Posts Tagged ‘Home Buying’

Charlotte Mortgage Rates Drop!!!

“Treasury prices rallied Thursday after new reports showed the economy barely moved forward at the end of last year and that jobless claims rose last week,” this according to CNN Money. The report shows that Treasury bonds reacted in a favorable way for Charlotte mortgage rates early this morning.

By the end of the day, rates had increased slightly, but very minimally! So by the end of the day, the same rate as yesterday would cost a lot less, or even allow for a lower mortgage rate!

If you have been on the fence about your mortgage rate options, now is the time to make your move. Rates are not as low as they were just a few weeks ago, but they are very close. I personally believe they will begin to rise again, so now is the time to fix your adjustable mortgage rate, refinance your Charlotte mortgage with a lower rate, or buy that dream home in Charlotte with lower payments!

FHA is not Subprime

That’s the message lenders are trying to get out. To make this message heard, many lenders are putting their own parameters on the FHA loans they will underwrite, above and beyond normal FHA guidelines and requirements. With this article, we will get into what and why.

As of this posting, most FHA lenders are now imposing new minimum credit scores for many of their FHA products. FHA itself does not have any minimum credit scores. However, with the death of subprime many loan officers have been trying their best to force their subprime business into an FHA “manual underwrite” loan mortgage.

“Manual underwrite” means that a borrower does not have the minimum criteria for an automated approval, and therefore a decision must be manually underwritten by a person, not an automated computer system. The manual underwrite was implemented to allow borrowers with less than perfect credit, or limited credit references to provide enough alternative reasons to prove that they can handle a mortgage. Traditionally, for every 10 loans submitted in this manner 5-7 loans would actually get approved and be able to close. However, with the recent trend of typical “subprime” borrowers being submitted for manual underwritten FHA decisions, FHA lenders are seeing only 1-2 out of 10 being approved. And with the steep increase in submissions, that has required lenders to hire more underwriters to keep up with demand. Hiring more people to approve less loans means overhead increases… the costs of each loan is increasing.

To combat this rise, many FHA mortgage lenders in Charlotte and the entire country are imposing their own credit requirements. We are seeing 580 as the average score that most lenders seem to be seeking. That makes sense as most potential borrowers with mid to low 500 scores will typically have more frequent collections and recent late payments. With these changes, lenders are really asking for loan officers to better qualify their potential FHA mortgage loan borrowers. With these changes being implemented, the best news is that underwriting turn times should get back to less than 2 weeks!

Not sure where you stand? As a Charlotte FHA mortgage lender, let us help you get approved for an FHA mortgage loan. If you don’t qualify right now, we can help guide you in the right direction. If you do qualify, we can help you find the best FHA mortgage loan in Charlotte.

Apply Now or Call 877-411-9327.

Charlotte Mortgage Rate Trends

I have been advising clients that Charlotte mortgage rates are beginning to trend upwards. However, many people still believe that because the Fed rate was just cut, we will see a dramatic drop in the 30 year fixed rate mortgage pricing. This is just not true.

The Fed Rate cut directly impacts short term lending. This includes rates usually tied to prime rates, such as credit cards, home equity lines and even some short term ARM mortgages. Longer term mortgage rates such as a 30 year fixed conforming loanare typically driven more by the bond market. As the price and yields fluctuate on the bond market, so go the 30 year mortgage rates. The longer term bond markets, including the 10 and 30 year bonds are usually the ones to watch.

Currently Charlotte mortgage rates are near 40 year lows. Thinking that they will have some dramatic drop may be a dangerous gamble for some. I have some clients right now that want to float their rate, against my advice. I have warned them that they may wake up tomorrow and find a steep increase in the rates… it has already done that once in the past 30 days!

So in order to help people see what is happening, I am going to create a “Rate Watch Experiment.” Over the next few days I will track and post to the website what changes are happening to Charlotte mortgage rates. You may notice changes 3-4 times a day, which in today’s market is normal. I am hoping that by doing this, the general public in Charlotte (and beyond) will get a better idea of what to expect with mortgage rates.

For more information, follow the Rate Watch Experiment.

First Time Home Buyers!

Its time to buy your first home in Charlotte!

