Gene's Bit of Blogging
Seeking Advice
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Gene Mundt, Mortgage Lender: Posted on Friday, May 04, 2012 10:50 AM
When Is a Deal NOT a Deal??
 Relax! This is NOT a trick question! The answer to this question? It's actually pretty simple to figure out.
A Deal is NOT a Deal when you will come to regret having made the purchase in the first place, at some later date.
What brought this topic to mind was a thoughtful, well-written blog post by real estate agent and ActiveRain member, Barb Van Stensel. In her post, Barb talks about the realities of viewing, obtaining, then successfully transacting, a condominium property.
Barb Van Stensel is absolutely 100% correct with her summation of condominium purchases too. Buyers should ask questions, demand thorough inspections of the property itself, the property management company involved, AND the condominium association under whose direction the property finds itself, all PRIOR to signing a contract for purchase and seeking financing.
I cannot stress the following advice strongly enough...
When considering the purchase of a condominium property, it absolutely vital that you do your homework regarding the professionals you seek and then work with during your purchase and mortgage financing.
 Choose a real estate professional and mortgage lender that meets and surpasses specific criteria.
And what should that criteria be? Choose only real estate and mortgage professionals that are educated and experienced regarding condominium transactions and have successfully completed and closed them RECENTLY. And I repeat ... RECENTLY!
The condominium market is a quickly-changing housing market. The need for current experience and thorough knowledge and understanding of these transactions ... and their regulations ... cannot be overstated. Simply said ... it is NOT the time to work with a rookie or someone that typically does not work within this specialized market.
The Chicago and Chicagoland area in which Barb Van Stensel and I live, provides a perfect example of the urgent need for meeting the criteria I outline above. Chicago and Chicagoland currently has a large array/choice of condominium properties from which to choose during your condo property search. Choose unwisely regarding your selection of real estate and mortgage professional ... and you run the real risk of personally finding out just when a Deal Is NOT a Deal. Most likely, you'll be living proof of it.
I have a complete and thorough education and understanding of just what constitutes a "condominium" VS a "townhome". I also understand the workings of condominium associations and management companies because I dealt with so many of them while appraising ... and mortgage lending.
I know who to approach and what to ask them ... and just why. What legal paperwork will be demanded. What lending underwriters will seek from seller, management, associations, buyers, etc. I know what information is absolutely mandatory to my transaction ... and how to interpret that information. My clients and referral partners have come to know this regarding my services and depend on the benefits and protections that knowledge and experience affords them.
When is a Deal NOT a Deal?? That's simple, especially when speaking of condominium transactions.
A Deal is NOT a Deal when ... you come to wish you'd never seen or bought your condominium in the first place ... or you wish you had chosen another professional to work with during your purchase or mortgage transaction.
Don't let that be you! Protect yourself when buying a condominium by seeking-out and then working with an experienced, knowledgeable, successful real estate agent and mortgage lending professional. You'll be glad you did ...
* Thinking about buying a Chicago or Chicagoland condominium now or in the future? Contact me! I'll put my years of experience, education, and expertise to work on your behalf.  I can be contacted at any of the following:Direct: 815.277.4036
Cell/Text: 708.921.6331 Conveniently via Skype: 630.219.1316
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Buying a Home, Mortgage Lender, Mortgages, Working with a Mortgage Professional, Refereral Partners, Localism Posts, Condos and Townhomes, First-Time HomeBuyers, Chicagoland Markets & Special Events, Choosing a Mortgage Lender, Condominium Associations, Seeking Advice, Real Estate Professionals, home buying, FHA Financing for Condominiums, Pre-Qualification/Pre-Approval, Choosing Your Real Estate Professionals
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Gene Mundt, Mortgage Lender: Posted on Monday, March 19, 2012 5:52 PM
Experience Your Own Home Buying "March Madness"  Ever try to guess when the best day of the week is to buy gas for the car? Ever try to predict the stock market? Second-guess Presidential primary winners? How about NCAA "March Madness" Tournament winners?
I bring this up, not only because the season of "March Madness" is upon us, and guessing "winners" of any kind is currently on a lot of people's minds ... but because I'm hearing lots of questions from clients regarding the timing of locking interest rates.
And although I agree that guessing the winner of primaries, the NCAA tournament, etc., can be fun and rewarding ... and I also believe securing a great interest rate is of importance ...
I also think that:
If all the positives currently available in housing and mortgage financing aren't enough to get you off that home buying fence and in the game now ... there is most likely something else contributing to your NON-decision to buy.
