All Encompassing Mortgage and Real Estate Thread

[Neonmoon 38130]

34 minutes ago, Wulaw Horn said:

I didn’t get a lock alert but I did get 8 we are repricing for the worse if that makes you feel better. 
All while i was on a 15 or 20 minute walk. 

Appears my company priced in the shitshow this morning. I locked. 

[Neonmoon 38130]

Powell says we are fucked. 

[Wulaw Horn 19560]

17 minutes ago, Neonmoon said:

Powell says we are fucked. 

They’ve been wrong about everything so… good news! 

[LCHorn 2749]

21 hours ago, Wulaw Horn said:

No problem getting a 2nd loan. You will probably need a rental contract for the townhome to be able to offset the payment but that shouldn't be a big deal at all. 

NO- an offer of 1.2-1.3 will not get laughed at, might not get accepted but they should still be willing to at least counter you with something other than "Go fuck yourself"

Physician loans are a niche within a niche- a couple people are probably still doing them but it will be a bit on the unusual side in all likelihood.

As far as what you can expect rate wise- 

For our best qualified people on a jumbo (750-2M) you can expect somewhere around 5.75-6.0 depending upon the length of the term of your arm (5, 7 or 10 years)  That would come with 20-30% down depending upon if you are more like 1M, more like 1.5M or more like 2M.  This is a HARD program to qualify for. No points, no lender fees even, but you need credit, assets and income all to be pretty top notch.  

If you can't get qualified on that program your ARM rate is probably going to be somewhere around 6.75-7 and you are going to be paying points.  This option sucks b/c...

On a fixed rate you should probably be able to get somewhere around 6.75 and that would be without paying any points.  And the rate can never change. So that's a no brainer compared to those other arms.

 

Here is a primer to physican loan space along with everyone who currently offers one (click below)

https://wrennefinancial.com/physician-mortgage-loans/

 

 

 

 

 

Not picking on @Wulaw Horn but I think it's worth pointing out the date on that link and at least some of those are no longer available (have you heard we've had a lot of drama in our industry in the last year?  There's more to come as banks start to fail).  Northpointe and Huntington have shuttered their physician loan programs (or told us they did), Amplify isn't making first liens period (and I don't think they had a physician loan to begin with but were probably happy to call their regular jumbos "physician specials" if it marketed them better. 

If you've purchase a house before you probably don't need them, anyway.  They are most useful to fresh out of medical school doctors that want to spend more than their student loan debt and credit history would normally allow. 

[Wulaw Horn 19560]

17 minutes ago, LCHorn said:

Not picking on @Wulaw Horn but I think it's worth pointing out the date on that link and at least some of those are no longer available (have you heard we've had a lot of drama in our industry in the last year?  There's more to come as banks start to fail).  Northpointe and Huntington have shuttered their physician loan programs (or told us they did), Amplify isn't making first liens period (and I don't think they had a physician loan to begin with but were probably happy to call their regular jumbos "physician specials" if it marketed them better. 

If you've purchase a house before you probably don't need them, anyway.  They are most useful to fresh out of medical school doctors that want to spend more than their student loan debt and credit history would normally allow. 

No problem at all man. I don’t work in that space/ it’s a niche and that was just meant to be a starting point not authoritative. 

[BearSchlong 8228]

The other issue for savvy homeowners is that property tax caps reset when you sell and buy another house. So let’s say you have a $500k house with $10k property taxes. Every year they can only go up 10% in Texas. But house prices have almost doubled in the last few years. If you go buy the same size house it’s now $900k. Your property taxes reset and are now $18k, almost double. Ouch. 

It’s based on ad valorum appraisals and not transaction records, right?


Every time I sell or buy a house I get a “survey” in the mail from my CAD asking for pricing information.

I rip it up, throw it away, and mutter “it’s none of your fucking business”

That, and my last two purchases were most definitely NOT arms length transactions.

Edit: read all the posts above mine and apparently it is based on transaction records?

[Dbeasy 15526]

Ad valorem, but obviously if they get the transaction data they will adjust the appraisal to reflect the transaction as part of their analysis. 

