Mortgage Loan Blog covering Refinances & Home Purchases

Down Payment Assistance

Do you need down payment assistance to purchase your new home?

We have down payment assistance programs that are not loans or grants so you never need to pay them back and you do not need to be a first time home buyer to be eligible. Owning a home for some people may just be a thought but it doesn’t need to be, programs have been created to help you. We work with various organizations who have been funded by the government to help with your down payment, these organizations have helped thousands of people now and have been set up to help you. The first step is getting approved for a mortgage, once approved you apply for the down payment assistance. As far as the mortgage loan you do not need to be a the perfect borrower (credit score can be as low as a 500), what’s important is that you have a job that you can prove income because they feel a good job history is sometimes better then a credit report. A credit reports fluctuates based on every move you make and sometimes makes a person look worse then what they really are, so if you think you are a good borrower and have the want to own a home but don’t have the money….we can help! You have nothing to lose…The pre-qualification is free and we will help you every step of the way including directing you as to where you should apply for your down payment assist program. We even have realtors who will help you find the home of your dreams. For more info and to be pre-approved…call 1-800-334-1458

Land Star Title offers real estate title insurance. As a Real Estate Title Insurance Company we can handle your refinances and purchases. Land Star Title prides itself on outstanding customer service and quality title and lien searches.

If you are looking for a Real Estate Title Insurance Company,  title escrow services, real estate closing services, notary services, mortgage loan closing services, lender title services, Real estate title searches, real estate title insurance, real estate title commitments, real estate title insurance this Title Insurance Company is the right choice. Important information you should know about this Title Insurance Company is that we offer real estate title commitments in 24-72 hours, we immediately disperse funds at closing, with the ability to track title documents online and 24 hours a day 7 days a week customer service.

Our staff has been servicing the real estate title industry for over 20 years now. So when choosing a real estate Title Insurance Company, Land Star title should be your #1 choice. In most cases your home is your biggest investment so it should closed on by the very best real estate Title Insurance Company. If you need a real estate title insurance quote or a real estate title search, we can help! Land Star Title currently offers Title Insurance from Fidelity National Title which is our main Underwriter so you should feel confident in knowing that your title insurance policy is being underwritten by one of the major insurance companies in fact publicly traded on the NYSE.

Call Today! 888-772-1577 or fill out our real estate title insurance request form and one of customer service representatives will contact you within 24 hours.

Infinity Capital Mortgage Group has working with all the major banking institutions to help many people with there mortgage refinance in Florida. Most of the major banks pressed by the government have started working with borrowers to modify there current loans or help them with refinancing. As far the government goes they have really stepped up the efforts with the FHA mortgage products to help people that have fallen on hard times refinance there current mortgage they have even raised the current loan limits to help borrowers that have properties with higher values.

 Below is one of our lenders recent newsletter… Article Headline - FHA Loan Limits Are Increased By County CLICK HERE TO SEARCH LOAN LIMITS BY COUNTY - Up to $729,750March 6, 2008 TO:                 ALL APPROVED MORTGAGEES                        SUBJECT:     Temporary Loan Limit Increase for FHA       This Mortgagee Letter provides information on Federal Housing Administration single family mortgage limits as a result of enactment of the Economic Stimulus Act of 2008 (”the Act”).  These limits are effective for mortgages endorsed for insurance on or after the date of this mortgagee letter and remain in effect for those mortgages for which the mortgagee has issued credit approval for the borrower on or before December 31, 2008.   FHA Single Family Programs Affected:  The mortgage limits described in this Mortgagee Letter are effective for those mortgages insured under the following Sections of the National Housing Act: Sections 203(b)(FHA’s basic 1-4 family mortgage insurance program), 203(h)(mortgages for disaster victims), 203(k)(rehabilitation mortgage insurance), and 234(c)(condominium units).  These limits do not apply to Section 255, Home Equity Conversion Mortgages (HECM). Revisions to the Lowest Local Limits: The Act provides that the mortgage limit for any given area shall be set at 125% of the median house price in that area, as determined by the Department of Housing and Urban Development, except that the FHA mortgage limit in any given area cannot exceed 175% of the 2008 Freddie Mac conforming loan limit of $417,000, nor be lower than 65% of the same 2008 Freddie Mac conforming loan limit for a residence of applicable size.   Thus, in areas where 125% of the median house price is less than 65% of the Freddie Mac limit, the FHA limits are set at the 65% limit, i.e., the “floor,” as follows:  One-Unit          $271,050Two-Unit         $347,000Three-Unit        $419,400Four-Unit         $521,250  “High-Cost” Local Limits:  Any area where the limits exceed the floor is known as a “high cost” area.  In areas where 125% of the median house price exceeds the 175% limit of $729,750 for a 1-unit property, the mortgage limits are set at the 175% amount, i.e., the “ceiling,” as follows: One-Unit          $729,750            Two-Unit         $934,200            Three-Unit        $1,129,250            Four-Unit         $1,403,400 

