Monthly Archives: December 2013

New Lending Rules….. The Market is ?????

New Leadership at the Fed….Changes in Origination and Underwriting… Modest Volume with Higher Market Prices…. We enter 2014 with a number of dynamics that point to stable, modestly rising rates and a growing assortment of Mortgage Products.

Some of the impacts may involve BOTH rising Loan Origination costs for borrowers and expanded availability of Non-Prime Lending Products. YES!…as strange as it sounds, we’re “sorta-kinda” seeing the market accommodating BOTH Regulatory and Market Needs. Perhaps that will be a good balance.

Home Buyers and Sellers will confront a 2014 Market with hopes of Strong demand and strong Inventory. Rising Rates have already pinched defined “affordability”….. they also may have an impact on the Pricing Strength for Sellers. The round up of the 2013 Market was that rising rates scared away a some new buyers. The result was a moderation of Volume of Sales WITH Rising Prices. It’s an “Odd Stew”….. Low Volume Markets of all Asset Classes tend to be skittish and poorly defined. That’s that’s best explanation I can offer for the 2013 Market.

“Refinancers” began the year with spectacular low rates that dove to the low 3% range. Speculation about the end of Quantitative Easing drove rates quickly to the mid 4% range. Rates have continued to bobble between lows of 4.125% and Highs of 4.75% throughout the late summer and fall. While next years proposed QM Mortgage rules will pin borrowers against a tougher and more expensive refinance market, there is also talk of further expansion of the Affordable Refinance Programs from Fannie and Freddie. There is growing political will and sentiment to drive the benefit of Low Fed Rates to Existing Conventional Mortgage Borrowers. We have interesting times ahead!

Expertise, Product Availability and Energy to Market will differentiate lending sources in 2014. Many Banks have moved away from Direct Origination. Those that have remained as Direct Originators have gained good expertise and experience with their on-line efforts. They have struggled with their local “point of contact”. The Broker Market has regained a foothold in serving Local Markets, most especially with Home Buyers. The Location, Expertise, Product Offering and Market Energy of Local Mortgage Brokers is powering a resurgence of Mortgage Brokers who offer better market rates and service versus their larger but less nimble competitors

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Eric Raffle
Smart. Fast. Kind.

NMLS 135042
Global Mortgage
755 York Road, Warminster Pa. 18974


Women as Buyers and Borrowers

A recent Huffington Post Article cited the fact that MORE Single Women than Men are Buying Homes!


This is as much a commentary on the relative financial power that Today’s Women possess as it is a commentary on the life needs that all people face and address. For all sorts of reasons, Women are both buyers and borrowers. They are growing lives and responding to needs. They are relocating families that they have started alone and they are buying homes for their families when they are “re-beginning” as singles. There are many existing scenarios in which Women are refinancing family homes that had been owned with partners and spouses. Whether Buying a new Home or Refinancing an existing home, these situations are an increasing trend for Women.

The “post divorce” scenario is one which requires great sensitivity and knowledge….often the “former spouses” are in process toward final resolution when the property agreements are being executed. It’s a great time for very Specific skills and experience to assure that any Real Estate Transfer and New Mortgage Financing are done in a manner that supports the agreed upon goals and timeline of BOTH Parties….. It’s about getting it done!!!!!

We Can Help!

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Eric Raffle, nmls 135042
Global Mortgage LLC