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UWM now offering ultra-low mortgage rates on FHA loans
Ahead of its initial public offering slated for mid-December, United Wholesale Mortgage is offering mortgage rates below 2% on FHA loans through its Conquest Program.
UWM, the second-largest lender in the country, is offering rates between 1.99% and 2.5% on FHA loans, the company announced in a statement on Wednesday. The rates will be available on FHA purchase mortgages, FHA rate and term refinances, and FHA streamline refinances.
On Wednesday, the FHA announced new loan limits for 2021, increasing those amounts to $356,362 for much of the U.S. and to $822,375 in high-cost areas.
The Conquest FHA announcement is the latest in a series of UWM product launches in 2020. The lender, led by CEO Mat Ishbia, has offered ultra-low mortgage rates on VA purchase and IRRRL loans, as well as purchase and refinances on both 30-year and 15-year fixed-rate products.
Not all borrowers have qualified for the products, and to obtain the lowest rates borrowers have had to buy points upfront.
5 reasons to refinance your mortgage right now
If youâre thinking about refinancing your mortgage, here are five reasons why you might want to act now and reach out to a loan officer.
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Like many other mortgage companies, UWM has ridden a wave of record-low mortgage rates and rising home prices en route to its best-ever year in 2020.
As of the end of the third quarter, Pontiac, Michigan-based UWM closed nearly $128 billion in production, eclipsing the $108 billion it originated throughout all of 2019, the firm said. UWM originated $54.2 billion in closed loans during the third quarter, an 81% increase from the $29.9 billion it originated in Q3 2019 (loan volume was up 31.8% from Q2 2020).
According to company statements, net income totaled $1.45 billion in the third quarter, up from $198 million during the same period in 2019. The gain-on-sale margin also inched up to a record 3.18%; a year ago it was 1.29%.
In the summer, UWM announced it was merging with a blank-check company led by businessman Alec Gores. Ishbia, who will control 94% of the company, is seeking a valuation of about $16.1 billion. He’s described the impetus to go public as achieving greater scale, promoting the broker channel, and avoiding having to sell mortgage servicing rights.
The mortgage brokers that UWM bet its future on and championed have also reaped the rewards from low mortgage rates and a boom in mortgage originations over the last few quarters.
According to Inside Mortgage Finance, the wholesale and correspondent channels in the third quarter rose 34.1% from the second to the third quarter. By contrast, there was only a 9.2% increase in retail production and 16.9% growth in total first-lien originations, the publication reported. The third-party-origination share of third-quarter production rose 4.5 percentage points to 35.5% in the third quarter.
The post UWM now offering ultra-low mortgage rates on FHA loans appeared first on HousingWire.
Source: housingwire.com
Intercontinental Capital Group to add 500 jobs in Charlotte
New York-based mortgage lender InterContinental Capital Group plans to make a big investment in Charlotte, North Carolina.
The lender will add 500 jobs in Charlotte over the next five years as a part of a $5.8 million capital investment, North Carolina Gov. Roy Cooper said in a news release on Tuesday.
Overall, $8.45 million in incentives has been offered by the state, including $7.7 million through the Job Development Investment Grant program, $650,000 from the community college system and $109,661 in city investment grants.
The North Carolina Department of Commerce, who spearheaded the agreement with ICG, was in competition with several other cities, such as Indianapolis, which offered the company $15 million, and Richmond, Virginia, which offered $4 million.
âAs we evaluated different locations, it became clear that whether we were looking for marketing talent to better connect with customers, engineers eager to build tomorrowâs solutions today, sales and operations talent passionate about customer service or a budding workforce eager to make a transition, they were all here in Charlotte,â said ICG founder and CEO Dustin DiMisa.
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According to the release, the companyâs new job offerings in 2021 include sales, marketing, fulfillment, tech, administration and executive management and will average its salaries at $87,500 per year. By 2025, the state estimates more than $47.3 million in annual payroll will have impacted the Charlotte region.
