What to Discuss With Your Mortgage Lender

You're ready to buy or refinance – but whether this is your first or fourth loan – you may find that working with a loan officer to be confusing and difficult. Having a clear understanding of what you want and how to communicate with your mortgage professional is critical for success. To keep everything running smoothly – make sure you discuss the following topics with your loan officer. 1 - Communication Style. Mortgage professionals will communicate with you in a variety of ways including by phone, email and text. Some are tech savvy and others prefer traditional methods. The point is to be clear about what YOU prefer. If you respond more quickly to text messages versus voicemail - tell your loan officer. Often times, there are time sensitive issues that arise during the loan process, so it will make everyone happy if your loan officer knows how to get questions answered, additional documentation etc. in a timely manner. 2 - Timeline & Priority Level. Mortgage loans are a process and the process is changing almost on a daily basis. This means that you need ask your loan officer about expected timelines and be clear about any time restraints you have. Your mortgage professional wants to get your loan secured and completed as soon as possible but the key word here is "possible." Don't make unrealistic demands or expectations. Try to provide information right away so you can stay on schedule. Your loan officer will give your file top priority and it is essential that you do the same. And while it might seem obvious - keep your loan officer in the loop when it comes to going on vacation and delays on your end. You will need to be able to electronically sign disclosures, provide scans of income verification and tax returns and physically present to sign contracts throughout your loan process so if you are unable to fulfill these requirements, it can jeopardize your application. 3 - Be Upfront About Unusual Circumstances. One of the quickest ways to get declined for a mortgage is to not tell your mortgage professional about an unusual circumstance in your file. This can include: A pending divorce A short sale, foreclosure or bankruptcy Unreliable working hours or income restraints Other rental properties Anything that seems unique or unusual! Understand that it is ALWAYS better for you to tell your loan officer upfront about unusual circumstances than for them to "discover" it later. If you are unsure where there is something unique about your financial profile - talk to your mortgage professional to see if it will impact your application. 4 - Short-term & Long-term Goals. Is this the home you plan on living in for a few years or a few decades? Do you plan on turning this home into a rental eventually? Is your goal to pay off your mortgage quickly? Understanding your short and long term plans can help tailor the loan programs and rates that your loan officer presents to you. A qualified mortgage professional cares about how this loan will fit into your financial goals and can help position you to achieve those plans faster. Let their expertise help you! Contact Steve Head today, President and Top Producer of Texas Premier Mortgage. You can email him at steve@txpremiermortgage.com with any questions you may have about the lending process.

Be Informed When Shopping For Mortgage Rates

Mortgage Rates Change All Day, Every Day Mortgage bond prices, similar to stock prices, are random. They can't be predicted with any sort of certainty, and they change from minute-to-minute. Facts like this are big deal to people like you and me because mortgage bonds are the basis of everyday mortgage rates. Mortgage rates are in constant flux. As a real-life illustration, mortgage rates changed every few hours. That's fast. It makes life tough for people looking to shop for the lowest mortgage rates possible. Shopping Rates? It's Better To Be Lucky Than Smart. Shopping lenders is always a good idea. You never know which bank will have the lowest rates, or lowest fees, or widest selection of programs. But, when it comes to physically lock your rate; to find the best possible mortgage rate that you can with the lowest set of closing costs, you're going to need more than just "good shopping skills". You're going to need good luck. Mortgage rates can change at any time, and often do. While you're shopping for a loan, for example, rates could be rising. And not just by an eighth-percent here and there. I'm talking big jumps. There have also been days when rates have dropped by as much. Some days, mortgage rates happen to rise. Some days, mortgage rates happen to fall, and some days, mortgage rates do nothing. And then, there are the days when mortgage rates do all three. Want Good Mortgage Rate Luck? Do Good Research. Since you can't shop for good luck in mortgages, you can at least shop for good information. Talk with multiple loan officers well before you have a need to lock-in, and gather as much data as possible -- about yourself, about your home, and the process, and about the mortgage market drivers. Then, after having these conversations, two things will happen. First, you'll get a very close approximation of your final closing costs and rates. This is important for comparison's sake. You need to know which lender is consistently in the ballgame, and which lender never is. Second, you'll get a feel for the loan officers to whom you're talking. Who's a professional, who's a hack, and who fails to return a phone call. Then, when it is time to lock-in, you won't have to screw around with the shopping process. You'll already know your "A List" of lenders and can choose the one that gives the best combination of rates and fees at that given moment. Just make sure, though, that when you shop for rates, you do it the right way. Let your lender pull your credit. It's not going to harm your score and your lenders need to know this stuff. Now... Go Get Your Rate Quotes! If you're in the market for a mortgage, or know you'll need one soon, start your shopping here. Get a rate quote based on your parameters, and follow-up for more information. Oh, and do it with some other lenders, too. The trick to getting low mortgage rates is to do a fair amount of research, to pick a "good" lender, and to have a little luck.

