Spot light on Consumer Credit Obstacles

The crash of the housing market has made many homeowners skeptical about purchasing again; especially those homeowners who were sold sub prime mortgages and have now lost their homes or are in foreclosure and underwater. 

The major challenges for most consumers today is determining how not to get in tangled with companies that may false advertise. Deceptiveness in marketing, debt traps and discrimination are only some of the issues that face consumers on a daily basis.

When the housing bubble burst and the dirty laundry of the banking industry reared its ugly head, did the government finally take action and started to investigate mortgage practices.  Many mortgage brokers, mortgage bankers misrepresented home mortgage loans to many consumers.

From stated income loans with disclosing false income on mortgage applications to creative loans such as the pick a pay loan with four mortgage payments you could choose from on a monthly basis to sub prime loans with either teaser rates, or prepay penalties.  These are only some of the most common mortgage loans sold to consumers who had no idea what kind of loan they were getting. 

As more and more homeowners struggle across the county and seek assistance from other sources to help them with their financial woes’, has only lead them to be further at risk increasing debt.  Pay day loans have become very popular and can have some serious credit and financial setbacks for a consumer but now Payday loans are monitored on a Federal level. Providing full disclosure of services to consumers is still not enough to help protect the average consumer.  So how do we go about fixing this issue?

Knowledge is power and unfortunately, the average consumer is clueless and defenseless when it comes to knowing how to avoid scams.  We are not talking about just small companies preying on the uneducated, but larger corporations such as the mortgage industry and credit card companies.  Mortgage servicing in the past few years has been under the spotlight, because of the housing bubble and causing our government to set into place regulations for these types of companies. 


The Consumer Financial Protection Bureau efforts have been making some headway as to educating consumers and assisting some with getting money back from companies who have violated their rights.  Education is the only way to really put a stop to any sort of discrimination, miss leading advertising and debt traps.

Titan List is a full service Advertising and Design agency specializing in Direct Mail, Mortgage Marketing, Search Engine Optimization and Website / Graphic Design. Titan List has been around since 1998, and has a team of highly qualified individuals with experience in the marketing trends that fit your business. Unlike other agencies that source their work out, Titan List & Mailing handles the entire campaign in-house - Data Lists, Design, Printing, Mailing, and Postage.

Mortgage Mailer Campaigns

Coming changes to the Reverse Mortgage Program

The US Senate joined the House in passing some new changes to the Federal Housing Administration (FHA) to alter the Home Equity Conversion Mortgage program or HECM for short. These new changes may go into effect as early as October 1, 2013. The new rules will ultimately help protect borrowers and assist in the agency avoiding a federal bailout. 

Some of these changes may make it harder for some borrowers to qualify for a reverse mortgage. If you are not familiar with HECM program you can visit FHA’s website and read over the general qualifications.

  

•  Age requirement for this program is 62 years old

• Property can only be your primary home and used for collateral

• No delinquencies on any federal debt, suspensions, debarments or excluded participation from FHA   programs 

• HECM counseling 

So what is a reverse mortgage?  This program will allow seniors who have good equity in their home to be able to use this equity to cover living expenses.  If you qualify you would receive money from your home’s equity to assist you in living the life style you may have come accustomed to.  

So how do I pay back the equity I’ve borrowed from my home? If you sell your home or you no longer use it as your primary residence, the cash, interest and other HECM finance changes must be repaid. Any proceeds above what was borrowed against the equity will go to the surviving spouse or estate.

Let’s take a closer look at some of the changes that maybe taking place in the next coming months.

Previously applicants for these types of loans did not have to be reviewed for any sort of financial ability. However, because you are still required to make your property taxes, home owners insurance and condo association fee’s FHA as updated this guideline due to recent defaults 9.8% on property taxes and other financial obligations that are tied to the property, this new rule will help evaluate whether or not a homeowner can afford to make those payments.  

The possibility of credit worthiness may also play a factor into the new process for these types of loans as well.  This could mean some homeowners who do not use credit but are still responsible for their financial obligations maybe at a higher risk of getting denied.  

These are just some of the changes that will possibly take affect this coming fall, to learn more about the upcoming changes please visit Federal Housing Administration’s website. 

