Primary Residential Mortgage,Inc. seeks experianced Mortgage professionals to join our team. If you are a motived self-starter with at least 3 years experience originating mortgage loans, you owe it to yourself to check out our BranchPartner business model. (Not the Typical Mortgage Net Branch Opportunity)
Primary Residential Mortgage Inc. is an independant originator of residential mortgage loans. We underwrite, fund, and sell our mortgage products to the leading correspondent mortgage bankers in the U.S.
Monday, October 22, 2007
Saturday, October 20, 2007
FHA Down Payment Assistance Axed
The U.S. Department of Housing
and Urban Development (HUD) has recently announced that starting October
31, 2007, they will cease down payment assistance programs for loans with
down payment funds provided by specialized non-profit organizations. These
non-profits are set up to aid borrowers unable to provide the minimum 3%
required for Federal Housing Authority (FHA) loans.
HUD cites statistics that the down payment assistance programs have
foreclosure rates that are two-times as much as other programs. Of loans
made in 2000 and 2001 with assistance from non-profit down payment
programs, the foreclosure rate is around 15%, while the typical FHA rate is
6%. If the high number of foreclosures on these loans continues, the FHA
reports the down payment assistance program, as currently constituted, will
have to operate in the red.
HUD's announcement comes in the wake of 223,538 September foreclosures,
a 100% jump over September of last year.
The decision to discontinue this type of assistance has been met with
opposition. Demand for FHA loans has increased significantly in the
preceding months, as the subprime mortgage crisis has created a void for
certain products. FHA loans have once again became en vogue for borrowers
with lower credit scores and who lack sufficient down-payment and
closing-cost funds.
While gifts from parents are still permissible, seller arranged down
payments through these non-profits will be prohibited. Several of these
non-profits are challenging HUD's decision in federal court, contending
their exclusion from the market will hurt lower-income homebuyers.
"We fear that HUD is basing their decision to eliminate the down
payment assistance programs off of a black-and-white statistical scenario,"
says David Zitting, President and CEO of Primary Residential Mortgage, Inc.
"Yes, there may be higher foreclosure rates for loans that were completed
by utilizing these programs, but it is highly unlikely that the actual
assistance program was the main cause, but more that it was more of a
negative layering effect within the overall credit package. When you layer
negative issues, like poor payment performance on other consumer debt,
outstanding collection accounts (above $1000), short tenure on job or poor
job stability -- then, in turn, you add a feature that doesn't require the
borrower to invest dollars into the transaction; this is for a recipe for
foreclosure."
"We believe that further study should be made to truly determine what
percentage of loans with down payment assistance programs actually went
into foreclosure that weren't married up to these negative layering
characteristics," says Zitting. "I would bet that the loans in that bucket
perform very closely to regular FHA loans that did not utilize the
assistance program. It is our opinion that HUD should reconsider their
decision to eliminate the down payment assistance programs and allow
potential new homeowners to utilize these resources if they can demonstrate
that the other characteristics of their ability to borrow are stable."
and Urban Development (HUD) has recently announced that starting October
31, 2007, they will cease down payment assistance programs for loans with
down payment funds provided by specialized non-profit organizations. These
non-profits are set up to aid borrowers unable to provide the minimum 3%
required for Federal Housing Authority (FHA) loans.
HUD cites statistics that the down payment assistance programs have
foreclosure rates that are two-times as much as other programs. Of loans
made in 2000 and 2001 with assistance from non-profit down payment
programs, the foreclosure rate is around 15%, while the typical FHA rate is
6%. If the high number of foreclosures on these loans continues, the FHA
reports the down payment assistance program, as currently constituted, will
have to operate in the red.
HUD's announcement comes in the wake of 223,538 September foreclosures,
a 100% jump over September of last year.
The decision to discontinue this type of assistance has been met with
opposition. Demand for FHA loans has increased significantly in the
preceding months, as the subprime mortgage crisis has created a void for
certain products. FHA loans have once again became en vogue for borrowers
with lower credit scores and who lack sufficient down-payment and
closing-cost funds.
While gifts from parents are still permissible, seller arranged down
payments through these non-profits will be prohibited. Several of these
non-profits are challenging HUD's decision in federal court, contending
their exclusion from the market will hurt lower-income homebuyers.
