When Will The Fed Raise Rates?

mortgage informationAsk any loan office will the Feds raise interest rates and they’ll tell you the real question isn’t will they, but when will the rates be raised? That’s the million dollar question. The rates haven’t increased in almost 10 years so we know the time will come for the Feds to raise the rates. It would have seemed that moment had arrived this past fall with low unemployment numbers and reduced oil prices. However, the Syrian refugee crisis that escalated over the summer and the Chinese stock market crash created a reason to remain cautious. Seems Fed Chair Janet Yellen’s crystal ball was correct to advise her not to raise the rates in September (while the rest of the country hyperventilated expecting to see the increase) because shortly thereafter the correction for unemployment numbers gave proof the time to raise rates still had not arrived yet.
So does anyone have the answer? My prediction is it will occur at the end of the first quarter 2016. My reasoning is no one wants to be known as the Fed who raised rates just in time for holiday shopping. The only caveat is the unemployment number will be inflated due to seasonal hiring creating a ‘false positive’.
What’s the message for buyers and sellers sitting on the fence waiting for the Fed to decide on when rates will be raised before making a decision to buy or sell? Considering the Feds haven’t raised rates in almost 10 years, waiting for a decision from the Federal government would be the epitome of procrastination.

By Kamili Allen Samms

October 26, 2015

Buy A Home Only One Year After Foreclosure!

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Buy A Home Only One Year After Foreclosure!

Facing Foreclosure

Some of you may have already heard about the new announcement FHA made last month allowing for a new purchase after only one year when the buyer has experienced a financial hardship. The key to this program is the buyer must have used the past year to overcome their hardship and the result of their derogatory credit was a due to a loss of employment or significant loss of household income.

The positive point of this new guideline is the derogatory credit may consist of foreclosure sale, deed-in-lieu, short sale, and bankruptcy.

Fannie Mae has also improved their restrictions on buyers with short sale history by reducing the wait time to 2 years compared to 4 years previously.

 

This is exciting news because Golden Coast Finance can now offer your clients more options to buy even if they have experienced hardship in their recent past.

Call Me For More Information 818-630-7800!

Get Your Pre-Approvals Updated Today!

Remember that interest rates have risen a full point just since May so if your client was pre-approved more than 30-days ago be sure to have them call me for an updated approval. We offer same day pre-approval letters and It’s FREE!

This Week’s Fun Fact:

baby smilingYou use 14 muscles to smile and 43 to frown. Keep Smiling!

Click here to view our low interest rates!

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Finance Up To 10 Properties!

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Finance Up To 10 Properties!

Row housesIf you have multiple investment properties plus a primary residence we can finance a new investment property or second home loan with as many as 10 existing mortgages. Many other lenders have restrictions on no more than 4 or 6 financed properties (including the subject property) but Golden Coast Finance can now help you increase your investment portfolio.

Even better, if you are buying a new primary resident and have other financed investment properties – there is no restriction on the number of financed properties owned!

 Call Me Today For More Information!

 

Get your pre-approval letters updated!

With the increase in interest rates over the past few months, the amount of purchase price you may have been qualified for previously, may not be the same based on the higher interest rates.

Don’t forget to get pre-approved for a new mortgage loan before viewing properties. Know in advance what the qualifying terms and amounts are before searching for a new home.  We offer Same Day Pre-Approval letters! 

 

 This Week’s Fun Fact:

A chef’s hat is shaped the way it is for a reason:

its shape allows air to circulate around the scalp, keeping the head cool in a hot kitchen.

chef's hat

Check Out Today’s Low Rates!

 

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100% Rental Income Credit

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A For Rent sign in the window of a residence100% Rental Income Credit!

Other lenders typically only give up to 75% of the rental income credit but Golden Coast Finance will use the entire 100%!  This can be the difference between your buyers being qualified and disqualified based on rental income credit.  If you have a client who currently receives rental income on their investment property and is working towards purchasing new property, GCF will help them maximize their purchasing opportunities. We can also lend on more than 4 financed properties.

Call Me Today For More Information!

 

 

 

house

Don’t forget to get pre-approved for a new mortgage loan before viewing properties. Know in advance what the qualifying terms and amounts are before searching for a new home.  We offer Same Day Pre-Approval letters! 

 

This Week’s Fun Fact:

Solid structures (parking lots, roads, buildings) in the United States cover an area the size of Ohio.

parking lots

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Teaching Children The Value of Money

Teaching Children The Value of Money

piggy bankMy kids think that each time I tell them that doing a special activity or going out to dinner costs too much money, that the solution is to simply drive up to the ATM and get more money to satisfy their wants. Helping children understand the value of money will help them realize the money taken out of cash machines are from the funds you deposit – not just an endless cash flow (don’t we all wish!). Continue reading Teaching Children The Value of Money

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Why Choosing a Licensed Loan Officer Over a Bank Home Loan Officer Can Be Financially Beneficial

Why Choosing a Licensed Loan Officer Over a
Bank Home Loan Officer Can Be Financially Beneficial
mortgage calculator money savings

Often, the average consumer is curious about the difference between the loan officer who sits in your bank’s lobby versus the mortgage broker your agent or next door neighbor recommends. The bank’s loan officer will readily have your deposited assets at their fingertips and you may be more comfortable speaking to someone you have cordially smiled at over the years when you walked into the bank. However, this ‘comfortable convenience’ may limit your options. Continue reading Why Choosing a Licensed Loan Officer Over a Bank Home Loan Officer Can Be Financially Beneficial

mortgage interest rate tax deduction

Mortgage Interest Deduction: Is it really crucial for American home buyers?

 Mortgage Interest Tax Deduction: Is it really crucial for American home buyers?mortgage interest rate tax deduction

by Guest Contributor Gabriel Knight

The average home buyer can save thousands of dollars on taxes due to the benefit of home mortgage interest deduction. Therefore, American home buyers can afford to purchase homes as the deduction reduces the amount they pay in taxes. According to the latest research, the 37% of US home buyers spent a considerable part of their income on their mortgage. Therefore it goes without saying that consumers generally have more money in their pockets when they pay less on their mortgage

Continue reading Mortgage Interest Deduction: Is it really crucial for American home buyers?

glendale, ca refinance options

Refinancing: Got Land? Grow Something With It!

glendale, ca refinance options

Interest Rates…  This article should end here, but alas we will elaborate for those of you who may be hiding under a rock somewhere reading this magazine and are cut off from the outside world! 

Over the past 30 years we have witnessed a gradual decline from the highest interest rates in US history to the lowest interest rates in US history.  So what do we do?  Buy. Buy. Buy. Right?  Absolutely, but what if your rich uncle didn’t just pass away, and growing your real estate portfolio just isn’t in the cards right now?  Well, I am happy to report that you are not out of luck.  While we do subscribe to the “buy land, God isn’t making any more of it” philosophy, the transcendentalist in us says that we can live by more than one saying.  In fact we created a saying that fits this situation perfectly:  “Got Land? Grow Something With It!” (No, we are not referring to starting a farm in Glendale, CA). Continue reading Refinancing: Got Land? Grow Something With It!

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The FHA Streamline Refinance Program: What it is & Why you want it!

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Mortgage News – The FHA Streamline Refinance Program

On June 11, 2012, the launch of the new FHA Streamline Refinance Program is going to blow all the other refinance programs out of the water. The benefits of this new program and its easy requirements seem like getting a refinance on a loan is going to be a breeze.  Here are the reasons why! Continue reading The FHA Streamline Refinance Program: What it is & Why you want it!