Opt-out of Credit or Insurance Offers

Have you ever received a phone call on the same day your credit was pulled? This may be what is called a trigger lead. Your opt-in status alerted a creditor that you may be interested in applying for credit. Mortgage loans have the same system as credit cards, auto loans, and insurance. We know it’s frustrating for borrowers to receive phone calls and that can be changed with an opt-out.

There is a way to stop the phone calls, junk mail, and unwanted solicitation of credit offers. Opt-Out Pre-Screen Offers a breakdown of both pros and cons to receiving solicitations and completing nixing them. Read the full article here.

The main benefit of receiving credit offers is comparison shopping and receiving the lowest rate and consumer-friendly program possible. On the flip side, it may be burdensome and overwhelming to receive offers when you’ve made a choice to move forward with a particular company or organization.

Tips for Opting In to Credit or Insurance Offers

1. Review the fine print. APR’s can be hidden in the wording and cost more down the road

2. Annual fees. Many credit offers have annual fees billed right to your account. These are sometimes referred to as hidden fees.

3. Good Faith Estimate. Home loans pre-qualifications are a prime example of trigger solicitation. You credit may have received a soft inquiry from an existing mortgage lender and several solicitations were sent. Or you may have applied for a mortgage refinance and received both calls and mailed solicitations. Getting a breakdown of the cost and fees associated with the offer is imperative.

Review your credit with a free credit report at Annual Credit Report. Click here to access the free report today. Credit bureaus can be contacted online or by mail for disputes and challenges. Your credit score is directly tied to the interest rate offered and knowing the score can save you time and money when you’re ready for a purchase or refinance.

One Time Close Land-Construction-Permanent Financing

In a seller’s market, we have a lot of borrowers consider purchasing land for new stick-built construction or manufactured homes. How does this work and what are some of the highlights and pitfalls? Read below to find out more about our One Time Close Construction to Permanent Loan.

We offer a One-Time Construction to Permanent Loan that offers the advantages of a low interest rate and one loan from start to finish. The loan is for conventional financing, FHA and VA and also includes stick-built or manufactured homes. This really assists borrowers with costs along the way.

Most lenders will not lend on land alone without collateral like a house, either manufactured or stick-built. We do have some resources to refer to if a land purchase comes first before the house construction or placement.

Manufactured Home Financing

With the purchase of land, it’s very similar to a stick-built home, hopefully without the wait. Competitive interest rates and preferred Manufactured Home Builders are available to get you started today!

FHA Financing is available at only 3.5% down payment. An affordable option in a tough market for buyers seeking entrance. Whether your plan is short or long term, jumping in now may benefit you down the road, having a place to call your own.

Let’s talk about how our programs may assist you!

Cash-out for College

As families prepare for time together over the holidays, they may be thinking about college for their soon to be graduated high-school student. There are several options for financing a college education that may include utilizing equity in your home while rates are historically low.

Refinance with Cash-out

It is common to refinance and take equity out of your home in the form of cash-out. Interest rates are at all time lows and it’s still a great time and opportunity to utilize equity to invest in your child’s college plans. Some highlights of refinancing with cash out include the following:

• Accepting current low rates and historically high values. Your loan to value ratio, credit score, and debt-to-income ratio will all factor into the interest rate.

• Possible tax advantages. There may be tax advantages to utilizing the equity in your property to fund college tuition and other expenses such as housing and books. Consult with your Certified Financial Planner or Certified Public Accountant on your scenario.

• Assisting your student navigate the books with less financial stress from student loans. Comparing current student loan interest rates and 30-year fixed mortgage rates to fact check the pros and cons may be worth the effort, especially as interest rates are very low.

Home Equity Line of Credit

Some advantages to a Home Equity Line of Credit (HELOC) include the following:

• Only pay on what you use. Not sure how much tuition, books, and housing will cost? A Home Equity Line of Credit allows you to only pay on what you use.

• Access to your HELOC with checks, debit card, and cash-advances in the bank branch or online.

• With appraised values higher in most neighborhoods throughout the nation, taking out equity has never been easier and interest rates lower. Maximizing equity to fund college, may be the best option while it’s still available.

Consult our mortgage team on how these options may best serve you and your family. Contact us on the confidential form below.

