Eugene/Springfield Reverse Mortgage program could change Friday

Posted on March 28, 2011 by Fred Chamberlin

Changes in Regulation Z, Truth-in-Lending, take place Friday without intervention of the courts. This could have a huge effect on Reverse Mortgages in the Eugene/Springfield Oregon area.

There are a couple of lawsuits, complete with temporary restraining orders, being reviewed currently that could slow or stop the implementation of the change Reg Z makes in loan officer compensation. At this point, we are not certain of the effect this change will have on reverse mortgages going forward.

What we do know, is that Bank of America has announced they are getting out of reverse mortgages and that Wells Fargo has done nearly the same by closing their wholesale channel for reverse mortgages. Other lenders may be following suit.

Keep watching our site and we will keep you posted with all of the current information about reverse mortgages. Also, if you are interested, it might not be a bad idea to start the process while there are still lenders offering the program.

If you have questions about a Reverse Mortgage we will not pressure you to take one out, but it may be in your best interest to check out one now, rather than later. Please contact one of us today at 541-342-7576. Alpine Mortgage Planning is located at 1200 Executive Pkwy., Ste. 100, Eugene OR 97401. You can also e-mail Laurie here or Fred here. We are here to help you make the decision that is right for you. Reverse Mortgages are not for everyone, but they are an excellent choice for some people. Isn’t it time that you checked out the advantages of a Reverse Mortgage?

RECENT ARTICLE IN WALL STREET JOURNAL SAYS “REVERSE MORTGAGES NOW LOOK CHEAPER”

Posted on December 6, 2010 by Laurie Willis

Reverse mortgages have long been considered one of the most expensive ways to extract cash from your house. But that is changing as some of the country’s biggest reverse mortgage lenders are slicing closing costs-helping some affluent homeowners who want to generate additional income.

One of the biggest criticisms of reverse mortgages has been the fees, which can total 4-5% of a home’s value. But the new cuts in fees (and rates, too) mean that some homeowners can save $10,000 or more on closing costs.

Why are lenders cutting costs now? TO DRUM UP BUSINESS! From October 1, 2009 to March 31, 2010, Home –equity-conversion (or HECM) mortgage volume fell 22% from the same period a year earlier. One reason: In response to falling home values, the Department of Housing and Urban Development cut the amount of equity that reverse mortgage borrowers could extract by 10% last October. Lower principal values, coupled with the fact that seniors have been dismayed by falling home values have kept many homeowners from taking action. Click on the banner below for an excellent webinar on the ins and outs of reverse mortgages.

Another factor: In the past two years, lenders have started securitizing reverse-mortgage loans by converting them into Ginnie Mae-backed bonds. Popular with investors because of their government guarantees and high yields compared to Treasurys, these bonds also have been more profitable for issuers than selling them to Fannie Mae, the main alternative, says Peter Bell, president of the National Reverse Mortgage Lenders Association in Washington. In a nutshell, higher profits mean lenders can cut closing costs.

Seniors should consider more than closing costs in deciding whether a reverse mortgage works for them, and if so, which type. It is also a good idea to get your family involved. One drawback of a fixed-rate reverse mortgage is that you have to draw down the entire loan amount up front and pay interest on the entire amount across the life of the loan. However, the fixed-rate option usually gives the borrower access to the most cash available.

If you are concerned about how you will navigate the coming economy into retirement, contact us. We are reverse mortgage specialists and will help analyze your financial situation so that you can secure your financial independence and gain the cash that you need. We are here to help. Please use us as a resource to help you learn more about the reverse mortgage process.

Identity Theft Huge Problems for Seniors

Posted on October 11, 2010 by Fred Chamberlin

Identity theft is the fastest growing theft throughout the United States with over 11.5 million identity theft victims so far according to www.identitytheft.info. In many ways, senior citizens are perfect targets for those involved in identity theft.

Because a senior has a different lifestyle than younger generations in that they don’t have children around, and can plan their time around their wants and needs, it means they are free to take the day and go to the coast or take a trip to the casino if they want to. However, this lifestyle is not all fun. In some respects it also opens them, more than other age groups, to identity theft.

Seniors have more wealth and higher credit limits on credit cards than younger consumers. They are also less likely to guard their identity. Often they are also less likely to report a case of identity theft than their younger counterparts for fear that their families or caregivers may deem them incapable of handling their own affairs and try to take control. Identity thieves know this and plan to take advantage of it as much as is possible.

Identity thieves will take advantage of anyone they can, it isn’t limited to just senior citizens, but it is also a case of going where the money is. When the famous (or is it infamous) bank robber Willie Sutton was asked why he robbed banks, he said: “I rob banks because that is where the money is.” Since senior citizens have the money and the credit, identity theft is a prime way to get it.

