Profile picture for Clay Branch

Clay Branch

Lender

Mortgage Banker (23 years experience)

Specialties:
Purchase Loan,
Refinancing,
Self Employed Clients

Advice

  • (10006 Contributions,
  • 172 Best Answers,
  • 3619 Helpful)

Contributions are sorted newest to oldest.

Closing Costs on Jumbo Loans Really 3-5% ?

Answer

Settlement fees to you include Closing Costs and Prepaids. Your post says Utah, if you are buying in Utah the Closing Costs should be aprx $7500 - $8000 if Lender Fees are $1000 or less. If you pay a point to buy the rate down then add another 1% to the Closing Costs. On the other hand, since the loan amount is large you can probably offset most of the Closing Costs by taking a rate 1 level higher than the Par rate, say 3.875% is the par rate ( $1000 Lender Fees ) then a rate of 4% should pay a Lender credit to offset most of the CC.The other part of settlement fees is the prepaids, that includes prepaid interest, 1 year Hazard Insurance Policy, tax / insurance escrow, and any HOA fees. Using a rough estimate of say $5000 for prepaids and $8,000 for closing cost then $12,000. On a transaction that size it should be easy to get a $12,000 Seller Concession unless properties in your area are selling at listing price or above.

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25% down payment requirement for a condo in Maryland?

Answer

Steve, if there was a minimum down payment requirement ( State Imposed ) it would be included in the Maryland Condominium Act, I don't see anything referencing that including changes for 2016. Ken Kopper's post is a good guide for financing options. As mentioned, the 25% benchmark does apply to conforming loan pricing adjustments, if less than 25% down then a price adjustment of .750 is applied but has nothing to do with the down payment requirement. 

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Urgent: Need Mortgage Experts Help with FHA Refinance

Answer

Based on the numbers you posted, it's a fair offer. It's possible you could contact 10 more lenders and get it down to 3.25% or 3.125% but even at 3.125% the difference in payment would only be aprx $9/month. You will easily qualify since you are lowering your payment over 20%, it's a no brainer given the no income/no debt ratio qualifying, saving over $150/mo, and dropping 9 years of payments. You will get a partial / pro-rated refund of the initial UFMIP you paid when you purchased, too.Now I see you posted this on April 2, pricing was better then. Did you close in May?

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Prepping to buy a home

Answer

Do you think your scores are higher or lower than 620? If your scores are lower than your husband's and both of you are on the mortgage then your middle score from the 3 Bureaus is the controlling score. If you want to discuss then you can send me an email from my profile page ( click picture).

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Rates on the move again!

Answer

Pasa, while we were way off our own talkin head ( Paul ) wasn't, he should have posted his number since he thought it would be around 300K. Big increase in Leisure/Hospitality, seems like Construction should have been even higher given the April Construction Spending number up 2.2%. Const jobs were up 35K last month followed by 17K this report, compare that to Jan/Feb of 41K / 31K "when it was cold". If retail sales come out flat again next Thursday then gains from today reverse.    

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Rates on the move again!

Answer

I'll take Door 3, 185K Headline number on NFP. The whisper number is 300K according to 3 different talking heads on CNBC, pretty sure that is where Paul is leaning too. Ok Pasa and Paul, post yours. You too, Hamp!    

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FHA to Conventional - Prorated MIP due at payoff

Response

Ragerkris, that is why I asked:did you close an FHA loan after Jan 21 of this year, then refinance into a Conventional loan? you answered:Yes, my loan closed March 3rd and I refinanced into a conventional mortgageThe term " closed ", I assumed you meant you just bought a home, then refinanced. ( which would have been very weird ). 

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Refi 105% CLTV

Answer

You will have to pay the 2ND mortgage down so that the CLTV ( combine the 1ST and 2ND mortgage amounts ) is 95% of the appraised value. If the 2ND is a Heloc you can pay down to 95% and cap the line there as long as the 2ND lien holder agrees.  

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