“Nonagency jumbo lenders began dipping their toes in the water as early as 2011, and even more so into the end of 2012. Strong loan quality due to tight underwriting combined with competition between large banks and securitzers has led to relatively increased demand. Wells and Chase are keen to compete with securitizers like Redwood or Sequoia in order to capture potential income streams from jumbo clients’ bank business.”

(Read more: Higher mortgage rates may mean easier credit)

In addition, Fannie Mae and Freddie Mac, which back and bundle two-thirds of conventional loans, have been raising the fees they charge to banks, so-called guarantee fees, mostly to protect themselves against default. Guarantee fees have nearly doubled in just the past year.

“As G-fees move higher, this increase gets added into conforming mortgage rates,” said Guy Cecala of Inside Mortgage Finance. “It’s a factor, but not the biggest one, allowing portfolio jumbo lenders to match or undercut conforming mortgage rates.”

The bigger factor, said Cecala, is that 92 percent of jumbo mortgages are made by banks that fund the loans with their deposits and then hold them in a portfolio. Given that the interest paid on consumer deposits in banks is still incredibly low, lenders can still make a profit on mortgages priced at 4 percent or less if they want to. In fact, jumbo loans, by some lenders, can actually cost less than conforming.

Article source: http://www.cnbc.com/id/100962728

Fremont, CA (PRWEB) July 16, 2012

Residents in Fremont and the San Francisco East Bay Area now have more options for Mortgage financing. Arcus Lending, a California Direct Mortgage Lender, recently opened a branch in Fremont, CA.

“Opening a branch office in Fremont is a strategic move for our company to better serve the needs of the clients living in the San Francisco East Bay Area”, Shashank Shekhar, Arcus Lending CEO stated. “By reaching into the East Bay we can further optimize the systems we have in place to offer great mortgage rates and legendary service for our clients ”.

The branch opening was kicked off with an exclusive event for Realtors based in the San Francisco East and South Bay. Noted real estate speaker and coach Rick DeLuca delivered great insights on “thriving in today’s real estate market”. “Arcus Lending’s core value of building relationships with clients is at the heart of their success and the services they offer to the realtor community are rare indeed”, DeLuca said.

Now also a Fremont Mortgage Company, Arcus Lending offers mortgage loans for residential properties and specializes in diverse loan programs such as FHA, VA, Homepath, HARP, Jumbo and Conforming mortgages. Arcus Lending is able to shop for the best mortgage rates for their clients and close loans quickly.

Arcus Lending, in business since 2008, prides itself on providing exceptional client service. This is reflected in more than 30 five star rating on Yelp and Google Places. In fact, Arcus Lending is one of the few mortgage lenders in the area which was awarded the “we are a favorite place on Google” sticker. Arcus Lending has built a solid business in California by educating and empowering its clients to take the right decisions when it comes to mortgage financing.

Mr. Shekhar leads the team at Arcus Lending. Shashank is widely regarded as “California’s #1 Mortgage Expert”. He is the author of the widely acclaimed book – “First Time Home Buying 101″ and he writes one of the top mortgage blogs in the country – “Lending Expert Blog”. He is a sought after industry speaker and has been featured on several national media.

Arcus Lending

39656 Mission Blvd

Fremont CA-94539

(510) 896-8150

For the original version on PRWeb visit: http://www.prweb.com/releases/prweb2012/7/prweb9695168.htm

Article source: http://www.sfgate.com/business/prweb/article/Fremont-Mortgage-News-Arcus-Lending-Opens-a-New-3709177.php

Fremont, CA (PRWEB) July 16, 2012

Residents in Fremont and the San Francisco East Bay Area now have more options for Mortgage financing. Arcus Lending, a California Direct Mortgage Lender, recently opened a branch in Fremont, CA.

“Opening a branch office in Fremont is a strategic move for our company to better serve the needs of the clients living in the San Francisco East Bay Area”, Shashank Shekhar, Arcus Lending CEO stated. “By reaching into the East Bay we can further optimize the systems we have in place to offer great mortgage rates and legendary service for our clients ”.

The branch opening was kicked off with an exclusive event for Realtors based in the San Francisco East and South Bay. Noted real estate speaker and coach Rick DeLuca delivered great insights on “thriving in today’s real estate market”. “Arcus Lending’s core value of building relationships with clients is at the heart of their success and the services they offer to the realtor community are rare indeed”, DeLuca said.

Now also a Fremont Mortgage Company, Arcus Lending offers mortgage loans for residential properties and specializes in diverse loan programs such as FHA, VA, Homepath, HARP, Jumbo and Conforming mortgages. Arcus Lending is able to shop for the best mortgage rates for their clients and close loans quickly.

Arcus Lending, in business since 2008, prides itself on providing exceptional client service. This is reflected in more than 30 five star rating on Yelp and Google Places. In fact, Arcus Lending is one of the few mortgage lenders in the area which was awarded the “we are a favorite place on Google” sticker. Arcus Lending has built a solid business in California by educating and empowering its clients to take the right decisions when it comes to mortgage financing.

Mr. Shekhar leads the team at Arcus Lending. Shashank is widely regarded as “California’s #1 Mortgage Expert”. He is the author of the widely acclaimed book – “First Time Home Buying 101″ and he writes one of the top mortgage blogs in the country – “Lending Expert Blog”. He is a sought after industry speaker and has been featured on several national media.

Arcus Lending

39656 Mission Blvd

Fremont CA-94539

(510) 896-8150

For the original version on PRWeb visit: http://www.prweb.com/releases/prweb2012/7/prweb9695168.htm

Article source: http://www.virtual-strategy.com/2012/07/16/fremont-mortgage-news-arcus-lending-opens-new-office-fremont-ca