Does your local bank give you credit advice after denying your application?

How about this one…”Unfortunately, your loan application was denied. Feel free to try again in the future.”

How about the bank that doesn’t even take the time to call you back and say you have been denied!? This one really upsets people and usually crushes any potential future application from that same person.

If you are denied of your mortgage application, it shouldn’t stop there. The service that is necessary is taking the time to show you what steps to take in order to be approved the next time you apply.

The extra step I take when someone applies for a Wisconsin mortgage loan with bad credit, is how I handle it when the loan is denied. I will take the time to walk you through what I know will help boost your credit scores and get you on the right track. There are different factors that affect your credit score, but my experience has taught me how to see what factors are hurting your credit scores. What’s unfortunate to me is some people are maybe one or two corrections away from getting approved.

Guidance. Let me guide you through what it is that is denying you of your mortgage needs. What’s unfortunate is a local bank’s loan officer that just takes orders and lets the computer system tell them if you are approved or denied. Where is the service in that???

Take my free mortgage and credit advice to your benefit. Don’t just wonder what it is that’s not allowing you to refinance or purchase that dream home of yours. Take action and the free mortgage advice that’s available.

Let me start by saying I’m licensed in 20 different states across the nation, but I’m going to stick with my state, Wisconsin, in explaining the importance of refinancing your Wisconsin mortgage.

It has been written (isn’t that a somewhat famous quote) many times about interest rates now at a 3 year low! What does this mean? It means if you bought a home or refinanced your Wisconsin mortgage in 2005 or 2006, it could be beneficial to refinance into a lower interest rate. Heck, just eliminating the PMI saves people $100 every month!

Don’t think of this as a sales pitch to earn your business, because I want to see people save as much money as possible when it comes to the largest transaction in their life. Whether you get a quote from me or anyone else, don’t wait yourself out of the low interest rate market.

Don’t believe me that it is a good time to refinance your current mortgage in Wisconsin?

How about this MSN article…

or

How about refinance mortgage advice.

Now, for those people in adjustable rate loans. Is your interest rate about to adjust and increase your mortgage payment? Or has your payment already adjusted and not sure what to do?

Wisconsin FHA loans are so popular with homeowners like yourself its crazy! Crazy meaning most banks underwriting times are 5 to 10 business days! For those of you that don’t think this is very long, well, it is especially long when you compare it to your conforming loan…where underwriting is 24 hours!

Why such a delay in getting these Wisconsin FHA loans through underwriting?

Answer: Subprime loans are extinct.

Most people that are in adjustable rate loans need to take advantage of the Wisconsin FHA loan program. Not sure how FHA can help your mortgage situation? Click here to see how the Wisconsin FHA loan helped my most recent client.

Bottom line, if it makes sense to refinance today, don’t hesitate and hope rates will get much better. We are at a 3 year low and still historically at an all time low. Refinance your Wisconsin mortgage when the opportunity arises and makes sense for you!

Have additional questions or wondering how good my rates are? Please email or call me today!

Click here if you haven’t read part 2 on how to avoid PMI!

The dreaded PMI(Private Mortgage Insurance) is required by lenders to borrowers who do not have at least 20% of the purchase price as a down payment. Depending on your loan balance, this PMI payment can range from an extra $50 to $300 in addition to your mortgage payment. Yikes!

Have you ever heard of “Lender Paid Mortgage Insurance?”

Lender Paid Mortgage Insurance (LPMI) is a mortgage program that has been around for awhile, but for some reason many people are not aware of it.  The lender pays for the PMI with this mortgage program, not you.  These is a small adjustment to the interest rate, but it can mean a world of difference to your payment and making the mortgage payment more affordable.

I’ve laid out two options, so you can compare the difference.

1. Loan Example withPMI

- $200,000 purchase price

- 5% down payment ($10,000)

- 30 year fixed rate of 5.875%

- Payment = $1247.42($1123.92 of principal & interest + $123.50 of PMI)

2. Loan Example withoutPMI

- $200,000 purchase price

- 5% down payment ($10,000)

- 30 year fixed rate of 6.375%

- Payment = $1185.35

Example 2 is $62.07 less every month. That is a savings of $744.84 every year!

So, if you are purchasing a home or refinancing your existing mortgage and you don’t have that magical 20%, just tell me…”Josh, I want to know how much I can save with LPMI.”

Kory, a recent client of mine, was referred to me by her father, Jerry. Thanks again Jerry for referring your daughter over to me! She was extremely hesitant about even looking into getting pre-approved by a lender. She knew her credit situation wasn’t good and didn’t want to feel embarrassed if she was denied.

I could tell she felt this way by the tone of her voice and the specific words she chose to use, like, “I don’t know if I want to go through this process again.” and “I don’t see myself getting approved”.

Here’s a short part of our initial conversation…

“Kory, I said, did you know your credit score doesn’t matter when applying for a FHA mortgage loan?”

“Sounds good Kory.” I said.

Credit score, credit score, credit score! It seems that’s mostly what is being advertised these days. One lender says you need THIS credit score to get approved and the next lender is THAT credit score to get approved. Don’t feel embarrassed about your credit score, your information is not shared or sold. I, myself, once had really bad credit. The feeling you get once you can be approved again is wonderful to hear!

Take the time to see if the FHA program works for you. Yes, the government, has made it easier for you to get approved for mortgage financing.

You can easily refinance your current FHA loan to a lower interest rate, since interest rates are much lower than the last 2-3 years. Today’s 30 year fixed rate on an FHA loan is about 5.875%. FHA allows you to do a streamline FHA refinance that makes it so easy people ask…”what’s the catch!?”

Ha! No catch. Below are the two things we need to verify in order to refinance your existing FHA loan into today’s lower rates:

1. You must currently be employed.
2. We have to verify your mortgage history had no 30 day lates in the last 12 months. It is still possible to approve you with one 30 day late!

These are the things we DO NOT verify, so don’t worry!

- Appraisal
- Credit Report
- Income
- Assets

Yes, it is that easy! So, if you or someone you know can benefit from the lower FHA interest rates in their Wisconsin mortgage loan, have them contact me today!

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What is an FHA loan? Click HERE to find out!