Mortgage Lenders of America Review

Are you searching for a mortgage lenders of America review before you refi your home loan and want to avoid paying unnecessary fees and hidden markup? Did you know that according to the Secretary of Housing and Urban Development your friends and neighbors in the US will overpay sixteen billion dollars for their home loans this year? Here are some of my best tips before you refi to help you avoid becoming a part of this statistic.

Mortgage Lenders of America Review

The problem with any Mortgage Lenders of America Review is that it’s not going to show you how to avoid the hidden markup that all lenders include in your home loan. Did you know that lenders pay an incentive to brokers for marking up your interest rate called Yield Spread Premium? Don’t worry if you never heard of Yield Spread Premium, once you’ve finished reading this Mortgage Lenders of America Review you’ll know exactly what it is and how to avoid paying for it.

Yield Spread Premium Definition

Also known as YSP, Yield Spread Premium is a fee paid by lenders to any loan originator who locks and closes your home loan with a higher than necessary interest rate. If you came here looking for a Mortgage Lenders of America Review that simply points out the best refinance company to choose for your next home loan you’re not going to find one because they can all include Yield Spread Premium on their loans. What you need to know is that it is possible to refinance your home with a wholesale mortgage rate and avoid this hidden markup completely.

What you won’t get from those other Mortgage Lender of America Review sites is a sound mortgage rate strategy for avoiding this hidden markup and cutting as much as $1200 a year from your payments. You’ll also get the added benefit of avoiding lender junk fees while refinancing with wholesale rates.

How to get Wholesale Mortgage Rates

You can refinance your home with a wholesale rate not by shopping for the best refinance company for your next home loan but finding the right person to arrange your next home loan. There are brokers out there willing to work for a flat origination fee of one percent without marking up your interest rate for a kickback, you just have to find one. You can get started after reading this Mortgage Lender of America Review by looking for small, self-employed broker. These brokers will be much more likely to negotiate the kind of deal that I’m describing here with a wholesale mortgage rate.

Instead of relying on a mortgage lender of America review to get the best home loan you can learn more about refinancing with wholesale interest rates by checking out my free underground Mortgage Refinancing Videos.

httpv://www.youtube.com/watch?v=be9md0A0_2c

Here’s a quick sample to get you started today refinancing your home loan with wholesale rates.

Mortgage Refinancing With Wholesale Rates Will Save You Thousands

Are you in the market for mortgage refinancing but aren’t sure how to get the best deal for your next home loan? Did you know that mortgage refinancing with a wholesale interest rate will cut as much as $1200 worth of hidden markup from your home loan every year? Despite what your mortgage broker tells you it is possible to pay a flat fee of one percent for loan origination and refinance your home with wholesale mortgage rates. Here are several of my best mortgage refinancing tips to help you slash that $1200 worth of fat from your next home loan.

Mortgage Refinancing to Lower Your Payments

According to the Secretary of Housing & Urban Development (HUD), homeowners in the United States (your friends and neighbors) will overpay sixteen billion dollars for their home loans this year because of hidden markup and junk fees. The fee you need to avoid when mortgage refinancing is called Yield Spread Premium. Don’t sweat it if you’ve never heard of Yield Spread Premium, your neighbors haven’t heard of it either which is why they’re overpaying for their home loans.

What is Mortgage Yield Spread Premium?

Simply put, Yield Spread Premium is a fee paid by mortgage lenders to any broker that locks and closes your home loan with a higher than necessary interest rate. The amount of the fee they receive depends on how much they markup up your interest rate. For every .25 percent that you unknowingly agree to overpay the broker receives one percent of your home loan as a kickback. Here’s an example to illustrate how Yield Spread Premium drives your monthly payments up unnecessarily and how much you can save by avoiding the hidden markup when mortgage refinancing.