[Beantown Express 2.0 6586]

Just want to send a shout out to Wulaw for helping me close on a new house yesterday.  He locked me a few weeks ago at a rate that was way less than what others were offering me.  The whole process was done in 2 weeks and everything went smoothly.  Thanks again Wulaw. 

[Wulaw Horn 19560]

4 hours ago, Beantown Express 2.0 said:

Just want to send a shout out to Wulaw for helping me close on a new house yesterday.  He locked me a few weeks ago at a rate that was way less than what others were offering me.  The whole process was done in 2 weeks and everything went smoothly.  Thanks again Wulaw. 

My pleasure sir. Thanks for letting me help. 

[UTPhil2006 3908]

Nice little .06 drop so far on the 10 year.  Guessing when we hit the 4.06 high last week they priced in everything early and are now retreating to normal 

[Wulaw Horn 19560]

70% of outstanding mortgages are below 4%
20% more are between 4 and 5%. 
 

So, we could be stuck in this rut for a looooooong time, or, I need to be right and rates need to trade between 3.75 and 5.25 which should get most of the inventory situation unstuck. 
I was looking at my last customer list and I think I only have about 25 (out of about 400 customers) on my list that I’d ever expect to Refiance over rate in the next 12-18 months (when I think it will get to 4.5% or so). Will be interesting to see the point where people stop caring about “I have a 2.75 or a 3.25) and feel comfortable selling because the new rate is “only” 4.0 or 4.5 or 5 or 5.5. I don’t know where that point is at. 

[UTPhil2006 3908]

VA now available on the 1 time construction program from a couple pages back 

[Wulaw Horn 19560]

1 minute ago, UTPhil2006 said:

VA now available on the 1 time construction program from a couple pages back 

They doing 100% on those loans or something less?  
Someone had a bad day today with that news. It’s a niche of a niche that about two people do and everyone avoids. Now 20% of the population can do it. 

[Mother mopar 3379]

They doing 100% on those loans or something less?  
Someone had a bad day today with that news. It’s a niche of a niche that about two people do and everyone avoids. Now 20% of the population can do it. 

Great news if you're one of those two people like me...game on son.

[Neonmoon 38130]

Well this doesn’t help the inventory problem 

FHA to greenlight stand-alone 40-year modification

The Federal Housing Administration is moving forward with a proposal that would help people with hardships make their mortgage payments more manageable. Under the policy change, which follows a public notice and comment period last year, borrowers will be able to get a so-called stand-alone 40-year modification. Modifications are used to make loans more affordable when borrowers have had hardships that led to long-term reductions in income compared to the period in which their loans were first originated.

[UTPhil2006 3908]

3 hours ago, Wulaw Horn said:

They doing 100% on those loans or something less?  
Someone had a bad day today with that news. It’s a niche of a niche that about two people do and everyone avoids. Now 20% of the population can do it. 

Yep 0% down on the VA construction still. 

[UTPhil2006 3908]

4 hours ago, UTPhil2006 said:

Nice little .06 drop so far on the 10 year.  Guessing when we hit the 4.06 high last week they priced in everything early and are now retreating to normal 

[Wulaw Horn 19560]

5 hours ago, Mother mopar said:

5 hours ago, Wulaw Horn said:

They doing 100% on those loans or something less?  
Someone had a bad day today with that news. It’s a niche of a niche that about two people do and everyone avoids. Now 20% of the population can do it. 

Great news if you're one of those two people like me...game on son.

That was you?  The guy doing VA construction? Thoughts and prayers. 

[Mother mopar 3379]

That was you?  The guy doing VA construction? Thoughts and prayers. 

Yup, our builder is VA approved and has done previous VA builds, etc... but I'm open to conventional options as well. Now, if the interest rates would just work in our favor.

[Wulaw Horn 19560]

Hey, mortgage backed securities up 28 points so far today.  Will that get the 30 year average below 7?  No. But we are oversold so hoping for a job report that misses and a rally off of that. I could see 1/4 of a point in the next week if things go the way we'd like to see it.  And isn't that the lesson of the MBS market lately- things going the way we'd like to see it?

