Tag Archives: mortgage loans

“No Fee” Mortgage Loans – Are They The Same Everywhere?

Mortgage application

Are “No Fee” mortgage loans the same with every lender? No, they aren’t.

Surprised to hear that? A lot of people are. But the truth is, what is called a “No Fee” mortgage loan can be so different from one lender to the next, that the cost of getting a “No Fee” mortgage loan can cost a borrower $0 … or thousands of additional dollars they may not even realize they’re paying over the life of their mortgage loan. (Spoiler Alert: Premier Mortgage Lending has the $0 cost one.)

Then how can they call them all “No Fee” mortgage loans? Well, that’s a darn good question. And Rick Piette, owner of Las Vegas based Premier Mortgage Lending would like to help explain how that happens.

“You see, when you’re shopping for a mortgage loan, whether you’re getting what common sense tells you is an actual “No Fee” loan all depends on what type of lender you’re dealing with,” states Piette. “In other words, is it a Bank, a Mortgage Banker, or a Mortgage Broker?” (For more information about the differences between these types of lenders, see our quick explainer video here.)

“Because the kind of mortgage lender you choose is what makes the difference in the true meaning of the words “No Fee.””

To put it in the simplest terms, it’s based on these two criteria:

1. A Mortgage Broker can only earn income from one source (which is usually the lending institution). A Bank or Mortgage Banker can earn income from multiple sources (that can be the lending institution, third-party loan servicers, and the consumer).

2. A Mortgage Broker must disclose all their earnings to the borrower. A Bank or Mortgage Banker does not have to disclose to the borrower how much they earn on their loan.

The reason for the differences in requirements for these entities lie in the legislation that affects Banks and Mortgage Banks differently than the laws that affect Mortgage Brokers. To get a more detailed explanation about how these visible vs. invisible charges work, we invite you to take a look at our previous blog article, “Mortgage Loan Charges: Some You See, Some You Don’t.”

“For those currently – or soon to be – in the market for a mortgage loan, it’s important to shop around with more than one lender, and to know the right questions to ask them,” adds Piette. “We don’t ask borrowers to just take our word for it, either. We’re happy to offer them the proof – and we encourage them to ask the other lenders they speak with to offer them the same thing. After all, how can you make the best financial decision for you and your family without having all the facts?”

To learn more about the experienced professionals available to help you save money on your mortgage loan, call 702.485.6600 – or visit the Premier Mortgage Lending website.

Premier Mortgage Lending, NMLS #393282, is located at 701 N. Green Valley Pkwy., Suite 125, Henderson, 89074. The full-service lender is a member of the Las Vegas, Henderson, and Boulder City Chamber of Commerce, Better Business Bureau and Southern Nevada Home Builders Association, as well as an affiliate member of the Greater Las Vegas Association of Realtors.

The Mortgage Industry Should Continue Evolving on the Consumer’s Behalf

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Bad things happen to good people. In fact, Harold Kushner even wrote a book on the topic a few years back. That was in 2004, when the economy and housing market were on a roll. The book itself dealt with human issues and the difficulties that we often face going through life. But we see an interesting correlation between that concept and the economic hardships so many millions of Americans experienced in recent years, as a result of the actions of the financial institutions in which we placed our trust.

“For decades, the final word on our biggest financial decision – buying a home – was at the whim of these large banking institutions,” reveals Rick Piette, owner of Las Vegas-based Premier Mortgage Lending. “They made the rules, bent them for some, broke them for others, and ignored them for many. A stigma arose in our society that caused many of us to look down on those whose credit scores were less-than-worthy, often making the assumption that if these people would just “do the right thing” – they’d be better, upstanding members of society.

“But when the curtain was pulled back in 2007/2008 as The Great Recession began – suddenly there were many more members unintentionally joining the ranks of those unable to meet their obligations, with all the falling credit scores and unimaginable loss of credit and financial stability that accompanied it.”

Piette continues, “Many discovered that the state of their credit could quickly become a life-changing variable. Suddenly, society came to recognize that it IS possible to ‘do everything right’ – and still wind up on the wrong side of a good credit score. You know, that credit score that decides your finances, the interest you pay, your insurance rates, and even where you’re able to live.

