Video Marketing and Mortgage News Designed for Mortgage and Real Estate Sales

Rob: (April 11, 2010 8:20am)

Also, Point, and I think other LOS's calculate origination incorrectly for APR. When you put the YSP in, it adds this as origination in the GFE, but NOT in the Initial Fees Worksheet. So, if you have a large YSP, your APR will be off. I'm surprised that Point hasn't made YSP and origination 2 independent numbers. That's one of the whole ideas of the 2010 regulations.... Most lenders are re-disclosing the APR for the broker at file submission, (as we do) but I have had some trouble getting some brokers to understand this. They still think they are receiving YSP and therefore should not include in APR.

Pam: (April 11, 2010 8:05am)

Regarding the Owner's Title Policy, in Calyx Point, put the cost in OWNER'S TITLE INSURANCE POLICY, LINE #5 on GFE 2010, and then insert same $ amt. on INITIAL FEES WORKSHEET (Calyx Point) go to bottom under TOTAL ESTIMATED FUNDS NEEDED TO CLOSE in L. where credits go. Owners Policy cost is printed on NEW GFE 2010 and then credit shows on your fees sheet. Don't know where this is on other LOS programs. Owners Title goes in, then gets credited, though how to simply show is as simple as MUD! Need to also check contracts for BUYER PAID DOC STAMPS/DEED and OWNERS TITLE, as a growing number of short sale and foreclosure contracts are now showing buyer to pay this, and you don't want to get stuck paying this if not disclosed.

Evil Genius: (April 10, 2010 3:40pm)

Amen and you are preaching to the new choirboy. The fact is that a whole new system needs to be installed. We are putting band aids on gaping wounds and limbs ready to fall off. I have a plan which I have been working on for 6 months. Government out, private equity in. My guidelines are a break from Fannie/Freddie and everything we're doing makes COMMON sense. It's a New Generation. More info? [email protected]

Rob: (April 10, 2010 3:06pm)

Even though you credited the buyer, the seller still should have paid the policy. If they didn't, the HUD-1 is wrong. It is totally wrong to require this disclosure obviously. I don't know anyone that feels it's a correct way to do it. I can't even find anyone that can come up with any rationale for it to be like that. I understand why they require us to disclose fees that are customarily paid by the buyer even if you know the seller is paying them in a particular instance. This is to ensure uniformity for borrowers to compare offers. But requiring the owners policy to be disclosed in states where it is paid by the seller goes against every other regulation and tenet espoused by HUD themselves.

Evil Genius: (April 10, 2010 2:41pm)

Yes that's how it played out. So my fees that were disclosed to the buyer have been deducted from my side. The owner's policy was now paid by me even though the contract said differently. My guess is that this actually won'y hold up in court. It had no bearing on the deal, whether I disclosed the owner's policy or not. How could it be interpreted any differently from the contract. Its simple contract law. He gets paid this by this person and this person pays this amount. It's all spelled out. It's a small amount, but its wrong and needs to be changed. At least the end result needs to be changed.

Rob: (April 10, 2010 2:11pm)

I absolutely agree that you should fight to try and change it. It's a silly policy. I submit these issues to HUD all the time for what it's worth. ...and if I understand your case correctly, what should have happened was that the owner's policy should have still been paid for by the seller, but you should have had to credit the buyer for the amount you mis-disclosed and were out of compliance. Seller still paid what they should have per contract. You just lost out on part of your fee. Is that how it played out?

Evil Genius: (April 10, 2010 11:45am)

But Rob, it's still wrong to essentially change a binding contract, take the money from the broker and pay something for the seller. Rather then just do what they say, I have to fight for what's right here.Yes, I learned a lesson and will comply, but I will also try to change what's wrong with the imperfect system that the lawmakers are making more imperfect. That was [email protected] not blobspot. This guy's fighting.

Pipete: (April 10, 2010 10:11am)

E DUB Yes that is correct.

Rob: (April 10, 2010 10:00am)

Evil Genius: You are making the mistake that I am trying to cure my LO's of..... don't try to base things on logic. Just read and follow the rules. As you indicate, this is a contradiction within the advisory as well as a contradiction of HUD's more general, stated policy on "customarily seller paid" items. That being said, it is clearly stated how to disclose this... contradictory or not. This is the world we live in now....

Evil Genius: (April 10, 2010 9:37am)

Rob and EDUB: I just had the same thing happen to me. In Cali, it is typical for the transfer tax and Owner's policy to be paid by the seller. Why should I disclose to a buyer/borrower that which he is not responsible for and initially provide a number that I don't know yet. It's simply idiotic. The RESPA FAQ that my lender sent me states in 1 section that typical seller paid items don't need to be included, yet later in the seller paid item section, it is made clear that the owner's policy must be addressed. I disagree and I am contacting HUD about it. More confusion for us and the customer. The part that gets me is by not disclosing a cost that the borrower is NOT paying, the lenders are penalizing us and actually forcing the seller to breach a contract. My PA was clear about who paid what yet HUD says nevermind, charge the broker. On what level does this make sense. [email protected]

Rob: (April 09, 2010 8:26pm)

E DUB: It is my understanding that you have to quote Owners Title policy as cost to the buyer regardless of whether they plan to purchase the policy. You even have to do this in states where it is customarily paid by the seller. No clue why they decided to require this. Any other cost that is customarily paid by the seller is NOT required to be disclosed as a GFE fee to buyer. So, stupid as it may seem, you were out of compliance by not disclosing an owners policy charge to the buyer even when you knew the seller was paying it.

Buysellrefinance: (April 09, 2010 8:11pm)

When is another Facebook Webinar? http://www.FrankandSheryl.com

E DUB: (April 09, 2010 7:38pm)

Just closed a purchase. Contract stated sellers to pay owners policy. Did not put on line 5 of GFE. Bof A hit me for a grand and sellers still paid. Can this be correct????

