real estate finance: Consumers Beware of Rising Fees
- 02/16/10 04:53 AM
Borrowers need to be aware that many mortgage brokers are choosing to raise fees to maintain their income on each loan transaction. Following is advice from one major wholesaler to their broker customers:
THE NEW GFE See the original GFE given to the Customer - Line 1. Contains the following: Origination fee + Processing Fee + Lenders Admin. Fee + YSP (plus any other compensation / fee that the broker charges). Once you give the GFE to the Customer your line 1 will not change higher (except if the loan amount changes your origination will be adjusted up or down … (2 comments)
real estate finance: The Death of an Industry - updated
- 02/10/10 09:03 AM
A few months ago I wrote a blog titled "The Death of an Industry". To say the least it met with a lot of resistance from the Mortgage Broker community. The Mortgage Brokers of active rain showered me with reasons why I was wrong. They contended that mortgage brokers could shop for the best deal for their customers, but of course the HVCC rules that require the lender to order the appraisal cut the shopping off at the knees. Brokers claimed they could deliver loans at a lower price to the consumer. The new RESPA rules are quickly proving a challenge to … (6 comments)
real estate finance: Loan Activity Down
- 01/27/10 09:29 AM
The market share for refinances must be considerably lower here in Oregon. Borrowers are really in a bind with shrinking equity and tougher loan underwriting.
Art Marine
Branch Manager 10220 SW Greenburg Road, Suite 250 Portland, OR 97223 503-764-4005 direct 503-799-7085 cell 1-866-510-4716 fax www.academy.cc/artmarine art.marine@academymortgage.com The Mortgage Bankers Association (MBA) today released its Weekly Mortgage Applications Survey for the week ending January 22, 2010. The Market Composite Index, a measure of mortgage loan application volume, decreased 10.9 percent on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index decreased 10.1 percent compared … (1 comments)
real estate finance: Will Spring Come Early This Year?
- 01/26/10 07:49 AM
I think we are poised for an early Spring buying season for real estate in 2010. Several factors come together to make this possible. Real Estate prices have dropped like a rock. Some areas have dropped 40 to 50% or more. The clearance sale is on! The federal homebuyer tax credit will expire on transactions that do not have an accepted contract by April 30, 2010. Interest Rates remain very low...30 year fixed rates in the 4's. Changes in regulations could create fear of change for those looking to buy homes in the next year. There is even talk of elimination of … (3 comments)
real estate finance: Clarification on FHA removing 1% cap on origination fees
- 01/12/10 07:54 AM
Recently HUD announced elimination of the 1% origination cap on FHA loans. The change was made with the spirit of the new GFE that combines origination and other lender fees into one section. This will allow lenders to present "origination charge", a bundled fee of origination fee and lender fees, at an amount greater than 1%. It was not intended to increase our charges to borrowers. Until we have time to further explore our options, my company's policy is to restrict our "origination charge" to 1% origination fee plus the standard branch fees. This has been a source of confusion for many … (1 comments)
real estate finance: A Potpourri of Financial Information
- 01/12/10 05:55 AM
You know how the Fed has been buying up so many Fannie, Freddie and Ginnie Mae MBS? Last year the Fed made up something like 75% of all such purchases. It will be interesting to see what happens as they stop buying. The conventional wisdom is that it will cause rates to go up, but the conventional wisdom isn't always right. It seems like yesterday that Lomas & Nettleton was the nation's biggest servicer with about $20 billion? Here are the top servicers today.
Number 10 OneWest is the new name for what used to be Indy Mac Bank (a place … (0 comments)
real estate finance: Where Have all the Lending Professionals Gone?
- 11/20/09 06:51 AM
It is getting more and more common that my company is asked to save a real estate transaction at the 11th hour. I got three calls in the last two days from listing agents that have had their sales put in jeopardy by pure incompetence from the lender handling the transaction for the buyer. Two of the loan officers that work for me have also rescued deals this week! It is worth a few minutes to analyze what is happening. Often, these transactions were originated by either mortgage brokers or credit unions. Brokers are at a real disadvantage because their chain … (5 comments)
real estate finance: It is Playoff Time for Oregon High School Football
- 11/18/09 07:55 AM
State of Oregon 6A football playoffs As those of you who read my blog know, I am a huge football fan. I love it on every level! I will watch peewee football, middle school football, high school football, or NFL football. Heck, I am such a football nut that I will even sit down and watch a CFL game (even though they have goofy rules). You should also know that I live in Canby and belong to the "Canby Booster Club". So go Cougars beat Sprague this weekend. That would setup a showdown with the Centenial - Clackamas winner ( I … (4 comments)
Borrowers need to be aware that many mortgage brokers are choosing to raise fees to maintain their income on each loan transaction. Following is advice from one major wholesaler to their broker customers:
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