Mortgage Rates at 7 Year Highs...We Have A Solution

Since the historic dip in interest rates post-recession, interest rates have slowly risen and are now at their highest point over the last 7 years. Experts anticipate this upward trend to continue as the Federal Reserve projects to make additional rate hikes in the coming years. Per mortgage buyer Freddie Mac, “the benchmark 30 year rate is pushing towards the significant 5% level…”  

Although interest rates are going up, we have provided solutions to our clients to combat this. With most homeowners refinancing or selling their home every 5-7 years, Adjustable Rate Mortgages are a great solution. In a recent home purchase we funded, a client putting approximately 10% down and borrowing a $1,000,000 saved  around $40,000 in the first 7 years of the adjustable program. This is savings that they plan on allocating to paying down principal, which will accelerate his overall home equity.

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Post-recession, Adjustable Rate Programs have been taboo however, when coupled with a plan that is executed property, it can be a powerful savings tool. Adjustable Rate Mortgages not only decrease home buyers interest expense but increase overall affordability. If you or anyone you know is currently shopping for a home and feels the need to reduce their purchase price due to higher rates, have them reach out to us for a quick comparative analysis.

We Know Value, We Know Los Angeles

In Los Angeles more than 20% of the homes for sale have zoning violations or square footage added without a permit. These violations can lead to serious issues for both buyers and lenders, when they try to determine the value of a home for conventional loans. Unlike most banks and lenders who outsource their appraisals to appraisal management companies, we utilize our own hand selected panel of appraisers who on average have more than 20 + years of experience doing appraisals in Los Angeles. More importantly, our panel and underwriting team is up to date on recent changes to all investor guidelines including Fannie Mae; such as the ability to give value to an unpermitted area that are part of the main living area and are completed in workman like manner. This depth of understanding may be the difference in obtaining a sound appraisal that will allow your loan to be approved quickly so you can get to your closing. Timely delays caused by appraisal issues are the most common reasons buyers miss out on opportunities to buy their dream home or investment.

We recently financed a property in Highland Park where 35% of the living space was unpermitted. At a purchase price of $975,000, this could have had a detrimental impact on our client's home purchase, and required them to increase their down payment or cancel the purchase altogether. Fortunately, our experienced appraisal team was able to locate three similar properties and were able to peg the appraised value at an acceptable $975,000.

Do not risk your home purchase or refinance.  Stay in control with our trusted and experienced appraisal team. 

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Bought with Bitcoin

Over the last year the use of cryptocurrencies have become a popular investment vehicle. This phenomenon has created a need for lenders and banks to determine what place the currencies can have in the home buying landscape. Fortunately, we have helped many home buyers successfully navigate this process and continue to stay at the forefront of regulatory and guideline changes. If you are looking to leverage your cryptocurrency portfolio to diversify into real estate, make sure to contact us. 

A recent closed sale we helped facilitate using cryptocurrency in Eagle Rock:

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FASHION WEEK: 3.625% Is Back in Style


In honor of Fashion Week, we’re making sure everyone knows about the latest trend…mortgage rates as low as 3.625%!

New purchases and refinances may qualify starting today. Here is what the payment would look like for several purchase scenarios:

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Let us keep you in fashion and message us if you or anyone you know needs to refinance or purchase a home at these fashionably sleek rates.

*APR & Rates based on Single Family Home, owner occupied purchase or rate/term refinance with 760 FICO score and 20% down or equity. Picture from*

Buh-Bye Appraisal Inspections!

In an effort to streamline our process further, we are excited to announce an update to our underwriting guidelines that will allow us to approve & fund loans without an appraisal inspection! The days of worrying about a low or inaccurate appraisal will soon be behind us. No more gambling with your purchase, sale, or refinance… we now take the guess work out.

Another major benefit to waiving the appraisal inspection means our buyers can place offers without an appraisal contingency! Making our clients offers much stronger than other financed offers. 

Contact us now to find out more details on our streamlined approval & appraisal process. 

East Coast or West Coast? BOTH Coasts

We pride ourselves in having on-site processing and underwriting which allows us to prioritize our clients loans and fund/close faster than most lenders. Did you know that in addition to this on-site processing, we employ underwriters on the East Coast that start approving loans at 5 AM PST. This coupled with our West Coast team working until 6pm PST creates a 13 hour underwriting window instead of the traditional 8 hour underwriting day. 

Here's what a recent client had to say about our process..

“Thomas and Micah run a well-oiled machine. I couldn’t believe how fast they got everything done. We were selling our house, and they had loan docs sent to escrow before the buyer of our home was even approved! We were blown away and have already recommend them to our family and friends”

Accuracy, efficiency, and speed are our number 1 priority.

We are working from sun-up to sun-down so don’t hesitate to contact us with general inquires or last minute approval’s.  

Landlording in Los Angeles - Lunch & Learn

Owning an investment property in Los Angeles can be tricky and it is more important now than ever to know your rights as a landlord. Fortunately we have a few spots open for our private lunch & learn tomorrow afternoon at Alcove Bakery in Los Feliz. If you would like to join us, please respond to this email. Seating is limited.

Whether you already own or hope to buy an investment property, this informative seminar will give you some valuable insight and prepare for what's ahead. 

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Mortgage Monday: Rates at Best Levels of 2017

Mortgage rates hover just above all-time lows! We are strongly encouraging our clients to lock in these rates, which have not been available since the election took place in November! 

