The Do’s & Don’ts of Mortgages

If you are considering purchasing a home now or in the future , here is some useful information that will  make applying for a mortgage smoother.

Before searching for your new home, you should always get a pre approval letter.   This helps you know exactly what price range you should be looking in and when you find that home you will be able to present the pre approval letter with your offer.  The RED Team is always here to help connect you with an experienced Loan Officer that will be able to provide you with all the information you need.

Choose a Loan Officer/ mortgage company that offers a simple, streamlined process that helps you obtain your mortgage as efficiently as possible.  One that has the tools to make the loan application process as convenient for you as possible.  Maybe applying  online and uploading your documents electronically is how you would like to apply or maybe you prefer to meet with a Loan Officer in person. An experienced loan professionals will be happy to go over the details of your loan in person.

Our friend Robin Turney with AMC Mortage has provided the list of Do’s & Don’ts.

DO

 Keep All Records in Good Order.

Availability – Keep your financial records

close at hand in case updates are

requested.

Income – Be aware that underwriters

typically verify your income and tax

documents through your employer(s), CPA,

and/or IRS tax transcripts. Hold onto new

pay stubs as received.

Assets – Continue saving incoming account

statements. Keep all numbered pages of

each statement. Ex. 8 of 8.

Gifts – If you’re receiving any gift money

from relatives, they’ll need to sign a gift

letter (we’ll provide) and an account

statement evidencing the source, which

must be “seasoned” funds.

Current Residence – If you’re renting,

continue paying your rent on time and save

proof of payment. If you’re selling your

current residence, be prepared to show

your HUD-1 Settlement Statement. If you’ll

be renting your home, you may need to

show sufficient equity, a lease and receipt

of the first month’s rent and security

deposit.

Keep your credit shining – Continue making

payments on time. Your credit report may

be pulled again, and any negative change to

your score could cause you to lose your

approval and your home.

Understand that things have changed.

Underwriters require more documentation

than in the past. Even if requests seem silly,

intrusive or unnecessary, please remember

that if they didn’t need it, they wouldn’t ask.

DON’T

Apply for new credit – Changes in credit can

cause delays, change the terms of your

financing or even prevent closing. If you

must open a new account (or even borrow

against retirement funds), please consult

with me first.

Change jobs during the process –

Probationary periods, career or even status

changes (such as from a salaried to a

commissioned position, leave of absence or

new bonus structure) can be subject to

very strict rules.

Make undocumented deposits – Primarily

large but sometimes even small deposits

must be sourced unless they are identified.

Make copies of checks and deposit slips.

Keep your deposits separate and small.

Avoid depositing cash.

Wait to liquidate funds from stock or

retirement accounts – If you need to sell

investments, do it now and document the

transaction. Don’t take the risk that the

market could move against you leaving you

short of funds to close.

Ever be afraid to ask questions – If you’re

uncertain about what you need or what you

should do, I’m here to help you through

the process, even long before you intend

to buy.

 

 

amcmtg.com
NMLS# 1058419
Robin Turney

Loan Officer

NMLS # 414224

Cell: (405) 514-4118
Fax: (405) 594-8500
rturney@amcmtg.com
CONFIDENTIALITY NOTICE: This e-mail communication and any attachments may contain confidential and privileged information for the use of the designated recipients named above. If you are not the intended recipient, you are hereby notified that you have received this communication in error and that any review, disclosure, dissemination, distribution, or copying of it or its contents is prohibited. If you have received this communication in error, please notify the sender immediately and destroy all copies of this communication and any attachments. Unauthorized use, dissemination, distribution, or reproduction of this message is strictly prohibited, and may be unlawful.

 

 

 

 

 

 

Credit Tips for First-Time Homebuyers

If you are thinking about purchasing a home for the first time, you may not know that your credit will be one of the key factors in determining whether you are approved for a mortgage and your mortgage interest rate. Your credit score is calculated using five major factors:

  • Payment history – Creditors will look at any utility bills and payments on outstanding loans or credit cards.
  • Amount owed – This is the amount of credit card or loan debt that is outstanding.
  • Length of credit history – This is determined by how long you have held credit on loans or credit cards.
  • New credit – Creditors will make note if you have opened new credit cards or taken out any loans recently.
  • Types of credit used – This is seen as your different kinds of credit, such as credit cards, auto loans or student loans.

Before you begin the home buying process, request a free copy of your credit report and check for errors, which can have a negative effect on your score. If you see any errors, be sure to dispute them. Additionally, try to begin paying off outstanding debts, since those also affect your credit score.

