By Ryan Ward, Mortgage Banker
HBT Mortgage Services

SEATTLE, WA – Taking the step into home ownership is one of the most important financial decisions a person will make in their lifetime. There are many factors to consider when embarking on this venture. Literally hundreds of loan programs are available, and it is important to find the one that best fits your personal long-term goals.

First and foremost, you must have a mortgage consultant in your corner that is willing to take the time to know what your long-term goals are. Communication is the key factor here.

Curious prospective home buyers sometimes turn to Internet-based services just to see what current interest rates are. But a faceless web site will not take the prospect’s future financial planning into consideration or guide the potential borrower through the many nuances of the loan process. When shopping for a home loan, be wary of web-based services that offer programs to reel prospects in with attractive rates that are based upon unrealistic time frames.

If a lender is offering a terrific rate based on a 10-day lock-in period, it is unlikely that the potential home owner would actually be able to find their dream home, get through the negotiation process and win approval from a lender within such a short period of time. This is called short-pricing, and when it comes time to close the transaction, the rate that was originally offered is simply no longer available. As a result, the unfortunate prospect is bulldozed into a loan program with a higher interest rate.

It is highly unlikely that a qualified loan originator whose business is based upon referrals will use unscrupulous tactics such as this to get new customers in the door!

Once you have found a mortgage consultant that you feel comfortable working with, lay your goals out on the table because it will have a tremendous impact on choosing a loan program that meets your specific needs. One of the most important factors to consider is how long you wish to borrow the money for. For example, if you know you will only be in the home for five years, it wouldn’t make sense to opt for a 30-year loan program or pay points up front to secure a lower interest rate. You would not be in the home long enough to benefit from such action.

Your mortgage consultant should be able to narrow down a selection of programs based on the information that you have provided, and present you with an easy-to-read spreadsheet that clearly defines viable options for your interest rate and amortization schedule, monthly payment and any potential savings you may realize by paying points up front.

Moreover, a reputable loan originator will not hesitate to share this information with your tax consultant or financial planner so they may offer additional feedback on your behalf.

Home ownership imparts a rewarding vehicle for building wealth and a strong financial future. The mortgage consultant that you choose should be there not only when your loan closes, but should also provide you with ongoing service to assist you in managing that debt over time.

SUBMITTED BY:

RYAN WARD
MORTGAGE BANKER
AUBURN, WA
HBT MORTGAGE SERVICES
800-432-2160 Toll Free
206-335-3689 Cell

Ryan Ward is affiliated with HBT Mortgage Services, a division of Netmore America. Ward hosts Home Buyer’s Seminars which are open to the public on the first Tuesday of each month in Auburn Washington. Seating is limited. To reserve your seat at the next even, call 206-335-3689 to RSVP and obtain a free copy of Ward’s Home Buyer Handbook.

By Ryan Ward, Mortgage Banker
HBT Mortgage Serivces

SEATTLE, WA – Buying a home vs. renting is a big decision that takes careful consideration, as most mortgage consultants will agree. But the rewards of home ownership are great. For many years, purchasing real estate has been considered an extremely profitable investment. It is an achievement that offers a sense of pride, financial stability and potential tax advantages.

Yes, there are certain responsibilities associated with owning a home. Landlords will often argue the benefits of renting, and for obvious reason. If you are renting, you’re helping them make their mortgage payment.

The numbers are staggering if you look at it this way. If you are paying $1,000 per month for an apartment, and you know your rent will increase 5% every year, then over the next five years you will pay your landlord $66,309. If you are currently renting a house, you may be paying much more than that each month. Either way, you gain no equity by shelling out this monthly housing expense and you certainly won’t benefit when the property value goes up!

However, if you were to purchase your own home or condominium, you would be well on your way toward building equity within that same five-year period. By choosing a fixed-rate loan program, you can have the comfort of knowing that your monthly mortgage payment will never go up. In fact, you would have the option of refinancing to a lower interest rate at some point in the future should interest rates drop, and this would cause your monthly mortgage commitment to go down.