For all other areas, i.e., those where 125% of the median home price for the area is in between the floor and the ceiling, the limit shall be at 125% of the median home price.

NYTimes.com
Bush and Fed Step Toward a Mortgage Rescue
Thursday March 6, 12:38 am ET
By EDMUND L. ANDREWS and VIKAS BAJAJ

WASHINGTON — However much they might oppose it on ideological grounds, the Bush administration and the Federal Reserve are inching closer toward a government rescue of distressed homeowners and mortgage lenders.Ben S. Bernanke, the Fed chairman, told a group of bankers in Florida on Tuesday that “more can and should be done” to help millions of people with mortgages that are often bigger than the value of their homes.

Though Mr. Bernanke stopped well short of calling for a government bailout, he used his bully pulpit to try to push the banking industry into forgiving portions of many mortgages and signaled his concern that market forces would not be enough to prevent a broader economic calamity.

He also suggested that the Federal Housing Administration expand its insurance program to let more people switch from expensive subprime mortgages to federally insured loans.

And he urged the two government-sponsored mortgage companies, Fannie Mae and Freddie Mac, to raise more capital so they could buy more mortgages. The companies already guarantee or hold as investments about $1.5 trillion in mortgages.

Similarly, the Bush administration, despite its public opposition to bailouts, has set the stage for a bigger government role.

One month ago, President Bush signed an economic stimulus bill that greatly increased the size of loans the F.H.A. can insure, while allowing Fannie Mae and Freddie Mac to purchase significantly larger mortgages from lenders and guarantee them against default by homeowners.

The move, which administration officials had previously opposed, increases the limits on F.H.A., Freddie Mac and Fannie Mae mortgages from $417,000 to as much as $729,750.

Historically, the F.H.A. and the mortgage companies have focused on conservative mortgages for people borrowing relatively modest sums. But they are now being encouraged to finance much bigger mortgages, in some cases to people who put almost no money down.

Last week, the administration went further by removing limits on the volume of mortgages that Fannie Mae and Freddie Mac can hold in their own portfolios. That means the two companies could buy up billions of dollars in mortgages that other investors have been too frightened to touch.

In theory, the change should not cost taxpayers. But because the companies are chartered by Congress, investors have assumed that Congress would bail them out if needed. Fannie Mae and Freddie Mac can borrow money more cheaply than private banks largely because of the assumed government backing.

The Fed has been offering its own resources to soften the credit squeeze that began when investors started to panic about subprime loans. In addition to sharply cutting interest rates, the Fed has lent more than $160 billion to banks since mid-December through a new program, the Term Auction Facility.

Under the program, banks have been able to borrow money for up to a month or so, pledging collateral that includes mortgage-backed securities, even if the securities are not tradable in today’s markets.

In Congress, Democratic lawmakers pounced on Mr. Bernanke’s comments in Orlando, Fla., to bolster their arguments for much costlier rescue plans.

