Posted on: 01st Nov, 2011 10:37 pm
What is a mortgage overage? This is something which I over heard from my loan officer. Can anyone explain this to me?
Hi Lissi,
Mortgage overage is the money extracted from your pocket by the loan officer. Like every loan officer, your loan officer had received updated prices every morning from the lender/mortgage broker. These are known as posted prices. As far as I know, the loan officer, who executes a deal at the posted price, gets paid a commission that may be .5-.7% of the loan amount. If you wish to avoid overages, you can either confront your loan officer and ask him to lower the prices or you can switch to some other lender who does not charge overages.
Thanks,
Jerry
Mortgage overage is the money extracted from your pocket by the loan officer. Like every loan officer, your loan officer had received updated prices every morning from the lender/mortgage broker. These are known as posted prices. As far as I know, the loan officer, who executes a deal at the posted price, gets paid a commission that may be .5-.7% of the loan amount. If you wish to avoid overages, you can either confront your loan officer and ask him to lower the prices or you can switch to some other lender who does not charge overages.
Thanks,
Jerry
Hello Lissi,
Your mortgage payment depends on the interest rate and the length of mortgage you choose. You can get a temporary low-interest rate for a short period---an adjustable-rate mortgage or a balloon mortgage. You can also opt for a slightly higher permanent rate for the duration of your mortgage---a fixed-rate mortgage.
:idea:
Your mortgage payment depends on the interest rate and the length of mortgage you choose. You can get a temporary low-interest rate for a short period---an adjustable-rate mortgage or a balloon mortgage. You can also opt for a slightly higher permanent rate for the duration of your mortgage---a fixed-rate mortgage.
:idea:
Hi Lissi!
Welcome to forums!
I agree with what Jerry has said. If you find that your mortgage loan officer is charging you a high overage, then it will be better if you could contact any other loan officer and apply for a mortgage. It will be better to avoid the loan officer who charges high overages.
Feel free to ask if you have further queries.
Sussane
Welcome to forums!
I agree with what Jerry has said. If you find that your mortgage loan officer is charging you a high overage, then it will be better if you could contact any other loan officer and apply for a mortgage. It will be better to avoid the loan officer who charges high overages.
Feel free to ask if you have further queries.
Sussane
Not sure how Jerry came up with the "evil LO" theme. Under the new compensation mandate, LO cannot profit from YSP overages
I though Mortgage Overages happens when the bank or an investor bids more on the property then what the mortgage was.