Dean Davidson ABR/CSP

The Current Mortgage Market Update is provided us by Ashleigh Sumlin, Bradford Mortgage Co./NEW BRIDGE BANK.

March 26, 2010

Dear friends in Real Estate,

FHA Up Front Mortgage Insurance will increase to 2.25% from 1.75% beginning with loans receiving case numbers on April 5, 2010.

2 major investors removed their entire interest-only offerings this week. MI companies have not been covering loans with interest only payments for some time now.

Conforming and FHA loans are now allowing loans on properties owned less than 90 days by the current seller BUT MI companies are not. A buyer purchasing a property flipped within last 90 days will have to put at least 20% down or do a separate 2^nd lien to avoid MI.

Here's a sample of Primary Home Purchase money rates today, up to 0+1, with escrows for a borrower with median credit of 750. These are subject to vary based on loan amount, occupancy, LTV, credit quality and other factors.

Conforming (up to $417K, using 250K as sample loan amt)

30 yr fixed 4.95%

15 yr fixed 4.25%

5/1 ARM 3.625%

FHA (up to $303,750 for the greater Mecklenburg Co area, using $250K as sample loan)

30 yr fixed 4.875%

15 yr fixed 4.5%

Jumbo (over $417k up to $1.5M, $650K sample loan amount)

30 yr fixed 5.875%

10 yr ARM 5.25%

15 yr fixed 5.0%

5/1 ARM 4.5%

Call Ashleigh Sumlin, Bradford Mortgage Company, 704-258-4894 to get your clients preapproved now!

Representative Mortgage Rates 10-23-09

30 Year Fixed Conv. 4.875% 5.02% APR

15 Year Fixed Conv. 4.250% 4.48% APR

5/1 Conv. ARM 3.625% 3.87% APR

7/1 Conv. ARM 4.125% 4.35% APR

10/1 Conv. ARM 4.500% 4.74% APR

30 Year Fixed FHA 5.000% 5.17% APR

5/1 FHA ARM 4.000% 4.18% APR

30 Year Fixed USDA 5.000% 5.21% APR

5/1 Jumbo ARM 4.625% 4.92% APR

The above rates are from a sampling of rates available as of the post date. It does not imply the actual rate you may obtain from any specific lender on any given day.

Market Conditions Improving....

The North Carolina Association of Realtors has reported in the May/June issue of "For The Record" that foreclosures fell 42% in North Carolina in the 1st Quarter, while filings rose 24% nationally, as compared to the same period last year, 2008.

Nationally, the United States median home price rose 4.2%, considerably higher than the normal seasonally adjusted increases of 1.8%. Over 55,000,000 US households can now afford to purchase median priced homes of approximately $200,000. And of course, due to the first-time homebuyer tax credit, that segment accounted for 53% of all home transactions in March.

In Addition.......

According to Forbes Magazine, six cities in North Carolina - Raleigh, Durham, Asheville, Wilmington, Winston-Salem and Charlotte, are among the top 20 "Best Metros" in the country for careers and business climate.

Chief Executive Magazine calls North Carolina the 2nd best state in the US to conduct business.

Maybe, just maybe, we are seeing the bottom of our recession in North Carolina.

The North Carolina Association of Realtors has reported in the May/June issue of "For The Record" that foreclosures fell 42% in North Carolina in the 1st Quarter, while filings rose 24% nationally, as compared to the same period last year, 2008.

Nationally, the United States median home price rose 4.2%, considerably higher than the normal seasonally adjusted increases of 1.8%. Over 55,000,000 US households can now afford to purchase median priced homes of approximately $200,000. And of course, due to the first-time homebuyer tax credit, that segment accounted for 53% of all home transactions in March.

In Addition.......

According to Forbes Magazine, six cities in North Carolina - Raleigh, Durham, Asheville, Wilmington, Winston-Salem and Charlotte, are among the top 20 "Best Metros" in the country for careers and business climate.

Chief Executive Magazine calls North Carolina the 2nd best state in the US to conduct business.

Maybe, just maybe, we are seeing the bottom of our recession in North Carolina.

TARP funds must be finally in play now- check out our LOW Jumbo and Super Jumbo 30 yr fixed rates!

Here's a sample of Primary Home Purchase money rates today, up to 0+1, with escrows for a borrower with median credit of 720-760. These are subject to vary based on loan amount, occupancy, LTV, credit quality and other factors.

Conforming (using 250K as amt)

30 yr fixed 4.75%

15 yr fixed 4.375%

5/1 ARM, 30 yr am 4.125%

Jumbo (using 650K as amt)

30 yr fixed 5.875%

15 yr fixed 5.25%

5/1 ARM, 30yr am 4.875%

Super Jumbo (using 1M amt)

30 yr fixed 5.875%

15 yr fixed 5.25%

5/1 ARM, 30 yr am 4.75%

Compliments of Asleigh Sumlin, Bradford Mortgage Company, Charlotte 704-307-9908