Disclosures in Financing 9 - 11/30/06 04:34 PM
Adjustable Rate Loan Disclosure
A lender offering adjustable rate residential mortgage loans must provide prospective borrowers with a copy of the most recent Federal Reserve Board publication which provides information about adjustable rate loans. The title is "Consumer Handbook on Adjustable Rate Mortgages". The publication must be given to the borrower … (2 comments)
|
Disclosures in Financing 8 - 11/29/06 07:45 PM
Lender/Purchaser Disclosure Statement , State of California Form RE 851A
Form RE 851A is provided by the California Department of Real Estate Mortgage Lending. It serves as a Disclosure Statement Summary. It is divided into ten parts:
1) Broker Information - States Brokers name, real estate license id number, business … (2 comments)
|
Disclosures in Financing 7 - 11/29/06 06:25 PM
Right Of Rescission
The right to rescind (cancel) a real estate loan applies to most consumer credit loans (hard money loans) or refinance loans. Loans used for the purchase or construction of the borrower`s personal residence (purchase money loans) have no right of rescission, The loan funds the next business after … (1 comments)
|
Disclosures in Financing 6 - 11/29/06 05:53 PM
Advertising
The Truth in Lending Actalso establishes disclosure standards for advetisements that refer to certain credit terms. If the annual percentage rate (APR) is disclosed, no more disclosures are required. If the APR is not disclosed , then all the specifics of all credit terms must be disclosed. An advertsement that … (1 comments)
|
Disclosures in Financing 5 - 11/28/06 04:47 PM
Regulation Z - The Big 9!!!!!
The first four disclosures must include simple descriptive phrases of explanation similar to what is written besides them.
1) Amount Financed - The amount of credit (principal amount borrowed less prepaid finance charges includeable) provided to you
2) Finance Charge - The dollar amount the credit will … (3 comments)
|
Disclosures in Financing 4 - 11/28/06 04:35 PM
Disclosure Statement (Continued)
The annual percentage rate (APR) is the relative cost of credit expressed as a yearly percentage rate. It is defined as the relationship of the total finance charge to the total amount financed, expressed as a percentage.
In general , the lender nor anyone else may charge a fee … (2 comments)
|
Disclosures in Financing 3 - 11/28/06 04:26 PM
Regulation Z
To accomplish the objectives of the truth in lending act (TILA) , the board of governors of the federal reserve system issued a directive known as Regulation Z (Reg Z). A creditor must always furnish certain disclosures to the consumer before a contract for a loan is made. A creditor … (1 comments)
|
Disclosures in Financing 2 - 11/27/06 10:00 PM
The Consumer Credit Protection Act is the legislation that launched truth in lending disclosures. This was a landmark legislation. For the first time . creditors had to state the cost of borrowing in a common language so that the consumer could figure out what the charges are, compete the costs od … (1 comments)
|
Disclosures in Financing 1 - 11/27/06 09:30 PM
Credit protections have mulitplied rapidly in the past few decades. The concepts of "fair" and "equal" credit have been written into laws that prohibit unfair discrimination in credit transactions, require that consumers be told the reason when and why credit is denied, let borrowers find out about their credit records, and … (0 comments)
|
The Loan Application - 11/27/06 03:13 PM
The standard mortgage application used in california and most other states is known as the Uniform Residential Loan Application. We call it the 1003 for short due to that being the acutal form number. For any loan to be underwritten or approved this must be provided. In the closing documents a … (2 comments)
|
Electronic Underwriting Credit Report - 11/24/06 01:46 AM
In general the mortgage industry uses electronic underwriting systems that predict multiple risk factors in a loan application. I would say approximatley 98% of mortgage companies use some form of automated underwriting with about 60% using either Fannie Mae`s desktop underwriter or Freddie Mac`s loan prospector. Fannie Mae offers its lenders … (3 comments)
|
Thanksgiving - 11/22/06 06:32 PM
Thanksgiving is a time to be with family. Its a time to enjoy turkey along with the football games and various other sports. But do you really sit down and consider what you are thankful? What do you take for granted. Some of us are more fortunate than others. Humility is the key..........
What … (2 comments)
|
Frauds - Fakes - 11/22/06 06:02 PM
Having been in the business over 6 years and have seen many Loan Officers aka LOs come and go. In the past 6 months or so i have seen more and more mortgage companies and as a result more LOs come to fruition. They all claim to offer the best rates , loan … (6 comments)
|
How Do I Get A Loan? Cinco - 11/22/06 05:53 PM
Under the Fair Credit Reporting Act , a person who has been denied credit, housing or employment may receive a free copy of his or her credit report by contracting one of the credit reporting agencies directly.
Qualifying the Property
The lenders first line of defense in getting repaid on the loan … (0 comments)
|
How Do I Get A Loan ? Cuatro - 11/21/06 10:24 PM
Credit Scoring....................
The credit reports and the credit scores DO NOT consider income, savings, down payment amount, or demographic factors such as gender, nationality or marital status. Credit scoring is an objective , statistical method that lenders use to quickly assess the borrower`s credit risk. The score is a number that rates the … (5 comments)
|
How Do I Get A Loan ? Tres - 11/21/06 10:02 PM
Qualifying the Borrower............................
