The XBroker - Latest Comments in General

Re: The Final Rule? 3 Years Late and Billions Later…

REALonomics — Thu, 17 Jul 2008 20:37:51 -0000

Did someone say "post mortem autopsies?" Did someone say, "Let them spend 60 days cranking out logical, practical, enforceable policies coupled with easy to read documents?"

What would the Fed be if that was the case? Let's remind ourselves of two important realities. The task of every elected official is re-election or the perpetuation of self-exaltation. Then, let's remind ourselves that nearly 90% of all bureaucrats and politicians have law degrees (you can deduce what you like from this).

Finally, may I respectfully suggest we change this statement:

"Let them spend 60 days cranking out logical, practical, enforceable policies coupled with easy to read documents. "

To this statement:

"Let them spend 6 months interfacing with consumers cranking out loan approvals and explaining in detail all of the fine print, disappearing ink and mumbo-jumbo contained in today's mortgage documents and then, finally, make them accountable for all actions."

Nice work Xman!

REALonomics
www.REALonomics.net

Re: The Fannie Mae and Freddie Mac Poker Game

REALonomics — Thu, 17 Jul 2008 20:26:38 -0000

Here's what I like to try to wrap my mind around. Fannie Mae and Freddie Mac are traded securities whose solvency is essentially guaranteed by the Fed. RU with me thus far?

Wrap this. We now have the Fed saying we are going to guarantee what we already guarantee. The mortgage industry was already an illusion, but this brings a whole new meaning to pulling proverbial rabbits out of hats, sawing scantily clad babes in half and elevating elephants.

The drama is just beginning!

REALonomics
www.REALonomics.net

Re: The Final Rule? 3 Years Late and Billions Later…

MataHariBoniJovi — Thu, 17 Jul 2008 12:00:09 -0000

Very nice. Did you have a shot of that circle jerk for YouTube? Anyway, the only thing that I would like to expand on is the notion of Yield Spreads, how they are disclosed and what effect they have on a loan.

I think charging YSP is fine when the client can't afford the cash requirement to close the loan, IE; has no money for closing costs. In these cases, I see no problem with charging a little more... but I think there is a disparity in the amount borrowed to the amount charged. e.g.; I borrow $300,000 and you charge me 6%. I don't have money for closing costs (total of $3000, or 1% of the loan amount) and you are going to charge me 6.5%? A full half point for $3000??? Sounds a bit high to me. If it were just on the $3000, I am not offended, but on the WHOLE loan amount? So, to borrow $3000 I will pay about $1500 more per year for 30 Years??? Now, I am saying "WTF"?

This is an area where consumers get "confused". Really, they are just uninformed and many don't/can't "get it". Therein lies the reason for HR3519's YSP removal idea.

The idea is stupid because, as you say, "day late, dime short", so to speak. The banks have already made their beds and you can hardly get a conforming loan, these days, anyway.

That is how it always is with the government. It's like there are whispers in the halls of congress by the lobbyists... shhhh... "just let us make some money, we'll police ourselves, we promise... Listen, John, Barack, I will take care of you on this, I promise.. Next campaign, we'll donate heavy behind you... what do you care, anyway? It's someone else's money. All you need to do is LOOK LIKE you're doing something about it, you know that is how people vote. Just tell them what they WANT to hear. So, just turn the other way for at least a year and we'll bail you out of this, don't worry." Then, you guys can go into your committee rooms and argue, trying to make the other side look like THEY are the problem. Don't you feel better now, Mr/Ms congressman? Nice puppy... (pat pat pat)

and people wonder why things don't get done in washington.

Re: The Final Rule? 3 Years Late and Billions Later…

Brooks Hadlin — Wed, 16 Jul 2008 15:51:23 -0000

Another much-needed dose of reality from The XBroker. If I'd ready this anywhere else, I probably wouldn't believe it.

Pass the KY. Did you get the flavored kind this time?

Re: Risk Based Pricing How Mortgage Rates are Determined. Credit Scores and History

California Mortgage Home Loan — Tue, 15 Jul 2008 20:51:25 -0000

While RBP seems complicated, it's the best thing that could have come out of the current mortgage crisis.

Re: Risk Based Pricing. How Mortgage Rates are Determined Property Type and Property Use

JeffX — Tue, 08 Jul 2008 04:15:07 -0000

Are you a broker or a banker?
I see price and rate differences across the country quite frequently, off the top of my head I recently saw a PA based bank had a .25% price for the worse if the property was located in New Jersey.

Lower LTV underwriting criteria req's has caused a price for the worse for those who now exceed it, from what I've seen.

