Lending Ladies

Where Is The Balance

lendingladies — Tue, 18 Aug 2009 17:13:35 +0000

Yes, ordering appraisals and receiving appraisals has made a huge impact on the lending industry.

When it comes to ordering an appraisal for a conventional loan, aka Fannie or Freddie loan, Lenders are not allowed to communicate with the appraiser. The Lenders have to use a third neutral settelment company to be in the in between person. Lenders have no idea when the appraisal will come in. It has put delays in loan closings. How is a real estate agent suppose to write up a contract without any communication on dates? One Lender had an appraisal come in with a picture of the Appraiser’s granddaughter as a cheerleader as the home picture! It took 2 weeks with the third neutral party to communicate that this needed to be fixed. Also, non local Appraisers are being selected for appraisals and they do not know the local market. As a result, appraisals are coming in with inaccurate data on value. The good news on a appraisal that is ordered on a conventional loan is it can not be reviewed unless there is suspicous data on there and you must have solid good evidence.

Now when it comes to ordering an appraisal for a government loan such as VA, FHA or Rural, Lenders can communicate with the appraiser. The downfall that many of us Lenders are seeing is the banks are allowed to question and review the appraisal. Therefore, a second appraiser is reviewing the information and being paid on it by the consumer or Lender. My opinion is that if the first appraiser was not good, then why do they hold a license? You should trust a licensed appraisers work the first time around.

You can see there is no balance. For conventional, you can not talk to an appraiser but it can not be reviewed. For government, you can talk to an appraiser but it can be reviewed. All of this is causing delays and ultimately hurting the consumer.

I do see where the government is coming from in trying to stop Lenders from pursuading an Appraiser to increase value. Why not have it where a Lender can communicate but can’t influence? There should be tracking on this.

Grocery Savings

lendingladies — Fri, 31 Jul 2009 13:58:42 +0000

We keep hearing from clients that they want to know how to find all the local savings at the grocery stores. Therefore, we created the information below.

LendingLadies.com recommends you save each link below for your specific region. It is advised that you create your meals around the local savings in your area.

Let us know what other websites you enjoy for savings!

Oregon:

Market of Choice

http://www.marketofchoice.com/index.php?option=com_content&view=article&id=250&Itemid=125

Fred Meyer

http://services.fredmeyer.com/mapquest/storesearchadvanced.aspx

Albertsons

https://shop.albertsons.com/eCommerceWeb/LandingPageAction.do?action=begin

Safeway

http://www.safeway.com/IFL/Grocery/ViewSpecials?contentURL=http://safeway.inserts2online.com/storeReview.jsp?drpStoreID=420&showFlash=false#iframetop

Colorado:

Sprouts

www.sprouts.com

Sunflower Market

www.sfmarkets.com

King Soopers

http://kingsoopers.inserts2online.com/customer_Frame.jsp?drpStoreID=44

Safeway

http://www.safeway.com/IFL/Grocery/WS-Store-Results?contentURL=http%3A%2F%2Fhosted.where2getit.com%2Fsafeway%2Fweekly720.html%3Fform%3Dlocator_search%26search%3DGo%26addressline%3D80524%26form%3Dlocator_search%26banner%3Dsafeway%26env%3Dwww%26hostname%3Dwww.safeway.com%26&zip_text_input=80524

Albertsons

http://albertsonsmarket.com/specials/ads.php

If you want to know how to save money on your mortgage, contact LendingLadies.com today at 866=640-LL4U or family@lendingladies.com.

States Our Team Can Assist

lendingladies — Wed, 08 Jul 2009 23:49:50 +0000

LendingLadies.com is a Mortgage Banker and Mortgage Broker. Therefore, we do have some team members who can originate loans in the states below. Please let us know if we can be of assistance in the following states:

Alaska

¨ Arizona

¨ Arkansas

¨ California

¨ Colorado

¨ Florida

¨ Hawaii

¨ Idaho

¨ Missouri

¨ Montana

¨ Nevada

¨ New Mexico

¨ Oklahoma

¨ Oregon

¨ Tennessee

¨ Texas

¨ Utah

¨ Washington

¨ Wyoming

Updated Information on Credit Scores

lendingladies — Mon, 06 Jul 2009 19:05:19 +0000

Yes, each of the 3 credit bureaus have what is called a credit scoring system. If your credit score is low, it will result in a denial or higher interest rate loans. As a result, it can make life much harder. The information below is for guidance and is not a guarantee. All of us at LendingLadies.com feel you should be aware of this information, since many do not realize how a few changes can have a large impact on your credit score.

Some people were adding authorized users to their credit cards to allow assistance in building credit scores up. This no longer works unless it is an immediate family member.

If you have a really old credit card with a good history reporting, it may be wise to re-evaluate on opening up the exact same credit card. The 3 bureaus like to see a credit card that is used once in awhile that has been open for a long time. If the exact same card is re-opened, sometimes it will still show the original date it was opened up, therefore showing a longer history.

