Original post

The post Amorelli Realty Power Lunch Meeting appeared first on Professional Mortgage Solutions, Inc..

Reasons Mortgage Rates Continue to Fall

There are many theories on why rates continue to be low. Our legislators have passed several changes that are helping to maintain low interest rates. As bond purchases stopped, the federal regulators stepped in to make some purchases. Others see the low rates as a sign the market is continuing to be resilient in the pandemic. There is a lot of capital available, and many are hopeful. As forbearance and refinance requests are on the rise, some say rates will flatten. There is also a lot of interest in certain areas that has buyers on the hunt. People working remote can move and expand to new areas.

Mortgages in the Last Quarter of 2020

We will continue to see forbearance and refinancing applications spike as people adjust to absorb losses in income. Some are already moving or downsizing. New purchase rates are forecasted to remain low, and it remains to be seen what refinancing rates will be offered. This is largely driven by the financial position of the applicant. If your credit is good, this is an ideal time to apply for a rate and term refinance to lower your monthly loan payments.

Changes in the Housing Market

We are seeing people with more capital to invest in the market. This is starkly different from the downfall that occurred in 2009. As people work from home, we see a rising interest in rural areas or other markets. People can now consider moving out of the city now that commuting is not an issue. Many are also waiting to see what relief the government will offer next. You can check your local jurisdictions and nonprofits to see if there are any rent and mortgage relief funds. Still, there are many interested buyers.

Are you interested in relocating and buying a home? You will want to act fast to lock in on super low rates that you receive quotes for. You can contact our team to get a quote and learn more about various programs available.

Purchasing Real Estate in COVID-19

Professional Mortgage Solutions is here to help you find the best solution for your needs during COVID-19. If you have additional questions, please contact our team in Rego Park, NY.

The post Mortgage Rates Remain Low appeared first on Professional Mortgage Solutions, Inc..

Finding A Better Rate During COVID-19

Recently, many have reported historically low rates as the COVID-19 pandemic continues to ripple through the economy.  The Feds have provided some relief and purchased bonds to make this possible. While we continue to see rates fall, this is the best time to assess refinancing, especially if you need to save money. Some would prefer to lower their monthly payment instead of fall behind and into debt.

While refinancing will still carry some fees, it is still a good idea to call around and see what sort of terms and rate change you can lock in. You will want to start soon, as many predict that mortgage refi requests will only continue to rise.

Ways to Refinance During COVID-19

Some people need access to cash and are eyeing their home equity.  They can do a cash-out refinance to withdraw funds from the home, if eligible. Others simply desire to refinance only the rate and term of their mortgage. Whatever you are considering, please feel free to call Professional Mortgage Solutions with any questions. You can also review the latest changes to bank terms, documentation, and approval procedures for refinancing.

Help with Refinancing During COVID-19

As mortgage rates are fluctuating, talk to your bank to ensure that you can get a good rate and term. Be sure not to over-extend beyond what you need if you are completing a cash-out refi. You may end up with an adjustable rate that starts low and increases over time. Certain banks are less reluctant to approve long-term fixed rates. Ensure that you get a rate that you can afford to pay and check that it will not dramatically increase the principle owed on your loan.  It is wise to continue monitoring how the government is intervening to help struggling homeowners and take advantage of any new programs.

Working to Find the Right Solution

Professional Mortgage Solutions is here to help you lock in on a great rate if you are refinancing. We can help you review your current finances and any benefits or savings you may get from refinancing. Our team is standing by to help you understand all the changes happening in our real estate market due to COVID-19.

The post Refinancing Your Home During COVID-19 appeared first on Professional Mortgage Solutions, Inc..

Checklist Item 1: Review the local economy and amenity changes due to COVID-19

The pandemic has impacted a lot of local amenities, closing some cultural institutions and restaurants for the long term, even permanently! Review what you desire to access and ensure people still have viable streams of income in the area. Look at how well you can access local services related to health, food, recreation, and the things you need or desire.

Checklist Item 2: Check data on the inventory of homes in your desired neighborhood

If the inventory of available homes in your desired area is low, this lessens your negotiating power. You can look at the recent history on offers made in an area sale prices to get a sense. Many people want to move remote.  Even in rural areas, there may be home buyer competition. Likewise, you should scrutinize a place that has not had many offers to find out why. When someone is selling their home, and the reason could be financial, or it may be physical.

Checklist Item 3: Review what financing you can secure.

You may see the recent falling rates as a sign you will get a good mortgage. However, banks are still bracing for the impacts of failed loans.  When this happens, some may see rates rise as lenders have to tighten their restrictions and approvals. If a location does not give you competitive financing options, find out why. Ensure that your long-term finances that will paint a good picture for a lender, as well.

Checklist Item 4: Write down a list of what you seek in an ideal home and neighborhood.

