• Mortgage rates can change daily.
• Actual payments will vary based on your individual situation and current rates.
• Lending services may not be available in all areas.
• Some restrictions may apply.
• Based on the purchase/refinance of a primary residence.
• We assumed (unless otherwise noted) that: closing costs are paid out of pocket; this is your primary residence and is a single family home; debt-to- income ratio is less than 40%; and credit score is over 720,
• The lock period for your rate is 30 days.
• If LTV > 80%, PMI will be added to your monthly mortgage payment, with the exception of Military/VA loans. Military/VA loans do not require PMI.
• For FHA loans payment includes a onetime upfront mortgage insurance premium (MIP) at 1.0% of the base loan amount and a monthly MIP calculated at 0.90% of the base loan amount. The 0.90% monthly MIP will be paid until the loan reaches 78% LTV, provided the MIP has been paid for a minimum of 5 years. Thereafter, the monthly loan payment will consist of equal monthly principal and interest payments only until the end of the loan.
• Please remember that we don’t have all your information. Therefore, the rate and payment results you see from this calculator may not reflect your actual situation. Elite Financial Group offers a wide variety of loan options. You may still qualify for a loan even if your situation doesn’t match our assumptions. To get more accurate and personalized results, please call (417) 616-0783 to talk to a loan officer.

• Mortgage rates can change daily.
• Actual payments will vary based on your individual situation and current rates.
• Lending services may not be available in all areas.
• Some restrictions may apply.
• Based on the purchase/refinance of a primary residence.
• We assumed (unless otherwise noted) that: closing costs are paid out of pocket; this is your primary residence and is a single family home; debt-to- income ratio is less than 40%; and credit score is over 720,
• The lock period for your rate is 30 days.
• If LTV > 80%, PMI will be added to your monthly mortgage payment, with the exception of Military/VA loans. Military/VA loans do not require PMI.
• For FHA loans payment includes a onetime upfront mortgage insurance premium (MIP) at 1.0% of the base loan amount and a monthly MIP calculated at 0.90% of the base loan amount. The 0.90% monthly MIP will be paid until the loan reaches 78% LTV, provided the MIP has been paid for a minimum of 5 years. Thereafter, the monthly loan payment will consist of equal monthly principal and interest payments only until the end of the loan.
• Please remember that we don’t have all your information. Therefore, the rate and payment results you see from this calculator may not reflect your actual situation. Elite Financial Group offers a wide variety of loan options. You may still qualify for a loan even if your situation doesn’t match our assumptions. To get more accurate and personalized results, please call (417) 616-0783 to talk to a loan officer.

Springfield MO

A HomePath Mortgage allows a borrower to purchase a Fannie Mae-owned property with a Low Down Payment, Flexible Mortgage Terms, No Appraisal and No Mortgage insurance.  Since I am one of the few lenders in the area that can offer this program, I have been getting more calls lately asking about HomePath financing.  You can even use the Homepath Renovation loan to finance renovations to a property that you would like to buy and make repairs to.

Since I’ve personally noticed a significant increase in questions about this financing I thought I would cover the basics.  First, there are two types: a HomePath Mortgage and a HomePath Renovation Mortgage.  The difference being, the HomePath Renovation Mortgage will allow minor fixes to the property.

HomePath Mortgage:

• Minimum 3% down for primary residence

• 10% down investment property

• Borrower can own up to 10 financed properties (but need 25% down if they   own more than 4)

• NO APPRAISAL NEEDED

• NO MORTGAGE INSURANCE

• Seller contributions can be 6-9% on primary residence (the larger the down payment, the larger the allowable contribution), only 2% on investment property

Homepath Renovation:

• This will allow for light renovations to the property that can be included into the loan.

• An appraisal is done “subject to” the completion of the repairs. The value will typically be the appraised value or the cost of the house plus renovations, whichever is lower.

• The down payment is based on this value (hence, most of the renovation work gets financed into the loan).

• The loan closes and the repairs are completed by a licensed contractor within a specified amount of time

• There is more involved with these types of loans, such as: bids, inspections, draw schedules, etc.

This loan does price with a higher rate than your average 30 year fixed conforming loan, but keep in mind, there is no mortgage insurance.

Same basic underwriting requirements of a conforming loan, but without the property issues (appliances missing – no problem)

Overall, the HomePath Mortgage is a great loan.  If you are “handy” and can do most of the work yourself, you may consider the HomePath Mortgage.

If you are looking for a Fannie Mae REO property that would be eligible for this program go to www.HomePath.com.

If you have questions about this feel free to give me a call.

 

Comments or questions are welcome.

*(denotes required field)

Name: *

E-Mail Address: *

E-Mail Address again: *

Please enter your E-mail Address a second time.

