Rates are flat today so far. Stocks, bonds and oil are down on news of Greek failure to meet their 2011 financial goals to receive aid. Greek debt default in some form is considered likely. Today’s rates with no lender fees are 3.875% on a 30 year fixed, 3.25% on a 15 year fixed, and 2.75% on a 5/1 ARM (click here to get the details).

Happy Monday everyone! It’s a new month and a new quarter. This brings one thing you can always count on in the mortgage business. Change!

I change things up in today’s video:


(Watch it on your mobile phone or email reader here)

In the past couple days and weeks, there have been a lot of changes in program guidelines that will definitely affect the way you structure your loan and monthly mortgage payments. Today I want to go over some of the big changes that just recently took place.

USDA Mortgages – USDA’s guaranteed rural housing loan program provides moderate income families with access to affordable home ownership in eligible rural areas. This program requires no down payment and can finance loan closing costs and repairs up to the property’s appraised value. USDA has recently changed the way they are structuring PMI on their loan product. This will affect your monthly payments and your loan amount.

FHA and Conforming Loans – Both of these loans have reduced their loan limits for people living in high cost areas. This will affect some people more than others, depending on your area. This could require a much larger down payment for some or make you switch your mortgage shopping efforts to a jumbo mortgage, which has higher interest rates.

VA Home Loans – A VA home loan is for any veteran, active duty personnel, reservists, National Guard members, and some surviving spouses with a certificate of eligibility. The Department of Veterans Affairs has changed the way they will calculate the PMI on their loans. These changes will also affect your loan amount and monthly mortgage payment. These changes were supposed to take effect on October 1st, but are currently suspended.

Private Mortgage Insurance (PMI) – PMI companies are getting more aggressive and are making changes to allow for more people to refinance with PMI and to make it less expensive.

I wanted you to be aware of some of the changes that have occurred. The rest of the week I will be breaking down each of them in detail to let you know how these changes will affect you. Here is a good quote about change:

If you don’t like something, change it. If you can’t change it, change the way you think about it.

If you thought this was good information or worth discussing, help me bring transparency to mortgage lending by sharing today’s episode on Facebook or Twitter.

Let’s change the way people shop for a mortgage…forever!

– Mike

PS. To ask a question, get advice, or find out if you’re getting the best deal possible on your loan, just post a comment below. Daily comparison rates, calculators, and other cool features are available in the free Rates in Motion LoanApp by going to your smart phone and clicking on this link, activation code is 9203780002

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