Florida Mortgage : Learning Center

As a Florida Mortgage Professional it is my job to not only match clients with specific mortgage loans to mee their varying needs; but to also shop for our lowest available interest rates.  I then must update any changes immediately on our very popular web site at BeechTree Mortgage.com .  This morning I noticed something unique to Florida Veterans and their search for fixed rate VA home loans.

Our 30 Year fixed interest rate available to Florida Veterans obtaining VA home loan amounts under the $417,000 loan amount, have increased slightly to almost 6.50%.  The great news, however, is the VA Jumbo Loan 30 year fixed rate is holding at 6.250%.  These are both available with no discount points and no origination fees charged to the Veteran. 

Remember the VA Jumbo home loan is limited to $1,000,000; and requires a down payment.  VA allows no down payment up to the VA home loan guarantee of $417,000.  For more information about a Florida VA fixed rate home loan or VA Jumbo fixed rate mortgage; please feel free to call our office at 888-399-0520 or email us at info@beechtreemortgage.com.

I recently assisted a new resident of Florida regarding his new home financing in Oviedo, Florida.   He found his dream home from a local builder who of course wanted to make sure he received his mortgage financing from their own mortgage company.  As a matter of fact, the builder even owns the title company.  Interesting.  There are 3 goals to consider while deciding which mortgage company is best.

With this builder’s”one-stop” shopping theory our client walked in, signed the new home contract and received documents regarding his new home mortgage.  Now, the only option provided was a 90% loan-to-value, with monthly private mortgage insurance; and a higher than average fixed interest rate.  Higher fixed interest rates allow builders to contribute towards the buyers mortgage closing costs, and reduce the out of pocket expense for the buyer.  However, the buyer ends up paying even more with higher monthly payments. 

Florida mortgage seekers are always interest rate and closing costs minded consumers; or should be, and thats great.  But don’t forget the 3rd goal in this whole mortgage process.  That is; which mortgage program or scenario, of thousands, should a specific Florida resident-to-be obtain?  That is the job a true Florida mortgage professional. 

The builder’s push to create simplicity for the Florida home buyer has missed the most important goal of all.  Is the buyer getting the best financing program and what other options are available.  We Florida mortgage professionals know that if Florida home buyers purchase homes without knowing all of their mortgage options; the buyer loses. 

Sowhen you are shopping for your new Florida home mortgage, make sure you call your favorite Florida mortgage professional for sound advice on which mortgage progams suit you best and why.  Remember the 3 goals, a low interest rate, low closing costs, and the right mortgage program.  For immediate assistance call 888-399-0520.

In today’s ever restrictive mortgage market; it’s nice to know that Veterans have a huge advantage when it comes to refinancing their current Florida VA mortgage home loan.

By removing the requirements of an appraisal, income or asset questions; Veterans can refinance into lower fixed rates or lower termed mortgages in a streamlined fashion.  The biggest qualifying criteria is that the Veteran has made the past 12 VA mortgage payments on time.  That’s really about it.

If you think your interest rate is too high or you want to reduce the term on your VA home loan mortgage and save thousands in long term interest; email our VA mortgage professionals or call our office now at 888-399-0520.

I find it hard to believe that Florida home builders are still forcing Florida home buyers to use one specific mortgage company only.  These are deceptive practices that confuse home buyers, especially first timers, into making poor mortgage decisions.  Builders are taking away the opportunity for the Florida home buyer to research and locate the best mortgage financing program available to them, at very competitive interest rates.

We all know that today’s Real Estate market is a buyers paradise.  Builders and their owned mortgage companies shouldn’t still be making demands that coerce Florida home buyers into considering only one mortgage company.  Should they? 

Once they control and limit your mortgage opportunities; you lose.  No shopping around for a lower or better interest rate.  You are left with wondering “What if.”  What if you had looked into other available Florida mortgage programs?  

You may find that you could have saved thousands in long term interest. 

Unfair affiliated business arrangements have been an issue with NAMB, the National Association of Mortgag eBrokers and others for a long time.  In fact, in an article by nationally syndicated columnist Kenneth R. Harney, Federal Housing Commissioner, Brian D. Montgomery, commented on the recent “reports of consumers being forced – or feeling compelled to sign on with a builder’s mortgage company even when competing loan offers from unaffiliated brokers or banks were far superior.”

