Download hud_home_buyers_vocabulary.pdf
Available for download.
Thank You
Marc
Real Estate, News, and Information, for St Tammany Parish LA
http://mortgage-x.com/vocablry/a-to-c.htm
I don’t think anything else needs to be said. Hope this helps. Marc
http://money.cnn.com/2008/07/13/news/economy/fannie_freddie_sunday/index.htm ?postversion=2008071318
http://money.cnn.com/2008/07/11/news/companies/indymac_fdic/index.htm?postve rsion=2008071120
Thank You CNN.
CNN.com / Money
Louisiana is not even on the list, though this will help the housing market in affected areas.
3 Ways to Avoid the Foreclosure Trap
Recent statistics indicate that the number of foreclosures in the US are nearly twice what they were a year ago. In some states, foreclosures reportedly claim one in every 199 households!
If you or someone you know has an Adjustable Rate Mortgage (ARM) that is scheduled to adjust in the next 2 to 18 months, please schedule an appointment with us before it’s too late. Don’t let a foreclosure or default situation sneak up on you. For many borrowers, there are a number of viable foreclosure alternatives that can help, including short sales, FHA refinancing, or FHASecure, to name a few.
Short Sale
A short sale is a legally-binding agreement to allow a home to be sold for less than the amount that is owed. For debt-ridden homeowners or those who owe more than the house is currently worth, a short sale could save them some of the enormous pain, embarrassment, and major credit challenges associated with bankruptcy and/or foreclosure. For lenders, it helps avoid some of the hassle and expense of seizing and auctioning off delinquent real estate. For potential homebuyers and real estate investors, a short sale offers a great opportunity to purchase property at a significant discount.
It’s important to note that short sales occur at the sole discretion of the existing lender or servicing company. This is not like negotiating the price of a home under normal circumstances. A written declaration and supporting documentation demonstrating financial hardship and an inability to make payments will definitely be required by the lender in order to even consider a short sale. This may include pay stubs, tax returns, and liquid asset statements – including those for retirement accounts – among other documentation. In addition, the borrower must be at least 91–days delinquent before a lender will even discuss a short sale.
This is where an experienced real estate professional becomes invaluable to your cause. Knowledgeable real estate agents have likely negotiated short sales in the past and are well-versed in the substantial risk and reward involved in this extremely complex and often drawn out process.
FHA Refinancing
The Federal Housing Administration (FHA) was established in 1934. Its purpose is to provide and improve home ownership opportunities to the general public by insuring home loans made by lenders. The FHA is the only government agency that operates entirely from its own income, and costs the taxpayers nothing. It is also the largest insurer of mortgages in the world. The Federal Housing Administration became a division of the Department of Housing and Urban Development (HUD) in 1965. In the United States, HUD administers low down payment loan programs to help increase and promote home ownership opportunities for Americans.
In recent years, FHA loans had become less popular, especially in areas with higher loan requirements. With the collapse of subprime lending, however, FHA has reemerged as a valuable resource for many borrowers.
The FHA guidelines are not FICO-score driven and are said to be “forgiving” about certain negative financial circumstances, including bankruptcies, foreclosures, or certain consumer credit counseling programs. According to HUD, FHA transactions are projected to surpass 100,000 loans by the end of the fiscal year, which does not include refinances for delinquent borrowers.
You’ve probably heard about FHA reform in the news recently. As a result of the significant market volatility experienced this summer, lawmakers are clearly invested in updating and expanding the limited reach of FHA lending. All politics aside, this new flexibility will likely help many homeowners who take the initiative and seek out help before it’s too late. However, there is still a lot of confusion and misinformation about the features and benefits of new FHA legislation currently awaiting approval.
Home buyers, home sellers, ARM holders, and other borrowers looking to refinance, don’t allow yourself to be overwhelmed by all of the information surrounding these initiatives. Call us and find out what real opportunities are available right now to help you meet your financial goals.
FHASecure Initiative
FHASecure is a temporary lending program – which expires in late 2008 – announced by President Bush on August 31, 2007, and released to FHA–approved lenders on September 4th. Qualified homeowners seeking payment relief from their ARM may be able to use FHASecure to refinance their loan into a more stable, fixed-rate program, even if they are already delinquent on payments. This program is estimated to rescue somewhere between 80,000 and 220,000 ARMs borrowers.
