Ronell D.'s Blog

9 million homeowners? Help is on the way B-)

Ronell D. Moore (TM Holdings Group/ America One Finance) — Wed, 04 Mar 2009 20:01:50 -0600

You may be eligible if you:

•Are the owner occupant of a one to four unit home.

•The loan on your home is owned or controlled by Fannie Mae or Freddie Mac (Don't know? See below),

•You are current on your mortgage payments (current means that you haven't been more than 30-days late on your mortgage payment in the last 12 months

•You believe that the amount you owe on your first mortgage is about the same or slightly less than the current value of your house, and

•You have a stable income sufficient to support the new mortgage payments.

Can I get cash out to pay other debts?

No. Only transaction costs, such as the cost of an appraisal or title report may be included in the refinanced amount

How low can my interest rate go?

Treasury is providing incentives to your investor to write the interest down as low as 2%, if necessary to get to a payment that you can afford based on your income.

Ronell D. Moore

Commercial/ Residential

Mortgage Broker

615-482-1498

Obama Plan to help homeowners hold onto their houses

Ronell D. Moore (TM Holdings Group/ America One Finance) — Wed, 04 Mar 2009 18:34:29 -0600

The Obama Plan to help homeowners hold onto their houses by refinancing their mortgages is getting underway today. There are three core elements to the program. All the details are available at: http://www.treas.gov/press/releases/reports/housing_fact_sheet.pdf.

People with LTVs between 80% and 105%, and this is the group that is the focus of the Obama Plan. They may have had an LTV when they purchased the house of less than 80%, and have been paying their mortgage each month, but in the early years of a mortgage, not much goes to principal. So even if prices had remained flat, after 5 years they would have only been down to about a 75% LTV. But last year, housing prices in the 20 largest metro areas declined by 18.2%, which pushed their LTV well above the 80% level, which has locked these people out of refinancing.

If they could refinance, they could save a lot of money each year. If someone has a $200,000 mortgage at 6.5%, and they were able to refi at the current rate of 5.16%, they would save $2,300 per year. That is almost 3 times the size of the household tax cuts ($800) in the stimulus package. There is a certain amount of luck involved here, since the current mortgage has to be held or backed by FNM or FRE, which are involved with about half of all mortgages. Still, it is estimated that this program could help between 4 and 5 million homeowners.

Ronell Moore

615-482-1498

Commercial/Residential

Mortgage Broker

Ronell D. Moore

Commercial/ Residential

Mortgage Broker

615-482-1498

Vanleers Flooring

Ronell D. Moore (TM Holdings Group/ America One Finance) — Wed, 04 Mar 2009 18:26:27 -0600

Hello Middle Tennessee, today is a good day to install new flooring. We have stimulus pricing on all of our products. Designer products such as Quick Step Laminate flooring, installed for as low as $4.25 a square foot. If Laminate flooring is not your thing, we understand. That's why we are installing Pre-Finished Hardwood for as low as $5.50 a square foot. Sometimes a nice combination of flooring make a Home look/feel special. Carpet installed for as low as $9.99 a yard. If you looking to upgrade your standard of living, but on a budget. Please feel free to contact Vanleers Flooring today.

Ronell Moore

615-482-1498

Ronell D. Moore

Commercial/ Residential

Mortgage Broker

615-482-1498

Middle Tennessee Flooring. Laminate, Hardwood, Carpet and Tile. Free in Home estimates

Ronell D. Moore (TM Holdings Group/ America One Finance) — Tue, 24 Feb 2009 10:17:03 -0600

Ronell Moore

615-860-2491

Ronell D. Moore

Commercial/ Residential

Mortgage Broker

615-482-1498

Permanent and Non-Permanent Resident Alien:Program

Ronell D. Moore (TM Holdings Group/ America One Finance) — Wed, 07 Jan 2009 14:39:59 -0600

I have Lenders that will purchase or securitize mortgages made to aliens who are lawful permanent or nonpermanent

residents of the United States. We do not specify the precise documentation that a lender must obtain to verify

that a permanent or nonpermanent resident alien borrower is a legal resident of the United States, rather, a lender

should make a determination of the alien's residency status based on the circumstances of the individual case,

using whatever documentation it deems appropriate. Some products may limit LTV and occupancy based on

residency.

Permanent and Non-Permanent Resident Alien:

Alien cards are not required providing the following are met:

• Two year verified work history in the United States, including a 2 year history of receipt of social security card

regardless of documentation type

• Employment must have a likelihood of continuance

• Two year residency in the United States

• Two year credit history in the United States

• Credit score requirements must be met

Ronell D. Moore

Commercial/ Residential

Mortgage Broker

615-482-1498

Vanleers Flooring

Ronell D. Moore (TM Holdings Group/ America One Finance) — Wed, 07 Jan 2009 13:30:54 -0600

Ronell D. Moore

Commercial/ Residential

Mortgage Broker

615-482-1498

Tennessee New Fha Mortgage limits, by county

Ronell D. Moore (TM Holdings Group/ America One Finance) — Wed, 07 Jan 2009 11:20:27 -0600

FHA Mortgage Limits List - FHA Forward

Message: MORTGAGE LIMITS SUCCESSFULLY COMPLETED

Mortgage maximums as of Tuesday December 16, 2008
(95 records were selected, records 1 through 50 displayed)

MSA Name	MSA Code	Division	County Name	County Code	State	One-Family	Two-Family	Three-Family	Four-Family	Last Revised	Limit Year
KNOXVILLE, TN (MSA)	28940		ANDERSON	001	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
SHELBYVILLE, TN (MICRO)	43180		BEDFORD	003	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
NON-METRO	99999		BENTON	005	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
NON-METRO	99999		BLEDSOE	007	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
KNOXVILLE, TN (MSA)	28940		BLOUNT	009	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
CLEVELAND, TN (MSA)	17420		BRADLEY	011	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
LA FOLLETTE, TN (MICRO)	29220		CAMPBELL	013	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
NASHVILLE-DAVIDSON--MURFREESBORO, TN (MSA)	34980		CANNON	015	TN	$393,300	$503,500	$608,600	$756,350	01/01/2009	CY2009
NON-METRO	99999		CARROLL	017	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
JOHNSON CITY, TN (MSA)	27740		CARTER	019	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
NASHVILLE-DAVIDSON--MURFREESBORO, TN (MSA)	34980		CHEATHAM	021	TN	$393,300	$503,500	$608,600	$756,350	01/01/2009	CY2009
JACKSON, TN (MSA)	27180		CHESTER	023	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
NON-METRO	99999		CLAIBORNE	025	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
NON-METRO	99999		CLAY	027	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
NEWPORT, TN (MICRO)	35460		COCKE	029	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
TULLAHOMA, TN (MICRO)	46100		COFFEE	031	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
NON-METRO	99999		CROCKETT	033	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
CROSSVILLE, TN (MICRO)	18900		CUMBERLAND	035	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
NASHVILLE-DAVIDSON--MURFREESBORO, TN (MSA)	34980		DAVIDSON	037	TN	$393,300	$503,500	$608,600	$756,350	01/01/2009	CY2009
NON-METRO	99999		DECATUR	039	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
NON-METRO	99999		DEKALB	041	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
NASHVILLE-DAVIDSON--MURFREESBORO, TN (MSA)	34980		DICKSON	043	TN	$393,300	$503,500	$608,600	$756,350	01/01/2009	CY2009
DYERSBURG, TN (MICRO)	20540		DYER	045	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
MEMPHIS, TN-MS-AR (MSA)	32820		FAYETTE	047	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
NON-METRO	99999		FENTRESS	049	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
TULLAHOMA, TN (MICRO)	46100		FRANKLIN	051	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
HUMBOLDT, TN (MICRO)	26480		GIBSON	053	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
NON-METRO	99999		GILES	055	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
MORRISTOWN, TN (MSA)	34100		GRAINGER	057	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
GREENEVILLE, TN (MICRO)	24620		GREENE	059	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
NON-METRO	99999		GRUNDY	061	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
MORRISTOWN, TN (MSA)	34100		HAMBLEN	063	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
CHATTANOOGA, TN-GA (MSA)	16860		HAMILTON	065	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
NON-METRO	99999		HANCOCK	067	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
NON-METRO	99999		HARDEMAN	069	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
NON-METRO	99999		HARDIN	071	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
KINGSPORT-BRISTOL-BRISTOL, TN-VA (MSA)	28700		HAWKINS	073	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
BROWNSVILLE, TN (MICRO)	15140		HAYWOOD	075	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
NON-METRO	99999		HENDERSON	077	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
PARIS, TN (MICRO)	37540		HENRY	079	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
NASHVILLE-DAVIDSON--MURFREESBORO, TN (MSA)	34980		HICKMAN	081	TN	$393,300	$503,500	$608,600	$756,350	01/01/2009	CY2009
NON-METRO	99999		HOUSTON	083	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
NON-METRO	99999		HUMPHREYS	085	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
COOKEVILLE, TN (MICRO)	18260		JACKSON	087	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
MORRISTOWN, TN (MSA)	34100		JEFFERSON	089	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
NON-METRO	99999		JOHNSON	091	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
KNOXVILLE, TN (MSA)	28940		KNOX	093	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
NON-METRO	99999		LAKE	095	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
NON-METRO	99999		LAUDERDALE	097	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009
LAWRENCEBURG, TN (MICRO)	29980		LAWRENCE	099	TN	$271,050	$347,000	$419,425	$521,250	01/01/2009	CY2009

Selection criteria

Sorted by:	County
State:	TN
County:
County Code:
MSA Name:
MSA Code:
Limit Type:	FHA Forward
Last Revised:

The CY2009 basic standard mortgage limits for FHA insured loans are:
		One-family	Two-family	Three-family	Four-family
	FHA Forward	$271,050.00	$347,000.00	$419,425.00	$521,250.00
	HECM	$417,000.00
	HOPE for Homeowners	$550,440.00
	Fannie/Freddie	$417,000.00	$533,850.00	$645,300.00	$801,950.00

High cost area limits are subject to a ceiling based on a percent of the Freddie Mac Loan limits The ceilings for CY2009 are:
		One-family	Two-family	Three-family	Four-family
	FHA Forward	$625,500.00	$800,775.00	$967,950.00	$1,202,925.00
	HECM	$417,000.00
	Fannie/Freddie	$625,500.00	$800,775.00	$967,950.00	$1,202,925.00

Section 214 of the National Housing Act provides that mortgage limits for Alaska, Guam, Hawaii, and the Virgin Islands may be adjusted up to 150 percent of the new ceilings. This results in new CY2009 ceilings for these areas of:
		One-family	Two-family	Three-family	Four-family
	FHA Forward	$938,250.00	$1,201,162.00	$1,451,925.00	$1,804,387.00
	Fannie/Freddie	$938,250.00	$1,201,162.00	$1,451,925.00	$1,804,387.00

Ronell D. Moore

Commercial/ Residential

Mortgage Broker

615-482-1498

:-) Make it this Year, Period!!!

Ronell D. Moore (TM Holdings Group/ America One Finance) — Tue, 06 Jan 2009 23:56:55 -0600

Don't allow the Television, Newspapers, and so call friends turn this into Happy New Fears. We live in a World of Opportunity. People are rich/poor in good and tough economies. Which did you choose last year, which will you choose Today.

I work primarily in the Middle Tennessee area. I love helping families, business owners, and investors acquire financing for real estate. Over the past few year we have helped many achieve his/her dreams. Interest rate are low on Residential Mortgages and great on Commercial Property. One of my old favorite sayings " Not taking advantage of opportunity, is the same thing as failing", Reducing your interest rate and lowering your payment is your right.

Ronell D. Moore
Residential/Commercial

Mortgage Consultant
615-482-1498 Phone
615-866-0062 Fax
info@Fhacloser.com
http://www.FhaCloser.com

Ronell D. Moore

Commercial/ Residential

Mortgage Broker

615-482-1498

Hurry and Register your Dellinquit Mortgages, FHA Secure is being Terminated

Ronell D. Moore (TM Holdings Group/ America One Finance) — Tue, 23 Dec 2008 09:13:12 -0600

FHA Secure Termination
In accordance with HUD Mortgagee Letter 2008-13, the FHA Secure program will expire on December 31, 2008. The FHA Secure program offered expanded guidelines for borrowers currently delinquent on their mortgages due to ARM Rate Resets, as well as Rate/Term Refinance transactions from non-FHA mortgages to FHA Fixed Rate Mortgages. These provisions were only temporary.

*    After December 31, 2008 HUD will no longer issue Case Numbers under the FHA Secure program
*    Most Lenders will allow loan registrations dated prior to December 29, 2008. No loan registered with some lenders on or after December 29, 2008 may be registered as a FHA Secure loan. The loan file must have a completed and signed loan application at the time of loan registration.
*    There are no specified deadline dates for Underwriting Approval, Lock, Close, Fund, or Delivery.
*    HUD is in the process of working on expanded guidelines to accommodate those borrowers who may be delinquent on their current mortgage and do not qualify under standard HUD guidelines.  I will work diligently to accommodate any new HUD guidelines as quickly as reasonably possible.
*    All new non-delinquent non-FHA refinance transactions, registered on or after December 29, 2008 will follow standard HUD.

To get registered today please click here:

https://www.americanonefinance.mortgagexsites.com/iFrame.aspx?FileName=LoanApplicationPop.x&ReferrerGUID=1a87815d-128a-400a-8095-b6195ea99d0b&language=English&UID=k2odvbfc33ain245vamhh245

615-482-1498

Ronell D. Moore

Commercial/ Residential

Mortgage Broker

615-482-1498

FHA Refinance Mortgage Options

Ronell D. Moore (TM Holdings Group/ America One Finance) — Sun, 14 Dec 2008 17:11:11 -0600

FHA Refinance Mortgage Options

Homeowners enjoy the benefits of investing in their property year after year. For some, there comes a time when that investment can come in handy. Refinancing with an FHA loan can prove to be an effective way to put that equity to work.

Sending a child to college, consolidating bills, taking a much needed vacation, or making home improvements are some of the ways homeowners tap into the equity they have accumulated in their home to help with these expenses. Keep in mind that FHA refinancing is only available to homeowners who are currently using their home as their principal residence.

FHA offers several different options to homeowners who are considering an FHA refinance mortgage:

FHA REFINANCE: CASH OUT REFINANCING
This refinancing option is especially beneficial to homeowners whose property has increased in market value since the home was purchased. A Cash Out refinance allows homeowners to refinance their existing mortgage by taking out another mortgage for more than they currently owe, therefore repaying their current mortgage and using the equity they have built up in their home to take out another larger mortgage. This allows the homeowner to access the equity they have built up in their home and put it to good use where needed.

In order to get the most benefit from refinancing your mortgage, it is often best to consider refinancing after you have had time to build up a significant amount of equity in your home. If the property was purchased more than one year prior to the refinance, the homeowner can refinance the existing mortgage for up to 85 percent of the appraised value plus the allowable closing costs, which vary from state to state.

FHA REFINANCE: STREAMLINED REFINANCING BASICS
This refinancing option is considered streamlined because it allows you to reduce the interest rate on your current home loan quickly and oftentimes without an appraisal. FHA Streamlined Refinance also cuts down on the amount of paperwork that must be completed by your lender saving you valuable time and money.

