Mortgage Myth #1 - Perfect credit is need to get a mortgage

2012 MORTGAGE MYTH #1

Perfect Credit is needed to get a mortgage because of the new laws and banking regulations - Since the Mortgage Industry meltdown of 2007, there have been many erroneous reports in newspapers, radio news programs and television news reports.  It is true that stated income, no qualifying loans with no money down have gone away.  And it is true that numerous laws have been passed to regulate and control the mortgage industry.  However, FHA loans are still available and they still are very liberal when it comes to credit qualifying.  Clients can still qualify with alternative credit references and history like phone bill records, gym memberships, etc.  By the way, downpayments for FHA loans are still 3.5%, but we expect the down payment requirement for FHA loans with poor credit to increase in the next few months to 10%, so if you are interested in buying home using an FHA loan, now is the time.

Help for UNDERWATER Homeowners

FHA, Fannie Mae and Freddie Mac refinance options

Until now, homeowners who are underwater and making their payments have had few options that actually work.  Today's low rates are an excellent opportuntiy to save money, but for those who are underwater, there were few options.  Those who have FHA loans could and probably should do and FHA streamline, but many homeowners have loans guaranteed by Fannie Mae or Freddie Mac. Now, there is a similar program for Fannie / Freddie Customers called HARP 2.0.

FHA Streamlines allow homeowners to refinance without an appraisal without the normal income documentation.  This means that if you still have a job/steady income, even if it is less, you can probably still qualify.  If you have one or fewer mortgage lates in the last 12 months, but you have other credit issues, chances are, you can still refinance.  So even with being upside down and having credit or income issues, you probably still can qualify for a lower rate and payments, if you are on-time with your mortgage.

Now the same can be said for Fannie Mae and Freddie Mac loans.  This program is effective in Mid-March and there is no telling how long it will last.  If you want to know if your mortgage is a Fannie Mae or Freddie Mac loan, contact us and we will look it up for you. 

More Information

For more information and details, visit www.hud.gov or contact either of us directly. 

Karl Holt, All Western Mortgage, 702-629-0716

Email kholt@awmlv.com 

Website  kholt.myallwestern.com

 Brent Wood, 702-629-9555, brentawood@hotmail.com

Information is for illustrative purposes only.  Rates used are averages as of date written and are subject to change without notice.  Taxes, Insurance and PMI are included and estimated based on typical cases.  Details of rates, payments and fees should be provided by Lender within 3 days of application.  Only a formal Good Faith Estimate provided by your Lender should be relied upon.  Information does not constitute legal, tax, financial, investment or other professional advice.  Consult your financial, legal,tax, real estate, investment or other professional before investing, refinancing, acquiring or selling property. https://karlholt.myallwestern.com/Short-Form.aspx

Miracle Makeover Mortgage

Miracle Makeover Mortgage

What if you could put $8,225 Down on a $200,000 home and get $35,000 cash to re-do the bathrooms, install new flooring, paint the interior, buy new appliances and install a new patio in the backyard?  What if after you are done, the mortgage is $230,000 and the value is $260,000 (much more than the acquisition costs and repairs costs, building equity immediately.  Plus, the home reflects your tastes and needs.  All this and your payment is well under than $1,750.00 per month. 

That is the miracle of today’s low rates plus low property values, using HUD’s 203k (Refurb.) Mortgage. 

Two Types of 203K Mortgages

There are two types of 203k mortgages.  The streamline gives homeowners up to $35,000 for refurbishing the home and/or making it more energy efficient.  It is considered a streamline because of the loan limit and because it has less paperwork and does not require a general contractor.   Homeowners can even do the work and only use the funds for supplies, if they want to get more bang for their buck.  203k loans are also available for bigger projects needing more than $35,000, but more paperwork and contractor involvement is required.  Either way, this is a great way to build equity, customize your home and make it more energy efficient.  203K Loans are also available for the home you already own, not just a home you are buying.

More Information

For more information and details, visit www.hud.gov or contact either of us directly. 

Karl Holt, All Western Mortgage, 702-629-0716, kholt@awmlv.com

All Western NMLS License # 14210, 370640

Brent Wood, 702-629-9555, brentawood@hotmail.com 

Not affiliated with any company and not conducting any loan origination or real estate services, whatsoever.  Questions about rates, fees, etc. must be referred to a licensed mortgage agent or entity. 

 

Information is for illustrative purposes only.  Rates used are averages as of date written and are subject to change without notice.  Taxes, Insurance and PMI are included and estimated based on typical cases.  Details of rates, payments and fees should be provided by Lender within 3 days of application.  Only a formal Good Faith Estimate provided by your Lender should be relied upon.  Information does not constitute legal, tax, financial, investment or other professional advice.  Consult your financial, legal,tax, real estate, investment or other professional before investing, refinancing, acquiring or selling property.