fha financing: WARNING! Dangerous financing ahead when the SELLER has an FHA loan.
- 07/16/14 04:21 AM
WARNING! Dangerous financing may be ahead. No doubt FHA financing is often the best choice for home buyers. The down payment is still 3.5% although a 5% down payment has been "floated" for years. What costs many SELLERS with an FHA loan on the property they're selling is the PAY OFF.
Agents can control the closing date/time. Make sure the title company understands the importance of closing no later than 48 hours prior to the first of the month. Why no more than 48 hours prior to 1st of the month??? To give the title company time to FedEx (28 comments)
fha financing: GOOD NEWS for Home Sellers with FHA Financing! Attn: Listing Agents.
- 03/31/14 06:14 AM
GOOD NEWS for Home Sellers with FHA Financing! Attn: Listing Agents. How often have you gotten to the settlement table and saw the HUD-1 and realized that your seller was going to be short of money. This is a mistake made by many new agents or agents who rarely sell a home to a buyer with FHA financing. For many, many years, when representing home buyers, we schedule closing toward the end of the month to reduce the pre-paid interest. This practice also benefited the home seller, whether they realized it or not. NO, we didn't settle on the (50 comments)
fha financing: Financing Your Home Purchase in Loudoun County, VA. Help for First Time Home Buyers Too!! By Lenn Harley
- 04/19/13 02:27 AM
ABOUT FINANCING YOUR HOME PURCHASE - The Buyers Agents with Homefinders.com help. By Lenn Harley Homefinders.com is a BUYER'S BROKER working with a network of experienced Real Estate Agents and Brokers ready to help YOU find your home. Part of the service we offer is referring you to lenders experienced in the type of home loan that will help you buy your dream home. As experienced real estate buyer's agents and brokers, we are dedicated to helping you find the best home in your location of choice and qualified price range and help you obtain a mortgage loan to finance your home (2 comments)
fha financing: New FHA Proposed Changes Are Now A Reality. . . KILLING THE GOOSE ONE BPS AT A TIME!!
- 02/05/13 07:48 PM
It's the oldest story in the history of merchandising. There is a "sweet spot" for what a vendor can charge, make a profit and succeed. However, beyond a certain point, when the price goes over the limit of what the consumer will pay, NO ONE WILL BUY! I suspect that FHA has finally reached the tipping point. Just what, if any, does FHA now offer the consumer in exchange for the exorbitant fees??? Inquiring minds want to know. Could it be the slightly higher DTI ratios available?? Could it be lower credit scores permitted?? Help us out here GEORGE. Just what (12 comments)
fha financing: First Time Home Buyer Loans in Loudoun County Virginia. #1, FHA Loans - Call Lenn, 540-822-9907.
- 12/04/12 09:51 PM
FIRST TIME HOME BUYER MORTGAGES IN LOUDOUN COUNTY VA. KNOW WHAT YOU'RE QUALIFIED TO BUY!!!FOR A PERSONAL EVALUATION OF YOUR FIRST TIME HOME BUYER OPPORTUNITIES, just give me a call at 540-822-9907 or 800-711-7988. There is no paperwork required, no online forms to submit and the credit report review is FREE to you. If you're ready for a CREDIT REVIEW, we can arrange that in a few hours you'll know just what you are qualified to buy, what your payments would be and if you're not quite ready, what you need to do to get ready to buy a home. Again, (0 comments)
fha financing: FHA Seller Contribution to Buyer's Closing Costs?? OR, Keep the MIP?
- 12/03/12 07:33 AM
WHICH IS WORSE?? 1. Reducing the maximum seller contribution to Buyer's Closing Costs??? OR 2. Requiring Mortgage Insurance for the life of the loan. BOTH are on order by FHA. Number 1, Reducing seller contribution to buyer has been or order for over a year. Not announced date yet when it will be effective. Number 2. No date yet for this added cost. If I had to choose, I'd say lowering the maximum seller contribution to Buyer's closing costs would be more harmful to buyers and immediately. Higher cash requirements will surely reduce the buying pool. Requiring MIP for the life (17 comments)
It appears to me that, as MIP is increased and loan officers are thinking 5% down conventional for more buyers, concurrent with the higher FHA MIP is a concomitant rise in the credit score minimums for specific conventional financing. The home buyer just can't get a break. Courtesy, Lenn Harley, Broker, Homefinders.com, 800-711-7988. ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ FHA will be raising their mortgage insurance rates sometime in 2013. For loans with the minimum down payment of 3.5%, the annual mortgage insurance rate will go up from 1.25% to 1.35%. For a $200,000 loan, that means the monthly payment will go up by $16.67.
Also, FHA has (7 comments)
fha financing: HOME INSPECTION NOTED REPAIRS vs. LENDER ORDER REPAIRS. Big Difference.
