Will the Fed's New Policies Revitalize the Housing Market?
Updated Oct. 9, 2013
Congress is gridlocked, consumers are pessimistic, and firms are barely hiring. To speed this recovery up -- or to prevent a double dip -- it might be up to the Federal Reserve. Last week it announced its latest attempt to revitalize the economy. Its chief target appears to be the still anemic housing market. Will the...

Should you be pre-approved or pre-qualified?
Updated Oct. 9, 2013
Should you be pre-approved or pre-qualified?As a potential buyer competing for a property, you'll have a better chance of getting your offer accepted by being as prepared as possible. Consider this hierarchy of preparedness:. 1. Neither pre-qualified nor pre-approved. 2. Pre-qualified. 3. Pre-approved....

Buy a Home, not a House.
Updated Oct. 9, 2013
In my opinion, it's a good time to buy a home, but not a house. What's the difference you ask? Well, a home is something more personal; it's a place to raise a family, create memories and stay for a while. A house is a structure bought with little to no emotion. People that buy houses are often looking to...

Purchasing After Short Sale
Updated Oct. 9, 2013
In this age economic turmoil and declining home values, you may have found yourself stuck in a property that you cannot sell. Unfortunately, many have had to go the route of a "short Sale." A short sale is process where the mortgage lien holder agrees to accept less than the amount owed on the property as full...

California Home Buyer Tax Credit Still Available
Updated Oct. 9, 2013
California Tax Credits are still available for home buyers. The state of California has set aside $200,000,000 for 2 tax credit programs that offer buyers tax rebates for the lesser of $10,000 or 5% of the selling price. This means, if you purchase a home for $200,000 or more, you are eligible for a $10,000 credit;...

Understanding Interest Rates
Updated Oct. 9, 2013
By Gregorio Denny. I often get asked by consumers; "what's your rate today?" There really is no good answer to this question because technically, all rates are available every day. Since there is an associated cost to acquire each interest rate, the correct answer should be; "any rate you want." Rate sheets...

Lock It Or Lose It
Updated Oct. 9, 2013
By Gregorio Denny. Interest rates are now teetering on the lowest in history. If you currently have an interest rate in the mid 5% range, or possibly even lower; you could significantly save on your mortgage by refinancing. If you are in an adjustable rate mortgage and you have been looking for an opportunity to get...

Understanding APR
Updated Oct. 9, 2013
The APR is a confusing number when mortgage shopping, it was originally designed to estimate your costs over the course of an entire year. The Federal Truth in Lending law requires mortgage companies to disclose the APR of loans when they advertise an interest rate. This was supposed to prevent them from...

FHA to Begin Short Refinancing For Homeowners Next Month
Updated Oct. 9, 2013
Taken From Bloomberg Business Week. Click the link for the full story.. Aug. 6 (Bloomberg) -- The Federal Housing Administration said it will begin accepting applications Sept. 7 for its program to help borrowers who owe more on their mortgages than their homes are worth.. The Short Refinance program, which the...

New Law Could Force Lenders To Speed Up Short Sales
Updated Oct. 9, 2013
H.R. 6133 AKA: Prompt Decision for Qualification of Short Sale Act of 2010, was filed Sept. 15 by U.S. Reps. Robert Andrews (D-N.J.) and Tom Rooney (R-Fla.). While the bill is a long way from being voted on, it has been referred to the House Committee on Financial Services.. So what does this mean? Currently many borrowers...

Work with a licensed loan originator.
Updated Oct. 9, 2013
Many consumers are experiencing delays in closing loans that were originated prior to January 1, 2011; this may be due to new regulations that require loan originators to be licensed and listed in the national registry as of 1/1/11. Located here.. If you are working with a loan officer that is not properly...

All California Loan Officers Are Not Created Equally.
Updated Oct. 24, 2014
In California, all loan officers are not created equally.. When searching for a mortgage, it's important to know who you are dealing with and what qualifications they have. California has 3 different standards for mortgage loan officers that you should be aware of.. 1)Unlicensed retail loan officer:...

Documents Required For Loan Approval
Updated Oct. 24, 2014
When applying for a mortgage, make sure you have everything you need ready for your lender to review. Here is a list of the items required to obtain mortgage financing. Save this link or copy the information for future reference.. All Borrowers:1. Copies of W-2's for the last two years.. 2. Copies of paycheck stubs...

ARMs - Use As Directed
Updated Oct. 9, 2013
Adjustable rate mortgages (ARMs) got a bad reputation during the collapse of the subprime mortgage market, as a result, many now regard them as risky, and to a certain degree, they can be when not "used as directed." Unfortunately, many lenders used them as a way to offer credit to marginally qualified...

FHA With A 500 Credit Score
Updated Oct. 24, 2014
If you have been looking to purchase a home and have a few credit issues, FHA may be the answer for you. Currently FHA guidelines allow you to purchase a primary residence with 10% down payment if you have a credit score of at least 500. FHA allows you to purchase with 3.5% down if your score is 580 or above. In addition to...

Purchasing After Bankruptcy
Updated Oct. 9, 2013
It is possible to purchase again after bankruptcy after the following time frames and conditions have been met.. FHA. A Chapter 7 bankruptcy (liquidation) does not disqualify a borrower from obtaining an FHA-insured mortgage if at least two years have elapsed since the date of the discharge of the bankruptcy....

VA Loans With No Minimum FICO Requirement
Updated Oct. 9, 2013
Requirements:. o Maximum debt ratio is 46% and veteran must meet the residual requirement with compensating factors o Although there is no minimum FICO, the veteran must meet the ratio requirement and have residual income 120% over that required for family size o Verification of rent or 12 months cancelled...

Fannie Mae Announces Expansion of HomePath Incentives
Updated Oct. 9, 2013
HomePath(R) Buyer Incentive: June 14 - October 31. Fannie Mae is currently offering buyers up to 3.5% in closing cost assistance through October 31, 2011. A $1,200 selling agent bonus is also available to selling agents who close on an owner occupant property and meet all eligibility requirements and terms and...

Cash Out Refinance With No Seasoning Now Allowed
Updated Oct. 24, 2014
June, 28, 2011. Fannie Mae has updated their selling guide to allow cash out refinances without the previously required 6 month seasoning period.. Currently, Fannie Mae requires a minimum of six months to elapse between the time a borrower purchases a home and subsequently applies for a cash-out refinance. The...

Can I finance closing costs?
Updated Oct. 24, 2014
When purchasing a new home you should be aware that there are various ways to reduce your out of pocket closing costs. I'm often asked by consumers if closing costs can be financed; the answer is yes and no. On a purchase transaction, you cannot increase the loan amount to cover the closing costs, but there are 3...