By Dennis Norman, on August 3rd, 2013 
St Louis mortgage interest rates are on the rise and hitting levels we have not seen in the past year and a half and the 3.x percent rates we have become somewhat accustomed to are gone. However, before you panic or think the housing market is headed toward another crash as a result, you should keep in mind that todays rates (see below for current rates) of about 4.5 percent for a 30 year fixed rate mortgage is still lower than the average monthly mortgage interest was for more than 40 years proceeding 2012. Granted, looking back, 2012 was the year to buy a house with an average interest rate of 3.66 percent and lower home prices, but hindsight is always 20-20. The bottom line is, instead of worrying about the recent increases in mortgage rates home buyers should be thankful that rates remain at historic lows.
Current St Louis Mortgage Interest Rates From Tyler Frank, Paramount Mortgage: Continue reading “St Louis Mortgage Interest Rates On The Rise But Still Historically Low“
By Dennis Norman, on August 1st, 2013
City of St Peters MO agrees to pay fine and change discriminatory ordinance
The Justice Department announced today that the city of St. Peters, Mo. will pay $80,000 and make changes to its zoning laws to settle a lawsuit alleging that the city violated the federal Fair Housing Act (FHA) and Title II of the Americans with Disabilities Act (ADA) when it denied a zoning request to operate a group home for four women with intellectual disabilities. The lawsuit is part of the Justice Department’s continuing effort to enforce civil rights laws that require states and municipalities to end discrimination against, and unnecessary segregation of, persons with disabilities. The settlement was filed today and must be approved by the U.S. District Court for the Eastern District of Missouri. Continue reading “City of St Peters Settles with DOJ On Disability Discrimination Allegations“
By Dennis Norman, on July 31st, 2013 Over the years I have seen many “St Louis For Sale By Owners” (FSBO’s), you know those people that decide they can sell their house themselves without the help of a professional, make a variety of mistakes in the way they handle the sale of their property. The mistakes range from minor ones that will probably just cost them some heartburn to major mistakes that could lead to serious legal troubles.
What are the most common mistakes made by FSBO’s? Continue reading “Common Mistakes Made By St Louis For Sale By Owners (FSBO’s)“
By Dennis Norman, on July 24th, 2013  New home sales soared in June to an annual rate of 497,000 homes, the highest level in 5 years, according to data just released by the U.S. Census Bureau and HUD. New homes were sold in June at a rate that is 8.3 percent higher than the month before and 38.1 percent higher than June 2012 when new homes were sold at the rate of 360,000 homes a year.
New homes sold in the month of June 2013 were sold for a median price of $249,700, a decrease of 5 percent from the month before and an increase of 7.3 percent from a year ago when the median new home sales price was $232,600.
See St Louis Are New Homes For Sale – Click HERE
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By Dennis Norman, on May 16th, 2013  Home building continues at a pace higher than we have seen in a few years, according to the latest new construction report from the U.S. Census Bureau and HUD. According to the report, permits were issued in April for new homes at a seasonally adjusted annual rate of 617,000 homes, the highest rate in over 2 years and an increase of 27.5 percent from last year. New home starts in April were at an annual rate of 610,000 homes, a slight decline from March, but a 20.8 percent gain from a year ago and the 5th straight month the rate was in excess of 600,000 homes.
To view the complete report, [wpsharely] click here.[/wpsharely]
By Dennis Norman, on April 23rd, 2013 New home sales continued the upward trend in March with new homes in the US selling at a seasonally-adjusted annual rate of 417,000 homes, an increase of 1.5 percent from the month before and an 18.5 percent increase from a year ago, according to the US Census Bureau and HUD.
New home sale prices declined in March to a median price of $247,000, down 6.7 percent from February’s median new home price of $264,900 but up 3 percent from a year ago when the median new home sales price was $239,800. The inventory of new homes for sale remained steady with a 4.4 month supply, the same as the month before but down from a 4.9 month supply a year ago.
By Diana Davis, on March 21st, 2013  Making Sense of Confusing Real Estate Terms
If you are buying, selling or refinancing a home you will come across real estate terms and industry lingo that may sound foreign to you. To help address this issue, below you will find definitions for the most common real estate terms that you are likely to come across when buying, selling or refinancing a home. If you have other questions about title insurance, or the role of the title company in these transactions, please contact me and I’ll be happy to help.
 Continue reading “Real Estate Terms Defined“
By Dennis Norman, on March 14th, 2013  What to do if you are facing foreclosure and losing your home.