"We fear that HUD is basing their decision to eliminate the down
payment assistance programs off of a black-and-white statistical scenario,"
says David Zitting, President and CEO of Primary Residential Mortgage, Inc.
"Yes, there may be higher foreclosure rates for loans that were completed
by utilizing these programs, but it is highly unlikely that the actual
assistance program was the main cause, but more that it was more of a
negative layering effect within the overall credit package. When you layer
negative issues, like poor payment performance on other consumer debt,
outstanding collection accounts (above $1000), short tenure on job or poor
job stability -- then, in turn, you add a feature that doesn't require the
borrower to invest dollars into the transaction; this is for a recipe for
foreclosure."
"We believe that further study should be made to truly determine what
percentage of loans with down payment assistance programs actually went
into foreclosure that weren't married up to these negative layering
characteristics," says Zitting. "I would bet that the loans in that bucket
perform very closely to regular FHA loans that did not utilize the
assistance program. It is our opinion that HUD should reconsider their
decision to eliminate the down payment assistance programs and allow
potential new homeowners to utilize these resources if they can demonstrate
that the other characteristics of their ability to borrow are stable."
Sunday, October 14, 2007
Mortgage Net Opportunities Proliferate as FHA Volume Rises
SALT LAKE CITY, UT--(Marketwire - October 5, 2007) - Mortgage Net Branch News -- (Primary Residential Mortgage, Inc.) -- The subprime mortgage meltdown has left many mortgage originators in need of a source of funds for their borrowers with less than prime credit. Mortgages insured by the Federal Housing Administration are increasingly filling that gap, but getting through government requirements to obtain FHA lender approval remains arduous.
To avoid dealing with these requirements alone, many of the 50,000 displaced mortgage professionals are seeking mortgage net branch opportunities, and several such companies are being created to meet this demand. By operating under the umbrella of a net branch company, originators can take advantage of the parent company's back-end support. Services typically include accounting, marketing, underwriting, shipping, and closing; more importantly, net branch companies often have the skilled professionals, the necessary licensing, and the asset requirements necessary to originate FHA loans.
However, loan officers are finding that these fly-by-night net branch companies, while boasting the ability to originate FHA loans, lack the experience and resources to help them through the process.
"Most of these new mortgage net branch operations do not have the systems or experience to support mortgage originators in a retail branch environment," says Dave Zitting, President and CEO of Primary Residential Mortgage, Inc., which has been a HUD/FHA Direct Endorsement lender since 1998. "We've spent the last 9 years perfecting these systems with the help of over 200 branches nationwide."
In August, Primary Residential Mortgage, Inc. added 3 large branches to its network. The company is continuing to expand its reach, and is in the process of hiring 35 new employees to offer the high level of support demanded by its increasing volume.
ABOUT PRIMARY RESIDENTIAL MORTGAGE, INC.
http://www.marketwire.com/mw/release.do?id=778104
Headquartered in Salt Lake City, Utah, Primary Residential Mortgage, Inc. (PRMI) was founded by Dave Zitting, Jeff Zitting, and Steve Chapman in 1998. Since its inception, PRMI has evolved from a four-person business to a nationwide multi-billion dollar operation with 800 employees working in approximately 200 Branches in 47 states. Branches operate under the PRMI brand or as DBAs as part of the Divisional Joint Venture and Consortium Partner programs. Serving all segments of the market, Primary Residential Mortgage , Inc. is a privately held, debt-free company that focuses primarily on traditional loan products. Licensed in Arizona, Alabama, Arkansas, California, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Minnesota, Mississippi, Montana, Nebraska, Nevada, New Hampshire, New Mexico, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee,Texas, Utah, Vermont, Virginia, Washington, Wisconsin, and Wyoming.
http://www.marketwire.com/mw/release.do?id=778104
To avoid dealing with these requirements alone, many of the 50,000 displaced mortgage professionals are seeking mortgage net branch opportunities, and several such companies are being created to meet this demand. By operating under the umbrella of a net branch company, originators can take advantage of the parent company's back-end support. Services typically include accounting, marketing, underwriting, shipping, and closing; more importantly, net branch companies often have the skilled professionals, the necessary licensing, and the asset requirements necessary to originate FHA loans.