“It is now clear that we will not be able to avert a more serious and prolonged economic slowdown if we don’t address the problem of increasing mortgage foreclosures,” Representative Barney Frank, chairman of the House Financial Services Committtee, said on Tuesday.

Mr. Frank, who praised the Fed chairman’s “willingness to work with us,” proposed legislation last week to allow the F.H.A. to insure up to $20 billion in troubled mortgages if the lenders first agree to forgive a big part of the original loan amounts.

But even without new legislation, the Federal Housing Administration has been active. It has insured 110,000 mortgage refinancings worth $15 billion since it started a program, F.H.A. Secure, in October. It is hard to know how many of the loans would have come to the agency because of the mortgage crisis, but officials estimate as many as 90 percent of the borrowers were previously in subprime loans.

The F.H.A. figures prominently in the proposals being put forth by regulators and lawmakers. The agency insures mortgage loans made by approved lenders.

A longstanding bill to modernize the program would lower the down payment needed for F.H.A. loans to 1.5 percent of a home’s value, from 3 percent. The bill would also let the agency price insurance based on each loan’s risks. The F.H.A. now charges everyone the same premium.

“We will not back loans that do not make sense and cost taxpayers money,” said D. J. Nordquist, a spokeswoman for the Department of Housing and Urban Development, which runs the F.H.A.

But skeptics worry that the plans to expand the scope of the F.H.A. will put taxpayers at risk. They note that home prices are likely to fall further. If the government moves to insure or buy mortgages now, it might help arrest the price decline — but only temporarily.

“The reality is, prices will fall; there is no way to keep them up,” said Dean Baker, co-director of the Center for Economic and Policy Research, a liberal group in Washington. “If we have the government get in, either as the owner of the debt or the guarantor of the debt, a lot of the decline will be shouldered by the taxpayer.”

Created during the Depression to support the mortgage market, the F.H.A. has played a critical role in the housing industry in the past, though in recent years it lost ground to subprime lenders.

Administration officials say the program was meant to step in during tumultuous times like these. They further note that its conservative underwriting standards will ensure that the F.H.A. program’s losses will be within its traditional range.

Congress and the Bush administration are also hoping to soften the mortgage debacle through Fannie Mae and Freddie Mac.

Even before President Bush signed legislation allowing the two government-sponsored companies to guarantee mortgages as big as $729,750 in high-cost markets, Fannie Mae had begun offering personal loans to some borrowers who were behind on their house payments. Known as HomeSaver Advance, the loans could help Fannie Mae keep mortgages current for borrowers who have a temporary setback.

The two companies are now trying to decide how to guarantee the bigger and potentially riskier mortgages. Both want to exclude “no-documentation” loans, but Congress authorized them to buy up big mortgages going back to last July — when a high percentage of such loans were approved without verification of the borrower’s income. As a result, company executives are debating whether to buy up at least some “no-doc” loans made last year.

“One could argue that these things are steps on the bailout continuum, although they are baby steps,” said Karen Weaver, head of securitization research at Deutsche Bank.

Democratic leaders in Congress are pushing for bolder action. The House speaker, Nancy Pelosi, will hold a closed meeting on Wednesday with some of the leading advocates for more extensive rescue measures.

Administration officials remain opposed, but some are at least discussing such ideas.

“Whether government intervention is necessary is something we should all be thinking about,” Sheila C. Bair, chairwoman of the Federal Deposit Insurance Corporation, said at a hearing of the Senate Banking Committee on Tuesday. “But I don’t think we are there yet.”

Federal Reserve System Efforts

I would like to comment briefly on Federal Reserve System efforts to reduce preventable foreclosures and their costs on borrowers and communities. The Federal Reserve can help by leveraging three important strengths: our analytical and data resources; our national presence; and our history of working closely with lenders, community groups, and other local stakeholders. A major thrust of our efforts is sharing relevant and timely data analysis of mortgage delinquencies with community groups and policymakers to efficiently target resources to areas most in need. For example, we recently assisted NeighborWorks America in identifying regions and neighborhoods that are at risk of higher rates of foreclosure and could benefit from increased mortgage counseling capacity. On the basis of this analysis, NeighborWorks recently distributed $130 million in newly granted funds from Congress to thirty-two state housing finance agencies, eighty-two community-based NeighborWorks organizations, and sixteen counseling intermediaries around the country.