Several risk factors are taken into consideration when evaluating a borrower for a loan, such a borrowers debt-to-income level, employment history , type of property and assets. THe lender will order a credit report which will show the borrowers complete payment history , balance of outstanding debt, credit history, … (4 comments)
|
How Do I Get A Loan Dos - 11/21/06 09:49 PM
The underwriting process begins with the borrower filling out a loan application and gathering the documents needed by the lender. In general lenders ask for the following:
-w`2s /1099/1040 tax forms for the past 2 years
-3-12 months worth of bank statements
-Most Recent Mortgage Coupon for all of the applicable mortgages on title
-Proof … (0 comments)
|
The Science of Logic - 11/20/06 03:19 PM
I havent been on these networking websites a long time but i do have ideas on how to gain business from this website and from loan officers / realtors in "real life". I will explain this in my next blog. As a loan officer or realtor you cant realistically expect to … (0 comments)
|
Problems With Clients - 11/20/06 03:08 PM
Attention Mortgage Professionals and Real Estate Agents !!!!!!!!!!!!!!!!
What are the most common problems with your clients ?
As for me
- clients understanding of prepaid interest
- clients not keeping their word, procrastinating in sending in their stips but yet stil want a quick close
- clients wanting escrows added at the last minute when they … (6 comments)
|
The Real Estate Industry - 11/20/06 03:00 PM
is not for shy people, real estate is a contact sport. The more people you contact the better chances you have in earning clients business along with starting relationships with realtors or othr real estate professionals. You are around new people everyday. Going to the grocery store,gas station,restaurants,etc provides limitless exposure … (1 comments)
|
Stereotyping - 11/15/06 09:09 PM
A blog regarding illegal immigrants was written today. I wasnt offended by the content i was offended by the authors point of view of the matter. The blog is here------------------------------------>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>http://activerain.com/blogsview/20786/English-is-the-Official. The part that offended me was the following , " And sometimes all you need to do is bring them a … (12 comments)
|
How Do I Get A loan? Uno - 11/15/06 08:29 PM
Getting a loan is an integral part of the real estate transaction since very few people have the amount of readily available cash to buy a home without financing. The first step is to fill out a loan application (1003). Once the lender has the borrowers completed application the underwriting process … (3 comments)
|
Pay Option ARM / Pick a Payment Loan (ARM) - 11/15/06 02:52 PM
I recommend this loan program only if there is benefit. THis is a great program for investors or for those deals that have a low LTV. In my opinion this is loan is to be sold if your really understand it and make sure your customer understands it, in the end … (0 comments)
|
Construction Loans - 11/14/06 07:16 PM
Construction financing companies is made up of two phases - the construction phase and completion. An interim loan is a short term loan to finance constructions costs, such as the building of a new home. THe lender basically advances funds to the borrower as nedded while the construction progresses. Since this … (6 comments)
|
Bilingual Clients - 11/14/06 06:19 PM
It is sad to see bilingual clients and how they are taken advantage of during their refinance transaction. I just funded a spanish speaking client in Alabama. She only owed 30k on her home which was appraised for 220k. She wanted to pay 20k in debt and wanted 25k in … (4 comments)
|
Bridge (Swing) Loan - 11/14/06 03:54 PM
A bridge loan (also called interim or bridge loan) is a temporary loan made on a borrower`s equity in his or her home. It is usually a short term loan that is due in six months or when the borrower`s home sells , whichever occurs sooner. It is used when the borrower … (0 comments)
|
Real Estate Agents - 11/13/06 05:26 PM
Real estate agents are a mortgage professionals best friend. There are several ways to "get in good" with a local agent. One way can be to go his/her office pass out some literature about yourself and sell yourself a bit. Think about it , how many other mortgage loan officers in the area solicit … (0 comments)
|
Blanket Loan - 11/13/06 04:59 PM
A trust deed or mortgage that covers more than one parcel of property may be secured by a blanket loan. It usually contains a PARTIAL RELEASE CLAUSE that provides for the release of any particular parcel upon repayment of a specified part of the loan. From what i have seen it is … (1 comments)
|
New Scams cont...... - 11/13/06 02:24 PM
Dearest Beloved, How are you, I hope all is well with you and your family. My name is Maria Binta Hakis, a girl from Sierra Leone, am 25 years old a house help by profession, and I have a proposal to make which I believe will be helpful to both of … (3 comments)
|
New Scams................. - 11/13/06 02:14 PM
CONTACT YOUR PAYING BANK.WINX LOTTO INTERNATIONAL PROMOTIONS/PRIZE AWARD DEPARTMENT.RESULTS FOR CATEGORY "A" DRAWS We are pleased to congratulate you, and announce to you,the results of the First Category draw of THE WINX LOTT PROMO INT. We are happy to inform you that you have emerged a winner under the First … (3 comments)
|
Real Estate Signs - 11/10/06 08:28 PM
Here in the la metro area regardless of whether the market is slow or not there is still alot of real estate activity. Real estate signs are everywhere some for advertising the sale of homes or brokers offering their services. The ability to display real estate signs has some protection under the United … (0 comments)
