One of the things the place I work does to attract clients is advertise foreclosure lists to our clients. Several times a week, people call and ask for the lists, and we say, “Great! Just come on down, fill out a loan package and an agency agreement, and we’ll get them to you fresh every …
Category Archives: Mortgages
Appraisers Speak Out Against “Make The Deal”
Appraisers Petition Against “Make The Deal” I’ve spoken about these issues before in this post. I’ve certainly heard of plenty of abuse on both sides of this equation, and there is plenty of motivation for lenders to abuse the situation by requiring a higher than “real” appraisal value. Still, I think that by reading only …
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“Lenders Are All The Same”
Just like Mohandas Gandhi and Genghis Khan and Attila the Hun were all human beings, lenders make money by lending money to people who want it. That’s about the limit of the truth in that statement. Lenders do, by and large, get their money to lend from the bond market. But not all lenders get …
Short Payoffs
A while ago I wrote an article called, “What Happens When You Can’t Make Your Real Estate Loan Payment.” This is kind of a continuation of that, as I got a search that asked, “What is necessary to persuade a bank to accept a short payoff on a mortgage” Poverty. In a word, poverty. You …
Lump Sum Payments on a Mortgage and Alternative Investments
This one came from a search engine: amortization of real estate loans early payoff based on a lump sum payment This is one of the smart things you can do. Not necessarily the smartest, mind you, but smart. The question is if there’s a better way to get a return on that money, wither by …
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Losing Property Value with Highly Leveraged Properties
In one of my articles somebody wrote in the comments about going upside-down on their mortgage: What happens if the property value falls and becomes far less than the loan ammount? (POP) Lets say you get a loan for $280,000 on a home that was $330,00 and then three years later is is only worth …
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Loan Rate Sheets: An example, and the games lenders play
This is something I probably should have covered quite some time ago, as it’s part and parcel of the system that’s abused. Here are sample rates from one A paper lender, picked at random, that were in effect a few days ago. These are Fannie and Freddie conforming 30 year fixed rate mortgages with full …
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Joint Loans
First off, let me say that your site has been very informative and helpful. I stumbled across your blog looking for information on ARM vs. 30 year fixed loans and ended up reading every article. One issue I have never really seen addressed is joint loans. When a couple, married in this case, gets a …
“Banks Give Better Deals Than Brokers”
Better deals for the bank, that is. Ken Harney has a recent article Study Shows Loan Brokers’ Better Side But now a new, independent academic study has concluded the opposite: According to a team of researchers headed by Georgetown University’s Gregory Elliehausen, home mortgage applicants with less-than-perfect credit pay lower financing costs when they obtain …
Loan Qualification Standards – “Loanbusters”
This is definitely not a “Who you gonna call?” I’ve done a couple articles in the recent past on the two ratios, debt to income and loan to value. Nonetheless, there exist a plethora of reasons why someone can be turned down for a loan even though they make it on the ratios. The first …
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