Once you have applied for a mortgage, avoid opening new credit accounts such as credit cards or auto loans until your home has closed. You will also want to keep the balance low on any current credit cards.

I would love to meet with you and have a conversation about your financial goals and your future home purchase.

 

Keys to Scoring a Mortgage

Getting a pre-approval letter will get you ahead of the game, and keeping your credit quiet will help you to the finish line! Here are some other pointers in the “winning the game” of closing on a home with a mortgage!

 

We know that buying a home can be intimidating with so many steps. With a solid team consisting of a real estate professional and a mortgage professional, WE will get you to the finish line. If you have any questions about the process, or if you’re ready to begin the pre-approval process, give US a call!

Rachel Slovacek

NMLS #140681

Weekly Mortgage Update

Has the housing market finally run out of steam?

 Buyers found the lack of available homes too much in April with all major regions failing to show any activity gains.

 The Pending Home Sales Index from the National Association of Realtors was down 1.3% to a reading of 106.4, following two monthly increases including an upwardly revised 107.8 reading in March.

The index has fallen year-over-year for four straight months and was down 2.1% in April compared to a year earlier.

The dip in pending home sales meant the third-lowest level in the past year.

 “Pending sales slipped in April and continued to stay within the same narrow range with little signs of breaking out,” said NAR chief economist Lawrence Yun

The PHSI in the Northeast remained at 90.6, 2.1% below a year ago. In the Midwest it was down 3.2% to 98.5, 5.1% lower than April 2017. In the South it declined 1.05 to 127.3, 2.7% higher than last April. In the West it slipped 0.4% to 94.4, 4.6% below a year ago.

 Mortgage rates, gas prices may dampen demand.

Yun added that the underlying sales data and feedback from Realtors show that buyers demand remains strong and the competitive market means listings are typically going under contract in under a month with increasing incidences of multiple offers.

However, rising mortgage rates and higher gas prices could dampen that demand if the trend continues while supply remains desperately restrained.

 “The combination of paying extra at the pump, while also needing to save more for a down payment because of higher rates and home prices, may weigh on the psyche of those looking to buy,” he said.

 Yun’s forecast for existing home sales for the whole of 2018 is 5.54 million, up 0.5% from last year. Median prices are expected to rise 5.1%.

Ted Clay,
Sr. Loan Officer/Sr. Loan Consultant 

Office: 405.341.8644 ext.102
e-Fax: 866.208.5309

tclay@certaintyhomeloans.com
TedClay.com
NMLSR# 217991
OK License# MLO01963

 
 

Rising Rates!

Who doesn’t want to save a little anywhere they can? I know I do. I want to share a few ways that you can save on your mortgage. With rates expected to climb a little this year, it’s becoming top of mind with many clients. 

Here’s the bottom line: just because you have a loan structured when you first purchase doesn’t mean that it’s set in stone for the life of the loan. There are ways to restructure your loan to pay it off earlier than initially planned, save money on your monthly payment, or to free up funds. Here’s a snapshot of a few options for each scenario. 

Pay Extra to Pay Off Early

There are several ways to pay off your mortgage ahead of schedule. 

 • Pay extra each month

 • Set up bi-weekly payments

 • Make an additional mortgage payment once throughout the year

 • Divide the monthly payment by 12, then add the extra to each month

Recast Your Mortgage

If you want to lower your monthly payment and have the cash to do it, you can recast your mortgage. This means you lower your principal – not the term or your interest rate.

Refinance Your Loan

This is probably the most popular way to restructure a loan. Refinancing is when you’ll replace your current mortgage with a new one at a lower interest rate. The lower interest rate will help lower your monthly payment.

That’s just an overview of these strategies. Remember: every loan and situation is unique, and I’d be happy to take a look at your situation and help you save on your mortgage payment. Give me a call to set up an appointment. 

Have a great day, 
Rachel Slovacek NMLS #1406817

Brief Synopsis Of The Week’s Economic News And How It Affects Real Estate and Rates

Sellers see home profits surge to decade high
Homeowners who made a sale in the last three months of 2017 saw their return on investment hit an average 28.8%.

ATTOM Data Solutions’ Home Sales Report shows that the average profit of $54,000 made by sellers was the highest since the third quarter of 2007; and increased from $53,732 in the previous quarter and from $47,133 in the fourth quarter of 2016.

