Mortgage Investors Group Grabs THDA Top Lender Spot 10th Year in a Row!

From the THDA Newsletter:

NASHVILLE, February 15, 2013 - For the tenth consecutive year, Knoxville-based Mortgage Investors Group is the top originator of Tennessee Housing Development Agency's first-time homebuyer loans.

"It's dedicated partners like MIG who work to introduce the THDA program to buyers," said Ralph Perrey, THDA executive director. "We appreciate how hard they work to research the best program for each consumer."

Established in 1989, Mortgage Investors Group (MIG) has been a key a partner in Tennessee Housing Development Agency's (THDA) goal of providing all Tennesseans with access to safe, sound, affordable housing opportunities. Over the last 10 years, MIG submitted 4,579 applications for a value of $ 446,560,896. The next most-active THDA lender secured 2,283 applications over that same timeframe.

A total of 2,102 loan applications from households of low- to moderate-income were originated by lenders across Tennessee for the 2012 calendar year. MIG's staff submitted 333 applications in 2012 for a total value of $33,429,536. The second most-active lender for 2012 was First Community Mortgage with 195 applications and $23,482,920 in value.

"We are thrilled to be THDA's Top Lender for a record 10th straight year," said Jesse A. Lehn, Executive Vice President, MIG. "Our relationship has grown stronger with each year and will continue into the future. MIG's core focus is putting homebuyers into the right program and there is no better program for first-time homebuyers than THDA."

THDA is a political subdivision of the State of Tennessee, established in 1973. THDA is the State's housing finance agency, responsible for selling tax exempt mortgage revenue bonds to offer affordable mortgage funds to homebuyers of low and moderate incomes through local lenders, and to administer various housing programs targeted to households of very low-, low- and moderate-incomes.

THDA made its first mortgage in 1974. It has provided affordable fixed rate mortgages to over 107,000 households without using state tax dollars. The total contribution of the THDA-related activities to Tennessee's economy in 2011 is estimated at $728.6 million.

THDA issues between $250 and $300 million in mortgage revenue bonds annually for its first-time homebuyer program.

THDA created the Tennessee Housing Trust Fund in 2006, using state, THDA and locally-generated match to support programs for households of very-low income, elderly and special needs populations.

More information about THDA is available on-line at http://www.thda.org

FHA MIP

I mentioned a couple of weeks ago that FHA is raising the mortgage insurance April 1 by 10 basis points. That doesn't sound like much, but it adds up. It is their April Fool's Joke. At the present in most cases when you get 22% equity based on your purchase price it drops off your payment. On June 3 all the new loans will see the MIP become permanent for the life of the loan. So If you can move your time table forward a little, it could save you a lot of money. Call me at (615) 777-4663 to help you with this.

Condo Approvals

I  have written about this before, but it continues to rear its ugly head.  Many Condominium associations have let their FHA and/or Fannie Mae approvals expire.  Basically if both happen there is an extremely good possibility that a unit owner may not be able to sell or refinance with favorable financing and be relegated to non-conforming interest rates.  They apparently do not realize that this can and probably will hurt their property values and limit their options down the road.

Yes it takes some time and effort, but for optimum real estate management, it badly needs to be taken care of.  Probably most of the boards of directors do whatever their management company's recommend, so the management companies need to get on board too. 

"Normal" Housing Market may not be what it used to be!

I was reading today that Fannie Mae has looked into their crystal ball.  They note that we have the following positive trends:

• Washington seems to be slowly getting their act together. (That is writing fewer checks)

• The Fed is likely to continue to support the economy.

• They expect mortgage rates to remain relatively low over the next few years "rising to no more than 4.2% by the end of 2014.

• They expect growth of about 2% per year.

• Foreclosures are declining.

• Housing starts should rise 23% in 2013

All this doesn't spell boom time, but in my opinion it is a positive environment to buy a home.  Call us if we can help at (615) 777-4663.

CREDIT ALERT!!

If you are a parent of a college student or for that matter a child over 18 living at home, listen up.

Unless you want them to become a renter or to live with you for the foreseeable future, you need to help them build a credit history.  I can't tell you how many times the graduate comes in and has no credit.  We investigate further and they don't have a rent history.  Then we find out the cell phone they are so proud of is in Dads name and his car loan and insurance is too.  And so on.  You get the picture.  No credit and no alternative credit (like insurance, cell phones, utilities etc.).

So ideally, you would help them get a secured credit card (actually two) and an installment loan even if it is secured by savings.  They will want a 12 month perfect history on these accounts.  In the meantime get some of the above mentioned alternative accts in their name and push them to pay on time.  Next week we will address what to do with these accounts when you get them.

Good News for Veterans!

Today's news includes an announcement by Wal-Mart that they are pledging to hire 100,000 Veterans with honorable discharges over the next 5 years. I think this is great. I am not really a Wal-Mart fan, but this could make me one. I have seen some numbers that if a veteran who works for Wal-Mart has a spouse who has an average job, that they could qualify for the average home in the U.S. which is $186,000. So selfishly that could be a boost to the housing industry.

And since we at MIG also specialize in VA loans we can participate too. This is a good time to point out that THDA (the first time buyer agency in Tennessee) is offering Vets (and they don't have to be first time buyers) one half per cent off on their mortgage. That would put their starting rate at 3.1%. This is their Homeownership for the Brave program.

So if you know a Vet we can help please email me at george.margrave@migonline.com or call me at (615) 777-3299 and I will help them!

MIG & Team Margrave 2013

We have been getting geared up for 2013. MIG had a record year in 2012 closing about $1.17 Billion in loans. Yes, MIG is the largest independent lender in the State. My teams volume was the second best year we ever had thanks to my loyal clients.

This would be a good time to let you know who my team is. Stephanie Holland is my right arm. My second assistant and Stephanie’s right arm is David Baker. We also have Kim Shumate and Jennifer Hegele as our processors.

Our Manager Darin Anderson gives us great support and we also have two underwriters and Nita our closer right here in the office. So we are all set to handle your referrals!