Your Loan Questions Answered

Home Sweet Home-California Mortgage Loans

Read some of our most popular loan questions answered below:

1. How long do we need to wait to refinance after a forbearance? Great question. Top lenders with competitive rates require 6-12 months. There are lenders that will allow a refinance as long as the forbearance balance is paid up before closing on the new refinance.

2. Are lenders still requiring multiple employment verifications? The short answer is, yes. Due to the unprecedented pandemic, employment and income are being checked a few times during the course of the loan process. Speaking with your Human Resources Department ahead of time may save time and energy.

3. Do I need a Profit and Loss Statement if I receive a 1099 or I’m self-employed? Yes. Lenders do require this. It’s a Fannie Mae and Freddie Mac guideline. We also need two most recent and consecutive months of bank statements for the business.

4. Will interest rates drop more after the election? We get this one. A lot! If we had a crystal ball…Here’s some history on it from The Mortgage Reports. Click here. It really depends on other factors in the economy. Say a pandemic…Click here to read Fed Chairman Jerome Powell said at the Fed Chair meeting last week.

5. How long will my purchase or refinance take? We are closing both in less than 22 days. Rates are historically low and worth a look if they will save you money.

What other burning loan questions can we answer?

VA Home Loan Rates Are Historically Low

With interest rates at historic lows, VA Home Loan rates in San Diego are hovering in the low-mid 2% range. It’s a great time to use a first time VA Certificate of Eligibility or a streamlined refinance or IRRL. With no private mortgage insurance, there has not ever been a better time to afford a new home purchase or reducing an existing interest rate and payment.

Top 3 Reasons to Purchase or Refinance with Your VA Loan

1. Very low interest rates means more affordability. Lock in now while VA interest rates are low. Afford more home with a purchase or save money on refinance.

2. Pay-off your home loan sooner than anticipated. Stretch your dollars further by purchasing or refinancing now and making additional payments to principal or taking your payment and dividing it in half every month. There are ways to save interest and pay-off the loan faster (if that’s your goal) or utilize those extra dollars towards something else.

3. Although we anticipate rates to remain low for some time, locking in now will ensure your affordability and rate for the future.

Start looking now. With interest rates at historic lows, there is a great demand to purchase. Working with a real estate agent and loan officer that understand the market conditions and can help navigate you through your purchase or refinance is invaluable. Shop around and find competitive interest rates that suit your budget.

“Leadership and Learning are indispensable to each other. ”

— John F. Kennedy

FHFA Fee Coming Soon! Lock Your Refinance Now

The FHFA fee being rolled out by Fannie Mae and Freddie Mac is happening, with many lenders already tacking on the fee and passing it on in the form of higher interest rates to refinance borrowers. One of our top lenders is holding off on adding the fee until October 1st. We have until September 30th to get interest rates locked and move the file into underwriting.

Read more about the FHFA fee and why it is being passed to lenders and ultimately borrowers. Click here.

Top 3 Reasons to Refinance Now!

1. Interest rates are historically low. This chart shows interest rates over the past years. Click here to view chart.

2. Cash-out. Get it now while your home value is still high. Use it for home improvement, debt consolidation, buy out solar (if it makes financial sense) and student loan pay-off to name a few.

3. Pay-off your home sooner. With interest rates this low, you may be able to make additional principal payments and re-amortize your loan to pay it off earlier saving a ton of interest.

Prepare for your refinance ahead of time with this short checklist. Being ready to go will help you and your lender navigate you through the process quicker and more seamlessly.

• 1 month pay-stubs. Update your Human Resources department regarding the verification of employment. This has been a hot topic during COVID.

• 2 months bank statements. Any large or different deposits or withdrawals? Be prepared with a letter of explanation. The lender will want to trace the funds.

• Copy of your Driver’s License and Social Security card. The lender wants to know that it’s you! Security and accuracy are expedited with these items.

• Tax Returns-Request your CPA send them electronically if they can. Most have encrypted, secure email servers to send to the lender.

Talk to your loan officer about ways to save more money through additional bi-monthly payments by providing an amortization schedule. Lock in a great rate today!

1.99% 30 Year Fixed

It’s no secret that interest rates have dropped to historic lows. Given the Covid-19 pandemic and it’s the effect on the world, economies embrace a new normal. Forbearances are down currently, however, extensions on existing forbearances have risen. A sign of what’s to come? Read more here. As the United States braces for a presidential election, the market impatiently waits.

If you are in a position to refinance or purchase a property, interest rates have not EVER been better to do so. We are currently in a seller’s market as inventory in California is low, especially in markets like San Diego.