The Federal Reserve System also is supporting efforts to reach troubled borrowers and to raise awareness in communities about ways to prevent foreclosures. Since July, the community affairs groups across the Federal Reserve System have sponsored or cosponsored more than fifty events related to foreclosures, reaching more than 4,000 attendees including lenders, counselors, community development specialists, and policymakers.

We are also concerned about the challenges of neighborhoods that have seen large increases in foreclosures and vacant properties and have begun to work with policymakers, lenders (including community banks) and community groups to address these problems. In particular, we have undertaken a joint effort with NeighborWorks America to help communities develop strategies for neighborhood stabilization. Conclusion

Reducing the rate of preventable foreclosures would promote economic stability for households, neighborhoods, and the nation as a whole. Although lenders and servicers have scaled up their efforts and adopted a wider variety of loss-mitigation techniques, more can, and should, be done. The fact that many troubled borrowers have little or no equity suggests that greater use of principal writedowns or short payoffs, perhaps with shared appreciation features, would be in the best interest of both borrowers and lenders. This approach would be facilitated by allowing the FHA the flexibility to offer refinancing products to more borrowers.

Ultimately, though, real relief for the mortgage market requires stabilization, and then recovery, in the nation’s housing sector. Modernization of the FHA would be of help on this front as well. I am sure that the FHA and the Department of Housing and Urban Development, given the appropriate powers by the Congress, will make every effort to expand their operations and to help improve the functioning of the market for home-purchase mortgages. For community bankers, FHA modernization and expansion would provide an important opportunity–of which I urge you to take advantage–to better serve your customers and community.

The government-sponsored enterprises (GSEs), Fannie Mae and Freddie Mac, likewise could do a great deal to address the current problems in housing and the mortgage market. New capital-raising by the GSEs, together with congressional action to strengthen the supervision of these companies, would allow Fannie and Freddie to expand significantly the number of new mortgages that they securitize. With few alternative mortgage channels available today, such action would be highly beneficial to the economy. I urge the Congress and the GSEs to take the steps necessary to allow more potential homebuyers access to mortgage credit at reasonable terms.”

By Reuters

Mortgage Relief

Debt relief Help

Florida Title Insurance Company

Mortgage Refinance

by: Tom DominThere’s Not A Bulletin Board In Existence That My Mortgage Marketing Program Doesn’t Like

Yes, I love bulletin boards. Now, just so you know…I’m not talking about “electronic bulletin boards” found on the Internet. That’s a different topic for another day. I’m referring to those old fashion “cork boards” that in order to post notices require the use of push pins, thumb tacks or even staples (a bulletin board no no).

Today in some cities, bulletin board marketing is so hot that there are companies that exist for the sole purpose of providing this service to people who want their signs posted on bulletin boards. These service companies also distribute your fliers in stores and shops and post them in windows and hand them out at concerts and events. In some cases they’ll help design and plan your promotion and even write and distribute a press release for you.

If a service like this is not available, the bulletin board idea is still a winner. Just do it yourself! The cost is extremely low and your investment is only your time and energy. This is still one of the all time great origination ideas for Mortgage Professionals and the returns are great.

Here are a few things to think about if you’re considering about implementing your bulletin board marketing program:

1. Every townhouse and condominium complex has a bulletin board. Your job, should you wish to accept it, is to find the location of that bulletin board and gain access to it. You may find it in a common laundry area or even located within the clubhouse or pool area. If so, you may need permission to gain access and post your notice. Have no fear…you’ll find that this is rarely denied. Remember, you’re providing a valuable financial service to the residents and the complex itself.

