RUMOR – The only loans available are 80% LTV with a credit score of 720 and above. There has been some talk over the past couple of years that this is where we were headed, but the head of Freddie Mac said recently that the loans that are coming in now are very good quality and this is helping their portfolio.
FACT
CONVENTIONAL FINANCING is actually loosening up a little. We have 95% Conventional loans with mortgage insurance – of course. If the home is a HomePath home (www.homepath.com) your buyer can get in at 97% LTV, with no appraisal fee and seller contributing to the closing costs.
GOVERNMENT LOANS - 100% financing is available through USDA (available in any town 25,000 or less) and VA and FHA is going strong with 3.5% down.
It is true we are asking for documentation for all income and assets but we should have been asking for that all along. And I am conservative. I will not get you into a loan that is not good for you in the long term. We are underwriting by the 4 C’s – Credit – Are the borrower’s credit worthy? Capacity - Can they afford the payment? Capitol – Do they have any money to work with? Collateral – Is the property worth what we require?
Thursday, October 20, 2011
Monday, September 19, 2011
As simple as 1 - 2 - 3
I really do not know what to say. I believe that our property values are stabilizing, the rates are at a historic low - at least in my 30 years of being in this business. And, there are some amazing deals out there for any buyer in any price range. And, there are a lot of different loan programs for owner occupied, second homes and investment properties. Really it is not as hard as you think.
If you are wondering is you can afford a home or can come up with the downpayment, there are some simple, fast ways to figure this out.
#1 - Call me. It is free. We will work up the numbers and find out if you can afford the new house payment. A credit report does cost a little but only after we look at the new house payments, etc.,
#2 - Start saving the difference between your new house payment and your current rent/house payment. If your current rent is $750 and your new house payment will be $1100 then you need to save the difference to see how that feels. Can you do without your Dutch Brothers coffee each month - or whatever your luxury item is - and make up that difference? Worse case, you will decide home ownership is not for you yet and you will have some money to pay off a bill or go on a little vacay.
#3 - Let me get you pre-approved. Yes, this costs $25.00 for the credit report but it is worth it. And then you contact a real estate agent who knows the area you are looking in and go out there and purchase that new home.
It is as simple as 1, 2, 3
If you are wondering is you can afford a home or can come up with the downpayment, there are some simple, fast ways to figure this out.
#1 - Call me. It is free. We will work up the numbers and find out if you can afford the new house payment. A credit report does cost a little but only after we look at the new house payments, etc.,
#2 - Start saving the difference between your new house payment and your current rent/house payment. If your current rent is $750 and your new house payment will be $1100 then you need to save the difference to see how that feels. Can you do without your Dutch Brothers coffee each month - or whatever your luxury item is - and make up that difference? Worse case, you will decide home ownership is not for you yet and you will have some money to pay off a bill or go on a little vacay.
#3 - Let me get you pre-approved. Yes, this costs $25.00 for the credit report but it is worth it. And then you contact a real estate agent who knows the area you are looking in and go out there and purchase that new home.
It is as simple as 1, 2, 3
Friday, September 2, 2011
Monday, August 29, 2011
This is why we do what we do - thanks Peter
Naida,
I just wanted to thank you again for helping me through the first time home buying process. It was a tough time, and I really appreciate you taking the time to helping me. like you did. You really went above and beyond, and it was great to have someone to rely on, and know I could get reliable answers from. It is great bieng a home owner, and I am enjoying the heck out of my new house. You were really supportive through all the nonsense, and acted as a great mentor through the whole process. Thanks again.
-Peter
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