Florida Mortgage : Learning Center

When you are shopping for your new Florida home mortgage and you finally find the interest rate, closing costs and terms you were expecting; please ask your mortgage professional to lock in your rate.

Once you have locked in your low Florida fixed mortgage rate; you can relax and look forward to all of the benefits that come with home ownership.  You will own a piece of Florida. A piece of these United States of America.  Isn’t that a great thing to focus on?

Remember, find your trusted Florida mortgage professional and learn about which mortgage program best suits your finances.  Review his or her very accurate Good Faith Estimate for low costs. And lock-in that low interest rate because this mortgage market is moving fast.

For more Florida mortgage assistance; call one of our mortgage professionals at 888.399.0520 or visit BeechTree Mortgage online.

I often start my morning review of current economic events courtesy of www.CNN.com.  This morning an interesting mortgage payment jumped out in one of those banner type mortgage ads.  I honestly can’t believe this type of mortgage Internet marketing still goes on in today’s damaged mortgage market.

The ad read that you could borrow $180,000 with a Florida mortgage and have a payment well under $699 per month.  This type of mortgage marketing may get clients to call, but please beware - this is most likely a negative amortization mortgage. 

Yes, the payment may be less than $699 per month, but the interest owed on the mortgage is being added on top of the principal balance each month.  Every time you pay the low mortgage payment due; you owe more than the previous month.  

I have consulted with many Florida residents who read similar ads and unknowingly obtained this type of mortgage.  They learned about all of the crucial mortgage details after closing, and that’s simply too late.

And there’s more bad news!  The interest rate ( not the mortgage payment rate) is adjusting every day.  And there is usually a prepayment penalty with this type of mortgage. 

Always inquire with a seasoned Florida mortgage professional about such seemingly low payment options.  We must always look at the “catch” with these advertised programs.  A Florida mortgage professional will review better options that will place you into a safer conventional type mortgages.  Call our office or email us and discuss your options today; 888.399.0520. 

With all of the Florida mortgage lenders and banks; a new home buyer may seem lost while shopping for the best fixed rate mortgage.  Remember too, there is more to shop than just the lowest advertised fixed interest rate.  Here are some tips to help narrow your decision.

• CREDIT SCORE:  You should know your credit score before you call or Google for your new fixed rate mortgage.  When asked, give an assumed credit score.  Once you decide which mortgage company you want to use; they can always verify later.
• DISCUSSION:  After speaking with a mortgage professional, do you feel comfortable with him or her?  Don’t forget to ask- How long they have been in business?  Can they provide a lock-in commitment in writing?  Will they give referrals of previous clients?  How much are they going to earn if they close your loan?  (Great question).  And always check them out with the Better Business Bureau.
• MINIMUM INFO:  Provide enough mortgage loan information so a Good Faith Estimate can be prepared.  Information such as; purchase price, estimated market value (check www.zillow.com), loan amount requested, which mortgage plan (30, 25, 20 15 or 10 year fixed rates, 1, 2, 3, 5 or 7 year ARM’s, VA Home Loan, etc…
• GET IT IN WRITING:  Ask for the Good Faith Estimate in writing.  You need this to compare interest rates with the same mortgage program as well as closing costs, prepaids and escrows.  You should see similarities between these estimates.
• APLLES TO APPLES:  If you are being charged discount points, ask what the interest rate would be if you didn’t want to pay them.  Discount points are an option for you to buy-down the interest rate.  Make sure all your estimates have no discount points and no origination fees; makes comparing easier and you save money.
• REVIEW:  Review your favorite mortgage professional provided Good Faith Estimates and ask to have your mortgage loan approved and your interest rate locked-in. 

Sounds easy I know.  Just make sure you are getting quotes from reputable mortgage professionals that can honor what they are advertising.  For your own refinance or purchase mortgage Good Faith Estimate contact our office at 888-399-0520 or email info@beechtreemortgage.com.  Remember, if it looks to good to be true, it is - and if you feel you were treated unfairly with any mortgage related issue, contact the Florida Department of Financial Services. 

