cash out refinance: Home Equity Line of Credit vs Home Equity Loan (Pros & Cons) - 02/02/19 05:02 PM
What is the difference between a Home Equity Line of Credit (HELOC) and a Home Equity Loan (HEL) and why does it matter? In short, both mortgage loan programs are designed to be Junior Liens (to go into 2nd Lien position behind a 1st mortgage).
 
Home Equity Line of Credit (HELOC) - is a revolving line of credit. Many refer to a HELOC as a credit card on steriods due to the fact that it acts in the same manner as a credit card, but with much higher credit limits and payments oftentimes.
Pros - flexibility, the feeling of having a "money … (3 comments)

cash out refinance: New Fannie Mae UW Guideline for Cash-Out Refinances! - 11/02/18 10:12 AM

 
UPDATE: Owner Occupied Cash Out Refinances with DTI above 45%
will now require 6 months Cash Reserves
 
As mortgage rates trickle higher, Fannie Mae has taken a step to tighten their Underwriting (UW) guidelines yet again.  The latest revision is focusing on Cash-Out (C/O) Refinances with high Debt-to-Income (DTI) ratios.
 
Specifically, Fannie Mae has added a requirement for the Borrower to have 6 months of cash reserves if their DTI is over 45%.  Cash reserve requirements focus the total housing payment (Principal + Interest, Property Taxes & Homeowners Insurance) and also include Mello Roos, Private Mortgage Insurance and/or Homeowners Association Dues (when applicable).
 
Let's … (1 comments)

 
Jason E. Gordon, Sr. Loan Officer, CMPS, CDLP, RCS-D, CDPE, CMHS (AmeriFirst Financial Inc, San Diego, CA) Rainmaker large

Jason E. Gordon

Sr. Loan Officer, CMPS, CDLP, RCS-D, CDPE, CMHS

San Diego, CA

More about me…

AmeriFirst Financial Inc, San Diego, CA

Address: 12544 High Bluff Drive, Ste. 100, San Diego, CA, 92130

Office: (858) 461-7007

Mobile: (619) 200-8031

Email Me

Author Bio: Jason Gordon is a Residential Mortgage Specialist in San Diego, CA. He combines ethics, education, and experience while helping Homebuyers and Homeowners to achieve their financial goals.View all AR Posts By Jason Gordon Blog Google+


Listings

Links

Archives

RSS 2.0 Feed for this blog