City Creek Mortgage News

If you are new to the idea of homeownership and the thought of a mortgage feels intimidating, then we’re glad you’re here. Homeownership shouldn’t feel scary!  

At City Creek Mortgage, the first thing we want to do is explain the process clearly and easily. We want to be sure you understand exactly what options are available to you. Then, we want to make sure all your questions are answered. 

Before You Borrow 

At City Creek Mortgage, we want to ensure that when you’re ready, you can sign your mortgage papers with confidence. We don’t ever want your mortgage to overextend your budget, deplete your cash reserves, or cause anxiety about your payment. 

We aim to have an open and honest conversation with you about your financial health so that you know what to expect at the beginning, during, and throughout the mortgage process. It’s important to us that we help you: 

  • address any credit challenges to improve your credit score
  • determine a deposit without depleting your cash savings
  • analyze your cash flow and monthly budget to determine healthy opportunities 

Once we’ve determined the appropriate course of action, we can help you realize your dream of homeownership. 

Basic Terminology 

For obvious reasons, it’s important to know basic mortgage terminology. However, if there’s ever anything you don’t understand, please ask. Answering questions and ensuring that you feel confident about the process from beginning to end is essential to us. Some basic terms you’ll likely hear during the process are: 

  • Mortgage. A mortgage is a financial transaction, a legal commitment that exists as a piece of paper that you will repay a lender for the monies you’ve borrowed to purchase your home.
  • Rates. In its most basic sense, mortgage rates are the interest charged on a mortgage loan. Rates can change based on market conditions. In straightforward terms, the lower your rate, the less expensive your loan. 
  • APR. Annual Percentage Rate is calculated differently from your interest rate. The APR includes the overall cost of a mortgage, including the interest, closing costs, and other associated fees over the lifetime of the loan. You are entitled by law to know your APR. 
  • Closing Costs. These are all the costs you will pay at the signing of your mortgage. This includes origination charges, appraisal fees, credit report costs, title insurance fees, and other fees required as a part of the mortgage transaction. Lenders must provide you with a list of these costs in your loan estimate. 

Qualifying for a Mortgage 

No matter what – don’t be intimidated. Qualifying for a mortgage is easier than you may think. Low credit scores, no down payment, and other barriers to homeownership can often be overcome with financial planning and assistance from professionals like ours.  

The best way to start the mortgage process is by having a conversation with one of our City Creek Mortgage team members. 

Mortgage Options 

There are a variety of mortgage options available. At City Creek, we want to be sure you’re getting the right mortgage for your unique circumstance. Some terms with which you may already be familiar are: 

  • Conventional. One of the most common types of mortgages, this mortgage follows conforming guidelines and isn’t guaranteed or insured by a government organization. Individual lenders are available to provide conventional home loans. 
  • VA. VA mortgage loans are insured by the Department of Veterans Affairs (VA) and are offered to active duty military or veteran service members, depending on how long they served. The VA doesn’t lend money. It just guarantees the loan and protects the lender if the borrower fails to pay. 
  • Fixed-Rate. These mortgages offer a fixed payment over time and usually come with 15- or 30-year loan terms. With a fixed-rate loan, you can count on your monthly payment to remain relatively unchanged for the life of the mortgage. 

No matter which type of loan you decide on, you should enter into a mortgage only if you completely understand the terms and payment expectations. Not every loan will be right for you, and that’s all right. City Creek Mortgage team members are here to help and walk you through every step of the process. 

The City Creek Mortgage Difference

City Creek Mortgage isn’t your typical mortgage company. Our small, family-owned, local business is a safe place for our clients to make big decisions. 

From the very beginning in 1998, owners Mike and Tobi Roberts set out to provide a mortgage company that did right by their clients, took personal responsibility for their company, and provided quality service and an excellent product. 

For Mike and Tobi, it’s always been personal. Not only do they care about their clients, they care about their employees. When you work with us, you will notice a difference from the very beginning of your mortgage process. We want to be the most trusted, respected, and loved mortgage company in Utah. 

Call City Creek Mortgage TODAY to start your homeownership journey. We want to talk to you. 


When it comes to growing money, time is your best friend. 