In addition to building equity, there are tax advantages that come into play with home ownership. Depending on your tax bracket, owning a home is often less expensive than renting after taxes. Interest payments on a mortgage below $1 million are tax-deductible, and your mortgage consultant should help you evaluate the tax advantages of various loan scenarios, and share this information with your tax consultant to glean feedback on your behalf.

To find the loan program that is right for you, your mortgage consultant will need to evaluate your monthly household income, current assets and savings, as well as any monthly obligations you may have for credit card payments, car payments, child support, etc. These prequalification factors, along with the report of your credit score, will determine how much house you can afford and what interest rate you will pay for financing. It is also important to let your mortgage consultant know what your future goals are, because this will help narrow down which loan option is the best fit for your long-term needs.

There are many different types of loan programs available, including “low” and “no” down payment mortgage programs. These types of programs require the borrower to provide less than 3 percent of the loan amount as down payment. FHA lenders rule that the mortgage payment, including principal, interest, taxes and insurance (PITI) should not exceed 31  percent of your gross income, and the PITI plus other long-term debt (car payments, etc.) should not exceed 43 percent of your gross income.

Housing is an expense that takes a big bite out of the monthly budget. If you are a renter and feel that “home” is more than just someplace to hang your hat, think about the advantages of purchasing real estate. It may be time to take the step into building your personal net worth as a home owner.

SUBMITTED BY:

RYAN WARD
MORTGAGE BANKER
AUBURN, WA
HBT MORTGAGE SERVICES
800-432-2160 Toll Free
206-335-3689 Cell

Ryan Ward is affiliated with HBT Mortgage Services, a division of Netmore America. Ward hosts Home Buyer’s Seminars which are open to the public on the first Tuesday of each month in Auburn, Washington from 7:00 p.m. to 8:30 p.m. Seating is limited. To reserve your seat at the next event, call 800-432-2160 to RSVP and obtain a free copy of Ward’s Home Buyer Handbook.

By Ryan Ward, Mortgage Banker
HBT Mortgage Services

SEATTLE, WA – One of the biggest reasons homeowners refinance their mortgage is to obtain a lower interest rate and lower monthly payments. By refinancing, the borrower pays off their existing mortgage and replaces it with a new one. This can often be accomplished with a no-points no-fees loan program, which essentially means at “no cost” to the borrower.

In the no-points no-fees scenario, the mortgage consultant uses rebate monies paid by the lender to pay off non-recurring closing costs for the borrower. These are “one time” fees such as escrow or attorney fees, title insurance, document preparation, tax service, flood certification, processing and underwriting fees, etc. The borrower is still responsible for recurring fees such as interim insurance, property taxes or insurance policy payments.

Refinancing typically occurs when mortgage interest rates drop significantly, but borrowers with recently improved credit scores (from paying off credit card debt, making mortgage payments on time, etc.) are often candidates for better interest rates as well. If you haven’t checked your credit score in a while, it’s a good time to call a mortgage consultant.

The question most asked is, “But why should I go back into a 30-year loan?”

There are two schools of thought on this subject, and the mortgage consultant should work hand-in-hand with the borrower’s financial planner to determine what works best for their mutual client.

One option is to take the route of the “same payment” refinance, and actually pay off the loan faster and save money on interest fees in the long-run. If refinancing results in a lower monthly payment, the borrower can still continue making the same payment they made in the original loan, and the extra money will be applied to the principal balance.

For example: Let’s say you have 25 years remaining in your current loan, and you refinance back to a 30-year loan with a slightly lower interest rate, resulting in a payment reduction of $200 per month. (Note: This is just an example. The actual amount could vary.) You could then take that extra $200 per month and apply it toward the principal on the new loan. At this rate, the loan will be paid off in 22 years and 4 months, which is 2 years and 8 months less than the original loan.

