There are many people still looking for 100% financing in FL. It is still available! Will everyone qualify? No. But many people will. When I first heard of the program I thought it would be great for about 2 out of every 20. I was very wrong and actually impressed with how many people fit into this criteria. Unfortunately, the company I work for isn't set up to do FHA loans so I was eager to find a comparable program to help my clients instead of referring them out. This program is USDA Rural Development. The two biggest factors are where the property is located and the borrowers have income limits. Unlike the name, the properties that are eligible are not necessarily rural. As for the income limits, they are fairly close to the guidelines for Home Possible or My Community. Here are some of the highlights.

No downpayment: True 100% product even in declining market

No monthly mortgage insurance: Clients can afford more!

No cash reserves required.

No minimum credit score. Lenders do have ability to cap scores though

Adverse credit on exception based only with circumstance explained

Expanded qualifying ratios: 29/41%.

Exceptions may be made to accommodate qualifying clients. 

No asset limits: Clients may keep liquid cash savings and other investments.

NOT just for first time buyers: Anyone may apply.

No purchase price limits: Clients may purchase home that meets their needs. 

Loans up to 102% of the appraised value not contract price.
 

Repairs may be financed up to 100% of the appraised or "as improved" value. 

Up to 6% Seller Concessions to pay for closing costs and/or rate reduction.
 

Competitive 30 year fixed interest rates, capped at .60 basis points over the FNMA 90 day delivery rate.

 No Rural Development prior approval of appraisers or builders.

Prompt review of Complete Loan Packages:24 - 48 hour turnaround time.

In this market we can all use an extra tool in our toolbox! Give me a call or shoot me an email if you need more information or have questions.

 

 

 

 

If you're wondering what to do this weekend, look no farther. Great fun for kids and adults. Come by and experience the thrill of riding on huge construction equipment. Take a turn at operating front end loaders, excavators, bulldozers, and much more! Also at the event will be military equipment, fire-fighting equipment and vehicles, helicopters, and police vehicles. Afterward, the kids can get their faces painted, take a hayride, make cement handprints, and even dig for treasure at the "Big Dig". It is a Construction Theme Park. There will be over 100 pcs of equipment, plus K-9 demonstrations, fire safety demos, swat members, and even water drops performed by helicopters.

All of the fun starts at 9am and continues til 4pm. Cost is $10 donation. Proceeds go to Childrens Home Society. For $10 you get unlimited rides all day. There will also be food and drinks available. It all takes place at :

Florida Horse Park
11008 S. Hwy 475
Ocala, FL 34480
(352) 307-6699

Come out and have some fun while helping out a great cause. Conveniently located off of I75 for a great day trip. Come by and see me at the Bobcat booth.

After a rough couple of weeks, I feel I needed to get this off my chest to someone. I have heard many brokers be tagged with the "used car salesman" title. With the mortgage mess, sure there were some throughout the country, but many are trying very hard to earn a living by doing things the right way. Well over the past two weeks I feel as though I am being thrown into the same catagory.

My first loan was a very good credit score, full doc, good work history loan. The down side being 100% financing. He doesn't qualify for many lender programs due to his income. However, I got a very clean and easy approve/eligible and placed with a large reputable lender. They called once for extra verification on employment and income which we promptly provided. Then after many calls and emails and a TEN DAY wait. They said they were turning down the file because they don't like the Villages area (very large and prominent retirement community in FL. They are basically their own city) because of the marketability if they had to sell! So now after informing my customer it should be no problem and I don't foresee any obstacles, I had to floor him with this! He was very understanding but that doesn't help the way I feel for this at all. I have had loans that I may have had questions but this was one I felt so good about.

Then, when I tried to put it behind me and move on to the next customer I get the knockout punch. I have another customer also good credit, NO derogatory items but it is a cashout refinance over 80% LTV. So, not the easiest loan, but for best pricing I go to the local credit union. He sends me a rate and terms after reviewing credit and application @ 8.625%. Pretty good considering a Bankruptcy in 1/04. I relay this info to the customer and they are happy. The loan officer at the credit union then sends me a good faith with a rate of 8.75% and dropped their cash back from $6k to $4k. He claims he didnt realize he didnt add on for the cash out and escrows. So, I call my customers back into the office and explain that this isnt me and go over the new terms which are still better than their current situation. They sign the GFE and leave. I send the full package over to the credit union and he ignores me for two days. Then Saturday morning he leaves me a message that he is emailing the package to me for review and he'll of course be unavailable until Tuesday. I get the package and now the rate is 9% and their getting back $3k. Now, I have to look my clients in the face and try to explain that I am not baiting and switching.

