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Why Should Realtors Care About Big Data?

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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhdwytcTHsKwxOyv6p5bFYbmPbBWKiY4KUuu911ba8J0WB9ldxd5J5H9aZPCyyTWCYDdD6XxvcZNv2mLZXLticjvyFo6TLnld19u5Gan657z-oG_8f1c7NRMnF4zSRLn6A0ktiaggQ9QFU/s1600/Why+Should+Realtors+Care+About+Big+Data.jpg" imageanchor="1" style="clear: left; float: left; margin-bottom: 1em; margin-right: 1em;"><img border="0" height="229" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhdwytcTHsKwxOyv6p5bFYbmPbBWKiY4KUuu911ba8J0WB9ldxd5J5H9aZPCyyTWCYDdD6XxvcZNv2mLZXLticjvyFo6TLnld19u5Gan657z-oG_8f1c7NRMnF4zSRLn6A0ktiaggQ9QFU/s1600/Why+Should+Realtors+Care+About+Big+Data.jpg" width="320" /></a></div>
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<span style="font-family: Calibri;">Big data has suddenly become a hot topic in the
real estate industry. Although builders and realtors are yet to fully figure
out how they can benefit from big data, many of them have already started using
data analytics tools.</span></div>
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<b style="mso-bidi-font-weight: normal;"><span style="font-family: Calibri;">So, what is
big data?<o:p></o:p></span></b></div>
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<span style="font-family: Calibri;">Big data means vast amounts of data that people
generate when they surf online and purchase items using their credit cards. Our
interaction with digital technologies helps create digital information. In
fact, just about everything that we do at the moment generates data. </span></div>
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<span style="font-family: Calibri;">Big data can come from a variety of sources,
including posts on social networking sites, customer purchase transactions,
online videos and medical databases. </span></div>
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<span style="font-family: Calibri;">The digital information is going to get bigger. To
deal with all that information, you need mighty analytics tools. Many people
claim that a tool that can analyze all the information does not exist now.
Perhaps it doesn't. But realtors do not have to analyze all that data. They
only need to analyze data that pertains to their industry. The goal is to find
out what their clients want. </span></div>
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<b style="mso-bidi-font-weight: normal;"><span style="font-family: Calibri;">Why realtors
need to analyze big data<o:p></o:p></span></b></div>
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<span style="font-family: Calibri;">It is true that existing analytics tools are not powerful
enough to deal with all the data available at the moment, but that is no excuse
for avoiding big data. In fact, real estate companies need to realize that big
data is here to stay. And if they want to retain their competitive advantage,
they need to analyze it.</span></div>
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<span style="font-family: Calibri;">Big data helps you understand customer behavior
better. Just having access to data will not help your case unless you invest in
tools that help you analyze it. Actually, that is why it is important for
realtors to develop a big data analytics strategy.</span></div>
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<span style="font-family: Calibri;">Remember that your potential clients also have
access to big data. Many potential buyers and sellers now search online for
property information. Before hiring an agent, they may also try to find that
agent online. Social media makes it easy for people to post reviews and
complaints. Make sure that your clients are saying good things about you and
your service. If people who hired you in the past are not happy with your
service, they may give vent to their frustration online. These negative reviews
can affect your chances of finding clients.</span></div>
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<span style="font-family: Calibri;">You need to ensure that you are providing your
clients the kind of service they can rely upon.</span></div>
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<b style="mso-bidi-font-weight: normal;"><span style="font-family: Calibri;">Conclusion<o:p></o:p></span></b></div>
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<span style="font-family: Calibri;">Big data is a force to reckon with and any
developer and realtor worth their salt need to collect and analyze it. For real
companies the best source of data is their website. Install analytics tools to
understand what your visitors want. Understanding customer behavior will help
you predict what they want.</span></div>
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<span style="font-family: Calibri;">In short, realtors can no longer ignore advances in
technology. When your customers have access to big data, you too should have
access to it. Almost all homebuyers and sellers now look up online for property
information. This is a clear indication that realtors also need to take data
seriously.</span></div>
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<span style="font-family: Calibri;">So, here is our advice. Pay attention to the
happenings in the real estate industry. Gather information and use it to improve
your service.</span></div>
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today!</span></div>

Why Should Realtors Care About Big Data?

Big data has suddenly become a hot topic in the real estate industry. Although builders and realtors are yet to fully figure out how t...

