Financing Options Changing But Not Impossible

Originally posted 2008-11-29 22:17:32. Republished by Blog Post Promoter

Wachovia did a presentation stating that their Alt-A program was back.

They stated that the program can be utilized on:

• primary residence
• second/vacation homes
• investment properties

 

The eligible loan amounts

• Minimum = $40,000
• Maximum – Conforming Loan Limits

Maximum Seller Contributions

• Primary & Second Homes = 6% (up to 80% LTV/CLTV)
• Investment Properties = 6% (up to 80% LTV/CLTV)

With this program stated income with verified assets is permitted. 

Minimum of 3 tradelines with a 24 month history

All tradelines Do Not Have to be Opened and Active

12 month rental history on investment properties required

The Truth About Mortgages

Originally posted 2009-05-23 08:54:07. Republished by Blog Post Promoter

The truth about mortgages is that it has changed, but has it changed for the better.  If the change is for the better remains to be seen, but it is important to note that change has occurred.  The changes are:

• Your credit score must be 620 or higher
• You can not do any other business  like purchase a car, open a new credit card during the purchasing process or suffer consequences to your credit (not a change, but can not be stressed enough)
• You will pay a down payment of as much as ten percent
• The home you are purchasing will have a least two appraisal and may have three broker price opinion
• The purchase process may take as long as 60 to 90 days for conventional finances and 90 to 120 days for FHA/VA finances
• You may have to attend a require home buyer seminar given by HUD approved organization

 

The end of February beginning of March of 2009, the lenders increased the minimum credit score to 620.  Lenders increased the minimum credit score to this amount due to changes to the secondary lender market.   The lenders viewed this increase in credit score limits as a safeguard to the uncertainty of the secondary lender market.   The lenders feared that by the time a loan was ready to close and it was time to sell it to the secondary market that the borrowers could no longer qualify for the longer due to regulatory changes to credit score and lending guidelines. 

 

Incidentally, how lending works is that a front line lender like Chase finances your loan, then sells it to the secondary market, Fannie Mae or Freddie Mac for a portion of what the original loan is so that Chase can have cash available to make the next loan. 

 

Mortgage – Latest News

Originally posted 2009-12-31 05:00:14. Republished by Blog Post Promoter

Latest News in the mortgage industry from around the blogosphere:

<a href=”http://www.pdxpole.com/choosing-the-right-mortgage-basic-mortgage-terms-and-features/”>Choosing the Right Mortgage – Basic Mortgage Terms and Features …</a><p>Choosing the Right Mortgage – Mortgage Basics There is an astounding range of commercially.</p>

<a href=”http://www.usmortgagerates.com/how-do-i-compare-mortgage-rates-184/”>How Do I Compare Mortgage Rates</a><p>These must see steps will guarantee that you get the lowest possible mortgage rate available today. You cannot afford to miss this information!</p>

<a href=”http://www.americablog.com/2009/12/report-riskiest-mortgage-lenders-were.html”>AMERICAblog News: Report: Riskiest mortgage lenders were most …</a><p>News and opinion about US politics from a liberal perspective.</p>

<a href=”http://home-mortgages.suite101.com/article.cfm/what_is_a_second_mortgage_loans_and_quotes”>What is a Second Mortgage – Loans and Quotes: What are the …</a><p>A second mortgage is quite simply stated: A mortgage that is placed on a real estate property that is subordinate to the first mortgage holder.</p>

Seo friendly directory

A List Directory

Free Website Directory

Has Your Credit Got You Down? There is Hope.

Originally posted 2011-08-30 21:19:47. Republished by Blog Post Promoter

Today’s post is by Tara Colquitt, and she would like to share with you some tips on improving your credit.

 

“Though no one can go back and make a brand new start, anyone can start from now and make a brand new ending” – Carl Bard, theologian

 

Hello, I am Tara Colquitt, The Credit Woman. I am here to help you make a brand new ending.

 

Let’s first agree, credit
affects everything. But death, divorce, health issues and our all time favorite
un/under employment can cause anyone to have credit issues. However, credit
isn’t cancer. You can live with poor credit. It is just more expensive and
usually inconvenient. I am not here to make you feel less than Who You Are. I am
here to help you move from Where You Are. If you are ready. I cannot do this
without your
full cooperation. May I have your cooperation?