I am so steamed right now you can't imagine. Now what do you think these clients will think of me? How many referrals do you think I'll receive after this? Is a pre qual letter worth anything at all? Tomorrows another day and theres a good chance it will be better!

First came the subprime fallout mess and now the after effects are coming. After everyone bought homes based on a credit score rather than true factors, such as employment and ability to repay, the housing market is in it's adjustment phase. Now there is such a surplus of homes compared to buyers the home values are falling off. As more and more foreclosures take place over the next 6-12 months the home values will fall at a forecasted rate of 13-15%. According to Moodys Economy Report, there isn't an expected measurable recovery until 2010!

What this means to the average "joe" is get out of your adjustable or use your equity while you can. If you are one of the millions who have an adjustable mortgage that will reset in 08-09, you could wind up with a higher rate than you thought if you wait. For instance, if you have a 75% loan to value loan right now and you refinance in 4-6 months, your new loan to value will be between 85-90% causing you to pay mortgage insurance or a higher rate to avoid the insurance. If you have plenty of equity and can afford to pay a little extra each month, you may want to think about taking some of that cash and investing it rather than taking a 15% hit on that money. Most investment firms can set up a portfolio earning between 12-15% per year.

There are many people who bought homes between 05-06 for $0 down and will soon owe much more on their homes than they are even worth. Don't wait until it's too late and become a casualty of the market. Florida and California will be the hardest hit. Certain areas are already flagged by lenders to either stay away from or cut values accordingly. If you're not sure of your position most mortgage professionals offer FREE consultation to see if they can help.

On a recent trip we took, my parents offered us the use of their newest technology gadget. I must admit, I'm not the Treckie of today that most around me are. I think tivo is one of the neatest things out but I don't have the desire to learn how to use it. Mainly because we really dont watch that much tv unless its game day. Anyway, the gadget is a GPS device that gives you turn by turn directions, along with nearby food, lodging, fuel, attractions, etc. We have had navigation systems in vehicles before, but I was very skeptical because the ones I have used would always seem to get you close, then send you in circles. The one we borrowed was a Mio, but they have Tom-Tom, Magellan, and a few others. We had absolutely no problems with it at all. It even warned us in advance of turns coming up, exits, which lane to be in, and much more. Like I said, being behind the times with most technology, when we arrived at our destination with family and friends, everyone of them already had one! There are apparently about 5 different name brands, but the common theme was you can't be with out one. For those of you that are technologically challenged like myself, they are very easy to use. If youre not already using one, check them out. Plus they are alot less bulky than an atlas and much easier to read while driving. So for me growing up in a small town like Ocala, FL, it is a must for places like Atlanta and Orlando. Maybe by next season Ill be ready to learn about tivo!

Well we just returned to Ocala from our family vacation to The Smoky Mountains. Its always nice to come back home, but I desperatley miss the scenery and the weather. We left Ocala and it was a normal 87. Of course it was late evening. We stopped in north georgia to eat and we thought we were going to freeze! Being florida natives, if it drops below 60 its freezing. It was about 50 out the first day. The rest of our trip it was 38 in the mornings and climbed to about 65 during the hottest part of the day. The leaves were just starting to change good. It was absolutely beautiful. The most astonishing thing about the whole trip was the difference in home prices. There are some very affordable homes throughout northern georgia and tennessee. While visiting some relatives, we stayed in their wonderful home. They have a 3300 sq ft main floor and a 1900 sq ft basement and paid around $200k! It sits on 1.2 acres. Needless to say, I was floored. After browsing the local real estate books it seemed to get even better. Then yesterday, a coworker and I went to see some models in a new golf community in Ocala. We looked at a 2600 sq ft home on less than a 1/2 acre for right at $1M! What a difference. Like the old saying goes, "location, location, location". As we discussed how nice it would be to move and enjoy all of our seasons, buy a larger home, our teenager brought us back to earth as we were informed that there is no way she could be dragged away from her friends and school, then her sister chimed in.......So, if anyone is interested in 2 fairly well behaved, not so tidy, good students, we are ready to move immediately. The things we do for our kids!

Its a decision that many of us are faced with at the most inopportune times. Usually, the closest free ATM is 3 miles away. Do I accept the fee or drive all over town to save the $3 fee? Most likely as the kids are pulling on your leg ready for lunch or initiating the "dying swan" because they won't last the day if they can't play one more game, you give in and pay the fee.