[UTPhil2006 3908]

On 3/8/2023 at 8:53 AM, UTPhil2006 said:

Nice little .06 drop so far on the 10 year.  Guessing when we hit the 4.06 high last week they priced in everything early and are now retreating to normal 

Today is where I thought we were going yesterday. Claw it back a little at a time 

[Wulaw Horn 19560]

1 minute ago, UTPhil2006 said:

Today is where I thought we were going yesterday. Claw it back a little at a time 

We were going there.  Until Powell started talking.  

Thanks Obama, errr Greenspan, errrrrrr Powell. 

[Neonmoon 38130]

It's that magical time of year where 2022 tax returns are required and no one has filed them. 

Yay

[UTPhil2006 3908]

58 minutes ago, Neonmoon said:

It's that magical time of year where 2022 tax returns are required and no one has filed them. 

Yay

Have them file an extension now 

[Neonmoon 38130]

8 minutes ago, UTPhil2006 said:

Have them file an extension now 

Explain this to me like I’m a small child 

[Gatorubet 30626]

37 minutes ago, Neonmoon said:

Explain this to me like I’m a small child 

[Wulaw Horn 19560]

1 hour ago, Neonmoon said:

Explain this to me like I’m a small child 

If you show they’ve filed an extension you don’t have to show the tax return before October 15 when the extension would be due.
you can get away with a borrower P&L which can be whatever they say it is as a general rule. 
 

[Neonmoon 38130]

21 minutes ago, Wulaw Horn said:

If you show they’ve filed an extension you don’t have to show the tax return before October 15 when the extension would be due.
you can get away with a borrower P&L which can be whatever they say it is as a general rule. 
 

[Neonmoon 38130]

Up 60 basis points. Yes sir

[Wulaw Horn 19560]

1 minute ago, Neonmoon said:

Up 60 basis points. Yes sir

Best me to it. I was literally just heading hear your post that. 
I think (hope?) we might have another 150 basis points in us in this run. We were severely oversold. 
Unemployment up. Wages down. Jobs in stronger than expected. Which doesn’t track so I’m thinking there might be some fuckery about. 
I advised 3 people to float. Feeling good about that. We are all the way to 100.12 on the 5.5 coupon. I’ve got 101+ targeted as my locking point. 

[UTPhil2006 3908]

34 minutes ago, Neonmoon said:

Up 60 basis points. Yes sir

Literally just out loud to myself when I opened it said “oh shit”

[Wulaw Horn 19560]

Peaked at 78 basis points now back down to 58.  Some profit taking going on.  

[UTPhil2006 3908]

3 minutes ago, Wulaw Horn said:

Peaked at 78 basis points now back down to 58.  Some profit taking going on.  

I’m locking everyone. I know better than to believe an avalanche 

[Wulaw Horn 19560]

57 minutes ago, UTPhil2006 said:

I’m locking everyone. I know better than to believe an avalanche 

We got in ahead of the reprice for the work. 

[smoky 842]

What are the most common ways to finance a remodel when the rate on the original mortgage is low but current rates are what they are?

Roll everything into a new loan at? Seems counter intuitive.

[LTtxfan 49905]

How rates looking today??? 🤔

[UTPhil2006 3908]

56 minutes ago, LTtxfan said:

How rates looking today??? 🤔

Over .675 down since Thursday 

[UTPhil2006 3908]

[Wulaw Horn 19560]

I said I thought we could get another 150 bips back when it was at 100 (5.5 coupon?  It’s now up to 100.50. Looking for 101.50 before this rally ends. If it gets there we should be in renegotiation territory. 

[UTPhil2006 3908]

On 3/8/2023 at 8:53 AM, UTPhil2006 said:

Nice little .06 drop so far on the 10 year.  Guessing when we hit the 4.06 high last week they priced in everything early and are now retreating to normal 

Buy stocks from this guy 

[UTPhil2006 3908]

2 hours ago, Wulaw Horn said:

I said I thought we could get another 150 bips back when it was at 100 (5.5 coupon?  It’s now up to 100.50. Looking for 101.50 before this rally ends. If it gets there we should be in renegotiation territory. 

