The Mortgage Brothers Show

Loan Scenario 1: A borrower works in a restaurant in Mesa Arizona and is a W2 employee. His income has gone from $9,000 in 2009, $12,000 in 2010, and is on track to make $24,000 in 2011. The borrower does not receive paystubs. He has a payment ledger from the company showing Year to Date earnings and withholdings.

Scenario 1: I have a borrower who wants to do a rate/term refinance (just refinance borrower’s balance) of his 1st mortgage in Phoenix, Arizona. The loan to value is 76%. Borrower has a 2nd mortgage and a combined loan to value of 87%.

Chase, Wells Fargo, Bank of America etc. may service your mortgage payments BUT chances are, they don’t own your mortgage note. It is probably owned by Fannie Mae or Freddie Mac. You may be eligible for this special Fannie Mae and Freddie Mac refinance. Click here to see if Fannie Mae owns your mortgage. Click here to see if Freddie Mac owns your mortgage.

I have a borrower who is a medical Dr. and he has a practice in Globe Arizona and Mesa Arizona. He lives in Globe AZ right now with his family but wants to buy a home in Mesa AZ close to his practice in Mesa. What is the best way to do the loan? What will the underwriters consider the Mesa home in regards to occupancy? Will they consider it a 2nd home or Investment property?

Borrowers who are self-employed, underemployed, over age 50, retired, or in the military, may want to think about taking job loss insurance for their Arizona mortgage. With such high unemployment rates right now, no one’s job is totally secure. Job loss insurance is now being offered by a variety of lenders and new home builders.

If you pay your Arizona mortgage on a bi-weekly basis, you can save money on the interest because you would be paying your mortgage balance off five years sooner. By paying twice a month, you end up paying an extra mortgage payment per year because there are 26 bi-weekly payment periods a year. Some borrowers like this idea especially if they get paid bi-weekly. You may have to pay an extra fee to do this so check with your lender to make sure they will allow you to do so. Not all lenders accept bi-weekly payments.

If you are in the market for a luxury property, and don’t want to pay super jumbo or jumbo rate mortgage costs, then you may want to put more money down on your mortgage to qualify for a conforming loan or get two loans. Jumbo loans are much harder to obtain because of the new mortgage lending regulations. They have higher interest rates and points than conforming loans.