products: Buyer used his pay to purchase a home! Check out this success story! - 12/14/15 12:33 AM
Check out this success story!  A little known tip which licensed Real Estate Agents can take advantage of is using their commission as down payment for the purchase of their own home.We just had a closing on new construction for a buyer using near the loan size limit for an FHA loan (County limit is $271,050) and his real estate commission from the sale was used as his down payment.  Usually lenders are required to prove down payment in the buyer’s bank account during the underwriting stage of the file but these commission funds are not even available until the purchase has closed, funded, and recorded.  So this … (4 comments)

products: Unbelievable VA Success Story for an Active Duty, 1st Time Home Buyer! - 12/08/15 10:40 PM
Under 640 score, over 55% debt ratio, VA home loan purchase that needs to close in 33 days?  No way?  Yes, Way!! So often there are times when someone has some hurdles to overcome when purchasing a home and our team is one that will figure out a way to make the loan work if it can be.  We were just recently faced with the following scenario:
620 credit score 57% debt ratio No money down Active duty service member First time buyer Need to close in 33 days The buyer provided us with everything requested up-front which allowed us to obtain … (0 comments)

products: Credit Tricks for Buying a Home! - 12/07/15 02:40 AM
Do you have limited, but good credit and want to buy a home with little to no money down?Our USDA guaranteed loan guidelines will allow for us to add nontraditional credit to a thin credit file in order to get approval for the buyer.
Check out these 2 USDA loan approvals for very limited, but good credit buyers that needed 100% financing.  Here are two scenarios below in which we were able to help:Buyer # 1:
First time buyer with very limited credit experience Only one trade line (a student loan) reporting on credit Rent paid on time for over a year Car insurance … (0 comments)

products: Using a Pastor's Housing Allowance to Qualify for a Mortgage Loan - 10/21/15 02:45 AM
Does anyone understand how to count Pastoral Housing Allowance Income in order to obtain a mortgage loan to purchase a home in NC, SC, VA, or GA?You are going to say “Amen, it’s about time someone understands my income!” because we do understand pastor, priest, or reverend income and it is a little understood income among mortgage lenders.
Here is the definition of Pastoral Housing Allowance and other income plus how we can approve VA, FHA, USDA, and conventional mortgage loans with itThe IRS looks at the housing allowance portion of a pastor’s income as an exclusion from income. Therefore the housing allowance is not reported … (0 comments)

products: Check Out These 3 Real VA Home Loan Purchase Success Stories! - 10/09/15 06:57 AM
Often you hear many complaining about no one can get a loan, guidelines are too strict, & lenders won’t go the extra mile.  So that is why we LOVE sharing our buyers’ success stories.  Check out these 3 VA Home Loan Successes!
Contrary to belief, VA will allow excess acreage on appraisals:Most think that VA loans will only allow a property to have 5 acres.  Not so as long as there are sales to support the acreage!  For instance, we just received an appraisal on a property that had over 19 acres and a modular home from a VA appraiser and was approved … (0 comments)

products: Fayetteville, NC realtors, sign up for "Financing Dreams Class" for CE - 10/07/15 12:41 AM
Realtors local to Fayetteville can complete 4 hours of Continuing Education on November 12th, 2015 which will be offered by Team Move OVM and NC Housing Finance Agency.Sign Up Here Products explained in the class will include: 15,000 Special Down Payment Assistance Product Available to Cumberland County! MCC Tax Credits up to $2000 per year for qualifying first time home buyers. Click here to see the Household Income Limits for the MCC Tax Credit Down Payment Assistance programs for first time and move up buyers Details of the 4 hour “Financing Dreams Class” class which could be used as 4 hours of … (0 comments)

products: FHA changes many guidelines as of 9/14/15 that can hurt or help buyers - 09/24/15 12:17 AM
Below are the FHA guideline changes effective for FHA case file numbers assigned on or after September 14, 2015.
 
Below are the topics and the new guideline language which replaces the prior rules often because the prior rules were not specific enough.
Assets:  This section applies to anything pertaining to documenting assets on an FHA loanGift funds – documenting transfer:Requires donor’s bank statement, showing withdrawal of funds.
Earnest Money:Document source of funds if amount exceeds 1% of sales price, or appears excessive based on borrower’s savings history.
Large Deposit Definition:For recently opened accounts and recent individual deposits of more than 1 percent of the Adjusted Value (lesser of purchase price minus inducements or the … (2 comments)

products: Do you have a game plan to navigate recent FHA changes? - 09/16/15 02:54 AM
FHA is changing a lot of their guidelines so we will provide the game plan to navigate minor tweaks to big changes.
Below are answers to the some of the most common questions received about these FHA changes.Is a borrower eligible if they have a delinquent federal debt but have a clear CAIVRS?If a delinquent federal debt is reflected in a public record, credit report or equivalent, or CAIVRS or an equivalent system, the lender must verify the validity and delinquency status of the debt by contacting the creditor agency to whom the debt is owed. If the creditor agency confirms that the debt is valid and … (0 comments)