In order to qualify for a Streamlined Refinance your original home loan must be an FHA loan in good standing and the refinance must lower your monthly interest payments. This type of refinancing option reduces your monthly expenses by lowering your payments but there is no option to receive cash back. This works well for people who are in good financial standing with no significant debt because it allows you a little extra money each month that can be put to good use elsewhere

Ronell D. Moore

Commercial/ Residential

Mortgage Broker

615-482-1498

Flooring installed by the Holidays(Laminate flooring $1.99*), Tennessee 615-482-1498

Ronell D. Moore (TM Holdings Group/ America One Finance) — Sat, 15 Nov 2008 18:44:45 -0600

Some of our specials include, but are not limited too:

Laminate flooring $5.25 per square foot Installed( including: Material, Labor, Underlayment, Quarter Round, and a 2 year labor warrenty).

Hardwood Flooring: $7.00 per square foot Installed(( including: Material, Labor, Underlayment, Quarter Round, and a 2 year labor warrenty).

Carpet Installed for as low as $17 a yard.

Ronell D. Moore

Commercial/ Residential

Mortgage Broker

615-482-1498

Thank's George Bush!!!!

Ronell D. Moore (TM Holdings Group/ America One Finance) — Sat, 15 Nov 2008 01:20:24 -0600

Hello my name is Ronell D. Moore! I would like to thank President George Bush. I'm thankful to our current leader for several reasons. One being the housing market seven years ago. Remember when we would take a person from a 13% interest rate to a 6% interest rate? Life was great and loans where plentiful. Second for the chastisement of greed. By nature we consume more than we need. Just look at your surrounding. A combination of efficient and greed created the sub-prime market. What went wrong, was the salesperson who sold the first client was consumed by greed. He delivered it with profit in mind. The third reason I would like to thank our current President of the United States of America, is "reproof without doubt". America I tell ya, had it not been for George bush mistakes. We all would had had to endure another 4 years of strife. From one fellow salesman/woman to another, trust in God. We should/shall deny ourselves of selfishness and encourage the glorification of the customers. I remember listing to a motivational speak. The motivational speaker was elaborating on the salesman and his efforts. However he neglected to mention the coustomer.Because it does not matter if your the greatest salesman. Without the customer we just talking to ourselves. But with the customer's interest in mind, Yes We Can.

Ronell D. Moore

Commercial/ Residential

Mortgage Broker

615-482-1498

You still have time to have your Flooring installed by the Holidays!!!

Ronell D. Moore (TM Holdings Group/ America One Finance) — Thu, 11 Sep 2008 01:06:14 -0500

Hello fellow active rainers. First of all I would like to thank those who have signed on as a suscriber. Sencond I would like to appoligize for my time off from bloging. However I have been selling one of,the greastest products in the industry. This Next day install company has truly made a beliver out of me. For all your flooring and window treatment needs. Please call me at 615-516-3522, leave a message if needed or email me at info@fhacloser.com. Let me know your a fellow activerainer and I will give you a discount on products.

Some of our specials include, but are not limited too:

Laminate flooring $5.25 per square foot Installed( including: Material, Labor, Underlayment, Quarter Round, and a 2 year labor warrenty).

Hardwood Flooring: $7.00 per square foot Installed(( including: Material, Labor, Underlayment, Quarter Round, and a 2 year labor warrenty).

Carpet Installed for as low as $17 a yard.

Guaranteed Installation for the Holidays. Conditions Apply.

Ronell D. Moore

Commercial/ Residential

Mortgage Broker

615-482-1498

FHA Secure Changes July 14, 2008

Ronell D. Moore (TM Holdings Group/ America One Finance) — Mon, 02 Jun 2008 19:27:03 -0500

Criteria	*FHASecure*	FHA 95% Cash-out Refinance	FHA to FHA Refinance*
Eligible Loan Types	•· Current conventional fixed-rate or ARM loan. •· Delinquent conventional ARM loan. •o Delinquency was caused by rate reset (recast) or extenuating circumstance but does not affect borrower's overall capacity to repay the FHA loan. •· Acceptable loan features include interest only, payment option and negative amortization.	•· FHA or conventional loan that is seasoned at least 12 months with last 12 payments made within the month due. Otherwise, limited to 85% LTV.	•· FHA
Ineligible Loan Types	•· FHA	FHA or conventional loans seasoned less than 12 months. Otherwise limited to 85% LTV.	•· Conventional
LTV	•· Standard LTV on FHA first mortgage. •· In addition to standard rate and term maximum mortgage calculation may include arrearages (PITI) incurred after reset or extenuating circumstance. •· Current appraised value is used to determine maximum loan amount. •· No seasoning requirement for purchase money seconds. •· Equity line in excess of $1000 advanced in last 12 months is not eligible for inclusion (unless documented for repair/renovation of subject property).	•· Up to 95% LTV on FHA first mortgage that does not exceed $417,000. Otherwise limited to 85% LTV. •· Standard cash-out maximum mortgage calculation up to 95%. •· Current appraised value is used in determining maximum loan amount. •· There are no seasoning requirements for subordinate liens.	•· Standard LTV on FHA first mortgage. •· Standard rate and term maximum mortgage calculation. •· Current appraised value is used in determining maximum loan amount. •· No seasoning requirement for purchase money seconds. •· Equity line in excess of $1000 advanced in last 12 months is not eligible for inclusion (unless documented for repairs/renovation of subject property).
CLTV	•· Unlimited CLTV for new subordinate financing. •· Unlimited CLTV for re-subordination or modification of existing subordinate financing.	•· Unlimited CLTV for re-subordination and/or modification of existing subordinate financing. Also applicable for FHA first mortgages limited to 85% LTV.	•· Standard FHA CLTV ratio on new subordinate financing: the combined 1^st and 2^nd liens do not exceed the applicable FHA LTV and maximum mortgage limit for the area. •· Unlimited CLTV for re-subordination or modification of existing subordinate financing.

Criteria	*FHASecure*		FHA 95% Cash-out Refinance	FHA to FHA Refinance*
Underwriting	FHA First Mortgage •· Borrower is delinquent but mortgage payment history shows that: •o during the 6 months prior to reset or extenuating circumstance there are no instances of making mortgage payments outside the month due; or •o during the 12 months prior to reset or extenuating circumstance there are no more than 1x60 late payment or 2x30 late payments; or •o no more than 1x90 or 3x30 during the 12 months prior to reset or extenuating circumstance provided the LTV on the FHA first does not exceed 90%. •·Delinquency was caused by rate reset or extenuating circumstance but does not affect borrower's overall capacity to repay the FHA loan. •·Borrower delinquent on IO and/or payment option ARMs must demonstrate that they were making their monthly mortgage payments within the month due during the 6 months prior to rate reset. •· Standard 31/43 ratios may be exceeded with compensating factor(s), except for loans limited to 90% LTV mortgage payment history. •· Non-occupant co-borrowers may be added.		FHA First Mortgage •· Borrower must have owned property for 12 months AND if encumbered by a mortgage made payments for the last 12 months within the month due. Otherwise limited to 85% LTV. •· Standard 31/43 ratios, may be exceeded with compensating factor(s). •· Non-occupant co-borrowers may not be added for 95% cash-out refinance transactions but are permissible for those limited to 85% LTV.	FHA First Mortgage •· Borrower must be current and have an acceptable mortgage payment history. •· Standard 31/43 ratios, may be exceeded with compensating factor(s). •· Non-occupant co-borrowers may be added.
	Secondary Financing •· If payments on the second are required, they must be included in the qualifying borrower unless deferred for a period of at least 36 months. •· Secondary financing must meet the following requirements: •ü No prepayment penalty •ü No balloon payments less than 10 years •ü Payments on FHA 1^st and subordinate liens, plus other housing expenses, cannot exceed borrower's capacity to repay. •ü Any periodic payments due on the second mortgage are due monthly and are essentially the same in dollar amount.		Secondary Financing •· If payments on the second are required, they must be included in qualifying the borrower. •· Secondary financing must meet the following requirements: •ü No prepayment penalty •ü No balloon payments less than 10 years •ü Payments on FHA 1^st and subordinate liens, plus other housing expenses, cannot exceed borrower's capacity to repay. •ü Any periodic payments due on the second mortgage are due monthly and are essentially the same in dollar amount.	Secondary Financing •· If payments on the second are required, they must be included in qualifying the borrower. •· Secondary financing must meet the following requirements: •ü No prepayment penalty •ü No balloon payments less than 10 years •ü Payments on FHA 1^st and subordinate liens, plus other housing expenses, cannot exceed borrower's capacity to repay. •ü Any periodic payments due on the second mortgage are due monthly and are essentially the same in dollar amount.
FHA Identifier	•· Conventional not delinquent •· Conventional delinquent		Conventional not delinquent	FHA to FHA Refinance, use appropriate identifier
New Mortgage	FHA Fixed, 1-year ARM or hybrid ARM		FHA Fixed, 1-year ARM or hybrid ARM	FHA Fixed, 1-year ARM or hybrid ARM
Mortgage Insurance	Delinquent	Current	1.5% UFMIP and .50% Annual Premium	1.5% UFMIP and .50% Annual Premium
	2.25% UFMIP and .55% Annual Premium when LTV > 95%	1.5% UFMIP and .50% Annual Premium

Criteria	*FHASecure*		FHA 95% Cash-out Refinance	FHA to FHA Refinance*
Expiration	Delinquency and/or > Std FHA CLTV Ratio:	Current and =/< Std FHA CLTV Ratio:	Permanent	Permanent
	Applications on/or before 12/31/08	Permanent
Documentation Requirements	In addition to standard FHA documentation requirements, the following documents are needed for FHASecure: •· Evidence of the current loan type and reset date such as the current ARM Mortgage Note or Rider, if applicable. •· Evidence of occurrence of extenuating circumstance(s), if applicable. •· Explanation letter from borrower for delinquency and/or missed payments. •· Evidence that the payment history for the 6 months prior to reset had no payments outside the month due (credit report, payment history, etc); OR •· Evidence that the payment history has no more than 1x60 late payment or 2x30 late payments in the last 12 months (credit report, payment history, etc); OR •· Evidence that the payment history has no more than 1x90 or 3x30 late payments in the last 12 months. •· Include evidence of partial forbearance, if applicable. •· Evidence of terms and conditions of secondary financing, if applicable. •· MCAW (LT) with comments from the underwriter in the Remarks section to document decision that reset or temporary financial setback caused the loan to become delinquent.		Standard FHA documentation requirements	Standard FHA documentation requirements
Other	All other standard FHA requirements apply		All other standard FHA requirements apply	All other standard FHA requirements apply

Ronell D. Moore

Commercial/ Residential

Mortgage Broker

615-482-1498

I AM WHAT I THINK/ A Life-Changing Procedure

Ronell D. Moore (TM Holdings Group/ America One Finance) — Sun, 25 May 2008 17:22:04 -0500

Recession proof your mind. Stop allowing media to control your destiny. We all have read books, new articles, or watched TV/Internet and hear we are in a recession. So say they don't need to watch anything they can feel and see it in the everyday lives. Some say things like: " Gas is to high", "Food is to much", or "The housing market is Bad?". I will have to admit, that from time to time some of the same thoughts have entrained my mind. However I must remind myself not only am I what I eat, I AM WHAT I THINK. If I allow myself to enter into a negative mindset I can't escape the so called recession we are in. How my authors have made it big off of "How to buy and sell Real Estate to make money"? How many of us have read them and acted on the concept. Or at least think that making money in real estate is a good ideal. So what's so different now? Yes gas is higher than it has ever been, but homes are also becoming cheaper again. While the cost of food is increasing, interest rates on home are dropping. Altought many people are loosing there homes, they still need somewhere to live. Every person who is foreclosed on needs to rent a Home, and Apartment or some form of real estate.That's where your mindset comes into play. Either you can allow constants to hinder your mindset, or you can create your own reality. Just think about it for a second. Many Real Esate professionals are retreating, back into the work force. Does that mean that Real Estate Professionals are starving. No, I myself know of several people who are doing well in Real Estate. Yet I do know of several people who are struggling in the work force. You see it does not matter whats going on outside. As long as you control your inside you can win in any market. The law of attraction say we create our reality. We are in total control of where we are in Life. Stop listing to the media for instruction, listen to the voice within.

A Life-Changing Procedure

The eyes are the windows of the soul. So, to the person you are capable of

becoming, each evening, just before you go to bed, stand in front of a mirror

alone and in the first-person, present tense, look yourself in the eye and repeat

with passion and enthusiasm paragraphs A, B, C and D. Repeat this process

every morning and every evening from this day forward. Within one week you

will notice remarkable changes in your life. After thirty days add the procedure

at the bottom of this card.

"I, ___________, am an honest, intelligent, organized, responsible, committed,

teachable person who is sober, loyal, and clearly understands that regardless of

who signs my paycheck I am self-employed. I am an optimistic, punctual,

enthusiastic, goal-setting, smart working self-starter who is a

disciplined, focused, dependable, persistent positive thinker with

great self-control, and am an energetic and diligent team player and

hard worker who appreciates the opportunity my company and the

free enterprise system offer me. I am thrifty with my resources and

apply common sense to my daily tasks. I take honest pride in my competence,

appearance and manners, and am motivated to be and do my best so that my

healthy self-image will remain on solid ground. These are the qualities which

enable me to manage myself and help give me employment security in a nojob-

security world.

"I, ____________, am a compassionate, respectful encourager who is a

considerate, generous, gentle, patient, caring, sensitive, personable, attentive,

fun-loving person. I am a supportive, giving and forgiving, clean, kind,

unselfish, affectionate, loving, family-oriented human being and I am a

sincere and open-minded good listener and a good-finder who is

trustworthy. These are the qualities which enable me to build good

relationships with my associates, neighbors, mate and family.

"I, ____________, am a person of integrity, with the faith and wisdom

to know what I should do and the courage and convictions to follow through.

I have the vision to manage myself and to lead others. I am authoritative,

confident, and humbly grateful for the opportunity life offers me. I am

fair, flexible, resourceful, creative, knowledgeable, decisive and an

extra-miler with a servant's attitude who communicates well with

others. I am a consistent, pragmatic teacher with character and a

finely-tuned sense of humor. I am an honorable person and am

balanced in my personal, family and business life, and have a passion for

being, doing and learning more today so I can be, do and have more tomorrow.

"These are the qualities of the winner I was born to be and I am fully committed

to developing these marvelous qualities with which I have been entrusted.

Tonight I'm going to sleep wonderfully well. I will dream powerful, positive

dreams. I will awaken energized and refreshed; tomorrow's going to be

magnificent and my future is unlimited. Recognizing, claiming and

developing these qualities which I already have gives me a

legitimate chance to be happier, healthier, more prosperous, more

secure, have more friends, greater peace of mind, better family

relationships and legitimate hope that the future will be even better."

Repeat the process the next morning and close by saying

, "These are

the qualities of the winner I was born to be and I will develop and use these

qualities to achieve my worthy objectives. Today is a brand new day and it's

mine to use in a marvelously productive way."

After 30 days, add the next step:

Choose your strongest quality and the one you feel needs the most work.

Example: Strongest-honest. Needs most work-organized. On a separate

3x5 card, print "I, ___________, am a completely honest person and every day

I am getting better and better organized." Keep this 3x5 card handy and read

it out loud at every opportunity for one week. Repeat this process with the

second strongest quality and the second one which needs the most work. Do

this until you've completed the entire list. Use this self-talk procedure as long

as you want to get more of the things money will buy and all of the things

money won't buy.

