Tuesday, February 26, 2013

Warrior Weekender – February 22, 2013

Ouch, here we go again????...The stock market is taking it on the chin this week, especially on Wednesday and Thursday in which the market posted the biggest losses so far this year.  Is it time to panic? I don’t believe so.

One of the reasons for the stock market declines is that Europe is once again back in the picture as economic data reports from the other side of the Atlantic are continuing to show signs that the European economy is slowing down.   Before we were dealing with the threat of European countries defaulting on debt, this time around it is simply that their economy is slowing.  Because we exist in a world that is a global economy that is all connected, whatever happens in Europe will impact the U.S.

Additionally, in the U.S, we once again are dealing with Congress’s inability to play nice in the sandbox and they are pushing the country to the brink of major funding cuts because they still cannot come to an agreement on spending cuts.  Although Congress has the power to pass another piece of legislation that will prevent the across the board spending cuts that will occur on March 1st, right now they are not even discussing it so the odds that the cuts will happen grows with each passing day.  The real drop dead date for Congress to take action is March 27th.  That is the day that the current government funding bill expires, and if the government doesn’t have a new spending bill in place, the government will shut down.

The bright spot in the U.S. economy continues to be housing, however even that is heading into some tough times once again. Existing home sales increased .4% in January which continues the growth trend.  However, that direction will more than likely reverse itself in the coming months because housing inventory is at a 13 year low.  There are not enough homes for sale compared to the demand.  This is once again driving prices higher in certain areas of the country and simultaneously mortgage rates have been creeping up.  Ultimately this will reduce home affordability.

The biggest bright spot in housing this week is that there has been a large increase in housing permits which means that home builders plan on breaking ground to construct homes that will invariably have high demand and assist in compensating for the lack of existing homes available for sale.

This week’s report may sound a little more doom and gloom than we have seen in a while, however I want to leave you with some positive thoughts.  There will be good weeks and bad weeks of economic trends.  Right now we are in a slightly negative cycle but the fact that real estate demand remains high and that is very promising.  Housing is the key to our economy in so many ways.  As long as people are willing to enter the housing market, that holds great promise for the future.

Tuesday is a big day for housing reports.  Stay Tuned…

Tuesday February 26th – FHFA House Price Index, S&P Case –Shiller Home Value Index, and New Home Sales
Wednesday February 27th - MBA Applications and Existing Home Sales
Thursday February 28th - First Time Jobless Claims and GDP

As your mortgage professional, I am happy to assist you with any information you may need regarding mortgage or real estate information.  I welcome the opportunity to serve you in any way I possibly can.  Please feel free to reach me at 707-455-7070

Saturday, February 23, 2013

New Homes in 2013 - Make the Right Move

In the New Year, people's thoughts turn to making a fresh start or improving something about their lives. Often this involves moving house or getting on the property ladder. If you're looking to buy a new home in 2013, what should you be considering?
Low Deposits with New-Build Homes
Last year, the government-backed NewBuy scheme was launched. It is designed to help reduce the impact of the need for large deposits in the current housing market. The builders put a certain percentage of each sale into a fund, which then protects the lender if a home owner fails to pay their mortgage and the property is repossessed.
The scheme is open to anyone buying a new-build home and allows them to move in with as little as a 5% deposit. This not only helps first-time buyers who are struggling to raise a large enough deposit, but also existing home owners who need to move to a larger property but have little or no equity and insufficient savings.
In order to take advantage of the scheme, the builder needs to be registered. However, most national builders and smaller businesses have already joined. They will have one lender or several that they work with to offer the mortgages. But this scheme isn't designed as an easy way to be accepted for a mortgage. The lenders will still have specific criteria that you need to meet and you will have to apply and qualify in the same way as before.
Other Financial Aspects to Consider
Even with this NewBuy scheme, buying a house is one of the most important decisions of your life. You should consider it carefully and make sure that you take independent mortgage financial advice beforehand.
Apart from applying for the mortgage, there are other financial implications of buying a home. The majority of mortgage products have fees and charges attached. The value of these will depend on the lender and the specific product, so make sure you're aware of them and whether they're paid upfront or can be added to the mortgage. Before they lend you the money, a bank will want to carry out a valuation or survey to ensure that the house is worth the amount you're paying. If the house is worth over £125,000, you will also need to pay stamp duty.
Once you've been accepted for a mortgage, you will need to consider taking out buildings and contents insurance for the property. This should be valid from when you complete on the house rather than the actual moving-in date. To help cover the cost of the mortgage, it is also wise to take out life insurance and some form of income protection in case of redundancy or long-term illness.
Buying a home can seem a complicated process, especially with the range of mortgages now available. However, if you seek the right mortgage financial advice they can guide you through the process and ensure that nothing is missed.

Article Source: http://EzineArticles.com/7480265

Wednesday, February 20, 2013

Obama: ‘Let’s Streamline the Process’ on Lending

By Alan Zibel and Nick Timiraos

President Barack Obama is adding his name to the growing list of people concerned that mortgage-lending standards have overcorrected, holding back the housing market.

During the market’s boom years, lenders extended credit widely, and common-sense practices such as verifying a borrower’s income often went out the window.

