FHA just came out with a new mortgagee letter describing the new changes on FHA loans regarding credit scores and LTV's (loan-to-value). Here are the changes : New updates for FHA Mortgages - Changes in LTV & credit scores - seller concessions?
Just the other day, I read this post,"Bending Over Backwards".. A simplified Version of the New FHA Credit Score Guidelines...by Karen Stone, that talked about these changes and laid out the credit score changes. It was this person's simplified version which was written by a realtor. It was well written and the outline was accurate, but (13 comments)
FHA credit scores have changed for the most part. I just had a client tell me the other day that her loan officer, who she knows and trusts, is trying really hard to make the loan work. Okay, so what are your credit scores? "512/530/548"... rut row. And they are trying what? Trying hard? At this moment, there are only a few investors that will go below 580. But from what I know, it's really tough under 580. Most lenders are at 620 or above. There are a few at 600 and just a few that (31 comments)
We have been in a doom and gloom housing market for the last 6 months to a year. Largely due to the part of the media and uneducated loan officers and realtors. Let me tell you something, there is still plenty of mortgage money to lend. The problem is that you have some lenders that don't know anything other than conventional mortgages. Or they aren't FHA approved to do FHA Loans. And not to knock realtors, but there are many realtors that have been in this business for 20 years or so, that keep relating to FHA mortgages of the (50 comments)
Jason Sardi gives some very insightful tips on how to view your credit and what to be aware of. The average consumer doesn't know most of this, let alone the average loan officer. Hence why I wanted to share with you in regards to what Jason wrote about. And speaking of credit..... here is something that I wrote about, that is more specific to FHA loans and credit for a FHA mortgage. FHA Credit & FHA Credit Scores -- Understanding how it all works... With what Jason wrote in regards to credit and the link that I supplied in regards to (7 comments)
FHA credit revised........Piecing together your credit can sometimes be confusing. That's why you should always seek a qualified loan officer that is a FHA Expert. In all honesty, credit is not as difficult as it may seem and FHA has made it easier for you to qualify for your dream home. There are just some important facts that the average consumer needs to know.
Several key facts : You don't need credit scores. No minimum credit scores. You need to pay attention to this part, because many lenders will advertise this. But they fail to tell you initially (13 comments)
As the credit crunch continues, I wanted to point out some key issues that I am seeing in todays market place that are misleading the average consumer. FHA mortgages..... (my advice, steer away from loan officers or lenders that advertise what I am about to talk about) There is no such thing as 100% financing for FHA mortgages. Yes, you can get 100% gift from family members, 6% seller concession, and even gifts from non-profit organizations. FHA has no credit scores. Yes, HUD states this in their mortgagee letter, but it's the investor that sets their own rules. Yes, I (9 comments)
Your credit could be the 'death' of you if not properly watched over. Better yet, if you don't understand how credit works and how it gets reported, this can sometimes hurt you even more. In Part 1 of your credit, Free Credit Report & Credit Repair companies -- BEWARE !!!!! -- Part 1, I stressed the importance of being sucked into such advertising as 'free credit reports'. You specifically need to understand what catches there are to when obtaining your 'free' credit report. You need to read the small print.
It sometimes doesn't matter how good of (10 comments)
(Please click onto the song below as you read this)
How many times do you here this is free or that is free? There is hardly anything ever free in life. Especially if it is mentioned on a tv commercial. Think about it, commercials cost money and they aren't cheap. One thing that has been a big seller in the last year on tv are companies advertising free credit reports. FREE, FREE, FREE. Sounds like music to ones ears, right?
STOP..... you need to read the fine print in regards to each commercial. One commercial in general (22 comments)
Piecing together your credit can sometimes be confusing. That's why you should always seek a qualified loan officer that is a FHA Expert. In all honesty, credit is not as difficult as it may seem and FHA has made it easier for you to qualify for your dream home. There are just some important facts that the average consumer needs to know. Several key facts : You don't need credit scores. No minimum credit scores. Non-traditional credit can be used. Very flexible on credit issues when it comes to collections, charge-offs, judgment, and even liens. What an underwriter looks for usually is (55 comments)
I just want to educate people about mortgages and the process.
In regards to lending, I am very creative, intuitive, honest, and one who communicates information, may it be good or bad. I am a loan officer that looks out for your best interest.