Negotiating Jumbo Mortgage Rates

by: Brian.Brady on October 16, 2007 09:13:16 Leave a comment »

Jumbo mortgage loan programs are returning. Wall Street flinched, and we're starting to see the loan programs come back after the summer liquidity drought. How can a San Diego home buyer secure jumbo mortgage financing at competitive terms?

It's all about the documentation.

Let's revisit my award winning series, published on Long Beach Real Estate Home, about how to secure the best terms for financing:

Neatness Counts:

The secret is this; organize your documentation BEFORE you call around. If you follow these seven steps and compile a package that you can e-mail to mortgage originators, you can effectively play us off one another and get smoking great terms for a home loan.

Navigating Through the Home Loan Jungle:

I have always stated that you should be shopping mortgage consultants not loan programs but this double-barreled article will help you do both. Understand this first. You are NEVER going to get the absolute best rate offered on a home loan; it's impossible to determine what "best" is.

Selecting the Proper Loan Originator:

Now, armed with a little intel, let's make the calls to the originators. Certainly start off with a little small talk; sales people like to talk but keep it under 3-4 minutes. Here are 7 questions you want answered in your phone interview:

Negotiating Great Loan Terms:

You should be down to 2-3 people with whom you are comfortable. You probably have a favorite at this point but you need to see who is going to give you a fair loan. Notice that I didn't say the cheapest at this point; I said a fair deal. Shopping for the "cheapest" loan can be counterproductive. We're going to drop that bunker buster on the select 2-3 originators but we're going to , as Tony Soprano might say, "Leave a little something on the table so all can eat"

These four steps will help you in this tumultuous market. Jumbo mortgage loans are still available to qualified borrowers. Take the proper steps up fron the insure there are no surprises in the end.

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