mortgage: Ten Commandments of Real Estate Loan Applications - 09/29/11 05:16 AM
1.     Thou shalt not change jobs, become self-employed or quit your job.
2.     Thou shalt not buy a car, truck or van (or you may be living in it)!
3.     Thou shalt not use charge cards excessively or let your accounts fall behind.
4.     Thou shalt not spend money you have set aside for closing.
5.     Thou shalt not omit debts or liabilities from your loan application.
6.     Thou shalt not buy furniture.
7.     Thou shalt not originate any inquiries into your credit.
8.     Thou shalt not make large deposits without first checking with your loan officer.
9.     Thou shalt not … (1 comments)

mortgage: A Guide to the Home-Buying Process - 09/19/11 05:44 AM
Purchasing a home is a very important decision and a big undertaking in your life.  In fact, most people only choose a few homes in their lifetime.  You should be well equipped and armed with up-to-date information for your big decision.  I am even prepared to guide you through every phase of the home-buying process.  This packet gives you helpful information during and after your transaction.  Use its reference pages, note pages and agency explanations, as an invaluable guide on your home-buying journey.
 
And this is just the start of what you’ll find at www.Chicagoland2to4Flats.info!!!
… (1 comments)

mortgage: Property Analysis Worksheet - 05/06/11 01:50 PM
With 2- to 4-flats, cheap properties don't always perform worse than expensive ones (or better, for that matter). Instead, some less expensive properties perform well, but not all; some expensive properties sparkle, but others don't. In short, in this market you can't easily correlate price and value.
Check out Chicagoland2to4Flats.info Tools/Resources and you will see how Property Analysis Worksheet can help you in this regard. It will let you quickly compare listings to see the kind of value they offer.
But before you start working with the worksheet, we encourage you to click on each of these two hyperlinks: Worksheet Instructions … (3 comments)

mortgage: Mortgage 101: NON-Owner Occupied Financing - 05/03/11 04:06 PM
This blog post is #9 in a series we call "Mortgage 101." To see the whole Mortgage 101 document, click on this link:
Mortgage 101
 
Here is a link that will take you to the Tools / Resources page of the Chicagoland2to4Flats.info website-where you can see and print:
Current Loan Matrix
 
And this is just the start of what you'll find at www.Chicagoland2to4Flats.info!!!
… (0 comments)

mortgage: Mortgage 101: Owner Occupied Financing - 05/02/11 07:47 AM
This blog post is #8 in a series we call "Mortgage 101." To see the whole Mortgage 101 document, click on this link:
Mortgage 101
 
Here is a link that will take you to the Tools / Resources page of the Chicagoland2to4Flats.info website-where you can see and print:
Current Loan Matrix
And this is just the start of what you'll find at www.Chicagoland2to4Flats.info!!!
… (0 comments)

mortgage: Mortgage 101: Our Lending Partner - 04/29/11 02:55 PM
This blog post is #7 in a series we call "Mortgage 101." To see the whole Mortgage 101 document, click on this link:
Mortgage 101
Remember that, especially in this market, all that glitters is not gold! Few mortgage brokers are true experts in this market-and the initial low rate many quote may turn out to be something that you won't be able, in reality, to qualify for. Instead, we recommend you explore your options with an expert.

Guaranteed Rate, the Midwest's largest independent residential mortgage lender, is the lending partner of Chicagoland2to4Flats.info-with expertise in the 2- to 4-flat … (0 comments)

mortgage: Mortgage 101: Types of Loans - 04/27/11 07:37 AM
This blog post is #6 in a series we call "Mortgage 101." To see the whole Mortgage 101 document, click on this link:
Mortgage 101
Types of Loans:
Conforming. Unless theirs is a jumbo purchase, people with at least 5% down and good credit typically apply for what is called a ‘conforming' loan (it conforms to Fannie May / Freddie Mac standards). FHA. ‘Modernized FHA' is the replacement for subprime loans-and, by all counts, a big improvement.  Anyone who doesn't qualify for a ‘conforming' loan will want to investigate this. Jumbo. For loans too large to meet ‘conforming' guidelines, lenders have … (0 comments)

