William Raveis Mortgage has been ranked in the top 1% of all FHA lenders in the United States, and the ranking gives us the ability to offer lower FHA rates and launch new products that are largely unavailable to other lenders, including 97% loan to value.  Contact our Mortgage Representative, Michael DeRosa, and please reference this post, to view details on the competitive programs, which include mortgage insurance.

*Source: The department of Housing and Urban Development Compare Ratio Statistics.

Here is some additional information I received from Michael on Friday regarding interest rates:

Federal Reserve Raises Interest Rate Charged to Banks, In First Move Since 2008

The Federal Reserve, taking its first step to return lending to normal after more than two years of extraordinary actions to prop up the economy, on Thursday raised the discount rate to 0.75 percent from 0.50 percent, takes effect on Friday.

Officials said the move was not meant to be a broad tightening of credit. Rather, they said, it was intended to discourage emergency borrowing when other financing is available to banks.

NEWSFLASH………THIS IS A MAJOR SIGN OF WHAT IS TO COME,

What usually follows after the Fed raises??  The banks raise rates go UP!!

This has the same effect of tightening credit…. but guess what??

 Rates are still low and so are home prices!!!

All BUYERS should now this fact……

            For every 1% that interest rates go UP (from current levels)

                   Their purchasing power decreases by 10.5%!!!!

Example, a mortgage payment at a rate of 5% on a $500,000 loan

                        = a mortgage payment @ 6% on a $447,000 loan!!!!

This means that the monthly payments on the following loans EQUAL each other.

 $750,000 @ 5% = $670,000 @ 6%

$1,000,000 @ 5% = $895,000 @ 6%

$1,500,000 @ 5% = $1,343,000 @ 6%

$2,000,000 @ 5% = $1,790,674 @ 6%

Wouldn’t you rather buy a home with a HIGHER value at the same payment!!!

You should know that the value of your money RIGHT NOW!!!

and more importantly……how to leverage it!

If you would like to see how this impacts you, please contact me for a consultation.

I will be available this weekend.

Best Regards,

Michael DeRosa

Executive Mortgage Banker

William Raveis Mortgage LLC

Mobile: 203-994-9988

eMail:   derosam@raveisre.com

eFax:    203-653-5687

pusing Affordability

Hello readers…I have been somewhat absent here in the past week due to a personal tragedy,  so my apologies. I will be returning the week of February 1st, but in the meantime, I wanted to give you a glimpse of the monthly Housing Newsletter for Rye from William Raveis Real Estate.  You can sign up to receive this free newsletter every month for ANY community covered by William Raveis,  simply by visiting raveis.com or the Market Update link above here on on my site.

Click here  for a peek of this month’s newsletter for Rye complete with recent stats and graphs, and see you next week.

If you are considering selling in the spring, you will want to act NOW to start making some improvements on your home. Here are the Top Ten Projects that add value to your home, according to HGTV’s Front Door:

• Top Kitchen Project: Upgrade Appliances to Stainless
• Top Bathroom Project: Refresh Fixtures
• Top Storage & Organization Project: Maximize Storage with a Closet Organization System
• Top Landscaping Project: Tidy your Lawn (as we get closer to spring, in our area)
• Top Outdoor Project: Add Outdoor Lighting (this is on my personal list…)
• Top Exterior Project: Repair Gutters ( gutters keep the roof, siding, etc. in good shape)
• Top Big Ticket Project: Finish your Basement (adds value & usable space to your home-YES)
• Top Outdoor Project: Build a Fence
• Top Energy Efficiency Project: Add Insulation
• Top Budget Friendly Project: Clean and Conquer Clutter ( a clean and clutter free home looks larger and more liveable and makes a good first impression- priceless!)

Also, I always think it is a good idea to have a “pre inspection” by a qualified home inspector or contractor to fix any lingering issues that could come up and give the impression that your home is well cared for and well maintained. Keep in mind too that paint is an inexpensive way to freshen your home right before you put it on the market. Remember, you don’t get a second chance to make a first impression!

Need more tips?  Check out the video, 10 Ways to Increase The Value of Your Home- On any Budget.

Last Updated On: Thursday, January 07, 2010

The rates and APR above are based upon the following assumptions: a 20% down payment, $1,500 in finance charges, and 30 days prepaid interest, 1 point, and a 60 day rate lock. The rates and APR will vary depending upon the actual down payment percentages, points and fees for your transaction. Rates are subject to change without prior notice and may vary with your unique credit history, and terms of your loan. Property taxes and homeowners insurance are estimates and subject to change.
NY Licensed Mortgage Banker-NYS Banking Department LMBC 106535

William Raveis Mortgage, LLC is a licensed, full-service Mortgage Banker/Broker (View our licenses)

All information provided is deemed reliable but is not guaranteed and should be independently verified.

Visit msnbc.com for breaking news, world news, and news about the economy

Mortgage Rates for NY

Product                               Interest Rates                 Annual Percentage Rate
15 YR Fixed Conforming               4.500%                      4.772%
15 YR Fixed Jumbo                      5.250%                      5.502%
30 YR Fixed Conforming               5.125%                      5.288%
30 YR Fixed Jumbo                      5.750%                      5.903%
30 YR Fixed Super Jumbo             6.000%                      6.163%
5/1 YR ARM Conforming               4.000%                      3.551%
5/1 YR ARM Jumbo                      4.625%                      3.642%
5/1 YR Portfolio Arm                    4.625%                      3.642%

Last Updated On: Wednesday, December 30, 2009

The rates and APR above are based upon the following assumptions: a 20% down payment, $1,500 in finance charges, and 30 days prepaid interest, 1 point, and a 60 day rate lock. The rates and APR will vary depending upon the actual down payment percentages, points and fees for your transaction. Rates are subject to change without prior notice and may vary with your unique credit history, and terms of your loan. Property taxes and homeowners insurance are estimates and subject to change. NY Licensed Mortgage Banker-NYS Banking Department LMBC 106535

William Raveis Mortgage, LLC is a licensed, full-service Mortgage Banker/Broker (View our licenses)

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