Homestead Funding would like to welcome Jermaine McCall to our Clifton Park, NY sales team. Originally from Mobile, AL, Jermaine currently resides in the Capital District. He is a former student of Florida A&M University and graduate of Remington College of Technology (Mobile, Al). Jermaine’s technical background has proven to be an asset in an industry that is constantly evolving and embracing more efficient ways of communicating. He has been employed in the banking and mortgage industry for the past 8 years. Jermaine’s previous roles as a Consumer Loan Officer and Mortgage Processor provided him with a well-rounded understanding as well as skills and knowledge to effectively assist his clients.
Jermaine aims at educating and empowering every client to make the most beneficial decisions during the home buying process. His goal is to make clients comfortable and knowledgeable when making one of their most important purchases. Although he not grow up in this area, Jermaine is very conscientious and passionate about making a positive contribution. He is privileged to have the opportunity to also assist clients in his home state of Alabama.
Jermaine says he enjoys working at Homestead Funding because he is provided continued support and guidance in a family atmosphere that is rare in businesses today. “I know I am a part of a successful team and a company that remains competitive in today’s industry.”
Jermaine is honored to be a Big Brothers, Big Sisters volunteer since 2011 and spends most of my free time with my wife and two daughters.
To learn more about Jermaine visit his webpage.
Recent tax code changes could potentially affect the financial aspects of buying and owning a home. Several of the revisions impact areas like mortgage interest deductions and home equity loan deductions. To help clarify the updates, we’ve created a chart that shows the changes.
Exclusion of Gain on the Sale of a Primary Residence
Under the original proposed changes, homeowners would be required to live in a home for a minimum of five out of eight years to claim the capital gains exemption. It was decided however, that the current tax framework would remain the same: a homeowner who had lived in a home for a minimum of two of the previous five years wouldn’t pay anything in capital gain taxes if they sold their home.
How It Could Affect You: There are no major changes. The two of previous five years requirement will stay unchanged.
Mortgage Interest Deduction (MID)
Under the initial proposal, the limit on the mortgage interest deduction (MID) would be reduced from $1,000,000 to $750,000.
How It Could Affect You: This proposal reduces the limit on deductible mortgage debt to $750,000 for new loans taken out later than December 14, 2017. Assuming a 20% down payment, reduction in the MID will only impact buyers who are purchasing a home in the price range between $938,000 and $1,250,000. Experts have mixed reactions, with some feeling that it will have little impact on the market and others feeling it could be potentially detrimental having a limit on the MID raising taxes for those who itemize.
State and Local Taxes (SALT)
The original proposal includes the elimination of the state and local tax deduction (including property taxes). Under the new tax code, itemized deductions of up to $10,000 for state and local property taxes and income or sales taxes.
How It Could Affect You: Experts agree that higher taxed regions will be primarily impacted, as those homeowners now have a cap on these deductions. Some people might choose to live in one state over another because of taxation. This could impact demand on housing in some states.
What Does It Mean for Buyers?
Many families consider homeownership an essential part of the American Dream, and don’t necessarily purchase a home simply for the tax advantages. So even with the tax code changes, the main reasons people purchase homes (stability, freedom, building equity) are unlikely to be affected. If you are considering purchasing a home, speak with your Homestead Funding Loan Originator to review how the new code will impact you.
Homestead Funding was recently listed as the #1 Company to Work For by Mortgage Executive magazine! Each year, Mortgage Executive magazine, a nationally distributed trade publication, polls Loan Originators around the country to see how they rate the companies they work for.
Over 10,000 Loan Originators from over 200 companies were asked to rank their companies in areas like company culture, underwriting, marketing, technology. Based on the number of votes and the average scores, the magazine complies its list of the “50 Best Mortgage Companies to Work For.”
“We are honored to be named the best place to work by Mortgage Executive magazine,” said Jeff Mason, Human Resources Director for Homestead Funding.
This is the first time Homestead has been #1! For the past several years, Homestead has made the top five. We hope to continue this trend and make 2018 even better.
The Federal Reserve’s (the Fed) actions indirectly impact the prices you pay for gas, rent and even your groceries. For years, the prospect of a higher national interest rate has loomed over prospective homebuyers. Now that the Fed has decided to increase the federal interest rate in December of 2017, something that had not happened since the 2008 financial crisis, it’s important to understand how recent and future rate increases will affect mortgage rates.
Mortgage Interest Rates
We’ve already begun to see an increase in residential mortgage interest rates. The rate for a 30-year fixed mortgage hit 4% in 2017. Some analysts are projecting we could reach the 4.5-5% range in 2018. In other words, the longer buyers wait, the more expensive it may become to purchase a home.
There are several reasons for this, but one of the biggest is the federal funds rate. If the Fed thinks prices are rising too quickly, they raise interest rates. The Fed lowered the federal funds rate to stimulate the economy during the 2008 recession. That lowered interest rates and propped up the economy.
Whether you’re looking to purchase or refinance a mortgage, rates are relatively low at this point, historically speaking. If you’re on the fence, this is a great time to lock in a rate.
Refinancing and Adjustable Rate Mortgages (ARMs)
Many homeowners with adjustable rate home equity lines of credit may be affected. Unlike an adjustable rate mortgage, home equity loans will reset immediately rather than once each year. While it won’t be a drastic change in 2018, those concerned with the escalation of rates might want to consider converting the balance into a fixed rate option will rates are still relatively low.
Mortgage rates are not directly impacted by the federal funds rate, but the interest rate you can obtain on a home equity line of credit (HELOC) is. However, there are ways to manage home equity debt in an environment of rising rates. One option is to refinance into a fixed-rate home equity loan.
We understand that every financial situation is unique. No matter your situation, you can speak with a Licensed Loan Originator who can go over your scenario and give you the best possible options to help you out in 2018.
Homestead Funding would like to welcome Stephanie M. LaPell to our Glens Falls, NY sales team! Stephanie has worked in the mortgage, banking and financial industry for over 10 years. She grew up in the town of South Glens Falls, NY and currently resides in Ballston Spa, NY. Stephanie is familiar with the markets in and around Albany, Schenectady, Saratoga, Warren and Washington Counties.
Stephanie is a very positive forward minded person and will go above and beyond to make sure her customers have the best experience possible. It is important to her to make sure she finds a program that best fits their needs. Stephanie believes purchasing a home is one of the biggest financial decisions a person will make so whether they are a first purchase or an experienced buyer, this decision must be made carefully.
To learn more about Stephanie visit her webpage.