2. Apartment complexes also have bulletin boards. Unfortunately, you probably won’t be welcomed with open arms since you’re really trying to help qualified renters move out of the complex. But, I have on occasion found a forward thinking property manager that allowed my notices to be posted. Their logic: They can’t prevent qualified renters from looking at home ownership as an option…so, why not allow the postings. Don’t forget to remind the property manager that you track your leads and that you never forget the source of where those mortgage leads come from. I’m continually amazed at the good things that can happen when you just ask.

3. Bulletin boards can be found in hospitals, fire and police stations, Laundromats, supermarkets, local building supply stores (Are there any left?), plumbing supply, electrical supply, bookstores, company employee lounges, waiting areas, your local Dunkin Donuts (mine has a great one), and a myriad of other locations where people happen to congregate.

4. Every business has a bulletin board and it may be accessible by employees only. Should that be the case, ask an employee or the manager to post for you. Remember, you’re providing a valuable service not only to their employees but to the company as well. All companies want to retain their good employees and home ownership and/or good financing guarantees they’ll stay in the area for the foreseeable future.

5. The notice that you post needs to be on the small side. A full page flier is usually too big as it over powers and dominates the bulletin board. You’ll probably find full page fliers removed within minutes of their placement, so don’t even go there. Half page fliers are better and postcard size fliers (Avery postcards 4.25″ X 5.5″) are the ideal size. You could thumb tack multiple business cards or cards especially designed with your message however, your message size is severally restricted and your response will be low using this size.

6. The best responses come from fliers that have a multiple “tear offs” at the bottom. You’ve seen them and probably torn one off and placed it in your wallet or purse as a reminder to call. This extends the life of your little flier as it won’t disappear with the first person interested in your offer. Yes, it’s a pain to set up initially, but once it’s done, it’s done forever. Your little flier is ready to work for you for many months and years to come.

7. Lastly, visit your bulletin boards on a regular basis and treat them well. Replace notices that show wear (and tear and those with only a couple tear offs remaining with brand new ones.

You’ve worked hard to gain access to your bulletin boards…maintain them well…and, you’ll be surprised at how well they will reward you and your mortgage business with good solid mortgage leads.

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Commercial Mortgage Broker - Ally and Shark Wrangler

January 23rd, 2008

By: Patrick Bedall

Developing a Profitable Relationship.

You finally found that commercial property you want to buy - fantastic! Now what? All you need is the money and where do you get that? A commercial lender, of course. And here’s the million dollar question - where do you find a lender you can trust, get the deal done, and with whom you enjoy dealing? You can go to the Internet and type “Commercial Mortgage Lender” into the search box and that will get you over 1.6 million options to look through. Doesn’t seem like a good way to spend your time.

Another option may be your local bank, the one that knows everything about you including your financial history, current holdings, and existing bank account. Negotiating a favorable rate with your local bank is like playing poker while showing everyone else at the table your hand. You lose the edge, the bargaining power to get the best deal. This is not saying that your bank will purposely strike you a bad deal, but unless you are borrowing millions of dollars and are a regular source of volume, they have no truly compelling reason to give you their best rates. Besides they already have your money and unless you are going to borrow $10 Million or so it is probably just not worth their time.

While there are many different ways to go about financing a commercial property there is only one right place to start and that is with an experienced commercial mortgage broker. Someone that has sailed the commercial finance seas many times and knows the locations of all the rocks, waves, shallows, and pirates that will surely sink your ship. Realize that a mistake in commercial mortgage financing can cost you thousands or millions of dollars. These pitfalls include lockout periods, balloon payments, prepayment penalties, and resource loan structure.

A commercial mortgage broker is one of your strongest allies. Their job is to become intimately familiar with your financing needs and find solutions to meet those needs. They utilize their voluminous lender relationships to bring you the best deal possible based on your property type, financial situation, strategy, and timing. A broker has access to wholesale rates that are rarely offered to you, the consumer. Even the “preferred rates” offered by longtime contacts at your bank rarely compare as favorably.

