Tuesday, September 12, 2017

Appraisal waivers are the literal "Advance To Go (Collect $400)"

Image result for advance to go collect 200
Monopoly Game Version

Where can you get these cards you ask? SoEZ.tv


Real Life Version

Friday, September 8, 2017

Free LPMI: Lower Your Client’s Payment


FREE Lender Paid Mortgage Insurance This new incredible offer will make your pricing better with only 15% down, than if you had put 20% down, and there will be NO MI at all!

Friday, August 25, 2017

Fast Trac Program is on TRAC - Most files are getting CTC in less than 20 days, Quick & EZ Style

Take advantage of our QUICK & EZ program today!

JUMBO pricing has recently been sharpened. Agents, be sure to price your jumbo loans in our pricing engine ASAP!

Heard of Fannie & Freddie appraisal-free purchase mortgages??
Property Inspection Waiver
A property inspection waiver is allowed for this transaction. JJ
Do your clients qualify?

Late last week, Freddie Mac announced it would be extending its appraisal-free mortgage program to purchase loans starting September 1, 2017.That same day, Fannie Mae also announcedtheir appraisal-free purchase mortgage, offering its product effective immediately.
But what does that mean exactly?

Who qualifies? Zach Dawson, Fannie Mae director of collateral policy, listed several eligibility criteria for Fannie’s Property Inspection Waiver program. Some requirements include the purchase loan having 80% or lower loan-to-value ratio, being single-family and condo properties, primary occupancy and second homes and only when Fannie already has a prior appraisal in electronic format that has been analyzed by Collateral Underwriter.

The chart below shows some eligibility requirements for PIW:
Fannie PIW

Wednesday, August 23, 2017

Appraisal Waivers On Purchases in California - What is Appraisal Waiver Letter

Right now is an incredible time to be a buyer. Home values are up, this is true, but rates are also down, so essentially the payment is still the same, but you're going to increase values in your neighborhood when you move in, and everyone will be happy.

Right now we're able to negotiate 2% of your down payment from Fannie Mae, meaning you only have to put 1% down, but you end up with 3% equity and you do not have to take a higher rate to get this credit. Only at So EZ, do we waive your Mortgage Insurance and still deliver an incredibly low rate for no cost. This will make your payment so much lower, that you will be able to afford, so much more.

Last and maybe least important, right now we are able to issue appraisal waivers on purchases in California. Meaning literally no appraisal is done. To find out if you qualify for this, apply online right now and find out.


Or call Michael Hansen direct (714) 253-7868

What is Appraisal Waiver Letter


Image result for appraisal waiver
Appraisal Waiver Letter is a notice to the lender where the loan applicant waives his/her right to receive the appraisal at least three business days prior to loan consummation or account opening, whichever is earlier. Appraisal refers to appraisal report and any other written valuation that is developed in connection with a loan application that is secured by a first lien on a one to four unit residential property.
CFPB Regulation B (12 CFR 1002.14) requires a lender to deliver the appraisal or other written valuation at least three business days prior to the loan consummation or account opening, whichever is earlier. In case there is not enough time for consummation, the lender may obtain a waiver from the borrower. Appraisal Waiver Letter documents the waiver received by the lender. The waiver allows the lender to deliver the appraisal at or before consummation. The waiver is only for the timing of delivery of appraisal; it does not waive the requirement to deliver the appraisal itself.

Borrower’s Consideration

You Are Waiving Your Rights

By executing the Waiver Letter, you waive your right to receive the appraisal at least three business days prior to loan consummation. However, you will still receive the appraisal at or before consummation. You should provide a waiver for your rights only if sufficient time is not available for you to receive the appraisal and still have three days prior to closing. This generally occurs in purchase transactions where the purchase contract may expire if the transaction is not completed by a set date. In case of refinance transactions, unless you have an emergency for the money, you should consider delaying the closing date instead of providing the waiver.

