THE MORTGAGE KING JAMMIN’

THE MORTGAGE KING JAMMIN'

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American Bandstand to American Dream

BandstandAfter 18 years in the music industry, I went from performing on American Bandstand to helping people achieve the American Dream. I liked my company so much, I bought it. (Has that been used before?!)

That company is American Fidelity Mortgage Services, INC. of Lisle, Illinois, a western suburb of Chicago. American Fidelity is licensed in Illinois, Wisconsin and Indiana.

We are now celebrating our 35th year in the mortgage industry. I waited until now to start a mortgage blog. I am using my initial post to introduce myself. It has been a long and interesting journey.

I will be sharing what I learned along the way, as well as what I continue to learn. I was, in a way, deep  in the trenches of this turbulent industry. Hopefully my insights can save you time, aggravation, and money.

Stay Tuned

Delivering the Dream To Our Veterans

What is the first question any mortgage consultant should be asking……Are you eligible for a VA loan? The main reason I have the freedom to blog, is because of the men and women that served this country.

VAWhile some mortgage companies would rather not write these loans due to limitations on fees, it is our moral obligation to make sure that our veterans are aware of this great benefit. It is rewarding to deliver the Dream to those who defended the Dream.  In most cases the VA loan requires no down payment, the rates are very aggressive and the process isn’t that tricky. The government doesn’t always get things right, but the VA loan is the exception and should be explored by every veteran and their mortgage consultant.

The History of Paper Trailing in the Mortgage Industry

Ever wonder why mortgage companies are so picky about the documentation provided for a loan?

Everything asked for today is a direct result of someone in the past skirting the law. Take initial cash deposits on homes. The mortgage company is not satisfied that you made a copy of your earnest money or initial cash deposit. They want proof you had the money (seasoned funds) and the papdocument-428334_1920er trail of the money being transferred to the seller.

Why?

In the 70’s and early 80’s when a buyer didn’t have sufficient funds to close on a purchase, the seller or builder would inflate the price of the home by the amount of the down payment. The buyer would write a check, make a copy and give it to the seller. In return the seller would rip up the check. The seller gets the net figure he was looking for, the buyer gets in with no down payment and when the housing market crashes the banks take on over-inflated properties. To the banks, having valid buyer skin in the game, is the protection they are looking for.

I feel it is important to know “why” behind mortgage documentation. To do that, I will give you a little history lesson. We in the industry don’t really relish asking for this documentation, and we know that clients would rather go through a root canal procedure than gather it.