However, loan officers are finding that these fly-by-night net branch companies, while boasting the ability to originate FHA loans, lack the experience and resources to help them through the process.
"Most of these new mortgage net branch operations do not have the systems or experience to support mortgage originators in a retail branch environment," says Dave Zitting, President and CEO of Primary Residential Mortgage, Inc., which has been a HUD/FHA Direct Endorsement lender since 1998. "We've spent the last 9 years perfecting these systems with the help of over 200 branches nationwide."
In August, Primary Residential Mortgage, Inc. added 3 large branches to its network. The company is continuing to expand its reach, and is in the process of hiring 35 new employees to offer the high level of support demanded by its increasing volume.
ABOUT PRIMARY RESIDENTIAL MORTGAGE, INC.
http://www.marketwire.com/mw/release.do?id=778104
Headquartered in Salt Lake City, Utah, Primary Residential Mortgage, Inc. (PRMI) was founded by Dave Zitting, Jeff Zitting, and Steve Chapman in 1998. Since its inception, PRMI has evolved from a four-person business to a nationwide multi-billion dollar operation with 800 employees working in approximately 200 Branches in 47 states. Branches operate under the PRMI brand or as DBAs as part of the Divisional Joint Venture and Consortium Partner programs. Serving all segments of the market, Primary Residential Mortgage , Inc. is a privately held, debt-free company that focuses primarily on traditional loan products. Licensed in Arizona, Alabama, Arkansas, California, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Minnesota, Mississippi, Montana, Nebraska, Nevada, New Hampshire, New Mexico, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee,Texas, Utah, Vermont, Virginia, Washington, Wisconsin, and Wyoming.
http://www.marketwire.com/mw/release.do?id=778104
Sunday, September 30, 2007
Friday, September 28, 2007
FHA Modernization Act of 2007 and the Subprime Mortgage Meltdown
SALT LAKE CITY, UTAH (Primary Residential Mortgage, Inc.)
As the subprime mortgage meltdown continues to plague the housing market, congress is working feverishly to pass the FHA Modernization Act of 2007.
The Center for Responsible Lending recently determined that as many as 2.2 million sub-prime mortgage loans made in recent years will end in foreclosure, costing homeowners as much as 164 billion dollars.
Congress voted to adopting reforms to the Federal Housing Administration that many proponents believe will help hundreds of thousands of struggling homeowners avoid foreclosure in the coming years.
The House overwhelmingly approved a bill to modernize the federally insured loan program that provides affordable fixed rate mortgage loans, and aid first-time home buyers. The Senate Banking Committee approved a similar reform bill the following day that will likely serve as the template for a final version that lawmakers will send to the White House.
"This legislation is urgently needed to help sub-prime mortgage borrowers avoid foreclosure by refinancing into federally insured home loans" said David Zitting, President and CEO, Primary Residential Mortgage, Inc. "We really haven’t a moment to lose; this sub-prime mortgage meltdown is significantly affecting our economy"
As recently as 2003, Primary Residential Mortgage, Inc. closed 5,721 FHA loans, and the company expects volume to surge again as investors continue to tighten guidelines and eliminate other comparable products. As options for first-time home buyers and the credit-impaired decrease, borrowers are once again turning to FHA hoping to find relief. FHA loans offer several benefits, including low down payments, low closing costs, and easy credit qualifying.
The Federal Housing Administration announced the creation of a program to help struggling homeowners with good credit histories avoid foreclosure. The program could help up to 240,000 households across the country. The "FHA Secure" plan allows homeowners who have missed a payment after adjustable interest rates have reset to refinance their mortgage with the FHA at a lower rate.
"Primary Residential Mortgage, Inc. is in full support of the FHA Secure initiative" said Zitting. "We’re confident this is a step in the right direction not just for the mortgage community, but more importantly, for borrowers"
ABOUT PRIMARY RESIDENTIAL MORTGAGE, INC.
Headquartered in Salt Lake City, Utah, Primary Residential Mortgage, Inc. (PRMI) was founded by Dave Zitting, Jeff Zitting, and Steve Chapman in 1998. Since its inception, PRMI has evolved from a four-person business to a nationwide multi-billion dollar operation with 800 employees working in approximately 200 Branches in 47 states. Branches operate under the PRMI brand or as DBAs as part of the Divisional Joint Venture and Consortium Partner programs. Serving all segments of the market, PRMI is a privately held, debt-free company that focuses primarily on traditional loan products.