If you are not able to make the payments on your home and are afraid you are going to lose your homje in foreclosure, there is free help available to you right here in St. Louis through HUD-approved counseling agencies that can provide you with information and assistance to avoid foreclosure. The agencies can also determine if you may be eligible for a special loan modification or refinance through the Federal Government’s “Making Home Affordable” plan which may help you keep your home by reducing your payments. These are not-for profit agencies that do NOT charge you but are funded, in part, by HUD. To find an agency closest to you, see the list below. Continue reading “Free Foreclosure Avoidance Help Is Available In St Louis“
By Dennis Norman, on March 7th, 2013  Tyler Frank,
Paramount Mortgage
NMLS ID 942420 Nationwide 30-year fixed mortgage rates have climbed to their highest level of the last five weeks according to last week’s rate survey conducted by Bankrate.com.
This has spurred concern from many home refinancers and potential homebuyers who “worry the low rates won’t last much longer as they try to beat the clock on rising mortgage fees and policy changes on low down payment loans,” reports Polyana da Costa, Bankrate.com.
Continue reading “St. Louis Borrowers in a Rush for Low Mortgage Interest Rates and Fees“
By Dennis Norman, on March 5th, 2013 According to a recent report by the Loan Modification Scam Prevention Network (LMSPN), a national anti-scam effort comprised of Fannie Mae, Freddie Mac, the Lawyers’ Committee for Civil Rights Under Law, the Homeownership Preservation Foundation (HPF), and NeighborWorks America, there have been more than 30,000 loan modification scams reported in the past three years. According to the group, the scammers are becoming “increasingly aggressive online, using targeted web advertisements to reach homeowners who are searching for mortgage relief over the Internet.” The group cautions that homeowners should be aware that no one other than your present lender can guarantee any form of mortgage relief.
Below are six (6) warning signs to look for that may indicate you are dealing with a loan modification scammer: Continue reading “How to avoid being the victim of a loan modification scam“
By Robert Fishel, on February 27th, 2013  It is more important now than ever, as a result of increasing regulation and scrutiny of the mortgage industry, to plan ahead when you are planning on obtaining a mortgage loan to buy a house or refinance an existing loan to ensure that the process will go smoothly and as expected. Your loan approval is subject to the financial information you provide at the time of your loan approval. Any subsequent changes in your financial situation before the actual date of closing could jeopardize your loan approval and delay your closing.
By following the simple guidelines below, you are assured a smooth and error-free closing.
 Continue reading “How to make getting a home loan easier; St Louis Mortgage Interest Rate Update“
By Dennis Norman, on February 20th, 2013 Conventional Loan Programs
Conventional loans are traditional home mortgages used for primary residence, second homes or investment purposes. There are standard underwriting guidelines for conventional conforming loans up to $417,000. These loans are available as a fixed or variable (ARM) rate with a variety of repayment terms. Borrowers typically have the means for a down payment and good credit histories (680 or higher). Private Mortgage Insurance is required for loan to values greater than 80%. Used for primary residence, second homes or investment purposes Continue reading “Mortgage Loan Programs; St. Louis Mortgage Interest Rate Update“
By Robert Fishel, on February 13th, 2013 “Nobody ‘wants’ to pay PMI, it’s just that we have no choice, especially if you want to buy a house and don’t have say an extra $50k to $80k lying around for a down payment, which most first-time buyers don’t.” Chris Durst, a first-time homebuyer and commenter on Investopedia.com.
The credit experts at MGIC, the nation’s largest private mortgage insurer, wants Realtors® and Lenders alike to know that financing with MI creates opportunities for borrowers: Continue reading “Nobody ‘wants’ to pay PMI; St. Louis Mortgage Interest Rate Update“
By Robert Fishel, on February 6th, 2013 FHA Interest Rate Change: MHDC’s Cash Assistance Loan (CAL) is now 4%! (APR 4.93)
MHDC is raising mortgage interest rates offered to first-time homebuyers. First-time home buyers receive a forgivable 3% cash assistance loan for down payment and closing costs.
Continue reading “Interest Rate Change; St. Louis Mortgage Interest Rate Update“
By Robert Fishel, on January 30th, 2013 Federal Housing Administration Commissioner Carol Galante recently announced a series of changes to be issued that will allow the agency to better manage risk and further strengthen the health of the Mutual Mortgage Insurance Fund (MMI).
FHA will increase its annual mortgage insurance premium for most new mortgages by 10 basis points, or 0.10%. The FHA will also require most borrowers to continue paying annual premiums for the life of their mortgage loan.
