Mortgage rate and industry update

[fisherdog19]

The market has been very volatile as of late, up and down on a daily basis. January's 3 day bottom out of the rates seems like a thing of the past, and those fortunate enough to have taken advantage of them got very low rates.

Currently the 30 year note is at 6.375% with the 15 year being at 5.875%. We are now VA approved with FHA coming very soon; both of those rates are at 6% for the 30 year note.

If you're looking to purchase, refinance, or build give me a call for a free, no obligation quote on our great rates and low costs. Remember, no appraisal fee for all closed loans over $125,000 for all FM members.

[fishing tech]

Thanks for your updates. After your one in January I call my mortgage buddy. I got locked in at 4.875 for 15 years. He called me 2 hour later and it was 5.5%. When they drop you need to act quick!!! Thanks again for th updates.

[fisherdog19]

I'm glad you got locked into a low rate, happy to help. I would have been much happier for you if you would have called me . I do sincerely hope you got a few rate quotes to see if you got the best deal.

[Dave S]

Fisherdog19,

What are our options besides going somwhere else after a situation like this:

We attempted to refi our mortgage at 5.625%. Everything was locked in and approved. We kept asking about a closing date which we never received. Instead, each time we inquired, they would ask for another copy of my wifes pay stub. This happened 3 times in 3 weeks.

Now after all of this, the 30 days is up and now they tell us too bad so sad. Needless to say my wife and I are furious after being customers with this place for the last 15 years.

I have my suspicions on what was happening, but there is no reason why we should've been hosed like this.

I should point out this was not through the OP's services. Our experience happened with one of the largest lenders in the state.

I'm glad someone was able to capitalize on the low rates. Now I'm stuck paying $200/month more than what I should be.

Are these stories common when rates drop? The mortgage company claims their underwriters were too busy.

[LMITOUT]

LEP -

I was told by two different mortgage co's/banks about getting "locked out" during that busy time. The one at the bank said that their manager told everyone working a loan to document who's applications were ready to go during that lock out period but weren't able to submit them. He then got them processed at the rate they should have been given. So it was gridlock for a day or so from what I was told also.

Hopefully the mortgage rates follow the 10-year note closely, as it is going into the cellar today and will be close, if not lower, to the level they were back in January and you may get that chance to lock in a low rate again.

[Dave S]

LMITOUT,

thanks for the reply. I'll keep my hopes up. It might be beneficial to hold out for a couple more weeks to see what happens in the markets.

Our lock was a floater so it would float down if the rates dropped but wouldn't go any higher than the 5.625% we had.

Thanks again.

[Coach1310]

Any insight on where the rates are headed???

[fisherdog19]

LEP, I'm sorry you had a bad experience, but busy Underwriting is no excuse. Did you pay for an appraisal or have any money into the deal? Also, just because the lock expires it doesn't mean it can't be extended, which is a common occurance. Please give me a call sometime, I'd like to get some more info on this from you. I'd also love to help you get into that low rate if the rates do drop again. If I was handling the loan you would have closed by now if I pre-approved you and the appraisal was acceptable, and I bet at a lower rate too! I have had some deals get stretched out, but most of the time it's because of appraisal or property issues, NEVER busy underwriters. You can always contract underwriting out, or send directly to an investor.

Limit, the bottoming out in the rate that happened mid January did close investor locks before 4pm CST for just one day, and the next morning those rates were still available for a short time before a correction came about. It is true that mortgage rates mirror the 10 year, but a never seen before phenomenon is currently taking place in which the spread between bond pricing and mortgage pricing is widening so the mirror is not happening right now. There is talk about another Fed rate cut, but last time that happened mortgage rates rose; just another showing that mortgage rates have nothing to do with the rates the Fed's cut.

Coach, if I had to money on it, I would say rates will stay within .5% of where they are now for a while. Whether up or down, I cannot answer.

There is so much uncertainty in the market when it comes to mortgage backed securities, and even the AAA rated securities which perform well are being scrutinized because of the wide spread panic going on. There is also a gross over correction in Underwriting guidelines going on right now that is making loans very hard to approve. Private mortgage insurance is also becoming more difficult to obtain which sometimes makes loan approval irrelevent.

[Dave S]

Pete,

we had an appraisal done, but have asked who is actually going to pay for it since we didn't close on the rate we locked. I refuse to cover that expense since the mortgage company left us hanging after the many repeated attempts to get this deal done. It certaintly wasn't due to lack of effort on our part.

I am playing hookie on Wednesday so I may contact you then. Time is of the essence this week with too many things on the plate.

Thanks for your support on this one. I am at wits end with this company and I strongly feel they were targeting my wife thinking they could get her to commit to something to maximize their profit(inferior woman mentality).