Successful Hard Money Lending

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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjZlB8-khx9M7BEhFRdEEleEtyUQpD5Vig71glrFInf3yJoravsVZc_dZc-Mp2SBfGeZs8uzLeTQDJrIdtBmzt0CLhC_EDrRUfi7tKyg4ekNBucbqJBNAn_AnJNe9FyC44_Q8LkP7k2Xmc/s1600/Successful+Hard+Money+Lending.jpg" imageanchor="1" style="clear: right; float: right; margin-bottom: 1em; margin-left: 1em;"><img border="0" height="188" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjZlB8-khx9M7BEhFRdEEleEtyUQpD5Vig71glrFInf3yJoravsVZc_dZc-Mp2SBfGeZs8uzLeTQDJrIdtBmzt0CLhC_EDrRUfi7tKyg4ekNBucbqJBNAn_AnJNe9FyC44_Q8LkP7k2Xmc/s1600/Successful+Hard+Money+Lending.jpg" width="320" /></a></div>
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<span style="font-family: Calibri;">Lending finances such as real estate backed loans to people with low
credibility for buying properties is probably one of the most troublesome
businesses out there. Hard money lenders often work with a lot of unorthodox techniques
and methods to gauge the potential in the borrowers’ deals. </span></div>
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<span style="font-family: Calibri;"></span> </div>
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<span style="font-family: Calibri;">Hard money lenders
have quite an important role to play in the real estate industry. They have a
lot to offer to the market and the market has a lot to offer to them. But what
are the factors that show a hard money lender’s true worth? What are the key services
or approaches which make one hard money lender better than the other one? If
you are a money lender, why would real estate agents, brokers and their clients
and referrals give you more business? Give us a minute or two. We will help you
understand some of the core concepts implemented as strategies by successful
hard money lenders.</span></div>
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<span style="font-family: Calibri;">We all know the amount of effort lenders have to put in scrutinizing
the deals coming from people who don’t have much credibility in the market.
Most of us are well-aware of the basic concepts of the trade, but let’s take a
closer look at a more professional approach to yield better business and
reputation.</span></div>
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<b style="mso-bidi-font-weight: normal;"><span style="font-family: Calibri;">First impressions:<o:p></o:p></span></b></div>
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<span style="font-family: Calibri;">How the lenders manage their first interaction with loan applicants,
speaks volumes about their reliability and business standards. Most of the best
known firms respond to loan inquires within one business day. The sooner the
applicants hear from you, the more they’ll cooperate to get the loan processing
move at a faster pace. Your prompt response-time assures the interested
borrower that the inquiry phase, which goes on for days with other
institutions, will be done in a lesser timeframe. If you keep them hanging on
for more than a week only to provide a basic response for loan eligibility, the
borrowers will immediately start applying to other firms.</span></div>
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<b style="mso-bidi-font-weight: normal;"><span style="font-family: Calibri;">Pricing:<o:p></o:p></span></b></div>
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<span style="font-family: Calibri;">Is your deal reasonable for the borrower, or too costly? Hard money
loans are often costly, but the good firms and good lenders are usually
interested in helping their clients instead of adding burdens on them. Before
sharing your deal with your client, compare your offer with the offers floating
around in the market for similar deals and make adjustments if needed. But make
sure you do not compare your offer with unreliable lenders carrying a
not-so-good reputation in the market.</span></div>
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<b style="mso-bidi-font-weight: normal;"><span style="font-family: Calibri;">Are your policies too rigid?<o:p></o:p></span></b></div>
<br />
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<span style="font-family: Calibri;">Nobody wants to deal with a hard money lender whose policies enforce
too many restrictions. The type of property the clients are interested in, the
vacancy rates, the area in which they wish to buy the property and other
aspects, such as, the rules on debt service coverage - can be extremely
problematic if your policies are not client-friendly. Lenders’ policies should
be helping people get the best of what the current market has to offer.</span></div>
<br />
<div class="MsoNormal" style="margin: 0in 0in 0pt; mso-margin-top-alt: auto;">
<span style="font-family: Calibri;">Once you take care of all the above the factors and the borrowers
agree to do business, make sure you have all the necessary terms and
commitments documented. </span></div>
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<span style="font-family: Calibri;">Remember, hard money lenders rely more on the property values than the
credit-worthiness of the borrowers. In our economic times, if this business
form is utilized well with precautionary measures, it can provide large
benefits for our economy and for individuals too. So, do the right researches, keep
updating yourself with the services and market strategies, and reap the
benefits.</span></div>
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<span style="font-family: Calibri;">LeadXL provides accurate, actionable information and analysis,
resulting in increased conversion of leads from ALL sources. Lead XL was built
for lenders following a clear path to success: Analyze. Revive. Enhance.
Contact </span><a href="http://www.leadxl.co/"><span style="color: windowtext; text-decoration: none; text-underline: none;"><span style="font-family: Calibri;">Lead XL</span></span></a><span style="font-family: Calibri;"> today!</span></div>
<br />
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<b style="mso-bidi-font-weight: normal;"><o:p><span style="font-family: Calibri;"> </span></o:p></b></div>

