Housing Starts Are Up...

Good Morning!

One of the data points that is looked at to monitor the economy is housing starts.

Single family housing starts in December of 2018 were 758,000.  

Single family housing starts in December of 2019 were 1,055,000.

That's a 39% increase, which is of course significant.

Really, it's just more evidence of what we already know - the economy is booming.

That's it for today!

Thanks for reading!

Get Pre Approved For A Loan Here
My Previous Blog

Only 3% Down For This Product...

Good Morning!

Did you know there is a 3% down Conventional loan for first time home buyers?

Here are some of the important features of this product…

1) Owner-occupied primary residence only.

2) Minimum 620 FICO score.

3) 3% down payment can be a gift.

4) 1-unit attached and detached single family residence, attached and detached PUDs.

5) Purchase and rate/term transactions.

6) No up front MI (like you would have on FHA).

9) Loan amounts up to conforming limits ($510,400 in Texas).

This is a great product.

If you meet the credit criteria listed above, and you only want to put 3% down on a house – then call us and we can help you with this.

That’s it for today!

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

Get Pre Approved For A Loan Here
My Previous Blog

This Bill Is Due Soon...

Good Morning!

This is the time of year property taxes are due (usually end of January).

There are two issues I see every year with regard to property taxes. …Issues that put people in tough spots.

1) Some people just don’t have the money saved up to pay their property taxes. …They might have had the money, but had to use it on an emergency. …or any number of other things.

2) Some people that have an escrow account on their mortgage – but their mortgage company didn’t collect properly. This often results in an arrearage… Which means your payments go way up until the escrow is caught up.

If you are in either one of these situations – there’s usually an easy fix for it. …Refinancing.

We can often refinance someone in either one of these situations, and we pay the property taxes through the new refinance loan.. …Not only that, but usually at a lower rate and payment than they have now.

Please let me know if you have more questions about how this refinance works.

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

Get Pre Approved For A Loan Here
My Previous Blog

Don't Be Un-Prepared When Buying A House...

Good Morning!

One big issue I see consistently is that people are unprepared for the amount of funds they will need when they buy a house.

Here is a simple breakdown of your out of the out of pocket costs you could expect from the loan program.

1) VA: 100% loan. No down payment.

2) USDA: 100% loan. No down payment

3) FHA: Minimum 3.5% down payment.

4) Conventional: 5% minimum down payment, or 3% down for first time home buyers.

…but you can expect more out of pocket than just the down payment. There are two other costs you can expect to pay when you purchase a home…

1) One is prepaids. This is prepaid interest, taxes, and insurance. Typically your prepaids will run 1% to 2.5% of a sales price.

2) Then there are your closing costs… Typically closing costs (from all entities – title, appraisal, mortgage, survey, etc.) will add another 1.5% to 3% to your number to bring to closing.

Be prepared for these additional costs.

That’s it for today!

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

Get Pre Approved For A Loan Here
My Previous Blog

How To Use Foster Care Income To Get A Mortgage...

Good Morning!

If you receive money from the State or a County sponsored organization for providing foster care for children you can use this money as income to get a mortgage.

Foster care income is considered acceptable stable income as long as the borrower has a 2 year history of providing foster care services.

To prove this income we would need…

• Letters from the organizations providing the income.

• Copies of the borrower’s signed federal income tax returns that were filed with the IRS, or

• Copies of the borrower’s deposit slips or bank statements that confirm the regular deposit of the payments.

That’s it for today!

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

Get Pre Approved For A Loan Here
My Previous Blog

Credit Tips For You...

Good Morning!

A good credit strategy is important. Knowing simple things to implement to improve your credit scores is half the battle.

Here are a few easy ways to improve your credit scores…

1) Did you know a single credit card late payment can ding your score by as much as 60 points?

a) Helpful strategy – set your payments up on autopay.

2) The quickest way to increase your credit scores are to decrease your credit utilization ratio. This is the amount charged on your accounts versus their total limit.

a) Best ratio is 10%. Certainly don’t go over 50%. (If limit is $1,000 try not to carry more than $100)

b) Another strategy is to ask for a higher limit to get your ratio more in line.

3) You can gain credit score points by paying off the credit card whose balance is closest to its limit. However, don’t cancel the account after you’ve paid it down.

That’s it for today!

Have a good day! …and thanks for reading.

Get Pre Approved For A Loan Here
My Previous Blog

How To Save A lot Of Money On Your Mortgage...

Good Morning!

For those of you that could afford a higher monthly mortgage payment I recommend you consider reducing the term on your loan.

For instance, going from a 30 year loan to a 10 year loan will save you a BUNCH of money.

…money you could have accumulating in a retirement account, or sending your children to a good school, etc.

Take a look at the chart below. You can see the interest savings is significant.

The payment on a 10 year loan is roughly twice as high as a 30 year payment. …but if you can at all afford the payment it’s a very smart thing to do.

…just think of having your house completely paid off in 10 years!

Loan Amount	$100,000	$200,000	$300,000	$400,000
Interest Rate	3%	3%	3%	3%
Term	10 Years	10 Years	10 Years	10 Years
Principle & Interest Payment	$965	$1,931	$2,896	$3,862
Interest Paid Over Life Of Loan	$15,872	$31,745	$47,618	$63,491
Interest Savings On 10 Year Over A 30 Year Loan At 4.5%.	$55,996	$111,994	$167,989	$223,987
(Assume 80% loan to value ratio)

If you would like to see what your payment would be on a 10 year loan – give us a call or shoot us an email. We'll be happy to help you out with it.

That’s it for today!

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

Get Pre Approved For A Loan Here
My Previous Blog