Lender’s Considerations

Format and Content Requirements

Regulation B does not prescribe any format or content requirements for the waiver. Accordingly, you will have to draft your own format for the waiver letter. Our recommendation is to include:
  1. Loan information such as loan application number, applicants' names, property address, and other key loan information.
  2. A statement that the applicants understands that they have a right to receive a copy of the appraisal at least three business days prior to loan consummation or account opening, whichever is earlier.
  3. A statement that that the applicants are waiving their right and are willing to receive the appraisal at or before loan consummation or account opening.
  4. Space for the signature and date of the loan applicants.

Timing

It is important to note the date when you receive the signed waiver from the applicants. If the waiver is received three business days prior to the consummation, then the appraisal may be provided at or before consummation.

Delivery

The waiver may be received electronically through email or fax, or through postal mail.

Recordkeeping

As a best practice, you should retain a copy of the letter in the loan file for as long as the loan is open. However, to demonstrate compliance for Regulation B, you should retain a copy of the letter for at least 25 months from date of notifying an applicant of action taken. For business loans, Regulation B retention period is 12 months from the date of notifying an applicant of action taken.

Document Summary

Appraisal Waiver Letter
Purpose
Appraisal Waiver Letter is a notice to the lender where the loan applicant waives his/her right to receive the appraisal at least three business days prior to loan consummation or account opening, whichever is earlier.
Use in Mortgages
Appraisal Waiver Letter allows a lender to close the loan without waiting for three days after providing an appraisal.
Other Names
Appraisal Waiver Form
Type
Letter
Provided By
Loan applicants
Provided To
Lender
Notarization Required
No
Signed By
Loan applicants
Life Cycle Stage
Origination
Recordkeeping
For consumer loans, retain for at least 25 months from date of notifying an applicant of action taken.
Model Form
None
Applicable Laws
CFPB Regulation B, 12 CFR 1002.14



Wednesday, August 16, 2017

Wednesday, August 9, 2017

Record Low Rates For The Summer CODE: LOWRATES


Image result for LOW interest RATES summerApplicants must be existing clients of So EZ Mortgage or a repeat client of Michael Hansen. Applicant must meet the credit score and home equity requirements for this pricing. You must mention this code (LOWRATES) when you apply online at SoEZ.Mortgage/pickone.html



Right now we are offering rates as low as 2.99% For 0 Points and 0 Fees on a 15 Year Fixed and 3.62% for 0 points and 0 fees on a 30 year fixed. *Refinance or Purchase only for existing clients who apply online and mention code. This is a summer promotion only offered by SO EZ MORTGAGE. 

CODE: LOWRATES

Monday, August 7, 2017

Income and Asset Import Tool

Image result for import
We’re speeding up the origination process and delivering efficiencies to allow you to import your income and asset information securely. We’re partnering with The Work Number™ and AccountChek™ for seamless security. This can be used on any conforming loan.

Friday, August 4, 2017

1% Down Payment Is Back!

Right now, if you put 1% down, we will put the other 2% down, giving you a total of 3% equity, but you only need to bring in 1% at closing. 

Image result for 1% down


SoEZ.Mortgage

To verify the property you wish to purchase qualifies for this product, put the address in below website. This will show the maximum income limit for the property. Income is based on the people who will occupy the home.

Option 1
http://www.freddiemac.com/homepossible/eligibility.html
Option 2
https://homeready-eligibility.fanniemae.com/homeready/

Wednesday, July 19, 2017

California Real Estate Agents, Save Your Clients!


Not only are our rates going to increase your clients buying power, our mortgage insurance borrower paid or lender paid, are going to save them even more!

Friday, July 14, 2017

Minimum Down Payment by Occupancy


Want To Buy An Investment But Do Not Have The Income?

Great news, now you can purchase an investment property and project the rental income to qualify.


This means if you financed your house and you were told you are close to your maximum DTI, and cannot qualify for a second, you can now. We just order a special form allowing us to project what the income will be. You can use 75% of that income on your application even though you have never received any rental income yet.

So EZ Mortgage, all the benefits, without all the cost.

HECM - Reverse Mortgage - Application, Fees, and Disclosures

If you proceed with the loan, you now select a lender. The person you will be dealing with is called a loan originator or reverse mortgage consultant.

