Mortgage, Refinance and Real Estate Investing: The Solomon Free Money Hour Radio Room

Interest Rates are close to all-time record lows. Lock into a 30 year fixed mortgage loan today.

Have you heard about how low interest rates are again?  Refinancing, Purchase Loans, Pre-approvals, 1031 Exchanges, Commercial and Residential Loans.  If you need to sell or buy a property receive 20% of our commission back with mention of this promotion.

If you have enough equity and are thinking about taking some cash out (to buy an investment property or new residence, or just need some extra cash for whatever reason), now is the time!  Plus, I am sure you have heard about the $8k Federal Tax credit for 1st time homebuyers (you qualify if you haven't owned a primary residence in the last 3 years) until December 1st , 2009 (which may or may not be extended).
 
Interest Rates are a 1/2% away from all-time record lows.

Shopping Around for a Home Loan: 10 Things You Should Know When You Refinance into a 30 Year Fixed

How to Avoid the Top 10 Mistakes When Refinancing or Purchasing

Newport Beach, CA 8/26/2009 09:52 PM GMT (TransWorldNews)

Fred Solomon of Solomon Financial urges every homeowner to learn about your most precious asset: your home. For example, is 6% interest plus 1 point better -- Is this better than 6.26 % and no points? Or 5.5% and 3 points?  

To avoid confusion, tell lenders you want par pricing.  That’s the full interest rate and no points.  Between par pricing and the annual percentage rate or the APR rate it’s easy to tell which loan costs less and which doesn’t.  This will allow you to compare interest rates just like the pros.

Make sure you are working with an experienced, professional loan officer.  The largest financial transaction of your life is far too important to place into the hands of someone who is not capable of advising you properly and troubleshooting the issues that may arise along the way.  But how can you tell?  Here are SIMPLE QUESTIONS YOUR LENDER ABSOLUTELY MUST BE ABLE TO ANSWER CORRECTLY.  IF THEY DO NOT KNOW THE ANSWERS…RUN…DON’T WALK… RUN…TO A LENDER THAT DOES!  Avoid a loan officer/consultant who cannot answer these important questions:

1. What are mortgage interest rates based on?  (The only correct answer is Mortgage Backed Securities or Mortgage Bonds, NOT the 10-year Treasury Note. While the 10-year Treasury Note sometimes trends in the same direction as Mortgage Bonds, it is not unusual to see them move in completely opposite directions.  DO NOT work with a lender who has their eyes on the wrong indicators.)  
2. What is the next Economic Report or event that could cause interest rate movement?  (A professional lender will have this at their fingertips.)
3. When Bernanke and the Fed “change rates”, what does this mean… and what impact does this have on mortgage interest rates?  (The answer may surprise you.  When the Fed makes a move, they can change a rate called the “Fed Funds Rate” or “Discount Rate”.  These are both very short- term rates that impact credit cards, Home Equity credit lines, auto loans and the like.  On the day of the Fed move, Mortgage rates most often will actually move in the opposite direction as the Fed change.  This is due to the dynamics within the financial markets in response to inflation.    
4. Do you have access to live, real time, mortgage bond quotes?  (If a lender cannot explain how Mortgage Bonds and interest rates are moving in real time and warn you in advance of a costly intra-day price change, you are talking with someone who is still reading yesterday’s newspaper, and probably not a professional with whom to entrust your home mortgage financing.  Would you work with a stockbroker who is only able to grab yesterday’s paper to tell you how a stock traded yesterday, but had no idea what the movement looks like at the present time and what market conditions could cause changes in the near future?  No way!)
5. Avoid someone who does not let you ask questions and get proper answers.  Be smart...  Ask questions…  Get answers.  Once you are satisfied that you are working with a top-quality professional mortgage advisor, here are the rules and secrets you must know to “shop” effectively.
6. Avoid the “TOO GOOD TO BE TRUE” scam.  If it seems too good to be true, it probably is.  But you didn’t really need us to tell you that, did you?  Mortgage money and interest rates all come from the same places, and if something sounds really unbelievable, better ask a few more questions and find the hook.  Is there a pre-payment penalty?  If the rate seems incredible, are there extra fees?  What is the length of the lock-in?  If fees are discounted, is it built into a higher interest rate? Again, this is our business and we follow the market daily and GUARANTEE  the best wholesale rates in the country.  If someone tells you a gallon of gas is $1, would you believe that?  There is still so much misinformation out there. 
7. Avoid bait and switch techniques.  YOU GET WHAT YOU PAY FOR.  If you are looking for the cheapest deal out there, understand that you are placing a hugely important process into the hands of the lowest bidder.  Best case, expect very little advice, experience and personal service.  Worst case, expect that you may not close at all.  All too often, you don’t know until it’s too late that cheapest isn’t BEST.  But if you want the cheapest quote – head on out to the Internet, and we wish you good luck.  Just remember that if you’ve heard any horror stories from family members, friends or co-workers about missed closing dates, or big surprise changes at the last minute on interest rate or costs…these are often due to working with discount or internet lenders who may have a serious lack of experience.  Most importantly, remember that the cheapest rate on the wrong strategy can cost you thousands more in the long run.  This is the largest financial transaction most people will make in their lifetime.  That being said – we are very competitive.  Of course our rates and costs are very competitive, but we have also invested in the systems and team we need to ensure the top quality experience that you deserve. 
8. Avoid incorrect comparisons. Not all loans are the same.  NOT MAKING CORRECT COMPARISONS CAN HURT YOU.  When looking at estimates, don’t simply look at the bottom line.  You absolutely must compare lender fees to lender fees, as these are the only ones that the lender controls.  And make sure lender fees are not “hidden” down amongst the title or state fees. A lender is responsible for quoting other fees involved with a mortgage loan, but since they are third party fees – they are often under-quoted up front by a lender to make their bottom line appear lower, since they know that many consumers are not educated to NOT simply look at the bottom line!  APR?  Easily manipulated as well, and worthless as a tool of comparison.
9. Not understanding that INTEREST RATES AND CLOSING COSTS GO HAND IN HAND.  This means that you can have any interest rate that you want – but you may pay more in costs if the rate is lower than the norm.  On the other hand, you can pay discounted fees, reduced fees, or even no fees at all – but understand that this comes at the expense of a higher interest rate.  Either of these balances might be right for you, or perhaps somewhere in between.  It all depends on what your financial goals are.  A professional lender will be able to offer the best advice and options in terms of the balance between interest rate and closing costs that correctly fits your personal goals.
10. UNDERSTAND THAT INTEREST RATES CAN CHANGE DAILY, EVEN HOURLY.  This means that if you are comparing lender rates and fees – this is a moving target on an hourly basis.  For example, if you have two lenders that you just can’t decide between and want a quote from each – you must get this quote at the exact same time on the exact same day with the exact same terms or it will not be an accurate comparison.  You also must know the length of the lock you are looking for, since longer rate locks typically have slightly higher rates.

