On Thursday October 11th Summit Mortgage filed for bankruptcy protection. I’ve read and heard different things about why. As you may know Becky has worked there for about a year-and-a-half although she scaled back her time commitment pretty significantly after having Madeleine.

I talked with a couple of people who had the “inside scoop” if you will and of course if you’re in the industry you probably also took note of the article in the Herald.

The people at Summit did a great job, had great rates, and good customer service. The word on the street is that the overhead in the form of administrative and executive salaries combined with very expensive real estate in top locations didn’t allow them to be as nimble as they might have liked through this downturn. Additionally I know that many warehouse lines dried, up got shut down, or were otherwise yanked and I know that Summit certainly relied heavily on them.

Summit was a real high flyer duriong the boom time. Rick Fidele the companies CEO was quoted in nearly every paper in in the region when it came to mortgage news. Most of the people I talked with about this were shocked to hear it.

Rick Scherer and his team moved to 1st Mariner Mortgage. He sent me the following email:

Exciting News from the Scherer Team  

Dear Brecht, 

I am very excited to announce that I have joined 1st Mariner Mortgage as of today! Due to the ever changing mortgage market, it is very important for my team and I to be backed by a federally insured savings bank.  My Team and I are very excited about this new opportunity and the ability to now have many more mortgage products, faster turn around times, and much better customer service for our clients.  Below, I have listed just a few other reasons why 1st Mariner Mortgage is a great fit. 

Here are some of the reasons why 1st Mariner Mortgage is one of the top mortgage bankers in the market: 

•           1st Mariner Mortgage is a federally insured savings bank

•           1st Mariner Mortgage is licensed to lend in all 50 states

•           We work with many different lenders to ensure the best rate on the street

•           We offer our own portfolio products for those loans that fit just out of the box.

•           We have our own portfolio commercial products

•           We have the 1st Mariner Equity product.  Buy the home of your dreams without having to sell your current house right away.

•           No warehouse line.  We lend off of our deposits not a line of credit so we will not ever have you worry about funding loans.

•           In office processing, underwriting, approval, closing and funding. 

•           We offer reverse mortgages for those clients who are 62 or older 

 What are Rates Doing?  As many of you have heard, the Federal Reserve lowered the Prime rate of interest a few weeks back.  Although this benefited things like Home Equity Lines of Credit, Car Loans, and Credit Card rates, mortgage rates actually stayed about the same.     

•           If you are in an adjustable rate mortgage, now might be the perfect time to get locked in.

•           If you have a fixed rate but know you will be out of your home in the next few years, it might be a great time to save some money!   Call me to get your personalized rate quote. 

I want to thank you for your business over the last 7 years and we are looking forward to this great opportunity.  We as a team are looking forward to exceeded your expectations in your next purchase or refinancing transaction.   

Sincerely,

Rick Scherer

The Scherer Team

Toll Free      866.742.5562

Fax             617.507.8259                                          

Rick@TheSchererTeam.com www.TheSchererTeam.com 

Save $250.00  As a thank you for being a valued client, I would like to offer you 250.00 off your next purchase or refinance.  If you are not in the market for a purchase or refinance, please feel free to pass this along to a friend, family member or a co-worker The biggest compliment to me is trusting me with your personal referral. 

Offer Expires: December 31st, 2007