ICG, headquartered in Long Island, New York, currently has approximately 2,000 employees nationwide with 179 stationed in the Charlotte location. ICGâs chief operating officer and chief marketing officer, Daniel Wilson and Laura Ashley, told Charlotte Business Journal on Tuesday that no decisions have been made yet on additional space to accommodate the growth or the 500 new hires promised over the next five years.
Founded in 2005, ICG currently operates in 46 states and the District of Columbia and also operates a military focused arm known as Veterans Community Home Loans.
Charlotte has proved to be a hot market in recent years with companies such as Better.com, BB&T and SunTrust, Beeline, Knock and Zillow.
At the time of its expansion into the city, Better.com CEO and founder Vishal Garg said, âwe see an entrepreneurial hunger and spirit in the city of Charlotte that is akin to what we used to see in places like downtown Manhattan in the 1980s and Silicon Valley in the 1990s.â
A December Realtor.com report also predicts Charlotte as the number three hottest housing market for 2021 as both a popular destination for millennials and retirees.
The post Intercontinental Capital Group to add 500 jobs in Charlotte appeared first on HousingWire.
Source: housingwire.com
Best Mortgage Refinance Lenders for 2020
Refinancing your mortgage can be a smart financial move if you do it the right way. You can tap into your home equity, get a lower interest rate, or even shorten or lengthen the terms…
The post Best Mortgage Refinance Lenders for 2020 appeared first on Crediful.
Source: crediful.com
How COVID-19 is Affecting Mortgages
Coronavirus cases are increasing at a phenomenal rate and sending the economy into free-fall. Every industry will be affected in some way, but the housing market could be one of the hardest hit. Borrowers are struggling to pay their mortgages, lenders are seeing far fewer applications, and we could be just around the corner from a housing crisis akin to the decline of 2008.
So, whatâs happening here, how is COVID-19 affecting mortgages and are we likely to see any major issues on the horizon?
How Will COVID-19 Impact Mortgages?
In early March, mortgage rates dropped to an all-time low, hinting at things to come. The rate for a 30-year fixed-term mortgage fell to 3.29%, compared to March of 2019 when rates were 4.14%. That may not seem like much of a difference, but the difference between 3.29% and 4.14% on a $200,000 30-year mortgage is around $35,000.
And this is just the tip of the iceberg; the start of the problem.
Experts predict that rates will continue to fall as we progress through 2020 and COVID-19 continues to wreak havoc on the US economy.
As noted in our recent guide to Coronavirus Mortgage Relief, lenders are already providing lenders with debt relief options to help them manage their mortgage in this difficult time. Foreclosure is expensive and itâs an expense that banks and credit unions canât afford right now. They want homeowners to pay their bills and keep their homes and they will do everything they can to make that happen.
The federal government is also lending a helping hand by way of the CARES act, and we could see more significant moves on behalf of lenders and the government before the year draws to a close.
In other words, although big moves have been made and huge changes have taken place, all of this could pale in comparison to what happens when the pandemic is eradicated and the rebuilding process begins.
Can You Benefit from this?
If youâre a homeowner tied to a high-interest rate, you could benefit from the current reduced interest rates by refinancing your mortgage. You could do that now and capitalize on the all-time low rates mentioned above or wait to see what happens in the next few months.
In any case, you can get a much lower rate than what you already have and potentially save thousands of dollars over the life of your loan.
Itâs not about profiting from a bad situation, itâs about making life easier for yourself so you can navigate through this chaos. If your monthly mortgage payment is reduced, youâll have more money in your pocket every month, which means you can put more cash towards unsecured debts and your monthly grocery bill.
It also reduces your chances of defaulting and being foreclosed upon in the future.
COVID-19 and the Housing Market
In the spring of 2019, the housing market was booming. It was a good time to invest in bricks and mortar and it seemed like there were some bright years ahead for homeowners and investors.Â
In 2020, the shadow of the coronavirus pandemic fell on the country and now, a year on from that boom, the housing market has ground to a screeching halt. No one is selling because no one is buying. The market hasnât necessarily crashed, but it has paused, and that could cause some huge problems in the near future.
