By KIMBERLEY HAAS
As the housing market moderates after a whirlwind pandemic ride, affordability continues to be a chief concern for consumers and mortgage providers are responding with a variety of programs to encourage potential buyers to get off the sidelines.
Leaders at Rocket Mortgage say that a major hurdle on the path to homeownership for their clients is saving for closing costs and earlier this month they announced a national program where buyers can receive help through BUY+, a collaboration with Rocket Homes.
Buyers can receive a credit of 1.5% of their loan amount – up to $10,000 off their closing costs – by working with a Rocket Homes Partner Agent. Those working with an unaffiliated real estate professional…
Rocket Mortgage and Rocket Homes announced a new credit for buyers who use the companies to buy a home.
The program, BUY+, gives borrowers who obtain purchase financing from Rocket Mortgage and find a home through a Rocket Homes Partner Real Estate Agent a credit equal to 1.5% of their loan amount – up to $10,000 – to put toward closing costs.
Additionally, a homebuyer working with an unaffiliated real estate professional who refers them to Rocket Mortgage can receive a 0.75% credit on their loan amount. This is also true for buyers opting for a Verified Approval.
Rocket says this buyer can save nearly $2,500 on their closing costs if they put 5% down on a $350,000 home.
“There…
Leaders at Rocket Companies have debuted a credit card with cashback rewards designed for homebuyers.
The Rocket Visa Signature Card is the first credit card with rewards created for this purpose, Rocket leaders said in a press release.
“Every day, consumers tap their credit card to refill their gas tank, stock up on groceries or pay for any number of other purchases. Now, those transactions can unlock the dream of homeownership for millions of consumers across the country,” said Haroon Mokhtarzada, co-founder and CEO of Rocket Money.
“We are proud to offer Americans simple and achievable ways to invest in their financial freedom, whether it’s budgeting with Rocket Money, or redeeming credit card points toward their mortgage down payment or…
By KIMBERLEY HAAS
Leaders at Rocket Mortgage have been rolling out programs to serve potential homebuyers in underserved communities.
They announced last week that the company is the first national lender to offer Freddie Mac’s BorrowSmart Access program, which has a $3,000 credit for first-time homebuyers to use toward their down payment.
To qualify for this program, the buyer must have an income equal to or less than 140% of the area median income and meet all other Freddie Mac lending guidelines. The purchase must take place in an eligible county within one of 10 metropolitan areas.
The cities include Detroit, where Rocket is headquartered, Atlanta, Chicago, El Paso, Houston, McAllen, Memphis, Miami, Philadelphia, and St. Louis.
In December, Purchase…
Long-time Rocket CEO Jay Farner is retiring after 27 years and he says the move will give him more time to focus on his family.
Farner will officially retire effective June 1, 2023, according to a press release. He is also giving up his position on Rocket’s board of directors, effective immediately.
“Being part of this amazing organization has been one of the most rewarding experiences of my life. More than 27 years ago, fresh out of college, I decided to join a small mortgage company led by Dan Gilbert. I could never have predicted the amazing journey that one decision would have taken me on,” Farner said.
Farner joined Rock Financial– the company that would later become Rocket Mortgage…
The 30-year fixed rate slipped slightly again last week, prompting some pent-up buyers to lock in a purchase, Freddie Mac reported Thursday.
Freddie’s Primary Mortgage Market Survey found that the 30-year fixed-rate mortgage averaged 6.13%, down from 6.15% the week prior.
A year ago at this time, the 30-year FRM averaged 3.55%.
The 15-year fixed-rate mortgage fell from 5.28% to 5.17%. A year ago, it averaged 2.80%.
“Mortgage rates continue to tick down and, as a result, home purchase demand is thawing from the months-long freeze that gripped the housing market,” said Sam Khater, Freddie Mac’s chief economist. “Potential homebuyers remain sensitive to changes in mortgage rates, but ample demand remains, fueled by first-time homebuyers.”
Pending home sales have been…
The Mortgage Note’s Editor Kimberley Haas has been interviewing some of the leaders in the country over the past year. This podcast highlights the successes and innovations taking place in the mortgage industry. If you would like to participate in future episodes, please email us at [email protected]. Read Articles Featuring The Guests: Meet The Woman Behind “Wall Street South” You Can Get A Mortgage At Walmart Learn About Financing Manufactured Homes With Rocket’s EVP Of Capital Markets Guild Leaders Hope To Help Hispanic Homebuyers Through New Partnership The Future Landscape Of Cities: Live-Work-Play, Science Centers, Medical Offices Follow Us On Twitter:
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Guild Mortgage is rolling out a new rate buydown program, the company announced in a press release. The program, Payment Advantage, applies to any borrower locking in a conventional mortgage. Guild will then pay 1% of the borrower’s interest rate for one year. The borrower’s monthly payment will increase after that period, but they may then be eligible to refinance. The program is available until March 31, 2023. “Freddie Mac reported that the average commitment interest rate for a 30-year, conventional, fixed-rate mortgage was 6.90% in October, more than double the rate of 2.96% across all of 2021,” said Guild CEO Mary Ann McGarry. “With the rising costs of loans in today’s increasingly competitive housing market, we want to continue…
Leaders at Rocket Mortgage announced a conventional loan option this month for people who are interested in purchasing or refinancing a manufactured home. Manufactured homes are built at indoor homebuilding facilities in accordance with the U.S. Department of Housing and Urban Development Manufactured Home Standards. They are then delivered to the land where the owner will live. A recent report from the Manufactured Housing Institute shows manufactured homes are about a third of the cost, on average, of site-built homes. The Institute also stated that 22 million Americans currently live in manufactured homes and this building type accounts for 9 percent of new home construction. Bill Banfield, EVP of Capital Markets at Rocket Mortgage, sat down for an interview with The Mortgage Note…
As the market corrects and mortgage demand sinks, lenders are struggling to market themselves to a shrinking pool of rate-focused borrowers, according to J.D. Power’s latest U.S. Mortgage Origination Satisfaction Study. The study found that as demand hits a 22-year low, mortgage brokers are finding it difficult to stand out from the crowd. Borrowers are choosing lenders based solely on who is offering the lowest rate that day. “The average mortgage customer experience has become increasingly commoditized, with few lenders finding the right formula to build long-term trust and loyalty that truly stands out from the competition,” the report reads. Rocket Mortgage ranked highest for origination satisfaction, followed by Chase, Citi, and Fairway Independent. Overall, lenders were on equal footing…