What is CFPB and How Does this Affect My Home Loan?

The CFPB Proposed Rule Changes are here and the way we do business is going to be different…we think anyway. What is the CFPB anyway? CFPB stands for “Consumer Financial Protection Bureau.” As you know the market collapsed and world as we know it went upside down for a while. We are now right side up but the legislation aftermath that followed has not slowed down. Hence…the CFPB Proposed Rule Changes was born. The CFPB was born in July of 2011 and it overseas “ALL” consumer financial products. This means it supervises banks and non-banks and integrates disclosures under the “Dodd-Frank Act” which started in 2010 after the collapse. The CFPB covers Federal and State Regulatory issues. Is the HUD-1, GFE, and TIL Going Away? Good question, and the answer is YES. This sounds scary and it kind of is because we have all been doing business a certain way for a long time and now some major changes are headed our way. Here are some NEW terms for you to familiarize yourself with: 1. The GFE (Good Faith Estimate) is now going to be the Loan Estimate. 2. The HUD-1 is now going to be the Closing Disclosure Form or CDF 3. 3 Day Rule in affect where the borrower needs to see Final figures. If off by more than $100 a re-disclosure has to take place. 4. Either the Lender or Title Company was deliver the Closing Disclosure Form 5. Limits to Closing Cost increases 6. APR will now change to include more fees normal Title and Escrow Charges 7. Implementation could take 12-18 months. All in all you need not worry. As long as you make sure you adjoin yourself with a lender who has been trained properly in the new changes, you can sit back, relax and let them work their magic to help you obtain your home loan, or home refinance. Ultimately if you find a company who has already put these changes into play ahead of time, you will have no problem reaching your ultimate goal. Texas Premier Mortgage has teamed up with some of the best in the industry to brain storm and make a plan to implement these changes so that is does not affect our customers…it just helps them to achieve a higher level of satisfaction once they sign those closing papers! If you need any assistance at all, contact Steve Head, President and Owner of Texas Premier Mortgage to assist you with your next home purchase. Find us online at www.txpremiermortgage.com or call 281-627-4222 today!

Renting VS. Buying: The REAL DEAL

Have you been renting and considering purchasing a new home but not sure on where to turn? It is easy to get into a routine and not take that leap of becoming a home owner. But honestly, if you look at today’s interest rates you would really be doing yourself a favor by purchasing. Mortgage rates are back in the 3s and there's an argument to be made that there's no better time to buy a home than right now. Affordability is high, low-down payment loans remain readily available, and home prices continue to ratchet higher -- as do rents in many U.S. markets. However, because buying your first home will likely be the largest financial commitment you've made in your life so far, it's in your best interest to weigh the pros and cons of homeownership; and there are both. Yet, mortgage rates are currently super low, which has lowered the cost of a monthly mortgage. In many markets, it's now cheaper to pay on a loan than to pay monthly rent to a landlord. This is especially true in cities such as San Francisco and Seattle where rents are rising faster than wages. Renting can give you flexibility, but homeownership can give you wealth. Which is more important to you? Buying and owning a home is the essence of "The American Dream". Each month, your housing payments go towards owning your home instead of renting it; building your personal wealth and assets instead of someone else's. History has shown that homeownership is a clear path to wealth-building, with homeowners boasting net worths which are multiples higher than the net worths of renters. This happens because renter "own nothing" while living in a home. A homeowner, by contrast, owns the home and, as the home's value changes, those changes are bestowed upon the owner. Historically, real estate has increased in value nationwide. There's no guarantee that values will continue to rise, but in the majority of U.S. markets, it's likely over the long-term. So, if you buy a home for $250,000 -- regardless of your mortgage! -- and that home's value rises to $300,000, you have accumulated $50,000 in additional net worth. Renters can't make that same claim. Owning a home can anchor a household, as well, offering stability and predictability to life. When you own your own home, there's no landlord to give you "30 days notice", after all. Then, there are the tax benefits to consider. For homeowners who itemize deductions on their federal tax returns, owning a home grants access to multiple tax breaks, including the monies spent on mortgage interest each year and the monies paid in real estate taxes. Still trying to consider between renting and buying? Make a list of the pros and cons that you can thing of between the two and then make an educated decision based upon what is best for you and your family. Have mortgage questions or wondering how much mortgage you can afford? Contact the local Woodlands, TX Mortgage Expert Steve Head, President, Owner and Broker for Texas Premier Mortgage since 2006. His expertise in the current market has helped thousands of homeowners make their dreams come true. Check out the website at www.txpremiermortgage.com, or give him a call at 281-907-6401 extension 100.