Suppose for example you’re refinancing your home for $315,000 and your broker quotes you an interest rate of 6.5% charging you an origination fee of two percent. At closing you’ll be required to pay $6,300 for the broker’s part in arranging your mortgage refinancing. The first thing you need to know about the mortgage origination fee is that you never want to pay more than one percent of your home loan. In this example $3,150 is more than ample compensation for the broker’s work arranging your home loan. So what about the mortgage refinancing Yield Spread Premium in this example?

Yield Spread Premium in Action

What your broker isn’t telling you is that you actually qualified for a 6.0% mortgage rate and they’ve marked it up to 6.5% to collect an extra 2% from your lender. That’s another $6,300 on top of the $6,300 you’re already overpaying this person for their work. What does this hidden markup do to your mortgage payments? Suppose you’re mortgage refinancing with a 30-year, fixed-rate mortgage of $315,000. At 6.5% your monthly payment will be $1,991. If you had the interest rate you deserve when mortgage refinancing at 6.0%, your monthly payment would be only $1,888. That’s a difference of $103 per month, a whopping $1,236 per year of your money that you’re throwing away because of this hidden markup.

You Can Get Wholesale Mortgage Rates

You don’t have to be a personal finance guru or have connections to get a wholesale mortgage rate, you just need to find the right person to arrange your home loan when mortgage refinancing. Who is the right person to arrange your next home loan? You won’t find the right broker with those large, nationwide brokerage houses; they simply have too much overhead to give you the kind of deal I’m describing here. Look for a small, self-employed local mortgage broker in your area and they’ll be much more likely to negotiate the kind of mortgage refinancing deal that I’m describing here.

You can learn more about getting a wholesale interest rate without paying junk fees by checking out my free Underground Mortgage Refinancing Videos.

httpv://www.youtube.com/watch?v=be9md0A0_2c

Here’s a quick sample to get you started today by exposing the dirty secret your lender and broker would rather you didn’t know…

Mortgage Refinancing When Interest Rates Are Rising

You may have heard that mortgage refinancing rates are on the rise again. Did you miss out on the opportunities your neighbors brag about, or can a savvy homeowner still get deals reminiscent of the glory days of mortgage refinancing? Did you know it’s possible to get a wholesale mortgage rate, saving yourself thousands of dollars from hidden markup and junk fees? Here are several of my best mortgage refinancing tips guaranteed to cut thousands of dollars worth of fat from your next home loan and help you answer the question Should I Refinance My Mortgage?

Mortgage Refinancing Rates On The Rise

Turn on the news and you’re likely to hear talk of rising rates and the proposed privatization of the mortgage industry in the United States…all bad news for homeowners. According to the CBS Evening News, privatizing of the mortgage industry, which would mean the end of Fannie Mae and Freddie Mac, would cost the average homeowner $150 more per month. Granted, privatization is a tough sell with this economy’s badly bruised housing market; however, anything that drags down your bottom line when it comes to your home loan should give you reason for concern.

Yield Spread Premium and Mortgage Junk Fees

Protecting your family’s bottom line when mortgage refinancing is why you need to know about Yield Spread Premium. Never heard of it? Don’t worry, neither have 97% of your neighbors…that’s why almost all of them are overpaying for their home loans despite mortgage refinancing with historically low-interest rates. What is Yield Spread Premium? Simply put, it’s a kickback (think Al Capone closing home loans in a seedy, smoke-filled bar) paid to loan originators for locking and closing your home loan with higher than necessary interest rates.

That’s a right; lenders reward your broker for overcharging you with this fee called Yield Spread Premium. The way it works is for every .25 percent you unknowingly agree to overpay the lender pays your broker a commission of one percent of your loan amount. This hidden commission is disclosed in your loan documents; however, most brokers have clever ways of explaining away the fee that isn’t coming out of your pocket.

Why Your Neighbors Are All Overpaying

Here’s an example to illustrate the problem with accepting Yield Spread Premium when Mortgage refinancing. Suppose for example, you are refinancing your home loan for $275,000 and the broker quotes you a mortgage rate of 5.75%. Your payment on this amount refinancing with a 30-year, fixed-rate home loan would be $1,604 per month.

