Mortgage / Finance

Anybody that's hung around the ActiveRain “water cooler” for any length of time understands the value of the relationships built on the site. AR is so much more than a social networking site, however.


It's also the place to get up-to-the-minute information on topics that affect your clients. Ask yourself: what's the most confusing aspect of buying a home for the real estate consumer? The answer is most likely financing the purchase. Credit scores and how they affect the mortgage rate, types of loan products, points, fees – whew! -- there's a lot to know about mortgages.


To serve your clients effectively you need to know about this stuff and keep abreast of changes in the mortgage industry. Thankfully, ActiveRain is not only popular with real estate agents and brokers but with finance professionals as well.


Whether you're an agent trying to figure out what the Fed's latest move means to your clients or a mortgage pro who needs input on how to build relationships with real estate agents, ActiveRain is the place to tap into a wealth of knowledge.

Recent blogs on Mortgage / Finance
By Matt Brady, One of San Diego's Best Lenders
(Watermark Capital)
In the face of bank failures, the Fed still raised rates by a quarter point, as the markets expected. They couldn’t raise by the 50bps they wanted to a few weeks earlier and inflation is too scary for Powell to do nothing.We will look back on this and blame the fed for the impending recession. I said in August 2021 that the Fed was lying when they said inflation was “transitory.” I said at the beginning of last year that there will be no such thing as a “soft landing.”The Fed was late to raise rates (you should do it when the economy is robust/growing, not contracting) and did so at too an aggressive pace never seen before. Now they have this incredible balancing act to perform as we are at the tipping point of a financial institution breakdown.I mentioned in prior issues how the unrav...
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By Brian Madigan, LL.B., Broker
(RE/MAX West Realty Inc., Brokerage (Toronto))
Commercial Bond Yields CMB 5 Year - 3.05%*EST. CANHOU 06/15/28 [-0.11%]   ‌ 10 Year - 3.21%*EST. CANHOU 06/15/33 [-0.07%]         * denotes interpolated rate GoC 5 Year - 2.74% CAN 09/01/27 [-0.14%]   ‌ 10 Year - 2.69% CAN 12/01/32 [-0.08%]   ‌ 15 Year - 2.93%* Est. 12/01/38 [-0.06%]   ‌ 20 Year - 2.98%* Est. 12/01/43 [-0.04%] GOC Bonds are for reference purposes only Floating rate insured cost of funds 5.05% [-]                   Prime Rate 6.70% [-]    
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By Tim Bray, B.S. Real Estate (UConn)
(Seaport Real Estate Services)
 Commercial real estate projects can be a lucrative investment opportunity for those who are willing to take on the associated risks. While financing options for these projects vary, bridge loans are often used to cover the gap between the initial investment and the eventual long-term financing. However, recent trends in the market have shown a rise in bridge loans with radically lower interest rates than the current rate. This may seem like an excellent opportunity to save on interest costs, but it poses significant risks to investors and lenders alike.First, it's essential to understand what a bridge loan is. A bridge loan is a short-term loan used to finance the gap between the purchase of a property and long-term financing. Typically, these loans are used to cover the cost of renova...
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By Paddy Deighan MBA JD PhD, Paddy Deighan J.D. Ph.D
(http://irstaxdebt.pro)
I have written numerous posts recently about the upcoming Fed Reserve Central Bank Digital Currency (CBDC) and no, I am not a fan of losing our freedom at the hand of additional governmental control. Readers have asked me about this because many believed that ALL digital assets/currencies may be a good thing.  There is a world of difference between decentralized assets and centralized (the Fed's CBDC). Decentralized assets are ones that gains its value from the people who use it, and does not rely on any bank, authority or third party to function or exist. Centralized assets are the opposite..they are controlled by a bank that issued them or a third party or government,,,in the case of the upcoming CBDC, the authority is the Federal Reserve - which is a cadre of unelected bureaucrats th...