So, the FTC is working to educate through their Deter, Detect and Defend program giving a lot of information in a very short video. Identity theft is real and it can have a very negative effect on you ability to get a mortgage. Follow the instructions on this video, getting your credit report is free.

We are available right now to help you with the loan process and know the ins and outs of FHA, VA, USDA and conventional financing. We can also assist you with the people that can help if you are a victim of identity fraud. We can’t fix your credit, but can put you in touch with those that can help you. Contact us at Alpine Mortgage Planning, 1200 Executive Pkwy., Ste. 100, Eugene OR 97401, 541-342-7576/541-221-3455 Fred’s cell or by e-mail.

Reverse Mortgage Training Webinar Scheduled

Posted on September 23, 2010 by Fred Chamberlin

Not everyone likes to read all of the material out there on a subject, and often times it is easier to listen and watch. Because of that, we have scheduled a webinar about the Insiders Guide to Reverse Mortgages.

The Webinar is scheduled for Wednesday at 4 p.m. PDT. Please just click on the button below and you will be taken to the registration page. The information provided should prove beneficial to anyone looking to find out about Reverse Mortgages.

Navigating the mortgage approval process can be daunting. You need someone on your side. we are available right now to help you with the loan process and know the ins and outs of Reverse Mortgages and FHA, VA, USDA and conventional financing. If you want to buy a home using an FHA reverse loan or refinance using VA, we are here to help. Contact Laurie or Fred at Alpine Mortgage Planning, 1200 Executive Pkwy., Ste. 100, Eugene OR 97401, 541-342-7576/541-221-3455 (Fred) cell or by e-mail. Only you can make the choice it is time to get the process started.

Reverse Mortgages are down for year nationally

Posted on August 9, 2010 by Fred Chamberlin

Given the amount of advertising being done for reverse mortgages in Oregon and nationwide, it is surprising but the number of reverse mortgage is actually down. “This article explains a lot of the reasons behind reverse mortgages actually being off nearly 40 percent so far this year. Not only that, but the annual pace translates to only 70,000 transactions nationally for the entire year.

Wholesale and retail lenders active in the reverse mortgage market are less than half of past year’s lenders, according to Reverse Mortgage Insight, watching industry trends.”

In my opinion, reverse mortgages should be on the rise as interest rates are at all time lows, fees are lower than they have been on reverse mortgage, stock portfolios are oftentimes cut in half or worse and baby boomers reach retirement age. So, the question is, Why?

The first answer has to do with property values. A lot of seniors that still owe money against their home no longer have enough equity to qualify for a reverse mortgage due to falling property values, but that doesn’t explain the large number of seniors that own their homes outright. It may be for them that they believe they can’t get enough from their home now, with the reduced values, but in reality, with the changes in the program to mostly fixed rates from the primarily adjustable reverses in the past, more money is often available.

Some may think waiting for the recovery of the housing market may be their best bet, however, there are possibilities that FHA will change maximum mortgages for reverse mortgages in the future (down) and make this the wrong choice. There are others that are taking advantage of historic low rates on forward mortgages, but this still leaves them with monthly payments.

So, what does that leave? I think it is a lot of an public relations problem. A number of critical reports in 2010, from the National Consumer Law Center, Consumer Reports, US News & World Report, and the Comptroller of the Currency, put a lot of people off of reverse mortgages. The report from the Comptroller of the Currency even compared reverse mortgages to subprime mortgages which I believe is a injustice to the program. I believe sentiment on reverse mortgages has swung too far in the opposite direction – from complacent acceptance to paranoid rejection – and will at some point swing back.

One bright spot for reverse mortgages was reported in Reverse Mortgage Daily in that for the first time since December 2009, reverse mortgage were on the rise in July. This could mean that the market has hit bottom. Continued erosion of retirement accounts and low rates and fees on reverse mortgages could be just the ticket for many seniors in the days to come.

It has always been Laurie and my belief that an informed consumer can make a better decision than one that is making their decision based on feelings. These articles and reports are worth reading and should be considered before taking out a reverse mortgage. Reverse mortgages are not for everyone, but they are for more people than are taking advantage of them currently.

Oregon Senior Reverse Loan for retirement planning

Posted on June 18, 2010 by Fred Chamberlin

Has your 401k turned into a 201k

or worse yet, a 101k?

If you are 62 or older and have a substantial equity in your home, an FHA Reverse Mortgage may be just the right ticket for your retirement plans. Oregon Reverse Mortgages are not as expensive as they were and may be the ideal solution to your challenges.

As a senior myself, I know that retirement is not a jitterbug, but maybe we can help you waltz into your golden years. Check out our program for Reverse Mortgages. Contact me today at loanguys@gmail.com for a link to a reverse mortgage calculator. Call me at 541-743-2966 and let’s discuss if it is right for you. NO BULL, just the facts!

Oregon Reverse Mortgage Information

Reverse Mortgage Information for Oregon Seniors