FHA commissioner David Stevens ANNOUNCES CREDIT POLICY CHANGES.
FHA will Require Appraiser Independence In Loan Origination as of Feburary 15,2010.
Ft. Lauderdale Mortgage Originators will not be able to order the appraisal on your home loans any more. FHA provides new guidelines on ordering appraisals for FHA-insured mortgages and reaffirms existing policy on FHA requirements regarding appraiser independence and geographic competence. Mortgage brokers and commission based lender staff are prohibited from ordering appraisals. FHA does not require the use of Appraisal Management Companies or other third party providers, but does require that lenders take responsibility to assure appraiser independence. While FHA’s existing policies regarding appraiser independence are consistent with the Home Valuation Code of Conduct (HVCC), FHA will adopt language from the Code to ensure full alignment of FHA and GSE standards.
Bottom Line is if you are trying to Finance or Refinance your Ft. Lauderdale Mortgage, make sure that you order your appraisal by or before the 15th or else you risk paying alot more. Feel free to comment or email me with any questions or concerns.
We added a great new partner here at Fort Lauderdale Loan FHA. He is the top Real Estate Agent in the Plantation area. He specializes in getting the hard deals done. A few weeks back, I met with him because we are always looking for A+ professional realtors.
I challenged him and he has surpassed his expectations and mine. He currently has over 58 Listings. 58 different families are currently trusting him to sell their properties. Would you? You wont know until you speak to him directly. Now I could post all 58 listings here or… you could just go this site to view them all. http://jose.valuedagent.com/
Either way he is great. Whether you are buying or selling in the Plantation area he is definitely on the short list of realtors that you can count on. Thanks for all your contributions Jose. Feel free to contact him at 954-668-7038.
Lets face it, no matter what we are shopping for these days, we are confronted by a lot of choices, whether it’s laundry detergent, plasma TVs or cars. If you are like me, when you start shopping for a big ticket item, you do some research before hand. Unfortunately, that doesn’t always make the choice easy. There is a lot of accurate and inaccurate information floating around on the Internet about Ft. Lauderdale Mortgages.
Information is power. Lenders have more information than borrowers, and this gives them a tactical advantage. For example in Ft. Lauderdale mortgage rates fluctuate on a daily basis sometimes as many as 10 times in the day. Will you as the borrower know when the rate changes? Not unless you know how to read candlestick charts and can track live mortgage bond trading all through out the day. Mortgage Bonds are sold on the bond market all day. Because the lenders can monitor the fluctuation in mortgage bond rates they can change the interest rate they charge you to match the market.
For example, you walk into a bank at 9am and make application for a new loan and get quoted a 6% rate. Then another customer walks into the bank and makes application at 10:30am and this person gets quoted a 5.5% rate. Both people are getting the same mortgage, have exactly the same credit scores, and have the same exact ability to pay back the loan. Think it cant happen? It happens more often than you want to know. Everyone that I ever speak with wants the best rate, what they fail to realize is that you can never get the best rate because it is a moving target.
Ft. Lauderdale mortgage lenders and banks know this, so you get quoted a price at the time you apply and if the rates get better your are not made aware. And if rates get worst, you will not get the rate that you were quoted and if they offer it to you, you will have to pay to get the rate. Bottom line guys, you have two options lock the rate at the time of application if you are happy with what you are being quoted and if you are really trying to get the best deal you need to work with a mortgage professional that tracks mortgage bond rates and gives you the heads up when rates are getting better or worse.
As you may or may not know I have been a resident of Fort Lauderdale for 7 plus years. In that time, I have noticed that many people and families come here from other parts of the country. For the people that like the weather, like the lifestyle and the fast pace they typically stay here. And for the rest of the people typically stay in South Florida temporarily.
Just yesterday I spoke to an old colleague that left Fort Lauderdale to go to Detroit Michigan. Thats right I said it DETROIT!! When I spoke to her she said that she found the man of her dreams and was going to marry him. Thats great for her buty she still traded Fort Lauderdale, FL for Detroit, MI.
I figured I could help everyone out that lives here. Your friends and family may need to move. Here is a new tool that I found that will help you find property in other states.
Just click on this link.To find Florida MLS Listings use eLookyLoo.com to search for your next home.
I have been very busy over the last two months and because of the increase in activity I have not written in a while. I promise to keep bringing you good information. I am also adding new tools, features, and listings to the site. I will be adding a mortgage loan calculator as well.
I can not take the credit on this one. This idea actually came to me from my wife. Brilliant, stared me right in the face and I never thought twice about it. Sometimes when you use a tool so often it can be easily over looked.
Anyways with out further adu, here it is. The Ft. Lauderdale Mortgage Loan Calculator.
It is very simple to use. First you put in the amount that you would like to mortgage so if you are buying a home $103, 627. Then your loan amount would be $100,000 if you choose a FHA mortgage because you can only finance 96.5% of your purchase price.
Second you are going to choose a Ft. Lauderdale Mortgage interest rate. You can use anything between 5% and 6%. This will give you a good idea of how much your new monthly payment will be.