Charlotte mortgage rates are low and home selection is high. Government loans such as Charlotte FHA mortgages can make buying your first home in Charlotte easy! And with the new Charlotte FHA HUD Repo Program, you can buy a HUD home with only $100 down! That’s virtually a No Money Down loan for First Time Home Buyers! And you thought that didn’t exist any longer!

We have access to the best mortgage rates and programs for Charlotte First Time Homebuyers. Many of these programs are 100% mortgage loans. With FHA mortgages and VA mortgages, many home buyers in Charlotte can really get into a home with little to no money out of pocket!

If you have been dreaming of buying your first home in Charlotte, now is the time to get qualified. With great mortgage rates and first time home buyer programs still available, you can no longer afford to throw money away on rent. And with the Charlotte real estate market still going strong, you couldn’t ask for a better place to own a home!

First Time Home Buyer Programs in Charlotte, NC

Best Charlotte Mortgage Rates

So who has the best mortgage rates in Charlotte? Ask that question and “We do” will be the answer everyone gives! So how can this be? How can everyone have the “best mortgage rates in Charlotte?”

Well, honestly we all have access to the same lenders and programs. Some banks are limited to just their own programs, so limiting yourself to just a bank may not be in your best interests. But mortgage lenders and mortgage brokers in the Charlotte area have access to basically the same mortgage loans and rates.

So what makes one better than the other?

Professional Mortgage Services

You want to deal with a professional when looking into a mortgage. You don’t want to get caught up in the fly by night broker or loan officer. As you can see, the mortgage industry has had enough of that, and many people are suffering because of it. You need a Charlotte mortgage professional you can trust!

Beware the Rate Quoter

If the mortgage person you are talking to starts off by talking about this rate and that rate, buyer beware! You are not dealing with a mortgage professional! Professional mortgage lenders in Charlotte will take the time to get to know you and your needs. They will build trust and security with you, so that you know they have YOUR best interests at heart, not their own. The idea is that by getting to know your needs, wants and goals, they can help find the right mortgage product to fit your unique and individual needs.

But I just want a Rate Quote!

Experts say you should shop around when it comes to finding the best mortgage rates. I agree, but only to a point. I do think you need to do your homework. In most cases you can get a general idea of what rates should look like by looking online. However, that being said, please keep in mind that rates shown online may be designed to get you to call… the old “Bait and Switch” type of advertising. Even some of the better websites, such as BankRate.com, that show “current mortgage rates“, are actually showing “advertised rates” by lenders paying to be on their website! In most cases these advertised mortgage rates are without any adjustments for credit, loan size, PMI, or any other criteria that may go into what makes up a rate for someone.

When it comes to comparing mortgage rates, first find a lender you feel you can trust. Interview them… see if they interview you! If they talk more than they ask, beware. They are selling to you, not listening to your needs. Once you find a lender you feel comfortable with, get their take on the best mortgage programs that would fit your needs. If what they offer does not seem to fit, talk to them some more. Maybe they missed something. If they cannot come back with another option, then it may be time to look for another lender.

With mortgage rates changing so often lately, “shopping” for a mortgage may actually cost you. Finding a professional you can trust and following their advice can save you hundreds and thousands of dollars.

So who has the best mortgage rate in Charlotte? Your trusted mortgage professional does!

or Call 877-411-9327

Charlotte Jumbo Mortgages

Loan Limits Rise

Both the Senate and House have passed the economic stimulus plan, which includes an increase in Conforming Mortgage Loan Limits to $625,000 through December 31, 2008. President Bush should sign this bill by early to mid next week and many hope that conforming loan limits will increase immediately. Others assume it will not go into effect until July. Either way, the limits will increase and they do we will let you know.

Unfortunately, FHA Mortgage Reform was eliminated from the bill and there are no permanent FHA loan limit changes. However, since FHA loan limits are a function (or percentage) of conforming loan limits we should see a temporary increase in FHA loan limits.

This is great news for the Charlotte mortgage market! Borrowers with loans between $417,001 and $625,000 could qualify to refinance their jumbo mortgage loans into new mortgages without the jumbo mortgage rate hits! Add that to the best mortgage rates in Charlotte already avalible, and jumbo home owners can really make out!