Within your budget, work on a list of what you desire both in a home and the local community. For example, some parents desire an area with low COVID rates so that their child attend in person schooling safely. Others plan to work remotely for the long haul and now can take the opportunity to move to an area with more space and lower prices.

There are many more things to consider when buying a home. Professional Mortgage Solutions has an outstanding team waiting to tell you more about all the changes in buying a home during COVID-19. Please reach out to our team in Rego Park, NY for a no-hassle quote.

The post Home Buyers Checklist: COVID-19 Considerations appeared first on Professional Mortgage Solutions, Inc..

How Much Down Payment Will I Need?

It is always best to put as much down payment as as you can, however, many financing sources have their own requirements.  You can review each program with Professional Mortgage Solutions to see what will be required to get a good loan rate and term approval. Below are other lower down payment programs to consider, remember these come with their own strict home requirements:

• FHA Loans—loans backed by the Federal Housing Administration (FHA) may offer mortgages to first time home buyers with down payments as low as 3.5%.
• VA Loans—eligible service-members may qualify for a mortgage with zero down payment.
• USDA Loans—if you purchase a home in a qualifying area, you may have a very low down payment.

Ways to Save for a Down Payment

Even if you get a zero or low interest loan approved, you still need to save money in the case you need repairs in your home. You will have a lot of ongoing expenses. Below are some ways to save for either your down payment or home ownership costs:

1) Many open a separate savings account and direct a portion of their paycheck or second job to go directly into the account. Once you gather a good portion, you can move the money into a higher rate of return account, such as a certificate of deposit.

2) Others work to refinance any debt they have so that they can pay it off faster. You will not get a good loan rate approved if you carry too much debt, so consider paying it all off first. Note with some programs, student debt will be considered differently.

3) Some people also do a round up savings account and place the change from their expenses into savings. This is a good trick for those who are not good at prioritizing their savings.

4) Many will need to prebudget their expenses, and track them closely, cutting back on non-essential spending, such as meals out, vacations, eating out, new clothes, etc.

5) If you have paid off your car, keep it and do not buy a new one. Look for any way you can to cut down on monthly bills, such as credit cards, utilities, cell phones, and automotive expenses.

Professional Mortgage Solutions helps homebuyers save up for down payments and find great financing programs for new homes. Contact our team in Rego Park, NY for assistance today!

The post Saving for a Down Payment appeared first on Professional Mortgage Solutions, Inc..

Changes for Applying to an Investment Property Loan in COVID-19

Applying for an investment loan has always been different from the process of securing a traditional loan. Borrowers have always needed documented financials to qualify. However, due to instability in the market, many need higher credit scores and financial strength. Investment property loans are for people who can show ability to pay through other means than employment income.

When you go to qualify, a variety of documents will be reviewed by underwriters to calculate your average monthly payment and cash flow. More recently lenders are hoping to see investors that have a large amount of cash to put a down payment to face less risk. Recent commercial programs for multi-unit properties have added more scrutiny to ensuring projects are viable given the instability of rental payments during COVID-19.

Ensuring Your Property is a Worth While Investment in COVID-19

Many other investors and entrepreneurs will need to use recent bank statements to show income. For this reason, you want to ensure you buy and own properties that are generating good revenue. Below is a helpful list of tips to ensure you make a good choice:

• Ensure that demand for housing in the area is still strong.
• Check how well local businesses and the economy are doing, use recent data.
• Check whether tenants are paying rent in the area, and how far behind some rents are falling.
• Check whether you can secure decent rates, some investors are securing loans in the 5% range.
• Buy in areas that had strong housing markets prior to COVID-19.
• Buy in areas with markets that had consistent, stable growth.
• Check how vulnerable local jobs in the area remain.
• Follow current real estate research to track the hottest markets.

Professional Mortgage Solutions is standing by to help you find the best lenders and properties to work with. Certain areas see prices falling, get ready to purchase an investment property, but be sure it is in a good area to fix and flip. Be sure to follow recent trends in approval before assembling any financials to be reviewed. Finding a home in the Rego Park, NY has rarely ever been easier. We are here to show you all the hot new properties coming on the market.

The post Using Investment Property Investment Loans in COVID-19 appeared first on Professional Mortgage Solutions, Inc..

The Real Estate Market in COVID-19

As people look to move out of Manhattan in New York, some are saying Rego Park is still a hot market for sellers.  When you go to sell, check out the most recent data before you set a price on your home. Things certainly change quickly with this pandemic; be sure you work with someone who is following issues closely. Professional Mortgage Solutions is here to be your partner.

Marketing Your Home for Sale in COVID-19

Many want to take remote tours of your home, at least initially. Be sure to take many photos and videos that will entice people to come visit and put in an offer. Gone are the days of open houses, many are showing homes by appointment only. You can follow social distancing practices and serve refreshments that are pre-packaged. Some people even offer disposable gloves and booties for home tours, as well as hand sanitizer.

