Category: Mortgages

A Government Shutdown and Your FHA, VA, or USDA Mortgage Loan

updated: seems there’s been a reversal on FHA mortgages, as first mentioned by Marianne Washington of Wells Fargo Home Mortgage. Certainly you’ve heard about this whole idea of a government shutdown. Regardless of your feelings on the issue, PLENTY of home borrowers and home sellers need to know what to expect moving forward. Several types of mortgage loans are backed by the United States Government, including FHA, VA, and USDA loans. If you are a borrower currently under contract on a property and have applied for financing under one of these mortgage programs, you are most certainly going to be …

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Understanding Mortgage Terms – Loan To Value (LTV)

ARM. Ratios. COFI. Underwriting. Conforming. Indexed Rate. Points. Origination. Adjusted Basis.  Get a mortgage these days and you’re bound to hear a lot of terms thrown around that just don’t make a lot of sense at first. Truth is, most agents probably don’t know what they mean, either. And one of the simplest, yet often misunderstood, terms is Loan To Value (LTV). Dan Green just wrote a good post breaking down LTV in plain english. From his post: Buying a Home which appraises for more than its Purchase Price House price: $100,000 Appraised value : $110,000 Downpayment: $20,000 Loan amount: $80,000 …

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How To Find The Best Mortgage

Interesting graphic from TheMortgageReports.com, and Dan Green. It takes a look at your downpayment amount, your loan size, and your credit score, and walks you through specific questions to help you determine the best program for you. Obviously an infographic can’t determine exactly what you need, but a good lender certainly can – so once you’ve walked through the information, contact Dan and let’s get started. Already pre-approved? Start your search for a new home here. Check local mortgage loan limits at The Mortgage Reports.

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What Is An Appraisal?

Ah, the appraisal. You’ve signed a contract with a seller, you’ve done the home inspection, things are sailing along, and then … whoops. The appraisal on that beautiful new home came in low. What exactly IS an appraisal? My friend Dan Green, head scribe of the best mortgage site on the planet, writes: By definition, appraising a home is the act of assigning monetary value to a property; determining its “fair market value”. For today’s home buyers, a home appraisal helps to determine whether you’re over-paying for a home relative to similar for-sale homes, or getting a “good price”. For …

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Home Modification Grants Available in the New River Valley

Home modification grants, designed to make “aging in place” easier than every before, are now available in the New River Valley. I’m told that Roanoke just had the same grant, and did $900000 (that’s HUNDRED THOUSAND) worth of work last year. Designed to be forgivable grants of up to $15000, they’ll help make homes in the NRV more accessible and/or energy-efficient. The only limiting qualification is an income requirement, which are listed below. There are other stipulations, found at this link, but everything is pretty typical for a program like this.   Essentially, eligible households can receive up to $12000, …

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Are USDA 100% Mortgage Loans Going Away In The New River Valley?

Loans for 100% financing in the New River Valley just might be going away. For a long time, Christiansburg and Radford were both eligible areas for the USDA 100% financing option, but that just might be changing in the next 48 hours. According to Brandon Nicely of NorthPoint Mortgage, Oct 1 2012 changes to the USDA financing approval process mean that loan approvals for 100% loans in Christiansburg and Radford might not be available after Thursday.  The process of approval is taking as much as 38 days, and the USDA loan program changes October 1st, so …. Thursday is our …

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Mortgage Terms Should Be Easy to Understand

This post was originally written April 13, 2011 … I’m a very visual person, so infographics really work work for me. If they work for you, too, here’s an interesting one that breaks down the terms of a mortgage. It’s certainly better than something like this.

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Getting a Mortgage in the New River Valley Without Pay Stubs

  You’ve been accepted to your new job at Virginia Tech, or at Radford University, and you want to buy a house, but you don’t have two pay stubs to show your lender that you really ARE gainfully employed! No problem.  This happens a lot in the New River Valley. From Dan Green’s blog: Get an Offer Letter To use “offer letter income”, all that an applicant must do is to meet these 5 criteria : Provide a non-contingent offer letter, signed by the applicant and the new employer Provide evidence that the job start date is within 90 days …

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The Paperwork You Need To Apply For a Mortgage

You’re getting a mortgage … what kind of paperwork do you need? The answer?  A lot.  But not as much as you might think, and it’s somewhat dependent upon (1) the lender you’re using, (2) the type of loan you’re getting, and (3) some unknown force of the universe. Getting a mortgage isn’t terribly hard, it’s just tedious.  So when you’re preparing to make a loan application with a lender, it’d be a good idea to have all documentation related to your income, your expenses, and your assets, at hand – ’cause they’ll want to see everything.  Have: at least …

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Want an FHA Mortgage? Get That Case Number Assigned by March 1st

HUD just announced that mortgage insurance on FHA loans will go up April 1 2012.  And there’s a good recap on Dan Green’s Mortgage Reports blog. Want an FHA mortgage?  Start by talking to Dan or Brandon. A Federal Housing Administration (FHA) loan is a loan that’s insured against default, meaning the FHA guarantees the loan will not be a loss for the lender should the borrower not pay … which is why there’s a fee for mortgage insurance.  The FHA charges this upfront fee – currently set at 1% of the loan amount – in addition to a monthly …

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