Titan List & Mailing is the premier provider for direct mail and data for the mortgage, insurance and auto industries. Titanlists.com has the ability to acquire any qualified database in the country for your marketing needs. Quite simply, we can build your 'dream list' for your marketing endeavors.

Mortgage Marketing, Direct mail and the Death of the Mortgage Broker

 If you have survived the housing disaster and are still a mortgage broker, be proud of your efforts to stay afloat in this tough economic recovery!  It certainly has been a roller coaster of new rules and new regulations to follow.  

Most recently with interest rates still low and real estate values slowly improving in pockets across the country.  Investors from overseas still love owning American real estate!  From Canada to as far as China investors have horned in some amazing deals. Cash is still KING when it comes to real estate and if you do not have a lot of cash to purchase with or put as a down payment, what are your options?

Mortgage Brokers for years now have helped bridge the gap between retail lending and wholesale lending.  What does this mean in laymen terms? Most potential homeowners now are left to go to their neighborhood bank to get approved for a home loan.  Mortgage Brokers are able to work with a variety of programs because they simple work with more than one lender. 

So how do you attract and find these clients that really need your help? Mortgage Advertising can simple mean a way to reach out to as many clients as possible.  You can purchase data lists with specific financial information to target a certain segment of the population looking to purchase, refinance etc. 

In our experience a direct mailer campaign or marketing postcards can be a quick and effective way to reach hundreds of potential clients.  Even with social media and online advertising taking center stage these days.  Do not rule out a simple blast of mortgage mail by email or by direct mail.  Those pesky little marketing postcards we all get do still work and will make your phone ring. 

Titan List is a full service Advertising and Design agency specializing in Direct Mail, Mortgage Marketing, Search Engine Optimization and Website / Graphic Design. Titan List has been around since 1998, and has a team of highly qualified individuals with experience in the marketing trends that fit your business. Unlike other agencies that source their work out, Titan List & Mailing handles the entire campaign in-house - Data Lists, Design, Printing, Mailing, and Postage.

Rise in Mortgage Rates and the impact on Housing

The rise in Mortgage Rates and the impact on Housing

We are still ahead of the game from last year and housing has begun to recover, but we have to wonder with the increase in mortgage rates will this cause the slow warm up to slowly go cold again?  

July’s housing numbers came out August 23, 2013 and sales were down by 13.4 percent from June’s previous housing figure.  However, despite the slowdown in sales, it is still an improvement from last year.  In October 2012 the number of units sold was 365,000.00, so we are still up by a mere 6.8 percent.

Are rates beginning to impact buyers to hold tight on purchasing new homes?  The slowdown in the market was felt across the nation.  

• ·         Northeast sales were down to 5.7 percent

• ·         Midwest 12.9 percent

• ·         South 13.4 percent

• ·         West 16.1 percent 

Two regions are actually up from 2012, the Northeast was up by 10 percent and the South 16.4 percent.

Even with mortgage rates on the rise, it is still a good time to invest in real estate.  If you remember how high mortgage rates were back in the 1980’s, my parent’s mortgage on our house in Nashua New Hampshire was a whopping 15 percent!  I would take a 5 percent rate any day! 

Regardless of what you may think about mortgage rates impacting the housing, they will probably steer some people from buying and investing.  However, we have to look at the overall picture from a Global stand point.  We are becoming an ever more Global economy and while you may be on the fence on purchasing a home, despite all the news about the economy and rising rates, inflation real estate is still a solid investment. 

Don’t miss out on purchasing your dream home or investment home, because interest rates are still very low.  There is a shortage of homes on the market, but if you do wait too long you may end up regretting it a year from now. 

Still need some convincing?  The average median home sold in July 2013 for $257,200.00, the national average $282,300.00.  A year ago July 2012, average median home sold in July 237,499.00, national average 282,300.00.  Remember every real estate market is different so it is best to consult with a local real estate agent in your area. 

 

Titan List is a full service Advertising and Design agency specializing in Direct Mail, Mortgage Marketing, Search Engine Optimization and Website / Graphic Design. Titan List has been around since 1998, and has a team of highly qualified individuals with experience in the marketing trends that fit your business. Unlike other agencies that source their work out, Titan List & Mailing handles the entire campaign in-house - Data Lists, Design, Printing, Mailing, and Postage.