Re: Risk Based Pricing. How Mortgage Rates are Determined Property Type and Property Use

tvanderwell — Tue, 08 Jul 2008 04:01:11 -0000

Other than loan limits (which are geographic) are you really seeing different rates for different geographic locations? I can write loans in 37 of 50 states and the rates are the same for the same loan situations no matter what state it's in. (Meaning a $200,000 30 year fixed rate on a $300,000 purchase owner occupied would be the same rate no matter what state it is in as long as it's one of the 37 I can do.

Interesting, I've seen LTV issues (due to declining markets) but I've never seen rate differences.

Tom Vanderwell
straighttalkaboutmortgages@gmail.com

Re: Risk Based Pricing. How Mortgage Rates are Determined Property Type and Property Use

JeffX — Tue, 08 Jul 2008 02:53:23 -0000

Thx Lender Police...I can appreciate your product so i'll leave the comment, however, my comment thread isn't a place to advertise your services. A simple mention is more than adequate.

J-

Re: Risk Based Pricing. How Mortgage Rates are Determined Property Type and Property Use

Michael — Tue, 08 Jul 2008 02:26:17 -0000

Lender Police at http://www.lenderpolice.com seems to have taken care of the mortgage lender loan fraud problem for Borrowers, Closing Agents, Mortgage Lenders, and Real Estate Agents.

Always use Lender Police after you apply for a mortgage loan. They’ll tell you if your lender is giving you a good deal or not in one of two ways. You can purchase a good faith estimate review for $99 that will tell you if the interest rate, points, fees, and rebates you’re being charged is appropriate for your situation. The loan document review for $199 verifies that the loan documents that you’re signing are for the same loan that you were quoted and your lender didn’t slip in any extra points, fees, pre-payment penalties, or is receiving a lender rebate for selling you a higher interest rate than you qualify for.

A mortgage loan evaluation from Lender Police is the only way to guarantee your lender isn’t trying to rip you off.

Re: Infectious Hyperbole in The Mortgage Industry

zubispeak — Tue, 17 Jun 2008 22:27:21 -0000

It is all about psychology. People have a tendency to believe, what it is said to them as long as it is done by popular way.
If McDonald claun starts appearing on TV in the middle of a football game, long enough to get attention and starts telling the audience, that it is good idea to jump into fireplace, most people will do so happily a realize the mistake long after they are carried to hospital. The sad thing is, they will do it again, right after they recover and get released..
Just an expression...

As always, right on the money post, mr. XBroker

Re: Me Thinking Home Mortgage Disclosure Act Data is Improperly Skewed

zubispeak — Tue, 17 Jun 2008 15:04:25 -0000

Jeff, this is a great post and I will look at it from another point of view.
Any policy or rule is only as good , as the people working with them.
As long as the customer is trying to get what he wants, not what he needs or can afford , just because his buddy in a golf club has a bigger house and he wants the same,
there always will be a job for scamers , helping the "blind sheep" to jump off the cliff.
For a fee, of course!!!

Numbers don't lie, only people working with them sometimes do !

Re: It’s an Anonymous, Automated, Transparent, Customizable Wholesale Mortgage Program and Interest Rate Pricing Pre-Qualification Search Engine, Dummy!

JeffX — Mon, 16 Jun 2008 22:03:38 -0000

It's available in every market across the USA Bob...

Within the next few days we'll be launching a campaign to select 25 quality mortgage professionals as pioneer RateSpeed beta testers before we blow the doors open with version 2.0.

Its important to note that RateSpeed is an application that maintains the integrity of the information flow from wholesaler to consumer to guarantee its remains transparent and pure.

The mortgage professional (broker or banker) who licenses RateSpeed must still service the consumer, answer questions, close the loan and gets paid a fair fee...

Thx for stopping by!

Re: It’s an Anonymous, Automated, Transparent, Customizable Wholesale Mortgage Program and Interest Rate Pricing Pre-Qualification Search Engine, Dummy!

Bob Schenkenberger — Mon, 16 Jun 2008 21:48:48 -0000

What a fabulous idea. Is this able to be used in all markets or just yours?

Re: It’s an Anonymous, Automated, Transparent, Customizable Wholesale Mortgage Program and Interest Rate Pricing Pre-Qualification Search Engine, Dummy!

genuine chris johnson — Fri, 13 Jun 2008 12:13:12 -0000

Kill the effing flash.

Re: It’s an Anonymous, Automated, Transparent, Customizable Wholesale Mortgage Program and Interest Rate Pricing Pre-Qualification Search Engine, Dummy!

Galen Ward — Tue, 10 Jun 2008 20:50:09 -0000

Holy crap! It looks great. I'm with Trace - no flash intro. I look forward to seeing the rest.

Re: It’s an Anonymous, Automated, Transparent, Customizable Wholesale Mortgage Program and Interest Rate Pricing Pre-Qualification Search Engine, Dummy!

