Posted by Notarysigner on 5/27/10 2:50pm
Msg #338584

What's going on?

Just returned from my third signing this AM all Refi. All of the borrowers informed me they weren't even looking for loans, they were contacted by the lender. I was wondering if this is money that was suppose to help struggling homeowners? If it is, It's not going where it's suppose to. Unbelievable.

Reply by BossLadyMD on 5/27/10 3:13pm
Msg #338588

great rates too

someone was talking about this yesterday. lenders are reaching out to consumers and dingling attractive rates in front of them if they re-fi. folks are jumping on it

Reply by Linda Juenger on 5/27/10 3:16pm
Msg #338589

Re: great rates too

2 of mine this week were the same thing.   1 didn't close though due to closings costs too high.

Reply by Notarysigner on 5/27/10 3:16pm
Msg #338590

Re: great rates too

below 5.0

Reply by S Peterson on 5/27/10 3:26pm
Msg #338594

That's how the lenders are generating revenue. Collecting higher interest on the fornt end of the loans plus all the fees charged on a refi. It also has to be a balance for all the loan mods that are being done. The lenders don't make money on a loan mod except for the government incentive they receive for each loan mod that goes from temporary to permanent.

Reply by Stamper_WI on 5/27/10 5:07pm
Msg #338622

I actually asked about this in a LO's office the other day

What I asked was how they got their leads. This was a major bank.
They just said they had a data base, but from what I could see they are going thru their own data base and contacting their own clients no matter what kind of acct they have with them (savings checking, investment, credit card). Most of the signings I have done for them are paying off mortgages from other lenders however.

Reply by MW/VA on 5/27/10 6:35pm
Msg #338642

I'm fairly sure there's a lot of gov. pressure to get money moving again & has put pressure on the banks to do more refi's. Something has happened for sure, because things have picked up a little in the last couple of weeks.

Reply by Sylvia_FL on 5/27/10 6:53pm
Msg #338643

Yeah - we got called by our current mortgage company who offered us a great rate. Went in and talked to them, looked at a GFE etc, and weighed whether it was worth it to refi, and decided to go ahead. We weren't even thinking of refinancing - we only refi'd with them last year. But this was well worth it for us to go ahead.

Reply by Bravo on 5/27/10 8:10pm
Msg #338659

Yes, I've been told by several of my refi borrowers recently that not only were they NOT SEEKING a refinance, but that the lender offered to lower their outstanding loan balance. The night before last I had one that had been lowered $75,000. The one before had been lowered $12,000. I wish some honest person in the lending industry would explain to me what is really going on here.

Reply by Ali/IL on 5/27/10 10:14pm
Msg #338678

Wow! Lowering the balance too? Wow.I think that is great.

Reply by Doris_CO on 5/27/10 11:50pm
Msg #338687

It could be that the house wasn't worth the full amount of the loan being paid off so the mortgage company made an adjustment to the balance which, in turn, helps them retain their customer and also helps their bottom line.

Reply by S Peterson on 5/28/10 10:12am
Msg #338751

Re: MIP being added to help prop up Fannie & Freddie n/m