products: Construction Perm Loan Process from Loan Application to Moving In - 02/09/15 01:14 AM
A construction to perm loan for stick built and modular homes has a lot moving pieces just as building a house does and a popular question is "How does the construction perm loan process work?". 
Construction to Permanent Loan Process
Complete loan application and pull credit Send you a detailed list of items needed to process your mortgage (tips for providing complete documentation) Send the required documentation to us including income, assets, and construction specific items such as: Copy of the deed to the property Signed contract with the builder Mortgage information for the land loan that will be paid off (if applicable) Provide us … (0 comments)

products: USDA Rural Development Mortgage Loan Pilot - Streamline Refi Available - 01/25/15 10:51 PM
USDA has a little known, special refinance product called the USDA Pilot Refinance Program which is for borrowers that currently have a USDA guaranteed loan and are looking to lower their rate and payment through a refinance even with equity not required. This USDA program allows for a borrower to refinance without an appraisal through a streamline process for a lower monthly payment. Besides not requiring an appraisal on the Pilot Program, another strength is that the closing costs can be included in the new loan so that the borrower brings little or no money to closing. Our team is very … (0 comments)

products: FHA reduces the monthly MIP by over 1/3 effective 1/26/15! - 01/15/15 12:05 AM
FHA has just made financing the purchase or refinancing of a home cheaper by lowering the amount of monthly payment of mortgage insurance premium by over 1/3!  The latest announcement by HUD states that the monthly mortgage insurance premium on mortgage terms over 15 years will be reduced by .50. So in English, what does this mean to you as a potential 1st time buyer,repeat buyer, or homeowner looking to refinance?  Lower monthly payments!!!
Historically, FHA has been a program that has more relaxed credit guidelines but recently buyers had to pay a premium to get the loan.  Well this reduction will allow … (1 comments)

products: 2015 FHA loan size limits per County or area in NC - 01/12/15 10:34 PM
The Federal Housing Administration or FHA, has announced the loan size limits for 2015 for all areas of each state in the U.S. Most areas stayed the same but there are some changes so make sure that you check these limits when considering an FHA loan. The limits for most counties in NC are the following loan size limits:
One-Family Homes = $271,050
Two -Family Homes = $347,000
Three-Family Homes = $419,425
Four-Family Homes = $521,250
Counties/Areas that have higher loan limits in North Carolina for 2015 are as follows:
Elizabeth City, NC        $625,500      $800,775       $967,950       $1,202,925
    Camden Co., Pasquotank … (0 comments)

products: We have 3 mortgage loan options for 97% financing for 1st time buyers! - 01/04/15 10:04 PM
For first time home buyers, we offer three Fannie Mae programs with a LTV up to 97% for credit worthy borrowers for certain principal residence transactions. One little known low down payment option we offer is the MyCommunityMortgage or MCM. MyCommunityMortgage (MCM) is an option for purchase transactions if at least one borrower on the loan is a first-time home buyer and pre-purchase home-buyer education and counseling is completed.
Some of the guidelines for these are as follows:
Minimum 640 middle credit score, or lower of 2 if only 2 scores
The credit score must be based on a traditional credit … (0 comments)

products: FHA guidelines for short sales on a previous residence - 11/04/14 02:47 AM
What are the guidelines for borrowers with a short sale on a previous principal residence?
When a previously owned property was sold for less than what was owed (short sale), borrowers are considered eligible for an FHA insured mortgage if, as of the loan application date, all mortgage and installment debt payments were made within the month due for the twelve months preceding the short sale.  Most lenders require the borrowers to be past due before considering a short sale but if the borrower is able to short sale their home without any late payments, then FHA may be an option … (0 comments)

products: What's Your Mortgage Rates? - 10/17/14 02:19 AM
Keep in mind that there is not just one or two rates for all scenarios so when someone asks “what’s your 30 year fixed rate?”, there is no all-encompassing rate. Here are some of the criteria for quoting rates that we need to review for an accurate quote on program, rate, terms, etc:
1. Loan Size
2. LTV
3. CLTV
4. Credit Score
5. Credit History
6. Escrow Preference
7. Closing Date
8. Loan Type
9. Property Type
10. Occupancy Type
11. Residency
12. Available Assets
13. Asset Seasoning
14. Co-borrowers
15. Debt Ratio
16. Housing Ratio
17. Improvements Needed
18. … (0 comments)

products: No credit scores, 1 credit score, or limited credit? USDA Mortgage? - 10/10/14 02:55 AM
We just recently closed a USDA loan for a buyer that only had one credit trade line reporting on the credit report. The buyer had 3 credit scores with a middle of over 660 and no bad credit. We were able to receive an automated pre-approval through USDA's system called GUS and we have investors that will allow this limited credit. The buyer closed with zero money out of pocket in the end with a USDA loan and an MCC tax credit to save money on their tax returns each year. Learn more about the MCC tax credit here.
An important … (0 comments)

 
Russell Smith, Loan Officer Communication & Execution You Deserve (Blue Ridge Bank Mortgage) Rainmaker large

Russell Smith

Loan Officer Communication & Execution You Deserve

Wilmington, NC

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Blue Ridge Bank Mortgage

Address: 6303 Oleander Drive, Suite B-103, Wilmington, NC, 28405

Office: (910) 352-6344

Mobile: (910) 352-6344

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The goal of my blog is to give you real world mortgage solutions to actual mortgage scenarios I see everyday.


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