The Best and Most Beautiful Things in the World....Inspirational Quote

The best and most beautiful things in the world must be felt with the heart. If you’ve ever been in love or had children you definitely understand that. Please go out and see the world with your heart and allow yourself to truly feel. However, When it comes to big decisions such as those regarding mortgage and real estate, you have to do the opposite. You must make logical, sound decisions. Emotions will cost you. Don’t let yourself be overcome with emotion during a Mortgage Refinance or Home Purchase. Make sure you’re working with a solid mortgage planner and real estate agent that will advise and guide you to making a decision that is best for you and your family. Pick up the phone and call Chris Reese, California Mortgage Hero and Certified Mortgage Planning Specialist® in Roseville California 916-502-1656 or inquire on line at http://www.sacramentohomeloanspecialist.com/home.html

The Best and Most Beautiful Things in the World....Inspirational Quote

Fixed Rate Mortgage or Adjustable; What"s Right for You?

There are many different types of mortgage loans. The two most common types of mortgage loans for real estate are the Fixed Rate Mortgage and the Adjustable Rate Mortgage, also known as an ARM. Knowing the features of these types of loans and how they differ from each other will help you decide which type of loan is best for you.

First let’s define them. A fixed rate mortgage is a loan where your interest rate is fixed for the life of the loan. You make the exact same payment every month. At the end of the loan term, the loan is paid off in full.

With an ARM, the interest rate is often fixed for an initial period such as 5 years. Then at the end of the fixed period, the interest rate will adjust at the end of a pre-set period like once a year. During the adjustment period Interest rates on ARM’s are derived by a fixed margin, often 2.25%, plus the value of the index that the loan is tied to such as the 1 year LIBOR, which at the time of this post was at .557%. In this example, when the loan reaches the adjustable period of 5 years, the rate will adjust once time a year to the value of the LIBOR plus the 2.25% margin. Then at the end of each year, the rate is recalculated to adjust with the value of the LIBOR. If you had an adjustable rate mortgage that was adjusting today based on the 1 year LIBOR and a margin of 2.25%, your rate would be 2.875% rounded up to the nearest .125 point increment. Not a bad rate right? Especially considering that they fixed rates are in the high 3’s low 4’s currently.

You might be asking yourself, if the rates are so much lower on an ARM vs. a fixed rate mortgage, why would anybody do a fixed rate mortgage at all? There are quite a few reasons why somebody would take one type of loan over another but let’s focus on the most common reasons. With a fixed rate mortgage, you always know what your payments will be. During times where interest rates go higher than your fixed rate, you’re still enjoying that fixed rate and payment with no fear of things changing on you. You can also typically borrow up to a higher loan to value ratio with a fixed mortgage. So if you have limited funds for down payment or limited equity, the fixed rate mortgage may be the only option.

Fixed rate mortgages are by far more popular than ARM’s because most people tend to be very adverse to the risk of their interest rate going up and therefore their payment but there are some pretty cool reasons to take the adjustable rate mortgage aside form just an initial period where the rate is lower. As I stated above, an adjustable rate mortgage adjusting today would be a rate of only 2.875 where fixed rate mortgages are at least 1% higher today.

Take a look at this comparison on the right. This is an example of somebody that took a loan out in 2012 and is now wanting to take advantage of today’s awesome rates. They could take this rate of 4.125% on a 30 year fixed rate mortgage and lower their payments by $199 per month. In this example I’ve applied that monthly savings toward their principal balance each month. In doing so, they’ll have this new loan paid off in just 22.5 years. Their current loan paying that same amount will take almost 28 years as show by the line labeled Freedom Point (the point at which you are mortgage free). Looks really good right?  But look at the 5/1 ARM. In that example the rate is almost a full point lower, and the monthly savings is $314 per month. You don’t have to apply that savings to the mortgage of course. You could use that money to pay off a car loan or other higher interest debt. You could put that toward your retirement. Maybe just brighten somebody’s day with flowers now and again?

