I started my career as a loan advisor in 2001 and it's been my pleasure in every moment helping clients purchase or refinance their properties. Since the beginning I've worked in the Los Angeles area with real estate professionals, past clients, CPA's and business managers as my referral sources. My business is 100% referral based. I take pride in cultivating long-term relationships with industry professionals and borrowers - it is my absolute priority to be of maximum service because my clients are clients for life.
My areas of specialty are purchase and refinance loans in California and Los Angeles that are conforming, jumbo and super-jumbo - primary, secondary or investment properties, 1-4 units, and FHA financing. Over the years, I have been extremely diligent in the purchase and refinance market and I understand every facet to get a deal closed. In addition, my clients see me as their trusted mortgage advisor, as someone who can think outside the box and as someone who can successfully handle the current lending challenges.
When I'm not at the office, you will probably find me (and my dog, Gigi) soaking up all that the Los Angeles area has to offer - usually exploring new hot spots, exercising, hiking, painting, drawing and hanging out with my friends and family.
I really love what I do and I'm so grateful to be working and living in Los Angeles and I look forward to helping you or your clients finance their homes!
By Rez Santiago | Aug 22, 2020
A “no-cost” refinance simply means that you’re not using any cash reserves to pay the closing costs upfront but in other ways. Mortgage interest rates are the lowest in 50 years, according to the Wall Street Journal and we can now offer you refinancing with almost nothing out of pocket. Although interest rates are at historic lows, refinancing only makes sense if you are aware of all that is involved in your refinancing process.
Below are the important things to note when considering this route on the path to achieve your financial goals:
The truth is you will still have to pay closing costs
The expression “there ain’t no such thing as free lunch” also applies to “no-cost” refinancing. When refinancing, it’s important to note that the national average closing costs is not indicative of what your loan will cost. Rather it is contingent on the size of the new loan you’ll take out, and it could range from 2 percent to 6 percent of the outstanding principal. Instead of paying for the upfront costs upon closing on a new loan, your lender could give you the option to either increase your interest rate or roll costs into your principal in order to cover the closing fees. Since a refinancing transaction involves other parties with their own fees, your lender will initially shoulder your closing costs and help you take advantage of the historically low interest rates. It is very appealing as many need to use funds for other important things such as education, remodeling, or other investments. Many find that maintaining cash reserves has become extremely important during the pandemic.
If you decide to fold closing costs into your loan and anticipate that you may be refinancing in a few years, please ask one of our Loan Advisors about prepayment penalties, and if it would apply to you.
You Should Have Sufficient Home Equity
Equity is the current market value of your home that you own. Having enough home equity is important when refinancing as it ensures your lender will be able to secure your new loan. Home equity typically determines how much you are able to borrow, as well as the interest rate your lender will charge you. Most lenders prefer that the current appraised value of your home is at least 20 percent or more. This becomes a larger factor if you are looking to cash-out your equity and skip closing costs. Although you may be able to refinance with less than 20 percent equity, it may affect your monthly payments and insurance rates. Refinancing may not make sense if you only have a few years left to complete your mortgage as it will reset your amortization.
BUT, if you think you’ve built enough equity after a few years with your current mortgage loan, this could be the best time to contact your loan advisor for a mortgage checkup.
Find Out if it Makes Sense to Pay Closing Costs
Paying closing costs is worth considering if you are able to cover the upfront refinancing costs without sacrificing emergency funds. Paying closing costs upfront will ultimately help you get a competitive interest rate for those who anticipate not selling the home.
“No-cost” refinancing is advisable though, if there is the possibility of selling or refinance again within three to five years and you aren’t able to cover the upfront closing costs. This will allow you to take advantage of a much better rate or cash out your home equity.
Discuss Your Refinancing Options with an RPM Mortgage Loan Advisor
Consider a “no-cost” refinance if you want to take advantage of the historic low mortgage interest rates and you want to use your finances for other important matters. Since you’ll still pay closing costs, it’s important that you know if you’ll benefit from the process.