On the other hand, if the borrower’s financial planner is a proponent of best-selling author and investment guru Douglas Andrew’s philosophies (see Missed Fortune), he or she may suggest investing the extra money in a side-fund that could earn a better rate of return and grow to the amount of the mortgage (and beyond) in even less time. This method provides excellent liquidity, but having more direct access to this money may be too tempting for some homeowners.

Regardless of the reason for the refinance, the mortgage consultant will need to know what the existing loan scenario entails, review the homeowner’s long-term goals, and provide a comprehensive spreadsheet that compares and contrasts the various loan programs available.

Bear in mind, refinancing to obtain a lower interest payment could also result in a lower deduction at tax time. The homeowner’s mortgage consultant and financial planner should work hand-in-hand with their mutual client’s best interest in mind.

SUBMITTED BY:

RYAN WARD
MORTGAGE BANKER
AUBURN, WA
HBT MORTGAGE SERVICES
800-432-2160 Toll Free
206-335-3689 Cell

Seattle mortgage rates for November 25th 2009. Ryan Ward, Seattle Mortgage Banker, gives updates on current rates for Conventional, FHA and VA mortgage loans.

From last week, rates are up about 0.1875% for all Conventional, FHA and VA mortgage loans. I predict that we will start to see rates slowly rise by the end of the year. The Fed has announced that they plan to stop purchasing mortgage backed securities which will ultimately have a negative effect on rates.

Ryan Ward, Seattle Mortgage Banker, talks about locking your interest rates and when is the best time to lock your interest rate.

Locking your interest rate means that your lender is guaranteeing a rate on your loan even if the market rates change before closing. Most lenders will allow you to lock your rate 30 to 60 days before closing, with the option to extend the rate-lock period for a fee. Knowing when to lock your interest rate is an educated guess. nobody will know for sure whether interest rates will go up before closing. But, following the market can be a good way to gauge what is going on in the financial market. It helps to keep track of the announcements from the Federal Reserve Boars, along with following the bond market rates. A good lender or financial advisor will be able to provide you with this information along with their predictions on the what interest rates will do.

Ryan Ward, Seattle Mortgage Banker, talks about what will be inculded in the payment of a typical 30 year fixed rate loan.

For they majority of borrowers, each monthly payment will go towards the following areas:

• Principal, which is the total outstanding balances of the loan
• Interest, which is the cost of borrowing the money
• Taxes, which are levied on the property from the local goverment
• Insurance, which protects both the lender and owner from losses caused by fire of other natural hazards

Ryan Ward, Seattle Mortgage Banker, talks about what you should bring with you when you are applying for a home mortgage.

If you have evertyhing with you when you visit your loan consultant, you'll save a good amount of time. If you are applying for a home loan with Ryan Ward, please bring the following: 1. social security numbers for both you and your spouse, if both of you are applying for a loan. 2. copies of you checking and savings account statements for the past 2 months. 3. copies of your earnings statements for the past 2 months. 3. evidence of other assets like bonds, 401k account, or other investment houses. 4. copies of your past 2 years tax returns. 5. the name and address of somebody that can verify your employment. Depending on the particular loan your applying for, you may be required to bring in additional information.

Ryan Ward, Mortgage Banker, explains the differences between a fixed rate mortgage and an adjustable rate (ARM) mortgage.

Home mortgages consist of two types of loans; fixed interest rate or an adjustable interest rate.  With a fixed-rate mortgage, the interest rate never changes and your payments remain stable throughout the life of your loan.  With an adjustable-rate mortgage (ARM), the interest rate changes at regular intervals — usually once every year — based on a formula that uses a market index.  For most ARM options, rate adjustments begin after an initial period — usually between three months and ten years — during which the rate is fixed.

A fixed rate is usually recommended if you plan to stay in your home for the long term and are buying at a time when rates are relatively low.  An ARM is usually recommended if you plan to move before the rate adjustments begin, or if you are buying when rates are relatively high. 

Ryan Ward, Mortgage Banker, explains a simple break down of your typical closing costs.