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By Matt Brady, One of San Diego's Best Lenders
(Watermark Capital)
Every conversation I have with clients when we are locking rates contains the question "what is going to happen with rates?". I then try to explain we can look at trends in the 10 YR Treasury to indicate the trend in Mortgage Backed Securities (MBS).The MBS operates in inverse to what the US Treasury is doing. I found a great chart above that really drives home the relationship between the two. You can see when one is down the other is up.To further complicate it when the MBS (gold line above) is up, rates are down. To drive home the point, you can always go to Market Watch (link below)and view a chart showing the last 5 days and you can see why we have had mortgage rate improvement.https://www.marketwatch.com/investing/bond/tmubmusd10y?countrycode=bx Have an amazing weekend!   
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By Jesse Rivera, Mortgage Broker
(Prospect Lending)
These three new loan products just came across my desk. I love how lenders are thinking outside the box, and using down payment assistance to help buyers get approved.1. Common Sense Mortgage - A Return to Common-Sense Underwriting. With this loan, the lender does not check income or employment, and does not factor in any DTI. To qualify for the loan, they use credit, LTV (need at least 20% down) and reserves. 2. FHA 3.5% Forgivable Down Payment Assistance. Geared towards first-time homebuyers or first responders, medical professionals, civil servants, or educators. This Grant is a REAL Grant. This is NOT a Silent 2nd; nothing will be recorded on the title. It goes away when buyer refinances or sells.3. 20% Down Payment Assistance. This loan is with the state of California's CalHFA prog...
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By Joe Jackson, Clintonville and Central Ohio Real Estate Expert
(Keller Williams Capital Partners Realty)
This is an excellent post with great information. Thanks for sharing it.Have a super fantastic week!Joe Jackson, Realtor-KWCP After steadily falling over the winter, mortgage rates have started to rise in recent weeks. This is concerning to some potential homebuyers as the combination of higher mortgage rates and higher prices have made homes less affordable. So, if you’re planning to purchase a home this year, you too may be wondering if now’s the right time to buy or if you should hold off on your search until rates come back down.   The recent uptick in rates has been driven by what’s happening with inflation. Joel Kan, Vice President and Deputy Chief Economist at the Mortgage Bankers Association (MBA), explains:   “Mortgage rates increased across the board last week, pushed higher b...
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By Melissa Thompson, I'm a real estate agent helping buyers and sellers
(Thompson Real Estate)
Tax season can be a daunting time for many, but with the help of expert tax advisory services, you can maximize your returns and make the process much easier. Whether you're an individual or a business owner, having a trusted professional on your side to guide you through the complexities of taxes is invaluable. With their established knowledge in taxation and wealth management, they can provide you with peace of mind and ensure that you keep more money in your pocket.For those looking to get the most out of their taxes, expert tax advisory services offer a cost-effective way to navigate the system without sacrificing accuracy or compliance. Their experienced team of professionals will work closely with you to identify any potential deductions and credits that could maximize your return...
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By Matt Brady, One of San Diego's Best Lenders
(Watermark Capital)
We’ve had a very volatile week and there is another one ahead of us. For starters, you can add banking giant Credit Suisse to the list of failing banks. They have been bought out by Swiss rival UBS bank for a little over $3 billion. Just a few weeks ago Credit Suisse had a market cap of $8 billion.I’ve been talking about seeing “cracks” in the financial system, but this goes way beyond that. Credit Suisse is not some regional bank. It is a 166-year-old institution that was once a system of Swiss Pride. And one can guess that it is not the only bank facing difficulty.Over the past few days, there has been a meeting with the global central banks. Today they announced they will provide a coordinated effort to provide liquidity to banks in an effort to ease the panic and weaknesses in the f...
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By Karen Schimpf, When Your Bank Says No, I CAN Get Your Deal CLOSE
(Commercial Capital Ltd.)