Successful Hard Money Lending

Lending finances such as real estate backed loans to people with low credibility for buying properties is probably one of the most troub...

Senate Votes against Flood Insurance Hikes

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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEha-g8MQPQ6YumkzUDXRrb-7mZlOlcq4GhggM_D-TQ3ktV9_msKr-AmYKjOkUB8-GIshT6DW2fWyr_ZDT5eJGMg5nxmYNk4DPRSJM8t0wy_PWd0tqH1KcJd_6ydwlEv1ruhAoo91NKJpzs/s1600/Senate+Votes+against+Flood+Insurance+Hikes.jpg" imageanchor="1" style="clear: left; float: left; margin-bottom: 1em; margin-right: 1em;"><img border="0" height="320" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEha-g8MQPQ6YumkzUDXRrb-7mZlOlcq4GhggM_D-TQ3ktV9_msKr-AmYKjOkUB8-GIshT6DW2fWyr_ZDT5eJGMg5nxmYNk4DPRSJM8t0wy_PWd0tqH1KcJd_6ydwlEv1ruhAoo91NKJpzs/s1600/Senate+Votes+against+Flood+Insurance+Hikes.jpg" width="320" /></a></div>
<span style="font-family: Calibri;">Insurance professionals may be interested to know
that the US Senate has voted against flood insurance reforms. The bill,
Homeowner Flood Insurance Affordability Act of 2013, will effectively curb any
increase in flood insurance premiums. It was passed on March 4. </span><br />
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<span style="font-family: Calibri;">The bill amends a few provisions of the 2012 Biggert-Waters
Flood Insurance Reforms Act, which caused premiums to go up in certain areas of
America.</span></div>
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<span style="font-family: Calibri;">The bill also reinstates government subsidies for
properties that were purchased and sold before the Flood Insurance Rate Maps
(FIRM) were available.</span></div>
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<span style="font-family: Calibri;">The Menendez-Grimm bill will now go to President
Obama. The White House, however, has expressed concerns about rolling back some
of the flood insurance reforms proposed by Biggert-Waters.</span></div>
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<span style="font-family: Calibri;">While the new bill had the backing of realtors,
builders, lenders, and homeowners; some taxpayer and environmental groups were
against it. In addition, the new bill will prevent the entry of private
insurers into the flood insurance market. Private insurance companies have been
demanding the abolition of subsidized rates for a while.</span></div>
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<span style="font-family: Calibri;">The National Association of Mutual Insurance
Companies (NAMIC) said that it was disappointed by the bill. Independent
agents, on the other hand, supported the bill. Rate hikes will make flood
insurance unaffordable. It may also cause a drop in home values.</span></div>
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<span style="font-family: Calibri;">Here is a summary of the bill.</span></div>
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<span style="font-family: Calibri;">The bill prevents premiums from going through the
roof. There is a ceiling on annual rate hikes. The bill prevents FEMA from increasing
the average premiums for a particular kind of properties beyond 15 percent. The
premiums on individual policies cannot be increased by more than 18% per year.</span></div>
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<span style="font-family: Calibri;">The bill repealed Biggert-Waters provision which
required property buyers to pay full-risk premiums for properties bought and
sold before flood maps were available. This provision had caused property
