For over a decade we have been ridiculed about our upfront Florida mortgage philosophy.  Detailing, to consumers, how we get paid and it’s direct affect on interest rate and/or closing costs is standard operating procedure here at BeechTree Mortgage, Inc. 

Whether you are getting your Florida mortgage from a mortgage lender, broker or banker; there are things you should know and ask.  First, since the interest rate affects their income or profit; ask how much they will earn in disclosed yield spread premiums (mortgage brokers) or undisclosed service release premiums (banks).  Second, ask for an upfront Good Faith Estimate to get a visual on how much it will costs you to obtain their fixed Florida mortgage interest rate.  The devil is in the details.  If you can’t get an upfront estimate without paying hundreds of dollars; call our office in Cocoa Beach – the estimates are free and accurate.

Personnaly, I have been accused, by other Florida mortgage proefssionals of providing too much information to the consumer!  Imagine?  Being transparent and upfront seems to be an issue for many in the Florida mortgage arena.  There is fun for us upfront Florida Mortgage Pros.  Federal disclosures are on the way and pretty soon everyone will have to express upfront and in LARGE FONT; exactly how much they will earn on any given Good Faith Estimate.  Fun for us because we have always done that for our clients.  Not so much fun for the “let’s keep everything a secret”  Florida mortgage brokers.

Hang on because this ride is just beginning as new structured Florida mortgage disclosures are just around the corner.  For more information on disclosures updates or to simply get your upfront Good Faith Estimate call our office at 888.399.0520.

I made the decision this morning to promote lower Florida mortgage fixed rate availability, by offering 30 year fixed rate conventional mortgages with a 1% origination fee.  For over 13 year we have provided conventional fixed rate mortgages to future home buyers or Florida home owners with no discount points and no origination fees.  Florida mortgage pricing has altered the recovery period calculations to consider when paying the mortgage professional directly and receiving a lower fixed rate mortgage.

When paying a 1% fee for Florida conventional mortgage loans, the interest rate offered is typically reduced by .25%.  The recovery periods usually run about 60 to 66 months.  But today’s pricing in this mortgage market mess can provide better recovery periods.  As I mentioned in an earlier post, a 30 year fixed mortgage interest rate can improve by .50% which drops the recovery periods to anywhere from 32 to 38 months. 

Remember to ask for 2 Good Faith Estimates from your local Florida Mortgage Professional.  One should include the lowest fixed rate without origination fees or discount points.  The other should provide an even lower fixed rate by simply paying a 1% origination fee.  Comparing these scenarios allows you, the borrower, to choose some of the best Florida mortgage financing today.  For free Good Faith Estimates please call our office at 888.399.0520 or contact us directly at BEECHTREEMORTGAGE.COM.

After almost 14 years of originating Florida mortgages I am reconsidering my thoughts on no points and no origination fees.  As recent as 2 weeks ago, Florida 30 year fixed rate mortgages were available at 4.875% with no points and no origination fees.  Many clients took advantage and locked in immediately.  However, with today’s fixed mortgage rates pushing up consistently every day; we must explore ways to save more.

We have always recommended shopping for the lowest fixed Florida mortgage rate available; without having to pay discount points or origination fees.  Because when calculating recovery periods home buyers and owners realized it takes anywhere form 5 to 6 years to recoup the cost.  Keep in mind, a 1% origination fee typically buys down the fixed interest rate by .25%.  Things have changed…

Lately, conventional 30 year fixed rate mortgages can improve by .50%, with a 1% origination fee or discount point.  The lower mortgage rate and payment now has a lower recovery period of about 3 1/2 years.  This may make sense then if you are planning to stay in your home long term. 

When asking for Good Faith Estimates, remember to ask how much lower the fixed mortgage rate would be with a 1% origination fee or discount point; you may be surprised how much long term interest you can save.  For today’s current interest rates or to receive an upfront Good Faith Estimate call one of our Florida mortgage experts at 888.399.0520.

As interest rates dropped yesterday the phones would not stop ringing.  The Florida mortgage 30 year fixed rate dropped under 5% yesterday and was available for those seeking a no discount point and no origination fee fixed rate mortgage refinance.  In this rapid refinance rush, consider the following tips to secure the best financing available with a new very low fixed mortgage rate.

• Contact an experienced Florida Mortgage Professional.  Ask friends for recommendations.
• Be able to provide estimated credit score; estimated home value, and mortgage balances.
• Ask for an upfront Good Faith Estimate in writing.
• Ask for today’s fixed rate without discount points or origination fees.
• Check to see if they charge an application fee.
• Ask how and what total amount they expect to earn from fees and/or yield spread premiums.
• Always double check the Better Business Bureau for more information.

Once you find your favorite trusted Florida Mortgage Professional and are provided with a lower fixed rate mortgage program that makes sense; lock-in your interest rate immediately.  Interest rates have never been this low, ever.  For immediate refinance consideration and upfront Good Faith Estimates please feel free to contact me directly at steve@beechtreemortgage.com.

Interest rates have dropped againfor those Florida Veterans who may want to lower their fixed VA loan rate.  Many Veterans that already have an existing VA home loan should consider using the VA interest rate reduction refinance loan or the IRRRL.  This type of refinance usually requires no appraisal and no income qualifying which makes qualifying for a lower fixed VA rate simple.