The media is blowing up over bank failures and fear is back in the marketplace. But most every bank I speak to and I literally speak to 50 or more banks a week, are all very healthy on their balance sheets. Some are still aggressively hiring…this is not the actions of a group in trouble. The media is blowing this up but the truth, from what I can see on the inside, is it is just noise. Silicon Valley Bank (SVB) was a technology driven bank that made plenty of skeptical loans including outright venture capital. What you take from it is not that a bank failed and a system is in trouble, but that technology, the market leader, is screaming that trouble is ahead. And I do think trouble is ahead. Credit Suisse is more problematic, and bears watching if other European banks falter but here in...
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By Brian Madigan, LL.B., Broker
(RE/MAX West Realty Inc., Brokerage (Toronto))
Commercial Bond Yields CMB 5 Year - 3.27%*EST. CANHOU 06/15/28 [+0.13%]   ‌ 10 Year - 3.33%*EST. CANHOU 06/15/33 [+0.07%]         * denotes interpolated rate GoC 5 Year - 2.97% CAN 09/01/27 [+0.14%]   ‌ 10 Year - 2.82% CAN 06/01/32 [+0.08%]   ‌ 15 Year - 2.98%* Est. 12/01/36 [+0.08%]   ‌ 20 Year - 2.99%* Est. 12/01/41 [+0.07%] GOC Bonds are for reference purposes only Floating rate insured cost of funds 5.05% [-]                   Prime Rate 6.70% [-]    
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By David Ramirez, Tax Representation at its Best
(Tax Relief Services)
Received a Distraint Warrant from the IRS in the Mail?Think is Real, Thing Again because it is absolutely NOT! Fake tax warrants Has a distrant warrant been delivered to your door, claiming that the taxman has come calling? You’re not alone – in recent weeks there’s been an influx of fake warrants being circulated across the country. If you think it looks official you are not alone, but it just a scam to try to separate you from your Money. In this blog post we’ll explore what these false and misleading documents are and how they trick people like you who make an honest living it just can’t pay your taxes. So if you've received one of these bogus warrants recently or just want to be informed – read on!What is a Fake Tax Warrant and why should you careHave you ever received one of those ...
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By Charles Ross - (785)-819-6944, Love To Help People
(eXp Realty LLC Salina Group)
 Keeping your credit in good order when purchasing a home is vital for several reasons: Better Interest Rates: Having a good credit score can help you get approved for a mortgage and can also help you get a lower interest rate on your loan. A lower interest rate can mean lower monthly payments and the overall cost of the loan. More Loan Options: With good credit, you may be eligible for a broader range of mortgage loan options, including those with lower down payment requirements or more flexible terms. This can give you more options and help you find a loan that fits your needs. Faster Approval Process: When you have good credit, the mortgage approval process may go more smoothly and quickly. Lenders may be more willing to work with you and require less documentation if they feel confi...
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By Matt Brady, One of San Diego's Best Lenders
(Watermark Capital)
In a similar start to last week’s edition, “We are coming out of a busy week.” This week, however, showed the economic cracks I have been predicting.Silicon Valley Bank (SVB) “collapsed” making it the 2nd biggest bank failure in the U.S. In a nutshell (I’ll try to make this short), SVB was taking in all of these deposits, and a lot of them were from startups. With these deposits (and thanks to fractional reserve banking) they invested that money, and they did so in “risk-free” long-term treasuries. Treasuries are risk-free if you hold them to maturation. However, in an environment of rising interest rates, the price of those treasuries decline because the yield they were providing is no longer as attractive as they were in a low-rate environment.At the same time, those startup companie...
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By RPDFW @ Salas Home Team, #1 Team in Real Estate Specialty Services
(Realty Preferred DFW)
If you're looking for Homes for Sale in Carrollton, TX, $200,000 to $250,000 you've come to the right place.We will advise you to make an intelligent decision to buy your home. From your home loan to closing. The most important step to start buying your home is to have your loan approved or at least pre-approved.There are hundreds of programs available to buy Homes for Sale in Carrollton, TX $200,000 to $250,000. As well as down payment assistance programs. He has good social security, reports his taxes annually, and has a work history of 2 years, he can do it with little or no down payment.If you own your own business or work as a contractor and don't report a lot of money on your tax returns. We also have programs available.If you only have your ITIN and have filed or have not filed y...
