The Senate agreed by a 60-37 vote yesterday to extend the Home-Buyer Tax Credit closing deadline by 90 days, from June 30th to September 30th 2010. The operative word being ‘closing’ since this extension does not allow for any new borrowers to take advantage of the very successful tax-credit program and thus does nothing in the [...]
Risk Based Pricing. How Mortgage Rates are Determined Property Location and Property Use
In the world of residential mortgage Risk Based Pricing (RBP), Property Location and Property Use are two factors that have nothing to do with the actual borrower, whereas the same borrower would receive two different sets of program and interest rate quotes depending [...]
Risk-Based Pricing (RBP) and Mortgage Rates.
Risk Based Pricing is quite simply, a pretty complex topic…so over a series of posts (I was going to throw up one long post but could hear heads hitting keyboards after trying to read the first 5 pages) I’m going to break down how each of these general factors and [...]
DiTech™ was arbitrarily chosen for this comparison, but it could have been any other retail lender, since they don’t have to disclose YIELD SPREAD PREMIUM (YSP): Cash incentives (typically) paid to the broker in exchange for selling you a higher interest rate than you actually qualify for.
Comparison based on the following factors: [...]