JeffX — Tue, 10 Jun 2008 20:04:04 -0000

Thanks for the feedback Trace!
We'll probably shelve the flash intro shortly, if you bookmark www.ratespeed.com/home or /blog (when it launches) you won't have to see it again :)
Sent from my BlackBerryÂ® wireless device

Re: It’s an Anonymous, Automated, Transparent, Customizable Wholesale Mortgage Program and Interest Rate Pricing Pre-Qualification Search Engine, Dummy!

Trace — Tue, 10 Jun 2008 19:37:55 -0000

Site looks great!!!! one suggestion: DITCH the flash intro..... if you need a video intro, put it on home page somewhere and allow users opt to play it.........

Re: DOJ vs NAR Lawsuit Turned Into an Exercise in Irrelevancy

David Podgursky — Thu, 29 May 2008 22:17:12 -0000

It was silly to worry about tying up the MLS for whatever amount of reasons when there are still laws to keep people from brokering real estate without a real estate license.

too bad the mortgage industry doesn't follow suit - any "correspondent" can provide the content but only a licensee can originate the loan

Re: Zillow Mortgage Marketplace, Cultivating a Better Crop

Mary — Fri, 23 May 2008 00:23:26 -0000

Hi Jeff,

Thanks for your post. I wanted to add that we recently conducted a survey with some of the first borrowers who received quotes on Zillow Mortgage Marketplace, and they had some positive feedback.

A couple of key numbers show that Zillow Mortgage Marketplace is working:
More than 40% of borrowers contacted at least one lender, and 30% of borrowers have closed or plan to close a loan soon with a lender from Zillow Mortgage Marketplace.

My recent blog post on Zillow Blog highlights the results: http://www.zillowblog.com/zillow-mortgage-marke...

Re: Zillow Mortgage Marketplace, Cultivating a Better Crop

Mike Sweeney — Thu, 22 May 2008 17:32:51 -0000

It's definitely a step in the right direction for anonymous mortgage quotes for the consumer, but you're right, it's not a huge step from Bankrate.

Zillow mortgage quotes are rough. At best they're going to be off by thousands (as much as 12-15k in certain scenarios). At worst, they'll be completely bogus because Zillow omits some key considerations on the consumer's data.

In order for a mortgage site to break new 2.0 ground it has to be focused. Then it can perform precise calculations for specific types of loans. This is how it becomes a true benefit and personalized resource to the consumer. That's web 2.0 and a major step forward.

Re: Zillow Mortgage Marketplace, Cultivating a Better Crop

Greg Broadbent — Thu, 22 May 2008 15:38:47 -0000

I noticed that lots of people are using the 2.0. Is there any special significance other then new jargon for the next generation? I am not sure I Old Mutual it.

Re: What’s My Mortgage Rate And How Much Is It Going To Cost Me?

David Podgursky — Thu, 22 May 2008 02:21:12 -0000

The more I resist transparency, the more I see its merit.

Right now my sentiment is that the consumer has been wronged for years by the mix of wholesale brokers and retail banker/lenders. Wronged because the bankers and lenders spend more time badmouthing brokers and their rates than training on their own programs. Step back in time 2 years and see how many WAMU retail loan officers could tell you the good AND the bad in an Option ARM

Back to the present... Wholesale needs to get back on course and retrain the customer. We can pick up the pieces and rebuild the lending process ourselves with honest rates, fees and upfront acknowledgment of what the consumer wants to know... What's it going to cost me?

I'm wearing pants....but they're still in beta

Re: Zillow Mortgage Marketplace, Cultivating a Better Crop

JeffX — Thu, 22 May 2008 00:53:03 -0000

You're the best David, and I love your company's courage to innovate :)

Re: Zillow Mortgage Marketplace, Cultivating a Better Crop

David — Thu, 22 May 2008 00:42:36 -0000

Hi Jeff,

Thanks for your encouragement.

I agree that automation could have a real positive impact on quote accuracy and efficiency. We will implement an API to automate quotes but that interface will push loan requests and receive quotes; it won't integrate to wholesale rates. Zillow Mortgage Marketplace is not a pricing engine and I'm convinced that having a pricing engine should not be a prerequisite for participating in the marketplace. Remember too that not all quotes on Zillow originate in the wholesale market and so that's probably not the right interface for us when we do tackle automation (but it may well be the right approach for a partner who can provide a pricing engine for brokers that can integrate to Zillow.)

Re: Zillow Mortgage Marketplace, Cultivating a Better Crop

jdahleen — Thu, 22 May 2008 00:38:04 -0000

Hey Nate -
You forgot the scrolling live quotes and the daily average 30 Fixed Rates & 15 Year Fixed rates. That really helps a consumer get a feel on current market rates.

I like that feature.