Mortgage broker: Tom Banducci
Property type: Condo projects in San Francisco
Buyer No. 1 appraised value: $425,000
Borrowing amount: $318,000
Loan type: 30-year fixed
Rate: 4.625 percent, no points and a $5,536 credit toward closing costs.
Buyer No. 2 appraised value: $1.025 million
Borrowing amount: $667,000
Loan type: Jumbo 5/1 ARM, 30-year term
Rate: 3.125 percent, with a .631 percent point fee
Backstory: Both of Banducci's clients were first-time home buyers.
One was purchasing an entry-level condo for himself; the other clients were a couple with a baby on the way who were interested in a larger home. To be competitive in today's market, each buyer's Realtor wanted to offer a quick close in their purchase contract.
Condo purchases can be more involved than single-family homes since the homeowners association also needs to be approved by the lender. It's important to know what a given lender's approval process is before submitting a loan, because some lenders have more requirements than others.
Being both a mortgage banker and a broker, Banducci was able to choose lenders who had streamlined condo approval processes in place. As a result, both clients were able to close their deals in 21 days.
Tom Banducci, Guarantee Mortgage, San Francisco, SOMA office, (415) 694-5522, email@example.com