How To Get A Loan After A Short Sale...

Good Morning!

 

I had a question about Short Sales recently.
FHA is most friendly to Short Sales.
There are basically two kinds of Short Sales…
1) If more is owed on the home than the home is worth, and it’s impossible to sell the property without the seller bringing money to the table then the mortgage holder can grant a short sale so the property can be closed.
In this circumstance, as long as you are currently at the time of the sale, and have had no lates in the previous 12 months, then you would qualify for another mortgage without waiting. (FHA guidelines)
2) If you have fallen behind on your current mortgage, and the mortgage holder is granting a short sale to prevent foreclosure – then you will have to wait 3 years before you can get another mortgage.
Hope this helps!
That’s it for today!
I hope you have a great day! Thanks for reading!

Brett

Get Pre Approved For A Loan Here

 

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How A No Cost Refinance Works...

Good Morning!

 

I have people ask me about no-cost refinances.

 

I wanted to take a minute and tell you exactly how a no-cost refinance works.

 

There are two pools of funds you have to address when you refinance…

 

1) Closing costs.

 

2) Pre paids. (taxes, interest, and insurance)

 

A no-cost refinance will cover your closing costs. You would still be responsible for the pre-paids (although we can roll them into the loan) – because you would pay these costs whether you refinance or not.

 

Now, if your current loan is escrowed you would be reimbursed the balance in your escrow account after closing. So, this would be a wash for you.

 

Let me give you an example of how a no-cost refinance works…

 

Let’s say your current rate is at 4.75%. …and let’s say normal closing costs on your refinance loan would be $4,000.

 

There are two ways to approach this refinance…

 

1) You can take the very lowest rate in the market at the time. …Let’s say it’s 4.00%. If you elect to go this route – you would either have to pay the closing costs yourself, or we could roll them into the loan. Either way, you are paying for the closing costs.

 

2) You could take a slightly lower rate – say 4.5%, and we (the lender) can pay the $4,000 closing costs for you.

Option 2 is a true no cost refinance. You were able to lower your rate and monthly payment for free. It didn’t cost you any money to do it!

 

If you would like for me to review your current situation for a no costs refinance – I’ll do it for free!

 

…just give me a call, or shoot me an email.

 

That’s it for today!

 

Have a good day today! …and thanks for reading.

 

Brett

 

Get Pre Approved For A Loan Here

 

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This Program Has Super Low MI...

Good Morning!

 

The next time you purchase a home you might want to consider a Freddie Mac program called Home Possible.

 

Home Possible is available up to 95% and 97% loan to value loans.

 

You can have a credit score down to 620 and get this program.

 

The main benefit to Home Possible is you get lower mortgage insurance rates.   ...which means lower house payment.

 

There are income limits on this program (goes by county median income).  In other words, you can make too much money.   ...but, there are many areas that are exempt from any income limits.  The only way to tell is to check the address of the home you are buying.

 

Here is the link to check the income limits...  http://www.freddiemac.com/homepossible/eligibility.html

 

Also, a homebuyer education course is required for this program if all borrowers are first time home buyers.

 

If you want to know more about this program just call me or shoot me an email!

 

That's it for today!

 

Brett

 

Get Pre Approved For A Loan Here

 

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When You Do A Lease With Option To Buy...

Good Morning!

 

When you give someone option money at the onset of a lease option agreement – you are going to have to prove you gave that money when you get a loan to buy that house.

 

How do you prove it?

 

If it’s certified funds you need to keep a copy of the certified check.

 

If it was a personal check – you need to keep a copy of the canceled check (front and back).

 

Don’t give cash!

 

Anything less than this – the underwriter will not give you credit for giving that money.

 

That’s it for today!

 

I hope you have a great day! Thanks for reading!

 

Brett

 

Get Pre Approved For A Loan Here

 

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Anatomy Of A Bank Statement Loan...

Good Morning!