It is also wise to use tours to highlight any security features in your home. If your home is in an area with reduced COVID-19 exposure, make this well known. Many people are working remote, so be sure to feature any office spaces and ways to keep the home comfortable for work set-ups. The remote workforce may also present a wider pool of buyers from farther places. Be sure to market the home across many geographies.

The Art of Selling Your Home

The areas and neighborhoods that are seeing larger drop offs in home prices continue to fluctuate. Certain government stimulus efforts to help both struggling lenders and borrowers may improve and stabilize the market. Plus, these fluctuations in the market could lower interest rates for a while. However, as stated, this is a World subject to change. Some people may have to accept a different price than what they were hoping to get. This will depend on availability of low interest rates, as well.

Professional Mortgage Solutions is here to help you understand the nuances of selling your home in COVID-19. If you have questions, please contact our team in Rego Park, NY.

The post Selling A Home During the COVID-19 Pandemic appeared first on Professional Mortgage Solutions, Inc..

Impacts of the Rate and Term of Your Mortgage

When you assess the long-term costs, there are many changes you may like to make to the rates= and term of your mortgage. The term is the length of the mortgage, which you may be able to stretch or shorten. Others want to use something called a cash-out refinance. With cash-out refinance, a borrower gets a new, higher-value mortgage to replace his or her old mortgage. You can accomplish this by pulling a cash payout from your home equity to cover the difference in cost between the two.

Often, people will us a cash-out refinance to get a better interest rate. You need to have a certain amount of equity in your home to do a cash-out refinance. If you do not have this, but still want to lower your interest rate, you can seek a regular mortgage rate and term refinance. You can send updated information to the bank and see if you will get a better rate, more preferred term, or both. For example, your credit score may have improved since you bought the home.  The principal balance of your mortgage will remain the same with a rate-and-term refinance. It is only with a cash-out refinance that you can receive a payout.

Why Do I Want a Rate and Term Refinance?

There are many situations where a homeowner wants a rate and term refinance. Some obtained their initial mortgage during a worse time for interest rates in the market. They may have seen better programs and terms for rates come out and want to take advantage. In many situations, a rate and term refinance will only gain you back a few percentage points on interest. This could save thousands a year in payments, however, there is a cost to approving and closing a new loan. Make sure this cost is worth it.

Other Perks of Rate-and-Term Refinancing

Many refinance rate and term to save money. However, there are other perks in rate-and-term refinancing. When you secured your initial mortgage, you paid closing costs. With a refinancing, you will pay new closing costs and loan originator fees. However, your home may have gained new value and you will end up with a better appraisal on the house.

COVID-19 has created a lot of change in the market, be sure to use someone with plenty of experience when you refinance. Contact Professional Mortgage Solutions for an assessment on how you can benefit from a rate-and-term refinance.

The post Applying for Rate and Term Refinancing of Your Mortgage appeared first on Professional Mortgage Solutions, Inc..

Working with a Good Lender During COVID-19

It is important to not only find a good home when shopping around, you also want to find a good lender. Find one that will work with you if the world takes another unexpected turn and the market changes. Research who is making the right adaptations to respond to the needs of buyers in COVID-19. A lot of money can be saved on a home simply by negotiating and comparing lender rates. Be sure to remain diligent, policies due to COVID-19 are changing frequently as new government legislation passes.

You will want to ensure everyone you work with is correctly implementing new policies in ways that will benefit you. Lenders are also taking their own precautions. Some will no longer accept zero or low down payments. This may be useful, since having a lower down payment will typically increase your mortgage rate and cause you to pay higher interest. Other lenders are adding more scrutiny to the FICO scores for approvals and want to see higher than normal numbers.

Changes in Mortgages Due to COVID-19

Many lenders will refuse to do greater than 80% loan-to-value. However, there are still lenders with programs for a low to moderate income home buyers that can do this. Even if you get pre-qualified, you need to stay up to date on the lender policies as things may change week to week. Such changes can make or break a good home mortgage. The team at Professional Mortgage Solutions can help you compare.

Questions to Ask Your Lender During COVID-19

We thought it would be helpful to leave you with a list of good questions to check during COVID-19 as you shop around for a good mortgage:

• What is your down payment minimum and what are your Private Mortgage Insurance (PMI) requirements?
• What is your process for closing and what are the fees? Do you do it in house? Can I do it online or in person?
• What are some of your most recently approved rates and terms for borrowers like me?
• How do you communicate with home buyers and can I work with the same person throughout the process?

Finding the Right Team to Buy a Home in COVID-19

Professional Mortgage Solutions has talented staff that are here to support you can keep you up to date on all the recent real estate policy. Contact our team in Rego Park, NY today to get assistance.

The post Applying for a Mortgage in COVID-19 appeared first on Professional Mortgage Solutions, Inc..