Today’s post is written by Michael Green, Commercial Loan Originator for Counsel Mortgage Group, LLC. The repeat CRE sales of $39.1 billion for the first 5 months of 2020 fell 24.2% from the same time a year earlier, according to the latest monthly CoStar Commercial Repeat Sale Indices. This is the first look at the year’s commercial real estate pricing trends, calculated by using the price change from the pair of first and second sales of properties sold multiple times. The indices are based on 538 repeat sales in May and more than 227,324 since 1996.
Blog
THE LOAN ESTIMATE
The Loan Estimate (“LE”) is a document provided to you by the lender within 3 days of the application date. The application date is the date when the following have been provided to the lender:
June 25, 2020June 25, 2020
CD QUESTIONS? CONTACT COUNSEL MORTGAGE GROUP
Do you have questions about Closing Disclosure (“CD”)? The CD is the latest version of the costs and prepaid expenses on the loan. The CD contains the loan amount, interest rate, monthly payment, and amount due at closing. The numbers on the CD are intended to be the final figures for closing. The CD must be acknowledged (typically by email) by the borrower at least 3 days prior to the date the loan documents are signed; this gives the borrower time to review the numbers prior to going to the signing, and to eliminate surprises at closing. If you have...
June 24, 2020June 28, 2020
MY LOAN IS IN FORBEARANCE, CAN I REFINANCE TO GET A LOWER RATE?
In order to refinance, you will have to bring your loan current. We recently had a client who chose the government’s option to forebear his mortgage payments. He did not pay his mortgage for a couple months. When he contacted us to refinance, the lender would not approve the loan until he brought his mortgage up-to-date. Once the loan was paid current, the lender approved the refinance. So, yes, you can refinance a loan in forbearance. You’ll just have to bring the balance current.
June 19, 2020June 19, 2020
SELF-EMPLOYED AND TRYING TO GET A MORTGAGE?
Are you self-employed and write off your expenses so you don’t show any income to avoid paying Uncle Sam? Are you having trouble getting a mortgage? Well, we have some programs that can help. We can use your bank statements to show your receipt of revenue over the last 12-24 months. The lender will take a percentage of the receipts and calculate that amount as income. This is where the lender will take a percentage of your assets and use that as income. Monthly draws on retirement account If you are of retirement age, the lender will allow you to...
June 14, 2020June 14, 2020
MORTGAGE, REFINANCING AND SKIPPING PAYMENTS
You may have heard about skipping a payment, or maybe even 2 months payments, when you refinance? Is skipping a payment tricking the system, or getting away with something? No, in fact, you may be front-loading more cash at closing.
June 13, 2020June 14, 2020
WHAT ARE THE BENEFITS OF WORKING DIRECTLY WITH A BROKER?
What are the benefits of working with a mortgage broker? A mortgage broker has the freedom to choose the lender that is right for you. By knowing the specifics of your scenario, and the nuances of the lenders, the broker can match you with the lender that fits your needs. You may ask whether this matters; aren’t all lenders the same? No, they are not.
June 11, 2020June 12, 2020
THE LOAN PROCESS – WHAT IS INVOLVED
What happens to your loan application and supporting documents after they are sent into the lender? The file goes through setup first. The file is reviewed to make sure it is compliant, i.e. the loan package and disclosures were sent timely and are in order, the minimum credit documents are submitted, such as W2s, tax returns, paystubs, and bank statements. After it passes setup, the file gets in line for underwriting. The underwriter reviews the file to see if it meets investor guidelines. The investor is the one who will purchase the loan. Most loans are sold in the secondary...
June 11, 2020June 11, 2020
CAN I GET A MORTGAGE UNDER 3%?
Everyone wants the lowest interest rate at the lowest costs. Can you get a rate today under 3% with no points? Maybe. There are many factors that go into an interest rate: Credit score Loan-to-value ratio (LTV) Term of loan- 30 years, 15 years, etc. Is it for a primary residence, second home or investment property Purpose, i.e. purchase, finance, or cash-out refinance Loan Amount Type of loan, i.e. conforming, jumbo (loan amounts on excess of $510,400), VA, FHA, USDA
June 6, 2020June 11, 2020
NEGATIVE INTEREST RATES: WHAT YOU NEED TO KNOW
You may have heard of negative interest rates. What does this mean? Does it mean the bank pays me? See the below article for an explanation and what it would mean to you. Check out this story from USA TODAY: Negative interest rates: What you need to know https://www.usatoday.com/story/money/personalfinance/2020/05/31/negative-interest-rates-what-you-need-know/5288107002/ Negative interest rates, in the unlikely event that they become pervasive, would drastically alter the playing field for savers as well as borrowers.
June 4, 2020June 8, 2020