School Year 2015 is Now in Session

School is back in full swing as is car and bus rides, walkers, bikers, and all the traffic to go along with it! Here are a few helpful back to school tips from the America Academy of Pediatrics to help you and your child have a successful school year!

MAKING THE FIRST DAY EASIER: Remind your child that there are probably a lot of students who are uneasy about the first day of school. This may be at any age. Teachers know that students are nervous and will make an extra effort to make sure everyone feels as comfortable as possible. Point out the positive aspects of starting school. She'll see old friends and meet new ones. Refresh her positive memories about previous years, when she may have returned home after the first day with high spirits because she had a good time. Find another child in the neighborhood with whom your student can walk to school or ride on the bus. If it is a new school for your child, attend any available orientations and take an opportunity to tour the school before the first day. If you feel it is needed, drive your child (or walk with her) to school and pick her up on the first day. BACKPACK SAFETY: Choose a backpack with wide, padded shoulder straps and a padded back. Pack light. Organize the backpack to use all of its compartments. Pack heavier items closest to the center of the back. The backpack should never weigh more than 10 to 20 percent of your child's body weight. Always use both shoulder straps. Slinging a backpack over one shoulder can strain muscles. If your school allows, consider a rolling backpack. This type of backpack may be a good choice for students who must tote a heavy load. Remember that rolling backpacks still must be carried up stairs, they may be difficult to roll in snow, and they may not fit in some lockers. DEVELOPING GOOD HOMEWORK AND STUDY HABITS: Create an environment that is conducive to doing homework. Children need a consistent work space in their bedroom or another part of the home that is quiet, without distractions, and promotes study. Schedule ample time for homework. Establish a household rule that the TV and other electronic distractions stay off during homework time. Supervise computer and Internet use. Be available to answer questions and offer assistance, but never do a child's homework for her. Take steps to help alleviate eye fatigue, neck fatigue and brain fatigue while studying. It may be helpful to close the books for a few minutes, stretch, and take a break periodically when it will not be too disruptive. If your child is struggling with a particular subject, and you aren't able to help her yourself, a tutor can be a good solution. Talk it over with your child's teacher first. Some children need help organizing their homework. Checklists, timers, and parental supervision can help overcome homework problems. If your child is having difficulty focusing on or completing homework, discuss this with your child's teacher, school counselor, or health care provider. Establish a good sleep routine. Insufficient sleep is associated with lower academic achievement in middle school, high school and college, as well as higher rates of absenteeism and tardiness. The optimal amount of sleep for most adolescents is in the range of 8.5 to 9.5 hours per night. So hang in there! Here at Texas Premier Mortgage we value higher education and wish everyone a fun and fulfilling school year! Good luck students and teachers! - See more at: https://www.aap.org/en-us/about-the-aap/aap-press-room/news-features-and-safety-tips/pages/back-to-school-tips.aspx#sthash.A9mUtvpi.dpuf

Important Real Estate and Mortgage Terms Defined to Help Ease the Process With Your Clients

First-time homebuyers tend to be overwhelmed and anxious when it comes to real estate industry jargon, but if you make the terms understandable it will ease their anxiety. Confusion can lead to discouragement and the possibility of losing a sale. It is imperative that you take time to enlighten your client on vital terms to help ease their feelings of being overwhelmed with the process. Here are the real estate market terms that every first-time homebuyer should get acquainted with and the explanations that will help them understand them.