There are a number of factors that will determine the amount of your closing costs - including type of mortgage, lender, location, and purchase contract. Closing costs will usually consist of the following:

• Lender fees. Expenses charged by the lender for obtaining the loan, including an loan origination fees, appraisal fee, a credit report fee, and discount points.
• Third party fees.  Charges for services not provided by your lender often include the escrow services, title insurance, and attorney’s fees. 
• Prepaid items.  Certain mortgage costs must be paid to your lender in advance. The most common of these are pre-paid interest, hazard insurance, and deposits to set up an escrow account.

Ryan Ward, Mortgage Banker, what discount points are and when it makes sense to pay discount points on your home loan.

Discount points are pre-paid interest that you can pay upfront to your lender at closing in exchange for a lower interest rate. You will often hear of homeowners "buying down" the rate, which means they opted to pay discount points upfront to lower there interest rate and monthly payment. 1 discount point is the same a 1% of the amount of the loan.

Does it make sense for you to pay discount points? Well, the answer will depend on how long you plan to stay in the home. Find out how much lower your montly payments will be if you pay discount points. Then, calucate how those monthly savings will take to recover the cost of the discount points. If it will take you five years to break even, but you plan to be in the house for 15 years, then buying discount points will probably a smart decision.

Ryan Ward, Mortgage Banker, explain Private Mortgage Insurance.

Private Mortgage Insurance, or PMI as its commonly called, is basically your lenders way of recovering their investment if you are unable to repay the loan. PMI is usually required when the buyers down payment is less than 20%. If the amount of the mortgage is more than 80% of what the home appraises for, there is a high lprobability that you will be required to pay PMI in addition to your principle and interest (P&I) payment.

 Ryan Ward, Mortgage Banker, talks about what options are availible for people with credit problems.

Credit history and credit score are only one of the factors that are evaluated when somebody is applying for a mortgage. Now, somebody with a history of timely mortgage payments is going to have more financing options avalible, this does not mean that somebody with credit problems will not be able to qualify for a home loan.  

Ryan Ward, Mortgage Banker, explains what lenders are looking at when you apply for a home mortgage.

While there are many factors that lenders will consider when evaluating your loan application. The following four areas are what will have the biggest impact on your application being approved or denied.

• Income and debt.  How much money you make compared to the amount of revolving dept (car loans, credit cards, student loans).
• Assets.  The lender will need to see that you have enough money saved incase of an loss of job or other unexpected hardship.
• Credit.  Credit score and credit history will determine how likely you are to pay back the mortgage.
• Property.  The home you want to buy has to be worth enough to act as collateral for the mortgage.

Ryan Ward, Mortgage Banker, gives his explanation of a Pre-Approval and why it is so important in today's real estate market.

When a potential home buyer gets pre-approved it means they have received a loan commitment from their mortgage company before making and offer on a property, based on review of credit and finances.  Having a credit pre-approval shows sellers that the buyer is financially qualified along with helping the buyer establish a clear price range.  The process is the same as a typical mortgage application, except that your application doesn’t include property information.

Ryan Ward blogs about the introduction of his new video blog or vblog as its called. Its candid. Its unedited. Its based 100% on the real life experiences Ryan has as a Mortgage Banker in Washington. We hope that you make this section your number 1 resource for mortgage information. Please share your thoughts by leaving a comment in the box bellow or by sending an email to ryan@ryanapproveme.com.

No obligation. Come on, what's the catch?

That’s it. There is absolutely no catch!

Search thousands of homes for sale in the Puyallup area. Whether you’re searching for a single family home, town house, condo, or duplex… It’s all here and it’s all available to you 24 hours a day, 7 days a week.

To access the entire Puyallup MLS just click the link bellow and you instantly have access to the following properties.

• Owner Occupied
• Vacant Homes
• Short Sales
• Cooperate Relocation
• Foreclosure
• Pre-Foreclosure
• Bank Owned

While you’re there, if you find something that you want more information on, shoot me an email and I'll do my best to get your questions answered.