Note:

Because of some painful experiences in the past (betrayal, abuse, etc.), there might be a word

or two that brings back unpleasant memories (example: discipline). Eliminate the word or

substitute another word. 081898C

Ronell Moore

615-424-7598

www.FHACloser.com

Ronell D. Moore

Commercial/ Residential

Mortgage Broker

615-482-1498

Fha Streamline TN! (615) 482-1498

Ronell D. Moore (TM Holdings Group/ America One Finance) — Wed, 21 May 2008 17:32:31 -0500

FHA STREAMLINE REFINANCE

SUBMISSION CHECKLIST

WHAT DOCUMENTS DOES HUD REQUIRE FOR NO-QUALIFYING STREAMLINES???

1. No credit report or VOE

2. Obtain a certified true copy of the mortgage payment record or 12 months of cancelled checks. (Or length of

period mortgage has been held)

3. Borrower is not required to provide evidence of funds to close and no portion of borrower's payment for

escrow items is considered.

4. A form reflecting the lender's calculations for new loan amount and assurance that payments are current at

closing. (FHA streamline refinance Calculation Worksheet.

5. Important information to the Homebuyer (92900-B) is required.

6. Evidence of Social Security number is required.

7. Evidence that current mortgage is FHA insured. A copy of the original note and HUD-I Settlement

Statement which reflect first payment due date, term of mortgage, original mortgage amount and if Upfront

MIP was paid in cash or financed.

8. If Assumption without credit approval, evidence has been held at least six months.

9. NO bank statement or pay stub. NO face-to-face interview. NO Credit Alert Number, LDP List/Debarment

List. NO importance of Home Inspections Form is required.

10. No Appraisal???? Nothing is required/ With Appraisal???? All regular documents.

11. House built before 1978? EPA Pamphlet "Protecting Your Family From Lead In Your Home" is required to

be given to the borrower at application.

12. Credit Analysis Worksheet reflecting:

a. Case Number, Section of the Act and items 1 through 5, excluding 4 (if no appraisal), and 9.

b. Appropriate portions of Section 10a through q.

c. Appropriate portions of Section 13a through e.

d. Loan-to-Value (14a), if with appraisal.

e. Final approval - Section 17, 18, 19 and CHUMS ID#

13. URLA/FNMA 1003 - All of Sections I, II, VII, IX and X. Current information for Section III, Section Vonly

Present and Proposed Housing, and Section VI - Only assets needed for closing.

14. Complete a HUD Addendum form with signatures.

15. Second Lien??? Submit evidence the lien will remain subordinate.

Ronell D. Moore

Commercial/ Residential

Mortgage Broker

615-482-1498

Are you buying properties with Cash? Need money to rehab your current and upcoming projects?(615)516-3522

Ronell D. Moore (TM Holdings Group/ America One Finance) — Thu, 15 May 2008 21:30:39 -0500

Homebuyers who purchase a property with cash can refinance the property using 203(k) within six (6) months of purchase, the same as if the buyer purchased the property with a 203(k) insured loan to begin with. Evidence of interim financing is not required; the mortgage calculations will be done the same as a purchase transaction. Cash back will be allowed to the borrower in this situation less any down payment and closing cost requirement for the 203(k) loan. A copy of the Sales Contract and the HUD-1 Settlement Statement must be submitted to verify the accepted bid price (as-is value) of the property and the closing date.

For more info please call: 615-641-2939 or email me at info@fhacloser.com

Ronell D. Moore

Commercial/ Residential

Mortgage Broker

615-482-1498

Buying property with cash? 615-516-3522

Ronell D. Moore (TM Holdings Group/ America One Finance) — Thu, 15 May 2008 21:27:03 -0500

For more info please call: 615-516-3522 or email me at info@fhacloser.com

Ronell D. Moore

Commercial/ Residential

Mortgage Broker

615-482-1498

How to rehab or invest in real estate with 203(k). (615) 516-3522

Ronell D. Moore (TM Holdings Group/ America One Finance) — Thu, 15 May 2008 21:23:26 -0500

203(k) - How It Is Different

Most mortgage financing plans provide only permanent financing. That is, the lender will not usually close the loan and release the mortgage proceeds unless the condition and value of the property provide adequate loan security. When rehabilitation is involved, this means that a lender typically requires the improvements to be finished before a long-term mortgage is made.

When a homebuyer wants to purchase a house in need of repair or modernization, the homebuyer usually has to obtain financing first to purchase the dwelling; additional financing to do the rehabilitation construction; and a permanent mortgage when the work is completed to pay off the interim loans with a permanent mortgage. Often the interim financing (the acquisition and construction loans) involves relatively high interest rates and short amortization periods. The Section 203(k) program was designed to address this situation. The borrower can get just one mortgage loan, at a long-term fixed (or adjustable) rate, to finance both the acquisition and the rehabilitation of the property. To provide funds for the rehabilitation, the mortgage amount is based on the projected value of the property with the work completed, taking into account the cost of the work. To minimize the risk to the mortgage lender, the mortgage loan (the maximum allowable amount) is eligible for endorsement by HUD as soon as the mortgage proceeds are disbursed and a rehabilitation escrow account is established. At this point the lender has a fully-insured mortgage loan.

Eligible Property

To be eligible, the property must be a one- to four-family dwelling that has been completed for at least one year. The number of units on the site must be acceptable according to the provisions of local zoning requirements. All newly constructed units must be attached to the existing dwelling. Cooperative units are not eligible.

Homes that have been demolished, or will be razed as part of the rehabilitation work, are eligible provided some of the existing foundation system remains in place.

In addition to typical home rehabilitation projects, this program can be used to convert a one-family dwelling to a two-, three-, or four-family dwelling. An existing multi-unit dwelling could be decreased to a one- to four-family unit.

An existing house (or modular unit) on another site can be moved onto the mortgaged property; however, release of loan proceeds for the existing structure on the non-mortgaged property is not allowed until the new foundation has been properly inspected and the dwelling has been properly placed and secured to the new foundation.

A 203(k) mortgage may be originated on a "mixed use" residential property provided: (1) The property has no greater than 25 percent (for a one story building); 33 percent (for a three story building); and 49 percent (for a two story building) of its floor area used for commercial (storefront) purposes; (2) the commercial use will not affect the health and safety of the occupants of the residential property; and (3) the rehabilitation funds will only be used for the residential functions of the dwelling and areas used to access the residential part of the property.

Condominium Unit

The Department also permits Section 203(k) mortgages to be used for individual units in condominium projects that have been approved by FHA, the Department of Veterans Affairs, or are acceptable to FNMA under the guidelines listed below.

The 203(k) program was not intended to be a project mortgage insurance program, as large scale development has considerably more risk than individual single-family mortgage insurance. Therefore, condominium rehabilitation is subject to the following conditions:

	Owner/occupant and qualified non-profit borrowers only; no investors;
	Rehabilitation is limited only to the interior of the unit. Mortgage proceeds are not to be used for the rehabilitation of exteriors or other areas which are the responsibility of the condominium association, except for the installation of firewalls in the attic for the unit;
	Only the lesser of five units per condominium association, or 25 percent of the total number of units, can be undergoing rehabilitation at any one time;
	The maximum mortgage amount cannot exceed 100 percent of after-improved value.

After rehabilitation is complete, the individual buildings within the condominium must not contain more than four units. By law, Section 203(k) can only be used to rehabilitate units in one-to-four unit structures. However, this does not mean that the condominium project, as a whole, can only have four units or that all individual structures must be detached.

Example: A project might consist of six buildings each containing four units, for a total of 24 units in the project and, thus, be eligible for Section 203(k). Likewise, a project could contain a row of more than four attached townhouses and be eligible for Section 203(k) because HUD considers each townhouse as one structure, provided each unit is separated by a 1 1/2 hour firewall (from foundation up to the roof).

Similar to a project with a condominium unit with a mortgage insured under Section 234(c) of the National Housing Act, the condominium project must be approved by HUD prior to the closing of any individual mortgages on the condominium units.

How the Program Can Be Used

This program can be used to accomplish rehabilitation and/or improvement of an existing one-to-four unit dwelling in one of three ways:

	To purchase a dwelling and the land on which the dwelling is located and rehabilitate it.
	To purchase a dwelling on another site, move it onto a new foundation on the mortgaged property and rehabilitate it.
	To refinance existing indebtedness and rehabilitate such a dwelling.

To purchase a dwelling and the land on which the dwelling is located and rehabilitate it, and to refinance existing indebtedness and rehabilitate such a dwelling, the mortgage must be a first lien on the property and the loan proceeds (other than rehabilitation funds) must be available before the rehabilitation begins.

To purchase a dwelling on another site, move it onto a new foundation and rehabilitate it, the mortgage must be a first lien on the property; however, loan proceeds for the moving of the house cannot be made available until the unit is attached to the new foundation.

Eligible Improvements

Luxury items and improvements that do not become a permanent part of the real property are not eligible as a cost rehabilitation. However, the homeowner can use the 203(k) program to finance such items as painting, room additions, decks and other items even if the home does not need any other improvements. All health, safety and energy conservation items must be addressed prior to completing general home improvements.

Required Improvements

All rehabilitation construction and/or additions financed with Section 203(k) mortgage proceeds must comply with the following:

A. Cost Effective Energy Conservation Standards

(1) Addition to Existing Structure. New construction must conform with local codes and HUD Minimum Property Standards in 24 CFR 200.926d.

(2) Rehabilitation of Existing Structure. To improve the thermal efficiency of the dwelling, the following are required:

a) Weatherstrip all doors and windows to reduce infiltration of air when existing weatherstripping is inadequate or nonexistent.

(3) Replacement Systems.

B. Smoke Detectors. Each sleeping area must be provided with a minimum of one (1) approved, listed and labeled smoke detector installed adjacent to the sleeping area.

Required Appraisals

In order to determine the maximum mortgage amount, the 203(k) valuation analysis consists of two separate determinations of value.

A. As-is Value. A separate appraisal (Uniform Residential Appraisal Report) may be required to determine the as-is value. However, the lender may determine that an as-is appraisal is not feasible or necessary. In this instance, the lender may use the contract sales price on a purchase transaction, or the existing debt on a refinance transaction, as the as-is value, when this does not exceed a reasonable estimate of value.

Further, on a refinance transaction, when a large amount of existing debt (i.e., first and second mortgages) suggests that the borrower has little or no equity in the property, the lender must obtain a current as-is appraisal on which to base the estimated as-is value.

On a refinance, the borrower may have substantial equity in the property to assure that no further down payment is required on the new loan amount. In some cases, the borrower will not have an existing mortgage on the property. In this case, the lender should obtain some comparables from a real estate agent/ broker to estimate an approximate as-is value of the property.

Another way of establishing the as-is value is to obtain a copy of the local jurisdiction tax valuation on the property.

B. Value After Rehabilitation. The expected market value of the property is determined upon completion of the proposed rehabilitation and/or improvements.

For a HUD-owned property an as-is appraisal is not required and a DE lender may request the HUD Field Office to release the outstanding HUD Property Disposition appraisal on the property to the lender to establish the maximum mortgage for the property. The HUD appraisal will be considered acceptable for use by the lender if. (1) it is not over one year old prior to bid acceptance from HUD; and (2) the sales contract price plus the cost of rehabilitation does not exceed 110 percent of the "As Repaired Value" shown on the HUD appraisal. If the HUD appraisal is insufficient, the DE Lender may order another appraisal to assure the market value of the property will be adequate to make the purchase of the property feasible. For a HUD-property, down payment for an owner-occupant or non-profit organization is three percent of the accepted bid price of the property and 100 percent financing on all other costs.

Recently Acquired Properties

Architectural Exhibits

The improvements must comply with HUD's Minimum Property Standards (24 CFR 200.926d and/or HUD Handbook 4905.1) and all local codes and ordinances. The homebuyer may decide to employ an architect or a consultant to prepare the proposal. The homebuyer must provide the lender with the appro priate architectural exhibits that clearly show the scope of work to be accomplished. The following list of exhibits are recom mended, but may be modified by the local HUD Field Office as required.

A. A Plot Plan of the Site is required only if a new addition is being made to the existing structure. Show the location of the structure(s), walks, drives, streets, and other relevant details. Include finished grade elevations at the property corners and building corners. Show the required flood elevation.

B. Proposed Interior Plan of the Dwelling. Show where structural or planning changes are contemplated, including an addition to the dwelling. (An existing plan is no longer required.)

C. Work Write-up and Cost Estimate. Any format may be used for these documents, however, quantity and the cost of each item must be shown. Also include a complete description of the work for each item (where necessary). The Rehabilitation Checklist in Appendix 1 of Handbook 4240.4 REV-2 should be used to ensure all work items are considered. Transfer the costs to the Draw Request (form HUD-9746-A).

Cost estimates must include labor and materials sufficient to complete the work by a contractor. Homebuyers doing their own work cannot eliminate the cost estimate for labor, because if they cannot complete the work there must be sufficient money in the escrow account to get a subcontractor to do the work. The Work Write-up does not need to reflect the color or specific model numbers of appliances, bathroom fixtures, carpeting, etc., unless they are nonstandard units.

The consultant who prepares the work write-up and cost estimate (or an architect, engineering or home inspection service) needs to inspect the property to assure: (1) there are no rodents, dryrot, termites and other infestation; (2) there are no defects that will affect the health and safety of the occupants; (3) the adequacy of the existing structural, heating, plumbing, electrical and roofing systems; and (4) the upgrading of thermal protection (where necessary).

Definitions for Use in the 203(k) Program

A. Insurance of Advances. This refers to insurance of the 203(k) mortgage prior to the rehabilitation period. A mortgage that is a first lien on the property is eligible to be endorsed for insurance following mortgage loan closing, disbursement of the mortgage proceeds, and establishment of the Rehabilitation Escrow Account.

The mortgage amount may include funds for the purchase of the property or the refinance of existing indebtedness, the costs incidental to closing the transaction, and the completion of the proposed rehabilitation. The mortgage proceeds allocated for the rehabilitation will be escrowed at closing in a Rehabilitation Escrow Account.

B. Rehabilitation Escrow Account. When the loan is closed, the proceeds designated for the rehabilitation or improvement, including the contingency reserve, are to be placed in an interest bearing escrow account insured by the Federal Deposit Insurance Corporation (FDIC) or the National Credit Union Administration (NCUA). This account is not an escrow for the paying of real estate taxes, insurance premiums, delinquent notes, ground rents or assessments, and is not to be treated as such. The net income earned by the Rehabilitation Escrow Account must be paid to the mortgagor. The method of such payment is subject to agreement between mortgagor and mortgagee. The lender (or its agent) will release escrowed funds upon completion of the proposed rehabilitation in accordance with the Work Write-Up and the Draw Request (Form HUD-9746,A).

C. Inspections. Performed by HUD-approved fee inspectors or on the HUD-accepted staff of the DE lender. The fee inspector is to use the architectural exhibits in order to make a determination of compliance or non-compliance. When the inspection is scheduled with a payment, the inspector is to indicate whether or not the work has been completed. Also, the inspector is to use the Draw Request form (Form HUD-9746-A). The first draw must not be scheduled until the lender has determined that the applicable building permits have been issued.

