Since the last “Good News from Doctor Manny” newsletter, the mortgage industry has gone through some big readjustments. As I mentioned in my last e-mail to you, we now operate two companies – a branch of Bay Equity – a mortgage bank for residential loans, and Pacific Bay Financial, which now originates only commercial mortgages.
It is my commitment to continue share information with you that will help you navigate through both the mortgage industry and the maze of life. I’ve changed the format and titled it, “It Is Good To Know”.
19 Nov
Change in loan limits is around the corner. Most of the mortgages made today are sold to Fannie Mae and Freddie Mac. These agencies set yearly loan limits, which are divided into conforming and agency jumbo limits. In turn, they have limits depending on the number of units in a building.
01 May
In my last newsletter, I wrote that I am expecting a secondary mortgage market to open up by the end of 2010. As it turns out, it is already happening. The April 14th issue of The San Francisco Chronicle reported, “Mortgage – backed securities return.”
14 Apr
After the collapse of Wall Street, the secondary market for mortgage back securities, which provided banks with mortgage funds, fell apart. To prevent a total collapse of the mortgage industry, the government took control of Fannie Mae and Freddie Mac, the agencies who offer conforming mortgages. As a result, we all benefited from low interest rates for loans up to $417,000 and those a bit higher for $729,750.
17 Mar
Welcome to the revised issue of Dear Dr. Manny! We live in a world filled with a lot of negative news and misinformation, and not just in the mortgage industry. In response to this, I decided to share information, stories and experiences with you that I hope bring light and a smile into your life. Please enjoy!
22 Dec
Published by pacbay
Dear Dr. Manny: Recently I saw an advertisement on the internet for 30-years fixed rates at 3.5%. Is it really possible to get such a low rate at this time?
Hopeful
Dear Hopeful: The good news is that mortgage interest rates have been relatively low for some time...
02 Dec
Published by pacbay
Dear Dr. Manny: I am a Vietnam veteran. A friend told me that I can get a $1,000,000.00 VA loan to buy a home with zero down payment. Is this possible?
- Veteran
Dear Veteran: Thousands of young people are risking their lives to protect our ideals and our Western way of life and democracy...
20 Nov
Dear Dr. Manny: I used to have a very high score. Recently I’ve checked it again to find out that it dropped below 700. The drop was caused by one late payment on my credit card that was not my fault. What can I do to increase my credit score?
- Concerned
Dear Concerned: A credit report is an x-ray of one’s financial well - being, and has become the cornerstone for any lending organization in their decision of who deserves their loans and on what terms...
20 Oct
Published by pacbay
Dear Dr. Manny: I have an Option ARM adjustable mortgage, that allows me to make minimum payments. Thankfully, my mortgage payments are quite low, and even cover some of the principal. However, because the program will adjust in twenty months, I am worried that I will not be able to make my monthly payments. I’ve read about a reverse mortgage, how can I get one?
- Worried
Dear Worried: You have touched on two separate loan programs and I will briefly address both of them. Until the “mortgage meltdown” the Option ARM programs were very popular...
10 Aug
Published by pacbay
Dear Dr. Manny: Do you think that the elimination of the first-time homebuyer’s tax credit will slow the economic recovery?
- Uneasy
Dear Uneasy: I’ve seen a number of articles in the newspapers recently, discussing an extension of the first-time homebuyer tax credit...