The amount of interest you save over the life of the loan can be very significant with a fixed or an ARM loan but the ARM tends to offer more savings than that of the fixed. Generally speaking, those that take out an ARM loan as opposed to those taking out a Fixed Rate Mortgage, tend to pay less interest over the life of the loan. This is especially true during the introductory period. Take a look at the graph on the left. It demonstrates the same example as above but taking a look specifically at the interest savings over the 5 year fixed period. Notice that the 5/1 ARM saves an additional $10,000 over the 30 Year Fixed. The total savings over a 5 year period  on the Fixed is about $14,000 whie the ARM would save $24,000.

Regardless of which type of loan might be right for you, an ARM or A Fixed Rate, either option makes great sense when deciding whether or not to refinance. Saving between $14K and $24K in interest over just 5 years time is a make sense decision. If you you want to know if a refinance would benefit you and how you might be able to make the best of it don’t hesitate to give me a call for your Free Mortgage Review. Call Chris Reese at 916-502-1656 for your free mortgage review. You can also apply online at http://www.sacramentohomeloanspecialist.com/applyNow.html. Have a wonderful day and Make it Happen!

 

Fixed Rate Mortgage or Adjustable; What"s Right for You?

Money Can"t Buy You Happiness.....Inspirational Quote

David Lee Roth is right! Money cannot buy you happiness. Love, Family, Friends, Experiences….These are the things that truly make us happy. We often find ourselves being forced to choose between happiness and financial gain or improvement. It doesn’t have to be that way though. Let Chris Reese CMPS®, The California Mortgage Hero focus on putting you in a better financial position through Mortgage Planning so you can focus on happiness…your loved ones…and making memories. Call today for your free mortgage review consultation or free property value analysis at 916-502-1656. You can also inquire on line at http://www.sacramentohomeloanspecialist.com/forms/askAnExpert.html

Money Can"t Buy You Happiness.....Inspirational Quote

Rates are Falling - Mortgage Tip

Rates are falling, Rates are Falling, and Rates are Falling!  Rates are falling guys but this could turn on a dime and rates could shoot up. There’s a lot going on right now which is driving rates or the cost of rates down. Take a look a the summary below:

What you have are 3 columns; A proposed Current Situation, a 30 Year Fixed Option, & a 5/1 ARM Option. The two options offer quite a bit of benefit to this hypothetical borrower. In addition to showing the difference in total payments, the refinance options also show the savings over time (5 years) and the freedom point of the new mortgage if the monthly savings were applied toward the principal balance each month. 

Let’s dissect the 30 year fixed option.  The proposed rate is fixed for 30 years at 3.75% with APR of 3.845%. The total payment including taxes and insurance drops by $170/month from $1,565 down to $1,395. That $170/month is $2,040 in savings per year. The closing costs and impound account came to about $4,816. Now let’s compute the cash on cash rate of return on spending this $4800 to save $2,046/year. The way to do that is to divide your annual savings, in this case the $2,046, by the cost of the investment (2,040/4,816 = .423) which equals 42%. WOW! Read that again, an ROR of 42%! Seriously? Yes! This is a concept known to Certified Mortgage Planners as a “Cash in Refinance”. While the borrower in this example is tying their closing costs into the loan amount, they are still costs that they incur so we can calculate a cash on cash rate of return. Can you imagine what your financial planner would do if you could earn an ROR of 42%?

Now let’s look at the 2nd example. Because its an adjustable rate mortgage we can’t predict what will happen after the five year fixed period so the freedom point makes an assumption that the payment will remain constant. This will not be the case but there’s no way to calculate a freedom point with a variable payment.  Having said that, individuals that take out adjustable rate mortgages as opposed to those that took out a fixed rate mortgage, all other things being equal, will pay less in interest over the life of the loan. This is due to not only the initial fixed period being at a lower rate than what is offered on fixed rate loans but also because when the rate does go adjustable, it can actually go lower than the note rate. This is because the payment during the adjustment period is based on a fixed margin, usually 2.25, and some index such as the 1 year LIBOR. The floor on the rate is typically the margin. So the 5/1 ARM option offers savings of $337 per month. If that savings were applied to the principal balance the client would save over $25,500 in just 5 years in interest taking into account the closing costs paid. The loan would be paid off in about 22 1/2 years (assuming a constant payment). 