Several banks that have provided Home Equity Lines of Credit for Florida homeowners; recently started freezing mortgage accounts.  Normally this would be due to the homeowner missing 1 or 2 monthly mortgage payments or perhaps running a little behind the due dates.  Boy, how things have changed. 

We are receiving several calls from Florida homeowners who have been notified their Home Equity Line of Credits have been frozen and they can no longer borrow more money.  Some, haven’t even used the available credit for the purpose they had in mind when they opened them.  Others were tapping their equity lines for expensive necessary items like gas and food.  We are in a recession, are we not?

These banks, including, National City and BOA, have reevaluated the home owners current appraised value through their own AVM sytems.  Since property values are still declining in Florida, the results are that the Equity Line amount is too large and must be reduced or cut-off completely.  Keep in mind, these Equity Lines of Credit are 2nd mortgages; since there is usually always a 1st position mortgage, in place.  If the homeowner defaults, the 2nd mortgage holder gets whatever is leftover, or worse, nothing.

If you have a Florida Home Equity Line of Credit and have need for the funds available; it may make sense to draw funds immediately and place in an interest bearing account for near future use.  Whether you need to replace you frozen equity line or simply receive a new one; call our office to discuss your Equity Line options at 888-399-0520.

Our economy has been through so much the past year; with sub-prime mortgage issues, foreclosures soaring, loan-to-value problems; it’s no wonder many have left the Florida mortgage market altogether.  I believe it’s the habits of successful Florida mortgage professionals that has allowed us to remain in business.  Specifically,  long term responsibility always wins over short term gain.

Mortgage businesses opened everywhere over the past 5 years asexpectations of propserity grew in the Florida mortgage market.  However, some were being led by greed and greed alone.  These were companies with motto’s that making money was more important than taking are of Florida home owners or first time home buyers; bad habits. 

 Just a few years later, hundreds of these gluttonous mortgage companies had closed their doors.  Their habits in the mortgage industry never had the consumers interest in mind.  No one referred new friends or relatives because they themselves weren’t assisted fairly.  A Florida mortgage professional is one who places the home owner or home buyers interests ahead of their own monetary gain

If you can’t assist client’s in specific mortgage financing choice or discuss the advantages or disadvantages of a particular mortgage program; all with full disclosure; then you aren’t doing you job as a mortgage professional.  Clients call and expect our insight with various mortgage programs and availabilities so they can sort out and choose the best financing that fits their specific needs.  Everyone is different.  That’s why there are so many types of conventional mortgages.

Integrity means so much in this business.  The biggest problem with this industry is the disclosure of terms, prior to closing.  I truly believe and live by full, verbal, and honest disclosure is where we start. The fact that new home buyers will sign paper disclosures later, at closing, is wonderful.  But Florida home buyers or owners should already know the details of their mortgage choice well before closing.  Disclosures are mean’t to put in writing what you already discussed in detail with your mortgage professional. 

If you are talking with a bank loan officer or Florida mortgage broker regarding refinancing or purchasing your new home; make sure your mortgage professional has covered important topics, early, such as: prepayment penalty possibilities; adjustment factors, margins, indexes, adjustment caps; why a particular mortgage may make more sense than another; your long or short term expectations; etc…

Need help with your Florida mortgage related questions?  Want to know if you should refinance? Can’t decide which mortgage program best suits your financial future?  Call our mortgage professionals at 888-399-0520.  Or email your questions to info@beechtreemortgage.com.

Attention all Veterans seeking a new VA Jumbo sized home loan.  VA allows loan amounts in Florida all the way up to $1,000,000, for qualified Veterans.  Since VA guarantees 100% of the loan amounts up to $417,000; Veterans can “self-insure” the rest.

This is done by allowing qualified Veterans to put 25% of the difference between the purchase price and $417,000.  The advantage for Florida Veterans is the dramatically lower VA 30 year fixed rate.  Veterans can achieve what the rest can’t.  They can purchase beautiful dream homes above the conventional loan limits and borrow Jumbo sixed mortgages at rates that are at least 2.50% lower than non-VA Jumbo fixed rate mortgages.

Veterans purchasing large homes in Florida should call our office at 888-399-0520 and receive their free VA Jumbo fixed rate Good Faith Estimate.  We have been doing this for years and we appreciate your dedicated service to protect our family and our Country.