What you don’t know is that mortgage refinancing could have landed you an interest rate of 5.0%; however, your broker marked it up to 5.75% to collect Yield Spread Premium from the lender. This hidden commission is paid in addition to any loan origination fee you’re already paying the person arranging your mortgage refinancing. If you had the interest rate you deserve at 5.0% your payment would only be $1,470. That’s a difference of $134 per month, a whopping $1,608 per year because your broker overcharged you.

You can learn more about mortgage refinancing with wholesale rates while avoiding junk fees by checking out my free Underground Mortgage Videos.

httpv://www.youtube.com/watch?v=be9md0A0_2c

Here’s a quick sample to get you started saving as much as $1,200 on your next home loan.

Using a Mortgage Rates Calculator to Decide if Refinancing Makes Sense

If you’re considering mortgage refinancing and want to know if a new home loan is the right decision, using a mortgage rates calculator can help. Many financial advisors will tell you not to refinance unless your new mortgage rate is at least two percent lower than your existing rate; however, a simple mortgage rates calculator exposes this for the bad advice that it is. Here are several tips to help you decide if refinancing is right for your financial situation with a simple mortgage rates calculator.

Mortgage Rates Calculator Basics

Working with a mortgage rates calculator is pretty simple. Plug in your loan amount, interest rate, and loan term and it will spit out your new payment amount. How can you use this to decide if a new home loan makes sense? Instead of relying on an old wives’ tale like the two percent rule of mortgage refinancing, it makes more sense to base your decision on the cost and savings of the new home loan. Every home loan has closing costs and fees associated with it that cut into any potential savings you may realize from refinancing. The mortgage rates calculator shows you how long it will take to recoup these expenses with your new, lower payment.

Mortgage Refinancing Scenario #1

Here’s an example to show you how to use a basic mortgage rates calculator. Suppose for the sake of this example you are refinancing your home for $315,000. The broker is charging you an origination fee of 1.5% meaning that you’ll have to pay $4,725 to close with a mortgage rate of 6.0%. In this example plug the loan amount and new mortgage rate into your mortgage rates calculator and choose a fixed rate, thirty-year loan term.

The mortgage rates calculator determines your monthly payment amount of $1,888 and can display an amortization schedule showing how your home loan is paid down. The previous interest rate in this example was 6.75%, which means the old payments were $2043. Mortgage refinancing in this scenario yields a savings of $155 per month. (Subtract the new payment from the old to determine savings $2043-$1888=$155) That’s a savings of $1860 per year!

Before you can realize this savings from the new home loan you need to recoup the $4,725 you paid the broker along with any other closing costs you are required to pay. To determine the amount of time it will take you to recoup your expenses simply divide your total costs for the new home loan by the amount you’re saving each month. In this example the broker fee is costing us $4,725 so if we divide by the savings we determined from our mortgage rates calculator. ($4,725/$155 = 30 months / 12 months in a year = 2.5 years)

If you’re comfortable with the amount of time it will take to recoup your expenses then the new home loan probably makes sense in your situation. As you can see from the previous example we’ve debunked the two percent rule of mortgage refinancing; however, did you know it’s possible to cut hundreds of dollars from your payment by avoiding hidden markup?

You can learn more about cutting hidden markup and junk fees when refinancing your home by checking out my free Underground Mortgage Refinancing Videos.

httpv://www.youtube.com/watch?v=be9md0A0_2c

Here’s a quick sample to get you started by exposing one of your mortgage broker’s dirty secrets.

RefiAdvisor Review

truth about no cost refinance RefiAdvisor ReviewIf you’re looking for a RefiAdvisor review and want to know what the site is all about (and more importantly what’s in it for you) you’ve come to the right place. The Internet is a great resource for free mortgage advice; however, it’s important to know whom to trust. Here’s a no bs RefiAdvisor review that includes the answer to the most important question on your mind…what’s in it for me?