If: - The current interest rates for a 30-year fixed-rate mortgage (4% +/-) don't get you off the bench ...
- A 15-year fixed-rate mortgage (3% to 3.5% range) doesn't make you lace-up your home buying high-tops ...
- Or your not hearing the roar of the crowd cheering "ARMs!!" ... (under 3.5%), "FHA!!" (3.5% down) ... or other special financing programs attributes ...
It's time to go back to the clipboard, re-examine your game plan, and reflect intently.
Also consider this. Taking your home buying game into overtime now may cost you more money when you finally buy too.  In the last week alone ...interest rates went up a 1/4% ... and ... for the same interest rate quoted prior to that increase ... a borrower will have to pay 1 "point" (1% of their loan amount) as additional Closing Costs. (See my article regarding mortgage "points") A 1 "point" increase in costs?? Oooooo ... Foul! Somebody blow the whistle!! Penalty!
Listen up if you're considering entering the home buying market. My message is a timely one. The NCAA isn't the only thing experiencing "March Madness". These are the current "stats" being found in many March 2012 housing markets and present financing terms ...
Approvable Credit
+ Stable Employment
+ Great Interest Rates + Fantastic Housing Prices + Attractive Down Payment Requirements ='s A Winning and Happy Home Buyer!
Don't focus so intently on only one aspect of your mortgage financing game, that you're blinded or unintentionally "double-dribble" on another.
Find a professional and experienced big league home buying "coach" (your mortgage lender). Ask them questions, including, "If I postpone buying a home now ... how long will it take me to regain the monthly interest rate savings I will pay/lose in EXTRA "point" fees at my Closing later? What's my financial tipping point? When is it a "losing" proposition for me to wait further to buy?"
My suggestion is this. The time to prepare and enter the game is now, if you want to buy a home and your credit and finances are in good shape. This is especially true in many housing markets where they currently are returning to pre-recession good health.
Don't let the opportunity to take part in the winner's bracket slip away. Surround yourself with skilled team members. Expect to work a little at this game. Grab your gear. Sharpen your focus ... and your home buying elbows.
Do all this, and YOU will be a "March Madness" winner!
* Work with a team player with the skills and knowledge to guide you to the winner's circle in all 50 states. Contact me today. I'll put my 35 years of experience and expertise to work on your behalf. I can be contacted at any of the following: Direct: 815.277.4036 Cell/Text: 708.921.6331 Skype: 630.219.1316
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Buying a Home, Credit Reports/Fico Scores, Mortgages, Mortgage & Transaction Processing, First-Time HomeBuyers, Obtaining Mortgage Quotes, Pre-Approvals, & Info, Mortgage Closing Costs, Asking credit and mortgage questions, Seeking Advice, Home Buyers, home buying, Right Time to Buy a Home, Home Ownership, Down Payment, Mortgage Costs, Closing Costs
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Gene Mundt, Mortgage Lender: Posted on Tuesday, March 13, 2012 11:48 AM
"If I Were a Carpenter" ...
I know by referring to the song, "If I were a Carpenter", I'm doing two things. First, I'm probably dating myself. (Yep .. I remember the song when first released.)
 And secondly, I may be stretching the real meaning of the message the songwriter, Tim Hardin, was hoping to convey through his writing of the song. Still, I'm forging ahead. As I think the name of this song conveys a message to everyone, especially at this time of the year ... and for those of us in business for ourselves.
I live in the Midwest (Chicagoland),
where weather typically dictates a more defined building and outdoor
home improvement season. With our winter weather this year being so
mild, and spring weather having arrived (at least temporarily) the last
couple of weeks ... I've already been seeing many homeowners out doing
yard chores. Preparing for summer and good weather's larger home
improvement tasks.
You can hear them
while they're working. Saws. Hammering ... the laughter, talk, buzz of
activity. It sounds great. Alot like hope to me. It sounds positive. Alive .. refreshed.
Hearing all this while out putzing in my own yard this last weekend, it occured to me, that we're ALL trying to build or improve on something ... whether in actuality or metaphorically speaking. What "that" is differs from person to person, but still ... we're all busy adding and expanding on our homes, properties ... prior experiences, defeats, and successes in some form or manner. Hoping to eliminate or carve out the bad and create, hammer in something better.
And like all tradesman or carpenters, there are differences in our abilities. Some of us have better skills or are handier at accomplishing different tasks than others.