Working with a bank for a commercial mortgage is similar to feeding the fat goldfish in your aquarium. They have come to expect food regularly provided them and will get around to eating when they are ready. On the other hand, working the commercial mortgage market through a broker is like dangling live bait over a shark tank. Lenders will go after the deal like a hungry shark, but you certainly don’t want to be the one holding the bait. That’s the job of your mortgage broker. The result will be the right deal for your situation and you didn’t lose any fingers in the process (or your shirt for that matter). Notice I didn’t say lowest rate, I said best deal. Often one’s best financing option is not the lowest rate - more on that in another article.

Brokers are matchmakers - intermediaries. They bring together those who have with those who need. It is all about relationships. It is paramount for you to trust your broker. If you find it hard to have a relationship with your broker it is likely that others will have a hard time as well. If a broker can’t understand you and your needs, they will not be of service to you or your needs. A broker must maintain relationships with you and with lenders. If they have a hard time establishing a relationship with you then what about their relationships with lenders? As with any business relationship, go in with your eyes open.

Bottom line is this. Give a broker a shot. On your next commercial loan take a little extra time and compare what a commercial broker can do with what the local bank can do. My bet is that you will find that the broker is the best bet and you may be on your way to developing a wonderfully profitable relationship with a mortgage industry professional.

Copyright (c) 2007 VEC Financial Group

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Smart Mortgage Shopping - 3 Steps to Take

January 22nd, 2008

By: Grant Eckert

Most people wouldn’t just purchase the first car they look at, so why would shopping for a mortgage be any different? New would-be homeowners are looking for ways to simply just secure financing that they forget that they are the ones in control of their terms. To help you get the best mortgage deal for your current financial situation and for your future, here are three steps you will want to take.

Before you can take advantage of any of these steps, it will help if you to gain a basic understanding of the mortgage process and terms you might run across as you begin your search. There are a number of helpful books and websites you might want to look into that can help you begin to find your footing in this maze of mortgage-speak.

First of all, you need to look at the lending information from several different lenders. You have a number of options for borrowing money - credit unions, banks, thrift institutions, and mortgage companies. So, with those places in mind, you will want to start asking around for the amount of money that you will want to borrow to see what offers you might get. And while a mortgage broker can do this footwork for you, they will need to be paid for their services, which may not be something you want to pay. However, their services are worth it due to their experience and how many lenders they can access.

The next step in finding a mortgage is to start asking these lending institutions what kinds of terms they can offer you. The most important term that you will come across is the rate of interest. When you are purchasing a home, you will be paying not only money for the house itself, but also for the borrowing of the money - interest. This allows the lender to make money from your transaction as most interest is calculated over the time period and the amount of the loan. Thus, the longer and bigger the loan, the more money they will make. But since you’re interested in paying for a home and not the bank, you will want to start looking for the lowest rates you can.

You will find that rates are divided into fixed and adjustable. You will want to make sure that the lenders are up front about how current their latest posted rates are. Note that fixed rates mean that your mortgage payments will not change, while adjustable rates will make your monthly payment vary. In addition to the interest rate, you will want to get a thorough explanation of the points and the APR associated with the lender to get a comprehensive idea of what a loan from them will entail.

The third step in shopping for a mortgage is often the most intimidating for the borrower and that’s negotiation. You have a right to negotiate for the terms that you want, though you might not get them. It will help as you are looking at the various lending institutions if you begin to create an ‘ideal’ mortgage plan in your head. That way, you can talk to other lenders about what other institutions have offered you so that they can match that price or reduce their rates to attract your business.

You are in the driver’s seat when it comes to your mortgage, so be sure to speak up when you think something is too high or ask for an explanation of every number that you see. If you’re not happy, you can always look elsewhere for a lender.

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Option ARM Mortgages - How they Work and Pros and Cons

January 21st, 2008

By: Grant Eckert

In the world of mortgages and complex financial arrangements for housing, you need to be armed with the facts. Not knowing what you are getting into when you sign on the dotted line(s) could end up hurting you more than helping you. In the case of option ARM mortgages, this is especially the case. Not only are they extremely complicated, but when you’re not sure what they can do for you, they can be a painful learning experience.