“It’s the most profitable time to sell a home in more than 10 years yet homeowners are staying put longer than we’ve ever seen,” said Daren Blomquist, senior vice president at ATTOM Data Solutions. “While home sellers on the West Coast are realizing the biggest profits, rapid home price appreciation in red state markets is rivaling that of the high-flying coastal markets and producing sizable profits for home sellers in those middle-American markets as well.”

Profit in this market almost doubled 

Sellers in San Jose saw the largest return on their investment (90.9%) but there were also large gains for other Californian markets: San Francisco (73.3%), Merced (64.6%) and Santa Cruz (59.8%).

Seattle was the only metro outside California to make the top 5 for ROI. Sellers there averaged a 64.4% return.

“The biggest story for the greater Seattle housing market in 2017 was persistently low inventory levels which continued to push home prices higher,” said Matthew Gardner, chief economist at Windermere Real Estate, covering the Seattle market.

US median home price at record high

The US median home price in 2017 was $235,000, up 8.3% from 2016 and setting a new all-time high. Annual home price appreciation in 2017 slowed slightly compared to the 8.5% in 2016.

Ocala, Florida (14.3%); Kansas City, Missouri (13.4%); San Jose, California (13.3%); Salem, Oregon (12.9%); and Nashville, Tennessee (12.5%) were all among the cities with the largest price increases.

 

 
     Ted Clay,
Sr. Loan Officer/Sr. Loan Consultant 

Office: 405.341.8644 ext.102
e-Fax: 866.208.5309

tclay@certaintyhomeloans.com
TedClay.com
NMLSR# 217991
OK License# MLO01963

                 

House vs Home

Happy Friday Everyone!

house (noun)
a building for human habitation, especially one that is lived in by a family or small group of people

home (noun)
the place where one lives permanently, especially as a member of a family or household

Two letters separate the words house and home, but they make all the difference in the world in how we define the dwelling in which we live. A buyer makes the transition between the house and home when we see that smile slowly spread across their face as they walk into each room. Their eyes shine a bit brighter when they start visualizing the life they will build within those walls.

When we think about the holidays, people talk about going home. No matter how long you have a home of your own, going back to the house you grew up in or traveling to the city where you lived is still ‘home’ in your heart. We are part of that journey for so many people. How lucky are we?

As you prepare for Thanksgiving, know that we are always grateful to be a part of these stories of turning houses into homes! If there is anything we can do to help you with the buying or selling process, please let us know. And if you ever have any mortgage needs, Taylor can help you with the mortgage process! We wish you all the best whether you are traveling or staying here for the holidays. Either way, there’s no place like home! Happy Thanksgiving! 

Taylor Ortiz
Sr. Loan Officer
NMLS# 449866
OK# MLO10171
Phone: (405) 509-10642575 Kelley Pointe Pkwy., Suite 180
Edmond, OK 73013
http://taylorortiz.net/

Mortgage Update


WEEKLY UPDATE –  JULY 21, 2017
A Brief Synopsis Of The Week’s Economic News And How It Affects Real Estate and Rates 
 
US median home value just smashed the record
A typical home in the US was worth $200,400 in June, smashing through the $200K barrier for the first time.

The record was set following a 7.4% year-over-year rise in the median home value according to Zillow, as the number of homes available to buy dropped 11%, the biggest drop in inventory since July 2013.

 “The national housing market remains red hot and shows no signs of slowing, even as some local markets like the Bay Area have noticeably cooled,” said Zillow Chief Economist Dr. Svenja Gudell.

He added that even in the cooling areas, tight supply and strong demand is leading to fierce competition.

The fastest-rising home values are in Seattle (13%), Dallas (10.5%) and Las Vegas (10%) while the markets with the biggest drops in inventory are San Jose (40%), Columbus, OH and San Diego (both dropping 33%).

Meanwhile those hoping to save for a downpayment while renting are 1.1% worse off from a year ago. Rents have risen to a median $1,422 with a 5% jump in Seattle, 4.5% in Sacramento and 4% in Los Angeles.

Those would-be first-time buyers in Pittsburgh have seen rents drop 4% while renters in Houston, Miami, San Jose and San Francisco are also among 12 of the 35 largest metros where rent has fallen.

 
 
 
     Ted Clay, WR Starkey Mortgage
Sr. Loan Officer/Sr. Loan Consultant 

Office: 405.341.8644 ext.102
e-Fax: 866.208.5309

tclay@wrstarkey.com
TedClay.com
NMLSR# 217991
OK License# MLO01963