Either option is a fantastic way to save money and put yourself in a better financial position. Whether you would choose a fixed rate mortgage or an adjustable rate mortgage largely depends on your adversity to risk. Regardless of whether a fixed loan or ARM is right for you, saving money is right for everyone. You owe it to yourself and your family to see if you can save money every month and over time. Pick up the phone and call Chris Reese, CMPS® at 916-502-1656 for your free mortgage review or home purchase pre-approval. You can also inquire online at http://www.sacramentohomeloanspecialist.com/forms/askAnExpert.html

Rates are Falling - Mortgage Tip

Opportunity is Missed by most People Because.... - Inspirational Quote

There is not a single successful person in this world that didn’t work very hard to get where they are. Sure there are those that everyone points to that are the exception. People that are born into wealth. They seem to be very successful. The truth is that those born into wealth that don’t work hard don’t feel or look very successful. They have a shallow existence and are very unhappy. This is one of the reasons why they say, “money can’t buy happiness”.

The other side of that coin is best said by David Lee Roth, “Money can’t buy you happiness, but it can buy you a yacht big enough to pull up right alongside it.” Funny yes. True? Yes! But what it doesn’t say is how hard somebody had to work to do so. As much as rock stars party and participate in debauchery, they still have to work very hard. They practice endlessly, have endlessly long tours on the road, strained personal relationships, money problems like you wouldn’t believe, & they’re always under a microscope. The price of fame is astronomical and is very hard work…at least for those that last!

So Make it Happen! Strap on your overalls, pull up your boots, and work very very hard for what you want. Learn the Rock Star’s lesson though. Have a good balance in life or you will not have longevity with your success. Speaking of working hard. Nobody works harder for you than Chris Reese, the California Mortgage Hero and Certified Mortgage Planner in Roseville, California. Pick up the phone and call me today at 916-502-1656 for your free mortgage review, home purchase pre-approval, or even a property value analysis. Let the experts work hard for you to ensure that you’re in the best possible financial position regarding your mortgage and your home so that you can work hard achieving your goals and maintaining balance in your life. You can also inquire online at http://www.sacramentohomeloanspecialist.com/forms/askAnExpert.html

 

 

Opportunity is Missed by most People Because.... - Inspirational Quote

30 Year Mortgage Rates Held Record Levels Going into Labor Day Weekend!

Last week 30 year mortgage rates continued to make us all very happy by remaining historically low. Check out this article from USA today http://www.usatoday.com/story/money/personalfinance/2014/08/28/mortgage-rates/14741693/ discussing the average 30 year mortgage rate.  One very interesting point that the article makes is that it appears these historically low mortgage rates have boosted home sales. It also quickly takes away some of the luster of that comment by offering some quantitative data regarding home sales. Basically home sales have increased by 3.3% last month from the previous month but they are still down 2.1% from this time a year ago.

The article also talks about how the fed’s purchase program has been tapering and is set to end in October.  This poses a major threat to low mortgage rates. Once the Fed stops program, the market will be left to fend on its own. Will there be a major bounce back as the market tries to find equilibrium after years of government interference preventing the natural course of things?  My perspective is that we have much more room for rates to rise then there is for them to fall. Waiting for even lower rates than the historically low mortgage rates we have in today’s market is likely going to be very costly to consumers. I would compare this to playing craps.

Craps is a great game. It seems to give the player the “best” advantage with the “most” opportunities to win. This is why I like the game. If you play safe, you can play for hours on end and not really lose too much and often enough, you can come out ahead. Having said that, its really easy to get caught up in the excitement and the possibility of hitting it big. If you’re not familiar with the game, don’t worry I’m not going to get technical here. Just know that you can roll the dice for a very long time and continue to win. So can the players around you. This is because the reality of things is that events happen in patterns. Random patterns, but still patterns. So eventually your luck runs out as they say. If you were smart with how you were betting you could walk away with winnings and be very happy. If you weren’t so conservative you may lose it all on a single roll.

