The news may be spreading that banks and mortgage companies are not lending money but that is not completely true. Yes, programs and guidelines have had a make over and there are more changes to come in 2009 but the changes are not going to stop buyer’s purchasing power. Let me explain.
Government Loans is the answer! Take a look. I have highlighted each program.
Reverse Mortgage - FHA product, Government Insured
Did you know Reverse Mortgages can be used to purchase owner occupied homes and condos? Are you or do you have any clients who are of 62 years of age and older who want to purchase a condo, down size their current home or relocate? This is the perfect program designed around their needs and future. They can use the proceeds from the sale of their home as their down payment and never have to worry about making a monthly mortgage payment again. The program uses the same calculation using their age and appraised value of the home to determine their down payment and principal limit. What a great way for you or for your client to start the golden years!
FHA 203(k) Streamline Rehabilitation Loan
Foreclosures are hot on the market right now. Problem has been how do you purchase and borrow the money to fix it up? FHA has the answer and we specialize in this product! Whether it is for you or you have a buyer who would love to purchase a home but doesn't like the carpet, wants new appliances or the home just needs some good old TLC? Well here is your solution….the new and improved 203(k) Streamline Rehab Loan. This program allows buyers to put as little as 3.5% down on a home and finance repairs, improvements and appliances up to $35,000.00 with one closing and streamline processing. No more adding on to the purchase price so the seller can give the buyer a carpet allowance or new furnace. As of today, this program can be used on manufactured homes (dbl wide - 1976 or newer) on property and permanently affixed. This is not the original FHA 203(K), this is the new FHA 203(k) Streamline loan.
FHA – Purchase or Refinance
FHA offers a 3.5% down payment requirement on purchases on 1-4 family homes, which can include earnest money, closing costs and pre-paid items. There are no longer specialized requirements for a FHA appraisal. FHA uses the same appraisal guidelines and forms as Conventional mortgages. Well, septic and termite inspections are not required unless the appraiser determines there is a need. The mortgage insurance is less expensive then the conventional loans which provides lower monthly housing payments and fixed rate mortgages with no pre-payment penalties!
RDA – 0% Down Payment
RDA is one of two 0% down payment programs we offer. No mortgage insurance is a benefit to this program. The appraisal no longer is required to have the additional inspections as long as the appraiser states it meets HUD guidelines. Low 30 year fixed interest rates. Closing costs can be financed into the loan or the seller can pay up to 6% of the purchase price towards them. No tricks, no recapture fees. This program does have income limits and location eligibility requirements.
VA Loans – 0% Down Payment, Purchase or Refinance
VA is the second 0% down payment program we have. VA has seen the need to help our veterans and has made changes to the program to assist more veterans. Hopefully soon they will all be home and when they do they will be ready to settle down and purchase their own homes.
All of the above programs offer a 30 year fixed rate mortgage with no pre-payment penalty. At Allied Home Mortgage Capital Corp., we specialize in Government Loans. We have free Pre-qualifications right over the phone and would be happy to discuss any of the above programs with you or your client.
About Me
- STEPHANIE OVERHOLT
- Ludington, Michigan
- I have been in the mortgage business for 13 years specializing in government loan products which gives my clients safe, insured products with market edge interest rates, no to low down payments, no to low closing costs, on 30yr. fixed rate mortgages with out any pre-payment penalties. Working for Allied Home Mortgage Capital Corporation has been very rewarding. It has provided all the education, training, seminars and tools to be the best Loan Officer I can be and provide highly knowledgable, superior service. I have received certifications from direct training in numerous states and conventions for FHA, VA, RDA and Reverse Mortgages. I hold seminars at the local community college on Reverse Mortgages, First Time Homebuyers and Credit Scores. I am proud to be a Loan Officer and to assist fellow members of my community purchase or refinance the home of their dreams. My philosophy is, I would not sell a loan I would not take myself, to anyone. Thank you for reading about me and I hope to be able to assist you or someone you know with one of my great mortgage products!