Good morning to You Memphis! Good morning to our I-Heart radio listeners from all over the country! You are on the Real Estate Mortgage Shoppe program with me, Jo Garner, mortgage officer with Evolve Bank and Trust. Our co-hosts today are Troy and Lynn McDonald of the Erin McDonald Allstate Insurance Agency.

Good morning, Troy and Lynn, most all of our regular listeners know who you are, but tell some of our new listeners just joining us who you are and what you do?

A little later in the program we will have Ken Bowley from your office to talk with us about a very important deadline coming up that will affect anyone getting long -term care insurance.

Our topic today is “Your Mortgage & Your Insurance: Pathways To Navigate The Fiscal Cliff.” But we want to talk with you about whatever YOU want to talk about concerning your real estate or mortgage or credit…. Grab your cup of coffee and drag up a chair by calling (901) 535-WREC. That number again is (901) 535-9732.

The big financial news right now? Will we need to navigate the fiscal cliff sooner or later and how steep is the cliff? How deep will the budget cuts be? How much will your taxes increase? As any good backpacker would do, observe the landscape ahead of you and determine the best path for YOU to continue reaching YOUR goals.

I have my backpack, my camp pans, my canteen and climbing gear in the studio with me today.

Let’s look at this week where I see a directional signpost that says “You Are Here.” This week rates dropped 6 basis points from last week to 3.34 percent from 3.36 percent on the 30 year fixed rate loan. FHA loan rates are even lower. The 15 yr fixed rate dropped 3 basis points to 2.65 percent. The 5-1 Adjustable Rate loan increased 1 basis point to 2.74 percent.

Even though the Federal Reserve is doing its part to keep our mortgage rates low by buying mortgage-backed securities to the tune of $40 billion dollars per month, the government is continuing to HIKE fees on loans closing on Fannie Mae and Freddie Mac mortgages. As of the latest G-Fee hike on November first, the borrower’s extra costs is $100 to $440 dollars for every $100,000 dollars. The government says more fee hikes are coming on these conventional loans and costs on FHA mortgage insurance will be going up too.
Here’s a word to the wise: If the deal works for you today for your home purchase loan or refinance, do it today.
My assistant, Susan Belew and I would like very much to have an opportunity to talk with you. You can call us directly by dialing (901) 482 0354. That number to talk with Susan and me OFF the air is (901) 482 0354.

You are absolutely right. Home purchases in the Memphis area are up about 28% from last year, making the home purchase loan one of the most popular this past week. With rents UP and the prices of houses are DOWN along with historically low rates, it makes sense to look at BUYING a home.

Memphis is especially a popular place to buy since our real estate market is relatively stable and we have some great down payment assistance programs, AND programs for our military veterans AND combinations of loan products to eliminate extra costs. Call us on the air and let’s talk about it at (901) 535-WREC. That number again is (901) 535-9732. Or you can talk with me AFTER the show at 901 482 0354. That direct number to talk with me OFF the air is 901 482 0354.

Larry Mayall owner of First National Realty last Wednesday at Talk Shoppe was talking about the big hedge funds set to come in and buy up a large chunk of the foreclosure inventory over the next 3 years– He said they would be paying more for these houses than the smaller investors can profitable pay. If this really happens, it looks like the window of opportunity to purchase investment property at the high investment returns we’re seeing now, is slowly closing. Oh, Troy, if I only had MORE TIME & MORE MONEY!

Of course the Home Affordable Refinance Program, otherwise known as the HARP 2 program is going strong. The attraction to this product is that it doesn’t require an appraisal value. If you are underwater on your home financing, let Susan and I check to see if you qualify for the HARP loan or other programs that may not require an appraisal. Even if other mortgage companies have said they cannot help you with a HARP loan, talk with Susan and me. We may not have the lender restrictions that other banks have.

The FHA loan has a streamline program that does not require an appraisal. On this streamline-with-no-appraisal loan FHA does not allow you to borrow any closing costs. HOWEVER, Susan and I have a way that we can get you refinanced on this product with little or no money out-of-pocket. Call us off the air to see if we can help you (901) 482 0354.

