Russ Boyd's videos syndicated by

The NEW RULES of Mortgage Loans
and what it means to you

The role of your mortgage lender is truly heightened as a result of all the new regulations you’ve been reading about over the past year.  More than ever, you need to make the right decision on what lender you’re going to use the first time.

There was a time in the not so distant past that you could start the loan process with one lender, and take it to a new lender if you were displeased with the first one.  It could be that they were moving too slowly, or perhaps their appraiser came in much, much lower than you'd expected.  Maybe you were able to find a better rate.

Well the world has changed and now that’s completely a thing of the past.  The sad truth for the consumer is that portability of the single-family loan is dead and Congress made it so.

Let’s say that you are really displeased with a broker or lender for whatever reason.  Well sadly, you are now forced to stick with them, because to use another lender means starting all over.  And let me tell you from experience, you don’t want to have to start over!

There would be new costs for a credit report, new disclosures, and a whole new appraisal, and all this is not only costly, but time consuming as well. And to make matters worse, rates are trending up, so any delay in the process can make a big difference in the cost to you in interest.

While we could debate endlessly whether this serves or hurts the consumer, these are the new regulations and laws coming out of Congress.  They are being implemented by the regulators and nothing we say is going to change them.

Whether you are a buyer needing a new purchase loan or a homeowner looking to refinance, the first thing to do is you must get serious about lender selection.

For buyers being represented by a real estate agent, you must be sure that your agent can assist you to make a wise choice.  Any broker or lender referred by your agent should have a proven track record based on past experiences with other clients, plus solid references, and the ability to get it right the first time.

Real estate agents will now have to become increasingly knowledgeable about new regulations that could impact the relationship between Realtor, borrower and mortgage lender, and your Realtor must truly be careful in choosing which lenders to work with.

Finding a lender with the lowest rates can no longer be the primary criteria.  It is now crucial to find a mortgage broker or lender who fully understands the new regulatory environment, one who knows how to navigate all the new laws and knows how to close loans without stumbling over the new restrictions.

With the complexity in today’s mortgage and real estate market you will benefit from the advice and guidance of an experienced and knowledgeable mortgage and real estate professional.  I’m always available to answer your questions or discuss your concerns.  Just text, call (650 325 7877) or email me for a prompt response.

If you are in the San Francisco Bay Area, I invite you to take a look at our Resource Center,  www.AboutBayAreaHomes.com. There you will find links for active home listings, including bank owned and short sales, home loan information,  market activity reports, home seller strategies, staging and decorating, a suite of 19 calculators, plus my book, “Let’s Make a Deal, The Insiders Guide to Buying and Selling Real Estate” and more.

Russ Boyd and his team professionally assist buyers, sellers and homeowners in the Peninsula Communities of the San Francisco Bay Area. They serve clients in San Mateo, San Francisco, Santa Clara, Alameda and Contra Costa counties. Licensed as a Real Estate Broker by the California Department of Real Estate, 01264240. National Mortgage Originator License 230411.