CFS Mortgage's (cfsmtg) Blog

Two Types of 203(k) Loans

CFS Mortgage (CFS Mortgage Corp.) — Fri, 15 Jul 2011 06:16:46 -0700

The Standard 203(k) and the Streamlined 203(k) products allow borrowers to finance the purchase price of the property, closing costs, and repair costs. Another attractive feature of these 203(k) products is that they require only a 3.5 percent down payment on the gross loan amounts. In the private market, conventional rehabilitation mortgages typically require 10 to 20 percent down payment. Standard 203(k)The Standard 203(k) loan is used when borrowers desire extensive structural work, such as additional room or removal of interior or external walls or when repair costs exceed $35,000. A minimum of $5,000 must be used toward repairs for Standard 203(k) loans and there is no maximum repair amount. The maximum mortgage, depending on house location, can range from $271,050 to $729,750 (for a more detailed explanation of the mortgage limits, see Appendix C). Further, the loan must not exceed 110 percent of the "as-improved" value. On Standard 203(k) loans, up to six months of mortgage payments can be financed while the home is renovated and uninhabitable. The six months of mortgage payments help a borrower pay for housing elsewhere during the rehabilitation phase. For Standard 203(k) loans, the FHA requires that an FHA-designated consultant write up a rehabilitation work plan before approving FHA insurance. The consultant ensures that properties meet FHA building and local code requirements. See table below for a list of subprograms. Streamlined 203(k)The Streamlined 203(k) product places fewer demands on the borrower and is designed to assist potential homeowners with less complicated and lower-cost rehabilitation projects. Streamlined 203(k) loans are recommended for small projects that are mainly cosmetic in nature and do not require structural changes to the house. The maximum repair portion of the loan amount is $35,000, and there is no minimum. Cosmetic improvements may include replacing appliances, flooring, windows, and doors. Borrowers can use this type of loan to replace the heating, ventilation, and air conditioning system, paint the home, or make minor roof repairs. Borrowers using this product are not required to employ an FHA-designated consultant. From the start, we take the mystery out of the mortgage process. The tools provided through this Website such as Calculators & Tools, Loan Programs, Application Forms and Apply Online greatly simplify the process. Or, if you prefer, you can contact us at info@CFSMortgageCorporation.com or 602-241-9875.

CFS Mortgage Adds New Office to Scottsdale Arizona

CFS Mortgage (CFS Mortgage Corp.) — Thu, 14 Jul 2011 07:39:56 -0700

CFS Mortgage is proud to announce the opening of is newest location in Scottsdale AZ. Our new office is located near the SW corner of Pima and Pinnacle Peak. 8700 E. Vista Bonita #200Scottsdale, AZ 85255.480-515-0131 This veteran office consist of Cynthia Clark, Gary Davis and Mike Hingston. They were all part of Mike Hingston previous company, Independent Capital. Each of them bring a lot of experience and energy to our company and will be great additions to CFS Mortgage, ready serve the real estate needs of Scottsdale and surrounding area.

Home Remodeling: What Housing Crisis?

CFS Mortgage (CFS Mortgage Corp.) — Wed, 29 Jun 2011 07:42:12 -0700

A Little Paint and Spackle Goes a Long Way Have you noticed the check-out line is longer at the local hardware store? As the nation continues to face negative news surrounding the housing market; not all areas of the industry are impacted. In fact, some seem to be growing. . .perhaps even thriving. According to a recent National Association of Home Builders (NAHB) study , Kermit Baker, a senior research fellow at Harvard University’s Joint Center for Housing Studies and the project director of its Remodeling Futures Program, said that even with its recent decline, the remodeling market is shaping up at $300 billion annually. With home prices still on the decline, and financing for those looking to move becoming more challenging, the new fiscally responsible alternative to moving is remodeling. With this in mind, Colorado based company, RenovationReady, is filling a need to service this niche. With complete and customized programs for homebuyers, agents, asset managers, banks, and lenders, RenovationReady streamlines the lending and home remodeling process. With distressed properties accounting for a significant portion of available housing inventory, RenovationReady inspects, qualifies, and certifies homes in need of repair. “Our goal is to allow home owners to benefit from the current distressed real estate market. We help our clients complete major remodeling projects with ease, at a time when the marketplace is clearly leaning toward remodeling over new construction,” says Jim Fraser, managing partner of RenovationReady. “Improvement and repair expenditures as a share of total residential investment climbed to 70% in 2009 and remained at roughly the same level in 2010 up dramatically from a low point of just below 40% in 2005 when home building was at its peak,” says Baker. When far fewer people are building new homes, the research shows that renovation is on the upswing. In the cloud of the current home construction market, the silver lining might just be the home remodeling market; where home buyers are currently able to remodel their dream house without having to build it from the ground up. Standing in line at the hardware store is a small cost in comparison to the significant return on investment when making the decision to remodel.

