According to DFI, a majority of Loan Originators have not renewed their license…it’s quite possible that your Loan Originator (aka Loan Officer, Mortgage Consultant, Mortgage Planner…we go by many titles) may not be licensed to complete a loan application if they did not renew their license prior to December 31, 2007.
I can’t think of a much nicer way to begin 2008
January 2, 2008 by Leave a Comment
We are just returning from a family vacation at Ocean Shores and I’m very tickled to learn that Mortgage Porter is receiving some nice nods from some fellow real estate bloggers whom I think a great deal of.
Tony Gallegos of the Mortgage Cicerone has declared Cicerone’s Top 20 Bloggers for 2007. Yours truly is very honored to be included as one of Tony’s top 20. I’m excited to be on this list as there are many fellow bloggers I’m familiar with and a few who are new to me. I enjoy checking out blogs I’m not subscribed to yet.
Equally exciting, Larry Cragun’s Magnificent 7 on Real Estate Undressed is down to the final round. I’m very lucky to have a couple of posts included in the running of the total of 14 consumer focused articles. Please do check out the posts and let Larry know which one gets your vote.
Is this a sign for how great 2008 will be? I certainly hope so.
Happy New Year from Mortgage Porter
December 31, 2007 by Leave a Comment
The Mortgage Master family and Mortgage Porter wishes you a very happy and healthy New Year.
Mortgage Master will be closing by 2:00 p.m. on December 31, 2007 and reopening for business as usual on January 2, 2008. Remember, many offices will have reduced staff during this holiday season.
Thank you for your patronage and for reading Mortgage Porter this past year. Your support means the world to me and I look forward to sticking around for 2008 and beyond.
Happy New Year!
Private Mortgage Insurance deduction extended through 2010
December 27, 2007 by Leave a Comment
Included in the Mortgage Forgiveness Debt Relief Act that President Bush signed just before Christmas is the continuance of being able to deduct private and FHA mortgage insurance if you meet certain criteria through 2010.
- The mortgage must be used for "acquisition indebtedness" which means for purchasing your home or a refinance doing substantial improvements. This also includes refinancing the mortgage you used to purchase your home, however the amount is based on what the original loan amount was when you purchased your home.
- The deduction applies to "qualified residences" which is your primary residence and a second home that is not a rental.
- Adjusted gross incomes up to $109,000 qualify for the deduction. Adjusted gross incomes of $100,000 or less are allowed to deduct 100% of the allowed pmi. AGI’s of 100,000.01 – $109,000 are on a sliding schedule (the higher the income, the lower the deduction).
- You must itemize your taxes in order to obtain the deduction (you need to do this in order to claim your mortgage interest deduction as well).
Consumers should meet with their Mortgage Professional to help them consider all options before selecting a mortgage.
What will 2008 bring to the local mortgage industry?
December 26, 2007 by Leave a Comment
To start with, there will be a significant reduction in those who can legally take a loan application in Washington. Effective January 1, 2008, if a loan originator works for a company that is registered with the State of Washington Department of Financial Institutions (DFI), the loan originator must have:
- Passed their competency exam. (Most who take it do pass…many are simply opting to not take the test).
- Attended two DFI approved 3-clock hour courses (one must be on ethics).
- Renewed their license if it expires by 12/31/2007.
The last stats I’ve heard is that out of the over 15,000 Loan Originators who registered with DFI, fewer than 2,000 have taken and passed the exam. That’s reduction of just over 85% of Loan Originators working for mortgage brokers in Washington State.
Originally I assumed that LOs who do not want to take the steps required to work for a mortgage broker, would decide to work for a mortgage bank where they are not held to these standards by the state of Washington. This is not going to be the case. After talking with a few of my mortgage banking brothers & sisters, I’ve learned that many banks are "googling" Loan Originators names before hiring and if they were rejected from DFI, the bank sales manager is able to see the nitty gritty details of their disqualification of being a Licensed Loan Originator. Bank Mortgage Sales Managers also visit DFI’s site and run an LO’s last name to see if they were rejected, withdrawn or licensed. Add to this equation that there are going to be fewer jobs for Loan Originators with some local banks, such as Washington Mutual, laying off employees and closing some of their retail loan centers.
A majority of the 13,000 or so Washington Loan Originators who have elected not to take the three simple steps I’ve referenced really don’t have a lot of options in the mortgage industry. Yes, a bank will hire a good producer who has not been rejected from DFI…but there’s only so many of those and no reason for a bank to hire someone who’s a marginal producer.
Let’s also not forget that it’s been an amazing ride for the mortgage industry since August. Some LOs will decide this job just ain’t worth it. You really need to know your guidelines and various programs these days and be prepared to forget what you just learned because the guidelines just changed (again) or the program is discontinued.
So after the New Year celebrations pass, if your Loan Originator is still around to help you as your preferred Mortgage Professional, give ’em a pat on the back. There will be fewer of us left standing when it’s all said and done.
I personally cannot wait for this year to end and to start new in 2008!
Happy New Years!
Merry Christmas from Mortgage Porter
December 25, 2007 by 3 Comments
Merry Christmas from Mortgage Porter, Rhonda Porter and Orson
A Letter to Santa
December 24, 2007 by 3 Comments
This is from my youngest sister many years ago (she is now a Wholesale Rep for EverBank). This is just so cute, I had to share it with you! Merry Christmas.
Mortgage Master will be closing early today at 1:00 p.m. I’m taking the day off to finish making Pear Gingerbread Triffle for Christmas brunch at my other sister’s home and Roasted Asparagus with Pancetta and Goat Cheese for my inlaws tonight for Christmas eve.
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