Pam: (April 09, 2010 3:04pm)

Just wanted all to know that I called responder Keven Brennan with Amer. Home Funding about 203K program. He told me what was working and not working for him, and directed me to another co. he is getting great service from! Point is, it was refreshing to speak with a "veteran" mortgage broker who wasn't afraid to help another one of us! I have been in this business for 25 years and it feels like we are in the 90's again! thanks, Keven.... there's enough business for all who know what they are doing out here and I appreciated talking to someone who is having success, knows what they are doing, and sharing it!

einat: (April 09, 2010 2:56pm)

does anybody know a comemrcial lender who still does restaurant lending? looking for a loan for a client who's buying a building in Los Angeles that houses a restaurant (not the biz itself). thanks!

[email protected]: (April 09, 2010 2:38pm)

Nice RUSH shirt Frank. I have new respect for you.

valuequestor: (April 09, 2010 2:26pm)

Hey Kids! Whadooya wanna do with your lives!?? Thanks Matt!!

azricky: (April 09, 2010 12:28pm)

did anyone get the carl white facebook webinar?..i got 2 seconds then nothing..

Anonymous: (April 09, 2010 12:24pm)

FACEBOOK WEBINAR Another useless wasted click, Where is Hammer?

lhamitlo: (April 09, 2010 12:05pm)

Thank you Brian for trying to find out "the how to" on making a fan page. went over the #'s over and over and over..never really telling the how to.WE GOT IT..WE KNOW THE NUMBERS...the webinar was on how to MAKE THE FAN PAGE....HOPE YOU CAN GET THEM TO FOCUS ON WHAT WE NEED and not what they want....good luck..will try to attend the follow up webinar

RnchoMtgChck: (April 09, 2010 11:57am)

I am so glad I have my Frank n Brian. BTW on the Short Sale thing - i know an REO agent that used to be a big muckety muck with First American go out of state to meet and mingle with his peeps so they can get some of "these short sale listings"... when i first heard about it, it was a little confusing - how are the banks going to give them short sale listings but now it's make more sense with all this "ReMax" stuff going on. anyway just wanted to share with you all.

AZ Rush Fan: (April 09, 2010 11:48am)

FRANK'S GOT A RUSH SHIRT ON!!! Right on, Frank!

Thanks: (April 09, 2010 10:42am)

Thanks for the great shows guys. I need the insight with a splash of good humor every morning...being in this "left over" industry. Have a safe and successful trip.

Evil Genius: (April 09, 2010 10:12am)

http://rockypaulsen.blogspot.com/

lifeafter4: (April 09, 2010 10:10am)

Hey Guys, Don't go rogue on us...stay neutral or I'll have to change channels as I did with ABC, CBS, NBC, CNN. Need I go on....?

BS: (April 09, 2010 9:18am)

This site is affialte marketing, these guys have not hacked a loan in ages.

objective1: (April 09, 2010 8:53am)

Brian and Frank. Thank you for being there and adding common sense to the insane world of real estate finance. Your Mom's should be proud of both of you.

spampage: (April 09, 2010 8:36am)

For what it's worth, Make sure you dont make a spam page. I was getting daily notice from Mr. White asking me to be a fan of his page and deleted him as a friend it was very annoying.

Yoda45: (April 09, 2010 8:18am)

It was star wars music dude,, the one song at the bar with the weird aliens....

TheFyouSay: (April 09, 2010 8:16am)

DOWN BY THE RIVER!

Way2Lucky: (April 09, 2010 8:08am)

Go Sox! Nice hat Frank....

Dr. V: (April 09, 2010 7:45am)

Moving into "Affilate Marketing" are we...

Chris Farley: (April 09, 2010 7:28am)

Carl White..The Chris Farley of the mortgage business. Here he is doing down by the river! go to 1 min 40 seconds.. http://www.nbc.com/saturday-night-live/video/down-by-the-river/243779/

Nuke 'em 'til the Glow and shoot 'em in the dark: (April 09, 2010 7:20am)

@anon Too bad the Yanks beat the Socks in the home opener Series. The Socks won the Opener but the yanks won the next two games in the series. Hoo Ran Go for #28!

Loan Junkie: (April 09, 2010 7:13am)

Found it.. Just in case you want it too.. http://www.thinkbigworksmall.com/mypage/archive/1/29027

Anonymous: (April 09, 2010 7:09am)

HEy Frank nice Red Sox hat........................not they stinl like your cheese segment

Loan Junkie: (April 09, 2010 7:04am)

Anyone have the link to the Indymac Short Sale exposure video on TBWS?? Can't find it anywhere!!!

Telly Hu: (April 09, 2010 6:48am)

Was that Yuengling in the green bottle !!! The oldest brewery in America !! Right On...

CM: (April 09, 2010 6:20am)

Frank's new nickname: Chief Redface Alcohol will do that.......

Home Depot Mitch: (April 09, 2010 6:14am)

That exit needed Star Wars Music.

Covert in FL: (April 09, 2010 5:40am)

I've got the "After and Behind the Scene" video of Bryan and Franks Florida Hotel Room antics if anyone wants a copy. And we do mean "BEHIND" the scene. Yuk Yuk Yuk.

Deedie: (April 09, 2010 5:00am)

See the top one? It is brown and says MORTGAGE MARKETING ANIMALS? maybe you shopld scroll up or down.

Anonymous: (April 09, 2010 4:53am)

Yeh, I do not see the banner!

Deedie: (April 09, 2010 4:51am)

the top banner Mortgage Marketing Animals

?: (April 09, 2010 4:01am)

What banner?