Related Stories:
"FHA Volume Surging"--Dave Zitting, President and CEO, Primary Residential Mortgage Inc,
House passes FHA modernization bill
Congress to vote on the FHA Modernization ACT of 2007
Subprime Mortgage Crisis Continues
As the subprime mortgage meltdown continues to plague the housing market, congress is working feverishly to pass the FHA Modernization Act of 2007.
The Center for Responsible Lending recently determined that as many as 2.2 million sub-prime mortgage loans made in recent years will end in foreclosure, costing homeowners as much as 164 billion dollars.
Congress voted to adopting reforms to the Federal Housing Administration that many proponents believe will help hundreds of thousands of struggling homeowners avoid foreclosure in the coming years.
The House overwhelmingly approved a bill to modernize the federally insured loan program that provides affordable fixed rate mortgage loans, and aid first-time home buyers. The Senate Banking Committee approved a similar reform bill the following day that will likely serve as the template for a final version that lawmakers will send to the White House.
"This legislation is urgently needed to help sub-prime mortgage borrowers avoid foreclosure by refinancing into federally insured home loans" said David Zitting, President and CEO, Primary Residential Mortgage, Inc. "We really haven’t a moment to lose; this sub-prime mortgage meltdown is significantly affecting our economy"
As recently as 2003, Primary Residential Mortgage, Inc. closed 5,721 FHA loans, and the company expects volume to surge again as investors continue to tighten guidelines and eliminate other comparable products. As options for first-time home buyers and the credit-impaired decrease, borrowers are once again turning to FHA hoping to find relief. FHA loans offer several benefits, including low down payments, low closing costs, and easy credit qualifying.
The Federal Housing Administration announced the creation of a program to help struggling homeowners with good credit histories avoid foreclosure. The program could help up to 240,000 households across the country. The "FHA Secure" plan allows homeowners who have missed a payment after adjustable interest rates have reset to refinance their mortgage with the FHA at a lower rate.
"Primary Residential Mortgage, Inc. is in full support of the FHA Secure initiative" said Zitting. "We’re confident this is a step in the right direction not just for the mortgage community, but more importantly, for borrowers"
ABOUT PRIMARY RESIDENTIAL MORTGAGE, INC.
Headquartered in Salt Lake City, Utah, Primary Residential Mortgage, Inc. (PRMI) was founded by Dave Zitting, Jeff Zitting, and Steve Chapman in 1998. Since its inception, PRMI has evolved from a four-person business to a nationwide multi-billion dollar operation with 800 employees working in approximately 200 Branches in 47 states. Branches operate under the PRMI brand or as DBAs as part of the Divisional Joint Venture and Consortium Partner programs. Serving all segments of the market, PRMI is a privately held, debt-free company that focuses primarily on traditional loan products.
Related Stories:
"FHA Volume Surging"--Dave Zitting, President and CEO, Primary Residential Mortgage Inc,
House passes FHA modernization bill
Congress to vote on the FHA Modernization ACT of 2007
Subprime Mortgage Crisis Continues
Tuesday, September 25, 2007
Primary Residential Mortgage, Inc. in Full Participation of the FHA Secure Initiative
SALT LAKE CITY, UT--(Marketwire - September 24, 2007) - Mirroring market-wide demand, Primary Residential Mortgage, Inc. (PRMI) has seen a 71% increase from January to August of this year in federally insured Federal Housing Administration loans. Having been a HUD/FHA Direct Endorsement lender since 1998, the company is using their extensive experience to help borrowers utilize FHA loans.
The Center for Responsible Lending recently determined that as many as 2.2 million sub-prime mortgage loans made in recent years will end in foreclosure, costing homeowners as much as 164 billion dollars.
Congress voted to adopting reforms to the Federal Housing Administration that many proponents believe will help hundreds of thousands of struggling homeowners avoid foreclosure in the coming years.
The House overwhelmingly approved a bill to modernize the federally insured loan program that provides affordable fixed rate mortgage loans, and aid first-time home buyers. The Senate Banking Committee approved a similar reform bill the following day that will likely serve as the template for a final version that lawmakers will send to the White House.