Continue reading “FHA Increasing Cost of Mortgage Insurance And Requiring Payment For Life of Loan“
By Robert Fishel, on January 23rd, 2013 As part of the fiscal cliff deal, Congress extended the cancellation of mortgage debt relief provision for 1 year, through the end of 2013.
It seems there is little focus on the importance of this law, it is crucial to foreclosure mitigation efforts such as principal forgiveness and short sales.
Normally, when a lender forgives all or a portion of a borrower’s debt, U.S. law decrees that the forgiven amount is considered taxable income to the borrower. This “forgiveness” is also known as Cancellation of Debt (COD) Income. COD must be included in a taxpayer’s gross income. The Mortgage Forgiveness Debt Relief Act allows homeowners who received principal reductions or other forms of debt forgiveness not to pay taxes on the amount forgiven.
Consult your tax adviser to determine whether the Mortgage Forgiveness Debt Relief Act is relevant to your particular situation.
Continue reading “Cancellation of Debt; St Louis Mortgage Interest Rate Update“
By Peter Wright, on January 11th, 2013 So…you are looking to buy a home in 2013 and are considering using a FHA mortgage for financing…don’t delay, because that FHA mortgage could end up costing more very soon.
HR 4264 or The Fiscal Solvency Act of 2012 is a bill that has overwhelmingly passed the House and is on its way to the Senate. This bill among other things grants FHA the power to raise its mortgage insurance premiums to as high as 2.05% annually — nearly twice the 1.20% rate most FHA-Insured homeowners pay today.
 Continue reading “FHA Loans May Become A Lot More Costly Soon“
By Robert Fishel, on January 9th, 2013 Mortgage Interest Tax Deductibility passed as part of the American Taxpayer Relief Act of 2012. This allows MI to be tax deductible for 2012 and 2013. The provision extends the ability to deduct the cost of mortgage insurance on a qualified personal residence. The deduction is phased-out by 10% for each $1,000 by which the taxpayer’s AGI exceeds $100,000. Thus, the deduction is unavailable for a taxpayer with an AGI in excess of $110,000. The bill extends this provision for two additional years, through 2013.
Consult your tax adviser for further information and determine how this will benefit you.
Continue reading “Mortgage Interest is Tax Deductible Through 2013; St Louis Mortgage Interest Rate Update“
By Robert Fishel, on January 3rd, 2013 Fannie Mae has declared that housing is finally providing a tailwind to economic growth. The company’s December Economic and Strategic Report says that the market “has turned the corner and a sustained recovery is under way.” Looking into 2013, economists predict mortgage originations will increase by 15% while refinance volume is expected to fall 26%.
Continue reading “Optimism in the Mortgage Markets for 2013; St Louis Mortgage Interest Rate Update“
By Robert Fishel, on December 26th, 2012 “Every single thing about housing is flashing green,” stated James Dimon, chief executive of J.P. Morgan Chase, in an interview with CNBC last month. “Household formation is rising, inventory is falling, and affordability is near a record high.” This should mean many potential homebuyers will be assessing their finances in 2013 to get ready to buy a home. Checking your credit score is at the top of the list, and in turn credit myths and credit misconceptions are plentiful.
Things You Should Know Before You Repair Your Credit:
Continue reading “Things You Should Know Before You Repair Your Credit; St Louis Mortgage Interest Rate Update“
By Robert Fishel, on December 19th, 2012 Mortgage rates have flattened out, but some borrowers are lowering their rates further by opting for a loan with a shorter term.
Freddie Mac says about 30% of borrowers this year have opted for shorter-term home loans when they refinance, with most picking a 15-year mortgage. Shorter-term loans are particularly attractive to people “who have been homeowners for a number of years…or who want the security of knowing they will own their home free and clear when they retire,”
Continue reading “Saving interest…shorten your term; St Louis Mortgage Interest Rate Update“
By Robert Fishel, on December 12th, 2012 After the problems we have seen over the past few years in the real estate, mortgage and banking industries, it is not surprising we have seen significant changes in the loan process making it more challenging for a home-buyer to obtain a mortgage. Some of the changes borrowers see when they attempt to obtain a mortgage to buy or refinance a home include:
Continue reading “Changes in the Mortgage Industry; St Louis Mortgage Interest Rate Update“
By Robert Fishel, on December 6th, 2012 According to Lawrence Yun, Chief Economist for the National Association of Realtors, home prices nationally are up 11.1% in October compared to this point last year. The number of homes available for sale nationally fell reducing the available supply to a level below that of one year ago. The result is tighter supply of homes helping boost the national median existing-home price level to $178,600 in October; price increases have helped home owners regain equity lost during the housing crisis.