New Search Engine for Distressed Properties

CFS Mortgage (CFS Mortgage Corp.) — Tue, 21 Jun 2011 06:17:50 -0700

Need a new listing option for a distressed property? RenovationReadyTMprovides FREE property pre-inspections to identify the scope of required repairs to meet lending standards and adds the property to our exclusive property search engine. Veiw our current RenovationReady Listings. For more information on RenovationReady visit www.cfs-mortgage.com, contact 800-494-2371 or info@cfs-mortgage.com.

Pre-purchase Decisions That Can Save You A Bundle

CFS Mortgage (CFS Mortgage Corp.) — Tue, 21 Jun 2011 05:59:43 -0700

The process of looking for, and ultimately, buying a home is hard work. Often times, people feel restricted by price ranges in the investment they are able to make. However, this does not mean that one can't fulfill their unique needs when purchasing a home. One home buyer's dream home can sometimes be another home buyer's nightmare. However, no matter what your standards might be, it makes sense to have a working list of parameters before you hit the open house circuit: Type of Home: Determining the type of home you want will eliminate a lot of the guess work out of your search. If you know for a fact you're looking to purchase a home with a yard, or significantly see your investment appreciate while eliminating HOA fees, a Single Family Residence (SFR) might be ideal for you. If you're concerned that a SFR might be out of your price range, there are many options out there to purchase a distressed, short sale, or even foreclosed upon home. Colorado based company, RenovationReady (www.renovationready.com) is able to provide renovation certified homes, and start-to- finish financing to fit home buyers needs and budgets. If a single family residence is not your ideal, and the thought of weekends spend doing yard work is not your forte, one might consider looking into a condo, townhome, or cooperative. Generally newer, these three options often times, require lesser maintenance. Location and Neighborhood: Finding the best value for your dollar in your preferred location is crucial. Are you a country mouse or a city mouse? Sit down and decide if you're willing to live in the suburbs/country or is a more urban setting ideal for you and your family. . .take into consideration things like how far to your employer, the grocery store, your proximity to having necessities within walking distance. Are busy streets a bother? Or is a cul-de-sac a curse? What are your thoughts on purchasing a corner lot? Is the school district important to you and your family? Make sure to research the surrounding areas, if there is a home you have your heart set on, make sure to visit the neighborhood during the day, during the evenings, and on a weekend to see the type of neighbors and location in which you'd be buying into. Additionally, should you find a home in a great location/neighborhood but it's in need of significant repairs, don't be deterred, there are many financing options available to restore homes to their original luster. Interior Specifications: Being choosy is not a bad thing. In fact, the "choosier", the better. This is your investment, treat it as one. Number of bedrooms, bathrooms, and square footage are all items to take into consideration. . . you may be looking for 2000 sq. ft; however, you may find that 1500 sq ft. with the correct lay out, does the job just fine. Generally, 1 bathroom homes cost less than those with 2 bathrooms; however, don't discount a home because it only has one bathroom. Often times, it may be cheaper to add on an additional bathroom then it would be to purchase a home with a second bath. Also, is your heart set on a 4 bedroom home or would a 3 bedroom with a den do the trick? To modify a home in order to make it your dream home is much less hassle than you might believe. There are now companies out there that oversee your renovation from start to finish to take the burden and the guess-work out of turning your newly purchased home into your dream home. Number of Stories: For some buyers, the number of stories is important: single story, more than one story, and split level homes. Each home has it's pro's and con's but ultimately, it's up to the buyer. Single story homes are usually easier to clean and provide better access for those with medical conditions or who might need wheelchair access. Two story homes sometimes provide more living space on the same foundation as a one story home. And split-level homes can sometimes be less expensive if one of the levels (usually lower) is purchased unfinished. However, remember, an unfinished level can quickly and easily be renovated to add value to your investment. All in all, the home buying process is a tedious search for an individual treasure. Having a list of standards or a list of pros and cons on hand and ready to go will help you as you begin and eventually, narrow down, your search. Researching those companies that can assist you in your home buying or come to the rescue through the renovation process is also key prior to purchasing a home. Let RenovationReady be your "go to" as you make your home buying decision. Watch video of the RenovationReady Program. For more information on RenovationReady visit www.cfs-mortgage.com, call 800-494-2371, or info@cfs-mortgage.com

