100% Financing... Is it still around in today's market?

2008-06-23T13:07:00Z

The answer is YES! But in a different light! FHA is the best financing around for first time home buyers and though who do not have money to buy a home, but have proof of income, decent credit and the patience to find a deal in today's market.

FHA financing allows up to 6% seller concessions at closing and 3%+ gift funds. That means it is possible to receive 9%+ towards the purchase of a home, even in this tough market! It is important to find both, a Realtor and a Mortgage Broker who understand this program to make it work for you.

The Real Estate Firm Inc. specializes in programs like this to make your dream of owning a home come true. Have questions... ask away or call us toll free 1-866-473-3476.

Scared about the loan part of buying a home?

2007-04-08T15:47:00Z

Everyone is a little nervous about applying for a loan the first time or even the 10th if they do not understand the steps involved or if they are not sure about their credit. Here are the basic steps needed to get that loan...

1) Get your documents & finances in order.

You should start with reviewing your credit report. Your credit report will be used by your prospective lender as a measure of how you manage your finances. Good credit gets you better rates and a stronger negotiating position for terms. Most people are surprised at their report’s contents because errors in reporting are common. Now is the time to clean them up.

Also provide the following:
Copy of two recent pay stubs the two most recent W2s
(If you are self employed, you need two years of tax returns and a YTD profit and loss statement)
Provide a copy of your current mortgage statement
Verification of any additional income
A copy of your homeowner’s insurance policy
A copy of your deed
Current loan provider
For a home equity loan, provide a copy of the note on your first mortgage.
Title information
Tax verification information
Previous property assessments, if applicable
If you own any rental property, provide copies of the rental agreements and two years of tax returns
Letter from employer stating date of hire, position, salary and year-to-date earnings
Current value of your house
Outstanding loan amounts
Three months bank statements for each bank, IRA/401K, stock and mutual fund account.
Co-borrower information
Provide a copy of divorce decree if applicable.
If you are not a US citizen, provide a copy of your green card (both sides)
If you are not a permanent resident provide a copy of your H1 or L1 visa.

2) Get pre-approved to determine how much you can borrow.

Once you get qualified you will have a good idea of how much you can afford. A pre-qualification gives you a no obligation quick and easy idea of what you can borrow. It is a helpful and painless first step. Pre-approval verifies your income, credit and debts. This involves more time and expense but is very useful when making an offer on a property. Sellers will obviously consider an offer more seriously that is pre-approved over one that is of unknown backing.

3) Work with a good mortgage broker to find the best mortgage for you. (Ask your REALTOR for a referral)

Your loan officer will help you find the mortgage that fits you best. There are a lot of factors to be considered. How long do you plan to keep the loan? Would a fixed or adjustable rate mortgage be best for you? How many points should you pay? What other costs are involved? When should lock in your rate? Based on your needs and situation, your loan officer will show you which mortgage products work best for you. During the whole process, we are there for you to answer your questions with our years of experience.

We will review your loan application and supporting materials with you to make sure that your loan package is correct and as strong as possible. Then we will shop your loan application package to several lenders to find you the best deal possible.

4) Close your loan and settle

As your closing date nears, your mortgage broker and real estate agent should check its progress on a daily basis, because staying on top of things means you’ll know immediately if there’s a problem that must be dealt with.

For your closing you should bring all of your documentation that you’ve used during the whole mortgage shopping process. At the closing itself, everyone involved in your transaction will be present (buyer, seller, closing agents and attorneys). You will sign the necessary legal documents, pay your closing costs and escrow items and receive your closing documents.

Now you receive your key, move in and celebrate!

The loan process is only scary when you do not understand it. Having an experienced REALTOR who knows this process and a good mortgage broker working hard to find the perfect loan for you will save you time and money in the long run.

Please feel free to ask any questions that you may have HERE and NOW... Your question(s) may help someone else reading this blogs as well.

What is my home worth?

2007-04-08T15:40:00Z

Thinking of selling or refinancing your home soon?
Find out your home's market value first!
It's quick, it's free, and it could save you thousands.

Simply reply with the property address you are looking for information on along with your email address. We will then email you a full report with your property's market value performed by one of our licensed real estate professionals.

Have a question about real estate? Go ahead and ask away...

2007-04-08T15:33:00Z

This blog is a great way to ask any question(s) you have regarding buying or selling real estate with no strings attached. Whether you are searching the web or a customer of ours, you questions and comments are welcome. Chances are someone else has the same questions and we are able to answer them here for you now...

Ask A Realtor

100% Financing... Is it still around in today's market?

Scared about the loan part of buying a home?

What is my home worth?

Have a question about real estate? Go ahead and ask away...