Wholesale

Creating Trust with Wholesale Mortgages

I offer creative financing, offering wholsale mortgages for a flat fee and a processing fee. Estimates of all third party fees (i.e. underwriting, appraisal, title, etc.) are fully disclosed. You will know all the fees upfront and have the confidence that you can choose the program that best suits your financial goals. This can save you thousands of dollars on your next mortgage.

A wholesale mortgage gives you the following benefits:

You get access to wholesale interest rates posted by lenders, which may be between 1/4 to 5/8 percent below retail.
You are assured of fair and honest treatment because of pricing transparency and the absence of conflict. I do not make more money by offering you a higher rate.
You receive the benefit of my expertise, counsel, and contacts

in shopping multiple wholesale lenders for the best deal,
on the least-costly loan programs that meet your needs,
on methods of overcoming barriers to loan qualification.

I have a fudiciary duty to you, and my compensation is fully disclosed in writing. This means your needs come first, and I earn your trust and your referrals.

Read on to Learn More About Wholesale Mortgages

How do you get the best wholesale price? Shop for a broker, not a mortgage.

Brokers are paid by marking up the wholesale price to the borrower, quoting the resulting “retail prices” to borrowers. The markups are disclosed by law, but usually only the application has been submitted and just before closing. Ethical brokers can usually offer better deals than retail lenders, because they shop the best prices everyday from many wholesale lenders. Nevertheless, there are opportunities for abuse as some brokers can get paid more by offering a higher rate or they may increase their markup just before closing when the borrower has lost their bargaining power.

How do I get paid? I charge fixed fees based on the size and complexity of your loan.

The typical mortgage broker fee is about two percent for a loan of $200,000 with brokers getting one percent rebate from the wholesale lender and one percent in loan origination points from the borrower. This fee typically increases for smaller or difficult loans and decreases for larger or “slam dunk” loans. The actual fee is determined after I have reviewed and qualified the borrower.

How will this help you save money? You choose the rate and get the rebate.

Mortgage pricing is primarily based on two factors: rates and points. A wholesale lender allows the broker to determine the rates and points offered. For a given mortgage program the rebate typically increases with higher rates. A difference of 1/8 percent in rates on a $400,000 loan may cost $2,000 in rebates, but it can save over $10,000 over the life of the loan. The lowest rate is suitable if you are expecting to keep your home for many years, while the highest rate is better if you only plan to keep the house a few years or want help with closing costs.