“At Premier Mortgage Lending, we have long believed that changes to the “old order” of things is not only desperately needed, but deserved – for the millions of people in our country who put their trust in a system many feel was rigged against them. That’s why we have embraced the changes introduced by the Consumer Financial Protection Bureau and why we deliberately choose to practice complete transparency with our borrowers.

“We’re also encouraged to learn about new changes we hope to see implemented soon, as proposed by industry-related organizations. It includes those designed to level the playing field by introducing more fairness into a process that gives full consideration to each consumer’s individual circumstances.

“After all – these are people’s lives being dealt with – on a huge scale. Those people are more than a three-digit score – which in millions of cases took a serious hit that was not only unintentional, but often out of their control.”

One example is this: In June 2016, the National Association of Realtors sent a letter to two members of Congress to declare their support of alternative credit-scoring models under the “Credit Score Competition Act of 2015,” a bill still to be considered by the House Financial Services Committee.

This bill would allow Fannie Mae and Freddie Mac (the government-sponsored entities that assist Americans to obtain home loans) to use scoring models other than the standardized FICO to consider loan approval – such as their record of paying rent and utilities on time (true indicators of fiscal consistency not currently tracked in FICO’s credit scoring). The goal is to assist middle-to-lower income Americans who are financially qualified to buy a home – but are unable to do so because of their FICO score (or lack of one altogether).

This is only one of many recommended changes headed for congress and led by many different homebuyer and consumer-related advocates and industries. While each is to be considered individually to determine its probable impact, we believe that pursuing these types of ‘fairness doctrines’ will not only help our economy continue to recover, but restore a large piece of humanity to those whose lives were (in some cases, irrevocably) damaged by the financial hardships of the last several years.

We’d love to hear your thoughts on this subject. News? Ideas? Recommendations? The more it’s open for discussion, the more likely change is to occur. Share your comments below.

Visit our website at www.PremierMortgageLending.com for more information about our true “No Fee Mortgage” loans. And to learn which are the most important questions to ask your mortgage lender, visit our www.KnowBeforeYouOweNevada.com website – where you’ll find quick informational videos that take the mystery out of getting the best mortgage loan for your needs.

Premier Mortgage Lending, NMLS #393282, is located at 701 N. Green Valley Pkwy., Suite 125, Henderson, 89074. The full-service lender is a member of the Las Vegas, Henderson, and Boulder City Chamber of Commerce, Better Business Bureau and Southern Nevada Home Builders Association, as well as an affiliate member of the Greater Las Vegas Association of Realtors.

Keeping “The American Dream” Alive and Well – With Another Chance Nevada Mortgage Financing

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Owning your own home.

That’s a powerful statement, all by itself. For some people, it’s a scary thought – for others, it’s a lifelong dream. It can conjure up many different thoughts and emotions – from gaining a sense of pride to representing grown-up responsibility . . . and pretty much everything that flows between and around those ideas.

Since The Great Recession – when untold numbers of Americans saw the value of their homes drop by huge percentages, many even losing them to foreclosures or short sales, there have been those who wonder if that particular “American Dream” is over – that perhaps its time has come and gone.

But the truth is – the dream of homeownership is still very much alive and well. And that’s because owning a home isn’t simply a ‘transaction’ – it’s a mindset and a way of life. Just ask those who lost their homes in recent years due to the housing crisis – because after having owned a home, the desire to own again is even stronger. There are no ifs, ands, or buts about it: Having a home of your own provides a sense of security, belonging, and family stability that can rarely be found any other way.

At Premier Mortgage Lending, we recognize that owning a home can be the very foundation that families build their entire way of life upon. That’s why when we saw the effect the housing crash was having on the lives of thousands of our Las Vegas neighbors, we took action. We created Another Chance Nevada, so that we could offer a mortgage alternative to those whose credit had been damaged by the recession – either through losing their home or by seeing their finances and credit rating take a hit due to the developing economic crisis.

