Category Archives: Mortgage guidelines

Two for Tuesday – 1003 and Income best practices!

#TwoforTuesday – Today I go over two lending tips for you LO’s to help you structure and get more deals done.  The most common misconception on the 1003 and incomes are addressed.  Seems lot of LO’s aren’t sure on how this works, or question income.  Here’s a cheat for you to apply.

The 1003 needs to have two years of work history and two years of housing history.  While in some cases (W2) the current 12 month income is looked at and the past 12 month housing payment history is analyzed, you still need to document TWO years on the 1003.  As far as income is concerned, the most common is those that are self employed and LO’s are attempting to “average” that income.  When in fact, it shows a decline in income over the past 2 years more than 25%!  That’s the magic number to remember, if the declining income is more than 25% decline, you don’t average, you just take the lower of the two years (most recent).  Some additional tips in today’s video where I go over this below! ↓

It’s one thing to develop the leads and referral partners to get on the phone with clients.  Once you start pulling credit and putting together deals, don’t forget the basics.  The 1003 is the heart of the transaction and all underwriters verify that information.  The more accurate the 1003, the more easily loans close.  – Remember that!

As always – #SellWell

Two for Tuesday – The Dodd Frank Rollback!

#TwoforTuesday – The Dodd Frank rollback, and how it affects you Loan Officers! Well there is more than two changes but the best one’s I highlight and go over.  This is a big week for those ramping up a pipeline for the summer.  Either you are in it to win it with several types of campaigns running to feed you leads or you are missing the boat.  This video’s longer, but I highlight the changes and how it affects the daily life of a LO!

Hint it doesn’t really;

This week I am going to help set up several campaign strategies for LO’s that want to have the best summer they’ve ever had.  10X your business with a lead strategy to help you stand out to your referral partners and take charge of your pipeline this summer.  I do a bulk order of Facebook funnel advertisements for LO’s and lower the barriers of entry to allow those interested to get in the game.  It’s all about a power play, a way to generate leads to provide your referral partners, build a brand and culture online! And it helps many take their business to new heights when they implement a social media marketing campaign strategy.

Get the inside scoop here! 

As always – #SellWell

Whacked Out Wednesday – Most Under Utilized program & Strong suit!

#WhackedOutWednesday – The most under utilized program out there = The USDA Loan!!  It’s also a strong suit for what we do! Super excited to help others know this loan, I think this would be my go to loan, not necessarily FHA.  I think LO’s just naturally go to this program with those with a lower FICO or think this is the better 1st time home buyer program.  While there are some guideline differences, zero down is better than 3.5% down all day.

This is a strong suit for what we offer, and we go down to 580 FICO on USDA! Allow manually underwritten programs and have little to no overlays.  The map has been expanded and the income allowed updated, my advice, check this out on your next loan! #SellWell

Here is for the map for loan limits;  https://www.rd.usda.gov/files/RD-SFHAreaLoanLimitMap.pdf 

Here is for the link to find the eligibility; https://eligibility.sc.egov.usda.gov/eligibility/welcomeAction.do

I am expanding with whom I am doing business with and seeking those that want to grow their business in 2018!  I am helping broker’s left and right set up social media campaigns to help source new business! I am an AE, that helps YOU grow YOUR business and ask for a small piece of the pie to help! #LetsDoBusiness

Two for Tuesday – Two guides, a missing condition, and a product highlight!

#TwoforTuesday – Two guides, a missing condition and a product highlight!!  A bunch going on, today I talk about the difference between grossing up income with Conventional and FHA! Also, the most missed condition in loans EVER!  And a product highlight!!

In my opinion, probably the strongest product my underwriting team has, however numbers show FHA is the most underwritten product.  I just get great reviews of pricing, of underwriting and we all great things on VA!!! Yep, #VAloans is a product highlight today! And very much a strong suit at #TeamNDM!! We allow FICO’s as low as 580 and do manual underwriting with DTI as high as 50% with no comp factors.  *Residual must be 150%!  We allow both LP and DU on this product and we have a great team dedicated to help these files fly through the pipeline.  1 day turn times and a great product to produce for your Vets in your neighborhood.  If you send in a check to be sponsored by any #WholesaleLender we should be one of them!

Are you READY YET?  Ready to blow up your reach, your lead count, and double the business you do?  Well this is what I try to do with each account that signs up with me.  I am the difference maker, and a great AE to partner with.  #LetsDoBusiness Fill in below ↓

VAloans1

 

Two for Tuesday – Large Deposit guides – USDA / VA Loans

#TwoforTuesday – LARGE Deposit guidelines for USDA and VA loans.  Bottom line make sure you “LOOK” at the bank statements you get from clients BEFORE you turn them in.  Make sure you know the various large deposit guidelines to prescreen the statements prior to turning them in.

Short and sweet, with a need a need for leads? – I can show you how, click below video!

