Daniel Young - The Loan Doc

Beware of On-Line Mortgage Rates that are bait and switch!

How many times have you or your clients gone online to check mortgage rates to only find out that half way through the transaction you were switched to a much higher interest rate?........ and you are not closing on time! You see if it is too good to be true it probably is. There is no way that these companies can quote you a rate when they don't know your Fico Score, Debt to Income Ratios and even your Loan to Value Ratios. There are too many factors involved with a Home loan these days.

Watch this video below which will help you understand why you should always use a trused Lender that you know.

I am your trusted lender and I am never too busy to talk to you or your clients and help you get them into that new home! it doesn't matter if you are in Upland, Rancho Cucamonga, Ontario, Fontana, Loma Linda or Redlands I am here to help alway!

WHAT IS Home Affordable Refinance Program (HARP)?

If you're not behind on your mortgage payments but have been unable to get traditional refinancing because the value of your home has declined, you may be eligible to refinance through MHA's Home Affordable Refinance Program (HARP). HARP is designed to help you get a new, more affordable, more stable mortgage. HARP refinance loans require a loan application and underwriting process, and refinance fees will apply.

Eligibility:

You may be eligible for HARP if you meet all of the following criteria:

• The mortgage must be owned or guaranteed by Freddie Mac or Fannie Mae.
• The mortgage must have been sold to Fannie Mae or Freddie Mac on or before May 31, 2009.
• The mortgage cannot have been refinanced under HARP previously unless it is a Fannie Mae loan that was refinanced under HARP from March-May, 2009.
• The current loan-to-value (LTV) ratio must be greater than 80%.
• The borrower must be current on the mortgage at the time of the refinance, with no late payment in the past six months and no more than one late payment in the past 12 months

To learn more about this program and many more call me at 909-952-2882 or visit my site at www.TheLoanDoc.com

HARP 2.0 has been Updated!

The same day that lawmakers deluged the GSEs and their regulator with criticism, Fannie Mae and Freddie Mac finally released guidelines Tuesday for lenders and servicers about modifications to the Home Affordable Refinance Program (HARP).

The Obama administration ended weeks of speculation when it announced the modifications – specific to HARP 2.0, as dubbed by the media – in October.

Changes for the program included an end to the 125-percent loan-to-value ratio cap for refinancing homeowners, the elimination of risk-based fees for short-term borrowers, and an extension for HARP until December 2013.

New guidelines effectively took lenders and servicers off the hook by nixing their legal culpability for problems with original loans once homeowners refinance with the GSEs.

Freddie Mac more specifically offered freedom from liability to lenders whose borrowers refinance their loans with LTVs above 80 percent.

The changes also preclude any liability for lenders whose refinancing borrowers maintain properties below their value or at risk for any poor conditions, pending new appraisals.

More than 800,000 homeowners have refinanced their government-backed mortgages through HARP since the program opened its doors in early 2009.

Industry reactions have largely been favorable to the HARP changes announced by the Federal Housing Finance Agency some weeks ago.

In October the nation’s four largest lenders – including Bank of America, Citigroup, JPMorgan Chase, and Wells Fargo – all signed on to participate in HARP 2.0.

The Mortgage Bankers Association (MBA) welcomed modifications to the program in a related October statement.

“The mortgage industry welcomes these changes designed to help more underwater borrowers who are current on their mortgages refinance at today’s historically low interest rates,” David Stevens, MBA’s president and CEO, said in a statement. “Not only will these changes allow more borrowers to qualify, but they will streamline the process and reduce the cost to borrowers and should lessen risk for Fannie Mae and Freddie Mac.

“These changes alone should encourage lenders to more actively participate in HARP,” If you have any questions regarding this program or any other programs please feel free to call my office at 909-952-2882.

Buying a Home in Loma Linda?

Loma Linda California has always been a great place to live and raise a family. It is close to Lome Linda Medical Center, Loma Linda University Church, Loma Linda Academy (Private Christain School), and a health food grocery store called Loma Linda Market. Also, in this community is the Loma Linda School of Medicine and Dentistry. Overall a great Christian community that is safe and Beautiful.

There are many veriety of homes and condos within the city of Loma Linda. Finding a great Realtor is your first step in finding a home. At the same time getting pre-approved with a great Direct Lender ensures a happy shopping experience! While shopping for a home it is easy to use a good mortgage payment calculator during your shopping. You should also consider what type of loan product that is available to you. There are many choices out there from FHA, VA, Conventional and Homepath loans that would be a fit for your family.

Call me today at 909-952-2882 to discuss the different options for you and your family. Also, visit my website today at www.TheLoanDoc.com to read more about the different loan products for you and your family.

Tired of deals falling out that shouldn't have?

How to ensure a successful close of Escrow!

It is so easy to get caught up in all our escrows and forget the basic fundamental things that make a deal close in a timely matter. Have you had deals fall out that completely blindsided you? Maybe you were working with a client who had his/her own lender and your control was limited in that transaction.

From talking to my Realtor partners and listening to their horror stories I find some common things that took place. You know very few of those transactions seemed to have fallen out because of the buyer or seller simply backing out. In fact, many times it pointed back to the lender or the pre qualification process. Something either wasn't done right from the start or things fell apart as the transaction went on. Either way my Realtor partners were just simply frustrated. THIS WAS THEIR PAYCHECK!

Now, we know you can't force the client to go with your trusted lender partner but there are some key steps to follow to make sure things are still on the right track. I have listed some pointers that could be sent to the buyers on a regular basis through the transaction that if followed will help ensure a successful close. You see many deals fall out because circumstances for the buyer changed during the transaction. So, it is in our best interest to educate our buyers and keep them on track during the transaction. I hope these following tips help:

DO NOT!!

Ø Apply for any credit cards

Ø Purchase high cost items on credit cards

Ø Run credit reports

Ø Co-sign for a loan

Ø Transfer money between bank accounts

Ø Accept cash from credit cards for loans

Ø Purchase a car

Ø Buy furniture

Ø Change employers or quit your job

Now, I can't tell you the magic secret on figuring out if the client has been pre-qualified properly to begin with but my suggestion if I was in your shoes I would call your preferred lender you work with and at least run the scenario by them to see if there are any land mines hidden in the transaction. Although there is no for sure methods in guaranteeing the close but you certainly can reduce the possibility in a fall out.

Please comment or call me if you have questions or need help with a scenario. A good lender is not there to steal a loan but is always available to help. My referrals come from word of mouth and a satisfied Real Estate Professional and their clients.

Have a great Christmas Season Everyone!