Through Another Chance Nevada, we created a source of Private Money Financing options for those who aren’t able to qualify now for traditional financing. These loan programs do require a minimum of 20% down payment, and rates and fees will be higher than for a traditional home loan. However, it’s an excellent opportunity for buyers to obtain long-term financing at competitive rates. These loans are free of any predatory loan features — and best of all, there are no pre-payment penalties.

Why is that the best part? Because it means that as you continue to work on raising your credit score and financial stability – as soon as you’re able to qualify, you can refinance to get a traditional loan at an even lower interest rate.

In fact, we even have the perfect mortgage loan for after you recover financially, too – because Premier Mortgage Lending is the home of the true No Fee Mortgage Loan. That means Zero: Loan Origination, Underwriting, or Document Fees. And you’ll still find the most competitive interest rates – so there’s a good chance you’ll end up saving thousands of dollars on your mortgage loan. (And yes – we encourage you to shop around and compare rates when that time comes. You don’t have to just take our word for it . . . you can find out for yourself!)

To learn more about how you can own a home again – in as little as one day following a short sale or foreclosure – visit us at AnotherChanceNevada.com. And to watch our short series of Home Loans #101 educational videos, visit www.KnowBeforeYouOweNevada.com. We created them to take the ‘mystery’ out of obtaining a mortgage loan. They’ll explain exactly what you need to know to save big money on your next loan – and tell you exactly which questions to ask your next mortgage lender.

Premier Mortgage Lending, NMLS #393282, is located at 701 N. Green Valley Pkwy., Suite 125, Henderson, 89074. The full-service lender is a member of the Las Vegas and Boulder City Chamber of Commerce, Better Business Bureau and Southern Nevada Home Builders Association, as well as an affiliate member of the Greater Las Vegas Association of Realtors

Wondering if Now is the Right Time to Buy a Home in Las Vegas? The Odds are With You.

image003When the final real estate market figures for 2015 were tallied in Las Vegas, a remarkable thing was discovered: Every zip code in the urban Las Vegas valley reported a price gain in median value over 2014.

That’s huge news – especially in a city hit so hard in the aftermath of the economic collapse. Many so-called “experts” said it wasn’t possible. Many said Las Vegas would never recover. (Seriously – “never” – direct from the Wall Street Journal.)

And yet, here we are – with Las Vegas ranked as the top state in the U.S. with a four-year value jump of nearly 75 percent. That’s not to say every homeowner in the city has fared so well, of course. Some who bought at the height of the boom prior to the housing crisis are still suffering negative equity. Unfortunate as that is, it was to be expected for a city hit as hard as we were.

“But the fact is that for those who bought real estate in Las Vegas since 2012, their homes have and continue to appreciate,” comments Rick Piette, owner of Premier Mortgage Lending. “And that is a trend that will only help those still working towards recovery – as a rise in the median value of homes is a rise for them, too.

In addition, there are several other good reasons for potential buyers to “get off the fence” and make their move into homeownership here in Las Vegas, such as:

1. Credit is becoming move available to consumers. Thanks to more and better lending models, along with renewed confidence in the U.S. housing market, more lenders are easing mortgage loan standards and issuing loan approvals.

2. Interest rates remain at near-record lows. Traditional 30-year mortgage loans remain at rates lower than 4%. That’s a figure that even our parents would have been thrilled to receive when they bought their first home. (In 1965, the average interest rate was 5.83%.)

3. Unemployment continues to drop. From a high of over 13% in 2008 to its current 6.2%, jobs are coming back to Nevada. In fact, Nevada ranked 11th in the nation for job growth from 2009 to 2015.

4. Housing in Las Vegas is poised for a strong season. Employment, income, and population are all on the rise, and analysts agree, ”Las Vegas real estate is in about the best shape it’s been in for a decade.”

According to Piette, “All of these reasons – when added to the emotional and psychological benefits of owning a home – mean that for those who have been waiting for “the perfect moment” to buy a home in Las Vegas – now is that time.

