May 4, 2016 | By Chad Vanderslice | The numerous headaches predicted by just about everyone haven’t materialized…it was the mortgage bomb that wasn’t | TRID, which went into effect on October 3, 2015, was implemented to improve loan disclosures to consumers. It ushered-in timing requirements for disclosures that lenders must make to consumers and also created the necessity for online consent or E-Consent of loan documentation, loan estimates, and Closing Disclosures. The borrower acknowledges consent to receive documents electronically, and then automatically receives updates after certain milestones are met throughout the loan process. This also creates the ability for the borrower to acknowledge changes in the documentation in a timely manner. This process is the same for a borrower who is purchasing in their own name or in the name of an LLC, and applies to all conventional loans.
February 15, 2016 | By Melissa Cohn | The year ahead is likely to produce a number of surprises | With market volatility ongoing, investors have raced to safe haven investments in the treasury market. 10-year bond yields started the year at 2.20% and have dropped by ½ percent to trade in the 1.75% range. The huge drop in bond yields has helped to bring mortgage rates down just about the same ½ %, and if the economy continues to show signs of slowing rates will drop even further.
December 1, 2015 | By Melissa Cohn | A LOT! And I can’t impress upon you enough how important it is to remember yours! Take my word for it: the most sophisticated borrowers often use the wrong name on their mortgage applications. This problem most often shows up at the worst possible time, at the closing, when you’re asked to present your photo identification only to find out it doesn’t match the information on the application. Then watch what happens: all hell can break loose!
July 18, 2015 | By Melissa Cohn | 10-year bonds are driven by our economy as well as global economies, not to mention the other forces we don’t control. Domestically, the first quarter of 2015 was very weak, showing a contraction of -.2%. Current growth projections for the second quarter are at 2-2.8%. Data related to income, inflation, manufacturing and consumer spending is released weekly and closely watched by bond traders for signs of growth and weakness.
April 23, 2015 | By Melissa Cohn | Pressure is mounting to raise interest rates. When and by how much? | Right now the markets are predicting a rate hike no earlier than September, but the Fed could move more quickly if we start to see strong data in the next couple of months. The good news as it relates to the real estate market is that prices remain firm and are moving higher and there is strength in the reported number of sales.