Unfortunately, the biggest problem most people who are saving for retirement face is that they start too late in life to achieve a comfortable retirement lifestyle. As a result, the cycle of beginning late continues from one generation to the next. As parents, we can end the pattern and set our kids up for success. But it starts with education and action.

The Power of Compounding Returns

Compounding interest is essentially earning a return on your past returns. Having this process continue year after year is what creates most of the wealth from people who have a lot of money in their retirement accounts.  The Rule of 72 is a method for estimating an investments time to double. In its simplest term, an investment growing 
at 7.2% will double every ten years. 

As an example, $100,000 becomes $200,000 in 10 years, $400,000 in twenty years and $800,000 at year 30. This assumes no additional monies invested.  

It is through compounding interest and the power of money growing exponentially over time that you can make the greatest impact on the financial future of your children.  

An Example


10-year-old child
Goal: Retire at age 65 
(55 years from today).

 • Have $48,000 per year retirement income (in today’s dollars) at the time he / she retires. (This means he / she will need $11,887 per month in future dollars to equate to what $4,000 buys us today – based on a 2% annual inflation rate).

 • Investment averages 7.5% annual return.

 • Needs investment to last until age 100 (35 years) – Balance will be $0 at age 100. To meet this goal, all that you need to commit to is investing $232 per month until the child retires at age 65. By starting young, this achievable goal can be accomplished. You will set your child up for financial success in a way that he / she can easily sustain. This is how legacies begin.  

The Hardest Step is the First

A two-inch piece of metal can hold a train back from starting down the tracks. However, once in full motion, a train has the strength to break through a steel wall. Both good and bad habits are generally difficult to start. However, once in full motion, they are hard to quit. Saving is nothing but a habit that needs to be developed. Once mastered, the pain of breaking the habit of saving is greater than the pain of maintaining the discipline.  

I encourage you to make room in your budget to help start the habit for your children. Once they are old enough to earn money, encourage them to continue the habit. It will be much easier for them to maintain growing a retirement account than it will be for them to start one.  

Even if it’s only $40 per month, it’s much better than nothing at all. Over time, increase the amount contributed. Watching it grow and knowing that you are helping to build
a legacy that will out-live you will inspire you to continue the habit and increase the amount you contribute as time goes on. Once your child makes enough income to take over, pass the responsibility on to him / her. It will be one of the greatest life lessons they will be taught.  

What to do Next:

I encourage you to visit our website at, click on “Tools” and then “Retirement Calculator”. Run a scenario for yourself and then do one for your kids. By playing with longer time lines, you’ll clearly see the benefit
of starting early. Then, call your bank or a trusted financial planner to help set up the accounts and get rolling!

Our High volume / LOW COST approach made us the #1 Team in UTAH in 2020 and the #3 Team in the Nation. At the center of our goal to close 1 Billion in 2020 is our companies mission. Our mission is to drive down the cost of a mortgage so we can pass the savings on to our customers. We believe hard working families have better things to spend their money on than a mortgage. 

Over our 23 years in business, the factors that have separated us from our competition are our Salary-Based Loan Officers, our high-volume business model, and the fact that we are one team. 

Before mortgage, Tobi and I worked in construction and often with first time home buyers. We could not believe how much a loan officer charged our buyers to originate a loan. We set out to lower the price and one of the first pivots we made was to hire Salary-Based Loan Officers opposed to the high-commissioned loan officers that the rest of the industry hires. Having Salary based loan officers meant that instead of spending so much of their time searching for new business, we were able to let them service the business that City Creek generated – saving a ton of time and money. 

But most importantly, it helped accomplish our mission of saving our hard-working customers money.

One of our five core values is continuous improvement. The best thing that a new person on our team can do is break our system. Our entire team searches for any way to save a few minutes in our process, allowing us to do more loans and charge our clients less.

Lastly, City Creek Mortgage is one team – we are all rowing in the same direction. Many large mortgage companies are made up of many different teams with different goals, different systems and competing against the team in the next room. We believe that our model encourages innovation while the traditional model stifles it and allows us to keep our customers best interest in mind. Us rowing in the same direction allowed us to hit our billion-dollar goal. But most importantly, it helped accomplish our mission of saving our hard-working customers money. 

