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Current lending rules too tight

The percentage of mortgage applications rejected by the nation’s largest lenders increased last year, spotlighting how banks’ cautious lending practices are hampering the nascent housing market recovery.

In all, the nation’s 10 largest mortgage lenders denied 26.8% of loan applications in 2010, an increase from 23.5% in 2009, according to an analysis by The Wall Street Journal of mortgage data filed with banking regulators.

Although lenders were expected to pull back from the freewheeling conditions that helped inflate the housing bubble, some economists argue they are now too conservative, and say that with the U.S. economy still wobbly, mortgages need to be easier to obtain for qualified borrowers, not harder.

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Real Estate news for 6/30/2011

Former Citi executive charged with $19 mn fraud in… Biggest Tax Avoiders Win Most Gaming $1 Trillion U… China has 7.14 lakh 3G towers for 73.76 million su… BMY Stock | Bristol-Myers Squibb Stock To Go Ex-di. …
http://joanagramunt.blogspot.com/ — Thu, 30 Jun 2011 04:42:00 -0700

Mortgage Fraud Blog is the premier website for news and information on mortgage fraud and real estate fraud throughout the United States. Rachel Dollar Picture Rachel Dollar, the editor of Mortgage Fraud Blog, is an attorney and Certified Mortgage …. NASDAQ Reports of mortgage fraud in the U.S. rose 31% in the first three months of this year as banks scoured their files for shady loans made during the housing boom, according to a government report… 4 from Minn., Wis. …
http://www.mortgagefraudblog.com/ — Thu, 30 Jun 2011 02:21:52 -0700

Homes Market Value – In the real world, very few individuals order appraisal reports to establish an offering price or to substantiate a purchase price. At the point that an offer to purchase (in a typical residential transaction) is made, … However, whether you are buying or selling, a real estate agent has access to the latest sales data and can give you a more accurate value for your home.How can I find out my homes value? – You can check with a local Realtor. …
http://nationalrealtynews.com/ — Thu, 30 Jun 2011 00:31:05 -0700

Real Estate News for 6/28/2011

People who have homes that are going into foreclosure have enough things to consider. Once they are forced to vacate their properties they then need to address any tax issues they may be facing. To determine any tax issues, … Recourse mortgages allow the lender to pursue any deficiency balance against the borrower. Many states have enacted laws (anti-deficiency statutes) that can protect certain borrowers. Mortgages are nonrecourse if the real property is the only …
http://realestatearticle.org/ — Tue, 28 Jun 2011 03:59:15 -0700

Mortgage Fraud Blog is the premier website for news and information on mortgage fraud and real estate fraud throughout the United States. Rachel Dollar Picture Rachel Dollar, the editor of Mortgage Fraud Blog, is an attorney and Certified … James and Wendy Ober, Hudson, Wisconsin, Raul Burgos Pliego, Farmington, Minnesota, and Alejandro (Alex) Sanchez aka Silverio Alejandro Sanchez Cruz, Bloomington, Minnesota, were charged with racketeering in a scheme that lasted from …
http://www.mortgagefraudblog.com/ — Tue, 28 Jun 2011 02:38:22 -0700

Enumerated are the 5 most popular reasons why mortgage applications get denied. A few of them even at the last stage if you end up all prepared to relocate into your new house. Avoid these five errors and you will have higher chances of getting your … One of the first things the lender will do when you submit your loan request is to verify your credit scores. You credit standing is well accessible to lenders on request when you have submitted an application to them. …
http://freeadspost.org/ — Tue, 28 Jun 2011 02:32:43 -0700

News for 6/18/2011

Low Monthly Payments: Put in perspective, a $200000 property with a 30-year-fixed mortgage at a 5% interest rate (with a 20% down payment) could translate to a relatively low monthly mortgage payment of less than $860. Using the same parameters … MINNESOTA, Red Wing, $348493.00, Owatonna, $146652.00. MISSISSIPPI, Diamondhead, $248110.00, Jackson, $117330.00. MISSOURI, University City, $417725.00, Kirksville, $125010.00. MONTANA, Bozeman, $486538.00, Billings, $180161.00 …
http://www.trulia.com/blog/pauldisegna/ — Sat, 18 Jun 2011 07:35:31 -0700

Raleigh home loan rates are at very low levels…Yes, Raleigh mortgage rates are very attractive and it may be the last time to re-fi your current home. Again, Raleigh home loan rates are attractive and there is money to lend however not …
http://lifesagamble.org/ — Sat, 18 Jun 2011 07:29:46 -0700

Source: “Population Growth to Drive More Compact Housing,” Inman News (June 16, 2011); Blog distribution provided by Kenneth Bargers and Bargers Solutions, a proud member of Pilkerton Realtors, residential real estate services located …
http://kennethbargers.com/ — Sat, 18 Jun 2011 06:18:02 -0700

Tips, Information, News and Counsel about the Housing Market; National, Regional and Your Neighborhood … KELLER WILLIAMS CLASSIC REALTY NORTHWEST. http://www.tomslupske.com. 7365 Kirkwood Court #200. Maple Grove, MN 55369 … Currently, interest rates sit at historic lows. However, Fannie Mae, Freddie Mac, PMI and the National Association of Realtors are all projecting approximately a 1% increase in mortgage rates over the next year. A one percent increase in rate …
http://tslupske.featuredblog.com/ — Sat, 18 Jun 2011 05:25:10 -0700