Continue reading “Home prices on the rise; St Louis Mortgage Interest Rate Update“
By Robert Fishel, on November 28th, 2012
The Federal Housing Administration (FHA) has lowered mortgage insurance premiums on Streamline Refinance transactions. It will now be it easier for borrowers to take advantage of record low interest rates and save money each month. Under this program, up-front mortgage insurance premiums will be reduced to 0.01 percent of the total loan amount for borrowers with FHA loans made before June 1, 2009. In addition, the annual MIP will be cut to 0.55 percent. This streamlined refinance program is available to borrowers who are current on their FHA mortgage and may qualify even if they owe more than their homes are worth…no appraisal required.
For more information about this program,contact me by clicking below.
Continue reading “Streamline Your FHA Mortgage; St Louis Mortgage Interest Rate Update“
By Robert Fishel, on November 16th, 2012 Get pre-qualified for a loan: talk with your mortgage banker.
By Robert Fishel, on November 7th, 2012
Qualified first-time home buyers can receive a forgivable 3% cash assistance loan for down payment and closing costs on a home. The Missouri Housing Development Commission (MHDC) provides a competitive interest rate on a safe 30-year fixed rate 1st mortgage. Your 3% advance loan is treated as a 2nd mortgage completely forgivable after five years of continuous occupancy. New, Constant Funding means MHDC will have the monies available for the borrowers regardless of bond issuance.
For more information about this program,contact me by clicking below.
Continue reading “First Time Homebuyer Interest Rates Fall“
By Dennis Norman, on October 31st, 2012 The A.P.R. is a tool for comparing different loans, which will include different interest rates but also different points and other terms. The A.P.R. is designed to represent the “true cost of a loan” to the borrower, expressed in the form of a yearly rate. This way, lenders can’t “hide” fees and upfront costs behind low advertised rates.
While it’s designed to make it easier to compare loans, it’s sometimes confusing because the A.P.R. includes some, but not all, of the various fees and insurance premiums that accompany a mortgage. And since the federal law that requires lenders to disclose the A.P.R. does not clearly define what goes into the calculation, the A.P.R. can vary from lender to lender and loan to loan.
Continue reading “What is the difference between the interest rate and the A.P.R.? St Louis Interest Rate Update“
By Robert Fishel, on October 24th, 2012
Over the past few years, ARM’s (adjustable rate mortgages) have received somewhat of a “bad name” however, there are truly benefits to utilizing an ARM, which include:
- ARM rates are now more attractive than ever before.
- Rates have fallen to 2.625% for a 5/1 ARM.
- Rates are capped so there are no surprises for borrowers.
- Rates adjust only on the remaining principal of the loan.
- Rate adjustments could decrease/increase, but the adjustments are limited to a prevailing market index in which the ARM is based.
- Most ARM’s do not have a pre-payment penalty
- Lower Monthly Payments which Increase your buying power.
Continue reading “The Benefits of ARM’s; St Louis Mortgage Interest Rate Update“
By Robert Fishel, on October 19th, 2012 If the last time you looked at your mortgage was when you closed on your loan, it’s time to take it out for an annual once over. New loan programs and opportunities to leverage your home equity can bring you lower mortgage payments and new investment opportunities.
Is a fixed rate mortgage the best choice for you?
Many of us opt for the certainty of a 20 year or 30 year fixed rate mortgage when we get our first mortgage. If you anticipate selling your home within the next 10 years, one of our new hybrid loans may be a better financial fit for you. Hybrid loans typically have a lower fixed rate than a traditional 20 or 30 year mortgage. The savings you receive can well be worth switching to a hybrid loan. Continue reading “Give your mortgage an annual once over; St Louis Mortgage Interest Rate Update“
By Robert Fishel, on October 12th, 2012
“The time needed to close a mortgage loan has increased by almost 25 percent over the last year, from an average of 40 days to 49,” reports Mortgage News Daily, “and it was refinances that drove the change.”
While interest rates remain at all time lows, lenders are busy filling up their pipelines with refinances. Realtors with purchase transactions could get squeezed trying to “break in line” with a lender to get their clients’ deals done. “That’s why it is important to select a lender who can close within a time-critical deadline,” offers Amber Schwartz, Processing Manager with Paramount Mortgage headquartered in St. Louis, Missouri. Continue reading “Time needed to close a mortgage loan up by almost 25 percent; St Louis Mortgage Rate Update“
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