Some of our success depends on the "tools" we have and how we utilize them. Our success is also dependant on just how open and willing we are to learning new skills, watching, and listening to others that are a bit more educated, advanced, or skilled than we are.
I personally think that may be the key. I certainly see that with myself, my clients, and co-workers. We all do far better and more successfully in the end with that attitude.
Having a clear idea of what it is your building is important too. A vision of a finished product is needed. So I go back to the tune mentioned above ... "If I were a Carpenter" ...
Do you know what you are trying to build through all your hard efforts? What does your finished product look like? Can you picture it in your mind?
Is it:
- A strong, large Database?
- Windows of Opportunities?
- A concrete, solid Foundation for your Business?
- A path to Success?
- Improved Finances, Credit-positioning?
- A network of beneficial referral Relationships?
- A network of new Technology?
- A cornerstone Reputation?
- An expanded Education or Expertise?
- Financial Security?
- Etc. ... Etc. ... Etc. ....
This year's building season is here. The weather and conditions are perfect to perform improvements ... to build. Have you thought about what you're going to build or improve upon in your business this year?? Have you envisioned your goal ... your end result?
* Hoping to build and expand your opportunities? Your services? Secure successful outcomes? Contact me today. I'd love to hear from you and put my 35 years of experience and expertise to work on your personal and client's behalf. I can be contacted through any of the following: Direct: 815.277.4036 Cell/Text: 708.921.6331 Skype: 630.219.1316 |
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Gene Mundt, Mortgage Lender: Posted on Thursday, March 01, 2012 6:10 PM
How to Best Prepare Your
Credit and Financial Position BEFORE Beginning a Home Search Part 2
 Yesterday, I wrote Part 1 to this post. In that portion of this blog, I covered WHY it's important to Plan and Prepare for your home buying/mortgage financing well in advance to actually seeking your mortgage pre-approval or home search.
I also explained and listed what credit/debt, financial documents, and information you will need to gather and then supply to me/your lender when you reach that stage of seeking your mortgage pre-approval.
In this, Part 2 of my continuing blog, I reiterate the importance of adhering to the guidelines provided, especially if you're a first-time home buyer, never having been through the home buying/mortgage financing process before.
Following this pro-active guideline WILL improve anyone's home buying and mortgage financing experience ... streamlining it and enhancing the likelihood of your receiving better interest rates (saving money), more and better mortgage options to choose from, and a less-stressful/more successful mortgage processing.
So after collecting those things listed in Part 1 of this post, what's next?
Credit
- Always Remember: Call/Contact your Mortgage Lender, if you need ANY advice. If considering a purchase in the next 90 days, or in the next year (if you have credit issues especially,) contact me/your mortgage lender for a FREE tri-merge credit report. Find out just what/where you stand credit-wise, then take action!
- Manage your credit cards, making sure ALL balances are kept BELOW the maximum credit available (at worst), and below 10% of the limit (ideally).
- Know the ABC's of your TOTAL debt, from the following criteria:
 - Mortgages (Know the name and address of the Lender, Amount Still Owed, and Your Monthly Payment Amount)
- Home Equity Lines (Again, Know the name and address of the Lender(s), Amount(s) Still Owed, and Your Monthly Payment Amount(s).
- Student Loans (Again, Know the name and address of the Lender(s), Amount(s) Still Owed, and Your Monthly Payment Amount(s).
- Auto Loans (And finally, the same as above. Name, Address(es), Amounts Owed, and Monthly Payments)
- Installment Loans (Meaning: Boat financing, Recreation Vehicles, Motorcycles, Secured Loans, etc.)
- Credit Cards of ALL Types (Know who holds/offers the Card, Account Number(s), What is the Outstanding Balance on Each, and the Minimum Monthly Payment of Each)
Attending to the above IN ADVANCE of entering the mortgage pre-approval process or home search, negotiating a Real Estate Contract, and getting your loan documents together ... not to mention the home inspection process, finding a Real Estate attorney, and shopping for the Homeowners Insurance ... can make your life much easier and eliminate many of the stresses of home buying and financing.
Following these guidelines, can also be the difference between a smooth mortgage approval process ... and failure to be approved for the loan you need.
Invest in yourself and your future. Spend the time needed to get organized. Give yourself the time needed to polish-up those credit scores to the best they can be. Be prepared!
Successfully do the things I suggest above and in Part 1 of this blog ... and you can thank me when we talk about the financing for that new home you're dreaming of ...
