Keith Gumbinger
Keith Gumbinger
borrowers budgetary cushion extra financial impact manageable safe spending themselves year
Most borrowers have some financial cushion so the impact won't be immediate; spending an extra $380 is manageable at first. But it's safe to say there are some who will find themselves in budgetary difficulties a year or two down the road.
borrowers budget buy encouraged invest loans money paid people product save stretch value
These loans can be of value for people who want to save or invest the money they would have paid in principal, ... Unfortunately, the way the product has been pitched, borrowers have been encouraged to stretch their budget to buy more house.
borrowers choices expanding include loan means menu niche opportunity
Expanding your menu (as a lender) to include as many loan choices means you get a better opportunity to scour borrowers out of niche markets.
borrowers harder low money pay points rates trim
If you pay points up front, it's harder to get your money back. When rates are high, borrowers have to pay points to trim rates any way they can, but with rates so low there is really no need to pay those points.
card cause certainly change fall fallen might talk trying whether
It certainly could cause a change to the marketplace, ... But you're trying to talk about whether the 14th card might fall when first one hasn't fallen yet.
credit higher interest knock percentage points primary score
Listing the person with the higher credit score as the primary borrower, ... may knock as much as two percentage points off the interest rate.
either good sound
It doesn't sound like either of them got a particularly good deal.
beginning benefit cold interest people product rate selected welcome
Welcome to the cold reality. A lot of people selected short-term interest rate product and are now beginning to see how these things benefit the lender.
answer ask bank bankers believe ensure fixed helps loan obvious pitching product question rates rise variable
The question you need to ask yourself is, why would a bank be pitching you this product at this time? The obvious answer is that bankers believe rates will rise in the future. Getting you out of a fixed loan and into a variable one helps ensure profitability on your account.
cash expect exposure free period rates remain rising
This would free up cash now, while still minimizing their exposure to rising rates during the period they expect to remain in the house.
bridge loans methods variety
There are a variety of methods by which bridge loans are made.
costs
If it costs them more, it'll cost you more.
builder buyers definitely expect house pay seller
I would definitely expect more of it. Buyers may not pay for it. The seller or builder may pay for it to get a house sold.
cuts likely mortgage rates succeed
If the Fed's cuts succeed in stimulating the economy, then mortgage rates are actually likely to rise,