It would be my honor and my privilege to help you find the perfect Puyallup house to call your next home.

However, as much as I would like to do that, I know that you probably didn’t come here to read about all the fantastic things I have to say for myself. You didn’t come here for me to rattle off all the reasons why you should work exclusively with me. You came to search for homes.

Get ready to see every home for sale in Puyallup.

To get started, click here.

Happy home hunting!

Ryan Ward
The Ryan Ward Team
Keller Williams Realty

Aren’t all you real estate agents the same?

It’s a pretty common believe that real estate agents are more or less the same. They are sort of like a commodity. If you’ve seen one, you’ve seen them all.

They all dress alike. Drive the same types of cars. Say the same things at the same times. And over time, they all start to look like the same body (maybe a different name tag). You get the point.

And, for the most part, they all do the same things to sell homes. Put your home in the computer, place a sign in the yard and pray like heck that the home sells.

That pretty much sums it all up right?

Well, if your mind is already made up. Then there is really nothing that I can tell you that will make any difference. However, if you are even slightly willing to entertain that some agents are, well, just plain different. Take some time to visit this website.

I think you’ll experience a whole new kind of real estate!  

Before I can answer this question, I have to ask you a few questions.

Are you the kind of person that wakes up in the morning just to say “Great … I wonder crap I’m going to deal with today?”

Are you the kind of person that has trouble celebrating when you horse only wins by a nose and not by a mile?

Are you the kind of person that would tell the head chef at a five start restaurant that he/she is doing it all wrong?

Are you the kind of person that will argue with a brick wall until you’re blue in the face, if only it would argue back at you?

If so, you are not going to be happy with us… period. No matter what I do to market your home, how fast it sells, or how much money we get. You will never be happy. And for you guys or gals… please find another Puyallup Realtor. We all know that there are plenty of them!

On the other hand...

If you are reasonable – someone who doesn’t have unrealistic expectations about what the purpose of a real estate agent is, and how they should be doing their job – then I think we have a match!  

So, here’s the deal...

If you are not completely satisfied my services, you not only have my permission but also my blessing to pull a Donald Trump on me. All you have to do is call my cell phone and say “Your Fired” and I’ll be out that day to pick up the sign.

Picking a good real estate agent is like buying a new pair of shoes. You never know how they’re going to fit until you try them on for size. I would say that my team and I are like a pair of dress shoes. We kind of bold and sometimes not the most comfortable.

But were pretty good really good at selling houses and we only want to work with the people that want to do business with us.

With that being said, I proudly announce my Easy Exit Listing Agreement. No long term contracts anymore! If you're not happy, FIRE ME, it’s that easy!

Okay, here is a really good question that I get all the time…

And the answer is this… I don’t charge any set commission rates.

The thought of charging a fixed rate of 5%, 6%, 7% or whatever percent on every home I list – regardless of the list price, condition of the home or amount of marketing that will be done to sell that home – just doesn’t settle well with me.

No, I like to operate my business like much like Dell Computers. I have various different commission plans that are based on of the amount of marketing that will be offered. You tell me what you are willing to pay and what services you are looking for to sell your home. Then I can tell you if I have a marketing plan that will work for your situation.

You get to check out each plan, and evaluate bullet point by bullet point each step of the marketing that is included with each plan. You can way and balance things like professional photography and home staging, websites, signs and lockboxes. Then you can make an educated decision on what program works best for you and you’ll know exactly what you’re paying for when you list your Puyallup area home for sale.

Seriously, Dell didn’t build there business only offering one computer. I absolutely hate it when someone tries to fit me into their pre-determined “on sized fits all” box, so I will never try to fit you into that same box.

I am always willing to sit down and openly and objectively discuss what you need to accomplish and the budget you need to stay within. From there we can tailor-make a marketing program that will generate the results you need at the same time I can realize a fair wage for the time and effort spent to sell your home.