You may be asked to provide some personal information, so that the loan officer can determine whether or you are eligible for a reverse mortgage. Even if you are eligible, you are never obligated to get the loan. You will have opportunities to change your mind. You may be asked to select a loan payment plan. Payment plans can be fixed monthly payments, a lump sum payment, a line of credit, or a combination of these.

Lenders conduct "financial assessments" of every prospective reverse mortgage client during the application process to ensure you have the financial means to continue paying property taxes, homeowners insurance, homeowners association dues, and other property charges.

Lenders analyze all income sources -- including pensions, Social Security, IRAs and 401(k) plans -- as well as your credit history. They look closely at how much money is left over after paying typical living expenses. If a lender determines that you have sufficient income left over, then you won't have to worry about having any funds set-aside to pay for future tax and insurance payments.

If, however, a lender determines that you may not be able to keep up with property taxes and hazard insurance payments, they will be authorized to set-aside a certain amount of funds from your loan to pay future charges. The amount of the set-aside will be based on the life expectancy of the youngest borrower. If set-aside funds run out, you must continue paying property charges using whatever funds are at your disposal. Even if you don't need a set-aside, you can still elect to have one established voluntarily. The lender can pay your property charges either from a line of credit or by withholding monthly disbursements.

The costs that the lender describe to you are capped and may be financed as part of the reverse mortgage. They can include the following:

Origination Fee
The origination fee covers a lender’s operating expenses associated with originating the reverse mortgage.

Under the HECM program, which accounts for most reverse mortgages made in the U.S. today, the maximum origination fee allowed is 2% of the initial $200,000 of the home's value and 1% of the remaining value, with a cap of $6,000.  Some lenders waive or reduce the origination fees on certain products.

(Note: Many of the calculations and fees on a HECM are based on the Maximum Claim Amount, which is the value of the home at the time of loan origination, but which currently has a maximum limit of $625,500.)

Mortgage Insurance Premium
The Mortgage Insurance Premium (MIP) is a fee paid by the borrower to the Federal Housing Administration (FHA), an agency of the federal government, to provide certain protections for both the lender and the borrower in a HECM reverse mortgage.

If the company servicing the loan can no longer meet its obligations, FHA assumes responsibility for the loan, providing the borrower with uninterrupted access to any remaining reverse mortgage proceeds.

In cases where the sale of the home is not enough to pay back the reverse mortgage, the insurance protects the borrower or estate from owing more than the sale price by covering losses incurred by the lender.


The MIP paid at closing is based on the amount of funds withdrawn during the initial year.

As long as you don’t take more than 60 percent of the available funds in the first year, you will be charged an upfront MIP of 0.50 percent of the appraised value of the home. If, however, you take more than 60 percent, the upfront MIP will be 2.50 percent.


You also are charged MIP on an annual basis, however this fee doesn't come out of your available loan proceeds. Rather, it accrues over time and you pay it once the loan is called due and payable. The annual premium is equal 1.25 percent of the outstanding loan balance.

Appraisal Fee
An appraiser is responsible for assigning a current market value to your home. Appraisal fees vary by region, type and value of home, but average $450.

This is the one fee generally paid in cash, often before the loan is made, and not with the loan proceeds. In addition to placing a value on the home, an appraiser must also make sure there are no major structural defects, such as a bad foundation, leaky roof, or termite damage. Federal regulations mandate that your home be structurally sound, and comply with all home safety  and local building codes, in order for the reverse mortgage to be made. If the appraiser uncovers property defects, you must hire a contractor to complete the repairs.

Once the repairs are completed, the same appraiser is paid for a second visit to make sure the repairs have been completed. Appraisers generally charge $125 dollars for the follow-up examination.

If the estimated cost of the repairs is less than 15 percent of the Maximum Claim Amount, the cost of the repairs may be paid for with funds from the reverse mortgage loan and completed after the reverse mortgage is made. A "Repair Set-Aside" will be established from the reverse mortgage proceeds to pay for the cost of the repairs. The homeowner will be responsible for getting the repairs completed in a timely manner.