Subject: *

Message: *

CAPTCHA Code: *

When you are ready to sell your home you should call several realtors to come and prepare a Market Analysis for a recommended sales price.  When you interview the agents beware if one of the agents is willing to list your house higher than any other agent.  The truth is that you may have just met an agent engaging in a questionable sales practice called “buying a listing.”  They “bought” the listing by suggesting you might be able to get a higher sales price than the other agents recommended. Most likely, they are quite doubtful that your home will actually sell at that price. The intention from the beginning is to eventually talk you into lowering the price.

Your house gets the most attention when it is a new listing, and if you price it properly, agents will show your house to possible buyers.  If you price it too high, no one will show the house and it will sit on the market for some time. When you finally drop your price to reflect its real value, your house is old news and buyers may think you are growing desperate. Therefore, the prices you are offered will come in low and you may find yourself accepting a price that is below what you could have received had the house been priced properly to begin with.

Why do some agents “buy” a listing this way?

An agent can feel pressure from a homeowner who has an inflated perception of his home’s value. On the other hand, there are some agents who engage in this sales practice routinely.

It is human nature for you to want the highest price for your home. However, when you choose the agent who promises what you want to hear, it often leads to stress and frustration. Most of the time, it will take you longer to sell your home. Possibly, you will end up selling at a much lower price instead.

Get qualified for you new mortgage loan.

 

Comments or questions are welcome.

*(denotes required field)

Name: *

E-Mail Address: *

E-Mail Address again: *

Please enter your E-mail Address a second time.

Subject: *

Message: *

CAPTCHA Code: *

If you don’t think you can get approved for a home loan, look at this recent closing.

Customer was Renting a home for $850 per month.

They had a Chapter 7 Bankruptcy discharged in July 2008, including a foreclosure on their home.

We closed their loan with NO MONEY DOWN, and they received over $4000 for new appliances.  The loan amount was $112,000 and now they only pay $702 a month including taxes and homeowners insurance.

How much is your Rent?  Call today to get qualified on a home loan.

Apply Online

 

Comments or questions are welcome.

*(denotes required field)

Name: *

E-Mail Address: *

E-Mail Address again: *

Please enter your E-mail Address a second time.

Subject: *

Message: *

CAPTCHA Code: *

 Apply Online

• Mortgage rates can change daily.
• Actual payments will vary based on your individual situation  and current rates.
• Lending services may not be available in all areas.
• Some restrictions may apply.
• Based on the purchase/refinance of a primary residence.
• We assumed (unless otherwise noted) that: closing costs are paid out of pocket; this is your primary residence and is a single family home; debt-to-  income ratio is less than 40%; and credit score is over 720,
• The lock period for your rate is 30 days.
• If LTV > 80%, PMI will be added to your monthly mortgage payment, with the exception of Military/VA loans. Military/VA loans do not require PMI.
• For FHA loans payment includes a onetime upfront mortgage insurance premium (MIP) at 1.0% of the base loan amount and a monthly MIP calculated at 0.90% of the base loan amount. The 0.90% monthly MIP will be paid until the loan reaches 78% LTV, provided the MIP has been paid for a minimum of 5 years. Thereafter, the monthly loan payment will consist of equal monthly principal and interest payments only until the end of the loan.
• Please remember that we don’t have all your information. Therefore, the rate and payment results you see from this calculator may not reflect your actual situation. Elite Financial Group offers a wide variety of loan options. You may still qualify for a loan even if your situation doesn’t match our assumptions. To get more accurate and personalized results, please call (417) 616-0783 to talk to a loan officer.

• Mortgage rates can change daily.
• Actual payments will vary based on your individual situation  and current rates.
• Lending services may not be available in all areas.
• Some restrictions may apply.
• Based on the purchase/refinance of a primary residence.
• We assumed (unless otherwise noted) that: closing costs are paid out of pocket; this is your primary residence and is a single family home; debt-to-  income ratio is less than 40%; and credit score is over 720,
• The lock period for your rate is 30 days.
• If LTV > 80%, PMI will be added to your monthly mortgage payment, with the exception of Military/VA loans. Military/VA loans do not require PMI.
• For FHA loans payment includes a onetime upfront mortgage insurance premium (MIP) at 1.0% of the base loan amount and a monthly MIP calculated at 0.90% of the base loan amount. The 0.90% monthly MIP will be paid until the loan reaches 78% LTV, provided the MIP has been paid for a minimum of 5 years. Thereafter, the monthly loan payment will consist of equal monthly principal and interest payments only until the end of the loan.
• Please remember that we don’t have all your information. Therefore, the rate and payment results you see from this calculator may not reflect your actual situation. Elite Financial Group offers a wide variety of loan options. You may still qualify for a loan even if your situation doesn’t match our assumptions. To get more accurate and personalized results, please call (417) 616-0783 to talk to a loan officer.

