Michigan Mortgage

GOOD ADVICE

Evan, Can you finance a buyer who has only been out of a short sale for 2 years? Purchase price is $172,000 and 5% down. Clean credit except for short sale. Thanks! Jenna   Hi Jenna, My first assumption is that with the short sale there were also late payments on that mortgage. If so, [...]

Lemonade, Anyone?

Government looks to increase the FHA minimum down payment. Last month, on May 25th, in the House Financial Services committee meeting, the discussion resumed about increasing the minimum down payment requirement for FHA loans from 3.5% or $3500 on a $100,000 home to 5% or $5000 on a $100,000 home. This idea is gaining traction because FHA loan performance has [...]

It Takes a Village to Close a Loan

Are you still employed?

“The answer might be yes — but if we can’t prove it three days before closing, we’re not closing next Monday”. That’s what I had to tell a Michigan school teacher today when I learned that we were unable to reach any one in the HR office of her school district to verify her employment.

Successful Home Ownership III – When Does it Make Sense to Take the Plunge?

It’s easy to print the “regs” and find out from FHA or VA or Fannie Mae just what it takes for them to approve a loan for you. The rules and guidelines are very detailed but they’re understandable.

But did you know that I can approve a person whose gross (before taxes and all other withholdings) income is $60,000 per year for a $2500 house payment under the right list of conditions? That’s half the borrower’s income. The before tax income! In this case the person would have approximately $1200 left every month to pay all utilities, car insurance, life insurance, groceries, Christmas presents, etc. Not sure how this make sense, but FHA will do it – and with only 3.5% down.

Here are some helpful benchmarks to consider before trying to buy a home or make a move up into a more expensive home…

FHA Streamline Refinancing – Saves Many $100s!

FHA streamline refinances are easily done and right now (as of today’s date) fixed rates are available at 5% for a 30 year loan and 4.5% for a 15 year loan – possibly even better. Regardless of the interest rate the process for approval is a simple one requiring only the following data for a [...]

The loan we love today is spelled – F. H. A.

One of our favorite movies is “Dan in Real Life” The theme song in that movie is great its: “Let my Love Open the Door”

Today’s post is all about giving FHA the love it deserves.

So. . . let my LOAN open the door . . .

Despite the rise in FHA’s up front insurance cost to 2.25% of the loan amount – FHA loans continue to gain market share as the most popular loan for home buyers – and not just first timers either…

FHA Changes – Nothing Life Threatening

FHA is going through a major overhaul because they are not yet seeing improvement in the performance of their portfolio – including loans they accepted in the last two years! Follow the link below to read a few important updates from FHA…

Gains in Pending Home Sales, Other Markers Help Cut Housing Inventories

It’s now eight consecutive months that pending home sales have made gains nation-wide, the longest streak since we started measuring it in 2001. But as we’ve seen with just about every other positive economic indicator, just because the sun is shining in Texas, doesn’t mean it’s not raining here.