Call, text, or email us today to better understand your refinancing options!
By Robbie Chrisman | Aug 14, 2020
I loathe to sound like a cheesy salesman, though there is no other way to say that record low mortgage rates are driving a healthy housing market. Each week, the weekly mortgage rate surveys released by housing agencies and independent companies tick a couple percentage points lower, and average jumbo rates are currently under three percent. That means money for your house is incredibly cheap. With recent news of coronavirus cases spiking in certain areas of the country and the potential of a second wave in the fall when schools reopen, money is going into a safer place (i.e. mortgage bonds and treasuries) and that keeps rates low.
The Federal Reserve has aided in stabilizing the mortgage market by consistently buying mortgage-backed securities since the COVID-19 pandemic started to ensure the housing market remains steady as it’s important that companies have adequate access to capital and borrowing costs are cheap to avoid a housing crisis. In addition to the Fed buying MBS, we’re also seeing the natural supply and demand of a healthy mortgage market, which is a good sign. For example, jumbo rates have come down despite the Fed not buying mortgage backed securities in the jumbo space.
For the general public, homeownership has become more important now than ever before. It’s where we live, work, go to school, workout and entertain. The pandemic has already driven a big push out to the suburbs with many people wanting to upgrade into a bigger space. A condo in a city high-rise might have seemed like a good idea four months ago, but may not be as practical right now. Renters and owners alike are reevaluating what they want in a living space.
Purchase applications are up 33 percent year over year (from June 2019 to June 2020), which is a huge increase. According to Redfin, more than half of their offers were part of bidding wars for the second month in a row in June. That is largely due to constraints on inventory. In June, the number of homes overall for sale in the U.S. was down 21.3 percent year over year, while the number of new listings was down 12 percent, leaving availability at its lowest level in nearly a decade.
Due to these bidding wars, a large percentage of homes have sold over asking. Now, just because something is going for over the asking price does not mean someone is overpaying. There are a lot of buyers that went over asking in these markets three, four and five years ago and their houses are worth a lot more money today than they were a couple of years ago. Those people don’t feel like they overpaid. This will likely be the norm for some time so it’s important for buyers to be prepared. If a buyer knows their numbers – what their monthly payments will be, what down payment is needed, for a range of prices, they will not be overwhelmed by the competitive market. Prepared buyers will have success, win offers, and do well in an overbid situation. Give us a call and we can help answer all your mortgage-related questions and clear up your financial picture.
Tony is a pro! He was always present, available and ready to answer whatever questions we had. He is responsive to any request... and made the entire experience as painless as possible. Tony was invaluable during this process. He was professional and knowledgeable as well as communicative and responsive. He made himself available (even after hours) and walked us through each step.
We would highly recommend him.
With Tony's guidance, my first time home buying experience was seamless. He was attentive, accurate and responsive to all my questions, and most importantly, I felt like I wasn't just another client to make money off of.
Additionally, even after I purchased the home, Tony was helpful with all the documents that came my way that I needed interpreted.
Our original mortgage broker's rates were about a quarter percent higher than Tony's, so we started the loan process with Tony, a few days after our offer was accepted. He and his assistant worked fast, and got our loan done in time, at a good rate. Finding someone you can trust to navigate you thru this complicated and zero-fun process is really hard but Tony was a miracle! He answered my many questions and was always there for me, helping advise me on the best path forward. I used him for 2 loans now and he is FANTASTIC! Tony Svoboda not only made our home-ownership dreams come true he made the intimidating mortgage process a breeze. His rate was the most competitive, gave us an underwritten pre-approval,
a quick close on the loan and he was always a phone call, text or email away. My wife and I are both artists and the loan process at conventional banks never left us feeling comfortable. I rarely leave reviews but felt the need to share this recommendation with the world. I've already linked Tony up with a friend who he's assisting with a new loan. If I could add stars I would... thank you Tony!