Mortgage Debt Elimination, 7 Things You Must Know!
By: Vincent Dail
The prospect of mortgage debt elimination is something that many Americans are dealing with today. If you are concerned about your current debt situation, constantly trying to eliminate debt from your life, you are not alone.
In fact, over half of all American households have trouble meeting their minimum monthly obligations, driving them further and further into debt.
Only apply for the loan when you are ready. Refinance your current home mortgage. If current mortgage rates are below the rate you are now paying take advantage of the lower monthly mortgage payment.
Mortgage loans will be secured by your house.
Secured debts usually are tied to an asset, like your house for a mortgage. If you stop making payments, lenders can foreclose on your house.
Unsecured debts are not tied to any asset, and include most credit card debt, bills for medical care, signature loans, and debts for other types of services.
Morgage Debt Elimination shows that if you fall behind on your mortgage, you must contact your lender immediately to avoid foreclosure, dont wait 2 or 3 months. Most lenders are willing to work with you if they believe you're acting in good faith and the situation is temporary, please tell the truth.
Some lenders may reduce or suspend your payments for a short time, mortgage debt elimination shows you that when you resume regular payments, you will only have to pay an small additional amount toward the past due total.
Other lenders may agree to change the terms of the mortgage by extending the repayment period to reduce the monthly debt. Ask whether additional fees would be assessed for these changes, and calculate how much they total in the long term.
If you and your lender cannot work out a plan, contact a housing counseling agency. Some agencies limit their counseling services to homeowners with FHA mortgages, but many offer free mortgage debt advice to any homeowner who's having trouble making mortgage payments.
If your financial problems stem from too much debt or your inability to repay your debts, a credit counseling agency may recommend that you enroll in a debt managements plan (DMP). A DMP alone is not credit counseling, and are not for everyone.
Call the local office of the Department of Housing and Urban Development or the housing authority in your state, city, or county for help in finding a legitimate housing counseling agency near you.
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Two Ways To Start Your Own Mortgage Company From Someone Who’s Been There And Done That
by: Rob Lawrence
One of the most frequent questions I get asked from loan officers is, “How can I go out on my own and start my own mortgage company?” Often times, the person is sick and tired of low-commissions, office politics, too restrictive a time-schedule, etc. There are hundreds of reasons why they want to get out.
They see the money other loan officers are making, and wonder why they aren’t making that kind of money too? After all, they are doing the SAME work. The difference, very often, is just in the commission payout. Branching out on your own, is an instant pay-raise and can often double or triple the amount of commission you are currently earning.
There are two ways to start your own mortgage business.
1. Get your own broker license from the State.
2. Join an existing regional or national company as a “net branch”.
There are advantages and disadvantages of each. First off, getting your own license from the State isn’t easy. There are certain financial and experience thresholds that regulators look for before granting a broker’s license. Also, the capital requirements and start-up costs make this option extremely cost prohibitive. And, you’d be responsible not just for bringing in business and selling loans, but also hiring a processor, doing all the accounting and back office tasks, auditing, renting office space, etc.
Not to mention, that you have to go and set-up relationships with each lender you want to do business with. And some of them are pretty picky about who they deal with. If you’re a one-person company, you can forget about incentives and low pricing. You’re simply not worth their time.
By going entirely on your own, you can see quickly that your time would be exhausted with “chores”, leaving little available time to sell loans—unless you plan on working around the clock! And how long would a mortgage company last without new business?
But, getting your own license would give you 100% commission. Isn’t that what you want? 100%?
Another option is join an existing net branch company. Net branches are very popular in the industry and give you a number of advantages over going it alone.
A net branch is simply of way of doing business. You create your own personal branch, but under and existing mortgage company. You have freedom to do what you want and have all the benefits of being a large corporation.
Firstly, when you join a net branch, you are joining a ready-made structure with back-office support in place. That means they handle all the auditing, the compliance checks, the follow-up etc. Some even do processing. For this, they take part of the commission. So, instead of 100% (from going solo), you might just get 70% to 80%. Not bad, considering what you are earning currently. And you don’t have all the other regulatory headaches to contend with.
Net branches are typically 1 to 2 person shops, mostly professionals operating from their own home office, and selling on the road. In today’s digital age, this is entirely possible as most work is submitted electronically, or done over the phone and fax. Location is irrelevant.
By freeing-up your time--not getting bogged-down in the details--you can focus on bringing in new business and earning more money.
Remember, each net branch is different, and each has their own set of processing rules, guidelines, commission splits, fees, etc., and all should be examined closely before making a final decision.
Whether you decide to get your own brokers license or join a net branch is up to you, it depends on what your long-term goals are. Some people want 100% control over their destiny and want to create something new. That’s fine. That’s how entrepreneurs succeed. But, others don’t want the hassle of starting an entirely new business—they just want a higher paycheck to reach their goals.