Top 10 least, most expensive real estate markets California dominates among costliest marketsBy Inman News, Wednesday, June 15, 2011. Six out of the 10 most expensive housing markets in the U.S. are in California, according to an annual report from … MINNESOTA. Red Wing. $348493. Owatonna. $146652. MISSISSIPPI. Diamondhead. $248110. Jackson. $117330. MISSOURI. University City. $417725. Kirksville. $125010. MONTANA. Bozeman. $486538. Billings. $180161. NEBRASKA. Kearney …
http://www.trulia.com/blog/allanerps/ — Sat, 18 Jun 2011 05:53:13 -0700

Tips, Information, News and Counsel about the Housing Market; National, Regional and Your Neighborhood … KELLER WILLIAMS CLASSIC REALTY NORTHWEST. http://www.tomslupske.com. 7365 Kirkwood Court #200. Maple Grove, MN 55369 … However, Fannie Mae, Freddie Mac, PMI and the National Association of Realtors are all projecting approximately a 1% increase in mortgage rates over the next year. A one percent increase in rate negates a ten percent fall in prices. …
http://tslupske.featuredblog.com/ — Sat, 18 Jun 2011 05:25:10 -0700

NEW YORK – June 17, 2011 – A New York appellate court last week ruled that a Reston-based company that electronically tracks and transfers millions of mortgages did not have the right to foreclosure on a property or assign a mortgage it … “The law must not yield to expediency and the convenience of lending institutions,” Justice John M. Leventhal wrote in the New York appeals court ruling last week, adding, “Proper procedures must be followed to ensure the reliability …
http://www.trulia.com/blog/debbie_albert/ — Sat, 18 Jun 2011 04:40:59 -0700

Don’t risk losing your Real Estate License

STOP risking your real estate license

Do you unintentionally give legal advice to your clients? Most real estate agents are very aware, and try to stay clear of giving any legal advice. Unfortunately, there are plenty of agents who have crossed that line, and are now facing plenty of headaches and lawsuits.

Have you ever instructed a client to stop paying their mortgage? You’ve given legal advice.

Legal advice is one thing… and rightfully most agents successfully avoid putting themselves in trouble, yet everyday they violate RESPA and the Truth in Lending (TILA) laws by giving mortgage advice.

Yes, mortgage advice. Punishable by a $10,000 fine and jail time!

If you have ever directed a client to a specific mortgage program? Maybe a program offered from “your guy” versus a program from another lender because you simply want to work with your guy versus the unknown loan officer??? Then you are walking a very dangerous line.

Have you ever given mortgage advice simply because you believe you are looking out for the customers best interests? Again, you are walking a fine line.

I have a mortgage originators license. I work 50 hours a week, and have for the last 17-years taking full applications, properly analyzing the clients financial situation, and directing them to the product that I believe best fits them. Even with that, a client can sue me for “putting them in the wrong loan.” You don’t have a mortgage license, and spend most of your time helping people buy and sell homes. Ask yourself. Do you really have any business giving mortgage advice?

The Real Estate Settlement Procedures Act, (RESPA) was enacted to help protect consumers when they buy and sell real estate, and to teach them to be better shoppers.

Prohibited practices for agents include many items. One of the most commonly violated section involves “shared expenses”. RESPA does not prevent joint advertising between two settlement service providers, such as a mortgage company and a real estate broker advertising their services on the same brochure or newspaper ad. However, each advertising party must pay for his share on a proportionate basis.

Another common violation has to deal kickbacks. Kickbacks of any kind are prohibited. Even small promotional items with the agent’s name on them can be considered a thing of value for the referral of business as it offsets the agent’s marketing expenses.

My advice? Learn the phrases “consult a lawyer”, and “consult a licensed mortgage professional” to avoid risking a legal headache and your license.

For more information regarding the Act, you can find it in Title I of the Consumer Credit Protection Act. The act is enforced by the Federal Reserve Board via Regulation Z (12 C.F.R. Part 226).

All mortgage brokers are gone, so the housing industry is fixed? WRONG

The real estate industry is a mess… But who is to blame, and who is fixing it?

IN the panic and adolescent reaction to the sub prime mortgage meltdown, Congress led by two totally unknowledgeable politicians, Barney Frank and Chris Dodd, ran amok in Washington with a 2800 page bill to reform the world; we only hope more intelligent heads will begin to prevail and correct the mess those two have made. Part of that mess was a pathetic, thinly hidden attempt to get rid of mortgage brokers. Seems to have worked… Last I saw, mortgage brokers now only account for about 6% of the mortgage loan business, where in 2006 – it was something like 60%.

Has it works? Watch another great video by Frank and Brian of TBWS

Phony rate quotes, slick advertising, bait-n-switch… beware

Shopping for a home mortgage loan? Despite Government efforts, the industry is still full of slick advertising, phony rate quotes, and bait-n-switch offers from home mortgage loan companies and banks you probably don’t want to really do business with. Joe Metzler explains…

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