Valeria Gaufillier

Bringing Dreams to Reality

Reasons You Need an Insurance Binder and How to Get One

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When a borrower applies for a mortgage loan, the lender typically requires proof of insurance coverage before they approve the loan. An insurance binder is a document issued by the insurance company that provides temporary proof of insurance coverage until the official insurance policy is issued.

The insurance binder for mortgage loans will typically include information about the property being insured, the coverage limits, and the effective date of the policy. The lender will review the insurance binder to ensure that it meets their requirements for coverage and will usually require the borrower to maintain insurance coverage for the duration of the mortgage loan.

How to Get a Mortgage Insurance Binder:

  1. Choose an Insurance Provider: You typically obtain mortgage insurance from private mortgage insurance (PMI) companies or the Federal Housing Administration (FHA) for government-backed loans. Your lender can recommend PMI providers if you’re not sure where to start.
  2. Application: Once you’ve chosen an insurance provider, you’ll need to complete an application for mortgage insurance. This application will include details about the property, your financial situation, and your loan terms.
  3. Underwriting Process: The insurance provider will review your application and assess your creditworthiness. They will also evaluate the property to determine its insurability.
  4. Insurance Premium: You will be required to pay an insurance premium for your mortgage insurance. This can be a one-time premium, a monthly premium, or a combination of both, depending on the type of mortgage insurance and your specific loan terms.
  5. Obtain the Binder: Once your application is approved and you’ve paid the premium, the insurance provider will issue a mortgage insurance binder. This is a document that confirms you have mortgage insurance in place.
  6. Provide to Lender: You will need to provide the mortgage insurance binder to your lender as part of your mortgage application. The lender will then include this information in your loan file.
  7. Ongoing Premiums: If you have monthly premiums, remember to keep up with these payments for the duration of the mortgage. Failure to pay the premiums could result in the cancellation of your mortgage insurance.

It is important for borrowers to understand that an insurance binder is a temporary document and should not be used as a replacement for the official insurance policy. It is also important to review the insurance policy carefully to ensure that it provides the necessary coverage for the property being insured.

What’s Ahead For Mortgage Rates This Week – October 23, 2023

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This week featured the usual retail sales report which shows consumer demand and as well as an indicator of the velocity of money, not only for consumers but business to business as well. An increase would show an increase in national and local increase in economic activity, which is important as we move into Q4 of the year; where the holiday season is expected to see an increase in consumer activity.

Retail Sales
Retail sales have exceeded expectations this month showing month-to-month increases across the board:

  • Retail sales are up 0.7% from the previous month with an expected increase of 0.3%.
  • Retail sales with auto removed show an increase of 0.6% compared to an expected 0.2% increase.
  • Business inventories are also above the expected increase at 0.4% compared to 0.3%.

Housing Starts & Building Permits
U.S. Housing Starts rebound in September in September after a sharp drop in the prior month. Largely, economists are feeling that builders have been losing confidence since rates have peaked over 7% and housing is expected to trend lower until the end of the year.

  • Construction of new U.S. homes rebounded 7% in September to an annual pace of 1.36 million units after a sharp 1.5% drop in the prior month, the Commerce Department said Wednesday.
  • Building permits, a sign of future construction, fell 4.4% to a 1.47 million rate.
  • Existing home sales beat expected sales with 3.98 million sales compared to the expected 3.90 million sales.

Key point: The pace of construction for single-family homes in September has risen by 3.2% and apartment building construction rose by 17.1%

Mortgage Applications Increased for the Month of October
MBA Mortgage Applications Increase, a measure of mortgage loan application volume again.
Primary Mortgage Market Survey Index

  • 15-Yr FRM rates seeing a week-to-week increase by 0.03% with the rates now at 92%.
  • 30-Yr FRM rates seeing a week-to-week increase by 0.06% with the current rate at 63%

MND Rate Index

  • 30-Yr FHA rates increased week to week seeing a 0.28% basis point increase. Current rates at 40%
  • 30-Yr VA rates increased week to week seeing a 0.30% basis point increase. Current rates at 44%

Job Claims
Those who applied for unemployment benefits last week fell to a nine-month low of 188,000, subverting expectations that layoffs would rise as the U.S. interest rates continued to increase.

Initial Claims were 188,000 compared to the expected claims of 211,000. The prior month was 211,000.

What’s Ahead
This week’s scheduled economic reports include PMI data, along with new home sales. There will also be a national GDP data release which can give an indication of the growth of markets and economy as a whole. Lastly, Personal Income and Spending will be at the tail of the week along with PCE Index numbers.

Simple Tips for a Stunning First Impression

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Simple Tips for a Stunning First ImpressionThey say, “you never get a second chance to make a good impression”, and when it comes to your home, curb appeal is the key to making a lasting one. Enhancing the exterior of your house not only adds value but also creates a warm and inviting atmosphere for both you and your guests.

Here are some simple yet effective tips that will help transform your home’s exterior and make it the envy of the neighborhood.

Begin with a Welcoming Entrance: The front door is the gateway to your home, and a fresh coat of paint can do wonders to revitalize its appearance. Consider selecting a color that complements your home’s style and personality. Don’t shy away from bold choices that create a statement.

Revitalize the Exterior: The exterior walls of your house may benefit from a thorough cleaning or a fresh coat of paint. Pressure washing can remove dirt, grime, and stains, making your home look instantly refreshed. If you’re painting, choose a color scheme that harmonizes with the surroundings while accentuating architectural features. Take the time to inspect your home’s siding or brickwork for any necessary repairs, as addressing these issues promptly prevents further deterioration.

Beautiful Landscaping: A well-maintained and thoughtfully designed landscape can make a significant difference in your home’s curb appeal. Start by trimming overgrown shrubs and trees, removing weeds, and adding fresh mulch to flower beds. Incorporate a variety of plants that thrive in your climate, ensuring year-round color and texture. Consider planting flowers, installing window boxes, or hanging baskets to bring vibrancy to your windows and walls.

Upgrade Outdoor Lighting: Outdoor lighting not only enhances safety but also creates an inviting ambiance. Illuminate your pathways, porch, and landscaping with stylish light fixtures that match the architectural style of your home. Consider installing solar-powered lights to save energy and reduce maintenance. Strategically placed lighting can highlight focal points, such as trees or architectural details.

Pay Attention to Small Details: Don’t underestimate the impact of small details when it comes to enhancing your home’s curb appeal. Replace worn-out house numbers, doorbells, and mailbox to give your home a polished look. Upgrade your front porch furniture or add decorative elements like outdoor artwork or a porch swing to create an inviting space. Ensure that your gutters and downspouts are clean and in good condition, and consider adding window shutters or freshening up their paint.

Remember, the key to improving curb appeal is to create a visually appealing and well-maintained exterior. By implementing these tips and putting in some effort, you can significantly enhance the curb appeal of your property.

Company NMLS #328297

Equal Housing Lender


90 Almeria Ave #204
Coral Gables, FL 33134