Sellers, don't accept offers from a buyer with FHA financing. Wait, don't accept offers with VA financing. Wait, don't accept offers with conventional financing. Gee, you might as well wait around for a cash buyer. FHA loans are not a bad thing. It could just be that your listing agent isn't familiar with FHA mortgages, or maybe had a bad experience once before, or that they are afraid that the house might not pass a FHA appraisal. In my opinion, I just think the listing agent is flipping a coin on your property and it could cost you thousands … (29 comments)
FHA Home Loans have been a big part of the home buying process when it comes to your financing options. This might not mean much to many, but when you apply for a conventional loan, if you don't get an automated approval, you are declined. With FHA loans, even if you received a refer in the system, your loan can still be manually underwritten. But there are many guidelines that need to be followed, even for a make sense deal. Especially if your qualifying ratios are above the normal FHA requirements of 31/43. This means that your total mortgage … (7 comments)
Making a statement that FHA loans are more expensive than conventional loans because of the monthly mortgage insurance is a blind statement. This is like saying that your house is better than your neighbors house. Just to many unknown variables to make this kind of determination. Here is what a realtor on Trulia stated the other day.... "While an FHA loan has many benefits, the downside(aside from some hefty mortgage insurance) is meeting the guidelines. If you can put 5% down, there is a conventional lender that can do the loan(and the Mortgage insurance is actually lower)." Two … (7 comments)
There will always be some sort of mortgage myth in our industry or a piece of information given by a loan officer that is misleading. What I am about to talk about is regarding FHA loans and a borrower using a co-signer to help them purchase their new home. We call this a non-occupant co-borrower type of loan.
Let's first talk about co-signers for mortgages, because this term is used loosely throughout the real estate industry. When doing a mortgage, a co-signer is much different than when buying a car. When buying a car, you … (25 comments)
With a difficult economy and possibly some new FHA mortgage changes coming in the new future, this could be time to make your voice heard. HUD made this announce back in January 20th, 2010 - FHA announces policy changes to address risk and strengthen finances - I parlayed this announcement into layman's terms. - FHA loans and some possible mortgage changes.
So now, FHA just announced that there will be a 30 day period for comments on these issues described above. … (91 comments)
I must digress... this post was just sent to me. FHA loans have no minimum credit score for Florida Homeowners - From reading this post, the author makes it sound very easy to obtain FHA loans with less than perfect credit. The author states this - "At the same time FHA loans to (do) not penalize Florida buyers with a higher interest rate because of having less then perfect credit." Much of the information above and in the post is extremely misleading. I would consider this … (33 comments)
Just the other day, a borrower asked this question on Trulia. What is the difference/advantages between other FHA loan lenders and the lenders approved for the NJ First-Time Homebuyer Program ? Response by a realtor : "it is probably not wise to buy a house with 3% down anyway. In my opinion, putting 3.5% down is akin to no down payment at all, and that is what got the housing market into trouble in the first place, among … (38 comments)
fha loans florida: Misleading FHA loan disclosures & mortgage disclosures in general - Red Flags
- 06/16/10 05:18 AM
As some of you know, I only have a few major pet peeves, but one of them is false or misleading disclosures, or not disclosing at all. Especially when it comes to FHA loans in New Jersey and FHA loans in Florida, because of the FHA monthly mortgage insurance premium changes that have occurred. Over the years, I always hear different stories on how payments were never disclosed, or had changed, how some documents weren't presented until later on, etc, etc. Even with the new good faith estimate laws that have gone into affect January 1st, 2010 and because of … (7 comments)
FHA Mortgages have gained popularity in the last 2 years because of the demise of the subprime mortgages and because of conventional loans. Conventional loans have become harder and in some cases, more expensive depending on your credit score and down payment. In any case, I am still hearing some negative comments and input about FHA loans. I have been doing FHA loans since 1993 and I never felt that they hindered the loan process. These rumors are usually started by those that aren't as experienced in doing FHA mortgages. … (13 comments)
FHA loans need to go.... so many defaults... GROWING by the thousands. If we don't kill FHA mortgages now, the economy will crumble. Sound confusing?
Okay Jeff, have you flipped your lid? NOPE - I had written this blog last week, FHA loan rumors have become a reality. Because of this post, I have seen a few comments stating that we need to abolish FHA loans. Here are some comments in regards to these FHA changes in general... "The FHA is basically bankrupt since they haven't figured out that making loans … (74 comments)
So much has transpired in the last week with FHA loans and there are things that you need to know and understand why some of these changes took place. Last week HUD put out their policy changes and what could take place in the near future. FHA loan changes go from fact to fiction. The next day, they put out the official HUD mortgagee letter, ML 2010-02. Overall, I have noticed several comments that either the commentor seemed … (36 comments)
FHA mortgages, such a very very bad thing. Don't do it... Don't allow your buyers to utilize this program. Don't allow your seller to accept offers with FHA mortgages. They are very very bad....
HOLD THE PRESS !!!!.. Wait one second. In the real estate and mortgage industry, don't we get angry when someone offers their professional opinion on a topic or question that they don't know much about. That their advice could be an assumption, or from prior years, or from a bad experience?
PS. my initial comments above was a joke. FHA loans aren't a … (75 comments)
I just want to educate people about mortgages and the process.
In regards to lending, I am very creative, intuitive, honest, and one who communicates information, may it be good or bad. I am a loan officer that looks out for your best interest.
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