“With our amazing clients, new team members, improved systems, and commitment to our company’s values; we were able to hit that milestone on December 31st of 2020!”


As you have heardhome values have risen crazy fast over the past year. From December 2019 to December 2020, home values grew 9.2% on average in the US! Meaning if you bought a home in December 2019 for $325K, it is now likely worth $354K+. In Utah, it was even higher! This growth was largely fueled by record low mortgage rates making monthly payments lower, and allowing people to afford more expensive homes.

We want to give you the tools to make the best decision and save the most money. So, we are giving away free Home Value Reports to anyone who wants one. These reports use both homes that have recently sold near you as well as homes that are currently listed to determine what your home is likely worth today as well as a 3-year value forecast.

Who should get a Free Home Value Report?

  • Anyone interested in saving money on their monthly mortgage payment
  • Anyone who is currently paying mortgage insurance 
  • Anyone thinking about selling their home
  • Anyone thinking about buying a home
  • Anyone who lives in a home and wants an idea of what it is worth

Get yours! Give one of our Salary-Based Loan Officers a call (all we need is your address)

P.S. You can also ask them for a free review of your current mortgage to see if we can save you some money 801-501-7950

City Creek Mortgage is are not a licensed real estate agent or brokerage. This report comes from a 3rd party service ( This is not a solicitation for real estate services and is not a replacement for an appraisal. Please see for more details. This report is not a substitute for an appraisal, and is a projection, and is not guaranteed to be accurate.

It’s a sad thing when you feel like your industry is taking advantage of consumers. This is exactly where I find myself right now. For 20 years, rather than sit back and do nothing, I have decided to speak up and voice my opinions to expose some of the corruption that takes place in the mortgage industry. I do this with the hope that I can help clean up the practices that many lenders are involved in, while helping consumers save money on one of their largest budgeted expenses; their home mortgage. 

The Truth Behind Mortgage Interest Rates

Many consumers don’t realize that most of the money earned by a mortgage company comes from fees paid to the company for charging their clients a higher mortgage interest rate. In other words, mortgage companies are financially rewarded for placing their clients in higher interest rate mortgage loans. When combined with fees charged directly to a borrower, it isn’t uncommon for a mortgage company to have a total of 4% of the loan amount as an average income. For example, a $300,000 loan could have $12,000 or more in revenue provided to the mortgage company that closes the loan.  

Does a $12,000 income seem excessive for closing a $300,000 loan? I assume most would agree that this is a lot of money relative to the amount of work that goes into closing a home loan. In fact, I believe the fair revenue should be half this amount or less. That would offer the consumer a much lower interest rate which would reduce the monthly payment burden that the homeowner must incorporate into their monthly budget.  

Loan Officer Compensation

One reason that mortgage companies must make as much as they do on each loan is to pay for their commission-based loan officer who originated the mortgage. Loan officers are generally paid a set percentage of the mortgage, which averages between 1.25% – 1.75% of the loan amount. If the loan officer is on a 1.25% commission structure, the loan officer will personally make $3,750 for closing one $300,00 mortgage. Once again, I ask you, is this excessive? I believe it is. With technology and a loan processing staff taking a significant portion of the work-load, one loan officer can easily close 12-25 loans in a month.

That would have a loan officer earning far more than the average heart surgeon, which again seems excessive to me. 

Agent/Lender Collusion

Another reason mortgage interest rates are higher with many mortgage companies is due to collusion that exists between real estate agents and mortgage lenders, where the mortgage company in some way financially supports the real estate agent’s business. In turn, this drives the costs higher and increases the rates offered to the consumer.  It is important to note that real estate agents have a fiduciary responsibility to their clients, which means they should always be doing what is in the best interests of their customers. When they refer to a high-priced mortgage loan officer because that loan officer provides financial assistance to the real estate agent, the agent isn’t truly acting in the best interest of the client. Rather, they are acting on their own best interest. If the result is the same, the real estate agent should be referring to the mortgage loan officer that isn’t charging a premium interest rate for a commoditized product.  

