Special offer

100% Financing- Educate your buyers on Zero down

By
Mortgage and Lending with Equity Plus Financial

 

Call or email me to learn more about how to use Government loans(FHA) in conjunction with charitable gift programs to attract more buyers and sell more homes.

 

$200,000

Purchase Price

$370,000

Purchase Price

$550,000

Purchase Price

LTV

97%

LTV

97%

LTV

97%

Base Loan Amount

$194,000

Base Loan Amount

$358,900

Base Loan Amount

$533,500

UFMIP

1.50%

UFMIP

1.50%

UFMIP

1.50%

Note Loan Amount

$196,910

Note Loan Amount

$364,284

Note Loan Amount

$541,503

 

Monthly Payment

 

Monthly Payment

 

Monthly Payment

Note Rate 6.500%

-$1,244.61

Note Rate 6.500%

-$2,302.52

Note Rate 6.500%

-$3,557.29

BPMI      0.5%

-$80.83

BPMI      0.5%

-$149.54

BPMI      0.5%

-$222.29

Taxes    1.25%

-$208.33

Taxes    1.25%

-$385.42

Taxes    1.25%

-$572.92

Insurance    0.35%

-$57.43

Insurance    0.35%

-$106.25

Insurance    0.35%

-$157.94

Total

-$1,591.20

Total

-$2,943.73

Total

-$4,510.43

Borrower Income

 

Borrower Income

 

Borrower Income

 

TOTAL DTI                 43%

 

TOTAL DTI                 43%

 

TOTAL DTI                  43%

 

Minimum Gross Monthly

$3,700.47

Minimum Gross Monthly

$6,848.88

Minimum Gross Monthly

$10,489.38

Minimum Gross Yearly

$44,405.69

Minimum Gross Yearly

$82,150.53

Minimum Gross Yearly

$125,872.54

 

                                                    KEY HIGHLIGHTS

 

DOWN PAYMENT

  • 3% minimum down payment required.
  • 100% of down payment may be gift from family or friends,
  • 100% of gift may also come from a down payment assistance program (DAP) nehemiah, genesis, etc.

CASH TO CLOSE

  • Based on above $370,000 purchase price, it would typically take about $23,000 total cash to close that purchase. A DAP could pay for $22,200 of that leaving total cash out of pocket of only $800!!
  • Cash to close maybe zero depending on terms of seller contributions and structure of loan. Cash to close may also be a gift!

CHARITABLE GIFT PROGRAMS

  • Max donation is 6%
  • Additional DAP administration fee is only $300-$500

 

KEY PURCHASE CONTRACT TERMS

  • For zero down 6% seller credit contract should include terms:
  • 'Seller to participate in down payment assistance program @ a cost of 3% of sales price and $500 program administration fee. 3% seller credit to cover closing costs.
  • Max Seller concession is 6%
  • Note: Local custom on who pays applicable transfer tax and title fees may affect cash to close from borrower.

 

 

Just Let me know if you have any questions about how this program works or if you need any assistance.

 

    

Comments (5)

Bill C. Merrell
Merrell Institute ~ Appraisal Education Network - Bohemia, NY
Ph.D. - Merrell Institue

LESS DOWN, GIVES BUYERS LESS REASON TO STAY IN THE EVENT TO MONEY PROBLEMS

LEMDERS KNOW THIS

ALL THE BEST

BILL

Jul 05, 2008 03:39 AM
Teresa McDonald
EME Realty - Florence, SC
ABR, Florence and Lake City SC Real Estate

It is okay to have to come up with very little at closing but can the client make the payments. Sometime I can imagine what people are thinking when they buy a home and know they can't afford it. It might not be a bad idea if they did save and have a little down payt.

Jul 05, 2008 03:50 AM
Anonymous
NancyinOR

Before you tout DAP programs you should do some research. These loans default 3 times more than other FHA loans and the sales prices are 3-4% higher.

I question how much good you're reaally doing those buyers.

 

 

 

Jul 05, 2008 10:47 AM
#3
Anonymous
Ryan Jones

This post was simply giving you another way to help move your listing. No where did I say this was optimal financing..it will help you sell your property. Plain and Simple.

Jul 05, 2008 11:54 AM
#4
Rick Sergison
EXP Realty of Canada Inc., Brokerage - Pickering, ON
Durham Region Real Estate Blog

I just stopped by to welcome you to Active Rain. I hope that you find it a great benefit to your business and that you see the value that I have also found here. I am from Charlottesville Virginia and using Active Rain has really increased my business!

My main blog on Active Rain is here: Charlottesville Real Estate Blog, not the link at the bottom of this post. 

I hope you will look into the many groups as there are some great group both local and broad based,.... 

enjoy!

Jul 06, 2008 05:18 AM