prices to drop and affected the realty sector.</span></div>
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<b style="mso-bidi-font-weight: normal;"><span style="font-family: Calibri;">Grandfathering<o:p></o:p></span></b></div>
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<span style="font-family: Calibri;">The bill reinstates grandfathering. If this was
abolished, property owners in high risk areas would either have to elevate
their home or pay higher premiums. The new bill also asks FEMA to refund
insurance policyholders who overpaid their premiums.</span></div>
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<b style="mso-bidi-font-weight: normal;"><span style="font-family: Calibri;">Affordability<o:p></o:p></span></b></div>
<br />
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<span style="font-family: Calibri;">The bill requires FEMA to limit the number of flood
insurance policies whose annual premiums exceed 1% of the total flood coverage
offered by the policy.</span></div>
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<b style="mso-bidi-font-weight: normal;"><span style="font-family: Calibri;">Extra
features<o:p></o:p></span></b></div>
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<span style="font-family: Calibri;">The bill gives FEMA the right to use the National
Flood Insurance Funds to reimburse policyholders who appeal a map finding
successfully. </span></div>
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<span style="font-family: Calibri;">The bill also provides for the establishment of a
Flood Insurance Advocate. The Flood Insurance Advocate will answer
policyholders' questions about flood mapping processes and flood insurance
premiums. </span></div>
<br />
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<b style="mso-bidi-font-weight: normal;"><span style="font-family: Calibri;">Urban
mitigation fairness <o:p></o:p></span></b></div>
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<span style="font-family: Calibri;">This provision requires FEMA to suggest guidelines
on alternative methods to mitigate risks where traditional methods are not
practical.</span></div>
<br />
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<b style="mso-bidi-font-weight: normal;"><span style="font-family: Calibri;">Clear
communication<o:p></o:p></span></b></div>
<br />
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<span style="font-family: Calibri;">FEMA has to communicate full flood risks to
policyholders regardless of whether they pay full-risk premiums or not. This
helps them assess their full flood risk.</span></div>
<br />
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<span style="font-family: Calibri;">FEMA has to report to US Congress what impact rate
hikes will have on small businesses, places of worship and non-profits whose
values are less than 25 percent of area median property value.</span></div>
<br />
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<b style="mso-bidi-font-weight: normal;"><span style="font-family: Calibri;">Mapping
accuracy<o:p></o:p></span></b></div>
<br />
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<span style="font-family: Calibri;">FEMA has to certify that its mapping processes are
technologically sophisticated. It also has to prove that the mapping models it
uses to create the flood map of an area are appropriate. FEMA has to make the
underwriting guidelines and rate tables publicly available. </span></div>
<br />
<div class="MsoNormal" style="line-height: normal; margin: 0in 0in 0pt;">
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Senate Votes against Flood Insurance Hikes