Either UWMs reneg policy is shit or they priced in those bps to counter it. We’re moving half our pipe but sucks I can’t drop my guys closing Friday 

[Wulaw Horn 19560]

44 minutes ago, UTPhil2006 said:

Either UWMs reneg policy is shit or they priced in those bps to counter it. We’re moving half our pipe but sucks I can’t drop my guys closing Friday 

Yep. It sucks to move deals and guys get pissy when you do, but if you don’t want a reasonable reno policy what do you expect?  

[UTPhil2006 3908]

31 minutes ago, Wulaw Horn said:

Yep. It sucks to move deals and guys get pissy when you do, but if you don’t want a reasonable reno policy what do you expect?  

Yeah she got mad when I told her I was moving 7 deals out of her pipe. 
 

Well then don’t be a dick to my 27 year old FHA buyers 

[YGIFS 19456]

SIAP-was there some new cashout equity law that went into effect in Texas on 1 January?  Two different bankers told me up and down there was and that I'd no longer want to do a second HELOC but rather a cash-out to pay down the existing one and expand on a new one?  But they swore it wasn't a mortgage refi after I drilled them on it for about 10 minutes.  Obviously rather throw you guys the business but by the time we got to details, they went from confident to slightly insane.  

[Beantown Express 2.0 6586]

I have a question for all the realtors out there.  I am about to put my home on the market and have already moved so it is empty except for a few odd pieces of furniture.  My realtor is suggesting I stage the home and that staging will get me a sale much quicker and will add 10-15K to the sales price.  Conveniently, her husband is in the “staging home business” and he quoted me $3500 to do the downstairs and $5500 to do the whole home.  So, is “staging” worth the price?  I definitely am not doing the whole home but wondering if I do the $3500 that would do the living room, kitchen, dining room and master bed room.  Thoughts?

[Wulaw Horn 19560]

8 hours ago, Beantown Express 2.0 said:

I have a question for all the realtors out there.  I am about to put my home on the market and have already moved so it is empty except for a few odd pieces of furniture.  My realtor is suggesting I stage the home and that staging will get me a sale much quicker and will add 10-15K to the sales price.  Conveniently, her husband is in the “staging home business” and he quoted me $3500 to do the downstairs and $5500 to do the whole home.  So, is “staging” worth the price?  I definitely am not doing the whole home but wondering if I do the $3500 that would do the living room, kitchen, dining room and master bed room.  Thoughts?

Man- I think staging can be a great idea especially for someone like me who lacks the imagination to see an empty place as a real home. Some women claim to dislike it bc it interferes with what they want to do in their brain. Will it get you a higher bid?  Maybe- that I don’t know. 
but, as to the idea that it will help you sell your house faster I think that is probably nonsense. What is your list price again?  If your house is like one price point above median anywhere in Texas (urban area), in this market, and you price it reasonably you are likely to have multiple offers the first weekend. 
$3500 for the staging isn’t too bad imo. I’ve talked to people who charge upwards of 1% of list price (typically paid at closing). 

[UTPhil2006 3908]

10 hours ago, Beantown Express 2.0 said:

I have a question for all the realtors out there.  I am about to put my home on the market and have already moved so it is empty except for a few odd pieces of furniture.  My realtor is suggesting I stage the home and that staging will get me a sale much quicker and will add 10-15K to the sales price.  Conveniently, her husband is in the “staging home business” and he quoted me $3500 to do the downstairs and $5500 to do the whole home.  So, is “staging” worth the price?  I definitely am not doing the whole home but wondering if I do the $3500 that would do the living room, kitchen, dining room and master bed room.  Thoughts?

I could argue for both sides of it. I’m guessing your listing at the higher end so it may be worth it. Tell the person you wanna shop their price just to gauge their reaction. Virtual staging is also a thing but l don’t think it adds much. 

[UTPhil2006 3908]

Also thanks to Credit Suisse we are down .23 already this morning to 3.40. Crazy last few days. Down .66 since Friday 

[KYHorn 17563]

What's the average rate y'all are seeing for ARMs and 30-year conventionals at this point? Hard for me to keep track of the rollercoaster over the last few months (years).

[Neonmoon 38130]

46 minutes ago, KYHorn said:

What's the average rate y'all are seeing for ARMs and 30-year conventionals at this point? Hard for me to keep track of the rollercoaster over the last few months (years).