If you are in a position to refinance or purchase a property, interest rates have not EVER been better to do so. We are currently in a seller’s market as inventory in California is low, especially in markets like San Diego. The average median price of a Single Family Residence in San Diego is $635,000.

Current San Diego Market Statistics for August 1-August 7th:

Median Price for a Single Family Residence: $635,000

On the market: 4572

New Listings: 929

Pending Sales: 1019

Data: SDAR August 2020

Some considerations on a refinance or purchase in the current mortgage market:

1. Employment and Income-Lenders are verifying employment 2-3 times during the course of the loan process. If your income has been affected by Covid-19, let your loan officer know as soon as possible.

2. Solar and 2nd mortgage liens-Let your loan officer know well in advance if you have solar or a 2nd mortgage loan. They need time to submit paperwork on these items to be subordinated. Lenders are on overdrive right now and paperwork processing these items is taking up to 2 weeks. Preparation is key here.

3. Rate locks-Being mindful of when and how long you lock your interest rate for is incredibly important. A checklist or timeline is helpful so you can track your loan progress.

4. Communication-This is key to your transaction. Work with a professional that communicates effectively and regularly to keep you in the loop.

Interest Rates Drop Below 3%

Historically low rates prompt surge in refinances.

Interest rates dropped to historic lows this week as the Federal Reserve vowed to keep the federal rate at 0 for the foreseeable future. Among fears of a second wave of Covid-19, the stock market dropped and increased bond purchasing which lead to lower interest rates.

If you’ve been on the fence about refinancing or purchasing a home, now is the time to lock in a very low rate. Contact a mortgage loan consultant and review your options. There may be adjustments to the interest rate for condominiums, 1-2 unit properties, non-owner occupied rentals, and self-employed borrowers seeking a NonQM loan for using business/personal bank statements.

“It takes 20 years to build a reputation and five minutes to ruin it. If you think about that, you’ll do things differently.”

— Warren Buffett

Articles to read on finances and the economy:

Bank Rate-Click here

The Balance-Click here

The Conference Board-Click here

Kiplinger-Click here

We offer a free home value estimate and free mortgage review. Click here to contact us today!

Mortgage Loans and the Coronavirus-Random Thoughts and Shares

As a mortgage broker for the past 15 years, I know that the housing and mortgage market go up and down, especially in uncertain times. Now is the best time to consider working on saving for a home purchase, an investment, or refinancing your existing loan. Interest rates are low and although the lender guidelines are a bit tighter with furloughs and lay-offs, it’s still a great time to get a mortgage loan.

Mortgages/Financial

Forebearance is up. The request from borrowers to delay their mortgage payments is up 2,000%. Do you need to delay mortgage payments. There may be assistance from your lender if you do. Click here to read more.

Personal Finance classes. Free on YouTube offered by Ameritrade. Click here.

Intuit free educational online programs. Click here.

Real Estate

Housing markets most impacted right now by the Coronavirus. Click here.

Stay connected through San Diego Association of Realtors, Real Estate Connections page with real estate news, COVID-19 updates and the impact on buyers, sellers, and real estate agents today. Click here.

The current median price for a house in San Diego County today is $585,170. Week of March 27th-April 2nd, 2020.

Coronavirus Shares

The difference between furloughed and laid off. Two different meanings. Click here to read more.

Want to take a virtual trip to some of your favorite historic monuments. Click here for more details on traveling from home.

As a mortgage real estate broker for nearly 15 years, we are here to answer your questions and assist with your loan scenarios. Contact us today!

Music, Activities, and Mortgage Loans Amid COVID-19

Photo credit: Adrian Korte

While many of us worldwide are under home quarantine I’ve been dusting off and playing records, which for me feels like visiting old friends. Music has a way of soothing the soul and it’s a nice reprieve from the daily Coronavirus news. Take a look at the way so many organizations are placing music, art, activities, and yes, mortgage loans out for us to access amid the COVID-19 pandemic.

Music Resources During COVID-19

New York’s Lincoln Center is offering “Lincoln Center at Home” to keep the arts alive. Click here to view their daily schedule.

Andrea Bocelli Will Perform Live from the Duomo in Italy this Sunday, April 12th, 2020. Click here for more details.

Watch an opera from the Sydney Opera House. Click here to learn more.

