How To Compute Blended Rate: The real cost of all money borrowed

A person called me today concerned that the Fed Discount, Prime Rate, etc will be rising and is considering a refinance. I computed for him the cost of ALL money that he has borrowed and this is the formula to compute blended rates. Note. Interest rates that are averaged will not work because the amount […]

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What Mortgages and Magic do for Me

I enjoy making people laugh and feel good. I also enjoy navigating the cumbersome complicated process of putting together a mortgage loan for clients.  There is satisfaction in magic and in mortgages. The joy from magic is immediate and my joy in completing a mortgage loan the best way for a client is immediate for […]

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What should I discuss with the Reverse Mortgage Counselor ?

You are required to attend a Reverse Mortgage Counseling session with a Counseling Agency approved by the Department of Housing and Urban Development (“HUD”). This counseling session will help you evaluate if a Home Equity Conversion Mortgage (“HECM”) is suitable for you. You are advised to discuss the following additional issues with the counselor during […]

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TRID increased Loan Costs

Below is part of an article from National Mortgage Professional Magazine written by Phil Hall. I wonder about the statement that lenders can only recover 17 of the new cost. In the mortgage world and probably in every business world the cost is ultimately passed to the consumer. When the new appraisal process was put […]

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Your loan requires mortgage insurance? Get your credit score high !

If you are a home buyer with only a 5% down payment it is extremely important that your credit score is as high as you can make it. Why? For a 95% loan to $417,000 the Monthly Mortgage insurance is $188 if your credit score is above 760. But, let that score drop to 681 […]

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We can save $20 Billion by Refinancing

Thanks to the recent decline in mortgage rates, which have since inched up some, the so-called “refinanceable population” has swelled 30% to 6.7 million homeowners. These are the folks that Black Knight Financial Services singled out as standing to benefit from a refinancebased on the related costs and savings. The company looked at this population two months […]

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