We’re talking about your “Your Mortgage & Your Insurance: Pathways To Navigate The Fiscal Cliff.” Troy and Lynn, what are some ways your customers can navigate around their personal fiscal cliffs by getting the right insurance.

2. What is an umbrella policy? What does it cover and how does it protect you from common personal fiscal cliffs?
3 What could a personal fiscal cliff look like to an individual person or family?

Questions for Ken Bowley to answer:
1. What are some of the deadlines looming ahead with securing long-term care coverages ?

Questions for Jo Garner to answer:
1. What are the qualifications for taking advantage of the HARP loan with no appraisal value requirement?
(Jo) Your mortgage needs to have been endorsed by Fannie Mae or Freddie Mac on or before May 31st, 2009. You cannot have any mortgage payments over 30 days late in the last 6 months to a year. There are a few more details, but please let me stress to our listeners that some banks and mortgage companies are only offering a small part of this program and not the whole thing. BUT, Evolve offers the HARP 2 program with no appraisal value required and for both Fannie Mae AND Freddie Mac loans. YOU CAN EVEN BORROW THE CLOSING COSTS. We offer the program for refinancing your primary residence, your vacation homes AND your INVESTMENT PROPERTY. Call me and let’s talk directly OFF the air at 901 482-0354. That number to reach me OFF the air is 901 482 0354

2. You mentioned that if you have an FHA loan and you want to refinance to another FHA loan without an appraisal, you and Susan have a way of helping your customers refinance these with little or no money out -of -pocket. How does that work?
Troy and Lynn, FHA has a rule that if you refinance without an appraisal on an FHA streamline refinance, you cannot borrow the closing costs, and this rule forces homeowners to come out of pocket with a large chunk of change. If you don’t have the money to pay down, this can be a problem. But, Susan and I can sometimes work your refinance so that you’re not coming with as much money to closing as you usually would and sometimes with no money out of your pocket at all. If putting a chunk of money down is a show stopper for your FHA refinance, let’s talk. We may be able to help you still take advantage of fixed mortgage rates in the 2.s and 3’s without all of that money down.

3. We were talking about Memphis real estate sales being up 28 percent from last year. What kind of products can you offer someone who doesn’t have a lot of money down?
(Jo) The most common down payment assistance program for people who have not had their name on a real estate title for the last 3 years, is the Tennessee Housing Development Agency Program through the state of Tennessee. When THDA gives the homebuyer a grant for the down payment and the seller pays all or most of the buyer’s costs, the homebuyer gets into the house for little or nothing down.

There is also 100% financing for military veterans and the USDA Rural Housing program. And we have some ideas on where you can get funds to pay down on conventional loan programs too.

Real Estate Tip of the Week: (Troy or Lynn talk about the importance of converting the homeowners insurance to vacant property right away if you move out of your home)

Jo to announce:
Veteran’s Day was earlier this week, so hats off to our military personnel! We salute you!

Talk Shoppe is going to be fun Wednesday morning 9am to 10am at the Better Business Bureau. Its casual Open Microphone day when you will have an opportunity to share briefly the hot topics affecting consumers in YOUR industry and you can choose from some ice-breaker questions to help other business people get to know you better.
For more information go to www.TalkShoppe.BIZ

Next week on the Real Estate Mortgage Shoppe program, Attorney Ron Cohen will be sharing some tips on how to have a smooth real estate closing. Right here on News Radio AM 600.

“Big Money” Rush
“Tell Me ‘Bout Love” Pam and Terry Hollihan
“Fly Like An Eagle” Steve Miller Band

Jo Garner, Mortgage Officer with Evolve Bank and Trust (901) 482 0354 and www.MoneyShoppe.NET
Troy McDonald and Ken Bowley of Erin McDonald Allstate Insurance Agency (901) 372-3500 or (901) 849-7101
For real estate financing solutions and insurance solutions, plug into the Real Estate Mortgage Shoppe program. You can find mortgage rates, FHA Streamline refinance with no out-of-pocket costs, refinancing options, home purchase loan programs, answers and money-saving tips for insurance and more.