Good morning, Memphis! You’re on the Real Estate Mortgage Shoppe program with me, Jo Garner, Evolve Bank and Trust. Good morning to our IHEART listeners across the country!
Our co-host today is Aleesa Blum, realtor with Marx & Bensdorf and also with Smooth Transitions.
Its great having you back on the show Aleesa. Tell our listeners about yourself and what YOU can do to help them.
Our topic today is “Making A Positive Transition For Senior Family Members And Transitions To Better Mortgage Terms.” Whatever YOU want to talk about –if it concerns your real estate, your credit, your mortgage or a senior family member’s need to make a positive move, give us a call at 901 535 WREC. That number again is 901 535 9732.
We are surviving the “fiscal cliff” this week with our parachutes open –called the American Taxpayer Relief Act of 2012 where the Bush Tax Cuts were extended but no resolution on how to reduce the federal deficit. The word “uncertainty” seems to sum up where we are this week.
• Mortgage rates crept up a little bit this week. We stayed at record lows through the end of 2012 but the Federal Reserve’s indication that they may not continue to buy as many mortgage-backed securities, made the rates go up about an eighth higher. You can still get bragging rights on them though. The 30 year fixed rate this week was about 3.375 – 3.5% but with no points you were probably seeing about 3.75% to 3.875%.
• FHA/VA – 3.25% on the 30 yr was a little lower than conventional loan rates but you usually have to pay more for FHA’s upfront and monthly mortgage insurance. . The 15 YEAR FIXED rates are about 2.875% to 3.5%.
The mortgage industry is still reeling with more changes. FHA is talking about increasing the minimum down payment for a home from 3.5% to higher. They have not said how much higher. Again –there’s that uncertainty again. More government fees are going to be added to all Fannie Mae and Freddie Mac loans making the cost to borrow increase.
Most of you already know my advice because I give it every week. If the refinance or purchase money deal works for you today, do it today. If you want to explore the advantages a refinance or home purchase would do for you, Susan Belew, my very capable assistant and I would like very much to talk with you privately off the air. You can reach us directly at 901 482 0354. That number again is 901 482 0354. If you’re driving and cannot write, just remember by blog is www.mortgageloansblog.com . You can find me there.
Home purchases are up right now and new construction homes too. In fact the National Association of Realtors said that so far, 2012 looks to have been a record year for housing affordability and for buyers who could get a mortgage. They went on to say they still believe 2013 will likely be the third best on record in terms of household buying power.
And speaking of buying power, nothing spells buying power like the words “down payment assistance.” Homebuyers in the Mid-South have several down payment assistance programs to choose from too. Even if you don’t use a down payment assistance program, there are other mortgage programs that keep your move-in costs at a bare minimum. Give me a call and let’s talk about how these can work for you.
Of course refinances are still very popular, especially the refinances that don’t require an appraisal. You can save a LOT of money just be lowering the interest rate AND shortening the term on their mortgage. By lowering your mortgage rate we may be able to save you 2 or 3 hundred dollars per month. Just saving $300 per month over 15 years would free up about $54,000 dollars. When you refinanced to this 15 year loan, if you reduced your overall mortgage term by 5 to 10 years you would be, in addition, saving a LOT more than $54,000 . Call me and we can find ways for you to perhaps retire much earlier, put your children through college, be able to afford to buy more real estate or build wealth other ways. The list of benefits goes on and on. Don’t forget the bragging rights you will have for jumping on the opportunity.
Call us and let’s talk. Our general topic today is “Making A Positive Transition For Senior Family Members And Transitions To Better Mortgage Terms.” Aleesa Blum, a realtor with Marx & Bensdorf and also with Smooth Transitions is here to give us tips on how to make it a POSITIVE experience when its time to downsize or help our senior family members make transitions.
Questions to be answered by Aleesa Blum:
1. What options are available for various types of senior housing?
2. How can you tell if it is time for your senior member to make a transition?
Questions to be answered by Jo Garner:
1. What are some of the most popular loans people use when they are in the process of down sizing or making a transition later in life?
A. Great question. Many of our older customers will look at shortening the term while lowering the rate on a mortgage so that the house is paid off when they retire. Others go back to a 30 year loan on a refinance so they can have access to several hundred dollars extra per month. They say, “Let the kids pay for the house one day. I want to enjoy the extra money I save on my mortgage each month.”
B. We work with people who are buying smaller homes and selling the larger ones.
C. We work with people who have chosen to stay in their homes because the home is mostly paid off already but they get a reverse mortgage to provide them a lump sum of money up front or they take the money as extra income each month .
2. What are the advantages to a reverse mortgage?
3. What are the qualifications on the HARP refinance with no appraisal?
4. What are some of the different types of down payment assistance available?
Real Estate Tip of the Week?
Jo has two announcements to make :
Talk Shoppe is an organization that offers the community free education and networking for anyone interested in real estate or business. They meet every Wednesday 9a to 10a at the Better Business Bureau. This Wednesday Tammy Coleman and Kendra Richardson of United Housing will be talking about the services United Housing offers people who are buying houses. They will be explaining how the new Helping Homeowners down payment assistance program works. This is the program that offers up to $15,000 to qualified home buyers. For more information about Talk Shoppe go to www.TalkShoppe.BIZ.
Next week, right here on the Real Estate Mortgage Shoppe program we have Troy and Lynn McDonald of Erin McDonald Allstate Insurance Agency to talk about how to save money and get more coverage with your car and homeowners insurance.
To review the broadcast today or to listen to our past podcasts, go to www.mortgageloansblog.com
Transitional songs “You Raise Me Up” by Josh Groban; “Dance With My Father” by Luther Vandross; “Wind Beneath My Wings” by Bette Midler
Jo Garner, Mortgage Officer with Evolve Bank & Trust cell 901 482 0354 jogarner@mindspring.com personal email www.MoneyShoppe.NET and www.mortgageloansblog.com
Aleesa Blum, Realtor with Marx & Bensdorf and owner of Smooth Transitions 901 417 0512 Making your senior family member’s transition from one stage to the other a very positive experience.
Lynn Lanigan, president of Lanigan Worldwide Moving an Allied Vanlines Agent (901) 744-7070 llanigan@alliedagent.com www.laniganalliedvanlines.com
Jeff Moore, Moore Enterprises Insurance and Financial Services Income Tax Preparation 901 428-3300
If you want to get solutions to your real estate or real estate financing challenges, check out our podcasts or contact Jo Garner, loan officer with Evolve Bank and Trust. For more information on helping your senior family member’s transition from one stage to another with a positive experience, contact Aleesa at 901 417 0512. For more information on your mortgage financing options, contact Jo Garner, Mortgage Consultant 901 482 0354.