Photo credit”: Aleksander-vlad

Activities During COVID-19

Livestream the Northern Lights. If you’ve ever wanted to visit, now’s your chance! Click here to stream them.

These museums are giving virtual tours. Click here to take your tour.

Free Kindle Books with your library card. Click here to learn more.

Photo credit: Alexander-mils

Mortgage Loans During COVID-19

If you are experiencing uncertainty in your employment and/or income, your mortgage lender may be offering a forebearance or an option to give reprieve on your payment. Contact your mortgage servicer today. This article helps to explain in further. Click here to read more.

Looking to protect your credit during the Coronavirus? Click here to read one of the top three credit companies, Experian give tips on how to protect yourself during this time.

Should you refinance your mortgage now? Click here for Equifax tips on this.

Consult a mortgage professional on your purchase or refinance and check with lenders on their guidelines and overlays during COVID-19.

Applying for a Mortgage Loan Amid the Coronavirus

Precondo-ca

As many of us shelter in place with stay at home quarantines amid the coronavirus health pandemic, interest rates are still at all time lows and worth considering if you can swing the extra steps and can qualify based on your current income.

Here are some updates as of this post. The information continues to evolve and change as lenders figure out this new normal. Consulting a mortgage professional will give you more clarity on your specific scenario.

4 Updates on the Mortgage Loan Process During Coronavirus

1. Assess your current mortgage loan rate and any debt you want to consolidate or house projects you may now have the time to complete. Many borrowers are refinancing to interest rates in the 3% range to reduce their current interest rate and save on their monthly payment, consolidate debt, or pull cash out to complete home remodeling. Discussing this with a mortgage professional will help you determine if the rate and costs will benefit you.

2. Be prepared to verify your income again and again and yet again. Unfortunately with the health pandemic plaguing the world right now and market instability, the lender wants to ensure their investment in You AND the home. They will contact your payroll and/or Human Resources department to verify your employment and income several times throughout the process. Patience is key as we all navigate this new normal, together.

3. Appraisals-The lender may complete an interior appraisal, especially if you are getting cash out. Cash out is also considered when paying off credit cards, loans and other debt. Ask your loan officer about this upfront. Our company is giving our borrowers, COVID-19 Protection Kits that include as many items as we can to protect the appraiser and our borrowers. Stay safe. Stay healthy.

4. Stay current on your existing mortgage loan payments. This is important during normal market conditions and very important now amid our current environment. The lender wants to see you have the ability and willingness to repay your existing loan.

We offer free mortgage loan quotes, amortization schedules and are available to answer your questions! Contact us at (619) 520-8810 or email.

Mortgage Lending Amid COVID-19

Photo credit: Tierra Mallorca

Global Pandemic Forces New Mortgage Guidelines

We are 3 weeks into homeschooling and working remotely in our home and like many families, we’ve had some time now to adjust. To find out what works and what doesn’t and make corrections along the way. It’s been a process and something tells me we will continue to make tweaks as this unfolds for all of us.

The mortgage market has experienced volatility over the past several weeks like I’ve not seen before in my 15 year mortgage career. The stock market crash this month was historical and I witnessed interest rates plummet, then rise, and fall again, enough to give us all whip lash. Multiple interest rate changes daily amid Coronavirus news reports and trying to analyze and sort through it all and have conversations with borrowers literally by the moment as a play-by-play. I thought it would be helpful to borrowers to have a frame of reference when submitting their loan applications in our current environment. This is subject to change, however, we are working off of these parameters with many lenders at the time of this article.

Lender Overlays Amid COVID-19

1. Prepare to have your verification of employment checked 2-3 times at a minimum. Lenders are completing the final verifications of employment the day of funding your loan and must have either a verbal or written verification in order to release funds to close. Preparing ahead of time will greatly help the process. Have your point of contact for the verification in place if the WorkNumber or other electronic responses are not available.

2. Loss of Employment or Income will be factored in. Being transparent with your loan officer can save everyone time and energy. If you know your income or hours are going to be reduced, let the loan officer know as soon as possible. Paystubs are required to be at least 30 days new in order to fulfill the prior to loan document condition. In some cases the standard conforming, conventional 43% debt-to-income ratio may be reduced to 40% and/or require additional assets/reserves for qualify. Each lender is different and have their own company overlays.

