Mortgage Center
Rand Mortgage an Affiliated Company
Fed Rate Will Save Many Homeowners Thousands a Year
The Federal Government is creating a national economic stimulus plan designed to lower your housing expenses. Make a 15 minute call to Rand Mortgage to see if you would benefit from this program and save thousands of dollars a year.
For over 25 years, Prudential Rand Realty has been your choice for home buying and selling, now let the Rand family of companies help you again. Rand Mortgage is a local mortgage company with access to mortgage programs from every major national lender. Our local professionals are your neighbors, and are committed to giving you the best refinancing experience you’ll find anywhere.
REFINANCE SAVINGS EXAMPLE:
Loan Balance: . . . . . . . . . . . . . . . $400,000
Your Existing Rate: . . . . . . . . . . . . . . .6.75%
Today’s New Lowered Rate: . . . . . . . . . . 5.375%
ANNUAL SAVINGS: . . . $4,260Rates are subject to change without notice. Licensed New York State Mortgage Broker. New York State Banking Department. All loans arranged through third party lenders. Figures based on 30 year fixed rate up to FNMA conforming loan limits.
Contact: Bram Lewis, Mortgage Consultant
Office: 845 825 8092, Cell: 914 473 7111
Contact: Christopher Rand, Mortgage Consultant
email: Christopher.Rand@RandMortgage.com
Office: 845 353 1111, Cell: 914 907 7633
Economic Stimulus Bill Stimulus Package & the Housing Market on CNBC Video Clip
13-Feb-2008 at 12:35 PM The mortgage provisions in President Bush's economic stimulus package may give a much-needed jolt to the housing market, reports CNBC's Diana Olick.
What does the new economic stimulus package mean for you?Well, if your family's yearly income is below $150,000, you will be getting a tax rebate check. But the more significant news for the real estate market is that the government raised the conforming loan rate, allowing government-sponsored agencies Fannie Mae and Freddie Mac to purchase loans above the traditional $417,000 level.
This is very significant for homeowners and home-buyers in the region, because we live in a relatively high average-sales-price market. Accordingly, because the traditional limit for conforming loans prevented many purchasers from obtaining conforming loans, they had to turn to "Jumbo" loans with higher rates. The spread between the conforming loan rate and the Jumbo loan rate has extended considerably in the last six months during the recent mortgage market disruptions, with the Jumbo rate often above 7%. Indeed, the difference between a conforming loan rate and a Jumbo rate for the average purchaser in Westchester, Rockland, and southern Orange County was often as much as $500-1,000 per month.
How high is the conforming loan limit? We don't know yet. The new legislation sets the conforming loan limit at 125% of the median sales price for the region, with a maximum of $729,750. We expect that the conforming loan rate in our area to go up significantly from $417,000, and if the government counts Manhattan in our "region" it might extend to the maximum limit.
Any increase in the conforming loan rate would be welcome, because it would have the following effects:
- Homeowners who currently have a Jumbo mortgage will be able to refinance their loan into a conforming loan, and save hundreds of dollars a month in payments. We expect to see a refinancing boom in our area as a result. Unlike the 2004 refinancing boom, however, that was based on homeowners pulling equity out of their homes, we think that this boom will be based largely on people reducing their monthly payments.
- Home purchasers, people currently in the market, will be able to obtain a loan with a lower rate, allowing them to afford more home. We expect this might help a lot of buyers come off the sidelines and get into the market.
- Home sellers, people with their homes on the market, will find a larger pool of buyers interested in their homes. They also might be able to retain more value in their home, and seller for closer to their asking price, because buyers can get a better rate.
Contact A Rand Mortgage agent NOW. Affiliated with Prudential Rand Realty
 With over 175 mortgage articles and live mortgage rates, this will provide answers to your mortgage questions. |
 Our simple mortgage calculator calculates your monthly payment based on your input. |
|
|