Exposing behind the curtains of the mortgage process will come with challenges. I anticipate ruffling some feathers along the way. There are many loan officers and mortgage companies that aren’t prepared to operate on the slim margins that lower priced lenders like City Creek Mortgage have lived on for years. For obvious reasons, they will fight to maintain the paychecks they are accustomed to. However, I’m not alone in this battle and plan to get this message out to every consumer in need of a home mortgage. For those who believe what I believe,

I appreciate your support and continued loyalty.  

– Mortgage Mike

If you’re ready to save thousands by not paying fatty commissions that end up in the pocket of your lender, contact City Creek Mortgage today.

The truth is, buying on impulse is rarely a good idea when it comes to a home but buyers are often at risk of losing their dream home when they wait too long. For this reason, it’s also not a good idea to over-analyze in a competitive sellers market.

But how do you compete in a sellers market?

Let’s take a look at what you might want to know about shopping in a sellers market:

5 Tips for Finding Success in A Competitive Sellers Market 


1. Do Your Research Before Homes Come on the Market

When a decent home hits the market, it doesn’t stay there for very long. This is especially true for property in nice neighborhoods. If you want to save time and be ready for such homes, it’s important to do your research in terms of due dates, disclosures and reports well in advance. You can request this sort of information from agents and let these know your viewing schedule is open for whatever comes on the market.

2. Have a Pre-Approval Letter Ready

Acquiring a pre-approval letter is where many prospective homeowners fall short with buying a home. It’s just so important to have a pre-approval letter ready as both agents and sellers simply will not take you serious without one. This conditional approval letter will show that you can actually complete the purchase but keep in mind that most agents/buyers prefer to see a pre-approval letter from a local bank or mortgage company as opposed to an online lender.

3. Avoid the Use of Stipulations or Contingencies

As you might know, many buyers include stipulations in their offers. For instance, a buyer can make an offer which requires certain inspections to be carried out before going through. While this might seem like a good idea for the buyer, most sellers will consider these contingencies to be little more than potential for the deal to fall through. Sellers will often choose simple offers for this reason but this is not a reason to waive important considerations or ignore issues with the home that might cause problems later on.

4. Start Strongly and Make the Right Impression

With the previous point in mind, you should also know that sellers pay close attention to the size of a first offer. The higher you start, the more likely a seller is to work with you for striking a deal. And that’s not to say you should offer more than necessary but rather to encourage buyers not to “play fair” from the initial point of contact.

 5. Use an Offer Letter for Slight Advantage

Believe it or not, an offer letter can give you a serious advantage in a sellers market. Most buyers won’t take time to put this together and this letter is a sign of trust and commitment to most buyers. This also means you might have a slight advantage over potential buyers that make the same offer as you. As part of this letter, you will not only include the offer amount but also a short story about why you would like to buy the home and why they should want to work with you as opposed to other buyers.

It’s true, the pre-approval letter is arguably the most important piece of documentation you can have in a sellers market. But common sense and courtesy go a long way, while research and a straight-line approach will improve your chances even further.

To learn about pre-approval letters or to speak with a salary-based loan officer, call City Creek Mortgage today.

House prices have been on fire over the past year and continue to soar in spite of a certain “C” word. In fact, the recent pandemic is partly why prices continue to rise as a housing shortage has encouraged more and more sellers to take their homes off the market.

There is also the fact that many potential buyers are unable to get a loan and pre-approval is proving increasingly hard for those experiencing difficult times.

Now, let’s take a look at why prices continue to soar and what you can do about it…

Why Are Home Prices Continuing To Rise

Many workers are now working from home and working remote at the very least. This means that relocation is now a real and viable option for some, while especially low interest rates have made the mortgage market more attractive.

Home builder confidence is also peaking and although expected to slow down, construction continues to rise in lieu of it being a sellers market. That being said, there are limiting factors at play which slow down construction and keep demand high such as skills shortage and the rising cost of materials, not to mention the slow down caused by the coronavirus. 

But that’s just part of the story…

Buyer demand is surging. Recent studies show that certain segments of the workforce are largely unaffected by the pandemic. For this reason, a pent up demand is building and experts fully expect this to continue for at least another two years. What’s more, housing supply is lagging behind and affordability challenges mean this is also certain to continue.