D. Holdback. A ten (10) percent holdback is required on each release from the Rehabilitation Escrow Account. The total of all holdbacks may be released only after a final inspection of the rehabilitation and issuance of the Final Release Notice. The lender (or its agent) may retain the holdback for a maximum of 35 calendar days, or the time period required by law to file a lien, whichever is longer, to ensure that no liens are placed on the property.

E. Contingency Reserve. At the discretion of the HUD Field Office, the cost estimate may include a contingency reserve if the existing construction is less than 30 years old, or the nature of the work is complex or extensive. For properties older than 30 years, the cost estimate must include a contingency reserve of a minimum of ten (10) percent of the cost of rehabilitation; however, the contingency reserve may not exceed twenty (20) percent where major remodeling is contemplated. If the utilities were not turned on for inspection, a minimum fifteen (15) percent is required. If the scope of work is well defined and uncomplicated, and the rehabilitation cost is less then $7500, the lender may waive the requirement for a contingency reserve.

The contingency reserve account can be used by the borrower to make additional improvements to the dwelling. A Request for Change Letter must be submitted with the applicable cost estimates. However, the change can only be accepted when the lender determines: (1) It is unlikely that any deficiency that may affect the health and safety of the property will be discovered; and (2) the mortgage will not exceed the appraised value of the property less the statutory investment requirement. If the mortgage exceeds the appraised value less the statutory investment, then the contingency reserve must be paid down on the mortgage principal. If a borrower feels that the contingency reserve will not be used and he wishes to avoid having the reserve applied to reduce the mortgage balance after issuance of the Final Release Notice, the borrower may place his own funds into the contingency reserve account. In this case, if monies are remaining in the account after the Final Release Notice is issued, the monies may be released back to the borrower.

If the mortgage is at the maximum mortgage limit for the area or for the particular type of transaction, but a contingency reserve is necessary, the contingency reserve must be placed into an escrow account from other funds of the borrower at closing. Under these circumstances, if the contingency reserve is not used, the remaining funds in the escrow account will be released to the borrower after the Final Release Notice has been issued.

F. Mortgage Payment Reserve. Funds not to exceed the amount of six (6) mortgage payments (including the mortgage insurance premium) can be included in the cost of rehabilitation to assist a mortgagor (whether a principal residence or an investment property) when the property is not occupied during rehabilitation. The number of mortgage payments cannot exceed the completion time frame required in the Rehabilitation Loan Agreement. The lender must make the monthly mortgage payments directly from the interest bearing reserve account. Monies remaining in the reserve account after the Final Release Notice must be applied to the mortgage principal.

G. Approval of Non-Profit Agencies. A non-profit agency, before it can be approved as an eligible mortgagor and obtain the same mortgage amount as available to owner-occupants on Section 203(k) mortgages, must demonstrate its experience as a housing provider to HUD and meet all other requirements described in HUD Handbook 4155.1 REV-4, paragraphs 1-5. It must also be able to provide satisfactory evidence that it has the financial capacity to purchase the properties.

Maximum Mortgage Amount

The mortgage amount, when added to any other existing indebtedness against the property, cannot exceed the applicable loan-to-value ratio and maximum dollar amount limitations prescribed for similar properties under Section 203(b). The Mortgage Payment Reserve is considered a part of the cost of rehabilitation for determining the maximum mortgage amount.

A. Maximum Mortgage Calculation. The value is defined as the lesser of:

Principal Residence (Owner-Occupant) & HUD Approved Non-Profit Organization. For purchases with 203(k) financing: the maximum mortgage amount is to be based upon the HUD estimate of value in 1) or 2) above, less the statutory investment requirement. For refinances under the 203(k) program: the maximum mortgage amount is to be based upon 97/95/90 percent of the HUD estimate of value in 1) or 2) above.

B. Cost of Rehabilitation. Expenses eligible to be included in the cost of rehabilitation are materials, labor, contingency reserve, overhead and construction profit, up to six (6) months of mortgage payments, plus expenses related to the rehabilitation such as permits, fees, inspection fees by a qualified home inspector, licenses and consultant and/or architectural/engineering fees. The cost of rehabilitation may also include the supplemental origination fee which the mortgagor is permitted to pay when the mortgage involves insurance of advances, and the discounts which the mortgagor will pay on that portion of the mortgage proceeds allocated to the rehabilitation.

C. Exemption of the Market Value Limitation. The 203(k) regulations allow for a waiver of the market value limitation, which allows the appraiser to go outside the targeted area to obtain the value of comparable properties. Such requests must be forwarded to the Assistant Secretary of Housing-Federal Housing Commissioner at the HUD Headquarters.

Requests must include documentation that the following conditions are present:

D. Solar Energy Increase. The mortgage is eligible for an increase of up to 20 percent in the maximum insurable mortgage amount if such an increase is necessary for the installation of solar energy equipment.

The solar energy system's contribution to value will be limited by its replacement cost or by its effect on the value of the dwelling.

E. Energy Efficient Mortgage Program. Under the FHA EEM Program, a borrower can finance into the mortgage 100 percent of the cost of eligible energy efficient improvements, subject to certain dollar limitations, without an appraisal of the energy improvements and without further credit qualification of the borrower. To be eligible for inclusion into the mortgage, the energy efficient improvements must be "cost effective," i.e., the total cost of the improvements (including maintenance costs) must be less than the total present value of the energy saved over the useful life of the improvements. The cost of any improvement to the property that will increase the property's energy efficiency and that is determined to be "cost effective" is eligible for financing into the mortgage and its cost may be added to the mortgage amount up to the greater of:

"Cost effective" means that the total cost of the improvements, including any maintenance costs, is less than the total present value of the energy saved over the useful life of the energy improvement. The FHA maximum loan limit for the area may be exceeded by the cost of the energy efficient improvements. However, the entire mortgage cannot exceed 110 percent of the value of the property

The cost of the energy improvements and the estimate of the energy savings must be determined based upon a physical inspection of the property by a home energy rating system (HERS) or energy consultant. For a 203(k) loan, the entire cost of the HERS or the energy consultant can be included in the mortgage.

On new construction (an addition or new building on an existing foundation), the energy improvement must be over and above those required for compliance with the current FHA energy conservation standards for new construction. The estimate of the energy savings in new construction must be based upon a comparison of plans and specification of the house with the additional energy saving improvements to those of the basic house which complies with the current FHA energy conservation standards. Presently, these standards are those of the 1992 CABO Model Energy Code (MEC).

The energy inspection of the property must be performed prior to completion of the work writeup and cost estimate to assure there is no duplication of work items in the mortgage. After the completion of the appraisal, the cost of the energy improvements are calculated by the lender to determine how much can be added to the mortgage amount.

Seven Unit Limitation

HUD regulations and policies state that an investor should not be allowed to rapidly accumulate FHA insured properties that clearly and collectively constitute a multifamily project. In general, a borrower may not have an interest in more than seven rental units (FHA, VA, conventional or owned free and clear of any mortgage) in the same subdivision or contiguous area. For 203(k) purposes, HUD defines a contiguous area as within a two block radius.

The seven unit limitation does not apply if (1) the neighborhood has been targeted by a State or local government for redevelopment or revitalization; and (2) the State or local government has submitted a plan to HUD that defines the area, extent and type of commitment to redevelop the area. A restriction may still be imposed (by HUD) within a redevelopment area (or sub-area) in order to prevent undesirable concentrations of units under a single (or group) ownership. H U D will determine that the seven unit limit is inapplicable only if: (1) the investor will own no more than 10 percent of the housing units (regardless of financing type) in the designated redevelopment area or sub-area; and (2) the investor has no more than eight units on adjacent lots.

Interest Rate and Discount Points

These are not regulated and are negotiable between the borrower and the lender. The amortization of the loan will be for 30 years; however, provisions of the Section 203(k) mortgage (described in Section 203.21 of the Regulations) are the same as prescribed under Section 203(b).

Maximum Charges and Fees

The statutory requirements and administrative policies of Section 203(k) result in deviations from the maximum amount of charges and fees permitted under Section 203(b).

A. Supplemental Origination Fee. When the Section 203(k) mortgage involves insurance of advances, the lender may collect from the mortgagor a supplemental origination fee. This fee is calculated as one and one-half percent (1-1/2%) of the portion of the mortgage allocated to the rehabilitation or $350, whichever is greater. This supplemental origination fee is collected in addition to the one percent origination fee on the total mortgage amount.

B. Independent Consultant Fee. A borrower can have an independent consultant prepare the required architectural exhibits. A borrower can also use a contractor to prepare the construction exhibits or prepare the exhibits themselves. The use of a consultant is not required; however, the borrower should consider using this service in order to expedite the processing of the 203(k) loan. When a consultant is used, HUD does not warrant the competence of the consultant or the quality of the work the consultant may perform for the borrower. The consultant must enter into a written agreement with the borrower that completely explains what services the consultant will perform for the borrower and the fee charged. The fee charged by the consultant can be included in the mortgage. A fee of $400 is acceptable for a property with repairs less than $7,500; $500 for repairs between $7,501 and $15,000; $600 for repairs between $ 15,001 and $ 30,000; and $ 700 for repairs between $30,001 and $50,000; $800 for repairs between $50,001 and $75,000; $900 for repairs between $75,001 and $100,000; and $ 1,000 for repairs over $100,000. An additional fee of $25 can be charged for each additional unit in the property under the same FHA case number. For this fee, the consultant would inspect the property and provide all the required architectural exhibits. State licensed architect or engineer fees are not restricted by this fee schedule. The architect and engineer fees must be customary and reasonable for the type of project.)

C. Plan Review Fee. Prior to the appraisal, a HUD-accepted plan reviewer (or fee consultant) must visit the site to ensure compliance with program requirements. The utilities must be on for this site review to take place. The fee is as follows and may not be changed without HUD Headquarters approval:

D. Appraisal Fee. To process a Section 203(k) mortgage, two appraisals can be performed: (1) As-is value of the property; and (2) Estimated market value of the property assuming completion of the rehabilitation. The maximum fee which a lender may collect for these two appraisals is one and one-half times the amount permitted for a Section 203(b) proposed construction appraisal, as established by the HUD Field Office. If only one appraisal is done, the fee will be the same as a proposed construction appraisal.

E. Inspection Fee (during the rehabilitation construction period). Established by the local HUD Field Office.

F. Title Update Fee. To protect the validity of the mortgage position from mechanic's liens on the property, reasonable fees charged by a title company may be included as an allowable cost of rehabilitation. When the mortgage position is protected and is not in jeopardy, this fee may not apply Borrowers may wish to obtain lien protection, but the fees must be paid by the borrower where such lien protection is not required to ensure the validity of the security instrument. The allowable fee should not exceed $50.00 per draw release. If all draw inspections are not made, monies left in escrow must be applied to reduce the mortgage balance.

Application Process

This describes a typical step-by-step application/mortgage origination process for a transaction involving the purchase and rehabilitation of a property. It explains the role of HUD, the mortgage lender, the contractor, the borrower, consultant, the plan reviewer, appraiser and the inspector.

A. Homebuyer Locates the Property.

B. Preliminary Feasibility Analysis. After the property is located, the homebuyer and their real estate professional should make a marketability analysis prior to signing the sales contract. The following should be determined:

C. Sales Contract is Executed. A provision should be included in the sales contract that the buyer has applied for Section 203(k) financing, and that the contract is contingent upon loan approval and buyer's acceptance of additional required improvements as determined by HUD or the lender.

D. Homebuyer Selects Mortgage Lender. Call HUD Field Office for a list of lenders.

E. Homebuyer Prepares Work Write-up and Cost Estimate. A consultant can help the buyer prepare the exhibits to speed up the loan process. If a plan reviewer is the consultant, item G can be skipped and the exhibits can go directly to the appraisal stage.

F. Lender Requests HUD Case Number. Upon acceptance of the architectural exhibits, the lender requests the assignment of a HUD case number, the plan reviewer, appraiser, and the inspector.

G. Plan Reviewer Visits Property. The homebuyer and contractor (where applicable) meet with the plan reviewer to ensure that the architectural exhibits are acceptable and that all program requirements have been properly shown on the exhibits.

H. Appraiser Performs the Appraisal.

I. Lender Reviews the Application The appraisal is reviewed to determine the maximum insurable mortgage amount for the property

J. Issuance of Conditional Commitment/Statement of Appraised Value. This is issued by the lender and establishes the maximum insurable mortgage amount for the property.

K. Lender Prepares Firm Commitment Application. The borrower provides information for the lender to request a credit report, verifications of employment and deposits, and any other source documents needed to establish the ability of the borrower to repay the mortgage.

L. Lender Issues Firm Commitment. If the application is found acceptable, the firm commitment is issued to the borrower. It states the maximum mortgage amount that HUD will insure for the borrower and the property.

M. Mortgage Loan Closing. After issuance of the firm commitment, the lender prepares for the closing of the mortgage. This includes the preparation of the Rehabilitation Loan Agreement. The Agreement is executed by the borrower and the lender in order to establish the conditions under which the lender will release funds from the Rehabilitation Escrow Account. Following closing, the borrower is required to begin making mortgage payments on the entire principal amount for the mortgage, including the amount in the Rehabilitation Escrow Account that has not yet been disbursed.

N. Mortgage Insurance Endorsement. Following loan closing, the lender submits copies of the mortgage documents to the HUD office for mortgage insurance endorsement. HUD reviews the submission and, if found acceptable, issues a Mortgage Insurance Certificate to the lender.

O. Rehabilitation Construction Begins. At loan closing, the mortgage proceeds will be disbursed to pay off the seller of the existing property and the Rehabilitation Escrow Account will be established. Construction may begin. The homeowner has up to six (6) months to complete the work depending on the extent of work to be completed. (Lenders may require less than six months.)

P. Releases from Rehabilitation Escrow Account. As construction progresses, funds are released after the work is inspected by a HUD-approved inspector. A maximum of four draw inspections plus a final inspection are allowed. The inspector reviews the Draw Request (form HUD-9746-A) that is prepared by the borrower and contractor. If the cost of rehabilitation exceeds $10,000, additional draw inspections are authorized provided the lender and borrower agree in writing and the number of draw inspections is shown on form HUD-92700, 203(k) Maximum Mortgage Worksheet.

Q. Completion of Work/Final Inspection. When all work is complete according to the approved architectural exhibits and change orders, the borrower provides a letter indicating that all work is satisfactorily complete and ready for final inspection. If the HUD-approved inspector agrees, the final draw may be released, minus the required 10 percent holdback. If there is unused contingency funds or mortgage payment reserves in the Account, the lender must apply the funds to prepay the mortgage principal.

For more info please call 615-731-0515

Ronell D. Moore

Commercial/ Residential

Mortgage Broker

615-482-1498

FHA Loans on or after 4/8/2008

Ronell D. Moore (TM Holdings Group/ America One Finance) — Thu, 15 May 2008 20:35:12 -0500

Click here for full FHA credit policy manual

FHA LOANS

Effective on all loans Registered and/or Locked on or after 4/8/2008

This information is to be provided exclusively to mortgage professionals/referral sources and is not intended for public use. This is not an advertisement to extend consumer credit as defined in Regulation Z, §226.2. All loans are subject to credit and property approval. Programs, rates, terms and conditions are subject to change without notice. Not all products are available in all states or for all loan amounts. Other restrictions apply.