This same saga is repeated countless times each day all over the world. Customers are paying for the convenience. Ever wonder how much this convenience fee amounts too? According to a recent poll, bank ATM fees total nearly $4.2 billion per year! Thats a large chunk of change. To top it off, some banks feel they can recoup some their losses in other areas by raising their ATM fees.

There are a few banks however that are luring away discontented customers by waiving ATM fees. While rates have risen and profit margins are falling, how can they afford to waive fees? The answer is there are owners of free networks that will charge your bank instead of you. They are hoping that this will cause an increase in people using the machines and offset the losses of fee income from the consumers. Localized banks and credit unions are more willing to pay the fees to the larger free network operators due to the high cost of maintaining and servicing the machines in house. Just to keep the machines loaded with cash has become very costly, along with gas for the couriers that deliver the cash, paying the employees, etc. Maybe this will turn out better for everyone eventually. I know I could use an extra $3 in my wallet these days.

Try these two sites to locate free ATMs in your area. Moneypass.com and Allpointnetwork.com

I'm not a big fan of curling up with a good book. But recently, a coworker/friend, suggested a book that was given to her written by Jeffrey Gitomer. I'd heard the name before but didnt know much about him other than he has done some sort of motivational speaking. In the past I have taken Stephen Coveys 7 habits of highly successful people, Dale Carnegies art of speaking, etc. But unless its information relating to real estate or sports I usually won't keep interest. Thats the reason for this blog. I was truly impressed with how much information is in the book. He brings alot of well known facts to life by giving it to you straight. The title of this particular book was "Little Red Book of Selling". I dont know if the rest of his books are nearly as good but I definitely felt obligated to recommend this one. It mentions many of the same items Ive seen on AR the past few weeks such as branding yourself, networking, etc. One of the easiest things to relate to was "How much time is spent each day on things totally unrelated to building your business?" When you truly think about it, there tons of people clicking on the useless titles like(Countrywide on their way out--The market is soooo dead--etc.) Don't let yourself become one of the rest. Seperate yourself from the negativity and network with the positive people. If you like a good book to redirect your thinking, check it out.

I don't know about the rest of you, but I am the type that asks myself this question about everything. If the tv stops working, I take it apart. If the A/C stops, I don't know what I'm looking for, but I start to take it apart. Maybe it's a guy thing. I don't really know. I do know that it drives my wife absolutely nuts though. Well, the latest saga was the bathroom. In the kids bathroom, there was a leak behind the tiles, plus they are pretty dated being our home is about 20 years old now. So, since I know everything, I am sure I can redo a little tile job in about a day or two. I started by tearing all the tile out, apparently insuring there was no going back at this point. This was easy. Why would I pay someone to do this? After the tile, I took down the green board and had everything exposed. I could see the culprit was a slow leak at a copper pipe joint. I went to the hardware store and got all of my needed supplies. Although I know everything, I have tried several times to sweat copper pipe to no avail, so I decided to switch to cpvc. In between cheerleading, open houses, work, laundry, etc. about a week and a half later everything was installed. ( Nevermind the 3-4 leaks that came about while installing) Now all I have to do is put up the new backing board. I finished this in about an hour and half. Now I was ready for the new tile. I know quite a few people who have done it recently and could have called for help. But men don't do that. I started putting the tile up and discovered it's not as easy as it looks. After about 2 1/2 weeks of cussing each night. Ruining tiles while cutting them. And other fun times. The tile was on and had a couple or 20 imperfections. After another night and a few blisters, I did learn that grout actually hides most mistakes!

All in all, it did turn out pretty nice. But I will gladly admit, the other bathroom will be done much more quickly by a professional. I wouldn't recommend any of my clients to do their own mortgage, so I guess I'll stick to mowing the grass and minor paint jobs. After quite a bit of research, I am finding most professionals really are worth the money. Have a great day all!

One of the problems with the housing industry right now is people were misled into loans that they couldn't afford. But everyday on the homepages, the largest ads are usually companies like Lending Tree and Lower My Bills offering a $500k mortgage for $20 per month. Stretching a little yes, but you get my point. If we want to fix the problem I think we should start with ads like these. A recent news article stated that these type of ads are bringing such a huge chunk of business their way that they can't afford to stop them. The part I really don't understand is why people continue down the same path after all of the media on the issue. I originally blamed the greedy people behind these ads and the greedy brokers putting them into loans they would never be able to afford. The more it happens the less sympathy I have. Its all over the news every day. Companies collapsing, Mothers and Fathers losing their jobs and homes but this isn't enough for some to get the hint. We still have clients who respond to the ads and call in looking for these ridiculous loans. Maybe I'm just grumpy today. I just don't understand......?????