as you make a bad reputation for yourself.)

Steve Kappre is a mortgage loan officer in New Jersey. For more info or questions feel free to contact Steve.

• NJ First Time Home Buyer
• Purchase, refinance, rehab loans
• Conventional, FHA, USDA, VA, HMFA, First Time Home Buyer, Police and Fire, Live Where You Work, and more

Call direct @ 856-419-3561 | Subscribe to Steve's blog via e-mail | NJ Loan Officer .com | NMLS ID: 218007

Some simple, sound advice.

The 4H Fair is always a great time. If you live in the Gloucester/Salem county area and are looking for something to do over the next few days, definitely give this a shot.

Reverse Mortgage Scams

(Alternate title: Dealing with My Stupid Criminal Loan Officer Peers)

I wish I could say that this was a "stupid criminal" situation like Jay Leno loves to see.  It is not. If you would like to get really ticked off, read on.  I received a call two days ago from a reverse mortgage client of mine. They closed about a year ago. Mr. Jones (as we will call him) called me to ask me this question:

"I recieved a call today from a loan officer. He said that the mortgage company that we closed our loan with went out of business, and that we need to sign new paperwork. He said he was going to send us a new mortgage package. He told us to just sign everything and send it back. Is this right and should we sign?"

Does it make you start to wonder how many seniors are scammed this way? 

Just in case you are wondering, once a loan is closed, you can have 1,000 banks go out of business. YOU DON'T NEED to resign anything.  This scenario above is a complete scam. And I hope it makes you as irrate as it makes me!

One would hope that after all the industry changes in the past year that the scum in this business would be gone. Nope. They just have invented new ways to crush someone to make a fast buck.

The great news is that Mr. Jones still had my number handy and called me first. That move just saved him $1,000's plus massive heartache.  (the LAST thing a senior in his late 70's needs!!) I plan to have Mr. Jones tell the loan officer to send that new loan package out, so that I can then go personally pick it up, and forward the same scenario to any and every banking official I can get a hold of.

Steve Kappre is a mortgage loan officer in New Jersey. For more info or questions feel free to contact Steve.

• NJ First Time Home Buyer
• Purchase, refinance, rehab loans
• Conventional, FHA, USDA, VA, HMFA, First Time Home Buyer, Police and Fire, Live Where You Work, and more

Call direct @ 856-419-3561 | Subscribe to Steve's blog via e-mail | NJ Loan Officer .com | NMLS ID: 218007

Timing Is Everything

Here's a fun little picture my wife took when we were heading into our development last night. This big guy was in the street atop a bridge, which means he worked REALLY hard to get to the wrong place. (Ain't that so true in life!). If I'm not mistaken, this is the second time I am rescuing this guy ...

Steve Kappre is a mortgage loan officer in New Jersey. For more info or questions feel free to contact Steve.

• NJ First Time Home Buyer
• Purchase, refinance, rehab loans
• Conventional, FHA, USDA, VA, HMFA, First Time Home Buyer, Police and Fire, Live Where You Work, and more

Call direct @ 856-419-3561 | Subscribe to Steve's blog via e-mail | NJ Loan Officer .com | NMLS ID: 218007

New Jersey Housing and Mortgage Finance Agency (NJHMFA) mortgage interest rates as of May 10, 2010. This includes the Smart Start NJ First Time Home Buyer Program.

Smart Start allows a home buyer to obtain the required downpayment for an FHA loan. As an example, a home buyer purchase a home for $100,000.  Their required down payment would be 3.5% (or $3,500). In this situation their loan amount would be $96,500. The Smart Start program offers the buyer 4% of the loan amount or in this case $3,860. ($96,500 x 4%). This covers all of the required down payment for an FHA loan and even puts some money towards the closing costs (which the seller can pay the rest if negotiated correctly).

First Time Home Buyer 30 Year Term

5.250% - First Mortgage with no Smart Start assistance

5.625% - First Mortgage with 2% Smart Start assistance

5.750% - First Mortgage with 3% Smart Start assistance

6.000% - First Mortgage with 4% Smart Start assistance

The 40 year team requires an additional add-on of .125%

Home Plus

5.625 with 3 points

Purchase/Rehabilitation Mortgage Program

5.625 with 3 points

Other NJHMFA options include Police and Fire Loans and Live Where You Work. Steve Kappre and Treasury Mortgage are an approved and servicer of NJHMFA Smart Start loans.

Steve Kappre is a mortgage loan officer in New Jersey. For more info or questions feel free to contact Steve.

• NJ First Time Home Buyer
• Purchase, refinance, rehab loans
• Conventional, FHA, USDA, VA, HMFA, First Time Home Buyer, Police and Fire, Live Where You Work, and more

Call direct @ 856-419-3561 | Subscribe to Steve's blog via e-mail | NJ Loan Officer .com | NMLS ID: 218007