Closing Costs
Other closing costs that are commonly charged to a reverse mortgage borrower, which are the same for any type of mortgage, include:

Credit report fee. Verifies any federal tax liens, or other judgments, handed down against the borrower. Cost: Generally between $20 to $50;
Flood certification fee. Determines whether the property is located on a federally designated flood plain. Cost: Generally about $20;
Escrow, settlement or closing fee. Generally includes a title search and various other required closing services. Cost: can range between $150 to $800 depending on your location;
Document preparation fee. Fee charged to prepare the final closing documents, including the mortgage note and other recordable items. Cost: $75 to $150;
Recording fee. Fee charged to record the mortgage lien with the County Recorder’s Office. Cost: can range between $50 to $500 depending on your location;
Courier fee. Covers the cost of any overnight mailing of documents between the lender and the title company or loan investor. Cost: Generally under $50;
Title insurance.Insurance that protects the lender(lender’s policy) or the buyer (owner’s policy) against any loss arising from disputes over ownership of a property. Varies by size of the loan, though in general, the larger the loan amount, the higher the cost of the title insurance;
Pest Inspection. Determines whether the home is infested with any wood-destroying organisms, such as termites. Cost: Generally under $100;
Survey. Determines the official boundaries of the property. It’s typically ordered to make sure that any adjoining property has not inadvertently encroached on the reverse mortgage borrower’s property. Cost: Generally under $250
(Note: Cost estimates can change over time. For most current costs, consult a lender. Also, some states may have local fees that are not included here.)

Servicing Fee & Set-Aside
A lender typically earns monthly fees, known as servicing fees, for its administration of the loan. These can be a fixed monthly amount or calculated into the interest rate on the loan. If a fixed monthly amount is to be charged, an amount of funds will be "set-aside" from the loan proceeds, to be used to pay this monthly fee.

The service fee set-aside is deducted from the available loan proceeds at closing to cover the projected costs of servicing your account. Federal regulations allow the loan servicer (which may or may not be the same company as the originating lender) to charge a monthly fee that is no higher than $35. The amount of money set-aside is largely determined by the borrower’s age and life expectancy. Generally, the set-aside can amount to several thousand dollars.

Many lenders have either eliminated the servicing set-aside or included it in the interest rate. (Note: The servicing set aside is just a calculation and not a charge. The only amount added to your loan balance is the monthly servicing fee, which is typically $35 per month or less.)

Interest
With a reverse mortgage, you are charged interest only on the funds(loan proceeds) that you receive. For example, if you take your loan proceeds as a line of credit, you are only charged interest on the portion of the line of credit you have withdrawn.

The interest is compounded, which means you pay ongoing interest on the principal, plus accumulated interest.

Reverse mortgage products are available with both fixed interest rates and variable interest rates. The variable rate is tied to an index, such as the 1-Yr. Treasury bill or the 30-Day LIBOR (London Interbank Offered Rate), plus a margin determined by yield requirements in the financial markets. The margin is set at the time of loan origination and does not change over the life of the loan. During the life of your loan, the loan balance increases by the amount of compounded interest accrued.

Because there are no payments made by the borrower during the life of a reverse mortgage, interest is not paid on a current basis. It does not have to be paid out of your available loan proceeds either, but instead accrues, at a compounded rate, through the life of the loan until repayment occurs at the end

Other Disclosures
Your lender will supply you with a large package of additional disclosure documents that are designed to help make the process as transparent as possible.

One such document is the Total Annual Loan Cost (TALC) Disclosure, a form required by the Federal Reserve Board on all reverse mortgage transactions, that illustrates the cost of the loan if it is outstanding for different durations of time.

The Good Faith Estimate clearly discloses line-by-line the various fees that are being charged. Other disclosures, like an amortization table, illustrate the amount of interest that will accrue, so that you are fully informed about the costs associated with getting a reverse mortgage.

The application process formally begins after counseling, once you provide the lender with your loan application and the signed disclosures as well as required information, including verification of a Social Security number, a copy of the deed to your home, information on any existing mortgage(s), and a signed counseling certificate (signed by both the homeowner and counselor).