- 09/27/12 09:53 PM
BANK OWNED PROPERTIES ARE SOLD "AS IS". We all know that. HOWEVER, that doesn't mean that banks never make repairs. THEY CAN and THEY DO!!! It depends on whether the repairs requested are pursuant to a HOME INSPECTION REPORT. Or, were the repairs a CONDITION OF AN APPRAISAL. This post inspired by Bruce Reichstein, VA Loan Reader Question: Roof Issues PAY FOR MAINTENANCE WHEN IT'S NEEDED OR WHEN YOU TRY TO SELL THAT HOME WITH A 25 YEAR ROOF. When we write a contract offer on a home with a clear need for a new roof, I make replacing the roof (40 comments)
fha financing: FHA Guideline On Seller Paid Closing Costs - - When does a "guideline" become a "restriction"??
- 08/06/12 08:46 PM
This is what happens when the government dictates processes that should be determined by the real estate marketplace. The post by George Souto is very helpful. We do need to keep the restrictions in mind when designing offers/counter-offers, financing alternatives, etc. That said, I believe that the regulators have gone too far, by far. What is the percentage of sales where the below is clear???? "In reality what happens is the Seller raises the agreed upon Selling Price by the amount of the Closing Costs that they will be contributing." Where is this documented?? Are the sales prices higher than (11 comments)
CALL TO ACTION! FHA is again determined to limit seller concessions in FHA financed transactions to 3% of the purchase price (or $6,000) whichever is more. The sad thing is that they justify this move partly based on the false premise that VA limits seller concessions to 4%. FHA has considered previous comments under the 2010 proposal and has (8 comments)
fha financing: REHABILITATION FINANANCING FOR FIXER-UPPER HOMES - REHAB YOUR NEW PURCHASE WITH FHA 203(K) FINANCING and JOIN THE REAL ESTATE RECOVERY.
- 07/28/11 01:12 AM
PROBLEM: We love the house but there's no garage. . . SOLUTION: FHA 203(k) Financing in Prince George's County, Montgomery County in Maryland and Fairfax, Loudoun and Prince William Counties in Northern Virginia. Join the Real Estate Recovery by rehabilitating a home and gain value. REHABILITATION FINANANCING FOR FIXER-UPPER HOMES - REHAB YOUR NEW PURCHASE WITH FHA 203(K) FINANCING YES! You'd be surprised at the flexibility of FHA 203(k) financing. Consider the below: You CAN buy that "Fixer-Upper" and finance the repairs, upgrades, additions, finished basement and more. . . .Foreclosures are for sale throughout Maryland and Northern Virginia. The banks (32 comments)
fha financing: LENN JUST HAD A EUREKA MOMENT ! ! CONVENTIONAL FINANCING MAY PERMIT MORE SELLER INCENTIVE THAN FHA!
- 08/02/10 01:53 AM
FHA LIMITS SELLER CONTRIBUTION TO BUYER'S CLOSING COSTS TO 3% OF THE PURCHASE PRICE. (Any day now.) O.K. We get it. We don't like it but we get it. We believe it's wrong headed for FHA to limit seller contribution to the buyer's closing costs. These contributions are negotiated and there is no requirement other than self interest for a seller to agree to contribute a portion of their net proceeds to the buyer. Question: Is closing help from a seller to a buyer required? Answer: NO. No seller has to pay a dime of any buyer's closing costs. Question: Will (86 comments)
fha financing: HOME BUYERS SHOULD JUST "SAVE UP MORE FOR A DOWN PAYMENT"?? HA! FAT CHANCE!
- 06/14/10 11:40 PM
* * * * HARD CORE REAL ESTATE TALK * * * * "JUST SAVE UP MORE FOR A DOWN PAYMENT"?? HA! FAT CHANCE! Jeff Belonger makes some great points in his post comparing the costs associated with higher down payments or higher upfront MIP, quoting a Realtor who said: "I guess we're just going to have to start encouraging our clients to save up for the down payment like we used to do years ago." What rock is that Realtor living under? It's easy to say "Just save another $40,000". How many years will that leave that family in a rental unit with (13 comments)
fha financing: THE WORD FROM FHA. . . . . THE FHA INSURANCE FUND WILL RECOVER IN TWO OR THREE YEARS!!!
- 09/18/09 10:27 PM
THIS IS SIMPLY ADDING INSULT TO INJURY TO THE AMERICAN ECONOMY! FHA ADVISES: The new audit shows that even without any new measures, the reserves will rebound to the required level within two or three years largely as the result of the recovery in the housing market, Stevens said. This calculation is based on projections of future home prices, interest rates and the volume and credit quality of FHA's business. GOOD GRIEF! This will effectively put FHA insured financing on hold for TWO OR THREE YEARS. JUST WHAT IS FHA DOING THESE DAYS?? ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ September 18, 2009 HUD ANNOUNCES $300 MILLION IN (108 comments)