That’s what we have going on with Mortgage rates right now. We’ve been on a roll for a very long time and that luck is about to end. Do you want to walk away with a great interest rate today or do you want to risk it all for a slightly better rate in the future which more than likely won’t come? When you’re talking about your home and your mortgage loan, this isn’t a risk you should take. If you currently have a mortgage you should talk to a Certified Mortgage Planner right now and figure out if a refinance will improve your financial well being. Please don’t take unnecessary risks with the roof over your head. Call Today! You can contact the California Mortgage Hero and the Reese Mortgage Team today at 916-502-1656 or inquire on line at http://www.sacramentohomeloanspecialist.com/forms/refinanceAdvisor.html

30 Year Mortgage Rates Held Record Levels Going into Labor Day Weekend!

Fixed Rate Mortgages vs. Adjustable Rate Mortgages - Weekly Tip

Fixed Rate Mortgages vs. Adjustable Rate Mortgages, Weekly Tip by Chris Reese, California Mortgage Hero and Certified Mortgage Planner in Roseville, California


Many people are confused by Mortgage Loan Programs. Maybe you know what a fixed rate mortgage is but aren’t sure what an adjustable rate mortgage truly is or wonder why somebody would want one or if it were right for your situation. Watch the video to learn more about Fixed Rate and Adjustable Rate Mortgages and what some of the pros and cons are. If you are wondering which type of mortgage loan is right for you contact Chris Reese at 916-502-1656 or visit http://www.SacramentoHomeLoanSpecialist.com There you can get a free mortgage review, free mortgage rate quote, and a free property value analysis. Let the experts guide you to making a sound decision that puts you in a better position.

Fixed Rate Mortgages vs. Adjustable Rate Mortgages - Weekly Tip

30 Year Mortgage Rates Near Unchanged from a Year Ago

Check out this recent article about 30 year mortgage rates. It explains how average 30 year mortgage rates compare to this time a year ago. It also compares the 15 year fixed and the adjustable rate mortgages.  It also goes on to discuss how existing home sales are up and gives an indication that mortgage applications are up from last week as well. I wouldn’t put a ton of stock in the mortgage applications numbers though. There’s huge debate over what constitutes a mortgage application. While most of us think it means someone actually applied for a mortgage and has a loan in process, the stats represent everything from somebody just having their credit pulled to actually being declined. You be the judge and read the article http://www.washingtonpost.com/blogs/where-we-live/wp/2014/07/24/mortgage-rates-hover-near-lowest-levels-for-the-year/ for yourself.  For a free mortgage rate quote or property value analysis contact the Chris Reese Mortgage team at 916-502-1656 or visit http://www.sacramentohomeloanspecialist.com/forms/askAnExpert.html

30 Year Mortgage Rates Near Unchanged from a Year Ago

Eliminate Stinky Feet and Shoes - Weekly Tip, California Mortgage Hero

This is an issue for just about everybody whether they want to admit it or not.  You can eliminate stinky feet and shoes with this weekly tip from Chris Reese, The California Mortgage Hero.

This particular tip is somewhat on the funny or embarrassing side for sure.  This tip definitely works to get rid of and prevent shoe and foot odor. I played sports growing up and was usually running around all day playing basketball at recess, soccer at lunch, wiffle-ball in the front yard (pitcher’s hand is as good as first !) after school before afternoon baseball practice. Then I was home for dinner and when I took my shoes off my socks were crispy, stuck to my feet and stinky. I know, disgusting right? Of course but I bet many of you reading this and watching the video have experienced this firsthand or with your children. In this video I give you the “ninja tip” on how to prevent this. For more great household tips visit California Mortgage Hero – Weekly Tips. Contact the Chris Reese Mortgage Team for your fast and free Mortgage Review, 30 year mortgage rate quote, or free property value analysis or just pick up the phone and call 916-502-1656

Eliminate Stinky Feet and Shoes - Weekly Tip, California Mortgage Hero

California Mortgage Hero: Do it Now

If you don’t do it now, when will you? The California Mortgage Hero agrees with Napoleon Hill.