At the same time, more people buying Charlotte real estate could qualify for low FHA mortgage rates! And with the low mortgage insurance rates offered by FHA, a whole new group of home buyers can enjoy the best Charlotte FHA mortgage loans ever!

If this news affects you, get qualified Now for the better programs coming! Once they are in place, you can be among the first to refinance your Charlotte Jumbo Mortgage Loan or buy your home with the new Charlotte FHA Mortgage Loans!

Apply Online or call 877-411-9327

Charlotte Jumbo Mortgage Loan Limits Increase!

Charlotte FHA Mortgage Loan Limits Increase!

Update: Well, it seems that politicians in their infinite wisdom have made some changes to the final draft of this bill. Based on some of what we are seeing right now, Charlotte may not benefit from this jumbo loan limit increase after all. Some areas in the country will see limits increase to over $700,000! But since Charlotte is still such a strong market, we may not see the increases once thought. Once the President signs this into law, and the legal eyes of all the lenders finally get done, we will see how this impacts Charlotte jumbo loans. However, jumbo rates are near an all time low, so it is still a fantastic time to refinance your jumbo loan, or purchase that dream home you have been wanting! As soon as further information becomes available, I will pass it on to you.

That’s Right!

100% FHA Mortgage Loans

for Charlotte FHA Home Buyers

 Right now, Charlotte home buyers can buy a Charlotte FHA repossessed home with only $100 down! Under this special financing program, Charlotte FHA home buyers can waive the required 3% down! This means less cash out of your pocket, and the best mortgage rates on the market!

FHA has acquired a large number of foreclosed homes in the Charlotte real estate area. In an effort to reduce the inventory, we have access to a special FHA mortgage program called the HUD Repo Program, that allows a home buyer in Charlotte to buy an FHA property with only $100 down. The best news is that there is no addition to the rates, so you will still get fantastic FHA mortgage rates!

Call the Carolina Mortgage Connection to get pre-approved, and we can connect you to an FHA qualified Realtor that can help you locate these special homes!

Apply online or call 877-411-9327!

100% FHA Mortgages in Charlotte! Act now!

Special Contribution Article

1. Take your time…  Many Buyers in 2007 felt ‘rushed’ to make a decision to purchase property for fear that they would either get into a bidding war or the ‘cream of the crop’ would fly off the market.  We have a bit more time in 2008. Read the rest of this entry »
   

Beazer announced that they will no longer build homes in North Carolina (and four other states). In addition, Beazer Mortgage is being shut down. This is all a result of problems found last year in their business practices, mainly exposed by the Charlotte Observer.

In my opinion, this shows why “combined services” can be very dangerous. Although the companies that combine home sales and mortgages tout it as a convenience for their clients, these combined services can also be harmful for a great number of home buyers. As evidenced by Beazer Homes, the temptation to Read the rest of this entry »

More Good News Charlotte!

Today, Vice-President Dick Cheney made a visit to Charlotte NC and spoke before the Charlotte Chamber. As expected, Mr. Cheney did speak about how great President Bush has been for the country. That was no surprise by any means.

However, one of the items that excited me was the acknowledgment of Charlotte’s great economy. Mr. Cheney described Charlotte as “one of the most vibrant economies.”

Let me also thank Bob Morgan, Pat Riley, and the members and the staff of the Chamber this morning for arranging my visit. It’s a pleasure to be in Queen City, here in Charlotte. You’ve built one of the most vibrant and diverse local economies in America. In this community, enterprise is encouraged, and hard work is rewarded; optimism is the order of the day. You’re a model to others, and you’ve helped make North Carolina’s economy among the fastest growing in the country. I appreciate the chance to pay a visit this morning, and I bring good wishes to all of you from our President, George W. Bush.

Excerpt from http://www.whitehouse.gov/news/releases/2008/01/20080131-1.html

I love this. With all the national news about how bad the world is, how horrible the economy is and the fear of a recession, Charlotte still stands out as one of the few bright stars! In an economy where home values have fallen across America, Charlotte’s real estate market is one of just a few metropolitan areas that has actually seen an increase in values and still remains strong!

Get excited my fellow Charlotteans! You are part of a great community, and even those at the White House (during an election year no less) are taking notice!