[fisherdog19]

If they didn't collect the fee upfront from you, they really can't do much about making you pay for it. In the mortgage industry, the lenders order the appraisal and are responsible for paying it. If I was you I would not pay for it, regardless of what they say. You can give me a call in the evening if you'd like on my cell phone if it is more convenient for you, 218 849-0760.

Rate update- rates have dropped a bit today, the 30 year is down to 6% and the 15 year is down to 5.25%.

[Dave S]

Thanks again Pete. Sorry I didn't get back to you today. I was inundated with chores today.

I heard they hit as low as 5.875% today.

I'm going to be on the run all day tomorrow and won't be getting home until almost midnight. I will try to get back to you sometime tomorrow if that's ok.

Thanks,

Dave

[fisherdog19]

Mortgage rates made a huge jump down today, and tomorrow may bring more of the same. For those of you looking for a rate in the 5% range, now is the time. The 30 year is at 5.625% and the 15 year is at 4.875%. We may be looking at a .125% decrease come tomorrow, but only time will tell. In order to lock anyone in on a rate, I need a full application, and to pull a credit report; I can do this over the phone in ten minutes or you can visit my HSOforum in the signature below and fill out a secure application at your lieseure. Remember, on all closed loans over $125,000, I will reimburese you for the appraisal fee. I'm available anytime on my cell, 218 849-0760.

[Dave S]

My wife made a call yesterday and had us locked at 5.75% with a close on Thursday. I would imagine things are going to go down a little more, but that's just the way it goes.

I'd like to thank you Pete for your info the other day. You've been a big help.

[Tom Linderholm]

Just locked on a 15 year at 4.875% I was kicking myself last time it dropped and I didn't take advantage of it. Thanks Peter, very easy guy to work with!

[fisherdog19]

Lep, was it the same lender that gave you the run around before? I was looking forward to working with you; if you have any more issues, I'll be here to help.

Cheffrey, it's my pleasure and I look forward to working with you.

[Dave S]

I'm not 100% certain that it's the same lender but is the same broker. From what I understand, he's not getting paid after the mess we had. The Mrs. went ahead and did everything the other day and didn't inform me until I got home.

I'll let you know if this doesn't work out.

[bigswede]

Peter, Nice talking with you yesterday. I hope we can work it all out.

[fisherdog19]

Just a quick update on the market; after the big drop Monday, the market took back about .25% mid afternoon Tuesday, gave back .25% Wednesday afternoon, and then took .125% back late this morning. The market has been VERY volatile as of late. Currently, the 30 year is at 5.75% with the 15 year being 5.25%. My word of advise to those of you seriously considering a refinance or purchase is to get together with your lender immediately, give them all the info they need and let them know what rate you would like. When/if the ability to lock that rate comes, your lender will have all the information required to be able to lock the rate you'd like. Please visit my HSOforum below to submit a secure online application if you would like me to do this for you. It's been very busy lately, and the rate you want could be lost at a blink of an eye if we don't have all the info we need to do our job.

Bigswede, I'm sorry things didn't work out, but we'll stay in touch and hopefully some lake properties will move this spring/summer giving us the comparibles we need for the appraisal we must have.

[katoguy]

fisherdog19, I am not seeing your HSOforum addy? Where is it? Thanks.

[jwhjr]

Just click the link right above his email address

[katoguy]

Okay, I found the link on another forum (for sale forum). Thanks. I'll look at it this weekend. Happy Easter everyone.

[fisherdog19]

You can always click on the "VALESCO MORTGAGE NATIONWIDE LENDING" in my signature. It is a live portal right to my HSOforum.

[BoxMN]

Peter,

First, thanks for the good info you provide. 2nd, Do you do one-close construction loans in the Crosslake area?

Thanks,

[10,000 Casts]

For anyone that is looking to finance, refinance, or anything in the mortgage business, I highly recomend Peter. When I financed my first house last year, a mortgage broker out of Walker promised me a very sweet deal and I decided to go with him. WHAT A MISTAKE I MADE!!!! The nice thing is that Peter was there to help me with questions that I had. He is a straight shooter that really knows his business and was a huge help. Peter told me from the start that the deal was to good and he was right. The Slimy good for nothing ............... Broker from Wells Fargo didn't read the small print and my loan almost didn't go through, then tryed to raise his rates and my down payment as well as my mortgage insurance. I ended up having his superior right the loan. If my father wasn't taking out a Commercial loan at the same, they would have told me to go elsewhere. And believe me, the Slimy Broker tryed...

All in All, I should have had Peter write my first Mortgage from the start and he will definitly get a shot at my next one in a year or 2.

[fisherdog19]

Box, I offer one time close construction loans nationwide so I've got you covered. Give me a shout some time and I'll answer any questions you may have.

10,000 casts, how is everything up in Walker? I'll be up again from July 5-12, so we'll have to try to get out Muskie fishing one day. I'll have my boat with so you show me where to go, and I'll get us there. Thanks for the kind words.