Insurance professionals may be interested to know that the US Senate has voted against flood insurance reforms. The bill, Homeowner Flood ...

Mobile Devices and Homebuying

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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgiJmtNHbOOcSru17sITFEtx3pUJv02qvMVmqloTn99NgQaVFRmv88KkRXixC5HWKUcKCDNweO0VOem_NFWddIDGnvRhMjnuMH2s2JNZhSADbECDNaNyj470LxwdC9_ee4Lk8ma_0EyWAA/s1600/Mobile+Devices+and+Homebuying.jpg" imageanchor="1" style="clear: right; float: right; margin-bottom: 1em; margin-left: 1em;"><img border="0" height="320" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgiJmtNHbOOcSru17sITFEtx3pUJv02qvMVmqloTn99NgQaVFRmv88KkRXixC5HWKUcKCDNweO0VOem_NFWddIDGnvRhMjnuMH2s2JNZhSADbECDNaNyj470LxwdC9_ee4Lk8ma_0EyWAA/s1600/Mobile+Devices+and+Homebuying.jpg" width="214" /></a></div>
<span style="font-family: Calibri;">Technology is
advancing at speeds that are hard to keep up with. It was only a few years ago
that cell phones were used mainly for calling and texting. Now smartphones are
carried by nearly everyone and the millennial generation is completing
everything online. This is causing companies to rethink how they do business on
the internet.</span><br />
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<span style="font-family: Calibri;">Today many
functions that previously required face to face contact can now be done online.
This includes completing research, paying bills, making purchases and even
watching TV and movies. With the increased comfort level to online service it
is impacting the home buying process as well.</span></div>
<div class="MsoNormal" style="line-height: normal; margin: 12pt 0in 0pt;">
<span style="font-family: Calibri;">Buyers expect to
be able to search for home, view photos and videos of the property before ever
taking a drive by the potential listing. This is changing the face of real
estate. It is increasing important to provide high quality photographs and
videos that accurately depict a home. Written descriptions need to include all
the information the buyer needs to make a decision. Listings with little
information can easily be passed up for lack of data.</span></div>
<div class="MsoNormal" style="line-height: normal; margin: 12pt 0in 0pt;">
<span style="font-family: Calibri;">Buyers are also
looking to the internet for home financing. They can get quotes, search for
lenders and even apply online, without ever sitting down with a lender. This creates
a challenge for lenders because the home buying process is not as
straightforward as buying a pair of shoes. </span></div>
<div class="MsoNormal" style="line-height: normal; margin: 12pt 0in 0pt;">
<span style="font-family: Calibri;">Yet in the 24/7
world we live in today, buyers often are not taking the time to personally meet
with lenders. This means that in order to win buyers business, lenders must
focus on providing strong web pages with useful content. It becomes essential
to “sell” the home buyer on your services through the website. If the company
fails to do that, buyers will seek mortgages elsewhere. Getting buyers to see
you as a resource, rather than just a price quote is essential to winning
quality clients.</span></div>
<div class="MsoNormal" style="line-height: normal; margin: 12pt 0in 0pt;">
<span style="font-family: Calibri;">The millennial
generation is very comfortable making all decisions based on information found
online. In order to attract and compete in this market, a strong internet
presence becomes essential. Educating consumers so they see you as an industry
authority becomes as important as loan pricing. Buyers need to trust their real
estate agent and their lender. Reaching out and building trust through a
website is going to become even more critical to winning customers, as
physically showing homes and meeting with clients.</span></div>
<div class="MsoNormal" style="line-height: normal; margin: 12pt 0in 0pt;">
<span style="font-family: Calibri;"><span class="fblongblurb">Get your share of the $1.5 trillion in Adjustable Rate
Mortgages scheduled to reset this year! </span>Imagine having up to a 20%
funding rate at a low, cost effective price per lead! With our ARM plus leads,
you can. Get in touch with </span><a href="http://www.armsource.com/"><span style="color: blue; font-family: Calibri;">ARM Source</span></a><span style="font-family: Calibri;">
today!</span></div>
<div class="MsoNormal" style="margin: 12pt 0in 0pt;">
<o:p><span style="font-family: Calibri;"> </span></o:p></div>

Mobile Devices and Homebuying

Technology is advancing at speeds that are hard to keep up with. It was only a few years ago that cell phones were used mainly for calling...

What Lenders and Borrowers Should Know About Applying for a Mortgage

<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj6gQdCzM4Dcr5cCcfZYGbu5zhR7cZFh90lH0SlsEZvVFbZ2jSRM2O59yR6DulOgnahG0RTLA3HgWVlT2GJylCTnl1qR3Sjdtu0cgKs3yq6AbQnjCqNDg5qsSKVWX5vPzM2OObcaud4DNA/s1600/What+Lenders+and+Borrowers+Should+Know+About+Applying+for+a+Mortgage.jpg" imageanchor="1" style="clear: right; float: right; margin-bottom: 1em; margin-left: 1em;"><img border="0" height="266" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj6gQdCzM4Dcr5cCcfZYGbu5zhR7cZFh90lH0SlsEZvVFbZ2jSRM2O59yR6DulOgnahG0RTLA3HgWVlT2GJylCTnl1qR3Sjdtu0cgKs3yq6AbQnjCqNDg5qsSKVWX5vPzM2OObcaud4DNA/s1600/What+Lenders+and+Borrowers+Should+Know+About+Applying+for+a+Mortgage.jpg" width="320" /></a></div>
<span style="font-family: Calibri;">Now that lenders have tightened
their underwriting norms, borrowers have to submit a lot of paperwork to
qualify for a mortgage. In fact, the lender now asks the borrower to document
every source of income they claim on the loan application. Getting all that
paperwork ready can take time. </span><br />