The FHASecure initiative will utilize existing FHA guidelines. Eligible homeowners will be required to pay a mortgage insurance premium and, like all FHA loans, FHASecure will not include pre-payment penalties or “teaser rates.”
A number of important criteria must be met in order to be considered for this and the other programs discussed in this article. Give us a call and, even if you do not meet these specific criteria, we’ll help you find the resources you need to overcome challenges and reach your financial goals.
———————————————————————————————-
The Information in this Post is Provided by:
Integra Lending Group, LLC
Phone: 985 206 0960
Fax: 985 206 0965
Email: ls@integralg.com
For a Free Pre-Approval, Visit: Integra Lending Group
Proudly Serving St Tammany Parish Louisiana
Pre-qualification is the first step in obtaining mortgage financing. A potential borrower answers a few questions to provide the loan consultant with a quick snapshot of the borrower’s income, existing debt, accumulated savings and whether or not there is a co-borrower. Signature(s) allow the loan consultant to run a credit report and begin to determine what loans are good candidates for this particular client. However, there are literally thousands of loan programs available. It is important for the loan professional to know the long-term financial objectives of the prospective homeowner.
Pre-approval is a written documentation that proves the borrower has full support of a lender. It means the form 1003 Uniform Residential Loan Application has been completed and reviewed by an underwriter. Based on the borrower’s income, debt ratio and savings, the underwriter will provide a dollar amount this borrower is eligible for. Now the borrower has the convenience of shopping for a home in the price range agreed upon by the lender.
Pre-approval allows potential homeowners to shop as cash buyers, and that means negotiating power. The seller will take an offer from a pre-approved shopper much more seriously and may even accept a lower bid because they know the financing is in place and the deal is secure.
——————————————————————————-
The Information in this Post is Provided by:
Integra Lending Group, LLC
Phone: 985 206 0960
Fax: 985 206 0965
Email: ls@integralg.com
For a Free Pre-Approval, Visit: Integra Lending Group
Proudly Serving St Tammany Parish Louisiana
With identity theft on the rise, consumers are becoming increasingly aware of the importance of reviewing their credit reports. However, their thoughts about credit and its long-term impact upon their financial future typically end there until it’s time to apply for a home loan. A credit score is used to evaluate how likely a borrower is to repay their loan. There are several actions a person can take to impact their score. Here are a few to keep in mind.
If someone has a credit card which has a high balance, while their remaining credit cards have low or zero balances, it’s best to distribute the debt across the cards in order to change the ratio of debt to available credit.
Many consumers believe that they should close an existing credit card account if the card is inactive. It’s better to keep the account open and use it periodically in order to take advantage of its contribution to their long-term credit history.
With the flood of credit card offers that come in the mail, it may be tempting to open new accounts. However, these “pre-approved” offers are not approved until the companies run a credit report which will temporarily impact the applicant’s credit score. In addition, experts recommend that a person maintain between two to five credit card accounts, total, so it’s best to avoid accumulating too many.
There are several factors that contribute to a credit score. But by observing the tips above, as well as making payments on time and keeping balances as low as possible, a consumer is sure to achieve superior results.
—————–
The Information in this Post is Provided by:
Integra Lending Group, LLC
Phone: 985 206 0960
Fax: 985 206 0965
Email: ls@integralg.com
For a Free Pre-Approval, Visit: Integra Lending Group
Proudly Serving St Tammany Parish Louisiana
In home purchase transactions, there are many times when the buyer and the seller are simply unable to agree upon a specified closing date. The Real Estate Agent involved can negotiate a ‘rent back’ period that is agreeable to both parties. This means the transaction technically closes, the loan for mortgage financing is funded, and ownership of the property is transferred into the buyer’s name. However, the buyer does not take occupancy of the property until several days later. Instead, the buyer sets up a rental agreement in which the property is leased back to the seller for a temporary period that everyone has agreed upon.
While this strategy is fairly common, it is important to make sure the seller is not occupying the property in a lease agreement for more than 30 days* after the close of the purchase transaction. This would constitute a big problem for the new homeowner. After 30 days, the lender would view this as a non-owner occupied purchase, and it would cause the terms of the loan to change radically.
———————————————————————————–
The Information in this Post is Provided by:
Integra Lending Group, LLC
Phone: 985 206 0960
Fax: 985 206 0965
Email: ls@integralg.com
For a Free Pre-Approval, Visit: Integra Lending Group
Proudly Serving St Tammany Parish Louisiana