A bankruptcy is defined as a federally authorized procedure by which a debtor is relieved of total liability for its debts by making court-approved arrangements for their partial repayment.   Now there are two types of bankruptcies that apply to individuals and underwriting treats them both differently.

First is the Chapter 7 which is the liquidation bankruptcy.  In the Chapter 7, a trustee of the court will collect non-exempt assets and liquidate them to pay a portion of the debts that are owed.  Once completed, or discharged, the individual is free from debt.

The other is the Chapter 13 bankruptcy.  In the Chapter 13 the trustee of the court will create a Repayment Plan where the individual will make payments to the court over a series of years until the debts are paid in full.  Then a discharge is issued.

There are two more things you need to know…

1.      How USDA Underwriter will handle bankruptcies

2.      How lenders who fund the USDA Loan will underwrite bankruptcies.  Just remember, that the USDA does not actually fund the loan.  The funding comes from various lenders.

First, lets see how the USDA Program handles bankruptcies.

The USDA guidelines are known as the 1980.  If we look at 1980.345 section d.1.viii it reads like this.. “Any debts written off within the last 36 months are considered unacceptable credit.”  And a bankruptcy would fall under this category.

Wait, there’s more,

Because in the prior section it reads “unless the cause of the problem was beyond the applicant’s control”…

So, if the cause of the bankruptcy was due to a circumstance beyond the control of the borrower, then it can be possible to get approval for a USDA loan.

If we continue reading, section d.3 tells us exactly how to prove that situation.

We need to prove that the cause of the problem was:  temporary in nature, beyond the applicant’s control, and have been removed.  Examples given in this section include:  loss of job, reduction of government benefits, loss of income, increased expenses due to illness, or death.

So if you had a bankruptcy within the last 36 months and you can prove that it was caused by a circumstance beyond your control, then you have a fighting chance to get a USDA loan approval.

Now, … how the lender’s underwriter will evaluate a prior bankruptcy.

All lenders have overlays, which mean that they have their own internal rules that trump the USDA guidelines.  So it is more important to know your lenders overlays than it is to know the USDA rules.

Most lenders will just flat out require that a bankruptcy be discharged 36 months, period.  Some will consider a chapter 13 after being discharged 1 year.

But there are only a few lenders who will have a much leaner bankruptcy overlay and follow the USDA guidelines very closely.  This type of lender will typically want to see any type of bankruptcy have at least 3 established credit trade lines reporting on the credit report in order to show that you are rebuilding credit.  In most cases this would take at least 12 months to accomplish.

This type of lender is much more difficult to find.  We have partnered with a lender that fits into this category.

Give us a call to get qualified to purchase your new home.  (417) 619-0783  or  Apply Online

According to Freddie Mac, interest rates recently dropped to all-time lows in some categories, and within a hair of all-time lows in others. We will likely never see rates at these levels again. If you missed the chance to refinance earlier this year, you just got a do-over. Don’t miss out a second time!

Why Act Now?
While the reasons to act now are numerous, here are just a few.

No one, not even George Washington, had a chance to borrow money at these rates…but you do!

Inflation, while currently contained, is likely to show its ugly head as all the stimulus from Washington continues to pour into the system. The end result will be increasing inflation pressure across the board, which will cause all interest rates to rise.

It is likely that interest rates at these levels will never be seen again in our lifetime. Take advantage of them today while you still can so you’ll never have to look back and say, “I wish I had….” If you took advantage of this opportunity earlier this year, congratulations! If not, call me so we can discuss your situation.

Likewise, if you know someone else who can benefit, be it a family member, friend, or co-worker, please have them call me or let me know who they are and I will reach out to them. This could be the greatest gift you could offer someone this year.

I look forward to speaking with you soon.

 

Comments or questions are welcome.

*(denotes required field)

Name: *

E-Mail Address: *

E-Mail Address again: *

Please enter your E-mail Address a second time.

Subject: *

Message: *

CAPTCHA Code: *

Eligible homeowners who are current on their mortgages but have been unable to take advantage of today’s lower interest rates because their homes have decreased in value, may now have the opportunity to refinance. Through a refinance under HARP, Fannie Mae and Freddie Mac will allow the refinancing of mortgage loans that they own or that they guaranteed in mortgage backed securities.

You may be eligible if:

• You are the owner-occupant of a one- to four-unit home.
• The loan on your property is owned or guaranteed by Fannie Mae or Freddie Mac and you are not currently paying PMI (Principle Mortgage Insurance).
• At the time you apply, you are current on your mortgage payments, means that you have not been more than 30 days late on your mortgage payment in the last 12 months.
• The amount you owe on your first lien mortgage does not exceed 125% of the current market value of your property.
• You have a reasonable ability to pay the new mortgage payments.
• The refinance improves the long-term affordability or stability of your loan.