Having a good mixture on your credit report is important. The first item that assists in building a good credit score is a mortgage, then an auto loan, then installment loan, then a credit card. It is advised to have 1-2 credit cards. It can hurt to have a loan that is from a finance company. Sometimes the zero down, zero interst loans are considered to be from a finance company.

When it comes to credit cards, you want to try and keep at least 70% available per card. For example, if you have a $10,000 credit card, you want to try and keep $7,000 available. We have seen clients come in with a great credit history but did not follow this rule. As a result, their credit scores were low and they did not obtain the best interest rate possible.

Collections and any late payments will have a negative affect on your credit score. When we say late payment, we mean any payment that is over 30 days late. You may still have a late fee but it should not be reported on your credit report. Recently, they have been stating that a collection under $100 will not have a large impact.

Judgements and tax liens will hurt a credit score. Tax liens can even be looked upon as worse than a bankruptcy.

All of us at LendingLadies.com hope you find this information helpful or educational. Please do pass this on to your friends and family.

LendingLadies.com

866-640-LL4U

Timing a Closing

lendingladies — Thu, 02 Jul 2009 20:53:10 +0000

There are new laws in effect this July and it impacts every real estate transaction in the United States. It is important for you to know this information as we are coordinating timing on a closing.

The first one is if a client does not lock in an interest rate until the end, a closing can not take place until after 3 days of the lock if it differs at all from the initial Good Faith Estimate.

If any fees change and has an .125% impact on APR, then a closing can not take place until 3 days after the new costs are disclosed.

A closing can not take place less than 7 days.

An appraisal must be received by the client 3 days before the loan closing.

An appraisal can not be ordered until 3 days after a loan application.

It has been interesting to hear of the stories on the new appraisal law. It is being evaluated to put the new HVCC law on hold due to the negative impact for consumers. It has been difficult to time a closing without knowing when an appraisal will come back in. So far we have been ok and fine on our closing dates but I have heard of many other companies having complications.

On a positive, fantastic note, LendingLadies.com will continue being a broker and will be a bank. This will allow underwriting at 24 hrs (it can change but this is the current time) if a loan closes with the bank. We still have the flexibility of shopping interest rates and programs that the bank will not close on. We can close all loans! In order to keep this service up, we need your continued support in referrals. We want to thank you in advance for your current and future referrals.

All of us at LendingLadies.com hopes that this information helps you in your business. Please advise if there is anything we can do to help you further.

866-640-LL4U

Upcoming Presentation

lendingladies — Fri, 26 Jun 2009 01:34:37 +0000

Please see the ad for an upcoming presentation that LendingLadies.com will be presenting at.

Attention Home Sellers! Are you curious about what factors to focus your energies in getting your real estate sold. I’ve narrowed down my own marketing plans to 4 major factors to consider. They are… Marketing Effort, Price, Condition, and Location. If you pay close attention to each one of these factors, then I can assure you that you’ll be in a better position to sell for the most money in the least amount of time.

You are invited to The Home Seller Academy class being held at the RE/MAX Action Brokers this July 7th from 6-7pm. Its FREE and you’ll have the opportunity to hear from speakers Debby Myers with Security Title and Jessica Peterson with Lending Ladies. Ever wondered what Title Insurance is about and how much it costs? Would you like to screen buyer leads with a lender you can trust? Make the connections you need to get the deal done! This month’s class is titled: “4 Factors That Sell.” All attendees will be offered the opportunity to list their home on my website: www.FortCollinsHomeSource.com FREE for 1 month. Thats right… this is the opportunity to save thousands on commissions and not have to pay a Seller Agent! Please call 970-219-8595 to RSVP.

Changes coming in Lending

lendingladies — Mon, 22 Jun 2009 22:25:31 +0000

The revised provisions under Reg. Z implements the Mortgage Disclosure Improvement Act (MDIA), which was enacted as part of the Housing and Economic Recovery Act of 2008. The MDIA expands the amendments of the reg. Z changes and requires that creditors must give “early disclosures,” including a good faith estimate of costs, within three business days after receipt of an application and before any fees (except credit report fees) are collected. The MDIA broadened this early disclosure requirement beyond the Fed’s pending rule to include loans secured by dwellings other than the borrower’s principal residence. The rules also implement the MDIA requirements that creditors must provide early disclosures at least seven business days before consummation of the loan, and that creditors must provide revised disclosures and wait an additional three business days to close the loan if the APR initially disclosed changes beyond a specified tolerance. The rules allow a consumer to waive this waiting period in the case of a bona fide emergency. The new disclosure requirements become effective July 30, 2009. The other amendments to Regulation Z adopted by the Board last summer become effective October 1, 2009.

Note that there are other RESPA changes that become effective January 1, 2010 as it relates to the implementation of the new GFE and HUD-1/1A, unless stayed by legislation.

