Archive for the ‘Market Update’ Category
Home Buyer Tips to Keep your Mortgage Loan on Track
October 15th, 2010
You and your devoted real estate agent have been shopping for a home for what seems like an eternity. You have finally gotten an offer accepted on your dream home and are in escrow. This is not the time to relax! Stay focused and make sure that your mortgage loan does not derail at the last minute.
Lenders are now initiating fraud-detection systems that will alert them if loan applicants make any changes to their credit profile that could impact their ability to make monthly mortgage payments. Follow these simple common-sense rules:
• Do not shop for, purchase, or lease a car
• Do not apply for or increase home equity or personal lines of credit
• Do not apply for, accept, or obtain any new credit cards
• Do not accept offers to increase revolving credit limits
• Do not transfer balances between credit cards
• Do not make any large purchases on existing cards
• Do not accept any deferred payment offers
• Do not cancel credit cards or initiate credit disputes
This advice once again comes from Brownie Stanisch, Prospect Mortgage.
Home Buyer Tips to Keep Your Mortgage Loan on Track
September 22nd, 2010
You and your devoted real estate agent have been shopping for a home for what seems like an eternity. You have finally gotten an offer accepted on your dream home and are in escrow. This is not the time to relax – stay focused and make sure that your mortgage loan does not derail at the last minute. Lenders are now initiating fraud-detection systems that will alert them if loan applicants make any changes to their credit profile that could impact their ability to make monthly mortgage payments. Follow these simple rules:
• Do not shop for, purchase, or lease a car
• Do not apply for or increase home equity or personal lines of credit
• Do not apply for, accept, or obtain any new credit cards
• Do not accept offers to increase revolving credit limits
• Do not transfer balances between credit cards
• Do not make any large purchases on existing cards
• Do not accept any deferred payment offers
• Do not cancel credit cards or initiate credit disputes
These words of wisdom come from my trusted mortgage advisor, Brownie Stanisch, at Prospect Mortgage.
Wall Street Journal: 10 Reasons to Buy a House
September 17th, 2010
This encouraging article appeared in the 9/16/2010 edition: 10 Reasons To Buy a Home – WSJ.com.”
Buying a Home or Condo with an FHA Loan?
September 10th, 2010
I have fielded a lot of questions about using FHA financing to buy a condo or town home. Here are several points to keep in mind.
1. Is the property a condo or town home? This may seem like a simple question, but actually, seeing is not always believing. In Thousand Oaks a number of neighborhoods, while appearing to be single-family homes, are deeded as condos, that is, they are zoned as condos on the county tax assessor’s record.
2. If the property is a condo, then ask, Is the complex approved by FHA? If the complex is already on the FHA-approved list, the escrow process can go fairly quickly and smoothly – a must if you are buying a short-sale or bank-owned property. For an FHA-approved complex, lenders only need to certify that the project remains in compliance with current FHA guidelines. This streamlined process involves a 1-page questionnaire completed by the property manager.
3. If the complex is not FHA-approved, you may still be able to use FHA financing for the purchase, provided you and your lender can get FHA approval during the escrow process. To obtain FHA approval on a complex that had not been reviewed, the lender must obtain significantly more documentation – including a complete set of homeowner governing and financial documents and title records of every unit in the complex. Collecting the required documents is a time-consuming process which necessarily translates into the need for a longer escrow (typically 45-60 days). It is important to plan for that when you make an offer. Most short-sale and bank-owned [properties will not allow the extra time needed.
4. Consider the monthly cost of homeowners’ dues when you are choosing a condo or town home. These can be more than $400 a month – a fair chunk of your monthly payment. HOA monthly dues typically pay for fire/hazard insurance, earthquake insurance, property management fees, and such services as housekeeping, gardening, pool service, plumbing, roof repairs and general building upkeep – all things you would be paying out-of-pocket as a homeowner. However, some complexes have been able to hold costs down for various reasons, while others have seen their monthly dues go up substantially.
5. Give careful consideration to your choice of lender for your FHA financing. Direct-endorsement lenders have contracts with FHA, allowing them to approve and fund the loans directly; generally, these lenders also have the authority to approve condominium projects. If your lender is not a direct-endorsement lender, your loan will be brokered to a third-party for approval and funding. This process will take longer and will be subject to more restrictive guidelines.
For more information, including the latest list of FHA-approved condo complexes, visit the FHA website, or call Brownie Stanisch at 818.681-2401, Prospect Mortgage, your direct-endorsement FHA lender.
