How Gov. Shut Down Will Affect Mortgage Business…

Good Morning!

I hope you guys had a great Christmas!

Quick note on how the government shut down may affect you if you are currently in the mortgage process…

One of the last conditions completed on most loans is a validation through the IRS’s system to verify the income documents (tax returns / w-2’s) given to your loan officer are the same ones that were received by the government.

It’s really a quality control condition.  

This validation process looks like it wil be shut down during the government shut down.  …So, if you are under a closing dead line it could affect you.

Hopefully the shut down won’t last that long.

That’s it for today!

Thanks for reading!

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Ways to deal with closing costs when you refinance...

Good morning!

When is it best to roll closing costs into a refinance loan?

Keep in mind there are three ways to handle closing costs on a refinance loan…

1) The borrower can pay them out of their pocket at closing.

2) The mortgage company can pay them by charging a higher rate.

3) We can keep the rate low and roll the closing costs into the loan.

Generally...

If you are planning on staying in the home over 4 years – it’s not a bad idea to roll closing costs into the loan.

If you are planning on selling your home within the next 4 years – it’s not a bad idea to let the mortgage company pay your closing costs and going with a bit higher rate.

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

Brett

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A Short Video That Will Bring A Tear To Your Eye...

Good Morning!

 

Christmas is almost here!

 

You have my best wishes for you and your family.

 

I'm a sucker for inspirational stories.  ...and, I love books from Simpletruths.com

 

Here's a short two minute video about giving called "The secret to living is giving."

 

I'll admit it brings a tear to my eye when I watch it.  ...but, it'll put you in the Christmas spirit!

 

https://vimeo.com/99078648

 

Thanks for reading!

 

Brett

 

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Loan Waiting Periods For Bankruptcy And Foreclosure...

Good Morning!

I wanted to give you the basic waiting periods for Bankruptcies, Foreclosures, and Deed in Lieu and Short Sales for FHA and Conventional loans.

Waiting periods for FHA:

Bankruptcies: 2 years. …Note, if there was a mortgage included in the BK, you need to determine when the property was subsequently foreclosed to make sure the loan meets those parameters.

It’s possible to get a loan while your in Chapter 13 Bankruptcies with at least 12 months of clean pay history, and permission from your trustee.

Foreclosures, Deeds in Lieu and Pre-Foreclosures (short sales): 3 years

Waiting periods for Conventional:

Chapter 7 Bankruptcy: 4 years

Chapter 13 Bankruptcy: 2 years from discharge, 4 years from dismissal

Multiple BK Filings: 5 years if more than one filing in the past 7 years

Foreclosure: 7 years

Pre-Foreclosure/Deed in Lieu: 2 years @ 80% LTV4 years @ 90% LTV7 years above 90% LTV

Note: You need to have established good credit history after the bankruptcy / foreclosure.

That’s it for today!

Have a good day! …and thanks for reading.

Brett

Get Pre Approved For A Loan Here

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Some Bonus Income Tips For You...

Good Morning!

 

Here are three things you need to be aware of for us to use your bonus income to get a mortgage…

1) We can’t use bonus income or overtime income unless you can prove you have been receiving this income for 2 years.

2) The employer has to indicate that the bonus or overtime income will likely continue.

3) We will use a two year average of bonus and/or overtime income. So, if you got alot this year, but not last year then we will have to use an average of both years.

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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New Conventional Loan Limits...

Good Morning!

 

I wanted to let you know the maximum Conventional loan alimit for Texas increased from $453,100 to $484,350.  This happened November 28th.

 

This is good because Conventional loans have lower interest rates and down payment requirements than Jumbo loans, which is the next step up.

 

Thanks for reading!

 

...and, have a great day!

 

Brett

Get Pre Approved For A Loan Here

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