Comments on: Who is providing construction loans to build first home? http://www.constructionloanz.com/construction-loans/who-is-providing-construction-loans-to-build-first-home California & Nationwide Construction Loans Mon, 10 Oct 2011 22:00:09 +0000 hourly 1 http://wordpress.org/?v=3.2.1 By: Noneya http://www.constructionloanz.com/construction-loans/who-is-providing-construction-loans-to-build-first-home/comment-page-1#comment-35 Noneya Mon, 08 Mar 2010 08:05:59 +0000 http://www.constructionloanz.com/construction-loans/who-is-providing-construction-loans-to-build-first-home#comment-35 what Col Kurtz didn't mention is that when you pay retail to a direct lender you end up with a higher rate and the lender gets more on the back end then a broker would, it's called SRP or service release premium. Here's another little fact/difference. The brokers yield spread premium has to be disclosed on the HUD1 settlement statement but the bank does not have to disclose their premium.<br><b>References : </b><br>I'm a mortgage banker/broker what Col Kurtz didn’t mention is that when you pay retail to a direct lender you end up with a higher rate and the lender gets more on the back end then a broker would, it’s called SRP or service release premium.

Here’s another little fact/difference.

The brokers yield spread premium has to be disclosed on the HUD1 settlement statement but the bank does not have to disclose their premium.
References :
I’m a mortgage banker/broker

]]> By: col. Kurtz http://www.constructionloanz.com/construction-loans/who-is-providing-construction-loans-to-build-first-home/comment-page-1#comment-34 col. Kurtz Mon, 08 Mar 2010 07:41:59 +0000 http://www.constructionloanz.com/construction-loans/who-is-providing-construction-loans-to-build-first-home#comment-34 I would stay away from Mtg Brokers. When they do "shop" your loan file around, what they are shopping for is the Loan Funder that will give the MB the biggest "reward" for bringing your file to them. Try looking on-line for Direct Lenders you'll prolly pay "Retail" price for originating that loan but at least you'll know that some slimey, sleaze-ball MB is not yukking it up w/his pals in the ofc about how big a "rebate" they got for sticking it to you! I suspect in today's Mtg climate that type of loan is very costly due to the inherant risk. You'll prolly need 800 FICO (credit score) a ton of reserves (cash in bank) and the "Finished product" better have plenty of equity once complete! Again, minimizing risk for the bank/Lender.<br><b>References : </b><br>MB's are like the Health Ins Industry, the more they screw you the bigger their Year End Bonus!! I would stay away from Mtg Brokers. When they do "shop" your loan file around, what they are shopping for is the Loan Funder that will give the MB the biggest "reward" for bringing your file to them.

Try looking on-line for Direct Lenders you’ll prolly pay "Retail" price for originating that loan but at least you’ll know that some slimey, sleaze-ball MB is not yukking it up w/his pals in the ofc about how big a "rebate" they got for sticking it to you!

I suspect in today’s Mtg climate that type of loan is very costly due to the inherant risk. You’ll prolly need 800 FICO (credit score) a ton of reserves (cash in bank) and the "Finished product" better have plenty of equity once complete! Again, minimizing risk for the bank/Lender.
References :
MB’s are like the Health Ins Industry, the more they screw you the bigger their Year End Bonus!!

]]> By: Help needed http://www.constructionloanz.com/construction-loans/who-is-providing-construction-loans-to-build-first-home/comment-page-1#comment-33 Help needed Mon, 08 Mar 2010 07:11:59 +0000 http://www.constructionloanz.com/construction-loans/who-is-providing-construction-loans-to-build-first-home#comment-33 For which State?<br><b>References : </b><br>Mortgage Broker-TX For which State?
References :
Mortgage Broker-TX

]]> By: Paul in San Diego http://www.constructionloanz.com/construction-loans/who-is-providing-construction-loans-to-build-first-home/comment-page-1#comment-32 Paul in San Diego Mon, 08 Mar 2010 06:44:59 +0000 http://www.constructionloanz.com/construction-loans/who-is-providing-construction-loans-to-build-first-home#comment-32 You could contact the builder and ask if they have any contacts for construction loans. Or, you could get ahold of a mortgage broker. They get rate sheets from many different loan companies for different loan products every day, including construction loans. The advantage of going through a mortgage broke is that you only apply through them once and they find the lender with the best terms for you.<br><b>References : </b><br> You could contact the builder and ask if they have any contacts for construction loans. Or, you could get ahold of a mortgage broker. They get rate sheets from many different loan companies for different loan products every day, including construction loans. The advantage of going through a mortgage broke is that you only apply through them once and they find the lender with the best terms for you.
References :

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