In a recent interview on Forbes, a respected economist explained how a higher barrier for entry for first time buyers along with rising prices will spur the market further. Meanwhile, a lack of existing home equity will make it more challenging for future buyers to raise money for their mortgage down payment. 

What Can You Do About the Rising Cost of House Prices?

There’s simply no better way to be competitive in a sellers market than to be prepared. You can do this by researching the current market and knowing everything about due dates and disclosures. It’s also vital to have a pre-approval letter ready to go and request information about potential properties or viewings from buying agents.

Instead of waiting for the right time, it’s also worth mentioning how many buyers miss out on their dream home because they overthink and wait too long. With this in mind, taking an offensive mindset to a sellers market can really help you stand out and find opportunities while most other buyers are sitting around and waiting for things to change. 

Final Thoughts

It’s a sellers market and this will certainly continue into the near future. But there is still opportunity and always an opportunity for buyers to find their dream home. And while we do know that mortgage rates will eventually tick up and more homes will come on the market, as with every other market, the number of buyers will outweigh and prospective sellers will look back at this period as a time of great opportunity.

To help you be prepared to act quickly when your next home becomes available, contact a salary-based loan officer at City Creek Mortgage today.

When purchasing a new home or refinancing a current home, you will always encounter the same lineup of employees. To help you understand who will be part of the process of your home loan, here’s a breakdown of each person and the role they play. 


Talking with Your Home Loan Lender

The process will always start with you having a conversation with the lender. With a healthy bank balance or savings account, you can expect this conversation to flow. However, there is no yes or no answer at this point and your lender will simply connect you with a loan officer in order to further your home loan application. 


The Loan Officer

A loan officer is a representative of a bank, credit union, or other financial institution who assists borrowers in the application process. Loan officers are often called mortgage loan officers since that is the most complex and costly type of loan most consumers encounter.

A loan officer is a representative from a lending institution that will assist with your home loan application. These individuals deal with all types of loans but mostly home loans, for these are the most complex and costly to sort out. More specifically, a loan officer will provide you with options and products, and then advise in terms of the application process for “approval in principle” – a provisional type of approval. And this is where the underwriters come into play, but not before a loan processor has compiled all necessary documentation for your application.

The Loan Processor

The mortgage processor is tasked with preparing the documentation for your home loan application. With this in mind, a loan processor works between the underwriter and the loan officer. As for the documents, this not only refers to application forms but also any relevant documents which will be required by underwriters. For instance, a loan processor will source bank statements, bills and any other documents related to your income and expenditure. It’s also a very important job because the more accurate a loan processor can be with this information, the faster and more efficiently an underwriter can work toward a decision.


The Home Loan Underwriter

A home loan underwriter is responsible for either approving or rejecting your application. They must compile a risk report to make this decision and try to demonstrate how the report is in line with the guidelines of your lender.

As part of this process, an underwriter will obtain various credit reports and then assess the income, assets and debts associated with your profile. If there is any potential collateral that can be used against the loan, this is also taken into consideration. It’s possible for underwriters to then assess the risks associated with mortgage repayments and apply certain conditions to the home loan. Either way, the underwriter will then reject or approve your application and relay this information to your lender who will then get back in touch with you.


Final Thoughts

As you can see, there is much documentation to be sorted for your home loan application and these individuals hasten the process. There are also different options and products for individual circumstances and you need the assistance of a loan officer to choose the right one. That being said, it’s always best to know where you stand as soon as possible and the first step toward a home loan is simply talking with your lender.

Have you ever wondered how a mortgage lender gets paid? It’s a common question when it comes to buying a property but also one that often seems to confuse the average homeowner. Mortgage lenders have various avenues in which they can make money, from origination fees and closing fees to underwriting and application processing.

In this article, we take a closer look at the process and how mortgage lenders make their money.

What is a Mortgage Lender Exactly?

A mortgage lender is an institution that provides and underwrites loans for homebuyers. Each mortgage lender has a different set of rules or guidelines which they use to assess the risk in terms of providing an individual with a home loan.

