The Top 10 Reasons Your Mortgage Broker Is In Foreclosure
1. The housing boom is turning out to be quite a bust right now. There were a lot of people that got rich very fast and now there are some people that are in the poor house. What is interesting is that you would never think that the person who probably did three refinance loans for you on your house is probably in worst financial shape than you are in right now.
2. It does not take that much to be a mortgage broker, loan officer, mortgage banker, etc.. You do not need any type of training or certifications. Some states make you take open books tests that you do online and its more like you pick an answer, it says your wrong, you keep guessing until you get the right one and then you move on. Not that hard. All it really takes to be a successful mortgage person is
Click here to continue readingThe Top 10 Reasons The Negative Amortization Mortgage Ruined The Mortgage Industry
1. The negative amortization mortgage was not the only reason but it did play a major role. At one time last year some major lenders like Countrywide had something like 8% of their mortgage portfolio in the State Of California were Negative Amortizing loans. As most of us know home prices in California are not cheap and to know that the 8% of the loans were in the billions of dollars its easy to see why Countrywide took a dump.
2. I don’t know what idiot or genius thought of this loan. The idiot that said lets give people the opportunity to pay less than the interest so the loan goes up in balance and you know what let’s give them the option to defer it up to 115% or even 125% of the value of the loan. The genius that said we can make a boat load of money making these loans
Click here to continue readingThe Top 10 Reasons You Should Never Get A Mortgage With A Mortgage Broker
1. First off mortgage brokers are not bad people. They are just trying to earn a living and have found a way to make a lot of money with very little personal risk. Mortgage brokers get a bad rap sometimes because of a few people that have misled clients. This happens in all industries but is in our faces more recently.
2. A mortgage broker is somebody who is a middle man between banks, credit unions, and investors. They work with so many companies because some have more programs than others or are willing to take a risk on a certain borrower.
3. Mortgage brokers do not lend you money. All that they do is the shopping for you and charge you a premium to do it.
4. If you currently are working with a mortgage broker or have in the past look for a line on the Good Faith Estimate(GFE) where it
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