<div class="MsoNormal" style="margin: 12pt 0in 0pt;">
<span style="font-family: Calibri;">The new mortgage rules are designed
to protect the interests of both the borrower and the lender. Before the
housing bust just about anybody could get a mortgage, but now the situation has
changed. Lenders have become choosy. Is this good news for borrowers?</span></div>
<div class="MsoNormal" style="margin: 12pt 0in 0pt;">
<b style="mso-bidi-font-weight: normal;"><span style="font-family: Calibri;">The
age of qualified mortgages<o:p></o:p></span></b></div>
<div class="MsoNormal" style="margin: 12pt 0in 0pt;">
<span style="font-family: Calibri;">New mortgage rules are designed to
protect borrowers from unscrupulous lenders who often encouraged them to get a
bigger loan than they could afford. They also provide eligible borrowers access
to safe and affordable financing. The new rules ask lenders to thoroughly
verify the credit worthiness of the borrower before making the loan.</span></div>
<div class="MsoNormal" style="margin: 12pt 0in 0pt;">
<span style="font-family: Calibri;">Lenders can offer loans without
verifying the credentials of the borrower; however, in that case they won't get
protection against lawsuits filed by the borrower. The borrower can claim that
the lender had made the loan without verifying their eligibility for the loan. </span></div>
<div class="MsoNormal" style="margin: 12pt 0in 0pt;">
<span style="font-family: Calibri;">According to the new laws, a lender
has to verify eight things before they can offer a qualified mortgage to a
borrower. They are:</span></div>
<div class="MsoListParagraphCxSpFirst" style="margin: 12pt 0in 0pt 0.5in; mso-add-space: auto; mso-list: l0 level1 lfo1; text-indent: -0.25in;">
<span style="font-family: Symbol; mso-bidi-font-family: Symbol; mso-fareast-font-family: Symbol;"><span style="mso-list: Ignore;">·<span style="font-size-adjust: none; font-stretch: normal; font: 7pt/normal "Times New Roman";">        
</span></span></span><span style="font-family: Calibri;">The borrower's current income/assets</span></div>
<div class="MsoListParagraphCxSpMiddle" style="margin: 12pt 0in 0pt 0.5in; mso-add-space: auto; mso-list: l0 level1 lfo1; text-indent: -0.25in;">
<span style="font-family: Symbol; mso-bidi-font-family: Symbol; mso-fareast-font-family: Symbol;"><span style="mso-list: Ignore;">·<span style="font-size-adjust: none; font-stretch: normal; font: 7pt/normal "Times New Roman";">        
</span></span></span><span style="font-family: Calibri;">The borrower's credit history</span></div>
<div class="MsoListParagraphCxSpMiddle" style="margin: 12pt 0in 0pt 0.5in; mso-add-space: auto; mso-list: l0 level1 lfo1; text-indent: -0.25in;">
<span style="font-family: Symbol; mso-bidi-font-family: Symbol; mso-fareast-font-family: Symbol;"><span style="mso-list: Ignore;">·<span style="font-size-adjust: none; font-stretch: normal; font: 7pt/normal "Times New Roman";">        
</span></span></span><span style="font-family: Calibri;">The borrower's current employment status</span></div>
<div class="MsoListParagraphCxSpMiddle" style="margin: 12pt 0in 0pt 0.5in; mso-add-space: auto; mso-list: l0 level1 lfo1; text-indent: -0.25in;">
<span style="font-family: Symbol; mso-bidi-font-family: Symbol; mso-fareast-font-family: Symbol;"><span style="mso-list: Ignore;">·<span style="font-size-adjust: none; font-stretch: normal; font: 7pt/normal "Times New Roman";">        
</span></span></span><span style="font-family: Calibri;">The monthly mortgage payment of the borrower</span></div>
<div class="MsoListParagraphCxSpMiddle" style="margin: 12pt 0in 0pt 0.5in; mso-add-space: auto; mso-list: l0 level1 lfo1; text-indent: -0.25in;">
<span style="font-family: Symbol; mso-bidi-font-family: Symbol; mso-fareast-font-family: Symbol;"><span style="mso-list: Ignore;">·<span style="font-size-adjust: none; font-stretch: normal; font: 7pt/normal "Times New Roman";">        
</span></span></span><span style="font-family: Calibri;">The borrower's monthly payments on any other
mortgage loans </span></div>
<div class="MsoListParagraphCxSpMiddle" style="margin: 12pt 0in 0pt 0.5in; mso-add-space: auto; mso-list: l0 level1 lfo1; text-indent: -0.25in;">
<span style="font-family: Symbol; mso-bidi-font-family: Symbol; mso-fareast-font-family: Symbol;"><span style="mso-list: Ignore;">·<span style="font-size-adjust: none; font-stretch: normal; font: 7pt/normal "Times New Roman";">        