By Debbie Gleason, Manstreet Mortgage
Mortgage interest rates are the lowest we’ve seen in our lifetime! Combined with the lowest home prices in years, ownership is more affordable than ever. This is great news for both homebuyers and homowners who are in a postiion to refinance.
There are several great loan products available, and while qualifying is definitely requiring a lot of time and paperwork, for most people it is definitely worth it. I am locking 30 year fixed conforming loans (max $417,000) at 4.5-4.75% [apr 4.5-4.75%] with NO CLOSING COSTS………NONE; conforming jumbo loans (max $729,750) at 4.75-5% [apr 4.75-5%].
AND a few lenders are offering piggyback equity lines and fixed rate seconds again.
Many who think they cannot qualify, or do not have equity, are eligible for Fannie Mae and Freddie Mac refinance programs that allow as high as 125% loan to value. Those with FHA loans can get a streamline refinance which, in most cases, requires NO appraisal, income documentation, or asset documentation.
This is truly a great opportunity for homebuyers and home owners.
For more information, contact Debbie Gleason, DebbieG@MainstreetLoans.com (818.874.9900).
Trulia: Five Short-Sale Myths – Busted
July 15th, 2010
Update on California First-Time Homebuyer Tax Credit
July 11th, 2010
There’s still a chance! The California Franchise Tax Board (FTB) has received first-time homebuyer applications for the CA tax credit totaling more than the $100 million allocated. Since many applications were found to be duplicates, revisions or invalid applications, the FTB has announced that it will accept at least 28,000 applications to insure the allocation is exhausted. New applications will be processed subject to the availability of remaining tax credits, as the allocation still cannot exceed $100 million. As of July 6 applications totaled 23,680 and were averaging 3,000 per week. FTB will update website FTB.CA.gov daily.
Great News on the Federal Homebuyer Tax Credit
July 1st, 2010
Congress has passed a bill extending the Homebuyer Tax Credit closing deadline to September 30, 2010. The extension applies only to transactions that had ratified contracts in place as of April 30, 2010, and have not yet closed. There will be no gap between June 30 and the date the President signs the bill into law.
Additionally, Congress has extended the National Flood Insurance Program (NFIP) through September 30th. The bill is retroactive and will cover the lapse period from June 1, 2010, to the date the law is enacted.
Thousands of REALTORS® wrote letters and e-mails to Congress in support of both bills, heeding a Call to Action from the National Association of REALTORS®.
What’s Going on in the Market?
June 27th, 2010
• Federal Homebuyer Tax Credit extension is not final. he Senate’s amendment to extend the closing deadline from June 30 to Sept 30 has not been approved by the House. No discussion in the House has taken place and no vote is currently scheduled.
• CA State FTHB Tax Credit will be fully allocated by next week. As of June 22 applications totaled $91,404,000. The state will stop accepting applications at $100,000,000.
• CA Housing Finance Agency allocated $699.6 million from federal TARP “Hardest Hit Fund” to implement a plan that includes earned principal forgiveness, funds to address loan arrearages, mortgage payment subsidies to unemployed families and funds to help families find housing after short-sales. CalHFA expects programs to be fully implemented by fall.
This information was provided by Brownie Stanisch, of Prospect Mortgage (bronwyn.stanisch@prospectmtg.com.)
Posted in Market Update | 
Tags: CA State Homebuyer Tax Credit, energy tax credit, Federal Homebuyer Tax Credit, TARP | 
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Mortgage Update
May 25th, 2010
The 2010 California tax credit for first-time homebuyers (FTHB) that began with escrows closing on or after May 1, 2010, has already allocated $25,473,000 of the $100 million allotment. The FTHB tax credit is equal to the lesser of 5% of the purchase price or $10,000 and must be applied in equal amounts over 3 tax years (max $3,333 per year).
To qualify, (1) buyers cannot have owned a principal residence in the last 3 years; a married couple is disqualified if either has owned a principal residence within the 3-year period, (2) buyers must be over 18 and not related to the seller, (3) buyers must reside in the property for at least 2 years following the purchase. There are no income limits or purchase price limits. To apply for the tax credit a 2010 Application form 3549-A (see attachment to this email) must be completed by seller (or escrow) and buyer. Signed application, along with a copy of the final settlement statement (buyer’s HUD1), must be faxed to FTB within 14 days of closing (one minute late and you are disqualified).
For more info visit CA FTB website 2010 CA Tax Credit for New Home / First-Time Buyer. My thanks once again to Brownie Stanisch, of Prospect Mortgage, for providing this information.
