One of the most popular products at Creekside Mortgage, Inc. is the VA Streamline or IRRRL (Interest Rate Reduction Refinance Loan).
With rates at historic lows, some people are finding that their existing VA loan has a higher interest rate than what is currently being offered. When this is the case, individuals have the option of refinancing their loan to a lower interest rate.
What makes this even better, however, is that depending upon the lender that is being used to finance the loan, all of the costs and fees of the refinance may be rolled into the loan. This means that you may not have to pay any out-of-pocket costs in order to do the refinance, but you get all the benefits of a lower payment and lower interest rate.
If you are stuck in a VA loan with a higher interest rate, you need to look into an IRRRL. There’s no reason to be paying a higher interest rate then you have to.
Call Creekside Mortgage, Inc. at 360.571.5626 today if you are interested in an IRRRL or you have any other questions.
As you can imagine, here at Creekside Mortgage, Inc. there’s always a lot of talk about interest rates. So, here’s the deal: for VA loans, the interest rate for a 30-year-fixed rate mortgage has varied around 3.25 for the past couple of months.
So what does it mean for you?
Well, if you are eligible for a VA loan and refinancing or buying a house is on the horizon, you should do it while the interest rates are staying low.
We speculate that rates will likely vary to some degree right around 3.25 until the election is over. Then, it will be hard to tell what is going to happen with them.
For now, the low interest rates are driving the buyer market. If you can benefit from these historically low interest rates, why not buy or refinance now?
For all of your VA loan needs, contact Creekside Mortgage, Inc. at 360.571.5626 or toll-free at 800.920.5420.
Though Creekside Mortgage, Inc. deals with the mortgage side of the real estate market, you can imagine that the flux in housing prices is something we keep a close eye on, and we think Portland’s market is coming around.
For the past nine months, housing prices have stayed relatively steady, which could signal that the Portland housing market is gaining strength.
Another key thing that we’ve noticed is houses that appeal to first time home buyers are selling fast. In this particular market, first time home buyer prices generally fall between $100K and $220K. These houses are in high demand, and that’s a good sign for the market.
It is impossible to know what the future has in store for the Portland market, but housing prices steadying out are the first sign of a market gaining strength. For now, however, it is still a buyer’s market with historically low interest rates and competitive housing prices. If you are a buyer, take advantage of the market now.
If you are interested in taking advantage of historically low interest rates, call Creekside Mortgage, Inc. at 503.445.1038 for a free pre-approval.
When individuals come into Creekside Mortgage, Inc. looking to refinance their VA loan or get an IRRRL (Interest Rate Reduction Refinance Loan), many times, they are trying to refinance out of an ARM (Adjustable Rate Mortgage).
These individuals were originally placed into loan programs where they were given super low interest rates, but for only a matter of time. Then, the rate could go up—drastically.
Here at Creekside Mortgage, Inc., we don’t believe in doing ARMs unless the client fits into one of the following categories:
- They are only going to be in the home for a short period of time and they will be selling the house or otherwise getting rid of the mortgage before the rate has a chance to rise.
- The individual is facing a rate that is so bad that they take the chance of getting a lower interest rate in the short term and hope to refinance the loan before the rate rises.
However, in approximately the last five years, the situations outlined above haven’t occurred due to low interest rates.
So, today, there is little to no need for our clients to be utilizing an ARM mortgage and that means that we stay away from putting our clients into ARMS. By getting a 30-year-fixed mortgage, our clients can rest assured that their interest rates will never change for the life of the loan.
Call Creekside Mortgage, Inc. at 360.571.5626 or toll-free at 800.920.5420 today if you are have any questions or would like to get out of your ARM.
Creekside Mortgage, Inc. often receives calls from individuals who have been placed in a loan that really isn’t right for them. Then, they come to us, hoping that we can refinance them into a loan that will work for them.
One individual gave us a call recently and he has been in an FHA loan for the past three years. Though FHA loans are right for some, this individual told us that he was a Veteran and that he qualified for a VA loan—and he is receiving disability of 70%.
With this individual’s history, he should never have been placed into an FHA loan. Instead, he should have been placed into a VA loan.
The individual was calling Creekside Mortgage, Inc. seeking a refinance into a VA loan. While our team will do everything they can to place this person in to a VA loan, he has already spent money needlessly over the past three years, and here’s why:
- Since this individual is eligible for a VA financing, he could have saved himself the upfront costs that come with a FHA loan.
- He is currently paying for mortgage insurance on his loan, which he would not have to do with a VA loan.
- Due to the percentage of disability that he is receiving, he could have saved thousands of dollars on his VA financing.
The bottom line is that if you qualify for a VA loan, you should take advantage of it and you should always ask your broker questions about the program they are putting you in. Are you really getting the best deal possible?
If you are interested in a VA loan or have any other questions, please contact Creekside Mortgage, Inc. at 503.445.1038.
Recently, numerous clients have come to Creekside Mortgage, Inc. expressing that they have received letters in the mail asking them if they would like to switch from a monthly to a biweekly loan repayment plan.
The first thing to remember when getting this type of mail is that your home purchase is a part of public record. Meaning anyone can locate your name, address, how much you paid for your home and who your lender was. If you weren’t aware of this, don’t be alarmed. Just realize that you will be receiving mail from companies who are trying to benefit from your home purchase.
To make matters more confusing, letters may include verbiage such as, “Creekside Mortgage Corp has helped you in providing your new mortgage loan…” which could be read as if Creekside, your mortgage broker, has something to do with the mail that you are receiving.
Not only is Creekside Mortgage not responsible for these letters, Creekside would advise you to be careful when considering such plans. And here’s why:
You don’t need a service to do biweekly payments.
It is true that you will reduce the term of your loan and reduce the amount of interest you pay on the life of your loan if you make more payments. Since the biweekly method works by having you pay every two weeks, a total of 26 payments per year, you are essentially paying one extra monthly payment during a year span.
So, instead of making only 12 monthly payments, you are actually making 13 monthly payments split in half every two weeks. If you can afford to do this, it’s a great deal. But, you don’t need a service or to make any changes to do this – all you have to do is pay extra on your monthly bill.
By cutting out the middle man, you will be able to contribute money directly to your principle and you will be able to determine when and how much extra you want to pay towards your loan. If times are rough for your family, you won’t be forced to make that extra yearly payment that you may not have the money for.
Plus, keep in mind that these companies have something to gain by you using them to switch payment plans. While it may not be readily apparent, they may have hidden fees or other costly reasons for helping you make the switch.
If you have any questions about biweekly payments or have other questions, please contact Creekside Mortgage, Inc. at 360.571.LOAN (5626).
Each year, Creekside Mortgage, Inc. participates in Vancouver’s annual Veterans Parade. With a staff comprised of Veterans, Creekside Mortgage, Inc. has made a commitment to support Veterans both in the local community and beyond.
This year, the event will be held on Saturday, November 10, 2012, beginning at 11 a.m. at Fort Vancouver.
To show their support, the entire staff of Creekside Mortgage, Inc. will be dedicating their Saturday to participate in the parade and to hand out flags for others to wave during the festivities.
This year’s event is sponsored by Lough Legacy and is officially sanctioned by the Department of Veterans Affairs.
Come out and support local veterans at this event and keep a lookout for the Creekside Mortgage, Inc. team. Each member of the company will be donning special grey jackets for the event, featuring the Creekside logo. We’ll see you there!