"Again, our advice to you is to be smart.  Ask questions.  Get answers.  We are happy to teach you.   It’s your home and your future.  It’s our profession and our passion.  We're ready to work for your best interest.  One of the main reasons we broadcast our show, The Solomon FREE Money Hour is to make sure that you join our other success stories and become an educated and informed consumer," adds Solomon.

For more information, or to contact Solomon call (800) 811-7709.  info@sfmdirect.com
www.freemoneyhour.com

Lloyd Segal’s Monthly Foreclosure Bootcamp – How to find them & buy them – Saturday August 22nd @ 9a

Lloyd Segal’s with Fred Solomon - Monthly Foreclosure Bootcamp – How to find them & buy them – Saturday August 22^nd @ 9a

 

Lloyd Segal’s Training Always Sales Out - Foreclosure Seminar / How to Find & Buy REO's & Short Sales (without 52,000 competing offers)

Time - Saturday August 22nd 9a - 6p Location – Beverly Hills CC Event - Foreclosure Bootcamp - How to find them & buy them Cost - $495 From Fred Solomon - I have been associated with quite a bunch of the Real Estate gurus out there & I attended Lloyd's Bootcamp from start to finish (2 times so far).  It wasn't over until 7:45p @ night both times.  It started @ 9a.  There was no selling of other workshops, he just introduces you to people who can help you accomplish your goal - "A Dream Team" so to speak.  Lloyd and I will stay there as long as you want to answer every last question you guys have.  This is good stuff and I highly recommend this class.  I have investors that are now using his techniques and they are doing deals.  Lloyd has plenty of students doing the same.  People come up to me all the time and say, "Fred, thank you so much.  You have given me a ray of hope so I can start making money again in Real Estate."  We will hold your hand and help you along the way too when you start finding the deals.  Everyone needs someone they can rely on who has done it before.  Lloyd and I are here for you.  Look forward to seeing you on the 22nd. The time is now to profit with foreclosures!!! A "Perfect Storm" of economic events has made investing in California foreclosure properties an incredible opportunity -- and now's the time for you to profit... With a deep recession, mortgage crisis, adjustable rate mortgages re-setting, balloon payments coming to term, borrowers losing equity in their homes, a home market turned upside down by recent events, and a tidal wave of foreclosure filings, there are literally thousands of foreclosures, short sales, REOs, and under-valued properties in Southern California --many in your area--ready to be purchased far below market value. Join us for this all day foreclosure bootcamp that will change your life. Led by Lloyd Segal & Fred Solomon (author of "Put Your Money Where Your House Is". Lloyd is known as "California's Leading Foreclosure Expert," and author of "Stop Foreclosure Now" (recipient of 2008 Award for best personal finance book by USA Book News), and "Stop Foreclosure Now in California." According to Retran foreclosure services, foreclosure filings surged in 2008, and are now exploding in 2009, as California (the state that once enjoyed a white-hot housing market) is now seeing the greatest number of loan defaults and foreclosures in the state's history. The current rise in foreclosures is an incredible opportunity for you to achieve the privileged life you've always dreamed about not years from now, but months from now. Lloyd's Foreclosure training will reveal the specific foreclosure investing strategies and techniques that have been used again and again by foreclosure investors to purchase these properties substantially below market. Learn how to find great deals. Take advantage of the tidal wave of foreclosures. This is a once in a lifetime opportunity to profit with the dramatic downturn in the real estate market. There are thousands of properties and distressed homeowners in your area, and they need your help! Attend this Bootcamp @ the Beverly Hills CC Saturday August 22nd and expand your knowledge, increase your wealth, and create your own "retirement plan." At this exciting foreclosure bootcamp, you will learn: California's non-judicial foreclosure procedures. How to find foreclosure properties. How to contact homeowners in foreclosure. What to say (and not say) to these distressed homeowners. How to structure the deal (and create a win/win situation). How to purchase properties without your own money or credit. How to buy "short sales." How to buy at trustee's sales. How to buy REOs from the lenders. Stay in compliance with California foreclosure laws.   