3. Appraisals and Notaries-Full interior appraisals are often required on cash-out refinances. If your refinance loan is a cash-out, let the appraiser know when they contact you that you want them to follow the Appraisal Management Company guidelines which include protective clothing, gloves, and a mask. Notaries are performing their notaries on borrower driveways, front and back yards, placing the paperwork on the table and stepping away. They may be wearing gloves and a mask. Bring pens (black or blue ink) for signatures and hand sanitizer or wipes.

This list is not exhaustive. Check with your loan officer on lender requirements that may affect your loan process. We are here to answer any questions and help guide you through the loan process during your mortgage financing and COVID-19.

We are all in this together!

WomanUP!® Conference in Coronado

I was invited to speak at the 2019 California Association of Realtors WomanUP!® Conference in October and to share my story on leading a brokerage with purpose and giving back to the community. As the founder of the non-profit, The Wildflower Initiative, a 501(c)(3) purposeful organization committed to empowering women and children through literacy, the experience at the conference was truly inspirational and amazing. I love being a part of my community and finding meaningful ways that speak to me to give.

Here’s a quick 2 minute read of my blog post for CAR’s WomanUP!® Blog is below.

Nothing like an impromptu dance party

I’m still in awe of my time at the WomanUP!® Conference this year and I’m very grateful for the opportunity to share my story among so many incredible women. I mentioned in my panel talk, it took me 40 years to find my purpose. 40 years! For me, nothing has come without tremendous effort, persistence, and honestly, a lot of blood, sweat and tears. I’m an introvert by nature but I also recognize this is my one precious life.

Participating on a panel of women that are also driven by a purpose to give and serve their communities was nothing short of inspiring. We formed a sisterhood that felt like a warm and safe place to share our experiences. Authenticity is one of my biggest values and this WomanUP!® community delivered a genuine and authentic experience for me full of laughter, tears, and a lot of hope that we will continue to show up for each other in meaningful ways like mentorship and friendship.

Tiana Uribe at the 2019 WomanUP!® Conference in Coronado. The California Association of Realtors.

Something we discussed on our panel was the impact of loss on our lives and how from it, we’ve grown as individuals and found purpose in the non-profits we contribute too. When Melissa Sofia and I were sitting in the green room, a bit nervous before our panel took the stage, two birds flew in and we looked at each other with awe and excitement that this was a sign from our loved ones. We are not alone. This WomanUP!® Conference of incredible women connecting, sharing, inspiring, and empowering one another was a gift that we are not alone.

We have an entire community of women at all stages and seasons of life to learn and grow from. Also, never underestimate a good break out dance session before any event where you need to channel all the positive energy and vibes you can bring. The impromptu backstage jam with Christine George, Melissa Sofia, Elisha Alcantara and Nina Dosanjh was epic!

I mentioned in the panel, Leading with Purpose, my intentions for the future include growing our non-profit, The Wildflower Initiative’s financial literacy program for women and I cannot wait to bring all the goods to WomanUP!® 2020! Walk the talk. Take good care!

With love and gratitude,

Tiana Uribe

Tiana founded TRU Financial Services, Inc. in 2005, a company providing wholesale mortgage and real estate services. Tiana is a licensed California broker and has served as president since inception. She has lead the company through several real estate cycles closing over $300 million in real estate and mortgage sales. In 2015, Tiana founded and is the Executive Director of The Wildflower Initiative, a nonprofit organization with a mission to empower women and children through literacy. She holds a Master of Science Degree in Marketing and is an avid reader. Tiana serves as a commissioner on The Status of Women and Girls in San Diego County and is a member of Mana San Diego, a nonprofit empowering Latinas through education, leadership development, advocacy, and community service.

Quick San Diego Housing Market Statistics

The San Diego housing market is still in short supply with roughly 2 months of inventory available. Interest rates are still very low and it’s a good time to refinance to lower your rate or pull cash out for home remodeling and debt consolidation. Easy and quick, no obligation review of your home loan rate. Click here.

FREE home value evaluation will keep you informed on your home’s market value.

Can You Afford An Investment Property?

When lenders crunch numbers on qualifying borrowers for a mortgage loan for an investment property, they consider 75% of the property’s rental income. The 25% vacancy factor is for unforeseen costs like changeover with renters, new appliances, maintenance, and more. If the rental amount received monthly does not cover the mortgage payment, the negative amount is offset by reducing the borrower’s income.

Example:

Mortgage payment including property taxes and homeowner’s insurance-$2,500

Rental amount received monthly: $2,800

$2,800 x 25%=$700. $2,800 - $700-$2,100

$2,100 is the amount the lender will use to qualify the property and borrower.