Tax credit might be increased to $15,000

lendingladies — Fri, 12 Jun 2009 22:02:19 +0000

Yes, the rumor has it and it is true that the government is looking at increasing the first time homebuyer tax credit to $15,000. The good news is they are looking at excluding income restrictions and it does not have to be your first home. It does need to be your primary home. Please see some common questions at http://www.usnews.com/blogs/the-home-front/2009/02/06/the-15000-home-buying-tax-credit-6-things-to-know.html

Please do pass this on to all of your friends and family. As always, LendingLadies.com is here to help you!

FHA Okays First Time Homebuyer Credit

lendingladies — Fri, 29 May 2009 21:14:36 +0000

FHA OKs First Time Homebuyer Tax Credit Advances – Buy Now; Pay Later

(And we think they mean it this time…)

In case you hadn’t heard, HUD issued Mortgagee Letter (ML) 2009-15, “Using First-Time Homebuyer Tax Credits for the Downpayment” on May 11, 2009 only to pull it from their site the same day. Needless to say there was much rumor and speculation about the whys and what-fors but they have now re-issued the ML and here’s what’s going on….

This isn’t a new concept for some of you. At least 10 states have enacted some form of “Tax Credit Advance” legislation. They offer secondary financing and/or short-term loans to get the $8,000 tax credit provided in the American Recovery and Reinvestment Act of 2009 to the homebuyer BEFORE closing to use as downpayment and/or to cover closing costs.

What’s new is FHA is playing catch up by finally defining:

WHO can offer secondary financing or purchase the tax credit; and
HOW the loans work.

A little scary since the horse has been out of the barn for awhile, but okay.

FHA has determined that there are two ways to assist homebuyers who are eligible for the tax credit:

Secondary Financing OR
Purchase of the Tax Credit

WHO is eligible to offer the assistance:

Federal, state and local government agencies
Non-Profit Instrumentalities of government
FHA-approved non-profits
FHA approved mortgagees

HOW Secondary Finance works:

No cash back to borrower.
Loan amount can’t exceed total needed for downpayment, closing costs and prepaids.
Secondary financing may be “soft” (silent) OR require monthly repayment.
If payments are required, they must be included in ratios.
If payments are deferred , the deferment must be at least 36 months in order to exclude the payment from qualifying ratios.
If the tax credit advance loan has a short term for repayment and the borrower fails to repay by the designated deadline, principal and interest payments begin automatically or the loan converts to a “soft” second.
No balloon payments before 10 years.

HOW the Purchase of the Tax Credit Works:

Proceeds of the sale of the tax credit may not exceed the anticipated tax credit due.
Borrower must sign certification that tax credit is not subject to offset of other debt.
Copy of form IRS 5405 must be retained in the case binder.
Costs associated with purchase cannot exceed 2.5% of anticipated credit.
If the FHA approved mortgage purchases the tax credit the proceeds cannot be used for the 3.5% required downpayment. Only for closing costs, additional downpayment, or buydown of interest rate.
HERE’S THE KICKER: The same rule stated above applies if the tax credit is purchased by the SELLER or any entity that financially benefits from the transaction.

HEREIN LIES THE CAN OF WORMS!!! (and the huge difference from the original ML that was issued.)

FHA is quietly admitting that this is an asset for sale and not just the “approved” entities can purchase an asset. Almost anybody can purchase the asset. They also ‘get’ that they’ve opened a Pandora’s Box because they go on to explain how there will be special monitoring information that has to be entered into FHA Connection including:

Name and EIN of the party who purchased the tax credit
Amount of anticipated tax credit
Amount the homebuyer paid in fees

They also threaten:

Non-FHA approved entities who charge excessive fees will be referred to the Federal Trade Commission and State Attorney General office.

Stay tuned as we expect to hear more.

Finance Webinar

lendingladies — Wed, 27 May 2009 15:04:44 +0000

Tonight there is a last minute webinar that I strongly recommend you call in on. This new technology has been fantastic in my own personal financial decisions. Please view part of my invitation below.

Thank you for your interest in Wealth in Motion. Your attendance is confirmed for the seminar tomorrow, being led by Mike Welker, President, America’s Premier Real Estate & Financing School, in Salt Lake City, Utah. Mike will lead a discussion and present ideas to increase the growth of financial resources, using a financial modeling process called Wealth in Motion.

We have two webinars scheduled for your convenience, one at 12:30pm (MST) and another one at 7:30pm(MST). If your plans change and you cannot attend the webinar that you signed up for, please attend the one that is most convenient for you.

The link for the webinar is: http://joingotomeeting.com and then input the code 337-558-578

The webinar is enabled for VOIP, meaning you can connect through your computer, using your headset/microphone. If you do not have a headset, you can join the conference call at 712-432-3000, bridge line 234117.

If you should have a problem, please call my office number at: 970-232-3119.

Debra Beasley