Take Dead Aim on an Easier Way - Page 2

Secret! · #11 (**permalink**) 01-10-2006, 07:28 PM

Thank you Greg. But how could anybody who's been in this career their entire adult life NOT own real estate? Us older folks usually hold them in a trust, at least that's what I think makes the most sense.

Greg · #12 (**permalink**) 01-10-2006, 08:06 PM

See you are a sly dog!

Who does not get why this is brilliant? We will explain if you like.

COLOANHound · #13 (**permalink**) 01-12-2006, 04:48 PM

Please explain the trust thing to me, only been in the business for 2 years. Right after I graduated from school, so I'm fairly young, but I'd like to have that tidbit of knowledge for the future. Don't agree with all your teachings Secret, but this one should be good! Thanks for all the info, here and the other place.

Secret! · #14 (**permalink**) 01-12-2006, 08:23 PM

You can learn all about them via a google Search, I'm sure COLOANHound. A detailed answer from me would take WAY to long for a discssion board post, sorry.

COLOANHound · #15 (**permalink**) 01-13-2006, 08:11 AM

Will do, I know how you like to make people use their brains. Unlike most outposters, I'm up for it.

HisHouseMortgage · #16 (**permalink**) 01-13-2006, 09:32 AM

Back to this realtor vs. refi thing. I have been writing loans for about 10 years now and have seen both sides of the coin. When I started I already had sales experience but wasn’t sure how to generate mortgage leads. The manager tossed the phone book on my desk and said start with the A’s. Not knowing any better, I did. By the time I got to the C’s, I figured there had to be a better way. By the way I closed 3 loans from the book, 1 A, 1 B, and 1 C, and this is how I learned the ABC’s of the mortgage industry haha.
My next assignment was to go out and “HIT” all the realtors I could find. I quickly found out that it would have been easier to pull a bloody raw side of beef from a cage full of starving angry Lions. Realtors at least in this area have been “HIT” so many times by mortgage brokers, I think they take bets on how many will come in each day. Because of this unless you are like Greg (no offense, more power to you) in the top 10 mortgage brokers in the country, realtors don’t even want to talk to you. Does this mean not to try, absolutely not. Over the years I have continuously kept “HITTING” them. Now I use E-Mail campaignes. Finally I have worked my way into the hearts of a handful of realtors with more growing every year. So Yes you need the Realtor business but you have to work real hard to get it. How about those Refi’s. I my humble opinion YES YES YES.
My product mix is about 85% non-conforming and from that about 45% sub-prime. Every one is complaining about the house market about to explode. The rates are rising, and as this is true we still have the best rates this country has ever seen. 2 to 3 years ago when the rates were at their 40 year low’s every broker in the nation that specializes in non-conforming loans was writing the bulk of their business on 2/28’s or 3/27’s. Now that the rates are rising what do you think is going to happen to all thos rates when their adjustment periods begins? I don’t know about the rest of the country but in my small part of the world we are about to have a refi boom. Sorry I went on so long, just started rambling.

Secret! · #17 (**permalink**) 01-13-2006, 11:43 AM

All those LOW RATE 2/28 & 3/27 will be facing adjustments, I agree. Your DREAM is to refi them at today's HIGHER RATE and WISH they can DTI ... that's a situation I rather doubt will come to pass. The math on that just won't work at the LTV's they'll be at when you try and influence them into doing a re-fi ... selling and/or foreclosure is more likely that another income BOOM for originators. I sure wouldn't base my future family income on that happening.

HisHouseMortgage · #18 (**permalink**) 01-13-2006, 12:13 PM

Although I see your point Secret. Alot of those 2/28 and 3/27's were either conforming borrowers (High credit scores) but needed non-conforming loans at the time, possibly due to LTV or DTI situations. The purpose of their past loan may have been to consolidate, clean up credit or pull out cash. All we could do is to hope they didn't get themselves into more trouble. As far as todays Higher Rate is concerned I agree if they stayed Non-Conforming chances are they won't ratio. The hope is to now take them conforming doing a R&T only and converting to a fixed. By doing this their new rate will most likely be the same or hopefully lower than their 2/28 rate was.
Most brokers I have spoken to sells the 2/28 program as a "Band Aid" loan. A temporary fix to keep the rate at a livable % while taking care of a financial situation at the same time. Assuming all payments have been made on time and there has been no derogs over the past 24 months this individual should most likely qualify for a conforming R&T refi. As far as basing the future of my family, absolutely not. I never said I would'nt still continue with building Realtor relationships as well as other means to generating leads. All I am saying is I would'nt be surprised if we did'nt see an increase in Refi's from this very large group of mortgagees. Although I am not basing the future of my family on this solely, it has already been a nice % of total for last 6 months. Again this is only my humble opinion.
Jim

macp · #19 (**permalink**) 01-13-2006, 10:11 PM

Quote:

Originally Posted by COLOANHound

Please explain the trust thing to me, only been in the business for 2 years. Right after I graduated from school, so I'm fairly young, but I'd like to have that tidbit of knowledge for the future. Don't agree with all your teachings Secret, but this one should be good! Thanks for all the info, here and the other place.

You can put it in a trust and people cant sue you and take it away. If someone gets hurt on your property your protected. People like Secret who have many business ventures need this type of protection and also there are some tax benefits. I dont know too much about this subject buy I ve heard these things.