Recent tightening monetary policy has brought to the forefront lenders utility of rate swaps and caps for CRE loans. With the stable interest rates of the past decade or so, these were largely kept in the closet. CRE investors have long had multiple avenues for hedging against rising interest rates. With the FED’s commitment to...
Author: john (John Rapasky)
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APR IS USUALLY DIFFERENT THAN THE NOTE RATE ON A LOAN
APR is usually different than the note rate on the loan. The APR discloses the cost of credit and is calculated by taking into consideration the finance costs of the loan; disclosing those costs in terms of the interest rate.
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WHAT IS A DEED OF TRUST DOCUMENT?
What is a Deed of trust? The Deed of Trust is the document evidencing the security in the property. It is the instrument used by the lender to foreclose on the property if its terms are not met. The most obvious term is that the mortgage payments must be paid on time, but there are...
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APPRAISERS ARE LICENSED
You may get an appraisal and wonder how the appraiser arrived at that opinion, and is the appraiser qualified? Appraisers are licensed, and to be Certified, must have extensive experience and education. In Arizona, appraisers must have their fingerprints submitted for a criminal background check. If new, the appraiser starts out as a Trainee Appraiser....
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A MAJOR FACTOR CONSIDERED BY LENDERS
When underwriting a loan lenders look at the debt-to-income ratio for a comparison of monthly debts to monthly income, this is a major factor lenders consider. Lenders like to see the ratio at or below 43%, but loans have been approved up to 50%. Example: Let’s say you are salaried and gross $4,000 per month;...
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HOW DOES STREAMLINE REFINANCING WORK?
When someone sees the word “streamline” next to refinance, they think all they need to do is call the lender and their rate will be reduced. Well, it’s not quite that easy. A FHA Streamline refinance applies if you have a FHA mortgage and want to refinance into another FHA mortgage. What you may first...
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IS A REVERSE MORTGAGE A GOOD OPTION FOR LONG-TERM CARE?
Should you use a reverse mortgage to pay for long-term care? Check out this article published by The Arizona Republic on how to evaluate whether a reverse mortgage is a good option for long-term care. Click link https://bit.ly/3xlKXHM Contact us, we’re happy to discuss reverse mortgages with you. We offer a variety of products and...
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NEW LOAN LIMITS FOR 2022
Here is a reminder of the loan limits for 2022. The conforming loan limit for a 1-unit property in Maricopa County is $647,200. Loans in excess of this amount are considered jumbo loans. Jumbo loan rates may be higher than conforming loans. The FHA loan limit for 1-unit properties in Maricopa County is $441,600. The...
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IT’S DEJA VU ALL OVER AGAIN
It’s said in investment circles that markets have a memory of about 20 years. Lessons learned more than 20 years ago are forgotten. Those of us around during the inflation of the ‘70s are hard pressed to recall the details. Many of the commercial real estate and financing professionals and practitioners during the...
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COUNSEL MORTGAGE GROUP IS NOW LICENSED IN ILLINOIS!
We are excited to announce Counsel Mortgage is now licensed in Illinois! Are you looking to invest in a primary, secondary or vacation home in the state of Illinois? We now broker loans in Illinois. We also broker loans in Arizona, California, and Hawaii. For example, we can help you refinance and take cash out...