Thinking about buying a new home from a builder in Florida?  Make sure you know, that you can negotiate to receive the same “incentives” without the restriction of where to get your mortgage from.  This is America, isn’t it?  You are the buyer, you are in control.  Call me if you have any problems or simply want to compare their Good Faith Estimate with ours.  Safe shopping.

There is hope in Florida regarding fixed rate Jumbo sized mortgages.  Since the Jumbo mortgage market has virtually priced itself out of practical existence; it’s nice to know the Veterans Administration has stepped up to help Veterans receive lower fixed rate Florida mortgages. 

Florida Veterans have enjoyed the benefit of being able to purchase their new home without having to use a down payment and without the cost of monthly private mortgage insurance payments.  Qualified Florida Veterans can enjoy no down payment requirements for loan amounts up to $417,000 because VA will guarantee 25% of Freddie Mac’s maximum loan limit; currently $417,000.  Recently, however, VA increased it’s maximum loan amount to $1,000,000.

If a Florida Veteran finds his or her dream home; but the purchase amount is above the maximum VA loan amount of $417,000; they can simply put down 25% of the difference between $417,000 and the purchase amount.  For example, if the purchase price on your new Florida home was $635,000; then VA would guarantee the loan amount up to $417,000 and you would put a 25% down payment of ($635,000 – $417,000) $218,000.  Your down payment requirement would be $54,500.  The VA Funding Fee can be added to the loan amount or paid separately. 

This new adjusted VA moaximum limit could help many Florida homeowners as well as Veterans seeking large loan amounts for their new home purchase.  For your free VA Good Faith Estimate please contact our office directly at 888.399.0520 or email info@beechtreemortgage.com.

My dad will turn another year older tomorrow and I am again reminded of his thoughts on the mortgage slowdown and interest rates.  Although Florida fixed mortgage rates are still low; we are soon facing the Fed reactions regarding inflation fears and may continue to slowly increase.

Once the financial mortgage markets have gained confidence, and that should be easier as the Feds aren’t going to let large banks go under; they will have to worry about building inflationary issues.  Yes the Feds may lower again at month’s end but expectations are this will be the last time in the near future. 

But don’t fear so much when fixed mortgage rates increase.  Dad always cheers me up when interest rates are inching upwards with this thought.   As long as Florida’s fixed mortgage rates are not in digit range; then rates are low.   I guess fixed mortgage interest rates back in the 80’s weren’t so exciting at 12%.

Thoughts on the brighter side of life from my Dad.  Happy Birthday Dad!

Stephen

The Florida mortgage professional that asks several financial questions is trying to learn more about his client and their future financial plans.  Only armed with this information can he or she act in your interest to find the right mortgage program that suits your specific needs. 

I had a previous client refer a colleague while she considered how to refinance out of her soon-to-adjust ARM mortgage.  Anxiety must have been very high as she thought her loan was becoming due and payable within one month.  So she had to refinance now; right?  After speaking and asking pertinent questions, we learned when her loan isn’t a balloon mortgage and when the rate adjusts, her interest rate and payment is going to drop for the next 12 months.  We explained how to follow the LIBOR index to pre-calculate her new payment and rate due to change again next year.

Although she should consider refinancing and taking advantage of today’s low fixed rates; she now has time to consider when to refinance.  The stress she endured the past few months should never have been there.  You know when you are speaking with the right Florida mortgage profesisonal; when he or she places your best interest ahead of their pay.  If you need sound Florida mortgage advice, call our office 888.399.0520.

These are trying times in the Florida mortgage markets.  Florida homeowners considering to refinance their existing mortgages are calling several mortgage professionals for assistance.  But which mortgage professional is looking out for your best interests?  Remember, there are several signs to signal you are working with an ethical Florida mortgage professional.

The first difference you’ll notice with speaking with the right Florida mortgage professional is the specific questions he or she is asking prior to even taking your mortgage application.  Mortgage professionals will and must inquire about your current financial status and plans that you have for the near future. 

Second; you can ask questions that many consumers are simply not used to asking.  Ask for a Good Faith Estimate and what guarantees are there to avoid any lender fee increases prior to closing.  Ask what and how much are their fees and how those fees are paid.  Ask if these fees, again, are guaranteed not to increase.  Transparency is everything with respect to Florida mortgage lending.  The key for borrowers is listening to the answers to these questions and drawing your own conclusions.  Mortgage brokers that either can’t answer these questions; or worse, direct you towards one particular mortgage loan program only, should be avoided.  If you have questions about when to refinance or which mortgage program to consider when purchasing your new Florida home; call our office, 888.399.0520.