raman kandola's (kandolamortgage) Blog

REVERSE MORTGAGES: This new law provides protection to consumers who obtain reverse mortgages. This law prohibits certain self-dealing activities by companies providing reverse mortgages, requires certain additional disclosures for reverse mortgages, and also requires a translation of the contrac...

 Did you know that studies show 22% of Latinos have a "thin" credit file, or no credit history, compared to only 4% for Caucasians? Or that 35% of Latino families do not have a basic checking or savings account? Underwriting these files is a manual process, which obviously requires time and resou...

 What happened on Friday? Bond and mortgage prices worsened throughout the day due not so much to the strong economic news but more to selling heading into the holiday weekend. Many changed prices on their rate sheets, and those that didn't will certainly worsen this morning. (Mortgage prices thi...

 According to the National Association of Realtors, over the last 10 years single female buyers have been the fastest- growing segment of the housing market. They account for nearly one in four home buyers and purchase houses at more than twice the rate of single men. Analysts say that more women...

 Answer: not as many as in the past. That aside, National City has sold First Franklin to Merrill Lynch for $1.3 billion. The bank said mortgage servicing right (MSR) net hedging results were "modestly positive" in July and August. MSRs are rights to receive fees from collecting borrower's monthl...

 What happens to a borrower's payment when they send it in every month? Sometimes servicers/investors will separate the principal and interest amounts, and if a company does this enough two new securities can be created: and IO (Interest Only) and PO (Principal Only). Stripped MBSs have been arou...

 What happens if you don't make your monthly mortgage payment? In some cases, the original lenders are taking the biggest hits. In typical contracts, mortgage banks agree to buy mortgages back from Wall Street in the case of a payment default within the first 90 days. H&R Block (owner of Option O...

 What is the current state of the adjustable rate market? Aurora just announced that on their "neg am" ARM loans, the borrowers must qualify at the fully indexed rate as well as the maximum negatively amortized loan amount.  It is predicted that other lenders will follow. Too many lenders are see...

A Guide to Selecting Whether to Work With a Broker or a Direct LenderHard Money Lenders are in the business of providing loans and loan services to people who require hard money loans (loans collateralized by real estate.) Hard money lenders may be direct hard money lenders or hard money brokers....

Hard money comes in many flavors; one of the most common is mortgages. Using the owner's equity in real estate, hard money lenders generally lend 65% - 70% of the value of real estate property. In general, hard money mortgages are used for commercial purposes. However, they can also be applied to...