 

Great!
Then let’s do the following:

●Check your credit at www.annualcreditreport.com. It’s free. And it shows
the approximate date of removal from the report. Sometimes my advice to people with seriously challenged credit is to wait. They do not have the resources to get out of their situation but that is why you get a “do over” in 7+ years. But that does not mean to do nothing now.

●Make a budget and stick to it. Find your “Why”. Home, Savings, Education,
Retirement?

●Save $20 a week.

You can do this yourself, and some people do. But most don’t and
many don’t do it well. Did you pay the delinquent account without negotiating to have it removed from your credit report? Well, is difficult if not impossible to do anything once you have paid the creditor.
The hammer, your money, has been eliminated. Just as important to removing negative items is to build  credit. No one is going to loan you $100k if you can’t handle $1,000. You need to get a prepaid credit card and/or a secured bank loan. These are great trade-lines to build credit.

 

I am frequently asked how long does it take to improve your credit. Hmmm…how long does it take to lose weight? Well, it’s your effort, right? Breaking those habits. And so many other factors.  Budget and desire to make changes is key. If you do not have the money to repay debt or establish
a secured bank loan, it will take more time. I had a client in February I spoke
to on a Tuesday and by Thursday she did everything I advised her to do and then I had a client that after two years, she and her husband were ready to purchase a home. But they both had plans.

Now, I am also passionate about making myself obsolete. Any young adult with a job has the ability to establish excellent credit and purchase their first home within five years of graduation (high school or college). The concept is simple. Remember that $20, $20/week, $80/month which is approximately $1000 a year.  In 3 years that is $3000 and a starter home can be purchased with an FHA loan. This creates generational wealth. By the way, this concept works for anyone at any age. You must have a plan!

 

So, let me leave you with this offer: If you will not for any reason, but desire to carry out the advice I have just given, I can help you do this.

 

I am Tara Colquitt, The Credit Woman and I am here to help you Begin your New Ending.

Tara Colquitt, The Credit Woman
“Turning Self-Worth Into Net-Worth”
Tara@thecreditwoman.com
TheCreditWoman.com
www.SendOutCards.com/53116
215-350-2483 (c)
267-535-2907 (f)

Related articles

• 5 Tips for Checking Your Credit Report Before Buying a Home (doorfly.com)
• 7 Smart Tips For First-Time Homebuyers (casasugar.com)
• How does credit repair works (wiki.answers.com)

Beware, Predatory Lending Still Alive and Well

Originally posted 2009-01-18 02:18:45. Republished by Blog Post Promoter

Recently, I attended a closing where the owner felt that the lender was performing predatory lending.  I agreed, as a matter of a fact, I pointed it out.  One of the signs of predatory lending in his deal was that the terms of the loan was not what the owner agreed to.

The owner immediately called the lender.  From his demeanor, the lender was trying to convince him that the deal was the best the lender could do for his situation.  This statement was met with the owner informing the lender that the owner’s present lender was offering a no closing cost deal, as well.  After several more exchanges, the owner agreed to allow the lender time to meet the terms of the orginial agreement. 

The lesson here is to read the documents you are signing.  Do not take anyone’s word on what the documents state.  When viewing documents look for the interest rate, term and cost for acquiring the loan.  Question all items that you do not agree with.

The above scenario is one of many signs of predatory lending.

Other signs of predatory lending are:

• The lender tells the client that the product or loan the lender is offering is the only chance that the client has to get a loan or refinance.  Remember if a lender does not give you a choice they are not the right lender for you.
• The lender states the home cost more than others in the area.  Remember, the home can not be sold to you for more than what it appraises for.  Futhermore, the appraisal is an opinion of value based on homes of similar, size, age, etc. as the property you are purchasing.  Still yet, your Realtor can provide a comparative market analysis to let you know the value of the home.
• The lender ask you to sign a blank document.  Never sign a blank document.

Lastly, if it seems to good to be true it often is.  Read all documents that you sign and get second opinions by having your Realtor, attorney, and/or accountant review the rate, term, and contract before you sign to ensure your rights are protected.