What happens to all the homeowners who were selling their homes before this crisis and wanted to sell during? As soon as the pandemic fades away, theyâll all list their homes at the same time, and theyâll no doubt be joined by countless other homeowners who are selling because of the pandemic.
Once the market reopens, it will be flooded with homes for sale. At the same time, homeowners once ready to buy will now be struggling to deal with the consequences of the pandemic, while others will be hesitant of buying and will want to bide their time. Sellers will get desperate, prices will drop, and it will be a buyerâs market.
Itâs hard to predict just how far house prices will fall or even if they will fall at all, but if the last few months are anything to go by, itâs fair to assume that the damage will be considerable.
Could it be a Sellerâs Market?
While it seems most likely that post-pandemic USA will be a buyerâs market, it could also go the other way. Millions of Americans could be looking to purchase homes in 2020. If all of them are waiting for the end of the pandemic in the hope that the prices will be lower and the interest rates more favorable, they could overload the market.
Buyers may also be desperate to sink their money into bricks and mortar, believing it to be a safe investment and protection against any future economic issues. After all, when you rent, youâre always at the mercy of the landlord and have few guarantees that your home will still be your home months down the line.
Thatâs a scary thought in the middle of a pandemic, where it may be difficult, and in some cases impossible, to move into another property on short notice.
To remedy this, renters may be desperate to buy and may jump into the housing market as soon as the chaos dies down. A sudden rush of buyers will send the market in the opposite direction, allowing sellers to jack up their prices.Â
COVID-19, Mortgages, and the Future of the Housing Market
Most of which we discussed above is speculation. We can predict the likelihood of it being a buyerâs market and of interest rates falling based on everything that has happened thus far, but we canât say that it will happen for certain.
COVID-19 has made life very unpredictable. In December 2019, when word of the first Chinese cases began to filter to our shores, few could have guessed that just 3 months later, the world would be in lockdown, everyone would be going crazy for toilet paper, and people would be dying in their droves.Â
At the beginning of the outbreak, when Europe was on its knees, President Trump was dismissive of the risks and suggested that everything would be okay, the US would be safe, and the virus would be fleeting. A few weeks later, the United States became the worst affected country and fatalities entered double figures.
Itâs a novel pandemic that few predicted, and no one was prepared for, and as things stand itâs less about fighting the disease and more about avoiding it.Â
As a result, we canât be certain that the housing market will decline or that mortgage rates will drop. We just have to wait and see and hope that we all get through this with our lives, properties, and professions intact.
How COVID-19 is Affecting Mortgages is a post from Pocket Your Dollars.
Source: pocketyourdollars.com
Should You Buy A House When Youâre In Debt? Things To Consider First
Buying a home is part of the American Dream. These days many people are delaying that dream, due to being in debt. But should they?
The post Should You Buy A House When Youâre In Debt? Things To Consider First appeared first on Bible Money Matters and was written by Melissa. Copyright © Bible Money Matters – please visit biblemoneymatters.com for more great content.
Source: biblemoneymatters.com
Best Places to Work in Manufacturing â 2020 Edition
Manufacturing has a special place in the American story, but for the past few decades, this sector has been largely on the decline, impacting many workers and affecting decisions around things like budgeting and where they call home. Since 1997, more than 91,000 manufacturing plants have closed and almost 5 million manufacturing jobs have been lost, according to a 2020 study from the Economic Policy Center. Still, there are jobs to be had and careers to be built in the world of manufacturing in the U.S., provided you are looking in the right places. To that end, SmartAsset analyzed various data to find the best places to work in manufacturing in 2020.
To find the best places to work in manufacturing, we compared 378 metro areas across the following metrics: manufacturing as a percentage of the workforce, job and income growth between 2015 and 2018, job and income growth between 2017 and 2018, housing costs as a percentage of income and unemployment. For details on our data sources and how we put all the information together to create our final rankings, check out the Data and Methodology section below.
This is SmartAssetâs fifth study on the best places to work in manufacturing. Read the 2019 version here.
