Category Archives: Lending

Equity Requirement to Refinance?

The Federal Housing Finance Agency (FHFA) wants to expedite the stabilization of the real estate market. The hope is that if they let upside down home owners take advantage of today’s low interest rates, fewer homeowners will walk away. The goal is to lower the interest rate and monthly payment. The Home Affordable Refinance Program …

April 20, 2012 – 7:10 am | By SueT | Posted in Investment Strategy, Lending, Myths | Comments (0)

Are Lenders Getting Smarter About Short Sales?

Well maybe. 50 million American home owners have a mortgage on their homes. 10 million of those home owners are upside down or as some like to say, under water. 6.4 million of those home owners are delinquent! Does this mean a new wave of foreclosures? Probably not. The lenders have determined that short sales …

March 29, 2012 – 10:06 am | By SueT | Posted in Lending, Selling, Short Sale, Top Questions, Trends | Comments (0)

FHA Financing Issues

FHA just announced  a new premium structure, and will be increasing its annual mortgage insurance premium (MIP) by 0.10 percent for loans under $625,500 and by 0.35 percent for loans above that amount.  Upfront premiums (UFMIP) will also increase by 0.75 percent. These premium changes will impact new loans insured by FHA beginning in April …

March 2, 2012 – 7:54 am | By vern | Posted in Buying, Investment Strategy, Lending, Top Questions | Comments (0)

How Much Fixup to Sell?

I believe that you can get the most for your money  by limiting the repairs to the fire damage and deferred maintenance. Forget updating the kitchen and bath. Keep the money in your pocket. In today’s market a home seller must compete with distressed properties; short sales and foreclosures. They are generally in need of …

February 16, 2012 – 1:44 pm | By vern | Posted in Lending, Selling | Comments (0)

Why Can’t I Finance Another Residence and Rent My ‘Under-Water’ Home?

Mostly it’s probably because of a strategy called ‘buy and bail’. Some borrowers with good credit have qualified for a second loan by proposing to rent out their existing residence. They close the loan on the new purchase and then walk away from their current residence often not even renting it out. Some borrowers stop …

June 15, 2011 – 6:14 pm | By SueT | Posted in Buying, Investment Strategy, Lending, Top Questions | Comments (0)

How Much Can I Save With Bi-Weekly Payments?

A huge savings can be realized by making bi-weekly mortgage payments. For example, a $200,000.00, 30 year loan with 5% interest can be paid off 5 years earlier with a $33,000.00 savings in interest just by making bi- weekly payments. This can be a very good long term savings plan. The strategy is simple. The …

June 12, 2011 – 9:47 pm | By SueT | Posted in Lending | Comments (0)

How Long After Foreclosure to Get a New Loan?

Fannie Mae’s current guidelines pertaining to one’s primary residence state that if one does a short sale, Fannie Mae will insure a new loan within three years of the short sale. If one has a foreclosure they won’t be eligible for a Fannie Mae insured loan for seven years.

June 12, 2011 – 9:45 pm | By SueT | Posted in Buying, Lending | Comments (0)

I Heard About a Government Program 50% Off?

HUD just announced a new loan program designed for potential homebuyers that are in law enforcement, fire fighting, teaching and EMT’s. It’s called the Good Neighbor Next Door buyers program. Under the program a HUD owned home will be sold for 50% of the purchase price! It’s an amazing program. HUD will in essence act …

March 15, 2011 – 9:49 pm | By SueT | Posted in Lending | Comments (0)

So Banks Aren’t Making Loans?

You hear this a lot. It’s just not true.  If you have decent credit history and enough income to support the payments you’ll get a loan at the best interest rates in recent history!  Your income must be verifiable and your employment history must span at least two years. If you’ve changed jobs, the new job description …

March 12, 2011 – 4:11 pm | By SueT | Posted in Buying, Lending, Trends | Comments (1)

Can You Buy a New Home After a Short Sale?

2010 welcomed thousands of borrowers that sold their homes short two years ago. They were able to buy a new home within two years of completing a short sale. Some borrowers were able to qualify for a new loan in less than two years. Here’s some more great information about short sales: http://www.short-sale.info/

February 12, 2011 – 4:09 pm | By SueT | Posted in Buying, Lending | Comments (0)