Buying a Home Has Never Been Easier for Illinois’ Veterans

Originally posted 2009-04-16 05:00:53. Republished by Blog Post Promoter

The Illinois Housing Development Authority is willing to help any armed service person to purchase a home if he or she has one thousand dollars in saving to apply towards the purchase of a home.

The program is called “G-I Loans for Heroes”.  The serviceperson would, however, have to have two mortgages.  

The first mortgage will have a low interest for eighty percent of the purchase price.  The second mortgage has an interest rate of zero for the remaining twenty percent of the purchase price up to $40,000.  The serviceperson will also receive a grant of up to two thousand five hundred towards closing cost.  In addition, the serviceperson would have to attend homeownership counseling.

To qualify you must be:

• an honorable discharged veteran
• currently in the armed services and a first time home buyer
• a first time home buyer in the reserve and currently on active duty

The serviceperson can purchase a single family home, condominium, or duplex. 

For further information contact the Illinois Housing Department Authority at http:www.ihda.org or call them toll free at 800 942 8439 or 312 836 5244.

Was Your Foreclosure Legal?

Originally posted 2009-01-07 10:00:10. Republished by Blog Post Promoter

In the state of Illinois for a foreclosure to happen the lender must follow certain legal steps.

Thirty days prior to the enty of judgment of foreclosure, the owner and all person who have interest in the property will be given notice of the foreclosure.

Then, the lender must initiate a foreclosure complaint or counterclaim and at the same time the foreclosure complaint or counterclaim is entered a constructive notice is sent to all persons claiming interest or have a lien on the property.  The court gathers the information on who has interest or liens on the property from public record and title records. 

The constructive notice has to display the plaintiff’s or plaintiffs’ name, the case number, the court where the claim was filed, the names of the owners of record, the legal description of the property, the address of the property and a description of the mortgage that is being foreclosed on.   All the ladder information has to be correct.  If it is not challenge, the information by filing a response to the complaint.   The response must be filed at the court that the complaint or counterclaim was filed.  It also must be filed within 23 days of receiving the notice. 

If any of your rights are violated during the judiciary process of your foreclosure, you can file a complaint with the Judicial Inquiry Board.  This board is an independent agency that consist of four non-attorneys and three attorneys and two judges.  The primary job of this board is to investigate complaints about the judicial process and determine if futher investigate is necessary.  To find out more about the Judicial Inquiry Board, please visit http://www.state.il.us/jib/faq.htm

Once the judicial process is complete, the notice of sale is done.  The notice of sale must include the following information: 

• the name of the owner and all persons who have interest in the property
• the address and phone number of the owner and all persons who have interest in the property
• a description of the home and all improvements
• the time and place for the sale
• the case title and number and court where the foreclosure proceeding were held
• terms of the sale
• the times specific in the judgement

The sale must be post for three consecutive calender weeks (Sunday through Saturday)  at least one time during each of those three weeks with the first notice to be published not more than 45 days prior to the sale.  The last notice is to be published not less than 7 days prior to the sale. 

The notice of the sale can be listed in the newspaper in the legal section, but it must be listed in the county in which the property is located to be concerned proper notice.  It can also be advertised in the real estate section of the newspaper.  In addition, the court also instructs the lender which newspapers and other publications that the notice must be listed in to fulfill the public notice of the sale. 

In addition, the lender must also give notice to all parties to include the owner and even all parties who did not show up for court who may have interest in the property.  The notice must be given in the manner that the use for service of papers which may include a sheriff or courier notice.  This notifications by mail or courier shall take place in addition to the newspaper notice and shall be done at no more 45 days and not less than 7 days prior to the sale. 

No other notice is required unless the court orders or rules differently. 

The successful bidder shall receive a receipt of sale along with a description of the real estate purchased.  The receipt will show the bid amount, the amount paid, and if necessary the amount still remaining to be paid.   An additional receipt will be give if necessary when the remaining amount is paid. 

Upon full payment, the purchaser or bidder will receive a certificate of sale.  The certificate of sale is recordable.  The certificate of sale will have a description of the property sold, the date of the sale to include the location of the sale, and the amount paid.    The Certificate will further indicate that the sale is subject to court verification.    The recording of the certificate is also required by law under Section 12-121. 

