What's new in the Mortgage Industry!

Have you ever Googled yourself? I did recently, and surprisingly, found that I am the top 5 or 6 entries on the search. I put in Jennifer Hernandez Mortgage. This strange phenomenon is purely by accident, but a result of a young gal that worked for me that made sure I was blogging and posted on Twitter and Linkedn. It’s not that much work if you delegate it.. Just hire someone fresh out of college! They know all that stuff. There are so many ways to promote yourself, it is mind boggling. But one thing for sure, you need an internet presence. People Google you and research, before they choose your services - Even if referred to you by a friend. If your 'lookup' shows nothing, they may be hesitant to do business with you.

What’s new in the mortgage industry?
HUD (FHA) has issued Mortgagee Letter 2010-28, that as of October 4, the FHA upfront premium will decrease from 2.25% to 1.0% ($13/mo lower on a 200K loan) and increases the annual premium from .55 to 1.55 (so for example , on a $200,000 loan, that is an additional $154 per month. A good reason to buy a house this month!
FHA is still pondering lowering seller contribution to 3% from 6%. It has not become official yet...but look for that in the very near future. Another reason to buy now.
Interest rates are at all time lows - These rates will NOT last forever, people. Waiting and speculating that you know the market, and dreaming of low rates into 2011 could happen, could not. Are you willing to gamble that? On a $200,000 loan, that is a CURRENT SAVINGS of $126/mo (the difference between a rate of 4.5% and 5.5%) - Another reason to buy now.
The Houston economy will be one of the first to recover. We are recovering! Jobs are still coming, and as people get back into the workforce, and stocks begin to rise, prices will steadily creep back up as renters become purchasers. Yes, we have seen a bit of a dip in prices over the last year. Yes listings are up, and I have heard some say it’s a buyers market right now. But we still are at a healthy levels of monthly inventory (7, with 6 being stable). Buyers....don’t be fooled for long. As will rates go up, so will home prices. This phenomenon will not last forever. If you decide to wait, hopefully you will not later say ' I should have......' - bought when rates were in the 4-s? Another reason to buy now.
Mortgage companies are facing record breaking compliance. Nothing we have ever seen. Even the CEO of Chase said last month, that in 2011, the cost to comply with the Financial Reform Bill will increase their cost 11%. Do you think they will absorb that? No way...... every customer who has a checking acct or mortgage with them will. Look for mortgage fees to rise, and also rates. They (all lenders) will 'pad' their margins. Do you not think that the big banks (WF, Chase, BOA, etc ) were not behind all this reform? They want (1) all the business (2) all the profit, and (3) did I say all the business? Oh, and service? What’s that? Closing date? What’s that...we will close when we can close. ANOTHER REASON TO BUY NOW.
Guidelines are getting stricter. Even still. Every day. Need I say more? ANOTHER REASON TO BUY NOW.


As always, I hope you found these thoughts helpful. I also hope that as you have gotten to know me through my weekly blasts, that we have developed trust. You know how I think, you know about my kids, you know the things I like and don't like. Also know that when your clients finance with us, our goal is to take the very best care of them, so that we close ON TIME, and ACCURATELY. We have processes in place to do this, like updating realtors (listing and buying) every Tuesday during the transaction. Docs to title early. Attending closing. WE make you look good for referring us!
Have a great weekend!



RATES as of September 10, 2010 (UNCHANGED FOR THE WEEK)
The following assumptions apply:
20% Down Payment (Conforming) / 25% Down Payment Jumbo (Lower down payments available – call for details)
1% Origination Fee
Escrows Required (if no escrow, higher fees may apply)
Purchase Transactions, Primary Residence (Refinances have different rates)
30 day closing
Credit Score 740 +
Debt to income ratio <=40%
Full Documentation of Income/Assets

Conforming ($200,000* - $417,000)
Jumbo ($417,001- $1,000,000*)
30 year (fixed) 4.375% APR 4.504%
30 year ( fixed ) 5.375% APR 5.492%
15 year (fixed) 4.000% APR 4.224%
15 year ( fixed ) 4.750% APR 4.946%
5/1 ARM 3.375% APR 3.395%
7/1 ARM 3.750% APR 3.574%
5/1 ARM 3.500% APR 3.593%
7/1 ARM 3.750% APR 3.748%
10/1 ARM 4.875% APR 4.372%

FHA/VA call for quote (max loan $270,000)




We do originate loans below $200,000. These amounts are chosen to show the most favorable rates.
For other product options or for loan amounts less than $200,000 or above $900,000 please call for quote.
Call for details!


If you know of someone who would appreciate my services, please contact me with their name and number and I will be happy to help them!


Jennifer Hernandez
Vice President/Mortgage Consultant
Patriot Bank Mortgage

Office: 713-337-8400
E-mail: jennifer@patriotbankusa.com
Blog: www.loanwithjennifer.blogspot.com


Information provided in this e-mail is intended as a tool for Real Estate Agents to be informed of the approximate rates available for home mortgages. It is intended for their sole use and purpose only and is not for distribution to the general public. Depending on the borrower's actual circumstances, such as credit, debt ratios, etc., rates may vary. Special niche products may also be available.