Tag: FHA

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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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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Are Blacksburg Condos Certified by the FHA?

In an ongoing circus of head-scratching, it’s being reported across the state that many condo complexes are losing their Federal Housing Administration certification.  This, on top of the already difficult lending environment applied to condos. Which is important in Blacksburg because we have a lot of condominium complexes, and when a complex is certified it means the FHA will loans to buyers in that complex.  However, if a complex isn’t certified then it makes it difficult near impossible to get a mortgage loan in the conventional mortgage market. Essentially what happened was that condominiums have had some of the highest …

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Why Is It Harder To Sell A Blacksburg Condominium?

Recently, I was talking with someone regarding the oversupply of condominiums in the Blacksburg market, and I was asked what I thought it’d take for condos to begin selling again.  I tried to be as honest as possible in my answer, saying that two things needed to happen in order for the condo market in Blacksburg to begin picking up again: the economy needs to improve, and people will need to feel comfortable spending discretionary income on what is often second homes and/or investment properties.  In an uncertain economic climate, many folks with cash to spend are reluctant to do …

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More on Taylor, Bean & Whitaker

A couple of days ago, the news in the mortgage industry was the beat down Taylor, Bean & Whitaker was getting.  Since that post, I’ve contacted a few past clients and friends who have used TBW to secure their mortgages, and everyone wants to know … “What happens to my mortgage now?” First things first, you’ll still have to pay it. But more importantly, WHERE do you pay it? For the time being, keep making your payments direct to the same address you’d been making them to, and keep copies of those payments.  Eventually, you’ll be contacted and told where …

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Buyers – The First Time Buyer Credit Can Now Be A Downpayment

I’ve written a few times here on the blog now about the First Time Buyer Tax Credit, and one of the things that kept getting thrown about was whether the credit could be used as a downpayment. For the longest time, the answer was no, but recently that’s all changed – kind of. At the National Association of Home Builders Spring Board of Directors meeting (could they come up with a longer phrase?), HUD Secretary Shaun Donovan (he looks kind of mean, doesn’t he?) made the announcement that for buyers able to utilize the First Time Buyer Tax Credit, the …

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The Trouble With FHA Loans

A friend sent me the following email, and I had to post it.  According to Snopes.com it’s a recycled bit of fun, but nevertheless I thought it appropriate given the subject … and because I can see it happening.  Ah, bureaucracy … and lawyers. Part of rebuilding New Orleans caused residents often to be challenged with the task of tracing home titles back potentially hundreds of years. With a community rich with history stretching back over two centuries, houses have been passed along through generations of family, sometimes making it quite difficult to establish ownership and to even get loans …

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First-Time Buyer Credit Hits A Three-Letter Roadblock

I thought it was probably too good to be true. Wednesday, I wrote that there was talk going around the Interweb that FHA was going to allow the $8000 credit that applies to first-time home buyers to be used as a downpayment at closing, but that lenders were telling me they weren’t quite sure of that yet.  Thursday, the Office of Management and Budget confirmed they were putting the brakes on that for now. FHA loans are popular with buyers because they only require a downpayment of 3.5%, but right now FHA rules state that the money for a downpayment …

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