mortgage: Mortgage 101: Types of Lenders - 04/26/11 05:08 PM
This blog post is #5 in a series we call "Mortgage 101." To see the whole Mortgage 101 document, click on this link:
Mortgage 101
It's important to explore all your options with a good lender. The key question no longer is "What's your rate?"-now it's "What the best fit for me?" You don't want a risky loan, and you will need a SOLID pre-approval so that you won't get any nasty surprises later.
Mortgage BANKERS are, we think, the single most important resource to be aware of. They are like mortgage brokers in that they work with many individual banks, … (0 comments)

mortgage: Mortgage 101: FHA Financing - 04/22/11 02:34 PM
This blog post is #4 in a series we call "Mortgage 101." To see the whole Mortgage 101 document, click on this link:
Mortgage 101
FHA financing requires just 3% down, but can be hard to get everything (including the appraisal) approved.
 

Here is a link that will take you to the Tools / Resources page of the Chicagoland2to4Flats.info website-where you can see and print:
Current Loan Matrix
 And this is just the start of what you'll find at www.Chicagoland2to4Flats.info!!!
… (0 comments)

mortgage: Mortgage 101: Earnest Money and Closing Costs - 04/19/11 09:58 AM
This blog post is #3 in a series we call "Mortgage 101." To see the whole Mortgage 101 document, click on this link:
Mortgage 101
Closing Costs / Earnest money
•·         Earnest Money. $1,000 typically goes with the opening offer. An increase to 2% is typically the minimum sellers will accept, 3% is normal, and it may be as high as 5%. Whatever it is, it will count toward your down payment and closing costs.
•·         Closing Costs. In Cook County, a buyer's closing costs are typically just under 2%.
•·         Seller Assistance on Down Payment. Here you roll the closing … (0 comments)

mortgage: Mortgage 101: Down Payment - 04/15/11 03:52 PM
This blog post is #2 in a series we call "Mortgage 101." To see the whole Mortgage 101 document, click on this link:
Mortgage 101
Down Payment
If you can put 20-25% down, there may be very favorable rates available (but not many people can handle that large an amount). Especially if you are buying a 2-flat, you will find several options:
20-25% down:With 20-25% down, there's no PMI, but this is NOT an option many first-time buyers have the resources for! 80 / 10 / 10:Here your cash down payment is 10%, and you avoid PMI by taking out a … (0 comments)

mortgage: Mortgage 101: Pre-Approval - 04/14/11 06:09 AM
This blog post is #1 in a series we call "Mortgage 101." To see the whole Mortgage 101 document, click on this link:
Mortgage 101
Financing a multi-unit is now almost an ‘art.' Credit score (your ‘FICO') as well as your intent to occupy will influence rates a lot, but it may not be necessary to have a big down payment to get a reasonable rate, especially if you have ‘fully documented' (as opposed to ‘stated') income. In general it's easier to get ‘owner-occupied' than ‘non-owner occupied.'
Finally, remember that, especially in this market, all that glitters is not gold! Few … (2 comments)

mortgage: From Offer to Contract to Close – Step 5: Lender and Attorneys Prepare for Close - 11/26/10 09:08 AM
Step 5: The lender and attorneys get things ready to close.
From your perspective, things may seem quiet, but a lot's happening for the lender and attorneys:
•1.   Closing costs / Good Faith Estimate: Your final closing statement of costs may not be known until the day of closing!!! And that's because the lender, the title company, and the seller's attorney all contribute information. Federal law requires your lender to give you a good faith estimate, but you can't hold them accountable for any of the numbers other than their own. And the seller's and Title Co. numbers are not typically … (0 comments)

