BIG NEWS IN MORTGAGES!
Southmor Mortgage Corporation has been licensed in Michigan and The Buyer's
Agent office in Ann Arbor has access to wholesale mortgages through Southmor.
Here is the background:
The Home Buyer's Agent National headquarters has been working with various national
lenders for years trying to negotiate a deal like this, and it is finally
here.
This means clients (and past clients) of The Home Buyer's Agent in Michigan have
access to wholesale loans for their home mortgages.
These wholesale mortgages are not free money but they are often dramatically
better than rates available from any lender in our marketplace.
As an example, January 10th 1998 the S. E. Michigan market average rate for
a 30 year, zero discount, zero origination fee loan with reasonable junk fees
was about 7.24%. Southmor's wholesale rate for the same loan was 6.75%. On
January 17th the figures were7.29% average and 6.875% for Southmor. The wholesale
rates have been about 3/8% to 1/2% below the averages. (.41% average advantage
during 2000)
A 1/2% reduction in interest rate is worth about 2% of the loan amount to
you as a buyer on the day of closing. If you keep the loan for 30 years, it
is just like getting a 5% discount on your loan balance.
Example: You buy a home for $250,000 using a $200,000 mortgage. A wholesale
loan would cut your payment by $70 a month. Over the five years that you would
probably have the loan that adds up to about $4,171. If you kept the same
loan in place for thirty years that would be a savings of $25,030.
Remember, this is comparing the rates to the market average. If you are not
sharp in your mortgage shopping to start with or if you just take a regular
real estate agent's advice on choosing a lender, you could end up paying much,
much more.
If you contact Southmor and you are not a client of The Buyer's agent, you
will probably get charged two points for the same rate our clients get for
zero points.
NOTE ALSO: As of 7/15/01 SouthMor has Zero lender junk fees. Nothing, no administrative
fee, no tax service fee, no underwriting fee, no application fee, no warehouse
fee. Zero lender junk fees. (Average here is about $500.00). This pricing
is for our buyer clients only, but it is dynomite!
Interested in finding the best home for you needs and saving
some money in the process? Contact us by clicking: send
a note or call (734) 662-6240, 1908 W.
Stadium Blvd., Ann Arbor, MI 48103.
Ann Arbor Real Estate, Real estate company, serving home
buyers in Washtenaw County, Livingston County, Northern Lenawee County,
Western Wayne County in these communities: Ann Arbor, Belleville, Brighton,
Canton, Chelsea, Clinton, Dexter, Manchester, Northville, Pinkney, Plymouth,
Romulus, Saline, Tecumseh, Whitmore Lake, Van Buren, Ypsilanti
