Orlando Mortgage Blog

So you'd like to take advantage of these historic rates, but you believe your home value has dropped and are concerned about being forced to take Private Mortgage Insurance on a new conventional loan or Mortgage Insurance on an FHA loan. Not to mention whether you have enough equity to finance the costs of closing. In either case you've convinced yourself you'd rather stick with that 6%+ rate (over 35% of home mortgages are said to still be at over that rate level) because of it. Well...

When you Refinance your current mortgage...

The appraisal that is completed on the new loan will establish the value at that time and the new mortgage amount will determine whether or not your new loan exceeds 80% financing. Exceeding 80% is the trigger that would require PMI again generally speaking. If it's 80% LTV or below on your owner-occupied or second home you are in the clear. Losing the PMI portion of the old payment could be another advantage of refinancing the current loan.

There is an alternative available called the Home Affordable Refinance Program also known as "HARP", available to current Fannie and Freddie held mortgage borrowers and the availabilty of that Federal program has just been extended to loans funded no later than June 30, 2011. Most lenders allow up to 105% of the appraised value today without PMI, though the program authorizes up to 125%. This makes refinancing possible today for many that would otherwise not be eligible on a standard conventional basis with or without PMI and without MI on an FHA loan. You can see all the details by clicking on this link to HARP ELIGIBILTY .

Or contact me for personal assistance with your questions.

Bill Wilbanks

If you've ever wondered what the various taxes are based on your state, the following link should be very interesting to you. Read on...

Looks like he doesn't want to shake up a SHAKY recovery right now...Read more.

After being benched for nearly two months due to personal health issues, I'm happy to be back in the game and eager to get rolling once again. Needless to say I need pipeline business and anxiously await hearing from you all. Please give me a call with your conventional loan questions and situations today.

Bill Wilbanks

"I see interest rate movement in your future", said the fortune teller. You don't need a lot of forsight to make that call...

The market will almost always pre-judge coming events and pricing reacts as much if not more to the anticipation in the market of some future event(s) than what's happening today. The attached article should be of interest to anyone thinking of mortgage financing in coming months. Read on...

Washington wanted Fannie and Freddie to find new and different ways to open up home ownership for those that were not getting a piece of the homeownership pie in the early 2000's, ended up taking control of them both and now mandates them to find ways to save many of those same buyers from foreclosure through refinancing and modifications. Is it a success? It might be if those same folks were able to qualify today...but apparently many don't, if they ever did.

I've touched numerous times on what I believe will happen in the next few months when the Fed's stop buying Mortgage Backed Securities (MBS's)...I believe rates can easily be a full percent higher in a very short period of time. All you fence sitters are running a serious chance of losing a remarkable opportunity if you wait too long. It's time to stop being greedy now, do some serious thinking of your mortgage position and jump on board before it's too late.

Will the Feds FOMC make a change in rate policy to a tightening stance? Will their language leave the door open for a future direction change? What they are saying out there...Read more 

After a summer of home buyer tax credit infuenced sales to the first time buyer, why should we be surprised that new home sales and permits fell off the cliff (down 10.6%) in October considering the fact that everyone knew and therefore geared their planning to meet the November 30, 2009 tax credit expiration? True it was just extended to cover more buyers and more income levels, but falls far short of being extended long enough to really have an effect in my opinion. It requires a sales contract to be consumated no later than April 30, 2010 and closed no later than June 30. That's just about the time the seasonal buyer kicks into gear and jumps in the market traditionally. Hey what do I know. Congress doesn't have to make sense do they? So eligible buyers have about 5 months to shop, find, negotiate and sign a contract right now. For Floridians at least, we don't have to do it in the snow! That's something... 

Read on...

Bill Wilbanks