Marin Mortgage News 
The latest news on mortgages and green-lending practices in Marin County and the San Francisco Bay Area.
There are currently 51 blog entries related to this category.
The Best Mortgage Rates....Ever?
Thursday, May 17th, 2012 at 9:17pm. 100 Views, 0 Comments.
Although I rarely comment on interest rates, historic developments cannot be ignored. Yields on 10-year treasury notes reached their lowest point ever today, dropping to 1.70. And mortgage interest rates, which move in tandem, followed suit. We are currently seeing the lowest mortgage rates ever, and with the European Union’s crisis of confidence caught in a tail spin, there is a fair chance interest rates may drop farther.
The last time we saw interest rates at similar, all-time-low levels (September 2011) they rapidly shot up as if rejected by unfamiliar territory. That aside, and though I may soon find myself dining on braised crow, I feel there is a very good chance that we’ll see these uber-low rates…
Comparing 15-Year and 30-Year Fixed Mortgages
Saturday, April 28th, 2012 at 8:40am. 161 Views, 0 Comments.
There are many different types of mortgage financing options, each geared to serving certain goals. None are bad, though it is sometimes a difficult task to choose the one that is best suited to your particular needs. Adjustable Rate Mortgages (ARMs) and their interest only cousins are often maligned and passed over without consideration, but may be the best option for anyone planning to sell or refinance within a shorter timeframe. But, with long-term rates at historic lows, if there’s any chance of remaining in a home for the long haul, a fixed rate mortgage might be considered cheap insurance.
Once a client has settled on a fixed rate mortgage, I am often asked which option is best for them, a 30-year or a…
90% Jumbo Financing Available for Purchases to $972,775
Thursday, April 5th, 2012 at 10:52pm. 183 Views, 0 Comments.
A great new jumbo loan product offers 90% financing on purchase prices as high as $972,775. Qualified borrowers with limited down payment funds are now able to support significantly higher purchase prices. Until recently, buyers with 10% down payment funds buying in this range were relegated to FHA loans, which top out at $729,750 and limit purchase prices to just $810,833. This new loan not only increases purchase power by over $160,000, but also carries lower closing costs and mortgage insurance premiums, and does not mandate impounds for monthly collection of property taxes and hazard insurance.
The program's maximum loan amount ranges county-by-county and is calculated by adding $250,000 to a given county's…
Pending FHA Mortgage Insurance Increases Will Raise Borrowers' Costs
Saturday, March 24th, 2012 at 3:41pm. 230 Views, 0 Comments.
Changes recently implemented by HUD will increase the cost of upfront and annual mortgage insurance premiums for FHA insured loans with case numbers assigned on or after April 9, 2012. A second round of increases will go into effect for jumbo FHA loans assigned on or after June 11 with loan sizes ranging above $625,500 up to the maximum loan size of $729,750. These increases are geared to replenish the FHA's mortgage insurance fund, which was recently assessed at having a 50% chance of falling to a zero balance, potentially requiring a tax payer bailout.
The FHA does not make loans. Rather, it insures loans that meet its guidelines, which are extremely lenient with respect to a borrower's credit worthiness. FHA loans allow…
How to Improve Credit Scores to Get the Best Mortgage
Monday, March 5th, 2012 at 1:48pm. 210 Views, 0 Comments.
Having good credit is more important than ever to those seeking mortgage financing. A few points either way in one's credit rating can result in significant differences in the interest rate one would receive, or even the ability to qualify for the mortgage at all. To illustrate the value of good credit (or the cost of poor) let's apply standard Fannie Mae adjustments to a purchase scenario with a twenty percent down payment and varying credit scores. Beginning with the current baseline measure for excellent credit -a mid-score of 740 - and a hypothetical rate of 3.875% here is what happens as scores drop. Below 720, the rate would increase to 4.0%. Dipping to just under 700 the rate would increase to 4.125%, and below 680 the rate would jump to 4.625%.…
Succeeding In Marin Real Estate Market | Alternate Ways To Finance A Home Purchase
Thursday, March 1st, 2012 at 12:56am. 223 Views, 0 Comments.
Apparently, some lenders have started doing stated income loans again. To some, this is a sign that the home loan crisis might be over. Interest rates are at an all-time low, but there have been whispers that rates will finally start to increase this year. There are still great deals on Marin homes, but prices are starting to inch up. As we head out of winter and into spring, the real estate market usually experiences higher volume, which is another reason to consider buying now.
For alternate financing options, Aaron Augustis, a Marin-based financial advisor at Morgan Stanley Smith Barney, said his company offers loan products that many people aren't aware of. Using the Pledged-Asset Mortgage or the Portfolio Loan Account, home…
Loan Approval Check List: Here's What You'll Need to Get Pre-Approved
Wednesday, February 15th, 2012 at 9:35pm. 176 Views, 0 Comments.
About once a month, a client is referred to me who is not only seeking mortgage pre-approval, but who already has an accepted offer. My surprise is twofold - first, I’m shocked to learn that they actually managed to get their offer accepted and, second, I’m shocked that they would even want their offer accepted without being pre-approved! Entering into a purchase agreement is a serious contractual obligation. As I review their contract, I can hear the clock ticking… financing contingency, 17 days… appraisal, 17 days… close of escrow… all without a clear sense of their ability to close on time or the quality of the financing they are likely to receive.
Today’s mortgage market is extremely demanding.…
Financing for Foreign Nationals and U.S. Citizens Living Overseas
Tuesday, January 24th, 2012 at 10:10pm. 301 Views, 1 Comments.
Although never a mainstream lending program for residential properties, many of the larger national banks used to offer loans for foreign nationals. Amid the major setbacks experienced by the housing and financial sectors over the past few years, most of these loan programs were discontinued. Nowadays, even U.S. citizens living abroad have a tough time securing financing and most foreign nationals eligible for any level of financing will find themselves obligated to put down at least 50% of a property's purchase price. Fortunately, lining-up financing for overseas citizens has improved dramatically and qualified foreign nationals can now secure excellent financing (up to $5 million) with down payments as low as 10%.
With interest rates…
Increased FHA limit to $729,750 - greater purchase power with less money down
Tuesday, January 10th, 2012 at 10:18pm. 299 Views, 0 Comments.
In a welcome reversal to loan limit reductions of $625,500 that were imposed on FHA, high balance, and super conforming loans on October 1, 2011, the FHA increased its high balance limits in mid-November to the former threshold of $729,750. The increased FHA limit should be effective throughout 2012, however both Fannie Mae and Freddie Mac’s high balance and super conforming products currently remain fixed to the lower amount.
The FHA’s higher limit of $729,750 affords borrowers superb financing, especially long-term, fixed pricing with 30-year mortgages currently around 4.0%. In contrast, the conventional high balance and super conforming loans, which cap out at $625,500, have rates of .125% to .25% higher. And, as soon as…
New conforming loan limits for single to 4-unit properties
Wednesday, September 7th, 2011 at 9:08pm. 754 Views, 0 Comments.
Beginning October 1, 2011, new limits will be implemented for conforming and FHA loan sizes. These changes will apply to single and multi-family properties (1 to 4-units) and will result in sizeable loan reductions for many counties. Loans above these limits are referred to as "non-conforming" and will still be widely available. Non-conforming loans, however, generally carry higher rates and are somewhat more demanding with respect to qualifying requirements.
The new maximum conforming limit, often referred to as "high balance" or "super" conforming, will be reduced from $729,750 to $625,500 for single family units in high cost areas. Eleven California counties qualify for this maximum conforming loan amount, including six of the Bay…