If you are still struggling to get going online, and don’t know where to start – I have #TheBLUEPRINT to help you get started making campaigns online.  The struggle I see is most just don’t know what to do, or what to post! I created a guide of 5 types of posts I call the 5 P’s of Posts that help you gain reach, relevancy and results online.  Might as well start somewhere! – Reach out to me, or fill in below and let’s get you dominating your local market place! #SellWell

Two for Tuesday – New Freddie Mac Program!

#TwoforTuesday – New Freddie Mac Program! – Home One and Home Possible changes and roll outs are discussed today! Straight forward if you ask me, and they (Freddie) is doing some great things.  I think their poised to see a pick up in market share this year.

Today, I’m searching for new Broker’s to help with closing loans, marketing campaigns and overall partnership to grow their business! If you want a difference maker on your team, let’s chat! Fill in below! ↓

As Always – #SellWell

Mondays Motivation – The new CFBP rule!

#MondaysMotivation – The new CFBP rule is out! And the black hole has been filled! The “old” 4 day rule is out, and the CFBP does a great job in giving clarity on what can “reset tolerances” in a loan.  I think they got this one right for sure.  It’s great to see regulators not only making the laws to help protect consumers, but revising the laws to provide clarity and ease of use!

Half the battle of all lending laws is having interpretation and implementation to systems and processes to help enforce them.  In this round, the CFBP got it right.  Check out the full video as I explain my interpretation, and how they make it easier to allow for a REVISED CD to reset tolerances.

As always I suggest you be more accurate than ever before upfront.  In fact you should input fees’ less common and be prepared for “inspections” and other transfer fee’s upfront.  No matter what it’s always better to go down than to go up.

This week I’m expanding my lending roster, and welcome helping your arsenal of lenders too! #LetsDoBusiness

As Always #SellWell

Whacked Out Wednesday – Estimate of Fee’s

#WhackedOutWednesday – Estimate of Fee’s need to be made in “Good faith”! Hence why it was called a GFE in the past.  The new name is Loan Estimate, the concepts of the fee’s are the same.  The rules of what can change, what can NOT change and what fee’s have a 10% tolerance have been updated, but the consensus is the same.  Nothing changed in how you should be putting together your estimates.  Know this stuff!

Below I will place the current chart that breaks down each section, however there are somethings worth noting.  A notable mention is the transfer taxes, go high on purpose.  You don’t need to over estimate 1000’s of dollars, but to add a few hundred just in case is ok.  Another notable is the SSPL, or Settlement Service Providers List, and how these fee’s labeled with a companies name in the beginning work.  Know how using a different company can be loop hole to fee variances.  Know how to calculate per diem interest and how to set up an impound account.  While certain things can change, there’s a best practice to be more accurate than ever before now.

Below is the current FEE chart, that breaks down the various “areas” on the LE as to what can change, what can NOT change and what has a 10% tolerance.  Know this, and get good at making estimates.  Yes, you want to under promise and over deliver, but “Fee’s” in general need to be more accurate in the act of Loan Origination than ever before.  The CFPB doesn’t want you way over disclosing and then making it a habit to reduce fee’s later on.  They want you to make an estimate “In Good Faith”

#SellWell

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Two for Tuesday – HOPA to the rescue!

#TwoforTuesday – HOPA to the rescue! PMI or Private Mortgage Insurance is a good thing, and explaining to clients how it works, what it’s for, and how it can be cancelled afterwards is all apart of making yourself stand out!

This comes in good timing as rates are going up, and Home Possible and Home Ready programs are more attractive as a result.  In my group Sales Talk with Mortgage Pro’s, a seasoned LO, asked for a price check across the board and asked over 4000 people what their price was for a 30 yr fixed, 80 LTV.  As a result I priced my own and found these two programs a potential “angle” they could pitch.  The crowd loved it, and then PMI came up.  One has it and one doesn’t.  Well there’s advantages and disadvantages to this, in fact PMI is tax deductable up to a certain income bracket still. (married 109k or single 54k).  Today I go over the two ways PMI can be cancelled to help you LO’s be able to explain how it works as a viable option to your clients.

Two for Tuesday – Give your clients options, a Government option and a Conventional with PMI option.  Look at saving them money in the bank and using the Home Ready or Home Possible options, then explain PMI to them.  As a result (assuming they qualify) this can help you stand out as the professional.

#SellWell

Monday Motivation – Get JUICY with Non-QM!

#MondayMotivation – Get JUICY with Non-QM – Join Us In Creating Yes’s from investors that want an easy loan to expand their portfolio of homes this summer.  An easy 10 day close, with Title, Appraisal and verified funds! There’s no debt ratio on this loan, yep, NO INCOME.  And NO RESERVES needed, and you can close in a LLC, and can have 100+ homes financed.  No problem.  This loan is golden for investors doing it right and want to expand their list of investment homes or want to take cash out of one to do improvements.

Today I go over a few updates that are FRESH OFF THE PRESS, to this program as a whole.  We updated the full matrix of guidelines for our Non-QM loan.  Check it out below ↓

This week I am on the hunt for more Mortgage Broker’s that could use our products in their lender list! If you don’t have this NINR in your lender arsenal, let’s chat, I’m expanding to help as many as I can!

As Always – #SellWell