The basic appeal of an option ARM mortgage is that you don’t have to make large payments in the beginning. These are the loans you may have seen on website banners advertising $200,000 loans for only $500 a month. This does sound good when money is tight and you want to conserve the bills you have. But in actuality, you will still be borrowing a certain amount of money that needs to be paid off. And while the bills are low in the beginning, they will begin to increase over the duration of your loan period.

Another thing to consider with option ARM mortgages is that the interest rates can soar or they can plummet, depending on the market and the terms of your loan. Though you might be only paying $500 a month, your loan amount may be increasing without you even realizing it. And once you’re out of that initial low payment period, you may need to double or even triple the amount you are paying every month.

You can choose between several different payment plans each month with an option ARM mortgage. You might pay typical payments that include both interest and the principle, or just payments that are interest. You might also choose to limit your payments so that you’re paying the least amount possible - however, this is not going to help with the overall amount as interest will continue to be added to your loan amount.

In the beginning months, you will also generally be offered a low interest rate, which will be appealing and cause your payments to be lower. But while this introductory interest period seems appealing, it is not going to last. Be sure to ask how long this low rate is going to last, if you hear that it’s only a month or two, it might not be worth it to you. After the introductory period, the interest will rise to the normal rates.

When you pay monthly and only pay the minimum payment, you will not necessarily be paying down your overall loan because the interest rate will continue to add money to the balance. After a while, your payments may not be covering any interest that you have accrued or even helping with the principle, adding up to a large sum that you now have to pay down.

Another thing to consider is that after five years or so, the loan can be recalculated, which can lead to substantial increases in your monthly payment. This can be shocking to the borrower, but it will be clearly outlined in the option ARM payment fine print.

So, the question becomes - are the option ARM mortgages good for anyone? If you don’t have a lot of money now, but you can be certain that you will in the future, this might be a good option for you. But if you’re not going to keep up with your current low payments and aren’t adding any additional money that you could to the payment plan, you might be setting yourself up for a financial disaster. Miami Home Mortgage

But the main concern is that those that do not do their homework on the loan will end up being ’surprised’ when it comes time to pay off their larger bill. Do yourself a favor and make sure that you are reading the fine print and that you understand what is expected of you.

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My Indispensable Mortgage Notebook

January 18th, 2008

By: Tom Domin

There’s no doubt about it…the Internet is changing the way we shop, bank, arrange travel, search for information, buy and sell homes, and if you haven’t noticed…the way we do mortgages.

A few years ago I came to the realization that if you’re running a mortgage business that’s computer and Internet based, you need to supplement all of that high technology with something decidedly simple and very old fashioned…a notebook.

As you may have guessed, I’m not talking about a Dell, HP, or Gateway laptop computer. I’m referring to an inexpensive school spiral notebook. It may seem silly to store information in such an old fashioned way, but it really makes a great deal of sense when you think about it.

Every mortgage professional should have one notebook in which he or she can safeguard critical information. Use your notebook to store important passwords, website URLs, membership sites, key contacts and other critical information.

Here’s why your notebook is so important to your mortgage success…

Your notebook is available even when your computer isn’t. If you experience a power outage during a winter blizzard or a summer tornado or hurricane, you’ll have all of your key phone numbers in one place. If you’re new computer goes on the fritz or your old desk top crashes and you have to run things from another workstation or a new machine, you’ll have all of the necessary information to keep going right at your fingertips.

Yes…there are various ways to back-up your important information. You should be doing those as well. But, your notebook becomes your ultimate back-up. Take the notebook with you where ever you go, add your notes on a daily basis, and never let it out of your sight. It truly represents one of your “keys to success.”

Working without a notebook is sort of like walking a tightrope without a net. With some luck and dexterity, you just might make it across the rope without incident. If you slip, however, you’ll be regretting your decision all the way down!

Slide a net under your mortgage business tightrope by logging critical contact and password information in an accessible notebook. Keeping track of essentials this way provides you with a great insurance policy and can keep your mortgage business afloat in the face of technological challenges and failures.