mortgage: From Offer to Contract to Close – Step 4: We Complete the Purchase - 11/23/10 09:51 AM
Step 4: Now that a deal has been made, you engage the resources you need to complete the purchase.  Week one of the contract is the most critical of all.
There are MANY things you must deal with in Week One:
•1.     Loan Application: Day ONE, call your lender to activate your application and order an appraisal. The lender we most love to recommend to clients is Guaranteed Rate (Brian Weis is our contact-his office number is  773-290-0591 ; his fax is 773-516-6732).
•2.     Attorney Review: You must also immediately engage an attorney. Attorneys to consider include:
•·         Deanna Ryan (office:773-687-9064)
… (0 comments)

mortgage: From Offer to Contract to Close – Step 3: We Negotiate an Agreement - 11/19/10 10:09 AM
Step 3: As your agent, I will negotiate an agreement on all issues of price and terms...and I promise to be a ferocious negotiator on your behalf.
Some people think it is wrong to ever buy at less than a big discount. But that thinking can trip you up. HOT property, for instance, never sells at a huge discount. Here are some different examples:
•·      For new listings there is often a feeding frenzy week one. If it's hot, no smart seller will sign for less than list price until week 2.
•·      If there are no good comps AND the … (0 comments)

mortgage: From Offer to Contract to Close – Step 2: We write an offer - 11/16/10 07:03 AM
Step 2: We write an offer...   and then I present it on your behalf.
The offer we write up-and the negotiations I do for you-address the following areas:
a.   Conveyances: The top of the contract has room to check off appliances, etc-you can add to those items below.
b.   Price: The final price you negotiate can, subject to lender approval, include a credit from the seller for closing costs or repair. (Normally it's the former, rarely is it the latter.).
c.   Earnest money: $1,000.00 upfront with an increase to 2% - 5% is standard in most parts of the … (0 comments)

mortgage: From Offer to Contract to Close – Step 1: Determine Fair Market Value - 11/12/10 09:36 AM
Step 1: You and I work together to determine what we think the fair market value of the property is.
The first step is for us to make a guess how soon and at what price the property will sell. Sometimes, we will think it may sell soon for full or near full price, but not always. We'll study:
•1.  Similar, nearby, recent sales: The greater the number of good comp's, the more precisely fair market value can be determined. If there aren't many (or any) good comp's, price becomes more of a guess (not just for us, both for the … (1 comments)

mortgage: From Offer to Contract to Close – Introduction - 11/09/10 06:37 AM
Our goal here is to overview what happens from first contemplating an offer to the day of closing. You will see that this write-up is set up as a worksheet that you can fill in as we go.
Before we begin, we should point out that most real estate in Chicago is, we believe, is measured in brush strokes of $5,000 or more. What do we mean? Consider buying a property at 310,000 instead of 300,000 and selling it several years later for 500,000-is there really a difference? Or, to put it another way, it is almost always the quibbler who … (0 comments)

mortgage: The Ten Commandments of Real Estate Loan Applications - 10/26/10 02:08 PM
•1.     Thou shalt not change jobs, become self-employed or quit your job.
•2.     Thou shalt not buy a car, truck or van (or you may be living in it)!
•3.     Thou shalt not use charge cards excessively or let your accounts fall behind.
•4.     Thou shalt not spend money you have set aside for closing.
•5.     Thou shalt not omit debts or liabilities from your loan application.
•6.     Thou shalt not buy furniture.
•7.     Thou shalt not originate any inquiries into your credit.
•8.     Thou shalt not make large deposits without first checking with your loan officer.
•9.     Thou shalt not … (8 comments)

mortgage: The Home Buying Process – Pre-Qualification and Pre-Approval - 10/14/10 09:19 AM
In the Chicago area, it is customary for buyers to get a full pre-approval from a lender before they find the home they want to buy.  Why?
A seller may choose to make concessions only if they know that your financing is secured. You can select the best loan package without being under pressure. There are three key factors to consider: 
The down payment  Your ability to qualify for a mortgage The closing costs associated with your transaction. DOWN PAYMENT REQUIREMENTS:
Most loans today require a down payment of between 3.5% and 5.0% depending on the type and terms of the … (0 comments)