Once recorded and verified, the certificate can be assigned by endorsement. 

Even in a foreclosure proceeding you have rights, please make sure yours was not denied.   The simply fact that the foreclosure was filed is not a violation.  If the payment have not been made as agreed, the foreclosure can be filed according the guidelines set forth in the note.  Most mortgages will default after three consecutive missed payments and then the full amount is accelerated to be now due.  However, if you get back on your feet before the foreclosure proceeding is filed which can take up to 6 months to 9 months after the last missed payment, you can contact the loss mitigation department for your mortgage company to get your payments back on track.  There are options, but you must call the lender’s loss mitigation department not the attorney to exercise your right to redemption if you are financial able to prior to the foreclosure proceeding.

Is a Reverse Mortgage Right for You?

Originally posted 2009-05-05 05:13:28. Republished by Blog Post Promoter

A mortgage is a mortgage, right? Wrong.  It is very important to know what type of mortgage you are getting.  There is a FHA, VA, conventional, insured conventional and still yet the reverse mortgage.  

 

The reverse mortgage is a unique product that was developed for homeowners who are 62 years of age and older.  The reason this product was developed for this specific group of individuals is that all too often this group is cash poor and equity rich.  The loan allows the individuals to live off of the equity in their homes.  

 

The lender performs an appraisal of the home and then pays the homeowner a monthly amount based on the appraised value of the home.  

 

In the event, that the homeowner passes away the family owes only what the homeowner used of the equity similar to a home equity loan. 

Do You Have A Question About Real Estate, Mortgage, Insurance?

Originally posted 2009-02-03 11:10:28. Republished by Blog Post Promoter

I created this blog to answer your questions about <a href=”www.taylorbrownrealestatetalks.com”> real estate</a>, <a href=”www.taylorbrownrealestatetalks.com”>mortgage</a>, and <a href=”www.taylorbrownrealestatetalks.com”>insurance</a>. So, I need to hear from you.  What topics are you concerned about?  Is it short sales, foreclosure, how to prevent foreclosure, selling, buying, etc.    Click on the title and put your question in the comment sections to see your topic in the news of Taylor-Brown Real Estate Talks with 24 to 48 hours after you ask.

What Does Mortgage APR Indicate?

Originally posted 2009-12-02 05:00:48. Republished by Blog Post Promoter

This post is written by Steven Parker.  Steven Parker is a financial writer and contributor for the last five years.  He specializes in mortgage and real estate industry and has written many articles on mortgage, reverse mortgage, loan modification, foreclosure and many more.

Mortgage APR or Annual Percentage Rate helps you to assess the total cost of the loan in percentage. For instance, if your mortgage attracts a rate of 10%, it means that you will be required to shell out USD$10 for every USD$100 you borrow yearly. Borrowers usually try to get a mortgage loan that has the lowest APR.

Mortgage APR however doesn’t affect your monthly mortgage payments. This is because your monthly mortgage payments take into account the interest rate and not the mortgage APR.

What does mortgage APR include?

The APR includes the following in its calculations-

• Pre-paid interests
• Points
• Underwriting fees
• Loan processing fees etc.
• Fees for preparing documents
• Private mortgage insurance

In addition to the above, under certain circumstances, the following fees may be included too. They are –

• Credit life insurance
• Loan application fee

Fees excluded from APR calculation

The mortgage APR doesn’t take into account the following types of fees in its calculation-

• Appraisal fees
• Notary fees
• Attorney fees
• Transfer taxes
• Fees from Escrow and Title
• Credit Reporting fees
• Recording fees
• Home Inspection fees etc

In other words, the mortgage APR helps you to find out the amount you have to pay as closing cost. It is mandatory as per Federal Truth in Lending Laws that the lender has to disclose the mortgage APR to the borrower.

It is important that you compare the rates from lender to another. You can also compare the Annual Percentage Rate online. It helps you to shop around for the correct deal. It is also important to remember that getting a low mortgage APR doesn’t necessarily mean that you are getting a good deal. Read the fine print before signing the agreement when you opt for a mortgage.

« Previous Page — Next Page »