Mortgage Update

Refinances and purchases are really picking up the market this week. With these low rates there’s no telling how busy you’re going to be!

Mortgage Update
· Check out my jumbo rates!!!
· Check out my 5 Year Fixed $$$$$ as well.
· Get your buyers off the fence with today’s Low Rates.

QUICK TIP 1: VA loans allow up to 4% towards sellers paid closing costs while FHA allows up to 6%!!

QUICK TIP 2: USDA loans allow for the buyer to finance closing costs and repairs if the appraised value comes in higher than the purchase price. You can use up to the appraised value.

These three programs will help you get more buyers!!

Conforming & FHA Loan limits have been increased to 500K

Market Update:
Rates continue to be volatile, but are still at historically low levels.
Check out my 4.125% – 5 year Fixed money – LOW!! The rate sheet is attached.

Conforming & FHA Loan limits have been increased to 500K for the rest of 2009. The bad news is that these agency jumbo loans are not yet available in the market place. So we don’t know the pricing or stipulations yet, but I will update you with more as it unravels.

FHA & VA has also just raised its minimum fico score requirement to 620, yes that’s correct. Any loan’s currently in the system must be approved soon, to be grandfathered in.

***If I have given you a pre-qualification please get with me to verify FICO scores.***
If you have a loan in process and the interest rate was not been locked, they will need to be locked by March 7th to be eligible.
Please let your friends and clients know!

Homestyle Loans- Rehab for Investment Homes

Please see the update below. There are some great programs for loan right now. I’d like to point out the Conventional – NOT FHA- Homestyle Loans. These loans are REHAB loans for Primary residences, Second Homes AND Investment properties! Call me for more information at 760-837-1488!! Talk soon! Homestyle Loan,

· FHA’s minimum down payment is being increased from 3% to 3.5% as of Jan 1, 2009. The only way to honor the 3% down payment option for your client, is to get their loan approved before the end of the year. So, if you don’t already have an approved offer and a loan submitted, then you should be notifying your clients about the change.

· FHA’s new Loan Limit for Riverside County is $355,350, not $500,000. This is also in effect on January 1, 2009, and under the same scenario as above.

· Conventional Loan limits have also been reduced back to $417,000, not $500,000 anymore. Any loan amount above 417K, is going to be considered a jumbo mortgage.

· Reverse Mortgages are going to be a great mortgage tool moving forward to help seniors over the age of 62 purchase a new home, with no income or credit qualification required. Yes, you heard that here first.

· Rates are great today, why not help you and your past clients out by sending them to us to do a cash out refinance on their primary residence at 5%, so they can get the down payment needed to buy a investment property from you today.

· USDA & VA Loan’s – both offer your clients 100% financing as long as they qualify for the program.

· 203(k) FHA remodel home loan – This program will allow your clients to include in the loan the cost of improvements the home will need to make it complete. This program requires only 3.5% down, and works on owner occupied properties only. Max loan $355,350.

· Fannie/Freddie’s Homestyle Loans – this program works very similar to the above program, which allows you to include the cost of the home improvements in the loan, except that it works for all occupancy types. Primary, Second Homes, and Inv. Properties. Loan amount goes to $417,000, and down payments vary based on occupancy.

Agency Jumbo Loans

Mortgage bonds went on a rally as I predicted this week and mortgage pricing improved by about .25%. Take a bond at the candlestick bond chart below. On Tuesday, we will remember all the Veterans how have fought and are fighting for our liberties and freedoms.

**If you have a client looking to get a loan amount between $417,000 and $500,000 have them get locked in before this Friday!**

There are not too many reports this week that will impact financial news so mortgage pricing will most likely take direct from the stock market.

Attached is a free appraisal for any new clients you refer to me after 11/09/08. I am NEVER too busy for your referrals and I appreciate your business.