Market Update

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Interest Rates Are Down!

No Application Fee, No Lock in Fee, No Commitment Fee,

No Hidden Fees

30 Yr Fixed Rate

4.375%  APR4.384%

10/1 Arm

4.125%  APR 3.504%

7/1 Arm

3.625% APR 3.268%

5/1 Arm

3.25%  APR  3.104%

Market Update 

Friday June 10th, 2011 5:56 pm ET

 
By John Sauro

Mortgage Rates Continue to Slide

 

Surveys released by  Freddie Mac confirm that mortgage rates to fall.
The 5,7 & 10 year Arms have declined the most.  With 30 year fixed rates a favorite, especially with rates as low as they have been, it still makes sense to evaluate your long term plans.  You may save quite a bundle financing with a shorter term loan if you plan to move in 5, 7 or 10 years.
Mortgage Bonds have advanced, but failed to hold onto Tuesdays Rally. However, they are supported at the 25 -Day Moving Average.  A bit of advice, don’t try to time this market.  Like any market, the bottom is identified after the rates move up.

Broker or Bank?

 

It’s quite astonishing how little the general public knows about what has been happening in the lending markets.  Every now and then I have a conversation with someone seeking home financing and they believe that the banks will give them the best terms for financing.  It’s really naive when you consider the bad publicity the big banks have had over the past three years.
 
First – let’s remember that the big banks and Wall Street were responsible for the shape the economy is in.
Second – they robbed you and I, the “Taxpayer’ of $700 Billion dollars (the “Stimulus Package”), of which they never made loans with, as was the governments intended use.
Third – the Banks are not required to educate, license or test their loan originator employees as
Brokers and small Lenders are.
Fourth – Banks do not disclose all their fees and revenues as Brokers & small Lenders always have.
Fifth – Recent laws and rules make it impossible for Brokers and Small Lenders to take advantage of the consumer.  However, Banks are exempt and are taking advantage of the consumer.
Sixth – The Banks are not Banks; rather they are Brokers, as they don’t lend their own money. They sell the loans to Fannie Mae, Freddie Mac and FHA.
Seventh – Therefore, doesn’t it make sense that since the bank is really a broker; why not use a broker that has many more options than those of one bank.
 
I strongly recommend watching the recently released HBO Movie “Too Big To Fail”.
I was a Contributing Editor for CNBC, Bloomberg and Fox TV during the credit meltdown and will say that the movie is pretty accurate and does a good job of explaining who was responsible for the credit crisis and how it all unfolded, in a way that the average person can understand. 
The point is; there are better options available for home financing than using the very banks that are responsible for the Credit Mess, Hi Unemployment, Falling Real Estate Values, and Wiping Out a chunk of your 401k.

Economic News

 

Stocks closed near session-lows Friday. The Dow fell below the 12,000 mark to finish lower for the sixth-consecutive week.
Jobless Claims Rose More than Expected, Up 1,000 to 427,000
Trade Deficit at $43.68 Billion in April 
 

 ONLY STATE LICENSED MORTGAGE BROKERS ARE EDUCATED & TESTED.
BANK ORIGINATORS ARE NOT!
 

For more than 14 years the experienced advisors of North Atlantic Mortgage Corp. have been successfully guiding clients through the complexities of residential and commercial finance.  North Atlantic Mortgage Corp. provides individuals and corporations with holistic strategies using unique financing solutions across a breadth of financing products. The insight into market trends demonstrated by North Atlantic Mortgage Corp. has made the company a staple in the media with regular appearances on Fox News Channel, CNBC, Bloomberg TV, as well as being featured in Business Week, Wealth Manager and others. Through attentive service and prudent, thoughtful advice, North Atlantic Mortgage Corp. strives to consistently provide its clients with the highest quality of guidance and personalized service available.
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North Atlantic Mortgage Corp. is a registered Mortgage Broker with the New York State, Connecticut and Florida Banking Departments.Loans arranged through third party providers. MORTGAGE BROKER ONLY, NOT A MORTGAGE LENDER OR MORTGAGE CORRESPONDENT LENDER. Member NAMB, CTAMB. NMLS # 1375 & 42481 

Rates are subject to change without notice. Call for details.

30 Yr. Fixed rate quoted is for loan amounts to $417,000 for rate & term refinance and purchase loans and require a minimum credit score of 740 and maximum loan to values of 80% and a 30 day rate lock and has a rebate of 0.078. 30 Yr. Fixed rate jumbo quoted is for loan amounts to $708,000 for rate & term refinance and purchase loans and require a minimum credit score of 740 and maximum loan to values of 80% and a 30 day rate lock and requires a loan discount fee of 0.406.   10/1, 7/1 and 5/1 Arm rates quoted are for loan amounts to $1,000,000 and are for rate & term refinance and purchase loans and require a minimum credit score of 740 and maximum loan to values of 80% and a 60 day rate lock.  Rates quoted are for properties located in Connecticut. Rates for New York Properties require additional fees. Call for quote. Rates are subject to change without notice.

 
 

 

 

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