financing: Subprime? Why Not? - 09/29/16 07:21 AM
Sub-prime lending is a much better option than Private or Hard money lending - if you qualify.
For a few years, I stopped doing conventional lending and switched to Hard and Private money lending. Hard money is hard cash. It requires 35% down, demands repayment within 6 to 12 months and rates can be pretty high (as high as 18%)! Private money may require less money down (maybe 20%), repayment may be 30 years and rates are usually around 8-12%. However, Private money is hard to find these days with the government making it harder for private people to lend money on primary … (1 comments)

financing: How to Satisfy a Lender's Needs - 02/16/16 04:41 AM
Along the way, the lender needs certain documents to bring the loan to closing. Here's a list of some of the documents I've encountered over the years and how to satisfy the lender's needs. Not all lenders will require these documents and/or their needs may need to be met differently. 
At the onset of a loan application, the Loan Officer (LO) requests certain documents from the buyer to close the loan: Last 30 days paycheck stubs; Last 3 months bank statements (all pages even if blank); Last 2 years W2’s; Last 2 years Federal Tax Returns (all pages and all schedules); Copy … (0 comments)

financing: Freddie Mac vs FHA - 01/25/16 03:54 AM
Freddie Mac (FHLMC) offers programs for conventional financing. Federal Housing Authority (FHA) offers programs for government financing. 
Freddie Mac Home Possible Advantage vs FHA
         Home Possible Offers - 97% LTV                  Allows for non-occupying co-borrowers          Does not require minimum reserves          Allows down payment from sources other than from applicant          Income cannot be greater than 100% of median income in higher income areas          No cap on percentage of median income if property located in underserved areas          At closing, the buyer cannot own other property          Mortgage insurance is around $123 on $100,000 loan (payment varies via … (1 comments)

financing: A Zero Credit Balance doesn't always mean Zero - 01/22/16 06:34 AM
Bankruptcy should be the last thing to consider when a financial hardship strikes. There are several types of bankruptcy options but the most common for consumers are Chapters 13 and 7.
Chapter 7 allows for the forgiveness of almost all debt (Taxes, Fraud Charges, Tax Penalties and Child Support payments are not forgiven) and must be approved by the bankruptcy court. Since 2005, an income test has been used to determine if the person (Debtor) qualifies for Chapter 7.  If the Debtor does not qualify, then Chapter 13, repayment, is a better option. Chapter 7 requires certain estate assets to be dissolved before completing … (0 comments)

financing: FHA vs FNMA HomeReady Program - 01/13/16 03:44 AM
FNMA replaced MyCommunity with HomeReady which offers a lower MI payment and a reduction of fees to lower income buyers. This effort is to compete with FHA. Below is a short comparison between the two programs.
MI - Mortgage Insurance
LTV - Loan To Value
DPA - Down Payment Assistance
First Time Homebuyer - Not on title in previous 3 years
Per Bank - Use Bank guidelines
 
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financing: FHLB - Down Payment Assistance - 01/12/16 05:57 AM
What: FHLB Down payment assistance may soon be coming to your area.
Currently Where: Alabama, Florida, Georgia, Maryland, North Carolina, South Carolina, Virginia, and the District of Columbia
FHLBATL.com
Who Qualifies: Anyone who earns less than 80% of the 2014 HUD median income. The 2015 median income is not available until 03/2016:  https://www.huduser.gov/portal/datasets/il/il2014/select_Geography.odn
Programs: Multiple
First home buyer Program (First time home buyer means not on title in last 3 years) requires minimum $1000 investment. Grant matches $4000 for every $1000. Maximum of $5000 with $1250 investment for first time home buyer program for down payment and closing costs.
Community Program for 1st time and non-first time buyers who work: … (0 comments)

financing: Delay of Game! Mortgage Loan - 01/12/16 03:59 AM
As Mortgage Loan Professionals, we learn to deal with stressful issues that are a part of doing business in a government regulated industry.  Over the years, I encountered so many different reasons why a loan didn’t close on time. Here are just a few reasons why a loan is delayed or gets declined.
Tax returns (in most cases) must be submitted for the last 2 or 3 years. The tax returns must be validated by the IRS.  If Congress shuts the IRS down just before or just after the new year, the time frame to validate the returns, extends out. If the … (0 comments)

financing: Quoting an Interest Rate is a Loaded Question - 01/12/16 01:23 AM
Quoting a mortgage interest rate is not as easy as one might think. There are several factors that can impact the pricing of an interest rate.
First, let’s look at how interest rates are priced based on a lender’s rate sheet. A Par interest rate looks like this: 4% = 100.000. This means that the interest rate quoted neither costs money to obtain it nor does it give a credit back to the borrower. Credits can be used to pay closing costs.
Bank 123 may offer an interest rate of 4% with pricing at 100.000 for a $100,000 loan and an interest rate … (12 comments)

 
Bill Polack, Bilingual Spanish Loan Officer in Southeast US. (First Option Mortgage)

Bill Polack

Bilingual Spanish Loan Officer in Southeast US.

Suwanee, GA

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