Another type of VA refinance is the cash-out type loan.  Today, qualified Veterans can elect to refinance their current Florida mortgage and pay-off additional debts.  The maximum amount allowed is now 100% of the homes current value.  This can help many Veterans by lowering their monthly payments with today’s 30 year fixed VA mortgage.

For more information regarding your VA Florida mortgage opportunities; contact our VA Mortgage Professionals at 888.399.0520.

For many years credit scores played a smaller role in mortgage risk assessment.  In fact, there was usually no difference in the fixed mortgage rate obtained for a home buyers credit score of 640 vs. 740.  But ever since Fannie Mae and Freddie Mac introduced credit risk based pricing; credit scores do make a difference.

When clients contact our office and mention they have excellent credit; we inform them that “excellent” is usually defined as credit scores at or above 740.  With a credit score that high, there is no price adjustment for credit score risk.  In other words, you should be able to receive the lowest fixed mortgage rate available from any given mortgage lender or bank.

Florida home buyers seeking to purchase a new primary home, 2nd home or vacation home; can expect to receive today’s very low fixed mortgage rates.  The higher your credit score; the lower your Florida mortgage fixed rate.  For immediate assistance with our accurate Good Faith Estimates; please contact our office at 888.399.0520.

This morning the Federal Reserve and Treasury Department announced they were pumping hundreds of millions of dollars into the US economy – specifically aimed at purchasing mortgage backed securities.  At first thought I felt banks were going to repeat what has already happened.  Keep the funds for themselves and not help homeowners with lowering available Florida fixed interest rates.  This time was different.

Fixed mortgage rates for Florida home buyers dropped significantly this morning and again this afternoon.  Our 30 year fixed rate was holding at 6.00% yesterday with no points and no origination fees.  Today’s 30 year fixed rate is holding comfortably at 5.50% with the same terms.

Of course, these fixed rates are available to very qualified home buyers or home owners seeking a great Florida fixed mortgage.  For immediate Good Faith Estimate proposals please contact our office at 888.399.0520 and ask for today’s lower Florida fixed rates.

With our government giving billions and billions of dollars to banks and even lowering the Fed Funds rate a full percentage point in the past month; you would think home buyers could enjoy lower fixed mortgage rates.  Well, as interest rates inch upward the only thing we can count on is next years conforming loan limits.

Last week, the new Federal Housing Finance Agency announced the conforming loan limits will remain $417,000 for 2009 for most areas in the U.S. but specified higher limits in certain cities and counties.  Keep in mind, the conforming loan limit is the maximum size of mortgage loans that Fannie Mae and Freddie Mac purchase.

This is good news I guess, I just wish banks would extend the government’s “bailouts” to the homeowner or home buyer.  We need lower interest rates.  The next Fed meeting in December may bring lower Fed Funds rates again -  the question is – will the banks, then, lower available consumer interest rates.  We must wait and see.  For current fixed Florida mortgage rates and upfront Good Faith Estimate, call our office anytime at 888.399.0520.

Fears that Fannie Mae and Freddie Mac may be in trouble have sent a ripple through the financial markets today that make Hurricane Bertha waves seem tame.  Fear has an interesting affect with the financial markets and unfortunately we will see Florida mortgage interest rates move up as a consequence.

Fannie Mae and Freddie Mac borrow money in the bond markets to pay for mortgages they themselves purchase from wholesale mortgage lenders or banks.  These are then sold to investors or hedge funds. Since the bond markets have increased the cost to Fannie Mae and Freddie Mac; they will in turn charge higher rates to lenders who of course will raise consumer fixed mortgage rates.

This lack of confidence in the markets also sent VA fixed rate mortgages soaring this afternoon.  This morning we were offering 30 Year Florida VA fixed rates at 6.500% with no discount points and no origination fees.  This evening Florida VA fixed rates jumped to 6.875%.

It’s amazing what fear in the financial markets will do regarding fixed rate markets.  It spreads like wildfire and forces wholesale lenders and banks to raise their fixed rates.  I do believe things will calm down eventually.  But we will have to wait and see just how high fixed rate mortgages will go before a hopeful ease in market fears helps us all.

If you want to know where Florida fixed rates are we can provide a free Good Faith Estimate for review.  Call one of our mortgage professionals today at 888.399.0520 or visit or website at BeechTree Mortgage, Inc.

With the next Federal Open Market Committee, FOMC, meeting merely a week away; concerns over Ben Bernanke raising rates has already moved the Florida mortgage market. Fixed rate mortgages have jumped almost a half of one percent over the past week. The question is, where are they going from here.

It’s not that anyone is expecting the Feds to lower or raise interest rates at next weeks meeting.  The real concern is the language they will use regarding the inflationary outlook for the remaining 2008 year.Ben Bernanke has mentioned the Fed stands ready to “strongly resist” any long term inflationary expectations. Will this news and next weeks meeting push current 30 year fixed mortgage rates above 7.00%?  We will soon see…

If you are in the market for a new home in Florida or wish to consider your refinancing options; please contact your Florida Mortgage Professional soon. Interest rates can be protected – but only by locking in quickly. Call our office and ask about today’s low fixed rate conventional or VA Florida mortgage loans. 888.399.0520