|
Property Management 6 - 11/10/06 03:10 PM
As you can see a Property Managers duties are very detailed. THey are:
-To create the rental schedule
-Merchadise the space
-Advertise vacancies through selected media
-Develop a tenant/resident relations policy
-Qualify and investigate a prospective clients credit
-Prepare and execute leases
-Collect the rent
-Review and pay bills
-Obtain and pay insurance premiums and taxes
-Create and supervise maintenenace … (0 comments)
|
Property Management 5 - 11/10/06 03:00 PM
In California there are only a few certain cities that have rent control they are the following:
-Berkeley
-Beverly Hills
-East Palo Alto
-Hayward
-Los Angeles
-Los Gatos
-Oakland
-Palm Springs
-San Fransisco
-San Jose
-San Leandro
-Santa Monica
-West Hollywood
The maximum allowable rent is the Maximum legal rent that a landlord can charge for a controlled rental unit. Many of the rent … (0 comments)
|
Property Management 4 - 11/09/06 09:49 PM
The property manager must be a jack of all trades because the duties are many and varied. Property managers have a dual responsibility to both the owner and the tenants. The owner wants the highest possible return from the property and the tenants want the absolute best value for their money. … (2 comments)
|
Property Management 3 - 11/08/06 09:30 PM
Property Managers need a basic understanding of the laws concerning real estate licensing, contracts, agency, fair housing, employment, property protection, and tenant / landlord relationships. But the preparation of leases, tax reports , and other matters which may invlove legal and accounting expertise should be sent to a legal or tax … (0 comments)
|
Property Management 2 - 11/08/06 08:17 PM
Property Managers are usually classifed as: individual property managers, building managers, and resident managers. The individual property manager is usually a real estate broker who owns his or her company and manages properties for various owners. Some property managerswork for a property management firm or for a corporation as an asset … (0 comments)
|
Property Management - 11/08/06 06:19 PM
Investors who know what they are doing are few and far between.Thir efforts have inspired me to also begin investing heavily in real estate. The management of a property on behalf of the owner is known as property management. Investing in real estate in your state or out of state is no small task. One of … (2 comments)
|
What Happens To My Debts and Assets When I Die? - 11/06/06 06:58 PM
An estate tax is defined as federal tax on the transfer of assets owned by the estate of a person who has died. Depending on how much you owe when you die , your estate may have to pay estate taxes before your assets can be full distributed. Estate taxes are … (2 comments)
|
The Probate Process - 11/06/06 06:22 PM
When a person passes away a court approved sale of the property is known as a probate sale. This type of a sale is a process. Here is the summary of the probate court procedures:
(1) An offer to purchase must be for at least 90% of the properties appraised value
(2) The … (1 comments)
|
Reward Yourself - 11/06/06 01:07 PM
Keeping with the concept of effective time management it is of great importance even for small successes to celebrate achievement of goals. Promise yourself a reward for completing each task or finishing the total job. Then keep your promise to yourself and indulge in your reward. Doing this in my life … (4 comments)
|
Learn To Say "NO" - 11/03/06 08:26 PM
No is such a small world but so so hard to say. When trying to manage your time effectively focusing on your goals will help. Blocking time for important, but often not scheduled priorities such as family and friends can also help. But first you must be convinced that you and … (2 comments)
|
Probate Sales - California - 11/02/06 09:21 PM
In California and in many other states across the nation there are situations when a homeowner is deceased and doesnt leave a will or testament for inheritance of their estate. In other words what happens to my property and debts once i die? A probate sale is a court approved sale of a … (1 comments)
|
Depreciation How Does It Work? Part Three - 11/02/06 09:01 PM
I am going to provide another example on how to calculate depreciation. Lets say two close buddies Tim and Mike bought a four-plex next to the beach and paid $600,000.00 for it. The land was valued by the county at 40% of the total investment , which leaves 60% for the … (0 comments)
|
Depreciation How Does It Work ? Part Two - 11/02/06 08:25 PM
The straight line method to calculate depreciation is probably the most common method to determine the dollar amount per year that may be deducted. Using the straight line method the value of the improvements made to the property is divided by the depreciable life of the property , to arrive at the annual depreciation … (0 comments)
|
Depreciation How Does It Work? Part One - 11/01/06 10:00 PM
Investors may claim depreciation and other deductions, such as , mortgage interest, property taxes , insurance, management, maintenance, and utilites to reduce the tax bill. In my opinion one of the most important tax benefits of income property ownership is the depreciation allowance. Depreciation is a tax advantage of ownership of … (0 comments)
|
Capital Gains Part Two - 11/01/06 08:33 PM
In the first part of this blog i explained how capital gains were calculated in words now i will show it you mathematically. There are three steps to arrive to the result which is whether is capital gain is a net gain or a net loss. There are three steps in … (0 comments)
|
;)
Links;)
Archives
