Inwood Group photoIt is no secret that the self-employed borrower is treated differently in today’s mortgage lending environment. But then, Inwood National Bank’s Mortgage Group is a different type of lender.

We recently closed on a loan after the original lender failed to meet the contract closing date. In fact, a week after the original closing date, one of the “Big 3” banks provided the borrower with a list of 23 additional conditions to be satisfied prior to approving the loan. Fortunately, his agent told him about Inwood National Bank’s mortgage group that specializes in self-employed borrowers and jumbo mortgages.

This borrower had worked in the same industry for 28 years, but like most business owners, had experienced large swings in income. Inwood was able to take a look at his income over multiple years, and not focus on just what happened during the recession.

The reality is we care more about the future, than the past. This does not mean we do every loan. We still have to document income, but we try to look at the big picture.

And here’s something you haven’t heard in a long time: Inwood National Bank’s mortgage group also prides itself in being able to meet short closing dates. During the month of July, for example, we closed several purchase loans in less than 15 days. (One of these loans was the example above.) Obviously to close this quickly, it takes a joint effort between the borrower, seller, and other parties involved. As a commercial bank, Inwood caters to self-employed borrowers and welcomes them with open arms AND popcorn.

As you may know if you are a regular reader of this blog, our market is hot. Our builders are busier than ever, and it is not uncommon for many homes to have back-up offers. What happens when the contract falls through because the buyer cannot obtain financing? The contract is null and the second buyer swoops in.

Inwood National Bank Mortgage pros also know how to make the close as simple as possible. We send closing instructions days in advance of a closing instead of hours before. This gives the buyer the ability to actually review their final settlement charges and be prepared, prior to showing up at the closing table.

In this active market, the ability to submit an offer without the contingency of selling an existing home has become increasingly important. Inwood offers buyers this with bridge loan financing. The ability to close quickly can mean the difference between a contract being accepted or not. Mortgage companies typically have to borrow money for every loan they fund, and that frankly hampers their abilities. As a commercial bank, Inwood has the flexibility to make loans that traditional mortgage companies cannot do.

We just like to lend money to good borrowers. At Inwood National Bank mortgage group, that is our job.

If you are looking for a high touch, personal and proficient streamlined mortgage process with trustworthy, experienced staff, contact Inwood National Bank’s mortgage group at 214-351-8730.

Who knows, you might walk out with a mortgage loan on your dream home?

(This, by the way, is a CandysDirt sponsored post.)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Changes are coming to some of the key documents that homebuyers sign when they
close on a mortgage loan. Government agencies are behind these changes, so it should
come as no surprise that they’re late. The changes to the Good Faith Estimate, Truth-in-
Lending Disclosure and HUD-1 Settlement Statement — required by the Dodd Frank Act
— probably won’t take effect until the middle of 2013.

As a refresher course, these three documents, forms that anyone who takes out a
mortgage loan will see, spell out exactly how much homebuyers will pay in closing
costs and interest for their home loans. The documents also tell homebuyers how many
mortgage payments they’ll have to make and when those payments are due. They’ll also
list the interest rate that they are paying to borrow their mortgage dollars.

The Consumer Financial Protection Bureau is now gathering comments to its proposed
changes. This comment period ends Nov. 6, after which the final changes will take effect.

I recently spoke to Marcus McCue, senior vice president with Guardian Mortgage, about
the possible changes to these key mortgage documents and what they might mean to
consumers.

Candy: My mortgage is two inches thick of mind-numbing paperwork in my safe deposit
box. How will the new changes help that?

Marcus: We’re not sure yet, but we hope that the proposed changes will result in more
accurate fees ad estimates across the board and fewer surprises for borrowers. It should
also mean that the forms and disclosures will be easier to understand. Finally, it should
prevent a greater number of consumers from taking out mortgage loans that they can’t
afford in the long run.

Candy: Sounds too good to be true. Do you see any negative effects?

Marcus: Initially, due to the change in forms, it might take lenders more time to prepare their estimates. That could result in longer approval times for loans, but should not be an issue after the adjustment period.

Candy: I’m sure consumers would love to receive fewer documents when taking out a
mortgage loan. How will that happen under these changes?

Marcus: The Good Faith Estimate and the Truth-in-Lending Disclosure will be
combined into one form called the Loan Estimate. The proposed format is an
improvement on the previous form, but the changes will likely cause confusion for
borrowers who have purchased homes previously.

Candy: What about the accuracy of the fees listed on this new Loan Estimate?
How “guaranteed” will the listed fees be?

Marcus: There will be nearly no variation allowed on a larger number of fees, especially
those coming from vendors such as title companies and appraisers. Today, the only fees
that can’t vary from the Good Faith Estimate, for instance, are the lender origination
charge and points or credits. If these changes take place, fees for appraisals, credit
reports, flood certificates, pest inspections and other services must not differ from what
will be listed on the Loan Estimate.

Candy: Wow! That will be a big shift for those companies. Any other changes that will
affect homebuyers?

Marcus: Lenders must provide their customers with the new Closing Disclosure, which
combines the current HUD-1 statement and the Truth-in-Lending Disclosure, three days
before closing. That’s a slight change from today, when the HUD-1 statement must be
provided one day before closing. It will delay some closings.

Candy: I don’t know if the Consumer Financial Protection Bureau will listen, but what if
I — or any of my readers — want to make comments on these new changes?

Marcus: Comments are welcome from everyone. You can make them here.