Notes From The Mortgage Insider

Dear Friends:

First of all, a very Happy Birthday to my wife Margie, who celebrated her ##th birthday yesterday (sorry, can't reveal the actual year).

Rates remain at historically low levels so although I sound like a broken record let me repeat, DON’T MISS THIS OPPORTUNITY!

Finally, I would like to brag a little bit because we have always been able to meet our clients’ highest expectations, both in rate as well as in efficient performance, and we continue to do that to this day despite a hostile regulatory and market environment. I invite you to contrast our performance with that of one of the behemoth banks, Bank of America. B of A recently decided to drop wholesale (that means working with small firms like us) in favor of its own retail operations, direct to the public. In other words, they want you to call 1-800-MORTGAGE and get in a queue.

Here is what Rob Chrisman, a noted commentator in our industry, had to say in his blog on Saturday February 11 about B of A’s performance so far:

“At the other end of the spectrum, per Bloomberg, Bank of America's retail channel has been unable to keep up with demand for borrowers wanting to refinance, thanks in part to HARP Phase II, which is beginning to roll out. Per the article, borrowers are being placed on a 90 day waiting list. "Bank of America is telling some customers who call during high volume periods of the day to make a reservation. And once they do that, it could take anywhere from 60 to 90 days just to hear back. Even then, it's unclear how much longer it will take to apply for a refinance, get the loan underwritten, and finally get it funded." And don't forget that it stopped offering cash out refinances last month so if borrowers want to tap their home equity, they'll either have to try a HELOC or go elsewhere. Borrowers with checking accounts or those who visit a branch stand a much better chance of an earlier time frame.”

Like the DirecTV commercials say, “don’t end up in a roadside ditch” when trying to refinance. Put your trust in a company that has a proven track record rather than one that will put you on a “waiting list.” We will take better care of you every time.

Have a great week!

Steven Hofberg, Operations Manager, Residential Mortgage Center Inc

To contact Margie Hofberg email her at margie@rmcenter.com. If you wish to be notified when she posts the weekly Newsletter simply click on the Subscribe button below. To be added to the weekly Newsletter email distribution list email Renee Bourassa at renee@rmcenter.com.