If you want to make it happen, you have to do it now! Contact the Chris Reese Mortgage Team today at 916-502-1656 for a Fast and Free 30 Year Mortgage Rate Quote or any and all Mortgage and Real Estate Needs.

California Mortgage Hero: Do it Now

Mortgage Tips - Home Owner"s Insurance

Closing on time is EVERYTHING in the Real Estate Business. How important it is to work with a competent insurance professional to help meet your closing deadline? Watch the video to find out.

Chris Reese the California Mortgage Hero, and Certified Mortgage Planner based right here in Roseville, California talks about a recent loan he closed where this was essential! With the help of his friend Bobby Peterson, they discuss what Bobby did and how he was able to save the day for Chris’s clients. If you’re going through a transaction right now or will be in the future, I encourage you to give me a call so that we can review your situation and make sure that you are working with competent professionals. It doesn’t matter if its your insurance agent, your Mortgage Planner (most mortgage people are just loan officers), your Realtor, or even your movers, you deserve the best….great service and competent professionals. Let us work for you. Contact the Chris Reese Mortgage Team today for a free review, rate quote, or property value analysis at 916-502-1656 or visit Sacramento Home Loan Specialist.

Mortgage Tips - Home Owner"s Insurance

Low 30 Year Mortgage Rates Not Enticing Home Buyers?

Here is a great article explaining that the lowest 30 year mortgage rates of 2014 still aren’t enticing home buyers to come off the fence. Rates have dropped since the beginning of the year but mortgage applications are actually down. The author attributes this to an unstable job market and possibly some disdain from borrowers who missed the industry all time lows in early 2013. You can read the entire article here Falling mortgage rates aren’t enticing home buyers, latest data show. Contact Chris Reese, Certified Mortgage Planner for a Free Mortgage Review and how a 30 year mortgage rate can work for you, 916-502-1656 Sacramento Home Loan Specialist

Low 30 Year Mortgage Rates Not Enticing Home Buyers?

Don’t Smash Bread When You Slice it: Weekly Tip

We all love a really good French Bread or Dutch Crunch style or even a baguette. The problem w/these types of bread is that the loaf is not sliced. Then when we slice it up, we smash the heck out of it!  If the bread has a soft center its practically ruined now. It’s like you’ve smashed it into a tight dense ball. You can’t even properly butter these, well I guess you can call them slices, slices of bread. So what’s the solution? Watch this video to find out. For more household & weekly tips, please visit California Mortgage Hero. If you have questions regarding mortgage and/or real estate or would simply like to take advantage of our “Free Mortgage Review” call 916-502-1656 or visit Sacramento Home Loan Specialist

Don"t Smash Bread When You Slice it: Weekly Tip

30 Year Mortgage Rates Today and Tomorrow: Should We Lock?

Chris Reese, The California Mortgage Hero, quickly explains what’s going on in the mortgage backed securities market and whether or not borrowers should be locking their loans. To inquire about 30 year mortgage rates call 916-502-1656 or visit http://www.SacramentoHomeLoanSpecialist.com

30 Year Mortgage Rates Today and Tomorrow: Should We Lock?

California Mortgage Hero: Anything is Possible

“Anything is Possible”

Contact the Reese Mortgage Team today to discuss your real estate and mortgage needs in Roseville, CA and the surrounding areas at 916-502-1656 or visit Sacramento Home Loan Specialist

California Mortgage Hero: Anything is Possible

Chris Reese Shows Super Fast Way to Clean a Blender - Weekly Tip

Chris Reese, The California Mortgage Hero, shows you a super fast and easy way to clean your blender. Do you consume endless amounts of protein shakes, make smoothies, or enjoy daiquiris & margaritas? If the answer to that question is yes, then I bet you also have grown to hate cleaning your blender.  Watch this quick video to see how to quickly and easily clean your blender and have it ready for use in just minutes. Leave a comment below and let me know what you think of my weekly tip. If you have a really cool tip that you would like me to share for you, please let me know.  I love sharing great information!  If you have questions regarding mortgage or real estate don’t hesitate to give me a call at 916-502-1656 or visit me at my website http://www.SacramentoHomeLoanSpecialist.com. There you can securely apply online, get access to a plethora of free reports, or take advantage of my free calculators and refinance and purchase wizards.  Have a wonderful day every day!