Mortgage Banker Sales Trainee (Phoenix, AZ)

CFS Mortgage (CFS Mortgage Corp.) — Mon, 20 Jun 2011 12:16:56 -0700

Founded in 1982, CFS Mortgage Corporation is a full service mortgage bank with offices in Phoenix, AZ and in Pasadena, CA. The firm is seeking recent college graduates who are interested in a career in real estate finance and is presently looking for confident, energetic, and self-motivated individuals to join our Phoenix office as licensed Mortgage Loan Originators. We are seeking candidates to attend our next Mortgage Banker Sales Training Program. The next new hire class begins on Monday, July 18th.As a licensed Mortgage Loan Originator and member of the firm's primary sales organization, the candidate will originate residential mortgage loans through direct interaction with real estate agents, consumers, and/or third party referral partners.The candidate will participate in an extensive orientation and training program and will obtain the required state and national residential Mortgage Loan Originator's license upon completion of the training program. This job will pay a competitive base salary, excellent benefits package and the opportunity for significant commission income.To qualify, candidates must have: · Bachelors degree in finance, economics, real estate or accounting with min GPA of 2.75 · Prior experience in mortgage banking a big plus · Extensive social network including active membership in several online sites Contact Drew Buccino @ 602-241-9875 or submit resume to drew@cfs-mortgage.comLearn more about CFS Mortgage: www.cfs-mortgage.com

Why Real Estate Agents Like RenovationReady

CFS Mortgage (CFS Mortgage Corp.) — Fri, 17 Jun 2011 10:01:05 -0700

Agents like working with pre-qualified buyers. Why not pre-qualify your listing with RenovationReady™? Pre-qualify a property - great idea - and it’s FREE. We pre-qualify your listing to expedite loan processing. We eliminate the guess work in property compliance to underwriting guidelines. Most importantly, we get the transaction closed on time. Renovation loans can be fast and easy with: Experts in renovation and construction underwriting guidelines Our proprietary pre-inspection process to qualify the home Certification of the repairs needed to conform with FHA, FNMA or FHLMC standards Pre-processing of renovation loan requirements for our lender-partners Selling a home in need of repair can wear you down. Use our free solution to ease the process, attract more buyers, and provide your client with excellent service and financial results. Best of all, you and your lender don’t need to be renovation loan experts and hassle with weeks of training and research. RenovationReady™ is the single source for Real Estate Agents to streamline the renovation lending and home repair process. Call 800.494.2371 today to speak to one of our renovation representatives. Watch video on RenovationReady.

