Summit Appraisal Services, Inc.
Accurate Appraisal Valuations, Superior Turn-Around-Time, Competitive Fees


 Credit Score:

 Credit scores are reported as a number, usually in the 300-900 range. The higher the number the  better
 the score. Creditors see the number as an indicator that an individual will repay a loan.  Typically scores
 are determined by reviewing the following information:  Current  level of debt, Non  payments, History of
 late payments, Length of credit history, Types of credit accounts, History of applying for credit, Number
 of credit inquiries, Bad credit behavior.

 Mortgage Broker / Mortgage Banker:

 A Mortgage Broker as defined by the National Association of Mortgage Bankers is "an independent real
 estate financing professional who specializes in the origination of residential and/or commercial
 mortgages".  Mortgage brokers arrange  for money to be lent from sources such as banks and savings &
 loans.  A
Mortgage Banker as defined by the  Mortgage Bankers Association of America is " an
 individual, firm or corporation that originates, sells, and/or services  loans secured by mortgages on real
 property". Rates  tend to be competitive and fees are charged as points, loan discounts, or origination
 fees.

 Points / Loan Discounts / Origination Fees:

 Points, Loan Discounts, Origination Fees are all the same, they are fees charged by lenders.  Points are
 part of the borrower's cost of credit, and part of the lender's return on his investment.  Each point is
 equal  to one percent of the mortgage loan amount.  Lenders do offer loans without points, but you will
 pay a higher interest rate on your mortgage.

 Private Mortgage Insurance (PMI) Removal:  

 PMI is insurance that lenders require most home buyers to purchase, when the loan amount exceeds 80%
 of the new home's value.  Putting it simply, buyers who purchase their home with less than a 20% down
 payment, are normally required to purchase PMI. If you purchased your home prior to July 29, 1999,  
 you should be able to remove your PMI once  your Lender's minimum requirement are met, call your
 Lender for details.  Under Federal Law, most loans made on  or after July 29, 1999, will automatically
 have the
 PMI terminate, once your mortgage is paid down to approximately 78% of the home's original
 value.  Before contacting your Lender, have your home appraised.   Lenders tend to be much more
 receptive  when your home's value is being quoted from a current certified appraisal.

 Predatory Lending:

 Buying or refinancing a home may be one of the most important financial decisions most of us will ever
 make.  Whether you are buying a new house, applying for a home equity loan, refinancing your existing
 home, or making home improvements;  predatory lenders are ready to take your money and may even   
 end up taking your home.  
Predatory mortgage lending  involves a wide  array of abusive practices.  Here
 are some of the most common:  excessive fees, unnecessary fees, kickbacks to brokers, loan flipping,
 abusive  prepayment penalties, abusive loan arrangements, unnecessary credit life insurance, credit
 accident or  disability insurance, request to have you sign blank forms.  
BE CAREFUL!!!

 Reverse Mortgage:

 Reverse mortgages are often of interest to older consumers who have paid off their mortgages and are
 living on fixed or limited incomes.  A typical
reverse mortgage is a loan where the lender pays the
 homeowner a monthly advance, while the homeowner continues to live in the house. The amount of
 such  a loan depends upon the consumer's age, the equity in the home, and the interest rate the lender is
 charging.

 Among the facts to consider before applying are that:

  • Reverse mortgages are rising-debt loans. This means that interest is added to the loan's principal
    balance each month because interest is not paid on a current basis. Therefore, the amount owed
    increases over time as the interest compounds.
  • Reverse mortgages use up some or all the equity in your home, leaving fewer assets for you and
    your heirs.

 Before entering into any mortgage, do your research:

 Our Government is a great source of information, The Federal Trade Commission provides the following
 information FREE of charge: "Home Equity Loans: The Three-Day Cancellation Rule", "Reverse
 Mortgages -- Cashing In On Home Ownership" and "Home Equity Scams: Borrowers Beware!".
Mortgage Facts
If you have any questions, feel free to contact us
House Stealing !!!

Here’s how it generally works:

… The con artists start by picking
out a house to steal—say, YOURS.
… Next, they assume your
identity—getting a hold of your
name and personal information
(easy enough to do off the
Internet) and using that to create
fake IDs, social security cards, etc.  
… Then, they go to an office
supply store and purchase forms
that transfer property.  
… After forging your signature and
using the fake IDs, they file these
deeds with the proper authorities,
and lo and behold, your house is
now THEIRS.

There are some variations on this
theme…

… Con artists look for a vacant
house—say, a vacation home or
rental property—and do a little
research to find out who owns it.
Then, they steal the owner’s
identity, go through the same
process of transferring the deed,
put the empty house on the
market, and pocket the profits.  
… Or, the fraudsters steal a house
a family is still living in…find a
buyer (someone, say, who is
satisfied with a few online photos)
…and sell the house without the
family even knowing. In fact, the
rightful owners continue right on
paying the mortgage for a house
they no longer own.  

It can get even more complicated
than this, as learned in a recent
case out of Los Angeles. Last year,
a real estate business owner in
southeast Los Angeles pled guilty
to leading a scam that defrauded
more than 100 homeowners and
lenders out of some $12 million.
She promised to help struggling
homeowners pay their mortgages
by refinancing their loans. Instead,
she and her partners in crime used
stolen identities or “straw buyers”
(people who are paid for the
illegal use of their personal
information) to purchase these
homes. They then pocketed the
money they borrowed but never
made any mortgage payments. In
the process, the true owners lost
the title to their homes and the
banks were out the money they
had loaned to fake buyers.

So how can you prevent your
house from getting stolen?  The
best you can do at this point is to
stay vigilant. A few suggestions:

If you receive a payment book or
information from a mortgage
company that’s not yours, whether
your name is on the envelope or
not, don’t just throw it away. Open
it, figure out what it says, and
follow up with the company that
sent it.
From time to time, it’s also a good
idea to check all information
pertaining to your house through
your county’s deeds office. If you
see any paperwork you don’t
recognize or any signature that is
not yours, look into it.  

If you want further information on
this topic you can visit the
FBI's
website.