Chris Reese Shows Super Fast Way to Clean a Blender - Weekly Tip

Benefits of a 30 Year Fixed Mortgage - Mortgage Tips

The 30 year fixed mortgage offers some great benefits and security to homeowners and home buyers alike. Watch this video to find out if a 30 year fixed mortgage would be right for you. If you have add’l questions regarding mortgage loans of any time or real estate, don’t hesitate to call me at 916-502-1656. You can also connect with me right here on my blog at http://www.CaliforniaMortgageHero.com. To complete a secure, online mortgage application, request free reports regarding mortgage and real estate, or go through my purchase or refinance wizard just visit http://www.SacramentoHomeLoanSpecialist.com.

Have a wonderful day!

Benefits of a 30 Year Fixed Mortgage - Mortgage Tips

Doodle, Retain More When Listening With This Simple Trick

Chris Reese, the California Mortgage Hero explains why doodling  will help you retain more information when listening. This can help you retain much more of what you hear when listening to a presentation, speaking with somebody over the phone, or even when attending a seminar.  The amazing thing is that you don’t have to take any notes whatsoever. Watch the video to find out how. For more weekly tips and information you can stay on this blog, http://www.CaliforniaMortgageHero & search around. You’ll find a wide variety of household tips and tricks. You can also connect with the Chris Reese Mortgage Team there.  For free reports regarding Real Estate and Mortgage or just needing to get add’l information regarding a type of mortgage such as a 30 year fixed vs. an Adjustable Rate Mortgage visit http://SacramentoHomeLoanSpecialist.com. There you can even apply for a mortgage loan directly and find out just how much you can qualify for. I hope you have a great day!

Doodle, Retain More When Listening With This Simple Trick

Bread Crusts Help Fight Cancer, California Mortgage Hero Weekly Tip

Chris Reese, The California Mortgage Hero shares the importance of bread crust in your diet. He also discusses a secret “ninja tip” on how to get your children to eat their bread crust.  If you would like more information on this video or other tips for healthy living don’t hesitate to comment or contact me. If you would like more information regarding real estate, mortgage loans, mortgage planning or Real Estate Investment Strategies pick up the phone and give me a call at 916-502-1656. You can also find a variety of free reports at my website http://www.sacramentohomeloanspecialist.com/freeReports/Featured/

Bread Crusts Help Fight Cancer, California Mortgage Hero Weekly Tip

Heart Bleed Virus - California Mortgage Hero Special Weekly Tip

Chris Reese, the California Mortgage Hero, does a special weekly tip about the “HeartBleed” Virus.  This is a virus that is extremely widespread and approximately 66% of all websites can be impacted by this virus. You can go to this link http://www.cnet.com/news/how-to-protect-yourself-from-the-heartbleed-bug/ to learn how to protect yourself against this computer virus.  You can also go to this link https://www.ssllabs.com/ssltest/index.html to see if a particular website is vulnerable or not.  If a website doesn’t contain personal information, the only thing at risk appears to be your password and log in. So check out these links and make sure that you are protected and that your banking and credit card websites are as well plus anything else that you need an ID and Password for.  If you need information regarding real estate or mortgage, please don’t hesitate to give me a call at 916-502-1656 or check out my website at http://www.SacramentoHomeLoanSpecialist.com. There you can do a secure on-line application, find out what you qualify for, download free reports, use a mortgage calculator or just learn a little more about Chris Reese, Certified Mortgage Planning Specialist and his mission and purpose. Have an awesome day and Make it Happen!

Heart Bleed Virus - California Mortgage Hero Special Weekly Tip