Realtor Testimonial for CFS Mortgage

CFS Mortgage (CFS Mortgage Corp.) — Fri, 17 Jun 2011 09:42:58 -0700

CFS Mortgage Corp and RenovationReady Form Alliance

CFS Mortgage (CFS Mortgage Corp.) — Mon, 13 Jun 2011 06:47:48 -0700

Phoenix based residential lender CFS Mortgage announced today that they have joined forces with RenovationReady™ to provide complimentary services to home buyers interested in renovation or construction of Single Family residential properties. RenovationReady™’s service agreement with CFS Mortgage provides property certification, loan processing, and renovation loan administration in both Metro Phoenix, and Southern California areas. The partnership of CFS Mortgage and RenovationReady™ brings together more than 50 years of traditional and renovation lending know-how. “Having known the executive team at RenovationReady™ since 1990, we are thrilled to bring to Phoenix and Southern California a top-flight resource of home construction lending experts. We couldn’t be more excited to partner with RenovationReady™,” stated Drew Buccino, Managing Director and President of CFS Mortgage. This collaboration will allow for the potential creation of additional jobs and opportunities for construction and mortgage professionals. With the focus on home renovation lending, this partnership can improve distressed neighborhoods, and reduce home vacancy levels.“I’ve known the executives at CFS Mortgage through two housing downturns. They are in it for the long-term and understand the key to franchise value - builidng a solid reputuation through flawless execution. The management and sales team is committed to reliable fast and reliable origination for borrowers, real estate agents, and asset managers. So, we’re thrilled to share our turn-key renovation lending program to support CFS in Phoenix and Southern California,” said Jim Fraser, of RenovationReady™. For more information, please contact Drew Buccino at 602.241.9875 or drew(at)cfs-mortgage(dot)com. CFS Mortgage Corporation is a mortgage banker licensed in Arizona and California. Specializing in purchase transactions, CFS has originated over 15,000 home loans over the past 25 years. CFS originates residential real estate loans including conventional, conforming, FHA, VA jumbo, lot and construction, second mortgage/home equity and investor. Additionally, Commercial loans are offered on a limited basis. As a full service mortgage banker CFS maintains complete control of the loan transactions, from origination through closing, utilizing a wide selection of institutional investors. http://www.cfs-mortgage.com RenovationReady™ helps real estate professionals and buyers to evaluate and make purchasing decisions on distressed properties. Through a turn-key model of inspection, qualification, and certification, RenovationReady™ ensures that each property’s unique needs are addressed, the best loan for that home is provided, and the repair process is completed. RenovationReady™ is a joint venture between Granite Companies and Chadron Group, LLC. These companies and their principals have shared experience in managing the nation’s largest consumer construction and home improvement platforms for lenders, banks, and government agencies.http://www.renovationready.com

What is RenovationReady? Not your average 203(k) process!

CFS Mortgage (CFS Mortgage Corp.) — Fri, 10 Jun 2011 14:53:31 -0700

Renovation Lending Fast & Easy. How do we do it? Our experienced team of renovation lending experts provide borrowers with a comprehensive, start-to-finish solution for home renovation loans. The process has three parts: Property Certification, Loan Processing and Fulfillment, and Renovation Loan Administration. RenovationReadyTM is the single source for CFS Mortgage, Real Estate Agents, and Home Buyers to streamline the home renovation lending process. Until now, renovation loans have been tedious, delaying transaction times, and a source of dissatisfaction. The result? Renovation lending programs are grossly underutilized and real estate professionals steer home buyers away from these useful loan programs. RenovationReadyTM assists CFS Mortgage and real estate professionals by making renovation lending fast, easy, predictable, and affordable. Employing risk management systems and executing time-sensitive procedures, we enable our lender clients to originate, fund, and disburse renovation loan products.

CFS Mortgage - New Website

CFS Mortgage (CFS Mortgage Corp.) — Fri, 10 Jun 2011 11:04:30 -0700

CFS is please to announce the launch of our new website. Our new site has the latest in video technology to help guide Buyers and Realtors through our exclusive RenovationReady program, video testimonials from Realtor and Borrowers, and more. Check out! www.cfs-mortgage.com Check out : CFS TV

Mortgage Banker vs. Mortgage Broker-What's the Difference with Appraisal Process ?