GUIDELINES

ELIGIBILITY

• US Citizens, Permanent and Non-Permanent Resident Aliens, Non-

Occupant Co-Borrowers

• Owner Occupied Primary Residence only (Investment Property only

allowed on Streamline without an appraisal)

• 15 and 30 Year Fixed Rate Mortgages and 1 Year 3/1 and 5/1

Adjustable Rate Mortgages

DOCUMENTATION

• Refer to automated findings, Credit Policy Manual or the 4155.1 REV-5.

RATIOS

• Manual underwriting on existing properties over one year the maximum

ratio is 31/43%

• With automated underwriting these ratios may be exceeded

PROPERTY FLIPPING

• 90 days or less since property was last sold - Property is NOT eligible

for FHA financing.

• 91 days to 180 days since property was last sold - If the current sales

price is the same or higher than the sales price when the seller acquired

the property, then need a second appraisal completed by a different

appraiser, and the second appraisal cannot be charged to the borrower

(it must be paid by the seller or broker). If the current sales price is less

than the sales price when the seller acquired the property, then do not

need any additional documentation and one appraisal will be sufficient.

203(h) - DISASTER RELIEF

• Up to 100% financing available for qualified borrowers that meet

specific requirements as outlined in Credit Policy Manual.

FHA SECURE INITIATIVE

• All FHASecure mortgages must comply with HUD Mortgagee Letter

2007-11 in it's entirety

FHA JUMBO 2ND APPRAISAL REQUIREMENTS

A second appraisal is required on any FHA loan (where case number is

issued on or after April 1, 2008) when the following exist:

• The Base Loan Amount (excluding UFMIP) will exceed $417,000; AND

• The LTV (Base Loan Amount) equals of exceeds 95%; AND

• The property is determined to be in a declining market based on

appraisal or Declining Market Zip Code Search

• http://www.taylorbeanonline.com/RateSheets/Newsletter/decliningmarkets.xls

• Selected from FHA roster and ordered by Lender's FHA/VA Liaison

Dept

• Underwriter must complete FHA 2nd Appraisal Request Form and

complete as directed

• No second case number is to be requested

• Underwriter is to add the appraisal fee to closing costs to be passed on

to borrower.

• Exterior Only appraisal allowed on 1 Unit Detached only (Form 2055)

• Repairs as noted on original FHA appraisal must be completed

• If second appraisal has an estimated value more than 5% lower than

the original value, then the maximum mortgage is based on the lower of

the two appraisals.

REFINANCE

Refinance (Rate and Term) - the lower of:

• The LTV limitations used for purchases, or

• Principal balance on existing first lien + prepayment penalties + up to

one month monthly MIP + the Mtg. Pmt. (PITI) that was due on the 1st

(if not already paid) + up to 30 days interest for the current month + late

charges + escrow shortages, subtract MIP refund (if applicable) +

borrower pd closing costs + property-related liens for acquisition, repair

or rehab seasoned at least 1 year, + prepaid expenses (per diem

interest to end of month on new loan + hazard ins deposits + real estate

tax deposits + reasonable discount pts.)

• May not receive cash back in excess of $500.00

Refinance (Cash-Out)

• If the Base Loan Amount exceeds $417,000, the maximum LTV on

• 95 percent of the appraised value provided the property has been

owned by the borrower for at least one year. If the property was

purchased less than one year preceding the loan application, the LTV

may not exceed 85% of the original purchase price or appraised value,

whichever is less.

• Any co-borrower or co-signer being added to the note must be an

occupant of the property. Non-occupant owners may not be added in

order to meet FHA's credit underwriting guidelines for the mortgage

• The following restrictions apply to Cash Out Refinance:

transactions above 85 percent allowance

• The subject property must have been owned by the borrower as

their principal residence for at least 12 months preceding the date

of the loan application.

• If subject property is encumbered by a mortgage, the borrower

must have made all mortgage payments within the month due for

the previous 12 months (no payment may be more than 30 days

late and is current for the month due).

• The subject property must be a 1 or 2 unit dwelling.

• Subordinate financing may remain in place, but subordinate to the

FHA insured first mortgage, regardless of the total indebtedness

or combined LTV ratio, provided the homeowner qualifies for

making scheduled payments on all liens.

Refinance (Streamline without an appraisal) - the lower of:

• Original principal balance (from the Refinance Authorization screen in

the FHA Connection), or

• Principal bal on existing first lien + up to one month monthly MIP + the

Mtg pmt. (PITI) that was due on the 1st (if not already paid) + up to 30

days interest for the current month + late charges + escrow shortages,

minus MIP refund(if applicable), + borrower-paid closing costs + prepaid

expenses (per diem interest to end of month on new loan + hazard ins

deposits + real estate tax deposits + reasonable discount pts)

• May not receive cash back in excess of $500.00.

Refinance (Streamline with an appraisal) - the lower of:

• The LTV limitation used for purchases, or

• Principal balance on existing 1st lien + up to one month monthly MIP +

the Mtg Pmt (PITI) that was due on the 1st (if not already paid) in

addition up to 30 days interest for the current month + late charges +

escrow shortages, minus MIP refund (if applicable) + borrower-paid

closing costs, + prepaid expenses (per diem interest to end of month on

new loan + hazard ins deposits + real estate tax deposits + reasonable

discount pts.)

• May not receive cash back in excess of $500.00

STANDARD MORTGAGE LIMITS

Region 1 Unit 2 Units 3 Units 4 Units

Temporary Loan Limit Increase with Credit Approval on or before

December 31, 2008

Low Cost $271,050 $347,000 $419,400 $521,250

High Cost $729,750 $934,200 $1,129,250 $1,403,400

AK,HI,GU,VI $1,094,625 $1,401,300 $1,693,875 $2,105,100

LTV LIMITATIONS

Purchase Transaction only on Proposed and Existing Construction

Value / Sales Price <= 50K > 50K - 125K >125K

Low Closing Cost 98.75 97.65 97.15

High Closing Cost 98.75 97.75 97.75

UPFRONT AND ANNUAL MIP

LTV Ratios Upfront >15 Years <=15 Years Years

90.0=> 1.5% .50% .25% See Note

<90.0 1.5% .50% None NA

• Note: Years will be determined when the loan balance equals 78%,

provided the borrower has paid the annual MIP for at least 5 years

(scheduled or actual).

• Loan Amount multiplied by Annual premium is divided by 12

• FHA 203(b) loans, fixed rate and adjustable will have both the monthly

and upfront premiums.

• The financed UFMIP is not included in the statutory loan limit. When

the UFMIP is financed, the loan amount is to be rounded down to the

next dollar.

• Properties in Military Impact Areas (Georgia counties: Bryan, Camden,

and Liberty) do not have upfront MIP only annual MIP.

HUD CASE NUMBERS / SUFFIX CODES

Program 2-4 Unit/Single Family/PUD Condos

Fixed Rate 203(b) 703 234(c) 734

Buydown 203(b) 796 203(c) 797

ARM 203(b) 729 234(c) 731

months to equal monthly MIP

Cash Out Refinance is 85% (where case number is issued on or

after April 1, 2008).

Second Appraisal and Appraiser Requirements

Ronell D. Moore

Commercial/ Residential

Mortgage Broker

615-482-1498

VA Loan Lending Limits for VA Lenders/ Lending limits for VA loans insured for TENNESSEE counties.615-516-3522

Ronell D. Moore (TM Holdings Group/ America One Finance) — Thu, 08 May 2008 13:33:07 -0500

County Name	Single Family Home	Maximum Guaranty
ANDERSON	$417,000	$1,000,000
KNOXVILLE, TN (MSA)
BEDFORD	$417,000	$1,000,000
SHELBYVILLE, TN (MICRO)
BENTON	$417,000	$1,000,000
NON-METRO
BLEDSOE	$417,000	$1,000,000
NON-METRO
BLOUNT	$417,000	$1,000,000
KNOXVILLE, TN (MSA)
BRADLEY	$417,000	$1,000,000
CLEVELAND, TN (MSA)
CAMPBELL	$417,000	$1,000,000
LA FOLLETTE, TN (MICRO)
CANNON	$417,000	$1,000,000
NASHVILLE-DAVIDSON--MURFREESBORO, TN (MSA)
CARROLL	$417,000	$1,000,000
NON-METRO
CARTER	$417,000	$1,000,000
JOHNSON CITY, TN (MSA)
CHEATHAM	$417,000	$1,000,000
NASHVILLE-DAVIDSON--MURFREESBORO, TN (MSA)
CHESTER	$417,000	$1,000,000
JACKSON, TN (MSA)
CLAIBORNE	$417,000	$1,000,000
NON-METRO
CLAY	$417,000	$1,000,000
NON-METRO
COCKE	$417,000	$1,000,000
NEWPORT, TN (MICRO)
COFFEE	$417,000	$1,000,000
TULLAHOMA, TN (MICRO)
CROCKETT	$417,000	$1,000,000
NON-METRO
CUMBERLAND	$417,000	$1,000,000
CROSSVILLE, TN (MICRO)
DAVIDSON	$417,000	$1,000,000
NASHVILLE-DAVIDSON--MURFREESBORO, TN (MSA)
DECATUR	$417,000	$1,000,000
NON-METRO
DEKALB	$417,000	$1,000,000
NON-METRO
DICKSON	$417,000	$1,000,000
NASHVILLE-DAVIDSON--MURFREESBORO, TN (MSA)
DYER	$417,000	$1,000,000
DYERSBURG, TN (MICRO)
FAYETTE	$417,000	$1,000,000
MEMPHIS, TN-MS-AR (MSA)
FENTRESS	$417,000	$1,000,000
NON-METRO
FRANKLIN	$417,000	$1,000,000
TULLAHOMA, TN (MICRO)
GIBSON	$417,000	$1,000,000
HUMBOLDT, TN (MICRO)
GILES	$417,000	$1,000,000
NON-METRO
GRAINGER	$417,000	$1,000,000
MORRISTOWN, TN (MSA)
GREENE	$417,000	$1,000,000
GREENEVILLE, TN (MICRO)
GRUNDY	$417,000	$1,000,000
NON-METRO
HAMBLEN	$417,000	$1,000,000
MORRISTOWN, TN (MSA)
HAMILTON	$417,000	$1,000,000
CHATTANOOGA, TN-GA (MSA)
HANCOCK	$417,000	$1,000,000
NON-METRO
HARDEMAN	$417,000	$1,000,000
NON-METRO
HARDIN	$417,000	$1,000,000
NON-METRO
HAWKINS	$417,000	$1,000,000
KINGSPORT-BRISTOL-BRISTOL, TN-VA (MSA)
HAYWOOD	$417,000	$1,000,000
BROWNSVILLE, TN (MICRO)
HENDERSON	$417,000	$1,000,000
NON-METRO
HENRY	$417,000	$1,000,000
PARIS, TN (MICRO)
HICKMAN	$417,000	$1,000,000
NASHVILLE-DAVIDSON--MURFREESBORO, TN (MSA)
HOUSTON	$417,000	$1,000,000
NON-METRO
HUMPHREYS	$417,000	$1,000,000
NON-METRO
JACKSON	$417,000	$1,000,000
COOKEVILLE, TN (MICRO)
JEFFERSON	$417,000	$1,000,000
MORRISTOWN, TN (MSA)
JOHNSON	$417,000	$1,000,000
NON-METRO
KNOX	$417,000	$1,000,000
KNOXVILLE, TN (MSA)
LAKE	$417,000	$1,000,000
NON-METRO
LAUDERDALE	$417,000	$1,000,000
NON-METRO
LAWRENCE	$417,000	$1,000,000
LAWRENCEBURG, TN (MICRO)
LEWIS	$417,000	$1,000,000
NON-METRO
LINCOLN	$417,000	$1,000,000
NON-METRO
LOUDON	$417,000	$1,000,000
KNOXVILLE, TN (MSA)
MACON	$417,000	$1,000,000
NASHVILLE-DAVIDSON--MURFREESBORO, TN (MSA)
MADISON	$417,000	$1,000,000
JACKSON, TN (MSA)
MARION	$417,000	$1,000,000
CHATTANOOGA, TN-GA (MSA)
MARSHALL	$417,000	$1,000,000
LEWISBURG, TN (MICRO)
MAURY	$417,000	$1,000,000
COLUMBIA, TN (MICRO)
MCMINN	$417,000	$1,000,000
ATHENS, TN (MICRO)
MCNAIRY	$417,000	$1,000,000
NON-METRO
MEIGS	$417,000	$1,000,000
NON-METRO
MONROE	$417,000	$1,000,000
NON-METRO
MONTGOMERY	$417,000	$1,000,000
CLARKSVILLE, TN-KY (MSA)
MOORE	$417,000	$1,000,000
TULLAHOMA, TN (MICRO)
MORGAN	$417,000	$1,000,000
NON-METRO
OBION	$417,000	$1,000,000
UNION CITY, TN-KY (MICRO)
OVERTON	$417,000	$1,000,000
COOKEVILLE, TN (MICRO)
PERRY	$417,000	$1,000,000
NON-METRO
PICKETT	$417,000	$1,000,000
NON-METRO
POLK	$417,000	$1,000,000
CLEVELAND, TN (MSA)
PUTNAM	$417,000	$1,000,000
COOKEVILLE, TN (MICRO)
RHEA	$417,000	$1,000,000
NON-METRO
ROANE	$417,000	$1,000,000
HARRIMAN, TN (MICRO)
ROBERTSON	$417,000	$1,000,000
NASHVILLE-DAVIDSON--MURFREESBORO, TN (MSA)
RUTHERFORD	$417,000	$1,000,000
NASHVILLE-DAVIDSON--MURFREESBORO, TN (MSA)
SCOTT	$417,000	$1,000,000
NON-METRO
SEQUATCHIE	$417,000	$1,000,000
CHATTANOOGA, TN-GA (MSA)
SEVIER	$417,000	$1,000,000
SEVIERVILLE, TN (MICRO)
SHELBY	$417,000	$1,000,000
MEMPHIS, TN-MS-AR (MSA)
SMITH	$417,000	$1,000,000
NASHVILLE-DAVIDSON--MURFREESBORO, TN (MSA)
STEWART	$417,000	$1,000,000
CLARKSVILLE, TN-KY (MSA)
SULLIVAN	$417,000	$1,000,000
KINGSPORT-BRISTOL-BRISTOL, TN-VA (MSA)
SUMNER	$417,000	$1,000,000
NASHVILLE-DAVIDSON--MURFREESBORO, TN (MSA)
TIPTON	$417,000	$1,000,000
MEMPHIS, TN-MS-AR (MSA)
TROUSDALE	$417,000	$1,000,000
NASHVILLE-DAVIDSON--MURFREESBORO, TN (MSA)
UNICOI	$417,000	$1,000,000
JOHNSON CITY, TN (MSA)
UNION	$417,000	$1,000,000
KNOXVILLE, TN (MSA)
VAN BUREN	$417,000	$1,000,000
NON-METRO
WARREN	$417,000	$1,000,000
MCMINNVILLE, TN (MICRO)
WASHINGTON	$417,000	$1,000,000
JOHNSON CITY, TN (MSA)
WAYNE	$417,000	$1,000,000
NON-METRO
WEAKLEY	$417,000	$1,000,000
MARTIN, TN (MICRO)
WHITE	$417,000	$1,000,000
NON-METRO
WILLIAMSON	$417,000	$1,000,000
NASHVILLE-DAVIDSON--MURFREESBORO, TN (MSA)
WILSON	$417,000	$1,000,000
NASHVILLE-DAVIDSON--MURFREESBORO, TN (MSA)

Get Approved for a VA Mortgage in Tennessee

Ronell D. Moore

Commercial/ Residential

Mortgage Broker

615-482-1498

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Ronell D. Moore (TM Holdings Group/ America One Finance) — Wed, 07 May 2008 11:36:40 -0500

All the features of a $10,000 site for free. From registering your domain (for Free), to providing you with a professional web-site. Click here and find out how I built my site with my own blog attached.