The prospect of mortgage debt elimination is something that many Americans are dealing with today. If you are concerned about your current debt situation, constantly trying to eliminate debt from your life, you are not alone.
In fact, over half of all American households have trouble meeting their minimum monthly obligations, driving them further and further into debt.
Only apply for the loan when you are ready. Refinance your current home mortgage. If current mortgage rates are below the rate you are now paying take advantage of the lower monthly mortgage payment.
Mortgage loans will be secured by your house.
Secured debts usually are tied to an asset, like your house for a mortgage. If you stop making payments, lenders can foreclose on your house.
Unsecured debts are not tied to any asset, and include most credit card debt, bills for medical care, signature loans, and debts for other types of services.
Morgage Debt Elimination shows that if you fall behind on your mortgage, you must contact your lender immediately to avoid foreclosure, dont wait 2 or 3 months. Most lenders are willing to work with you if they believe you're acting in good faith and the situation is temporary, please tell the truth.
Some lenders may reduce or suspend your payments for a short time, mortgage debt elimination shows you that when you resume regular payments, you will only have to pay an small additional amount toward the past due total.
Other lenders may agree to change the terms of the mortgage by extending the repayment period to reduce the monthly debt. Ask whether additional fees would be assessed for these changes, and calculate how much they total in the long term.
If you and your lender cannot work out a plan, contact a housing counseling agency. Some agencies limit their counseling services to homeowners with FHA mortgages, but many offer free mortgage debt advice to any homeowner who's having trouble making mortgage payments.
If your financial problems stem from too much debt or your inability to repay your debts, a credit counseling agency may recommend that you enroll in a debt managements plan (DMP). A DMP alone is not credit counseling, and are not for everyone.
Call the local office of the Department of Housing and Urban Development or the housing authority in your state, city, or county for help in finding a legitimate housing counseling agency near you.
-----
Two Ways To Start Your Own Mortgage Company From Someone Who’s Been There And Done That
by: Rob Lawrence
One of the most frequent questions I get asked from loan officers is, “How can I go out on my own and start my own mortgage company?” Often times, the person is sick and tired of low-commissions, office politics, too restrictive a time-schedule, etc. There are hundreds of reasons why they want to get out.
They see the money other loan officers are making, and wonder why they aren’t making that kind of money too? After all, they are doing the SAME work. The difference, very often, is just in the commission payout. Branching out on your own, is an instant pay-raise and can often double or triple the amount of commission you are currently earning.
There are two ways to start your own mortgage business.
1. Get your own broker license from the State.
2. Join an existing regional or national company as a “net branch”.
There are advantages and disadvantages of each. First off, getting your own license from the State isn’t easy. There are certain financial and experience thresholds that regulators look for before granting a broker’s license. Also, the capital requirements and start-up costs make this option extremely cost prohibitive. And, you’d be responsible not just for bringing in business and selling loans, but also hiring a processor, doing all the accounting and back office tasks, auditing, renting office space, etc.
Not to mention, that you have to go and set-up relationships with each lender you want to do business with. And some of them are pretty picky about who they deal with. If you’re a one-person company, you can forget about incentives and low pricing. You’re simply not worth their time.
By going entirely on your own, you can see quickly that your time would be exhausted with “chores”, leaving little available time to sell loans—unless you plan on working around the clock! And how long would a mortgage company last without new business?
But, getting your own license would give you 100% commission. Isn’t that what you want? 100%?
Another option is join an existing net branch company. Net branches are very popular in the industry and give you a number of advantages over going it alone.
A net branch is simply of way of doing business. You create your own personal branch, but under and existing mortgage company. You have freedom to do what you want and have all the benefits of being a large corporation.
Firstly, when you join a net branch, you are joining a ready-made structure with back-office support in place. That means they handle all the auditing, the compliance checks, the follow-up etc. Some even do processing. For this, they take part of the commission. So, instead of 100% (from going solo), you might just get 70% to 80%. Not bad, considering what you are earning currently. And you don’t have all the other regulatory headaches to contend with.
Net branches are typically 1 to 2 person shops, mostly professionals operating from their own home office, and selling on the road. In today’s digital age, this is entirely possible as most work is submitted electronically, or done over the phone and fax. Location is irrelevant.
By freeing-up your time--not getting bogged-down in the details--you can focus on bringing in new business and earning more money.
Remember, each net branch is different, and each has their own set of processing rules, guidelines, commission splits, fees, etc., and all should be examined closely before making a final decision.
Whether you decide to get your own brokers license or join a net branch is up to you, it depends on what your long-term goals are. Some people want 100% control over their destiny and want to create something new. That’s fine. That’s how entrepreneurs succeed. But, others don’t want the hassle of starting an entirely new business—they just want a higher paycheck to reach their goals.
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