1. Appraisal An appraisal is the estimated value of a property. A property is appraised to know the amount of money that a lender is willing to lend for a buyer to buy a particular property. If the appraised amount is less than the asking price for the property, then that piece of real estate might be overpriced. In this case, the lender will refuse to finance the purchase. Appraisals are designed to protect both the lender and buyer. The lender will not get stuck with a property that is less than the money len t, and the buyer will avoid paying too much for the property. 2. Certificate of title This document ensures that a particular property is legally owned by the seller and that no other individual owns it or can lay claim to it. 3. Closing Closing happens when you meet up to close the deal. It’s also referred to as settlement. It involves the buyer and his or her attorney, the seller and his or her attorney, as well as the escrow agent. 4. Closing costs This refers to the additional expenses spent in financing and purchasing the property. Costs usually include lawyer’s fees, loan origination fee, escrow impounds, appraisal, survey and title search fees. The closing costs usually amount to 6 percent of the sale price of the property. 5. Comparative market analysis (CMA) The CMA is conducted to determine the market value of a property, which is needed to make a fair asking price. The analysis is done by comparing the property in question to other similar properties that have been sold recently in the area. It’s one of the ways to find out the salable factors of a property. 6. Contingency This term enumerates conditions that are needed to be met before the sale can proceed. These conditions involve financing, appraisal contingency and inspection contingency. 7. Due diligence Due diligence refers to the actions that a responsible buyer must conduct. These include verifying the representations of the seller and questioning pertinent facts that might not have been disclosed but can have a bearing on his decision to purchase the property. 8. Earnest money deposit (EMD) This money is committed by the buyer to signify his good intentions in purchasing the property. The cash is usually deposited in an escrow account. If the sale pushes through, the cash is applied to the down payment. If it doesn’t, the buyer can forfeit the deposit and take the money. 9. Escrow account This account is where the closing costs will be deposited. The lender will use this account to pay for insurance and taxes on the buyer’s behalf on an annual basis. 10. FICO score This term refers to the financial information compiled by three major credit card reporting agencies, which are then calculated by the Fair Isaac Corp. The score contains information such as debt payment history, owed amounts and credit history. The score ranges from 300 to 850. The higher the score is, the less credit risk to lenders, which increases the buyer’s chances of getting loans. 11. Fiduciary duty The fiduciary refers to the broker that the real estate agent works for. By law, a fiduciary has duties to the buyer, including confidentiality, disclosure, diligence, loyalty and reasonable care. 12. Good faith estimate (GFE) The GFE is a form given by borrowers to lenders. By law, lenders are required to provide the information needed by borrowers so they can compare terms and rates from different lenders. The form must include a list of fees associated with the mortgage loan and must be given to the borrower within three days of loan application. 13. HOA docs This term refers to homeowners association documents. A buyer has the right to view these documents when buying a condo property or house in a managed community. The documents have information such as meeting minutes and budget. Viewing these documents can orient a buyer on the basics of condo association fees. 14. Loan-to-value ratio (LTV) The LTV is a ratio used by lenders to assess the risks involved in a mortgage loan. The amount of mortgage will be divided by the appraised value of a property. If the LTV is high, then it is considered a high-risk loan. 15. Mortgage The document that binds the house to the lender, which also serves as the security for the money borrowed for the purchase. 16. Prequalification This is the process in which it’s determined if a borrower is qualified to secure a loan. An approximate of the amount he might receive is provided from this process. 17. Principal, interest, taxes and insurance This sums up the monthly mortgage payment. The principal goes to the loan amount itself, and the interest goes to the lender. The taxes and insurance are other nonnegotiable parts of the mortgage payment. 18. Private mortgage insurance The PMI serves as a protection for the lender in case the buyer defaults on his payments. This insurance is applied to high-risk loans, for LTVs with a score of more than 80. These are only some of the terms that clients will hear as you negotiate for the purchase of the house. If you or your clients need any further information or explanation you can contact Steve Head, President and Mortgage Purchase Expert at Texas Premier Mortgage in The Woodlands, Texas.

Texas Premier Mortgage is proud to announce for the past two consecutive years, as well as in 2011, our company has been distinguished with the Award of Distinction recognition, and we are happy to announce we have the privilege of being recognized by a higher achievement award for 2015. This year we were awarded the Pinnacle award, the most prestigious award given to one company per category of business. The BBB Awards for Excellence recognizes businesses and non-profits for their achievements and commitment to overall excellence and quality in the workplace. Texas Premier Mortgage has been going strong since 2006, and has maintained an A+ rating with the BBB. We strive to continue to uphold our commitment to our clients and are very proud to have achieved this high honor this year. Our best complement is the high satisfaction and praises we hear from our customers. We just wanted to take a minute to recognize all of our customers, colleagues, and business partners who help us strive for continued excellence for those whom we serve. This award is testimony to the hard work and dedication of all our employees, who consistently strive to provide first class service to our wonderful customers. Thank you for your continued support, trust, and for assisting us in helping to make a difference within our community. About Texas Premier Mortgage: Texas Premier Mortgage was founded by the President, founder, and top producer, Steve Head, and provides residential mortgage loans to their clients. Steve began his career in the mortgage business in 2004, and opened the company in 2006. The company steadily grew to currently 14 employees, and continues to hold an excellent satisfaction rating amongst its clients. The company had to expand offices earlier this year in 2015 to accommodate its growing staff. Steve prides himself in being an expert in his field, therefore constantly educating himself and his team on the most up to date mortgage information. He shares his knowledge and expertise with his colleagues, clients, and business partners. He is a graduate from Sam Houston State University with a Bachelor's in Business in 2002. He and his wife Cynthia have two children and live in The Woodlands. They enjoy the outdoors, going to church, golf, trips to Disney World, weekend barbeques, giving back to the community, and motivational movies. For more information about Texas Premier Mortgage visit www.txpremiermortgage.com.