Ronell D. Moore

Commercial/ Residential

Mortgage Broker

615-482-1498

Requirements for New FHA-Insured Loans: For Tennessee and Nationwide

Ronell D. Moore (TM Holdings Group/ America One Finance) — Wed, 07 May 2008 01:43:01 -0500

Requirements for New FHA-Insured Loans:

___New FHA loans must be properly underwritten and must be based on current appraised value of the house and borrower's documented income (borrowers with higher - but not disqualifying - debt levels would need to make six months of timely payments at the new payment level to qualify for the guarantee);

___New FHA loan must extinguish all existing liens and substantially reduce the borrower's mortgage debt service;

___New FHA loans under this program must be within the FHA loan limits now in effect under the stimulus for the duration of this program;

___Oversight Board will set reasonable limits on loan fees and interest rates; and

___To reduce costs to the government - and avoid inappropriate enrichment to the borrower - the government will retain a share of the borrower's future profits. When the borrower sells the home or refinances the loan, the borrower will pay from any profits the higher of (1) an ongoing exit fee equal to 3 percent of the original FHA loan balance; or (2) a declining percentage of any net proceeds attributable to home appreciation (i.e., from 100 percent in year one to 50 percent in year four and thereafter minus the fees the borrower has paid into FHA).

Ronell D. Moore

Commercial/ Residential

Mortgage Broker

615-482-1498

$300 billion FHA refi plan to be part of package Tennessee

Ronell D. Moore (TM Holdings Group/ America One Finance) — Wed, 07 May 2008 01:37:00 -0500

This is the week that FHA reform is going to be debated in the House.

What will be discussed is the $300 billion legislation proposed by Rep. Barney Frank (D-MA), chairman of the House Financial Services Committee. In essence, for the first time there will be a realistic alternative to the voluntary measures proposed to date by the Bush Administration, alternatives which have done virtually nothing to stem the foreclosure crisis.

It is expected that the Frank bill will be largely supported by Democrats, but look for Republican support as well. Why? How can you possibly be a Republican from Michican, Ohio, Indiana, Nevada, California, Texas or Florida and not support foreclosure relief? Such opposition would be a likely path to electorial disaster next November.

Below is the official summary of HR 5830 as revised. It came through Committee process largely unchanged from the original proposal, however it would be surprising if changes were not made by admendment or in a conference committee back room.

FHA Housing Stabilization and Homeownership Retention Act

Summary of H.R. 5830 (May 1, 2008)

Summary of the Expanded FHA Refinance Program. This voluntary program would permit FHA to provide up to $300 billion in new guarantees to help refinance at-risk borrowers into viable mortgages. This $300 billion is the total amount of outstanding loans that may be insured under the program. The government would only have liability if a borrower defaults and the amount recovered in foreclosure is below the outstanding principal.

In exchange for the acceptance of a substantial write-down of principal, the existing lender or mortgage holder who chooses to participate would receive a "short payment" (i.e. a payment for less than the outstanding balance as payment in full) from the proceeds of a new FHA-guaranteed loan if the new loan would have terms that the borrower can reasonably be expected to pay and the borrower agrees to share future home appreciation with the government. In short, the program would provide refinancing assistance to allow families to stay in their homes, protect neighborhoods and help stabilize the housing market.

Under the program, a borrower or existing loan servicer of an eligible loan would contact an FHA-approved lender, who would determine the size of a loan that would be consistent with the requirements of the program and that the borrower could reasonably repay. If the current lender or mortgage holder agrees to a write-down that is sufficient to meet the requirements of the program and make the new loan affordable, the FHA-lender will pay off the discounted existing mortgage.

In addition to a first lien, the government will retain a share of future home-price appreciation to help defray the government's costs and prevent unjust enrichment (e.g., borrower flipping). When the borrower sells the home or refinances the loan, the borrower will pay from any profits the higher of (1) an ongoing exit fee equal to 3 percent of the original FHA loan balance; or (2) a declining percentage of any net proceeds attributable to home appreciation (i.e., from 100 percent in year one to 50 percent in year four and thereafter minus the fees the borrower has paid into FHA).

Eligibility Requirements for Existing Loans (Requires All of the Following):

___Owner-occupied principal residences only (no investors, speculators or second homes), and borrowers must certify that they do not own any other homes;

___Existing senior loan being refinanced must have been originated on or before December 31, 2007;

___To remove any incentive for borrowers to "purposely default," the borrower must have had a mortgage debt-to-income ratio of no less than 35 percent as of March 1, 2008, and must certify that he/she has not intentionally defaulted on existing mortgage(s) and did not obtain the existing loan fraudulently;

___Participating mortgage holders/investors must waive any penalties or fees on the existing mortgage and must accept proceeds of the new loan as payment in full; and

___Existing mortgage holders/investors must accept their losses - taking substantial write-downs sufficient to: (1) establish a 3 percent loan loss reserve for the FHA; (2) pay the origination and closing costs for the new loan up to 2 percent; and (3) bring the loan-to-value ratio on the new FHA-guaranteed loan down to no greater than 90 percent of property's current appraised value, resulting in a substantial reduction in debt service to the borrower. Accordingly, to qualify mortgage holders would need to accept a substantial write-down, accepting as payment in full no more than 85 percent of the property's current appraised value.

Requirements for New FHA-Insured Loans:

___New FHA loan must extinguish all existing liens and substantially reduce the borrower's mortgage debt service;

___New FHA loans under this program must be within the FHA loan limits now in effect under the stimulus for the duration of this program;

___Oversight Board will set reasonable limits on loan fees and interest rates; and

Oversight Board.

The program will be overseen by a "Refinance Program Oversight Board" consisting of the Secretary of Treasury, the Secretary of HUD, and Chairman of the Federal Reserve.

Coordination of Existing Lien-Holders.

The Oversight Board will be authorized to take action to facilitate coordination among different existing lien-holders; and shall be empowered to establish a formula for compensating and a mechanism for obtaining the voluntary waiver of all lien holders.

Separate FHA Fund.

To protect the FHA Mutual Mortgage Insurance Fund, these new loans will exist in a separate fund in FHA - and will be permitted to be resold through GNMA.

Improving FHA Capacity.

The Oversight Board will take actions as necessary to increase FHA's capacity, including:

___Treasury, Federal Reserve and HUD may sharing employees to improve FHA capacity;

___Contracting for the establishment of underwriting criteria, pricing standards, and other factors relating to eligibility;

___Contracting for independent quality reviews of the underwriting of these mortgages; and

___Increasing HUD personnel.

Auction or Bulk Refinance Study.

The Federal Reserve Board will be required to conduct a study of the need for, and efficacy of, an auction or bulk refinancing mechanism and submit a report to Congress within 60 days of enactment.

Increased Fraud Prevention/Oversight.

___Independent quality reviews will be established to determine underwriter compliance, and rates of delinquency, claims and losses;

___Monthly reports will be submitted to Congress; and

___Annual audit of the program will be conducted.

Sunset. The program will run for 2 years (with flexibility for additional 6 month extensions not to exceed 2 more years).

Authorization for Foreclosure Counseling & Legal Aid. The bill would authorize $210 million dollars for foreclosure counseling, including to veterans recently returning from active duty in the armed forces, with at least $30 million targeted to low-income and minority homeowners and $35 million to assist with legal aid.

Office of Housing Counseling. Establishes within HUD an Office of Housing Counseling that will conduct activities relating to homeownership and rental housing counseling.

___Requires HUD to provide for the certification of various computer software programs for consumers to use in evaluating different residential mortgage loan proposals.

___Authorizes appropriation not to exceed $3 million for national public service multimedia campaigns for homeownership counseling services for fiscal years 2008, 2009, and 2010.

___Requires HUD to provide financial and technical assistance to States, local governments, and nonprofit organization regarding the establishment and operation of related educational programs, and authorizes appropriation of $45 million for each of fiscal years 2008 through 2011.

___Directs HUD to study and report to Congress on the root causes of the default and foreclosure of home loans.

Mortgage Fraud.

Authorizes appropriations of $31,250,000 to hire additional FBI agents and Department of Justice prosecutors to combat mortgage fraud, and $750,000 to support FBI interagency task forces in the areas with the 15 highest concentrations of mortgage fraud.

VA Loans.

Increases conforming loan limits for VA loans.

Appraisals.

Requires enhanced appraisal standards and appraiser independence.

Ronell D. Moore

Commercial/ Residential

Mortgage Broker

615-482-1498

VA Home Loans and Ronell D. Moore

Ronell D. Moore (TM Holdings Group/ America One Finance) — Tue, 06 May 2008 23:51:17 -0500