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By Brian Madigan, LL.B., Broker
(RE/MAX West Realty Inc., Brokerage (Toronto))
Commercial Bond Yields CMB 5 Year - 3.58%*EST. CANHOU 06/15/28 [-0.17%]   ‌ 10 Year - 3.58%*EST. CANHOU 06/15/33 [-0.14%]         * denotes interpolated rate GoC 5 Year - 3.33% CAN 09/01/27 [-0.18%]   ‌ 10 Year - 3.12% CAN 06/01/32 [-0.16%]   ‌ 15 Year - 3.15%* Est. 12/01/36 [-0.12%]   ‌ 20 Year - 3.12%* Est. 12/01/41 [-0.12%] GOC Bonds are for reference purposes only Floating rate insured cost of funds 5.05% [-]                   Prime Rate 6.70% [-]    
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By Bill Salvatore - East Valley, Realtor - 602-999-0952 / em: golfArizona@cox.net
(Arizona Elite Properties )
After steadily falling over the winter, mortgage rates have started to rise in recent weeks. This is concerning to some potential homebuyers as the combination of higher mortgage rates and higher prices have made homes less affordable. So, if you’re planning to purchase a home this year, you too may be wondering if now’s the right time to buy or if you should hold off on your search until rates come back down. The recent uptick in rates has been driven by what’s happening with inflation. Joel Kan, Vice President and Deputy Chief Economist at the Mortgage Bankers Association (MBA), explains:  “Mortgage rates increased across the board last week, pushed higher by market expectations that inflation will persist, thus requiring the Federal Reserve to keep monetary policy restrictive for a l...
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By Matt Brady, One of San Diego's Best Lenders
(Watermark Capital)
A few days delayed by forces beyond my control but here are my thoughts. We are coming out of a busy week: home prices were lower than expected, but pending sales were higher than expected (the drop in rates in December-January helped get things going).The pending home sales numbers prove to me that there is pent-up demand on the sidelines waiting for somewhat more favorable conditions to make moves.Also, we heard from Fed members who warned we may need rates higher for longer. All of this put some heavy pressure on rates.It seems like the markets started 2023 with the hopes of a sooner-than-expected Fed pivot. However, they are digesting the inflation, labor, and consumer data and realizing that we may be in this environment longer than hoped.Let’s discuss this week’s calendar and then...
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By Jason E. Gordon, Sr Loan Officer, CMA, CMPS, CDLP, CDRE, RCSD, CDPE
(AmeriFirst Financial Inc, San Diego, CA)
There are 4 "milestones" in the creation of a mortgage from start to finish, which are as follows: PROCESSING - the initial stage where the Lender takes a close look at the Borrower "on paper" by pulling credit and gathering such documents as Paystubs, W2 Forms, Tax Returns, Bank Statements, etc.Anticipate Federally Mandated INITIAL LOAN DISCLOSURES at this point that will need to be signed by the BORROWER(S) including a Loan Estimate (LE) that will lay out "estimated" Recurring & Non-Recurring Closing Costs. UNDERWRITING - where the Lender then makes a determination of whether the Borrower(s) will be approved based on the goals they have stated, how they look on paper, and what the approval guidelines allow. Oftentimes, an underwriting approval will have "PRIOR-TO-DOC" (PTD) conditions...
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By Jason E. Gordon, Sr Loan Officer, CMA, CMPS, CDLP, CDRE, RCSD, CDPE
(AmeriFirst Financial Inc, San Diego, CA)
Knowing the truth behind mortgage quotes has never been more important. As part of the MORTGAGE DEEP DIVE video education series, The Truth Behind Mortgage Quotes takes an in-depth look "behind the curtain" of how mortgage quotes are actually customized and quoted (and how consumes may be duped if they are not careful what to look for). If you are a prospective Borrower and/or a Professional who serves this population, this video is worth a look!
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