CFS Mortgage (CFS Mortgage Corp.) — Fri, 10 Jun 2011 09:00:26 -0700

Mortgage Bankers and Mortgage Brokers provide a similar service, yet there is a significant difference between the two; differences that can ultimately impact the mortgage loan process. These differences can range from creating inconvenience to changing the structure of the loan and in even cause a loan to be denied. Here are just a few of the differences: Mortgage Bankers under the new HVCC appraisal law can order the appraisal from a vendor of their choice. This appraisal can then be used with any of the Mortgage Banker's investors. A Mortgage Broker must order the appraisal from a predetermined investor's chosen automated valuation company and no employee of the mortgage broker can speak with the appraiser. Should the Mortgage Broker choose to send the loan to an alternate investor for any reason, the appraisal must be transferred to the alternate investor. This process is time consuming and cumbersome and adds additional borrower expense. Due to this HVCC appraisal law, Mortgage Brokers must choose the investor at the time the appraisal is ordered. Since the Mortgage Banker can use the appraisal with any of its investors, it can take advantage of choosing the investor offering the best interest rate at a much later point in the transaction. Mortgage Bankers deliver a closed loan which greatly reduces the work flow of the investor resulting in a better interest rate for the borrower! At approval, the Mortgage Banker prepares loan documents and ultimately funds the loan using its warehouse line. The Mortgage Broker is dependent on the investor to prepare the loan documents and fund the loan. The Mortgage Banker is the lender at close of escrow and has complete control of the transaction. In summary, Mortgage Bankers like CFS Mortgage Corporation provide the opportunity for borrower's to take advantage of multiple investors just like a Mortgage Broker but through a much simpler and cost effective approach. Call your CFS Mortgage Corporation loan officer to discuss in greater detail! From the start, we take the mystery out of the mortgage process. The tools provided through this Website such as Calculators & Tools, Loan Programs, Application Forms and Apply Online greatly simplify the process. Or, if you prefer, you can contact us at info@CFSMortgageCorporation.com or 602-241-9875.

ANNOUNCING THE 10 DAY CLOSE GUARANTEE

CFS Mortgage (CFS Mortgage Corp.) — Thu, 09 Jun 2011 09:32:42 -0700

CFS Mortgage is pleased to announce a 10 Business Day Close Guarantee. CFS is a full service mortgage bank with delegated authority for all conforming conventional and FHA loan programs. We originate, process, underwrite and close. We control the decision and the timing on every transaction. If CFS does not provide loan documents to the title company within 10 business days of receiving a completed purchase loan application, the buyer will be credited $100 per day up to $1000 for every day that loan documents are not delivered. At CFS, our goal is to ensure your transaction is smooth, seamless and without interruption. Take the stress out of your new home purchase. Contact your CFS Mortgage Corporation loan officer today. Call today 1-800-494-2371 or email info@cfs-mortgage.com

Phoenix Real Estate Inventories Good Sign for Market

CFS Mortgage (CFS Mortgage Corp.) — Thu, 09 Jun 2011 09:01:37 -0700

Suffice it to say, I am extremely bullish about our market right now. Inventory levels are dropping fast and there is a good chance we'll have under 20k homes listed for sale by August. Pricing is at or near bottom. Net migration levels are still strong and according to a recent statistic, Phoenix is still the leader in terms of net annual population migration. Home builders are not building. At some point demand is going to outpace supply and we're going to run out of homes at the bottom end of the market. The downward total inventory trend line, started from a high in November of 45,353, continues in May to 31,661, 8.3% lower than April and the lowest figure in the past 24 months. It represents a 23.4% year over year decline from the May 2010 figure of 41,317. Total inventory represents the supply side of the market balance and continuing declines are a welcome sign. - ARMLS It used to be that Phoenix was a great market because of the weather, housing affordability, and the job market. Well, the weather is still awesome, housing is still very affordable, and job growth is on the horizon even though the increases are small. In fact, in the near term, we might even see an increase in unemployment at the same time home prices go up. The economists will have a ball with that one. Bottom line.....all of this stuff will converge and home prices will go up. I bet we are going to see a nice little run through year end and into 2012. Whether that run is sustainable will depend on a lot of stuff we cannot control (interest rates, rules changes, etc) but one thing we can control is our effort. If we are relentless every day in our pursuit of new realtors, talk often about renovation ready, and promote CFS as the champion of the first time home buyer, I have no doubt that working at CFS has never been more promising. Drew Buccino President - CFS Mortgage p.s. Long term population growth forecasts for Phoenix is still #1 nationally. The grass is greener in our business!