KW & MAPS COACHING
MAPS Coaching is a key concept in Keller Williams Realty and a cornerstone in our cultural foundation. As the largest real estate franchise in the U.S., KW continues to grow worldwide. We believe that this growth is, in part, due to MAPS Coaching and all that it offers our agents. In fact, we are proud to say that the program is gaining ample recognition through external sources such as the Stevie Award for Sales Training & Coaching Program of the Year and was nominated for the PRISM Award for excellence in coaching.
WHAT IS MAPS COACHING
MAPS Coaching offers real estate agents the opportunity to learn and grow their business through education and coaching. As a business owner, it is the chance to work with, speak to, and be mentored by other successful agents who have experience in the issues that we struggle with in our day-to-day business.
As an agent, there is a wide variety of opportunity from which to choose. Agents...
Here is a numerical example, provided by Mark Smith of Home Caliber Loans, showing the benefits of a jumbo loan with a lower interest rate than a conventional loan with a higher rate.
Sales price: $850,000
You have as much as $200,000 to put down*
(Anytime an interest rate is quoted – an APR most also be provided. I will have to give these to you separately.
Option 1: Conventional loan only.
$417,000 1st mortgage loan using a conventional (non-jumbo) interest rate of 3.5% for a 30 year fixed-rate mortgage:
1st Mortgage payment: $1,872 (Principal and interest only)
Maximum sales price: $650,000
Benefit: Conventional loan
Disadvantage: Purchasing power is limited.
GET MORE FOR LESS
A jumbo mortgage is a loan that exceeds conventional conforming loan limits, typically in excess of $417,000. * This number is a limit set by the government regulators, Fannie Mae (FNMA) and Freddie Mac (FHLMC). FNMA and FHLMC are the agencies that purchase the loans from mortgage lenders, thus freeing up funding for the lending agencies to lend more mortgages. Because FNMA and FHLMC do not cover the entire amount of the mortgage if above $417K, this loan type is known as a jumbo mortgage.
In the Past...
Historically, jumbo loans were riskier investments for lenders because of the amount of money that was being tied up in a loan, the ability to liquidate expensive property quickly, and the vulnerability of the market. For the aforementioned reasons, jumbo loans carried higher interest rates than conventional loans, until recently.
In recent years, jumbo rates have reached historic lows and at today’s...