* Contact me with your credit and mortgage financing questions and needs. Whether in Chicago, Chicagoland, or across any of the 50 states, I can help. With 35 years of mortgage experience and expertise, I can answer your questions, and assist and guide you successfully throughout your credit enhancement and mortgage process ... and into becoming a new home buyer. I can be contacted through any of the following means: Direct: 815.277.4036 Cell/Text: 708.921.6331
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Credit, Credit Repair, Buying a Home, Credit Reports/Fico Scores, Mortgage Lender, Mortgages, Mortgage & Transaction Processing, First-Time HomeBuyers, Choosing a Mortgage Lender, Debt, Asking credit and mortgage questions, Seeking Advice, Home Buyers, home buying, Pre-Qualification/Pre-Approval
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Gene Mundt, Mortgage Lender - Chicago Bancorp: Posted on Wednesday, February 08, 2012 3:16 PM
Don't "Cut Your Nose Off and Spite Your Face" when it comes to your Mortgage Financing
There's an old saying ...
"You're cutting your nose off and spiting your face" ...
Stretching the point just a bit, I want to use this saying to get a message across regarding interest rates ... and the intense focus that most home buyers, and those refinancing, place on them.
Now I know that sounds a bit ironic coming from me, a mortgage lender. But as much as I think the interest rates we are seeing right now are a huge HUGE advantage to those seeking mortgage financing ... I also think that the extreme attention and importance placed on rates by consumers can be rather myopic and ultimately end-up being detrimental to their long-term financial health.
Using a play on another old adage, I believe ... "man/woman cannot (and should not) live on interest rates alone". And too many times I see mortgage clients doing just that. They make decisions based SOLELY on interest rates.
Typically a lower interest rate, and the subsequent lower payment attached to it, puts a "fire out". Meets a need in their mind. They see a tangible difference in the numbers they're going to shell-out each month ... and that's obviously important. I understand that ...
No one ... NO one really WANTS a
mortgage. No one WANTS to pay money out of their pocket each and every
month. But the need is there, right? And call it the financial planner in me, but a home buyer or homeowner is typically talking the biggest financial "stake" and financial need they have in their lives when speaking to me about their mortgage financing.
 So I ask you ... Why not get the "biggest bang for your buck" that you can from it? Utilize it? Maximize the benefits you receive?
A wise decision on your mortgage rate and mortgage program CAN do that for you. And simply put, the lowest interest rate ... and the mortgage program/term attached to it ... may NOT be the best overall financial decision for you.
But you have to be working with a mortgage lender that has the expertise, experience, and knowledge ... and will take the time ... to explain ALL options available to you. Options that may serve a better financial purpose for you in the short and long-term. Options that may leave you much healthier financially for the future.
Many times the difference in interest rates between mortgage programs can be small ... but still carry a HUGE and reverberating impact on your finances. The importance of working with a mortgage lender that can and will "paint the picture" for you regarding the short and long-term benefits of each of your mortgage options cannot be overstated.
I believe making your mortgage selection based solely on interest rates can be like ... "cutting your nose off and spiting your face".
So I suggest ... don't make the decision hurredly. Take the time to and do the homework necessary to find the mortgage lender that can provide you all the information, products, and services you need. Then listen intently to what they say. Take notes. Ask questions. Get ALL the facts regarding ALL the mortgage options and interest rates currently available to you. Have the mortgage lender you're speaking with "paint you the picture" in hard numbers. Consider carefully the comparisons provided you.
Then and only then, make your final financing decision. That way when you move ahead with your financing you will know for a fact that you chose the right mortgage lender. On your Closing Day, you will know for a fact that you have the best mortgage financing for YOU personally ... in the short-term AND long-term.
You'll feel .. and be ... much happier and healthier financially for it.
 * Work with a Mortgage Lender with 35 years of experience, expertise, and knowledge in mortgage lending, appraising background, and financial planning. Contact me today. Together we will discover the mortgage financing that best suit your needs, in the short-term and long-term both. I can be contacted through any of the following: Direct: 815.277.4036 Cell/Text: 708.921.6331 Skype: 630.219.1316
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Buying a Home, Financing, Mortgages, Real Estate Advice, Financial Planning, First-Time HomeBuyers, Obtaining Mortgage Quotes, Pre-Approvals, & Info, Money-saving Strategies, Mortgage Closing Costs, Asking credit and mortgage questions, Seeking Advice, home buying, Mortgage Costs, Closing Costs, Interest Rates, Interest Rate Lock-In
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