$2,500 full Principal, Interest, Taxes, and Insurance (PITI) - $2,100 (rental income)=$400

$400 reduction to borrowers income

Buying investment property can be daunting and frustrating as the lender’s qualifications can feel strict and uncompromising. However, they are taking the majority of the risk to lend on the property most borrowers would risk losing if push comes to shove. They will keep and maintain their owner-occupied home and forfeit an investment first.

Property Management Companies take a commission to maintain rent collection, credit inquiries, and accounts receivable and payable. Read the reviews, ask around and comparison shop to find out the range of fees for their services in the location you’re purchasing.

Pairing up with a partner, friend, colleague, family member to mitigate the risk is an option. Set out a plan in advance and stick to it in writing. It helps all parties involved in case things go sideways or a disagreement arises. Have a trust for each of you to delegate the portion you each hold and maintain and where you want your portion to go if one of you becomes sick or incapacitated or passes away. Set it up ahead of time to avoid pitfalls after the fact.

Talk to a licensed professional and ask for feedback and data before jumping in. There are thousands of real estate agents and mortgage consultants. Find one that you feel comfortable asking all the nitty, gritty questions and that you feel comfortable with. It’s important.

Creating Wealth Through Real Estate

4 Ways To Purchase An Investment Property

I’ve heard a lot of reasons why not to purchase. How about flipping it around to reasons to purchase? How do investors grow their income property investments? Some of these may sound simple and they are but what might not be so simple is the self-discipline to not only start but execute.

1. Pay-off All Your Debt-Paying off current debt, think credit cards and auto loan payments will assist you in qualifying for more with lenders. In addition, freeing up your debt leaves available to absorb any unforeseen issues that may arise with purchasing an investment property. A home inspection and home warranty only cover the surface. Have a cushion of funds set aside for an emergency for the property.

2. Join Collective Forces-Have a family member or friend willing to partner up? In high-cost areas like San Diego, Los Angeles, and San Francisco, yes all in California, the median detached home price exceeds $600k. It has become increasingly harder for millennials to enter the market with not enough savings and lacking the creativity to put their credit and money to work for them. Partnering can help both parties as they pay down the mortgage together and earn equity as the property value increases. Have a short and long term plan. Can you rent your room in the house if things go south with the partner(s)? What is the market forecast for over 3-5 years? Make sure you have an agreement in writing and a trust in place for each of you. Consulting professionals can save you a lot of time and money along the way.

3. Buy Smaller Live in and Rent Out-Buying a property with the intention of eventually renting it out could be a win-win as you step up in the market. Set up a free consultation with a mortgage professional to understand the full payment and the estimated rental market in your area.

4. Buy Somewhere Besides California-Property values in high-cost areas like California make not be the best fit for a first-time investment property. What would it look like to purchase in another state and pay a property manager to manage it? You can also work with a California real estate agent that refers you to another agent in their network in a different state.

“Your future is created but what you do today, not tomorrow.”

— Anonymous

Think outside of the box and get creative. Wealth building is a self-disciplined, time-consuming, and sometimes costly endeavor. Consult with a real estate and mortgage professional to crunch numbers and gain a realistic view of your options. We’re here when you’re ready!

California Housing Update

According to the California Association of Realtors, the median price to own a home in California as of August 2019 is $617,410. In San Diego the average price for a single family residence in August 2019 was $645,000.

Articles on the housing market in California

AirBNB pledge $25 million to support affordable housing and small business. Click here to read full article.

2019 Mid-year market forecast from The California Association of REALTORS. Click here to read full article.

How the Fed rate cuts affect you. Click here to read full article.

Where Are Rates Today?

It’s still a good time to purchase or refinance. Conforming interest rates today are in the high 3% range-low 4%. If you financed a property last year, owner-occupied or rental property or completed a refinance, it may a good time to lower your rate and payment. We offer a free, no obligation review of your current mortgage loan to verify if a refinance will lower your payment and start saving you money.

Loan Programs such as CALHFA with little to no money down and Government loan programs such as FHA and VA are available and assist first time buyers and repeat buyers with low interest rates and higher loan amounts with less money down.

FREE, No Cost, No Obligation review and quote to purchase property in California. Contact us today!

