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What's your percentage in terms of new purchases vs refinance?

Originally Posted by Amoeba

What's your percentage in terms of new purchases vs refinance?

can you be more clear? Do you mean how much do I ususally make per deal?

No I mean do you do more refi vs new home purchases.

Originally Posted by Amoeba

No I mean do you do more refi vs new home purchases.

Oh, my mistake. In 04-07 All i did was refi's. Then the market changed, and in 08 I started doing modifications, refis and purchases. I no longer do modifications
I would say now I am at 70% purchases and 30% refiis. Refis are slowly making there way back and is slightly increasing my percentages. I am averaging 10-15 deals a month.

Griff FTMFW!!

What's the current fixed rate?
Is it a good time to buy right now or will the rate go down a bit more?

Originally Posted by Hartge50

Griff FTMFW!!

What's the current fixed rate?
Is it a good time to buy right now or will the rate go down a bit more?

It is a great time to buy if it makes sense for you.
It is estimated that the rates may drop a bit more closer to Decmeber.
30 year fixed right now is 4.15%-4.25%
10 & 15 year fixed right now is 3.75%

do you think home prices will continue to drop in So Cal? i'm thinking it will be the way it is and/or worse for the next ~3 years.

Originally Posted by DarkM3

do you think home prices will continue to drop in So Cal? i'm thinking it will be the way it is and/or worse for the next ~3 years.

We have slowed alot with the drop. It is still goig down, but not as bad. With the foreclosure and short sales, those affect home values and continue to reduce values. I feel that we will not recover for at least 3-5 years. It will take many years for the equity to build back up.

Originally Posted by GRIFFIN

We have slowed alot wit hthe drop. It is still goig down, but not as bad. With the foreclosure and short sales, those affect home values and continue to reduce values. I feel that we will not recover for at least 3-5 years. It will take many years for the equity to build back up.

good news for future home buyers.

Originally Posted by GRIFFIN

Oh, my mistake. In 04-07 All i did was refi's. Then the market changed, and in 08 I started doing modifications, refis and purchases. I no longer do modifications
I would say now I am at 70% purchases and 30% refiis. Refis are slowly making there way back and is slightly increasing my percentages. I am averaging 10-15 deals a month.

Nice.. Is it fair to assume that your commissions average 1% like us Canadians?

Originally Posted by tarbaby

Nice.. Is it fair to assume that your commissions average 1% like us Canadians?

my commision is normally 2-3% per deal. Loan officers are limited to 3% per RESPA guidelines.

Originally Posted by GRIFFIN

my commision is normally 2-3% per deal. Loan officers are limited to 3% per RESPA guidelines.

omfg... I wish we could get that up here, I'd literally need to do half the work I am to make the money I want too. You must realllly be raking it in lol.

Originally Posted by tarbaby

omfg... I wish we could get that up here, I'd literally need to do half the work I am to make the money I want too. You must realllly be raking it in lol.

I do very well for myself. My loans average size is 150k-375k

Originally Posted by GRIFFIN

my commision is normally 2-3% per deal. Loan officers are limited to 3% per RESPA guidelines.

That seems kinda high, I know one of the brokers that one of my buyers used showed him the wholesale price sheet when they locked and he made .75% on a $550k loan amount (he'll do lower loan amounts for 1-1.50%). I believe that he had a 80-20 split with his broker. Are you your own broker or do you have to split any of your commission?

Originally Posted by USCTrojanMan29

That seems kinda high, I know one of the brokers that one of my buyers used showed him the wholesale price sheet when they locked and he made .75% on a $550k loan amount (he'll do lower loan amounts for 1-1.50%). I believe that he had a 80-20 split with his broker. Are you your own broker or do you have to split any of your commission?

I am a broker. Closed my company last year. Went to work for a lender. Put my brokers license as inactive and use my NMLO license for the current company. I average 1-1.5 points on the front and 1-1.5 points on the back. The higher the loan amount normally a lower percentage is charged, because the dollar amount is a bit more of a shock to the borrower.
Edit: Just realized you said wholesale price sheet. I am on the retail end of it now. More money in rebate, because we lend our own money.

If I need to give credits to make loans work then I will, and my percentage will be lower. From paying for appprasials, credits to closing, whatever we need to make the deal happpen, etc. There are some deals were I make no money, but a great referral for the future.

I am at a 80/20 split with my company.

Originally Posted by GRIFFIN

I am a broker. Closed my company last year. Went to work for a lender. Put my brokers license as inactive and use my NMLO license for the current company. I average 1-1.5 points on the front and 1-1.5 points on the back. The higher the loan amount normally a lower percentage is charged, because the dollar amount is a bit more of a shock to the borrower.

If I need to give credits to make loans work then I will, and my percentage will be lower. From paying for appprasials, credits to closing, whatever we need to make the deal happpen, etc. There are some deals were I make no money, but a great referral for the future.

I am at a 80/20 split with my company.

Gotcha, it makes sense to charge 2%+ if the loan amounts are in the less than $200k because whether it's a $100k loan or a $600k loan it is basically the same amount of work and the small loan amounts tend to be a bit more difficult to close than the higher loan amounts due to stronger borrowers.

Originally Posted by USCTrojanMan29

Gotcha, it makes sense to charge 2%+ if the loan amounts are in the less than $200k because whether it's a $100k loan or a $600k loan it is basically the same amount of work and the small loan amounts tend to be a bit more difficult to close than the higher loan amounts due to stronger borrowers.

If it is a high balance loan then you have less room to work with and the 1% of 500k stands out more than 1% of 200k. Plus being on the retail side, rather than wholesale where I was; I make more rebate. Since the company I work for is a direct lender. I sent you a PM.

Wow. You're telling me you can clear 40k a month?

250k loan size * 2% commish * 10 deals a month * 80% split = 40k.

talk to me about va loans.. what all is involved that differs from regular

Originally Posted by Amoeba

Wow. You're telling me you can clear 40k a month?

250k loan size * 2% commish * 10 deals a month * 80% split = 40k.

Those number are all before taxes. I do alot of 150-200k loans. Then maybe 2-3 a month above 300k.