THIS MORNINGS QUICK LOOK
- TOUR DE MTG FINANCE – Big MBS Day
- PRODUCT HIGHLIGHT – Jumbo Arms
- MARKETING – Eat, Drink and Enjoy Your Toil
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BIG MBS DAY
Yesterday we started the day with a little bit of hope. Oil was down, producer price index came in lower than expected which showed less than expected inflation and the day was good then it backfired on us a bit and we lost all of our gains and ended up losing 5 bps.
Today, the FED interest rate decision is at 1:00 PM EST and then Fed Chairman Powell speaks at 1:30 PM EST.
This is going to be a big deal based on what they decide and on what he says and the way the market has reacted lately to everything just be aware.
I will likely send out the update of what happens once I hear to those of you on my mbs text service listed above.
Hold on and lets see what happens today!
Product & Guideline Highlight Knowledge That Gives You An Edge Over Your Competition
JUMBO ARMS
Jumbo fixed rates have been hit the same as conventional rates and increasing rates at higher loan amounts obviously makes a much larger difference in payments.
I was helping a client out yesterday and the fixed rate was not looking wonderful the same as everywhere else but we pulled a 10 yr arm which is almost the same as a fixed in this world and the rate was very good and it helped get the borrower within approval range.
The difference in rate was pretty big but also understand that jumbo arms have MI on them whereas fixed do not.
The jumbo 10 yr arm goes up to 89.99% ltv with as low as a 700 score depending on loan size.
I also clarified we do not follow conventional rules as it applies to lower of distribution or net income. We use net income plus depreciation plus amortization and if they are W2 on their primary job we no longer consider Sch C or E losses from Self-Employment and we go to a 45% dti.
Just a reminder to weigh your options when quoting rates for a borrower.
Marketing Ideas And Opportunites Little Things That Can Make A Big Impact
EAT, DRINK AND ENJOY YOUR TOIL
My favorite book in the Bible is Ecclesiastes. Many of you will say huh? Ecclesiastes?
Yep, that is the one where it spends 12 chapters explaining that everything is meaningless and a chasing after the wind.
Most people do not understand the intent behind it though and it is a great reminder of what truly matters in this life.
This is especially true as we enter times of trial and anxiety and fear as rates increase and volume slows down and the refinance market dries up and we begin to lie awake at night going what should I do next to further my business.
One of the main points it drives home repeatedly is “A person can do nothing better than to eat and drink and find satisfaction in their own toil”. Or what I always say Eat, Drink and Enjoy Your toil.
No, eat and drink does not mean gorge yourself on food and get liquored up on a regular basis although some of us have cornered that market more than others : )
It is saying live your life and enjoy what you do because in the end you are not going to do anything someone else has not already done, the sun will rise and set each day regardless of your results and another day will begin with or without your permission.
So, when you start your day start it with the mindset that no matter what happens today enjoy what you do. I assure you 90% of your results come from your attitude towards what you are doing. You can enjoy your toil (work) when that is the purpose of what you are trying to accomplish.
Have you ever finished a day where you said man am I glad I had fear and anxiety today and that really helped me accomplish my goals today and everybody just loved being around me.
It’s tough I know. I find my peace in my faith but I assure you I have many a dark day but when I realize all I have to do is switch on the light I can see a whole lot clearer and I and those around me enjoy the day all the more.
