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As a help to our clients I felt it noteworthy to point out credit and how it effects a mortgage transaction. There are three components to getting a mortgage approved; it is taught in basic banking 101. They are the three “C’s” of lending: “Character”, “Collateral” and “Capacity to repay”, Character being the most important. One can lend on great collateral, with great income with which to repay the loans but if the borrowing entity’s character is not there, the loan isn’t going to get paid as agreed. And, of course, the lender’s measure of character is credit. Thus, taking care of your credit is paramount!

Charles Pope, Mortgage Authority, Inc.

This seems to be a hot topic lately. Mortgage Authority does not take application fees. We feel that earning your business is based on our performance. Please be ware of those companies that want you to pay them first then they will perform later. Suppose they never perform . . . you are out the money. We have learned this the hard way with some would be investor/lenders. Whether it's commercial or residential, you will have to pay for an appraisal and in some cases and environmental survey and title issues. However, if you pay for them, you own them and can use them for another lender if the first one does not perform. Please call me personally should you have any questions in this regard.

Charles Pope, Mortgage Authority

As we format our agendas for 2008 one word of advice comes to mind: "know who you are doing business with, on any level". Remembering back 35 years ago when I was a commercial loan trainee I struggled with the question: "what's the most important component in making a loan?" I thought the answer was easy, "collateral"; my mentor said "no" and explained that, with the wrong people involved, any deal was risky. I would encourage you to make sure your Mortgage Company has a real office with real people who are willing to share their experience, references and track record with you. Another clue are the professional organizations to which that company or individuals belong. I have asked for lender references recently and gotten the answer "oh, we can't divulge our clients due to confidentiality" - big red flag! At any time asked, Mortgage Authority will provide clients' references, with their permission of course. When a transaction is closed and it is proven to be a win for everyone involved there are always people who will attest to the fact.

Charles Pope, Mortgage Authority

To our Loyal Clients, Investors and Friends. We wanted to take a moment to wish you and yours a Happy Holiday. We will be closed December 25th but we will be ready for your commercial loans early December 26th. THANK YOU one and all for making 2007 another "Banner Year"!

Warm Wishes from Mortgage Authority!

Welcome to Mortgage Authority's Blog. Please utilize our web site for many insightful items about commercial & residential lending. In today's economic environment a borrower needs every advantage. That's where we come in. With our many years of lending experience you can count on straight answers! Please visit us frequently for up to date comments. And, of course, feel free to leave us a comment.

Safety Tip: Beware of the post office box. Before you trust your loan needs to a lender it's wise to make sure that they have an actual office. Moreover, check their local affiliations such as The Better Business Bureau, National Association of Mortgage Brokers, Etc. This is fast & easy - do it!

Economic Tip: Although the news media would have you believing that things have never been worse (bad news sells) with the housing inventory at an unusual high, one must also track population growth. As a veteran of the recession of the 1970s (I'm showing my age) I can tell you that the regions that are experiencing positive population growth will continue to recover as the excess inventory will be absorbed at the same rate as the increasing rate of positive growth.

Thanks for visiting,

Charles Pope