Secure One Capital seeks to help as many homeowners as possible while rates remain low
COSTA MESA, Calif., Dec. 29, 2014 — Secure One Capital, a direct mortgage lender headquartered in Costa Mesa, CA, anticipates that mortgage rates will remain near historical lows through 2015 and is making infrastructure changes to accommodate sustained demand. At the beginning of 2014, 30-year mortgage rates were hovering around 4.5%. Now that we’re a week away from the end of the year, mortgage rates are near 3.75%, an unexpected improvement of 75 basis points. Mortgage rates have remained low due to economic uncertainty abroad, particularly in China, Japan, Russia and the Eurozone which has driven investment capital into the United States benefiting mortgage-backed securities. While it is unlikely that rates will plunge much farther, Secure One Capital does not anticipate a sharp increase in rates due to the economy rebounding at a modest pace and the free falling price of oil.
According to the Federal Reserve in December’s 2014 FOMC meeting the economy is “expanding at a moderate pace” but considerable domestic threats remain. For this reason, the Federal Reserve has voted to leave the Fed Funds Rate unchanged near 0.0% for at least the first quarter of 2015. The Federal Reserve has announced that they will be “patient” when changing Fed policy and base their decisions on data instead of fixed timelines.
One of the most complex threats to the US economy is falling oil prices. Since 2000, the US has invested in techniques and technology to begin extracting oil in difficult to reach places such as shale formations in North Dakota and Texas by means of fracking. According to the Pew Charitable Trust, “boosted by an oil and gas boom, North Dakota’s jobs total grew by 4.8 percent between December 2013 and November of this year, the largest increase of any state. Texas’s employment growth ranked second at 3.7 percent.” With falling oil prices, these gains could slow dramatically and budget deficits could arise in the eight states whose economies rely heavily on oil production; however, falling oil prices are also a major boon for energy dependent consumers in the US so there is some benefit to the US.
Secure One Capital seeks to help as many homeowners as possible while rates remain low. With over 20 years of experience, Secure One Capital understands borrower needs and has put together a plan to reach as many borrowers as possible with a mix of direct mail, print advertising and a digital content strategy to inform borrowers of their options and new loan products. Among these new programs Secure One Capital is offering is the unnamed extension of the MyCommunityMortgage (MCM) program that allows for an LTV of 97%, making it an attractive option for homeowners who do not qualify for a traditional HARP refinance.
As a mortgage bank Secure One Capital has the ability to underwrite and fund with their own money allowing them to be more flexible than your traditional mortgage broker or small lending institution. For a Free Benefits analysis you can contact Secure One Capital by applying online at www.secureonecapital.com or call (877) 810-8587 to speak with a licensed Account Executive.