Cost -$495 - if you want to sign up, email me back & we can email you the signup form - look forward to meeting you & seeing you there!    Frederick Solomon, Jr. Real Estate Education & Financial Coaching If you or someone you know can benefit from this info, let them know about our workshops or give them our phone # - 949-222-0240.  Better Business Bureau AAA Rated  fred@sfmdirect.com 800-811-7709

Fred Solomon speaking at Rosie Nieto's Real Estate Investment Club

Thursday, August 13, 2009 Fred Solomon will be speaking at Rosie Nieto's Real Estate Investment Club @ 6:30p in Culver City (near Sony Studios).

We will show you how to analyze the deal - figure out the cash on cash return - show you some incredible opportunities at 50% of the replacement cost in Southern California. 

 "Never in history have I seen such an opportunity," says Solomon. 

FREE Pass for 1^st time Attendees only (otherwise normally $18)

By RSVP only, go to freemoneyhour.com & click on Ask Fred - see you there.

Solomon Financial Mortgage

Source: www.freemoneyhour.com

Loan Modification 101 FREE Loan Modification Workshop

Fred Solomon is offering a free workshop on How to determine if you qualify for a Loan Modification and how much you can reduce your mortgage payment by modifying your loan.

SATURDAY AUGUST 29th from 2 to 4 pm in Newport Beach or Live Online “ http://freemoneyhour.com/webinar14.php - our seminars & our live interactive video conferencing events are located all over Southern California & parts of Northern California & always live via the internet.

The biggest problem we are seeing today in our office is that people are not able to qualify for loans & they are not able to afford their monthly mortgage payment/s. These people are facing foreclosure & need to know their best options. Sometimes, we need to do some credit card debt settlement or payment plans. Sometimes, we need to file Bankruptcy. Sometimes, we need to do a Forbearance Agreement with the lender while the homeowner looks for another job. So many different things & everyone's situations are different. 

After doing numerous workshops with the Chief Loss Mitigator of IndyMac Bank (Home Equity Line of Credit Division) & learning the formula the lenders use to determine whether someone qualifies for a loan modification or not, I have found that many loan modification companies do not know what they are doing when it comes to qualifying you, but they are still taking your money from you. They are telling you to stop making your monthly mortgage payment (as well as the actual lenders, not knowing if you qualify or not for a loan modification & telling you that is the only way the bank will modify your loan). THAT IS 100% FALSE! So, you listen to them thinking that they know what they are talking about and then you find out that you are unable to qualify for a loan modification & now your credit is ruined because you stopped making your payment and on top of that your mortgage payment has not changed. That is a bunch of BS! And, BS is not a swear word! It simply means Before Solomon. Because when you speak to us, we will send you a Borrower Financial Information page and determine upfront if you qualify or not, FOR FREE! Often times I am re-programming people & having to input correct information into their brains. We get loan modifications approved all the time without the clients being delinquent on their mortgage. Let me repeat, we get loan modifications approved all the time without the clients being delinquent on their mortgage. I have client after client that you can call to verify this with. 