"This legislation is urgently needed to help sub-prime mortgage borrowers avoid foreclosure by refinancing into federally insured home loans," said David Zitting, President and CEO, Primary Residential Mortgage, Inc. "We really haven't a moment to lose; this sub-prime mortgage meltdown is significantly affecting our economy."
As recently as 2003, Primary Residential Mortgage, Inc. closed 5,721 FHA loans, and the company expects volume to surge again as investors continue to tighten guidelines and eliminate other comparable products. As options for first-time home buyers and the credit-impaired decrease, borrowers are once again turning to FHA hoping to find relief. FHA loans offer several benefits, including low down payments, low closing costs, and easy credit qualifying.
The Federal Housing Administration announced the creation of a program to help struggling homeowners with good credit histories avoid foreclosure. The program could help up to 240,000 households across the country. The "FHA Secure" plan allows homeowners who have missed a payment after adjustable interest rates have reset to refinance their mortgage with the FHA at a lower rate.
"Primary Residential Mortgage, Inc. is in full support of the FHA Secure initiative," said Zitting. "We're confident this is a step in the right direction not just for the mortgage community, but more importantly, for borrowers."
ABOUT PRIMARY RESIDENTIAL MORTGAGE, INC.
Headquartered in Salt Lake City, Utah, Primary Residential Mortgage, Inc. (PRMI) was founded by Dave Zitting, Jeff Zitting, and Steve Chapman in 1998. Since its inception, PRMI has evolved from a four-person business to a nationwide multi-billion dollar operation with 800 employees working in approximately 200 Branches in 47 states. Branches operate under the PRMI brand or as DBAs as part of the Divisional Joint Venture and Consortium Partner programs. Serving all segments of the market, PRMI is a privately held, debt-free company that focuses primarily on traditional loan products.
The Center for Responsible Lending recently determined that as many as 2.2 million sub-prime mortgage loans made in recent years will end in foreclosure, costing homeowners as much as 164 billion dollars.
Congress voted to adopting reforms to the Federal Housing Administration that many proponents believe will help hundreds of thousands of struggling homeowners avoid foreclosure in the coming years.
The House overwhelmingly approved a bill to modernize the federally insured loan program that provides affordable fixed rate mortgage loans, and aid first-time home buyers. The Senate Banking Committee approved a similar reform bill the following day that will likely serve as the template for a final version that lawmakers will send to the White House.
"This legislation is urgently needed to help sub-prime mortgage borrowers avoid foreclosure by refinancing into federally insured home loans," said David Zitting, President and CEO, Primary Residential Mortgage, Inc. "We really haven't a moment to lose; this sub-prime mortgage meltdown is significantly affecting our economy."
As recently as 2003, Primary Residential Mortgage, Inc. closed 5,721 FHA loans, and the company expects volume to surge again as investors continue to tighten guidelines and eliminate other comparable products. As options for first-time home buyers and the credit-impaired decrease, borrowers are once again turning to FHA hoping to find relief. FHA loans offer several benefits, including low down payments, low closing costs, and easy credit qualifying.
The Federal Housing Administration announced the creation of a program to help struggling homeowners with good credit histories avoid foreclosure. The program could help up to 240,000 households across the country. The "FHA Secure" plan allows homeowners who have missed a payment after adjustable interest rates have reset to refinance their mortgage with the FHA at a lower rate.
"Primary Residential Mortgage, Inc. is in full support of the FHA Secure initiative," said Zitting. "We're confident this is a step in the right direction not just for the mortgage community, but more importantly, for borrowers."
ABOUT PRIMARY RESIDENTIAL MORTGAGE, INC.
Headquartered in Salt Lake City, Utah, Primary Residential Mortgage, Inc. (PRMI) was founded by Dave Zitting, Jeff Zitting, and Steve Chapman in 1998. Since its inception, PRMI has evolved from a four-person business to a nationwide multi-billion dollar operation with 800 employees working in approximately 200 Branches in 47 states. Branches operate under the PRMI brand or as DBAs as part of the Divisional Joint Venture and Consortium Partner programs. Serving all segments of the market, PRMI is a privately held, debt-free company that focuses primarily on traditional loan products.
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