RefiAdvisor Review: Get the Inside Scoop

RefiAdvisor.com is a blog website (blogs are a kind of online journal) with the goal of helping people like you save money when refinancing your home loan. RefiAdvisor isn’t backed by any lender and will not try to sell you a home loan. In fact, nothing on the website is for sale. Why you ask, would anyone put so much time and effort into something like this? This site has become something of a hobby for me and is my way sticking it to the man for a mortgage lender that took advantage when refinancing my home. That’s why I’m not going to try to sell you anything on this site. You won’t find affiliate links for books or other crap you don’t want or need.

If you’re wondering about me, my name is Robert Regehr. I’m not a mortgage broker, personal finance guru, or anything remotely similar. I’m an everyday guy that set out to refinance my home loan and trusted the wrong person. I didn’t lose my home from this refi gone wrong; however, I found out later that I had paid almost three times more I should have when all was said and done. I took the “I’m a pretty smart guy” approach that many homeowners take when refinancing and learned the hard way that brokers and lenders stack the deck in their favor. They do this in a number of ways including unnecessary markup of your mortgage rate, lender junk fees, and overcharging the origination fee.

How to Save $1200 a Year on Your Home Loan

There are a number of free resources available on RefiAdvisor that include articles and tutorials on the blog and a series of instructional videos that walk you through the process of refinancing with wholesale mortgage rates. Where does this information come from? The content you find on the blog, and in the Underground Mortgage Refinancing Videos, was created with the help a friend of my family who is a retired mortgage broker. You can rest assured that the information you get here is based on sound financial advice from someone who has worked in the industry for over thirty years.

RefiAdvisor Review: What’s in it for You…

In part two of this RefiAdvisor review I’ll show you how these Underground Mortgage Refinancing Videos can help you with the example of my home refinancing gone horribly wrong. In early 2007 I had decided to refinance my home for $315,000. Rates were lower and I wasn’t particularly happy with the deal we got purchasing our home and wanted lower payments. We found a broker through a friend…figured a mutual acquaintance would be a safe bet. The broker was extremely charismatic and promised us the moon with our new home loan…much like a used car salesman in retrospect. The broker wanted to charge us 2% for loan origination and quoted a mortgage rate of 6.75%. The loan origination fee meant that we had to pay $6,300 at closing for the broker fee. Everything on the Good Faith Estimate looked reasonable; however, the broker insisted that we lock as soon as possible. If we locked now she could get around the lender’s “lock fee.”

Everything went very quickly once we locked and after closing and before I knew it we had a new mortgage loan. It was only later when examining the HUD-1 settlement statement that I learned how much we’d taken advantage of by this broker. (Your HUD-1 is the last word when it comes to fees where the Good Faith Estimate is a work of fiction) Section 800 had an entry for a “paid outside of closing” charge of $9,450. Which I learned the lender paid because the broker marked up our mortgage rate from 6.0% to 6.75% without telling us. This fee is known by the mortgage fat cats as Yield Spread Premium, and according to the Secretary of Housing and Urban development will cost homeowners in the US nearly sixteen billion dollars this year.

So our mortgage rate was .75% higher than it should have been…what’s the big deal? At 6.75% the payment on a thirty year, fixed-rate home loan was $2,043 per month. If we had the mortgage rate that we deserved at 6.0% our payment would have been $1,888. That’s a difference of $1,860 per year because we trusted the wrong broker! Not to mention that a reasonable fee for loan origination is one percent of the loan amount, not the two percent we were charged.

Underground Mortgage Refinancing Videos

This experience taught me that it is possible to get wholesale mortgage rates when refinancing your home loan and the difference to your bottom line is significant. Many brokers will tell you that you can’t get wholesale mortgage rates; anyone that tells you this is selling overpriced home loans!

Click Here For More Details…

You can learn more about paying less for your next home loan by checking out my free Underground Mortgage Videos.

httpv://www.youtube.com/watch?v=be9md0A0_2c
  • Get My Underground Mortgage Videos
Here’s a quick sample to help you pay less at closing for current mortgage rates…