If you or someone you know is currently paying Mortgage Insurance, has a FHA loan, or a 2nd Mortgage/HELOC, now is a great opportunity to restructure mortgage debt. 

If you start this week, we may be able to complete your refinance before your next mortgage payment. For purchases, we can prioritize and close before the end of the month. 

Don't Let A Low Appraisal Compromise Your Home Purchase

After 10 years in real estate, I never could have imagined an appraisal report being delivered on the same day the inspection occurred. However, last week our appraisal team really outdid themselves by deliering the appraisal report to Rick LeMasters and his clients a few hours after the inspection took place. 

As your lender, we play offense so you don't have to play defense.

Eagle Rock Mid-Century Modern Release: You are invited!

Over the last 5 years, my brother and I have had the privilege to restore many historic homes in the greater Los Angeles area. Our goals was to discover neglected homes with structural deficiencies and return them to their natural glory. What started as a hobby has turned into an obsession. 

We now present to you, with great pride, our most prestigious project to date: 5350 Neal Drive, Eagle Rock. 

You are invited to join us at the official release of this 4600 sq ft home, offering 5 bedrooms/5 bathrooms, with one of a kind indoor-outdoor pool on a 12,000 sq ft lot. 

DATE: Friday, May 5th

TIME: 6:00 pm - 9:00 pm

ADDRESS: 5350 Neal Dr. Los Angeles Ca 90041

Island style snacks and Tiki drinks will be flowing! 🍹

*CLICK "Read More" to see video of this completed restoration*

Delegated Underwriting = Smooth Approval Process

Not all lenders have control over the loans they approve or decline. With our internal underwriting system, we help you bypass the red tape of big banks, which ensures you remain in control of your home purchase and avoid delays or a potential decline.

Copyright 2017 Mortgage Capital Partners, Inc. | All Rights Reserved Phone: 310-295-2900 | Mortgage Capital Partners, Inc., NMLS #239902. | Thomas Bayles NMLS #365181 | Micah Raff NMLS #952625 | NMLS License Information: 213-620-2072 | California License #01858965 | Licensed by Department of Business Oversight under the California Residential Mortgage Lending Act | Mortgage Capital Partners, Inc. is an Equal Housing Lender. This is not an offer or extension of credit or a commitment to lend. Minimum FICO, reserve, and other requirements apply. Programs are subject to change at any time until locked in. LTVs are based on appraised value. Not all applicants will qualify.

100% Success Rate on Appraisals

Today marks the 144th straight day that our appraisal reports have come in at value on our clients home purchases! In our growing and local market, new price points are set weekly and most of the time banks/appraisers have a hard time keeping up with the rapid uptick in values. Some of the markets that have experienced this rapid growth include but are not limited to: El Sereno, Frog Town, Boyle Heights, and the list goes on and on. Fortunately our appraisers know value when they see it! 

When an appraisal comes back below the purchase price, you risk having to increase your down payment or renegotiating with the sellers in this competitive market. DON'T LET THIS HAPPEN TO YOU. 

In a world of nightmare home buying experiences, our mission is to ensure your move into your new abode is a smooth and memorable one (in a good way!). 

21 DAY ESCROW - Loan + Appraisal Contingency WAIVED

Another super fast purchase for our clients! with our onsite processing and underwriting team, we are able to help families buy their homes at light speed ⚡️

Tired of your offers not getting accepted? Contact us today and we will put your purchase on the fast track!

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Tax Season Approaching...Homebuyers Be Aware

Many of us are excited to get that tax refund, but if you're looking to qualify for a home loan, check with us before filing to ensure you're maximizing your purchasing power.  

If you are wondering how filing your taxes could affect your qualifications for a home loan, we would be happy to review your tax returns before you file. Although we aren't CPA's, we can still give you advice on what can impact your mortgage qualifications and tax liabilities.

Contact us and we will be happy to work with your accountants to ensure you utilize deductions that will not have a negative impact on your qualification. This is very important if there is a slight chance you might purchase a property in the next 2 years. 


*** Watch our classic video on good & bad deductions. Enjoy! 😁 ***

Our Holiday Gift to You? 3.875%!

During the 4th quarter, clients saw interest rates go to their highest levels of 2016. This impacted all buyers but especially ones putting less than 20% down. In an effort combat this, we have begun proposing FHA mortgages with interest rates in the 3% range instead of conventional loans in the high 4% range. The result has been lower mortgage payments despite putting less money down.

This is a ideal proposal for clients purchasing one or two unit properties with either a 5% or 10% down payment. Please look at these payment scenarios for our client who just submitted an offer on a duplex in Mid-City. 

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This financing option was a no brainer! Not only were they able to put less money down but they ALSO saved on their monthly payment.

Email, text, or call if you have clients who may benefit from lower down payment option and would love an interest rate in the 3 percentile.

Happy Holidays from your Mortgage Capital Partners!

Thomas, Micah and Larisa


Fed Raises Interest Rates - What This Means for You...

The Federal Reserve officially raised interest rates for the first time this year and forecasts a steeper path for borrowing costs in 2017. The immediate effect on mortgage bonds/rates has been negative, which has lead to lenders re-pricing their mortgage rates for the worse. For example, Wednesday morning the 15 Year Fixed rate for a $417,000 loan amount started at 3.375% with no points, but after the Fed rate hike Wednesday afternoon this rate now comes at 1 point ($4,170) charged to the borrower. This change happened within the 6.5 hours the markets were open on Wednesday...

In the short term we are advising our clients to lock the available interest rate until volatility dies down.