Did you know that PMI is DEDUCTIBLE this year???? Â If you want more information that will help you to buy your home, contact me. Â My team is incredible in their knowledge base!
You will need a mortgage pre approval unless you are an all cash buyer. Â So what will you need to get that pre approval?
- Copies of your 2011 & 2012 tax returns as wellas W2 or 1099s
- Copies of one month+ pays stubs
- Copies of driver's license and social security cards or driver's license and passport
- Copies of past 2 months bank statements showing funds to be used for purchase as well as a "cushion"
- Copy of divorce decree and property settlement agreement if applicable
- All contracts relating to the sale and purchase of real estate signed by all parties (later)
If you need the name of exceptional mortgage brokers, call me for recommendations. Â I work with a top team of specialists so that I get my clients to the closing table with smiles on their faces!
Some people think that just because they have a high credit score (according to Fair Isaac aka, FICO score) that they are home free to buy a home. Â Not true. Â Studies show that people with high credit scores are more likely to strategically default (walk away) from a home than those with lower scores but applicants with low scores are still considered a greater risk.
Did you know that the better your score, the lower your interest rate? A FICO score looks at a limited number of factors, payment history, amount owed, length of credit history, new credit, types of credit used. Â And yes, a credit check will temporarily lower a score, which is why it is important to cluster all of the same type in a two week window. Â Don't shop for a mortgage, car, and furniture at the same time and don't cancel cards you have paid off, holding those cards will actually improve your score.
There's great information at the Fair Isaac websiteÂ Â to learn more about your credit score, how it's calculated, and how to repair it. Â If you need assistance to repair your credit, I work with a phenomenal organization that can help. Â Give me a call and lets get you on the road to home ownership!
Most pundits are citing an upturn in activity and a decrease in inventory which will hopefully stabilize home sale prices. Â But what do the agents think of the market? Â Acccording to Realtor.com, most agents are not happy. Â The biggest complaints in the September drop in confidence were about banking conditions. Â There was dissatisfaction that banks were not lending, taking too long for approvals, requiring more paperwork and their credit standards were unrealistically high. Â Banks don't get to be the only villan in this report. Â Click the link to read more about Agent Confidence in the Housing Marke
Lawrence Yun, Chief Economist for NAR has gone on record as to encourage "sensible" lending policies which in turn would help our economy by an additional 500,000 to 700,000 home sales and 250,000 to 350,000 additional jobs in the coming year. Â He urged a loosening of banking restrictive policies. Â No one wants to go back to the situation that caused the debacle, but a moderation would be welcomed.
Those responding to a NAR survey in August resulted in statistics of 53% obtaining home loans if their FICO score was 740 or greater. Â This is a vast improvement from the 2001 to 2004 number of only 41% of home loans backed by Fannie Mae and 43% of loans by Freddie Mac were for buyers with credit scores of 740 or higher.
Although that may sound good, home sale volume is running at a below par level of 4.6 million homes when we should be seeing a level of 5 to 5.5 million. Â We obviously have a way to go to get there from here and a moderation of lending practices to "sensible" levels as Mr. Yun puts it, would be most welcome.
Many people I speak with would love to own their own home and start building equity but cannot because of their poor credit. Â If you think this is you, all is not lost! Â One of my "partners" works with a not-for-profit organization that will help you to raise your credit score
in a matter of months (Financial Education Services).
I encourage you to consult with Roger before you call me. Â He will let you know how he can best assist you and provide that critical mortgage pre-approval too. Â At that point, you and I are ready to find your new home!
I partner with people like Roger because buying a home is not "one-size-fits-all." Â If you don't see the resources you need on my website, please call me. Â Chances are, I can recommend the right person to help you!
Well, it's not a riddle like "When is a raven like a writing desk?" Â But the answer is, when it's a Legislative Bill that will help expedite the short sale process. Â Â Known as "The Fast Help for Homeowners Act," the bill was offered in Congress by U.S. Rep. Jerry McNerny (D-Calif.) and is strongly supported by the National Association of RealtorsÂ®.Â
It would speed up the process by requiring subordinate lienholders to review and respond within 45 days to short sale requests. Â It is acknowledged that primary lienholders need to be more responsive as well, however, many transactions move into foreclosure because the subsequent lienholders refused to negotiate. Â The irony is that when it does move to foreclosure, they typically get nothing at all.