</span></span></span><span style="font-family: Calibri;">The borrower's monthly payments for any other
expenses, like property taxes.</span></div>
<div class="MsoListParagraphCxSpMiddle" style="margin: 12pt 0in 0pt 0.5in; mso-add-space: auto; mso-list: l0 level1 lfo1; text-indent: -0.25in;">
<span style="font-family: Symbol; mso-bidi-font-family: Symbol; mso-fareast-font-family: Symbol;"><span style="mso-list: Ignore;">·<span style="font-size-adjust: none; font-stretch: normal; font: 7pt/normal "Times New Roman";">        
</span></span></span><span style="font-family: Calibri;">Other debts the borrower might have.</span></div>
<div class="MsoListParagraphCxSpLast" style="margin: 12pt 0in 0pt 0.5in; mso-add-space: auto; mso-list: l0 level1 lfo1; text-indent: -0.25in;">
<span style="font-family: Symbol; mso-bidi-font-family: Symbol; mso-fareast-font-family: Symbol;"><span style="mso-list: Ignore;">·<span style="font-size-adjust: none; font-stretch: normal; font: 7pt/normal "Times New Roman";">        
</span></span></span><span style="font-family: Calibri;">The debt-to-income ratio of the borrower</span></div>
<div class="MsoNormal" style="margin: 12pt 0in 0pt;">
<span style="font-family: Calibri;">When lenders carry out so many
verifications, first time borrowers may have a tough time getting a mortgage.
Self employed people, too, may find it difficult to qualify because they are
unlikely to have a steady flow of income.</span></div>
<div class="MsoNormal" style="margin: 12pt 0in 0pt;">
<b style="mso-bidi-font-weight: normal;"><span style="font-family: Calibri;">Cash
buyer vs. Mortgage<o:p></o:p></span></b></div>
<div class="MsoNormal" style="margin: 12pt 0in 0pt;">
<span style="font-family: Calibri;">The stringent mortgage laws have
given rise to another trend. Many sellers now prefer borrowers who pay cash.
Cash buyers are mostly investors.</span></div>
<div class="MsoNormal" style="margin: 12pt 0in 0pt;">
<span style="font-family: Calibri;">Sellers prefer cash deals because
they don't have to wait for the borrower to go through a mortgage approval
process that might take several weeks or even months. When they accept cash
deals, they can close quickly. This is not exactly great news for a borrower.
However, borrowers have to come to terms with the fact that the loan approval
process will now take longer. </span></div>
<div class="MsoNormal" style="margin: 12pt 0in 0pt;">
<span style="font-family: Calibri;">The borrower should have copies of
every document they give to the lender. So, if the lender asks them to send
those documents again, they will have them ready.</span></div>
<div class="MsoNormal" style="margin: 12pt 0in 0pt;">
<span style="font-family: Calibri;">The borrower must refrain from lying
on the application form. Now that the lender is going to verify a whole lot of
documents, they simply can't get away with lies.</span></div>
<div class="MsoNormal" style="margin: 12pt 0in 0pt;">
<b style="mso-bidi-font-weight: normal;"><span style="font-family: Calibri;">The
future of the lending market<o:p></o:p></span></b></div>
<div class="MsoNormal" style="margin: 12pt 0in 0pt;">
<span style="font-family: Calibri;">While the loan approval process may
take longer, the new rules are expected to make the lending market healthier.
It provides ample protection for lenders who stick to the guidelines and give
loans only to eligible borrowers. The borrowers, too, stand to benefit. </span></div>
<div class="MsoNormal" style="margin: 12pt 0in 0pt;">
<span style="font-family: Calibri;">During this year, the interest rates
may go upwards and the demand for refinance is likely to subside. Home prices,
too, are expected to rise this year.</span></div>
<div class="MsoNormal" style="margin: 12pt 0in 0pt;">
<span style="font-family: Calibri;"><span class="fblongblurb">Get your
share of the $1.5 trillion in Adjustable Rate Mortgages scheduled to reset this
year! </span>Imagine having up to a 20% funding rate at a low, cost effective
price per lead! With our ARM plus leads, you can. Get in touch with </span><a href="http://www.armsource.com/"><span style="color: blue; font-family: Calibri;">ARM Source</span></a><span style="font-family: Calibri;"> today!</span></div>

What Lenders and Borrowers Should Know About Applying for a Mortgage

Now that lenders have tightened their underwriting norms, borrowers have to submit a lot of paperwork to qualify for a mortgage. In fact, ...

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