More specifically, a mortgage lender will decide on the interest rate, term and payment schedule for home loans. This institution will also lay out a specific set of terms by which the homeowner must abide for the duration of the loan.

But how does a mortgage lender get paid?

How a Mortgage Lender Gets Paid

A mortgage lender can get paid in many different ways such as yield spread premiums, closing costs and selling mortgage backed securities. Let’s take a quick look at some of the most common ways in which a mortgage lender will get paid:

Yield Spread – A yield spread premium is the difference between an interest rate provided by a lender and the rate that lenders pay to replace that money. Mortgage lenders can account for this amount/difference as a source of income.

Origination Fee – A lender will charge a fee to borrowers for creating a mortgage loan. This fee sometimes includes the application or processing fee and other admin services and often increases over time.

Closing Costs – Many lenders will not only charge an origination fee but also an application fee, underwriting fee and processing fee. You should always check the extent of these fees with a lender before going ahead with a loan.

Discount Points – Discount points are used to buy down the interest rate of a mortgage. Homebuyers can pay upfront for discount points in order to bring down the amount they repay each month. The impact in this respect will depend on the type of mortgage, market conditions and the actual lender.

Mortgage-Backed Securities – Mortgage lenders usually group loans together and place them in a mortgage back security. These are then sold for profit to investors, funds etc and provide instant capital to the lender in return.

Loan Servicing – Lenders can also earn money by servicing loans. For instance, if a mortgage backed security is sold to an investor who cannot process the payments, the lender can continue to perform this task on behalf of the investor in return for a percentage of the payment.

As you can see, a mortgage lender will have many different forms of revenue and understanding the significance of these fees can even help save you thousands on your monthly repayments. At City Creek Mortgage all of our loan officers are salaried. They are compensated the same regardless of the loan you choose. Because of that, we provide our customers the loan that will help them save the most money.

If you’re ready to save thousands by not paying fatty commissions that end up in the pocket of your lender, contact City Creek Mortgage today.



For most sellers, it’s fully expected that buyers will have pre-approval from a lender before they start negotiating. However, you should also know that a mortgage lender will always ask for things like proof of assets and documentation relating to your income and employment. 

In this article, we take a quick look at what you will need to provide for your mortgage lender:

What Will My Mortgage Lender Ask For? 

If you need mortgage approval, it’s necessary that you provide certain information and documentation to a mortgage lender. These requirements are non-negotiable for a mortgage lender and the only way they can reduce the risks associated with granting a loan. Here are some of the most common requirements that your mortgage lender will require to get started:

  1. Proof of Income – You will need to provide copies of your recent wage statements. These statements should illustrate the amount earned to date and proof of any other type of income.
  2. Proof of Assets – You will need proof that you have investments or money in the bank at the very least. It’s important to note that you must have enough money for the downpayment and also funds in reserve to minimize risk.
  3. Good Credit – Lenders will ask that you have a good credit score and this often needs to be above 650 to apply for a mortgage. That said, if you have a credit score above 760, you will likely be offered lower interest rates by the lender. In case you might have a lower credit score, it’s likely the lender will require a bigger sum with regard to the down payment.
  4. Employment Verification – Lenders will always seek to ensure that you have stable employment before agreeing to lend any money. They will ask for pay statements and also contact details for your employer so they can verify that you work there. If you are self employed, you will need to provide additional documentation about your business and income.

    In short, your lender just wants to make sure that you can continue to repay this loan in the long term and that your employment status is unlikely to be affected. Also, your lender will usually require that you provide at least two years of documentation/statement with your application. 

  5. Misc Documentation – Every lender will ask for your social security number, signature and drivers license. These details will enable the lender to check your credit score and also feel satisfied that you are providing sufficient documentation or proof to support your application.


Summary: Requirements for Mortgage Approval

Your mortgage lender will ask for proof of income and employment and official documentation to verify your identity. Your social security information is just as important and these details will allow your lender to pull a credit report and assess your suitability for a mortgage. As already mentioned, you will need mortgage approval before placing any bids on a house and the more open or forthcoming you are with your mortgage application, the smoother you should find the process. To speak to a salary-based loan officer, contact City Creek Mortgage today.