Friday, December 2, 2011


Heres the scoop on how do to it right.

Always make sure you are working with an experienced mortgage professional.  The largest financial transaction of your life is far too important to place into the hands of someone who is not capable of advising you properly and troubleshooting the issues that may arise along the way.  But how can you tell?

Here are four simple questions your mortgage person must absolutely be able to answer correctly.

1) What are mortgage interest rates based on?  The only correct answer is mortgage backed securities or mortgage bonds, not the Fed or the 10 year Treasury Note.  While the ten year Treasury Note sometimes trends in the same direction as Mortgage Bonds, it is not unusual to see them move in completely opposite directions. Do not work with a mortgage person who has their eyes on the wrong indicators.

2) What is the next Economic Report or event that could cause interest rate movement? A professional mortgage person will have all this at their fingertips.  To receive an up-to-date weekly
economic reports and events that may cause rates to fluctuate, contact one of our Certified Mortgage Planing Specialists today.

3) When Bernanke and the Fed "change rates". what does this mean.. and what impact does this have on mortgage interest rates?  The answer may surprise you.  When the Fed makes a move, they are changing a rate called the "Fed Funds Rate" This is a very short-term rate that impacts credit cards, credit lines, auto loans and the like.  Mortgage rates most often will actually move in the opposite direction as the Fed change, due to the dynamics within the financial markets.

4) What is happening in the market today and what do you see in the near future? If a mortgage professional cannot explain how how Mortgage Bonds and interest rates are moving at the present time, as well as what is coming up in the near furture, you are talking with someone who is still reading last week's newspaper, and probally not a professional with whom to entrust your home mortgage financing.

Be smart..Ask questions..Get answers!
More than likely, this is one of the largest and most important transactions you will ever make.  You might only do this four or five times in your entire lifetime but Certified Mortgage Planners do this every day. Its your home and your future.  Its our profession and our passion.  We are ready to work for your best interest.

Don Lambert
Accutrust Mortgage Inc
1107 Pleasant Street
Fall River MA 02723
(508) 646-6650
NMLS # 2409, MA-MB2409, ME-CSO7814, NH 10349MBR,
VT-1050MB, CT-14666, RI-20047100LB