The Feds did decide to lower the expected Fed Funds rate yesterday by .25%, to a reduced 2.000% level.  This is the rate that banks charge on overnight delivery to each other; and not to be confused with a reduction in Florida fixed interest rate markets.  

However, you may find that you are saving money with respect to your Home Equity Line of Credit.   If you currently have a Florida Home Equity Line of Credit with an interest rate tied to Prime Rate; then you will be paying less as banks lower their Prime Rates as a result.  Today’s Prime Rate has been reduced to 5.000%.  If you need an Equity Line, now may be the time to call your local bank or mortgage professional for your Good Faith Estimate. 

Remember to compare interest rates, program terms, and ask about prepayment penalties.  Although they usually exist with Home Equity Lines of Credit; they are most likely just reimbursing the Florida taxes and small lender title search fees, etc.  If you need to see an accurate Good Faith Estimate for your new Home Equity Line of Credit call 888-399-0520.

As a Florida Mortgage Professional it is my job to not only match clients with specific mortgage loans to mee their varying needs; but to also shop for our lowest available interest rates.  I then must update any changes immediately on our very popular web site at BeechTree Mortgage.com .  This morning I noticed something unique to Florida Veterans and their search for fixed rate VA home loans.

Our 30 Year fixed interest rate available to Florida Veterans obtaining VA home loan amounts under the $417,000 loan amount, have increased slightly to almost 6.50%.  The great news, however, is the VA Jumbo Loan 30 year fixed rate is holding at 6.250%.  These are both available with no discount points and no origination fees charged to the Veteran. 

Remember the VA Jumbo home loan is limited to $1,000,000; and requires a down payment.  VA allows no down payment up to the VA home loan guarantee of $417,000.  For more information about a Florida VA fixed rate home loan or VA Jumbo fixed rate mortgage; please feel free to call our office at 888-399-0520 or email us at info@beechtreemortgage.com.

I recently assisted a new resident of Florida regarding his new home financing in Oviedo, Florida.  He found his dream home from a local builder who of course wanted to make sure he received his mortgage financing from their own mortgage company.  As a matter of fact, the builder even owns the title company.  Interesting.  There are 3 goals to consider while deciding which mortgage company is best.

With this builder’s”one-stop” shopping theory our client walked in, signed the new home contract and received documents regarding his new home mortgage.  Now, the only option provided was a 90% loan-to-value, with monthly private mortgage insurance; and a higher than average fixed interest rate.  Higher fixed interest rates allow builders to contribute towards the buyers mortgage closing costs, and reduce the out of pocket expense for the buyer.  However, the buyer ends up paying even more with higher monthly payments. 

Florida mortgage seekers are always interest rate and closing costs minded consumers; or should be, and thats great.  But don’t forget the 3rd goal in this whole mortgage process.  That is; which mortgage program or scenario, of thousands, should a specific Florida resident-to-be obtain?  That is the job a true Florida mortgage professional. 

The builder’s push to create simplicity for the Florida home buyer has missed the most important goal of all.  Is the buyer getting the best financing program and what other options are available.  We Florida mortgage professionals know that if Florida home buyers purchase homes without knowing all of their mortgage options; the buyer loses. 

Sowhen you are shopping for your new Florida home mortgage, make sure you call your favorite Florida mortgage professional for sound advice on which mortgage progams suit you best and why.  Remember the 3 goals, a low interest rate, low closing costs, and the right mortgage program.  For immediate assistance call 888-399-0520.

In today’s ever restrictive mortgage market; it’s nice to know that Veterans have a huge advantage when it comes to refinancing their current Florida VA mortgage home loan.

By removing the requirements of an appraisal, income or asset questions; Veterans can refinance into lower fixed rates or lower termed mortgages in a streamlined fashion.  The biggest qualifying criteria is that the Veteran has made the past 12 VA mortgage payments on time.  That’s really about it.

If you think your interest rate is too high or you want to reduce the term on your VA home loan mortgage and save thousands in long term interest; email our VA mortgage professionals or call our office now at 888-399-0520.