Protect Your Identity Now

Protect Your Identity

The three credit bureaus, Experian, Equifax and TransUnion all offer identity theft protection. With many websites being unsecured sites, your password, credit card information and personal data may be easily exposed. Many credit card companies offer fraud alerts when your card is used a text message or email is sent to determine the purchase is legitimate. Several offer an alert when your credit is pulled along with other caveats such as notifying you when your spouse has applied for credit and requiring both of you to consent.

All of these programs are meant to assist in protecting your identity. Experian recently posted a blog piece on this with a graphic entitled, Here’s How Much Your Personal Information is Selling for on the Dark Web.

Experian offers a monitoring alert system for $5/month to inform you of inquiries and credit monitoring. Click here for more information. Disclaimer: This is NOT a paid partnership and we have not used their credit monitoring system.

These articles recently came to light on exposed credit and data breaches:

Forbes

CNBC

Credit Cards

Tracking and monitoring your credit is important, especially when you’re applying for credit such as a mortgage loan. Consistently maintaining accuracy on your credit report will save you a lot of time and frustration in the long run.

Loans Outside the Box

Home Sweet Home.

Non traditional mortgage loans are hot in any market. More so in places like California where not only is the heat on but home prices are high and the sunshine tax game is strong.

So how does one get into the market and buy a first home, second home, investment property, and beyond? Using a loan consultant with personalized service of your goals is vital.

What are the loan programs and do I qualify?

Stated Income-Stated income loans allow borrowers to “state” what they make on a loan application without sourcing pay-stubs, W-2’s, 1099’s or tax returns. Interest rates are typically higher and the required down payment is higher than traditional mortgage loans due to the risk factor of not verifying income. A good option for self-employed, 1099 and commission based borrowers.

Business Bank Statements-The lender verifies deposits for 12 or 24 months with this loan program. They look for patterns and will average the deposits to source income. Great for small businesses and self employed borrowers. Interest rates are competitive and slightly higher than traditional loans.

Self-Employed Loans-The two already mentioned are great options here. We can also use business tax returns to verify income based on the percentage owned of the business.

Multiple Borrowers-Many loan programs allow multiple borrowers living in the home or not to qualify together. This is a great option for all families and people seeking to purchase and own a percentage of the property. It is always important to consult with a real estate attorney before closing escrow to understand how percentages work and what you agree upon with your co-borrowers.

Non-Occupant Borrowers-This one is used frequently when qualifying for the loan. This is often a relative or family member who is willing to lend their credit and income to qualify but does not live in the home or make payments on the loan. Great option to get into the real estate market.

New Doctor Loans-This is a niche product and based on the earning potential of a new doctor that may have student loan debt. There is a formula used to qualify new doctors at competitive interest rates and loan programs.

How Much Money Do I Need?

Out of the box loans are going to cost more on the down payment and possibly closing costs. Each loan scenario is different and best to understand before taking the leap. 20% is ideal plus 3% in closing costs off the purchase price of the home. More or less may be required.

Don’t wait until another real estate cycle passes you by. Do it now.

What is Non-QM and How It May Affect You

A Non-Qualified Mortgage is offered referred to as a Non-QM loan. The simple answer is it fits borrowers that do not qualify for traditional standard qualified mortgage loan. When the market fell apart back in 2008, many of the “exotic” mortgage loans like pay-option ARM’s and other adjustable loans wiped many homeowners out of their homes. This is why Non-QM loans can be frowned upon, however, these loans are held to higher standards then their predecessor loans. Qualifying for a Non-QM although more lenient than traditional qualified loans is still difficult.

Non-QM Loans Are Growing In Larger Numbers

The popularity of these loans grows as Bankrate states with housing prices increase and qualifying in a traditional way becomes more challenging.

Three types of borrowers benefiting from Non-QM loans:

1. No income documentation-This is huge. Especially for self-employed, sub-contractor borrowers and even W-2 borrowers that have Schedule A deduction expenses. Some programs rely on bank statement deposits while others review assets. It’s no surprise this is a popular loan product for borrowers that don’t fit the mold.

2. Investors are interested in these loans based on qualifying factors for fix-n-flip properties and/or non-existent rental income while they rehab.

3. Borrowers that have credit issues such as Bankruptcy or lower FICO scores with late payments or a distressed sale utilize these loans.

If any of these apply to you or you’ve been declined or even know ahead of time, your loan is non-traditional, contact a mortgage broker for a free, no-cost evaluation of your loan scenario.