Investment Mortgage Guy

We are close to half way through 2009 and we have seen rates lower than they have been in a long time. Many homeowners have been able to take advantage of rates in the 4% range.  Lenders are busy again all over the country.  The concerns for refinancing today are different than those of previous refinance booms. The number one question people ask me today is, “who are you selling my mortgage to?” The fear of a lender failing has never been more top of mind and many of my clients are very concerned about being in the hands of the next bank to go under.   A few years ago, people really didn’t care who their mortgage was with and even the lenders themselves, traded paper (which is your mortgage) back and forth like it was going out of style.

Many of my clients have a particular lender they would prefer to have their mortgage with long-term either because they have other accounts there or have always had their mortgage there in the past and they are comfortable with it. The problem is that if they were to go direct to there favorite mortgage lender, they are running 60 to 90 days to complete a refinance right now.  Some banks are so busy right now they won’t return your call even if your willing to wait. Lenders are way under staffed for their work load but are afraid to hire more people in this economy. The problem with that is they won’t lock you in until 30 days before closing. With rates as volatile as they are right now, you could lose out on a great rate waiting for your lender of choice to get your loan closed.

At Cornerstone Mortgage, we underwrite and fund all of our loans but sell most of them to other banks. We have relationships with Wells Fargo, US Bank, Citi, Bank of America, Chase, GMAC and several others. Our business model allows us to close your refinance in 30 days or less and we can sell directly to the lender of your choice.  You truly can have your cake and eat it too!

For more information on how this works, give me a call at 952-808-2820.

Rob Bonahoom

Morgage Coach