6 STEPS IN ARRANGING A VETERAN'S GUARANTEED LOAN
1. Find the property suitable for your needs.
2. Go to a lender and apply for the loan.
3. Present your discharge or separation papers relating to latest period of service and/or a
Certificate of Eligibility.
4. Property is appraised by approved appraiser.
5. Estimate of property's reasonable value is determined.
6. If application is approved, you get the loan.
WHAT VA and Ronell D. Moore CAN DO for YOU!
VA loans offer the following important features:
• Ensure that all veterans are given an equal opportunity to buy homes with VA assistance, without regard to their race, color, religion, sex, handicap, familial status, or national origin;
• No downpayment (unless required by the lender, the purchase price is more than the reasonable value of the property as determined by VA, or the loan is made with graduated payment features);
• A freely negotiable fixed interest rate competitive with conventional mortgage interest rates;
• The buyer is informed of the estimated reasonable value of the property;
• Limitations on closing costs;
• An assumable mortgage. However, for loans closed on or after March 1, 1988, the assumption must be approved in advance by the lender or VA. Generally, this involves a review of the creditworthiness of the purchaser (ability and willingness to make the mortgage payments). Be sure to see section entitled "Loan Repayment Terms";
• Long amortization (repayment) terms;
• Right to prepay without penalty (lenders may require that any partial prepayments be in the amount of at least 1 monthly installment of principal or $100, whichever is less);
• For houses inspected by VA during construction, a warranty from the builder and VA assistance in trying to obtain the builder's cooperation in correcting any justified construction complaint; and
• Forbearance extended to VA homeowners experiencing temporary financial difficulty.
WHAT VA CANNOT DO
• GUARANTEE THAT THE HOUSE YOU BUY, WHETHER IT IS NEW OR PREVIOUSLY
OCCUPIED, WILL BE FREE OF DEFECTS. The VA appraisal is NOT intended to be an
"inspection" of the property. It is in your best interest to seek expert advice BEFORE you
legally commit yourself in a purchase agreement, particularly if you have any doubts about
the condition of the house. Most sellers will permit you, at your expense, to arrange for an inspection by a qualified residential inspection service and negotiate with you concerning repairs to be included in the purchase agreement. Such action can prevent later problems, disagreements and disappointments.
Remember, VA guarantees only the loan, NOT the condition of the property. It is your responsibility to be an informed buyer and assure yourself that what you are buying is satisfactory to you in all respects.
• If you have a home built, VA cannot compel the builder to correct construction defects or otherwise live up to the contract. VA authority is limited to suspension of the builder from participation in the VA Loan Guaranty program.
• VA cannot guarantee that you are making a good investment or that you can resell the house at the price you paid.
• VA does not have the authority to provide you with legal services.
REQUIREMENTS FOR VA LOAN APPROVAL
To get a VA loan the law requires that:
• You must be an eligible veteran who has available home loan entitlement (except in the case of an interest rate reduction refinancing loan--see "Interest Rates" below.
• The loan must be for an eligible purpose. The purchase price should not exceed the appraised value. Otherwise, you will have to pay the difference from your own resources;
• You must occupy or intend to occupy the property as your home within a reasonable period of time after closing the loan;
• You must have enough income to meet the new mortgage payments on the loan, cover the costs of owning a home, take care of other obligations and expenses, and still have enough
income left over for family support (a spouse's income is considered in the same manner as the veteran's); and
• You must have a good credit record.
THE GUARANTY
VA-guaranteed loans are made by private lenders such as banks, savings and loan associations, or mortgage companies. To get a loan, you apply to the lender. If the loan is approved, VA guarantees the loan when it is closed. The guaranty means the lender is protected against loss if you or a later owner fail to repay the loan.
Questions and Answers
1. How much is the guaranty?
VA will guarantee up to 50 percent of a home loan up to $45,000. For loans between $45,000 and $144,000, the minimum guaranty amount is $22,500, with a maximum guaranty, of up to 40 percent of the loan up to $36,000, subject to the amount of entitlement a veteran has available. For loans of more than $144,000 made for the purchase or construction of a home or to purchase a residential unit in a condominium or to refinance an existing VA-guaranteed loan for interest rate reduction, the maximum guaranty is the lesser of 25% or $104,250 which is 25% of the Freddie Mac conforming loan limit for a single family residence for 2007. This figure will change yearly. (For information about entitlement see "Service Eligibility" below.)
2. Is $36,000 the biggest loan a veteran can get?
No. You may generally borrow up to the reasonable value of the property or the purchase price, whichever is less, plus the funding fee, if required. For certain refinancing loans, the maximum loan is limited to 90 percent of the value of the property, plus the funding fee, if required. To determine the reasonable value, VA requires an appraisal of the property. (Also see "Downpayment Requirements" below.
3. What is the maximum VA loan?
There is no maximum VA loan, except that the loan cannot exceed the lesser of the appraised value or purchase price, plus VA funding fee and energy efficient improvements, if applicable. However, lenders usually won't make a no-downpayment loan larger than $417,000 ($625,500 in Alaska, Hawaii, Guam, and U.S. Virgin Islands) due to secondary market limitations.
4. Must the loan be repaid?
Yes. A VA guaranteed loan is not a gift. It must be repaid, just as you must repay any money you borrow. The VA guaranty, which protects the lender against loss, encourages the lender to make a loan with terms favorable to the veteran. But if you fail to make the payments you agreed to make, you may lose your home through foreclosure, and you and your family would probably lose all the time and money you had invested in it. If the lender does take a loss, VA must pay the guaranty to the lender, and the amount paid by VA must be repaid by you. If your loan closed on or after January 1,1990, you will owe the Government in the event of a default only if there was fraud, misrepresentation, or bad faith on your part.
5. Does VA make any loan directly to eligible veterans?
Yes, but only to Native Americans on trust land or to supplement a grant to get a specially adapted home for certain eligible veterans who have a permanent and total service-connected disability(ies). For information concerning direct loans to Native American Veterans see VA Pamphlet 26-93-1, which can be found on the internet at: http://www.homeloans.va.gov/VAP26-
93-1.htm. See VA Pamphlet 26-69-1 for information concerning specially adapted housing grants.
SERVICE ELIGIBILITY
You are eligible for VA financing if your service falls within any of the following categories:
Wartime Service. If you served any time during:
• World War II (September 16, 1940 to July 25, 1947),
• Korean Conflict (June 27, 1950 to January 31, 1955),
• Vietnam Era (August 5, 1964 to May 7, 1975), the Vietnam Era begins February 28,
1961 for individuals who served in the Republic of Vietnam.
• Persian Gulf War (August 2, 1990 to present (requires service for 2 years or the full
period for which called to active duty, except that exceptions applying to service
between September 7, 1980 and August 1, 1990 also apply to Persian Gulf War).)
See below.
You must have served at least 90 days on active duty and been discharged or released under other than dishonorable conditions. If you served less than 90 days, you may be eligible if discharged because of a service-connected disability.
Peacetime Service. If your service fell entirely within any one of the following periods:
• July 26, 1947 to June 26, 1950,
• February 1, 1955 to August 4, 1964, or
• May 8, 1975 to September 7, 1980 (if enlisted) or to October 16, 1981 (if officer, you
must have served at least 181 days of continuous active duty and been discharged or
released under conditions other than dishonorable). If you served less than 181 days,
you may be eligible if discharged because of a service-connected disability.
Service between September 7, 1980 (enlisted) or October 16, 1981 (officer) and
August 1, 1990.
If your entire period of service was between September 7, 1980 (October 16, 1981) and
August 1, 1990, you must have:
• Completed 24 months of continuous active duty or the full period (at least 181 days) for which you were called or ordered to active duty, and been discharged or released under conditions other than dishonorable.
• You may also be determined eligible if you were discharged for a service-connected disability, or you were discharged for the convenience of the Government after completing at least 20 months of a 2-year enlistment, or you completed 181 days of active duty and:
• were discharged because of a hardship, or
• were determined to have a service-connected compensable disability, or
• were discharged or released from active duty for a medical condition which preexisted service and has not been determined to be service-connected, or
• received an involuntary discharge or release from active duty for the convenience of the Government as a result of a reduction in force, or
• were discharged or released from active duty for a physical or mental condition not characterized as a disability and not the result of misconduct, but which did interfere with your performance of duty.
NOTE: During the Persian Gulf War, the foregoing exceptions to the 2-year requirement apply, except that 90 days of active duty is sufficient in lieu of 181 days.
Active Duty Service Personnel. If you are now on active duty, eligibility can be established after having served on continuous active duty for at least 90 days. Upon discharge or release from active duty, eligibility must be reestablished.
Members of the Selected Reserve. Individuals who are not otherwise eligible and who have completed at least 6 years in the Reserves or National Guard, or been discharged because of a service-connected disability, and
• have been discharged with an honorable discharge, or
• have been placed on the retired list, or
• have been transferred to an element of the Ready reserve other than the
Selected Reserve, or
• continue to serve in the Selected Reserve are eligible for a GI loan.
Other Types of Service
• Certain United States citizens who served in the armed forces of a government allied with the United States in World War II.
• Unmarried surviving spouses of the above-described eligible persons who died as the result of service or service-connected injuries (Children of deceased veterans are not eligible).
NOTE: Also, a surviving spouse who remarried on or after attaining age 57, and on or after December 16, 2003, may be eligible for the home loan benefit.
• The spouse of any member of the Armed Forces serving on active duty who is listed as missing in action, or is a prisoner of war and has been so listed for a total of more than 90 days.
• Individuals with service as members in certain other organizations, services, programs and schools may also be eligible. Questions about whether this service qualifies for home loan benefits should be referred to your VA Regional Loan Center.
Obtaining a Certificate of Eligibility
VA determines your eligibility and, if you are qualified, a Certificate of Eligibility will be issued.
ACE (automated certificate of eligibility): In some cases veterans can obtain the Certificate of Eligibility from a lender. Most lenders have access to the ACE system. This Internet based application can establish eligibility and issue an online Certificate of Eligibility in a matter of seconds. Not all cases can be processed through ACE - only those for which VA has sufficient data in our records. However, veterans are encouraged to ask their lenders about this method of obtaining a certificate.
If the certificate cannot be issued by ACE, you can request it from VA, by completing VA Form 26-1880, "Request for A Certificate of Eligibility." The form should be submitted along with either
the originals or legible copies of your most recent discharge or separation papers covering active military duty since September 16, 1940, which show active duty dates and type of discharge. This form may be obtained from VA or at http://www.va.gov/vaforms/. If you were separated after January 1, 1950, you must submit DD Form 214, Certificate of Release or Discharge From Active Duty.
In addition, if you are now on active duty and have not been previously discharged from active duty service, you must submit a statement of service which includes the name of the issuing authority (base or command), and is signed by or at the direction of an appropriate official. The statement must include date of entry on active duty and the duration of any time lost.
Since there is no uniform document similar to the DD214 for proof of service in the Selected Reserve, a number of different forms may be accepted as documentation of service in the Selected Reserve. For those who served in the Army or Air National Guard and were discharged after at least 6 years of such service, NGB Form 22 may be sufficient. Those who served in the Army, Navy, Air Force, Marine Corps or Coast Guard Reserves may need to rely on any of a variety of forms that document at least 6 years of honorable service. Often, it will be necessary to submit a combination of documents such as an Honorable Discharge certificate together with a retirement point's statement. It is the reservist's responsibility to obtain and submit documentation of 6 years of honorable service.
The Request for Certificate of Eligibility, VA Form 26-1880, should be mailed to the Winston-Salem Eligibility Center, P.O. Box 20729, Winston-Salem, NC 27120. The Eligibility Center also maintains a toll free number (888-244-6711) for persons seeking information on eligibility.
Questions and Answers
1. Does active duty for training in the Guard and Reserves qualify a person for home loan benefits?
No. Active duty for training in the Guard and Reserves does not qualify a person for home
loan benefits, unless the person completes a total of 6 years in the Guard and/or Reserves and
serves under title 10, U.S.C.
2. Does this kind of service provide entitlement to any other veterans' home loan benefit?
Yes. Active-duty-for-training service may qualify you for a HUD/FHA veterans' loan.
Under the National Housing Act loan program, the Federal Housing Administration of the Department of Housing and Urban Development administers a loan program for veterans. Financing under this program is available under slightly more favorable terms than those available to nonveterans. VA's only role in this program is to determine the eligibility of the veteran and, if qualified, issue a Certificate of Veteran Status as evidence of entitlement to HUD/FHA loan benefits for veterans.
You may get a Certificate of Veteran Status by completing VA Form 26-8261a, Request for Certificate of Veteran Status, and submitting it with the attachments listed in the instructions to VA for a determination of eligibility. This form may be obtained from VA or at http://www.va.gov/vaforms/.
All veterans discharged under other than dishonorable conditions from at least 90 days of service which began before September 8, 1980, are eligible. Veterans of enlisted service in a regular component of the Armed Forces, which began after September 7, 1980, or officers or reservists who entered on active duty after October 13, 1982, must have served at least 24 months of service or the full period for which called to active duty or Active Duty for Training before being discharged, unless the discharge was for hardship or disability. 3. What can a veteran do who has lost his or her original discharge papers and does not have a legible copy?
The veteran should obtain a Certificate in Lieu of Lost or Destroyed Discharge. Any VA office will assist the veteran in obtaining necessary proof of military service.
4. Does a veteran's home loan entitlement expire?
No. Home loan entitlement is generally good until used. However, the eligibility of service personnel is only available so long as they remain on active duty. If they are discharged or released from active duty before using their entitlement, a new determination of their eligibility must be made, based on the length of service and the type of discharge received.
5. How much entitlement does each veteran have?
Originally, the maximum entitlement available was $2,000; however, legislation enacted since that time has provided veterans with increases in entitlement up to the present maximum of $36,000 (or up to $ 89,912 for certain loans over $144,000). The $36,000 may, however, be reduced if entitlement has been used before to get a VA loan. The amount of remaining entitlement can be determined by subtracting the amount of entitlement used from the current maximum available entitlement of $36,000. (See question 8 for information on using remaining entitlement.)
6. Does VA home loan entitlement provide cash to the veteran?
No. The amount of entitlement relates only to the amount VA will guarantee the lender against loss.
7. Can a veteran get used entitlement back to use again?
If you have used all or part of your entitlement, you can get that entitlement back to purchase another home if the following conditions for "restoration" are met:
• The property has been sold and the loan has been paid in full, or
• A qualified veteran-transferee (buyer) must agree to assume the outstanding balance on
the loan and agree to "substitute" his or her entitlement for the same amount of
entitlement you originally used to get the loan. The buyer must also meet the occupancy
and income and credit requirements of the law.
• ONE TIME ONLY if you have repaid the prior VA loan in full, but have not disposed of the
property securing that loan, the entitlement you used in connection with that loan may be
restored.
Any loss suffered by VA as a result of guaranty of the loan (for example a claim paid to a lender if a loan goes to foreclosure) must be repaid in full before the entitlement used on the loan can be restored.
Restoration of entitlement is not automatic. You must apply for it by completing and returning VA Form 26-1880, "Request for a Certificate of Eligibility" to the Eligibility Center. This form may be obtained from any VA office or at http://www.va.gov/vaforms/.
8. If the requirements for restoration cannot be met, is there any other way a veteran
can obtain another VA loan?
Yes. Veterans who had a VA loan before may still have "remaining entitlement" to use for another VA loan. The current amount of entitlement available to each eligible veteran is $36,000 ($89,912 for certain loans over $144,000). This was much lower in years past and has been
increased over time by changes in the law. For example, a veteran who obtained a $25,000 loan in 1974 would have used $12,500 guaranty entitlement, the maximum then available. Even if that loan is not paid off, the veteran could use the $23,500 difference between the $12,500 entitlement originally used and the current maximum of $36,000 to buy another home with VA financing.
Most lenders require that a combination of the guaranty entitlement and any cash downpayment must equal at least 25 percent of the reasonable value or sales price of the property, whichever is less. Thus, in the example, the veteran's $23,500 remaining entitlement would probably meet a lender's minimum guaranty requirement for a no-downpayment loan to buy a property valued at, and selling for, $94,000. The veteran could also combine a downpayment with the remaining entitlement for a larger loan amount.
9. May several veterans use their entitlement to acquire property together?
Yes. The guaranty is based on each veteran's interest in the property, but the guaranty on the loan may not exceed the lesser of 40 percent of the loan amount or $36,000 ($89,912 for certain loans over $144,000).
10. If both a husband and wife are eligible, may they acquire property jointly and so
increase the amount which may be guaranteed?
They may acquire property jointly, but the amount of guaranty on the loan may not exceed the lesser of 40 percent of the loan amount or $36,000 ($89,912 for certain loans over $144,000).
11. May a veteran join with a nonveteran in obtaining a VA loan?
Yes, but the guaranty is based only on the veteran's portion of the loan. The guaranty cannot cover the nonveteran's part of the loan. This does not apply to a loan to a veteran and spouse when the spouse is not a veteran. (Consult lenders to determine whether they would be willing to accept applications for joint loans of this type.)
12. Does the issuance of a certificate of eligibility guarantee approval of a VA loan?
No. The veteran must still be found to be qualified for the loan from an income and credit standpoint.
13. Can a veteran or active duty servicemember who is eligible for a Specially Adapted
Housing (SAH) grant apply for a GI home loan from a private lender to cover the
difference between the total cost of the house and the SAH grant?
Yes. A veteran or active duty servicemember who is eligible for a Specially Adapted Housing (SAH) grant can apply for a GI home loan from a private lender to cover the difference between the total cost of the house and the SAH grant. SAH program eligibility requirements and points of contact information are available at http://www.homeloans.va.gov/sah.htm.
14. If private financing is not available, can VA make the veteran or active duty servicemember a direct loan to cover the difference between the total cost of the house and a Specially Adapted Housing (SAH) grant?
Yes, provided the veteran or active duty servicemember has GI home loan entitlement and qualifies from a credit standpoint. The maximum direct loan is currently $33,000.
ELIGIBLE LOAN PURPOSES
You may use VA-guaranteed financing:
• To buy a home.
• To buy a townhouse or condominium unit in a project that has been approved by VA.
• To build a home.
• To repair, alter, or improve a home.
• To simultaneously purchase and improve a home.
.
• To improve a home through installment of a solar heating and/or cooling system or other
energy efficient improvements.
• To buy a manufactured (mobile) home and/or lot.
• To buy and improve a lot on which to place a manufactured home which you already
own and occupy.
• To refinance a manufactured home loan in order to acquire a lot. (See VA Pamphlet
26-71-1, which is available on the internet at:
http://www.homeloans.va.gov/VAP26-71-1.htm, for more information about manufactured
home loans.)
Questions and Answers
1. Can a veteran get a VA loan to pay off the mortgage or other liens of record on his or
her home?
Yes. The following refinancing loans are available under the VA-guaranteed home loan program:
To pay off the mortgage and/or other liens of record on the home. In most cases, the loan may not exceed 90 percent of the reasonable value of the property as determined by an appraisal, plus the funding fee, if required. The loan may include funds for any purpose which is acceptable to the lender, plus closing costs, including a reasonable number of discount points. A veteran must have available home loan entitlement. An existing loan on a manufactured home (except as noted below) may not be refinanced with a VA-guaranteed loan.
To refinance an existing VA loan to obtain a lower interest rate. Use of additional loan entitlement is not required. The loan amount is limited to the balance of the old loan plus the closing costs, discount points, funding fee, and up to $6,000 in energy efficient improvements. An existing VA loan on a manufactured home may be refinanced to obtain a lower interest rate.
2. Can a veteran get a VA business loan?
No, but business loans may be obtained through the SBA (Small Business Administration). The SBA gives preference to veterans wishing to obtain small business assistance. For more information on this financing, consult your telephone directory for the SBA office nearest you or visit www.vetbiz.gov for general information on veterans in business.
3. Can a veteran get a VA farm loan?
No, except for a farm on which there is a farm residence which will be personally occupied by the veteran as a home. The veteran may or may not conduct farming operations. If farming operations are to be the primary source of the borrower's income, then it must be established that the venture has a reasonable likelihood for success. If the borrower plans to use the residence, but has a source of income other than the farm which will be the primary source of income, then the farming operations need not be considered. Other types of farm financing may be obtained
through the Farmers Home Administration which gives preference to veteran applicants. Additional information can be obtained by contacting a local office of that agency, the address and telephone number of which can be found in your telephone directory.
4. Can a veteran get a VA loan to buy or construct a residential property containing
more than one family unit?
Yes, but the total number of separate units cannot be more than four if one veteran is buying. If more than one veteran is buying, then one additional family unit may be added to the basic four for each veteran participating; thus, one veteran could buy four units; two veterans, six units; three veterans, seven units, etc.
In addition, if the veteran must depend on rental income from the property to qualify for the loan, the veteran must (a) show that he or she has the background or qualifications to be successful as a landlord, and (b) have enough cash reserves to make the loan payments for at least 6 months without help from the rental income.
5. Can a veteran get a VA loan to purchase a cooperatively-owned apartment?
VA is authorized to approve loans made to purchase a unit in a cooperative (co-op); however, only a limited number of lenders have shown an interest in this type of loan.
6. Can a veteran obtain a VA loan for the purchase of property in a foreign country?
No. The property must be located in the United States, its territories, or possessions. The territories and possessions are Puerto Rico, Guam, Virgin Islands, American Samoa, and Northern Mariana Islands.
7. Can a veteran obtain a loan from a private lender in one State for the purchase of
property in another State?
Yes. However, many lenders limit their lending operations to certain areas.
8. May a lender require security from the veteran in addition to the property being
purchased?
Yes. This is a matter between the veteran and the lender. While VA does not require that additional security be taken, it does not object if the veteran is willing.
APPLYING FOR THE LOAN
VA-guaranteed loans are obtained by making an application to private lending institutions.
Lenders may be found by asking in the community in which you live what firms in the area make home loans. This information may be obtained from the local chamber of commerce, by looking in the telephone directory under "Mortgages," or by inquiring at banks, savings and loan associations, mortgage companies, real estate brokers' offices, and other public and private lending agencies.
Most mortgage lenders will have the forms and other necessary papers to apply for a certificate of eligibility and for the loan and will help you fill them out. Any lender who does not have the forms may obtain them from VA.
If you have a certificate of eligibility, you should present it to your lender when making your loan application, because the lender will want assurance that you are eligible before accepting the application. However, a lender will undoubtedly discuss the possibility of making a VA loan to you without seeing the certificate. In fact, many lenders will assist you in applying for a certificate
of eligibility. So, even if you have not obtained a certificate, you should not delay making an application to a lender for a loan just for this reason.
To reduce delays in the processing of the loan, you should be prepared to give the lender the complete names and addresses and your employee identification numbers for present and past employers covering a 2-year period. You should also have available the location and account numbers for savings and checking accounts and all open and recently closed debts and obligations.
Questions and Answers
1. If a lender is unwilling to accept a veteran's application for a loan, what should the
veteran do?
The veteran should see another lender. The fact that one lender is not interested in making the loan the veteran wants does not mean that other lenders will not make the loan.
2. How are VA loans processed?
There are two ways a lender may process VA home loans: "prior approval" or "automatic."
When the loan is processed on a prior approval basis, the lender takes your application, requests VA to appraise the property, and verifies your income and credit record. All this information is put together in a loan package and sent to VA for review. If VA approves the loan, a commitment by VA to guarantee the loan is sent to the lender. The lender then closes the loan and sends a report of the closing to VA. If the loan complies with VA requirements, VA issues the lender a certificate of guaranty.
In automatic processing, the lender still orders an appraisal from VA, but has the authority to make the credit decision on the loan without VA's approval. The biggest difference between prior approval and automatic processing is the time saved by avoiding the need to await VA's approval before loan closing.
All lenders do not have the authority to process loans on the automatic basis. Banks, savings and loan associations, and certain other lenders such as mortgage companies which are approved by VA, have the privilege of processing VA-guaranteed loans using the automatic procedure.
Lenders approved to participate in VA's Lender Appraisal Processing Program (LAPP) are generally able to expedite the processing of VA appraisals.
3. What should a veteran do while waiting for loan approval?
Sometimes it may take longer than you might expect for the lender or VA to process your loan application. For instance, your current or former employer may be slow in returning an employment verification form, or it may take some time to obtain a credit rating from out-of-State creditors.
Occasionally, the application VA receives from the lender is incomplete in some important aspect and requires that VA ask the lender to furnish additional information before a final decision can be made. Ordinarily, you should plan on an average of 4 to 6 weeks to obtain a decision on your application.
In any case, information on the progress of your application should be obtained from the lender, who will be most aware of developments as they occur.
It is most important that you not make any commitments based on an expected approval of your loan. You should not, for example, give notice to your landlord until the loan is actually approved
by VA (or by your lender if the automatic processing procedure is used). Generally, it is not advisable to move into the home before the loan is approved. If for some reason the loan is not obtained, you could be faced with additional expense and inconvenience.
4. What is pre-purchase counseling and why would it be helpful?
Pre-purchase counseling is especially helpful to a first time homebuyer. It gives a person useful information on (1) the process of buying a home, (2) the key players in the home buying process and (3) debt management. The goal is to create a more well informed homebuyer. While VA does not require such counseling, we strongly recommend it. There is usually no charge for the housing counseling. To locate a housing counseling office, call (800) 569-4287. This is a Department of Housing and Urban Development (HUD) maintained number and referral service.
LOAN REPAYMENT TERMS
The maximum VA home loan term is 30 years and 32 days; however, the term may never be for more than the remaining economic life of the property as determined by the appraisal.
Questions and Answers
1. May a veteran pay off a VA loan before it becomes due?
Yes. A VA loan may be partially or fully paid at any time without penalty. Partial payments may not be less than 1 monthly installment or $100, whichever is less. (Consult your lender.)
2. May the maturity on a VA loan be extended to reduce the monthly payments?
Yes, provided the veteran and the lender want to extend it and the extension provides for complete repayment of the loan within the maximum period permitted for loans of its type.
3. If a veteran dies before the loan is paid off, will the VA guaranty pay off the balance
of the loan?
No. The surviving spouse or other coborrower must continue to make the payments. If there is no coborrower, the loan becomes the obligation of the veteran's estate. Protection against this may be obtained through mortgage life insurance, which must be purchased from private insurance sources.
4. Will the veteran's payments always be paid to the same company?
No. It is common practice in the mortgage lending industry to sell mortgages, often before the first payment is even due. If your loan is sold, you may find that you sent your first payment to the wrong place and the new holder of your loan may send you an overdue notice. Even though you know you made the payment, and it is up to the two lenders to get it straightened out, do not ignore the notice. (Most lenders will notify the veteran if the loan is sold and help straighten out any problems.)
5. Does having a VA loan limit a veteran's right or ability to sell the property?
No. A veteran may sell the property to a veteran or nonveteran at any time. However, if the loan was approved on or after March 1, 1988, and it will be assumed, the qualifications of the assumer must be reviewed and approved by the lender or VA.
6. When a veteran sells the property to someone who will assume the existing VA loan,
is the veteran released automatically from personal liability for repayment of the loan?
No. If the loan was approved on or after March 1, 1988, the lender or VA must be notified and requested to approve the assumer and grant the veteran release from liability. If the loan was
approved prior to March 1, 1988, the loan may be assumed without approval from VA or the lender. However, the veteran is strongly urged to request a release of liability from VA.
7. If a loan closed prior to March 1, 1988 can be assumed without VA's approval, why
should a veteran be concerned about requesting and obtaining a release from
personal liability?
If a veteran does not obtain a release of liability, and VA suffers a loss on account of a default by the assumer or some future assumer, a debt may be established against the veteran. Also, strenuous collection efforts will be made against the veteran if a debt is established.
8. How may a veteran obtain a release of liability from VA?
By having the buyer assume all of the veteran's liabilities on the VA loan, and by having VA or the loan holder approve the buyer and the assumption agreement. If the VA loan was approved prior to March 1,1988, the application forms for a release of liability must be requested from the VA Regional Loan Center of Jurisdiction. In most cases, if the VA loan was approved on or after March 1, 1988, the application forms must be requested from the lender to whom the payments are made.
9. If a veteran obtains a release of liability, is restoration of entitlement automatic?
No. Restoration requirements may be found in the above information.
REPAYMENT PLANS
VA will guarantee loans to purchase homes made with the following repayment plans:
• Traditional Fixed-Payment Mortgage
This type of mortgage loan calls for equal monthly payments for the life or term of the
loan. Each monthly payment reduces a certain portion of the principal owed on the loan
and pays interest accrued to date.
• GPM (Graduated Payment Mortgage)
This repayment plan provides for smaller-than-normal monthly payments for the first few
years (usually 5 years), which gradually increase each year, and then level off after the
end of the "graduation period" to larger-than-normal payments for the remaining term of
the loan. The reduction in the monthly payment in the early years of the loan is
accomplished by delaying a portion of the interest due on the loan each month and by
adding that interest to the principal balance.
• Buydowns
The builder of a new home or seller of an existing home may "buy down" the veteran's
mortgage payments by making a large lump-sum payment up front at closing that will be
used to supplement the monthly payments for a certain period, usually 1 to 3 years.
• GEM (Growing Equity Mortgage)
This repayment plan provides for a gradual annual increase in the monthly payments with
all of the increase applied to the principal balance. The annual increases in the monthly
payment may be fixed (for example, 3 percent per year) or tied to an appropriate index.
The increases to the monthly payment result in an early payoff of the loan in about 11 to
16 years for a typical 30 year mortgage.
ARM (Adjustable Rate Mortgages)
ARM loans are typically made at an initial interest rate lower than market rate; however
the interest rate can be adjusted - up or down - during the life of the loan. A one year
ARM allows for annual adjustments of no more than 1percent and a lifetime cap of 5
percent. Hybrid ARM loans allow for an initial fixed rate for a period of at least 3 years,
followed by annual adjustments. Depending on the length of the fixed rate period, the
initial adjustment can be up to 2 percent and the lifetime cap is either 5 percent or 6
percent.
DOWNPAYMENT REQUIREMENTS
• Traditional Fixed-Payment Mortgage, Buydown Loans, and Growing Equity Mortgage
VA does not require a downpayment if the purchase price or cost is not more than the
reasonable value of the property as determined by VA, but the lender may require one. If
the purchase price or cost is more than the reasonable value, the difference must be paid
in cash from your own resources.
• Graduated Payment Mortgage
The maximum loan amount may not be for more than the reasonable value of the property
or the purchase price, whichever is less. Because the loan balance will be increasing
during the first years of the loan, a downpayment is required to keep the loan balance
from going over the reasonable value or the purchase price.
INTEREST RATES
The interest rate on VA loans can be negotiated based on prevailing rates in the mortgage market. Once a loan is made, the interest rate set in the note will stay the same for the life of the loan.
However, if interest rates go down, and you still own and occupy (or previously occupied) the property securing a previous VA loan, you may apply for a new VA loan to refinance the previous loan at a lower interest rate without using any additional entitlement.
CLOSING COSTS
The cost of obtaining any mortgage can be quite a lot. VA regulates those closing costs that a veteran may be charged in connection with closing a VA loan. No commission or brokerage fees may be charged to you for obtaining a VA loan. However, you may pay reasonable closing costs to the lender in connection with a VA-guaranteed loan.
Although some additional costs are unique to certain localities, the closing costs generally include VA appraisal, credit report, survey, title evidence, recording fees, a 1 percent loan origination fee, and discount points. The closing costs and origination charge may not be included in the loan, except in VA refinancing loans.
In addition to negotiating the interest rate with the lender, veterans may negotiate the payment of discount points and other closing costs with the seller.
Often, sellers will consider paying some or all of the discount points required by the lender in order to complete the sale. This can have a big impact on the amount of cash you must pay out of pocket in order to complete the purchase. If the seller will not consider paying points, the veteran may be able to negotiate an interest rate with the lender which is sufficient to avoid the need to include any discount points in the transaction.
FUNDING FEE
Veterans must also pay a VA funding fee at the time of loan closing. The fee may be included in the loan and paid from loan proceeds. The fee is not required from veterans in receipt of service-connected compensation, or who would be but for receipt of military retired pay, or surviving spouses of veterans who died in service or from service-connected causes.
EQUAL HOUSING OPPORTUNITY
Discrimination in the sale of housing because of race, color, religion, sex, handicap, familial status, or national origin is prohibited by Federal laws. In November 1962, Executive Order 11063 banned discrimination in all federally assisted housing. The "Fair Housing Law," Title VIII of the Civil Rights Act of 1968, followed by amending legislation, required positive action be taken by Federal agencies to prevent discrimination in all housing. Further, Title VIII protects you from the following acts when they are based on discrimination on account of race, color, religion, sex, handicap, familial status or national origin:
• Refusal to deal,
• Discrimination in terms of sale,
• Discriminatory advertising,
• False representations that a dwelling is not available,
• Blockbusting,
• Discrimination in financing, and
• Discrimination in real estate services.
These laws provide every person an equal opportunity to choose suitable housing. The Department of Veterans Affairs affirmatively administers the VA housing program by assuring that all veterans are given an equal opportunity to buy homes with VA assistance. All VA program participants--builders, brokers and lenders offering housing for sale with VA financing--must comply with Executive Order 11063 and the Civil Rights Act of 1968, as amended.
Builders must sell newly constructed homes with VA financing to eligible veterans without regard to the race, color, religion, sex, handicap, familial status or national origin of the veteran.
Brokers participating in the VA home loan program must not discriminate against a person on the basis of race, color, religion, sex, handicap, familial status or national origin by refusing to show or sell a property; by discriminating in the terms of the sale; or by representing that property as not available for inspection.
Lenders participating in the VA loan program are required by the Civil Rights Act of 1968, as amended, to act on applications for VA home loans without regard to the race, color, religion, sex, handicap, familial status or national origin of the veteran. In addition, the Equal Credit Opportunity Act prohibits a lender from discriminating against an applicant on the basis of the foregoing, or on the basis of age or marital status; because an applicant's income derives from any public assistance program; or because the applicant has exercised any right under the Consumer Credit Protection Act. Lenders are also prohibited from discouraging applications on these grounds. To ensure that each applicant is fully aware of his or her rights under the Equal Credit Opportunity Act, a lender must provide each applicant with the Equal Credit Opportunity Act Notice and a written statement of reasons when credit is denied.
Therefore, if you are seeking to use your entitlement to buy a home, you may be assured that VA will protect your civil rights and equal housing opportunity.
The following actions, when based on discrimination because of race, color, religion, sex, handicap, familial status or national origin, are recognized violations of the Federal fair housing law:
• Refusal to negotiate to sell property.
• Discrimination in terms or conditions of sale of real property.
• Advertising indicating any racial, religious, ethnic or gender preference.
• False representations that real property is not available for inspection or sale.
• Blockbusting or inducing owners to sell real property by representations regarding entry into
the neighborhood of persons of a particular race, color, religion, sex, handicap, familial
status or national origin for profit.
• Discrimination in financing, terms or conditions of a loan, or denying a loan.
If you experience or suspect discrimination by a builder, broker, or lender, VA will investigate. To start a VA investigation, submit a written complaint directly to your VA Regional Loan Center. Your complaint must describe the discriminatory action, including the date it occurred, names, addresses and telephone numbers of all parties involved in the action, and the address of the property involved. VA has a form for this purpose (VA Form 26-8827, Housing Discrimination Complaint) which you may request from VA.
You should note that in many localities, fair housing associations have been organized to assist you in locating and purchasing a house of your choosing. There may be such an organization in your area.
When the discrimination concerns HUD/FHA (Department of Housing and Urban Development/Federal Housing Administration) home loans and other housing, complaint letters should be sent to the Department of Housing and Urban Development, Assistant Secretary for Fair Housing and Equal Opportunity, Washington, D.C. 20410.
If you are unable to find new homes available for sale with VA financing in your area, or if you are unable to determine whether particular homes being built are available for sale with VA financing, we suggest you contact your VA Regional Loan Center. In addition, in many areas VA has repossessed homes which it will sell to qualified buyers. Inquiry as to the availability of any VA repossessed homes for sale in the area in which you are interested may be made by contacting local real estate brokers.
Another area to be explored is the existence of State benefits. Many States offer housing programs which are independent from federal programs. The programs and benefits, as well as the qualifying criteria, may differ from one State to the next. Information on State programs may be obtained from State officials or from VA.

Ronell D. Moore

Commercial/ Residential

Mortgage Broker

615-482-1498