“But be smart about the entire process. Find the right Realtor® – then do your homework to make sure you find the best mortgage lender, too,” he adds. “Mortgage loans are no longer ‘one-size-fits-all’ like they used to be. There’s a huge difference between how loans are made between banks, mortgage banks, and mortgage brokers – and it’s a difference that can cost buyers who don’t know what to look for thousands of dollars out of their pocket.

“So shop around, compare interest rates, pay attention to the fees – and you’ll save money. That’s what we tell all of our clients at Premier Mortgage. And most of the time, they come back to tell us “You were right. Let’s do this.” It’s a good feeling.”

To find out more about what to ask prospective lenders, visit Premier’s www.KnowBeforeYouOwe.com website and view the quick educational videos that make it easy to understand how to shop for a loan. We’re pretty sure you’ll be glad you did,” confirms Piette.

Premier Mortgage Lending, NMLS #393282, is located at 701 N. Green Valley Pkwy., Suite 125, Henderson, 89074. The full-service lender is a member of the Las Vegas and Boulder City Chamber of Commerce, Better Business Bureau and Southern Nevada Home Builders Association, as well as an affiliate member of the Greater Las Vegas Association of Realtors.

Time Is On The Side Of Home Ownership

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If there is only one maxim that is true for virtually every business, it’s that “Time Marches On.” For industry, that means planning ahead – whether it’s for the ‘next big thing’ or the needs of the next generation. For the U.S. home market, the passage of time actually provides a two-fold benefit.

First, it will ultimately bring the 20-somethings of today into the realm of renter, and then potential future homeowner. Second, it is giving previous homeowners the opportunity to rebuild their credit and finances, then re-enter the housing market.

According to 1st quarter 2015 Commerce Department statistics, the growth of total renting households in the U.S. is rising significantly – up by 1.8 million in the past year. And while homeownership has actually dropped in that same period by 386,000 – those figures still represent societal upheavals in residential living arrangements.

In short, the teens of the 2007/2008 housing market crash are now grown up and entering new life phases. With their educations completed, this generation will, in many ways, follow the natural course of events: career, marriage, and family. As their household needs continue to grow, the availability of suitable rental properties will shrink, even as the cost for those rentals will rise. (A trend that’s already occurring.) Ultimately, these facts, combined with low mortgage interest rates and recovering job markets, will make the prospect of home ownership not only emotionally appealing, but a wise financial move, as well. (According to a recent Zillow report, renting is now twice as expensive as buying.)

And while homeownership has yet to return to pre-recession rates, “time” is also on the side of those homeowners who struggled with foreclosures during that period. Because time, along with financial planning, are what it takes to rebuild credit and accumulate down payment funds. Many former homeowners have used that time wisely to rebuild and recoup, and are now beginning to venture back into the home buying market.

Fortunately for both groups – first-time and returning home buyers – the playing field for mortgage lending has been leveled in the interim by the reform provided through the Dodd-Frank Wall Street Reform and Consumer Protection Act. Which means that the increased availability of mortgage financing is now offering one more helping hand to the U.S. real estate market.

However, it’s important for buyers to remember that no two mortgage loans will cost the same. In fact, if you sought financing through a traditional banking institution or a mortgage banker and were denied, it’s possible that the very costs of obtaining that mortgage may have played a role in having your loan turned down.

As a mortgage broker, Premier Mortgage Lending offers several loan opportunities for home buyers – including “Second Chance” and “No-Fee” mortgages. The first helps those who have been turned down previously with private money lending; while our “No-Fee” mortgage loans literally cost buyers $0. No origination fees, no junk fees – and that translates to less cash out-of-pocket, lower APRs, and more home for your money.

If you’re not sure about your ability to qualify for a mortgage loan, isn’t it better to find out what your options are? For additional information or to schedule an appointment for mortgage prequalification or refinancing, call Premier Mortgage Lending at 702-485-6600 or visit premiermortgagelending.com.

Premier Mortgage Lending, NMLS #393282, is located at 701 N. Green Valley Pkwy., Suite 125, Henderson, 89074. The full-service lender is a member of the Las Vegas and Boulder City Chamber of Commerce, Better Business Bureau and Southern Nevada Home Builders Association, as well as an affiliate member of the Greater Las Vegas Association of Realtors.