But now many in the mortgage industry and in government have been worried that the pendulum has swung too far back amid a slew of rules designed to prevent reckless loans. They say qualified borrowers are currently being shut out of the market, and Mr. Obama indicated he shares that view.

“Right now, overlapping regulations keep responsible young families from buying their first home,” Mr. Obama said in his State of the Union Address on Tuesday night. “Let’s streamline the process, and help our economy grow.”

Critics are likely to see no small irony there, given that many of the rules were mandated by Mr. Obama’s signature Dodd-Frank financial overhaul of 2010.

But there are more rules at issue than just the Dodd-Frank set, from appraisal restrictions to mortgage “put-backs” from investors to new rules for loan servicers, all of which are being hashed out by different regulators.

The remarks suggest that the White House, over the coming year, will make a bigger issue out of reducing barriers to credit for new buyers, as it has already tried to do for those seeking to refinance.

Many of these concerns don’t necessarily have to do with obvious underwriting standards such as down payments. Instead, borrowers and brokers have complained about lenders’ extreme caution about how borrowers must document their income, how appraisers value properties and other documentation and verification standards that make getting loans tough even for qualified consumers.

One way for the White House to act would be to weigh in on a stalled proposal from 2011 that outlines new standards for high-quality mortgages. These loans would be exempt from new requirements requiring banks to keep some of the risk on their books when they sell mortgage-backed securities.

This “qualified residential mortgage” proposal was mandated by the Dodd-Frank regulatory overhaul of 2010. But it ran into loud complaints from mortgage-industry groups and consumer advocates that it would hurt the housing market.

One solution: make this rule conform to another rolled out by the Consumer Financial Protection Bureau last month. The CFPB’s ability-to-repay rules were generally praised by most industry and consumer advocates, and some on the left and right believe it would make sense to match up the two regulatory approaches.

Mr. Obama also reiterated his call on lawmakers to pass legislation that would expand refinancing. But given resistance from Republicans, that legislation appears likely to remain stalled this year. As a result, the Treasury Department has been working on plans to spur refinancing that could be put in place without legislation.

Sunday, February 17, 2013

Our Focus Is .....

Here at Big Valley Mortgage our focus is on getting you the right loan and the right terms to fit your situation. A mortgage is a big commitment and you need an experienced professional guiding you through the process, answering your questions so that you'll know with confidence that you made the right choice.

Thursday, February 14, 2013

Monday, February 11, 2013

Meet Our Staff: Michael O'Rourke

Michael O'Rourke
As the owner of Big Valley Mortgage, I would like to thank all our employees, who over the years, have become like family. I would further like to thank all our loyal clients who have looked to us when they have needed Real Estate professionals. It is with everyone's help that we are privileged to serve the very community we live in.

Feel free to contact me at 707-455-7070 ext. 304

CA DRE LIC # 01259806/01215943
NMLS # 214645/1850
479 Mason St. Suite 109
Vacaville, CA 95688-4505

Phone: 707-455-7070 ext 304
Fax: 707-455-8337

Email: morourke@thelendingpros.com

Friday, February 8, 2013

Meet Our Staff : Jim Silva

I have been in the mortgage business for over 20 years helping clients achieve their financial goals.  My goal is to guide you through the mortgage process and help you decide the best product for your needs.
I have been a resident of Solano County all my life and watched our community grow.
After running my own branch of APMC for over five years I joined Big Valley Mortgage because of their integrity and dedicated staff.

CA DRE # 00924799
NMLS # 215349

479 Mason St. Suite 109
Vacaville, CA 95688-4505

Phone: 707-455-7070 ext. 311
Fax: 707-455-8337

Email: jsilva@thelendingpros.com

Tuesday, February 5, 2013

Meet Our Staff : Chris Norris

Chris Norris

CA DRE LIC # 01130448/01215943
NMLS # 220663/1850

As Part the Solano Lender team, I’m a California Licensed Broker who obtained a Bachelor of Science degree in Business Administration with a focus in Real Estate and Land Use Affairs in 1991. My work experience in this industry dates back to 1968 when my family entered the exciting world of real estate. I have had the pleasure of helping people achieve their dreams and goals as a lender since 1993.

Whether It’s taking my past management experience to tackle obstacles that get in the way of the loan process or just the ability to explain a document in a way that a child could understand, my life’s work is to help my relationships achieve their vision for themselves.

Thanks you for letting me help.

479 Mason St. Suite 109
Vacaville, CA 95688-4505

Phone:  707-455-7070  ext. 308
Fax: 707-455-7568
Cell:  707-365-8700 

Saturday, February 2, 2013

Meet Our Staff : Jim Fox

Jim Fox

Over the last 20 years, I have enjoyed helping my clients with construction, commercial and residential loans.  With my experience, I commit to making the real estate lending process as smooth and enjoyable a process as it possibly can be.  Big Valley Mortgage brings together all the tools I need to make that possible.  I am excited to be working with such a fine group of people.  I look forward to helping all my clients in Northern California.

NMLS # 198125/1850

479 Mason St. Suite 109
Vacaville, CA 95688-4505

Email: jim@thelendingpros.com