Many years ago I worked for a mortgage business that had all of their computers stolen one Sunday night. You can imagine the loss and havoc this created. The business was crippled for days and weeks until order could be restored.

Ask yourself this question: If you had to start all over again tomorrow with a new computer and no stored information, would it be easier if you had all of that key information written somewhere?

Now that you’re nodding “yes,” get started immediately on building your notebook.

Here’s a little tip to get you started: There’s no need to go back and try to document your old information. Start fresh today and enter your information as you access it. If you access a Lender Website… jot down the URL address and your username and password. Make a quick note of today’s “To Do List,” or the prospect call information you need make next week, or what ever.

Use your mortgage notebook and briefly document everything that you do or needs to be done, and in one years time you will have built your ultimate mortgage back-up. It’s so easy, so simple, so basic, and so inexpensive…how can you afford not to get started?

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Mortgage Broker Strategies 101: Back to Basics

January 17th, 2008

By: Shane Brooks

Mortgage Broker strategies are important as you very well know, but have you considered all the marketing you can do on a day to day basis. This is not the type of marketing where you put an ad in the paper or hire a call center. These are the little things you can do to make sure that your mortgage business continues to grow. These are the things that cost very little but are huge in terms of keeping business as well as high customer satisfaction.

First Tip

Whether you are sending out a letter, a card, or even an ad for the paper, make sure you use effective writing techniques. First among these is to make sure that you have a headline on everything you do. Whether people realize it or not, the headline grabs the reader. Once they see a headline, they are way more likely to read the rest of the piece of text. Always make sure that the headline has a benefit in it so that your client has a reason to keep reading.

Second Tip

Keep writing! For many people, the thank you note has raised their income by large percentages. Every person, customer or friend, loves to show appreciation. They like to know that you are happy for them and that you realize what they have done for you. When you thank them you are connecting with them and helping to cement a future relationship.

If you make it a point to write thank you notes every day, you can really help your return business. Thank people who didn’t even work with you on a mortgage. You can thank those who did something for you: your mechanic, mailman, or even the teacher your kid has at school. Whatever you do, just make sure you send those thank you notes. It will definitely pay off for you.

Third Tip

Be a braggart. When you do something for a client, make sure you tell them. You want to make yourself valuable to the client for a couple of reasons: so that he or she understands why you are getting paid, and so that he or she would refer you to someone else in the future. This can be very valuable down the road. Even though bragging seems harsh normally, so be humble and just point out the things you accomplished because in business you want to be valued.

Fourth Tip

This is a strange one for many, but make sure that if you have a phone person, that he or she always suggests that you are with a client. If he or she says “I’m sorry but he is working with a customer right now, give me one second to see if he can take a call right now”.

This allows you to look busy and confirms that you are worth the effort to work with. It also gives you an out if you don’t want to talk with a certain person for one reason or another.

Last Tip

Though there is an unlimited amount of advice that could be given about mortgage marketing techniques, there are some that are certainly more important. One of those is this: never stop marketing. Even if you are the best mortgage broker that ever walked the planet, if you cannot market then it won’t matter. Nobody will know you are great, you will have no business to close, and you will not make any money.

Above everything else, mortgage is about getting clients in your door. The rest is just paperwork and learning the ropes of the loan biz. With that in mind, there is one other thing you should consider:

Form realtor partnerships whenever you can. If you can find a program that will help you hook up with realtors the right way, you should jump on it. By giving yourself that extra advantage, you are enabling your business to grow without making yourself do more work.

With a partnership with the right realtor, you may find yourself with a large number of renters turned buyers on your desk each day. What a great way to run the mortgage business huh?

So no matter what you do, implement a new marketing tip each day. Try to send out thank you notes, thank people in person, look for times to brag about your self, and even try to keep marketing. Above all, find ways to form those partnerships. Getting hooked up with a realtor and with changing renters into buyers, you will grow your business faster than you ever imagined.

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