Key Findings
- About one in 10 U.S. jobs is in manufacturing. Manufacturing represents 11.39% of jobs on average across all 378 metro areas we analyzed in our study. The metropolitan area where manufacturing makes up the highest percentage of jobs is Elkhart-Goshen, Indiana, where 57.45% of all jobs are in the manufacturing sector. The area where this rate is lowest is Laredo, Texas, where just 0.84% of the workforce is in manufacturing.
- In recent years, manufacturing income has grown faster than jobs in the industry. From 2015 to 2018, the average number of manufacturing jobs has grown by just 3.66%, while the average income for manufacturing workers has grown by 6.44%.
1. St. Joseph, MO-KS
The St. Joseph metropolitan area, located in both Missouri and Kansas, has 24.74% of its workforce in manufacturing, the 18th-highest rate in this study. Itâs also a place where jobs are fairly easy to come by: The unemployment rate in October 2020 was just 3.1%, 16th-lowest across all 378 areas we studied. St. Joseph scores lower in terms of income growth between 2015 and 2018 â though still within the top half of the study â coming in 145th for this metric, at 7.61%.
2. Lafayette-West Lafayette, IN
In the Lafayette-West Lafayette, Indiana metro area, home to Purdue University, around 25.23% of the workforce consists of manufacturing workers, the 16th-highest rate for this metric in the study. Income growth between 2017 and 2018 was especially high here, at 16.64%, seventh-highest of the 378 metro areas we analyzed. This seems to be a recent development, though, as income growth between 2015 and 2018 was not as robust at 8.73%, ranking in the top third of the study at 126th.
3. Hinesville, GA
Hinesville, Georgia saw manufacturing job growth of 27.50% between 2017 and 2018, the third-highest increase for this metric in the study. It also finished 38th in terms of job growth between 2015 and 2018, at a total of 14.50%. In this metro area, 17.81% of the workforce is in manufacturing, placing this coastal community 59th in the study for this metric, a top quartile finish.
4. Decatur, IL
Decatur, Illinois, in the central part of the Land of Lincoln, saw income for manufacturing jobs increase by 33.08% between 2015 and 2018, the fourth-highest increase in the study for this metric. The one-year increase in manufacturing job income between 2017 and 2018 was 12.88%, the 10th-highest bump in the study. Decatur is also a fairly affordable place to live, as housing costs represent just 10.81% of income on average, the fifth-lowest rate for this metric across all 378 metro areas in the study.
5. Spartanburg, SC
In Spartanburg, South Carolina, manufacturing jobs represent 25.05% of the entire workforce, the 17th-highest percentage for this metric overall. Spartanburg also ranks in the top 20 for both job-growth metrics: It comes in 15th for job growth between 2017 and 2018 (11.45%) and 18th for job growth between 2015 and 2018 (18.98%).
6. Fond du Lac, WI
In Fond du Lac, Wisconsin, 20.98% of the workforce holds jobs in manufacturing, the 30th-highest percentage we saw in the study for this metric. The unemployment rate in Fond du Lac for October 2020 was 3.7%, the 32nd-lowest rate on this list. The Fond du Lac metro area ranks toward the middle of the study in terms of housing costs as a percentage of income, placing 155th at 19.29%.
7. Columbus, IN
Manufacturing employees constitute 27.78% of the workforce in the Columbus, Indiana metro area, the 10th-highest rate for this metric in the study. From 2017 to 2018, the manufacturing job base grew just 1.67%, ranking 177th of 378 overall. The metro area also ranks toward the middle of the study in terms of housing costs as a percentage of income, ranking 160th with housing costs at 19.37% of income on average.
8. Rome, GA
Between 2017 and 2018, income for manufacturing workers actually went down 0.09% in the Rome, Georgia metro area, placing the locale in the bottom quarter of the study for this metric. However, the job market there is fairly strong right now: The unemployment rate in October 2020 was just 3.7%, 32nd-lowest overall. The Rome metro area is also a fairly robust town for manufacturing job opportunities, with 17.98% of jobs being in manufacturing, the 57th-highest rate we analyzed for this metric and a top-quartile result.