Fannie Mae and Freddie Mac have established toll-free telephone numbers and web submission processes to make this data available. Homeowners can enter information to determine if either agency owns or guaranteed the loan.

For Fannie Mae:
1-800-7FANNIE (8am to 8pm EST)
www.FannieMae.com/loanlookup

For Freddie Mac:
1-800-FREDDIE (8am to 8pm EST)
www.FreddieMac.com/mymortgage

This information is not a guarantee of eligibility for a refinance under HARP, so give Elite Financial Group a call and we can check to see if you would qualify.

Eligible loans will include those where the first lien mortgage does not exceed 125% of the current market value of the property. For example, if your property is worth $200,000 but you owe $250,000 or less on your first lien mortgage you may qualify. The current market value of your property will be determined after you apply to refinance.

You can still qualify for a refinance under HARP if you have a first and second lien. As long as the amount due on the first lien mortgage is less than 125% of the value of the property, homeowners with more than one mortgage may be eligible for a refinance under HARP. Your eligibility will depend, in part, on two additional requirements:

• The lender that has your junior lien mortgage must agree to remain in a junior lien position.
• You must be able to demonstrate your ability to meet the new payment terms on the first lien mortgage.

Give us a Call Today

 

Comments or questions are welcome.

*(denotes required field)

Name: *

E-Mail Address: *

E-Mail Address again: *

Please enter your E-mail Address a second time.

Subject: *

Message: *

CAPTCHA Code: *

Mortgage rates continue to remain very low and it is a great time to refinance. Most people understand how a homeowner can refinance to a lower interest rate and payoff their loan faster by applying the monthly savings to principal reductions. However, I want to call out something even more important. The monthly payment savings does not show you your monthly interest savings. Why is this important? If you focus only on the monthly payment savings from interest rate reduction, you are missing the true interest saving benefit.

We often hear customers focus only on “what is my monthly savings”. We want our customers to understand the benefits of refinancing can lower your loan balance at a much faster period…we are talking months not years! Therefore refinancing can be a benefit even in the short term.

Amortization schedule

Your Current Loan Example:

$200,000 loan 5.5% – 30 years

Example with

Todays Low Rates

$200,000 loan 4.25% -30 years

In this example if you took your monthly payment savings of $151.70 and applied it as a principle reduction you loan balance would be $3828.65 lower with just 18 payments; that is pure interest savings. Also notice the interest portion on the first payment is $208 difference. If you take your monthly savings and apply it towards principle, at the end of 10 years you would have saved over $28,000 in interest.

I have many different loan programs available to cater to each customer’s unique situation. Perhaps you have heard your debt to income was high, your appraisal came in low, or maybe the bank gave you no reason why they turned you down. Our rates are low and our underwriting guidelines are not as tough. If you were turned down for a loan before, call us and let us review your situation.

 

Comments or questions are welcome.

*(denotes required field)

Name: *

E-Mail Address: *

E-Mail Address again: *

Please enter your E-mail Address a second time.

Subject: *

Message: *

CAPTCHA Code: *

CNBC just reported that home loan rates are at their all time lows. Yes, all time lows! This is great news for anyone who has yet to refinance to take advantage of the lowest rates ever recorded, or to purchase that new home or investment property more affordably than ever before.

Both 30 Year and 15 Year Fixed Rates clipped down to their lowest levels. All this is incredible as just months ago, many experts had anticipated that rates would be well above 5% this summer and on their way to 6% by year end.

Last month, NBC reported that nearly 50% of all people with a 30 Year Fixed rate had rates higher than 5.75% – do you know where your interest rate is at currently? It’s worth a look, and a call to me to help check it out!

Plus – in most parts of the country, home values as reported by both the National Association of Realtors and the S&P Case-Shiller Indices are higher than last year. If you were unable to refinance last year, the combination of your current home value and historic interest rates may provide you a greater opportunity to save money than ever before.

Finally, even if your home has lost value from when your loan was originated, you may still be able to refinance. There are some special programs available that might allow you to refinance without private mortgage insurance, even if your loan will now exceed 80% of the present value.

Don’t miss this chance to save money. Even if you have already taken advantage of the historic rates that have been offered, don’t miss this chance to help your family and friends. Call me today and we can discuss what options exist for you.

Time waits for no one…and when rates rise, they will rise quick

 

Comments or questions are welcome.

*(denotes required field)

Name: *

E-Mail Address: *

E-Mail Address again: *

Please enter your E-mail Address a second time.

Subject: *

Message: *

CAPTCHA Code: *