I am getting more and more calls from clients asking about bank statement loans.

Bank statement loans are making a come back.

They are designed for people that have income deposits flowing through their checking account, but for whatever reason, they don’t show much income on their tax returns. …typically they are self-
employed.

We take 12 or 24 months of bank statements. We average their monthly income deposits. …and, that’s what we give them for income.

By the way, it’s simpler and easier to use personal bank statements over business bank statements, but it’s not impossible to do business bank statements.

You will pay a higher interest rate, and put extra down payment on these type of loans. If you have decent credit you can get rates under 6% however. Down payment will range from 10% to 25%.

If you have more questions about this type of loan give me a call, or shoot me an email.

That’s it for today!

Have a good day today! …and thanks for reading.

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Doctors Loan Benefit...

Good Morning!

 

Did you know there are loans especially for Doctors?

 

One of the unique aspects of a Doctors loan is that as long as we get an "accept" when we run it through the automated underwriting system we don't have to include student loan debt in their debt to income calculation.

 

A lot of times Doctors rack up high student loan balances.  Normally, the payment on these loans counts against a debt to income ratio.   ...but, not with a doctors loan!

 

That's it for today!

 

Thanks for reading, and have a good day!

 

Brett

 

Get Pre Approved For A Loan Here

 

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Some Details On Our Jumbo Cash Out Loans...

Good Morning!

 

We have some aggressive Jumbo Cash Out Products.

 

Here are some details on our Jumbo cash out loans…

 

* Primary Residence only

 

* 70% up to $1,000,000

 

* 65% up to $1,500,000

 

* 60% up to $2,000,000

 

* 50% up to $2,500,000

 

* Min Fico 720

 

* Max DTI 43%

 

* Reserves as low as 6 months!

 

If you want to get cash out of your house – give me a call or shoot me an email!

 

That’s it for today!

 

Have a good day today! …and thanks for reading.

 

Brett

 

Get Pre Approved For A Loan Here

 

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Max Seller Help On Your Purchase...

Good Morning!

 

Did you know when you purchase a home you can ask the seller to help pay your closing costs, prepaid taxes and insurance, and interest?

 

It's true!  I’ve listed the maximum seller contribution amounts per loan program below…

Program: Conventional (Fannie/Freddie), owner-occupied…

 

1) 25% or more down payment = 9% allowed seller contribution.

 

2) Less than 25% down and up to 10% down payment = 6% allowed seller contribution.

 

3) Less than 10% down payment = 3% allowed seller contribution.

 

4) Fannie Mae Homepath: less than 25% down = 6% allowed contributions; 25% down or more = 9% allowed contributions.

 

Program: FHA

 

1) 6% maximum seller contribution.

 

Program: VA

 

1) 4% closing cost contribution.

 

Program: USDA

 

1) No limit to how much sellers can contribute (is limited by actual closing costs/prepaids). When a home appraises higher than the sales price, closing costs can be financed with USDA rural loans up to the difference between the sales price and appraised value.

 

That’s it for today!

 

Have a good day today! …and thanks for reading.

 

Brett

 

Get Pre Approved For A Loan Here

 

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Way Around Removing Disputes From Your Credit When Getting A Loan...

Good Morning!

 

Are disputed accounts on your credit report preventing you from getting a mortgage?

 

Automated underwriting engines will ask that the disputes be removed before a final approval will be given on your loan.

 

Getting disputes removed can be costly and very time-consuming. …and, often this process alone can kill your purchase transaction.

 

One way to get around this is to use a manually underwritten FHA loan.

 

FHA guidelines allow the underwriter to do a manual underwrite on your file (assuming you would otherwise qualify for the loan), and close the loan with the disputes intact and remaining on the credit.

 

Good to know if you are in this situation!

 

That’s it for today!

 

Have a good day today! …and thanks for reading.

 

Brett

 

Get Pre Approved For A Loan Here

 

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