I was speaking at a CAMB (California Association of Mortgage Brokers) Event recently and Channel 11 news was there. I explained this to the audience that the lenders use a formula & no one knew what this formula was prior to March of 2009 (this was before Obama's plan came out in early March) and I explained to the audience that is why loan modification companies are ending up on the News (for the wrong reasons) because that they don't know the lender's formula. The day of the event I explained, "Channel 11 news is here because the DRE is here & so is CAMB. We are here to teach you correct info."

You want correct information? I can't hear you? I said do you want correct information about how to qualify for a loan modification? Much better! So, here it is..... In order to qualify for a loan modification your expenses need to be within $200/$400 of your take home pay (some lenders like a surplus, some are ok with a $200/$400 deficit). Your loan to value has to be 75% or higher on your property and you can't have a lot of assets in your name (i.e. 401k, IRA, Stocks Bonds, Mutual Funds, or money in the bank). If you do, the lender may challenge you to take money out of your 401k to pay your mortgage. At that point, you may have to talk to a good Asset Protection or BK Attorney to know your correct options so the bank doesn't come after your other personal assets (if any). In the last 2 years, I have learned more about bankruptcy laws, foreclosure laws, deficiency judgments, 1099-c's, forgiveness of debt, & lien releases on short sales than I ever wanted to. But, this is where the market took us. It started about 2 years ago, people started calling our offices wanting to know about refinancing and then they realized they couldn't because (1) the rates were too high, (2) they couldn't qualify because the property value came down, (3) they were a stated income borrower, or (4) their credit scores were too low. Many times people call me up & they tell me that their listing agent is telling them to do a short sale not realizing the client has refinanced and pulled out 700k of equity (since they bought the home) and will have a large tax issue because the capital gain was above the $500k married couple limit & they will have to pay tax on that. The listing agents need to be smarter on these short sales & tell their clients to talk to their CPA (especially if it is a Rental Property or if the loan wasn't purchase money on your primary residence or if there is going to be a Capital Gain above $500k - married or $250k - single). Since my father is a CPA, I am happy to pass this info along to you. Thank goodness for smart people. Here is my warning to you - know your options and learn about the tax consequences, before you make any wrong decisions! I can refer you to some people who can help you in these areas. 

Oh, and by the way, the lenders will lie to you and use scare tactics. The reason they do this is because they don't want to lose money. The analogy I give is if you were a police officer & pulling someone over & you felt there was something "fishy" going on with the person you are pulling over. So you ask for their license & registration and then ask if you may search their vehicle. But before you actually search the vehicle you ask if there is anything inside the car that you (the police officer) need to be concerned with. My question to you is, what percentage of people that do actually have "stuff" in their car, are honest with the police officer at that moment in time? In other words, does the person inside the car say, "Oh yeah, I have a loaded AK-47 with 2,000 rounds of ammunition in the trunk?" Whatever that percentage of people that would be honest with the police officer upfront (before they search the vehicle), is the same percentage of people that the lender would be honest with you when you call them to ask them to lower your monthly mortgage payment. Just like the guy with "stuff" in his car doesn't want to go to jail, the lender doesn't want to lose money on your account. So, how do you deal with someone who is lying to you? The only way I know is if you have a friend that works in the Home Retention or Loss Mitigation Dept or if you go work there yourself.

Besides that, I don't know what to tell you except to come to our next seminar & I will teach you - http://www.freemoneyhour.com/webinar14.php

If you or someone you know can benefit from this info, let them know about
our workshops or give them our phone # - 949-222-0240.

Solomon Financial Mortgage
Frederick Solomon, Jr.
Real Estate Education & Financial Coaching
Better Business Bureau AAA Rated

Fred Solomon, Lisa Solomon and Team:
Listen to us on AM 830, The Angels & Mighty Ducks Station, Saturdays 12-1 pm (new time) PST or listen to archived shows on: Solomon Site

Frederick Solomon, Jr.
Real Estate Education & Financial Coaching
(949) 222-0240, ext 221 / Cell: (714) 403-7334
(866) 421-1697 - fax

Listen to us every Saturday from 12p - 1p on the Angels and Mighty Ducks station - AM 830 or online - am830.net

Our Upcoming Loan Modification Workshops - How to determine if you qualify & how much we can save you on your mortgage payment each month - http://www.freemoneyhour.com/webinar14.php

Our Upcoming FREE Foreclosure Workshops - How to find them & buy them - for a upcoming workshop in your area - http://www.freemoneyhour.com/webinar15.php

Our Most Recent Radio Shows & Blog - http://thesolomonfreemoneyhour.typepad.com/sfmh1