9. Appleton, WI
The workforce in the Appleton, Wisconsin metro area is 20.08% manufacturing employees, the 37th-highest rate of the 378 areas we studied. It also ranks strongly for long-term income growth, with pay for manufacturing jobs increasing 16.33% between 2015 and 2018, the 34th-largest leap we analyzed. Appletonâs job growth over the same time period is strong but not quite as robust, placing 102nd overall, at 8.63%.
10. Staunton-Waynesboro, VA
The final entry on this list is the Staunton-Waynesboro, Virginia metropolitan area. The metro area saw manufacturing jobs decrease by 0.32% between 2017 and 2018, ranking 256th overall for this metric. However, it performs well in terms of income growth between 2017 and 2018, for which it places 23rd of 378, at 9.97%. The Staunton metro area also ranks well for job growth between 2015 and 2018, with a 15.26% jump that places it 34th in the study for this metric.
Data and Methodology
To find the best places to work in manufacturing, we compared 378 metropolitan areas across the following metrics:
- Manufacturing as a percentage of the workforce. This is the percentage of all workers employed by manufacturing firms. Data comes from the Census Bureauâs 2018 County Business Patterns Survey.
- Three-year job growth. This is the percentage change in the number of people employed by manufacturing firms from 2015 to 2018. Data comes from the Census Bureauâs 2015 County Business Patterns Survey and Census Bureauâs 2018 County Business Patterns Survey.
- One-year job growth. This is the percentage change in the number of people employed by manufacturing firms from 2017 to 2018. Data comes from the Census Bureauâs 2017 County Business Patterns Survey and Census Bureauâs 2018 County Business Patterns Survey.
- Three-year income growth. This is the percentage change in manufacturing workersâ average incomes from 2015 to 2018. Data comes from the Census Bureauâs 2015 County Business Patterns Survey and Census Bureauâs 2018 County Business Patterns Survey.
- One-year income growth. This is the percentage change in manufacturing workersâ average incomes from 2017 to 2018. Data comes from the Census Bureauâs 2017 County Business Patterns Survey and Census Bureauâs 2018 County Business Patterns Survey.
- Housing costs as a percentage of average income for manufacturing workers. Data on median housing costs comes from the Census Bureauâs 2019 1-year American Community Survey. Data on the average income for manufacturing workers comes from the Census Bureauâs 2017 County Business Patterns Survey.
- Unemployment rate. Numbers come from the Bureau of Labor Statistics and are for October 2020. This rate incorporates all professions, not just manufacturing-specific ones.
First, we ranked each metro area in each metric. From there, we found the average ranking for each metro area, giving an equal weight to all metrics except for manufacturing as a percentage of the workforce, which we double-weighted. We then ranked the areas based on this average ranking. The metro area with the best average ranking received an index score of 100 and the metro area with the worst average ranking received an index score of 0.
Tips for Manufacturing a Solid Financial Strategy
- Find an expert who will help you build a financial plan. Whether you work in manufacturing or some other industry, a financial advisor can help you make the most of your income and other money. Finding the right financial advisor doesnât have to be hard. SmartAssetâs free tool matches you with financial advisors in your area in five minutes. If youâre ready to be matched with local advisors that will help you achieve your financial goals, get started now.
- To buy or to rent? If youâre moving to a new city to work in a manufacturing job, youâll need to find a place to live. Use SmartAssetâs free calculator to see whether it makes sense to buy or rent.
- Work hard; save hard. Chances are, you donât want to be in the workforce at your manufacturing job for your entire life; eventually, youâd like to retire. If your company offers a workplace retirement plan like a 401(k), make sure to take advantage of it, as it is the easiest option for saving for retirement.
Questions about our study? Contact press@smartasset.com.
Photo credit: ©iStock.com/shironosov
The post Best Places to Work in Manufacturing â 2020 Edition appeared first on SmartAsset Blog.
Source: smartasset.com
Why Are Interest Rates Higher on Investment or Rental Properties?
Loans on investment properties often have higher interest rates than loans on second homes. Read on to find out more on getting great mortgage rates on these properties.
The post Why Are Interest Rates Higher on Investment or Rental Properties? appeared first on The Simple Dollar.
Source: thesimpledollar.com