Lastly, you need to put in the amortization period. This is the amount of time it will take you to pay back the entire loan. So if you would like to pay it back sooner, then you would choose a 15 year mortgage. Keep in mind that the longer it takes to pay back a mortgage loan, the higher the interest rate and the lower the payment. Your options are 15, 20 and 30 years. If you have any questions on how to use the Ft Lauderdale Mortgage Loan Calculator, please let us know by writting an email to info@fortlauderdaleloanfha.com. Have fun!
First I want to wish you a happy and safe memorial day. Take a look around you guys. If you did not know what time of year it is, I am going to tell you. It is spring time and the best time to look at Fort Lauderdale Homes for Sale. If you are entertaining the thought of moving, relocating or trying to get into a better school district (like me), then now is the time.
In Fort Lauderdale, homes are at the best prices in 15 years. Quick story. My mom bought a town house in Miami in1990 for $53,000. During the peak of the real estate market it was worth $220,000. She chose not to sell it. I thought she was crazy. Today that property is worth 135,000. My mom could care less about the price of the home because the house is a keeper. Why? You asked. She is in a tripple A school district so the home remains in high demand. It remains rented year after year because of the school district. She can sell when ever she wants no matter what the market is doing. Whoever says mom knows best was right. At least in this case.
Although I typically focus on the financial aspects of home buying because it is my expertise. You must still remember the basics of real estate. No matter what the price or location of you next Fort Lauderdale Home for Sale, a huge selling point of any home is the school district when you are thinking about your next home keep this in mind. If you plan on having a family in the future, it should be a concern.
So remember, when you are out there in the market looking for your next Fort Lauderdale home for sale or South Florida home for sale, feel free to take my moms advice or contact us for help buying that next home.
Just wanted to touch base with everyone and remind them that cheaters never prosper. Especially with Ft. Lauderdale mortgages, they are being more scrutinized. You can not be getting away with the stuff that use to fly. You can not buy a house with out showing income or try and passoff a investment property as a primary residence.
I am going to give you a quick example. First a borrower from out of state who is a very affluent fellow decides now is the time to gobble up houses. So he decides to finance some and pay cash for some. He accidentally forgets to put on his loan application that he has already bought some houses. He thinks that it is not a big deal to omit it the properties he has just bought in the last two months. Besides they wont show up on his credit because he paid cash for them. Regardless he can afford to carry the properties because he makes great money.
Here is the problem. All Ft. Lauderdale Mortgages are being registered by lenders and banks in a database and so are the ones that do not get mortgages. Why are they doing this? To prevent fraud. People are claiming investment homes as primary residences so that they can get an FHA insured mortgage. Or they are claiming investment properties as second homes. In the case of this borrower, he had bought a house in the same city as a second home already and was trying to buy another in the same fashion.
His brazen attempt to beat the system has landed him on the banned list in Ft. Lauderdale Mortgage circles. He is done. Bottom line dont lie on your application. You are trying to buy or refinance during the Great Recession.
Thats all folks. I will be giving you market conditions on my twitter. So you can follow me there at http://twitter.com/LoanFha or you can just follow me on this site. Have a great weekend and keep the questions coming.
I wanted to take the time today to mention how important it is for someone to take care of their credit. Do you know how credit can affect you getting a Ft. Lauderdale Mortgage? The fact the the FHA program is not a credit score driven program, doesn’t mean you should not care about your credit before you apply.
If you dont then you end up buying this :
Bad Credit = Ugly Home
Now if you dont want to end up buying this house or living in a neighborhood where this house exists, then you have to do something about your credit before you apply for a Ft. Lauderdale Mortgage. That Simple. Now I did not say it was easy. The difference in what you can purchase, what your monthly payment will be, what your interest rate will be and the points and fees on your mortgage is huge.
For example you have a 540 credit score (BAD CREDIT) and you want to buy a home. Your interest rate would be anywhere between 2.25% to 2.75% higher than the market rate.
Lets say you have a 680 credit score(average credit score) your Ft. Lauderdale mortgage interest rate is only .25% to .375% higher than the market. You can get a house that looks like this
You can get a house like this with good credit
This is just for explanation purposes and I might have exagerated just a little. Here is the truth of the matter. You could have a 540 credit score pay alot more in origination fees, broker points and loan discount fees or you could not. Folks do not realize how much can be done when working with a professional. Personally my team here uses Linda Shorr with Regal Credit.
We use her and her services because she is honest, dependable and does not price gouge. Oh and of course she has a track record of fixing our clients credit with great success. On Friday, we helped someone that could not refinance and go from a 548 to a 640 credit score. Saving the client both time and money. It is a no brainer to pay $400 dollars upfront to get your credit fixed as opposed to paying $40,000 in higher fees and higher interest rates over the life of the loan. My advice to you is clean up the credit before you buy or refinance your Ft. Lauderdale Mortgage
Unless you have been living in a cave or don’t come into contact with people on a daily basis then you know that America is having pretty tough economic times. Both the current Obama administration and the previous Bush administration have been addressing it by expanding the Fort Lauderdale area FHA Home Loan programs.
FHA mortgages are feeding the purchase market in Fort Lauderdale. Why? Because, conventional financing has dissapeared. No longer are there programs that will allow you to buy with “No Money Down”. The 2 large companies that wrote the rules on how to lend were government sponsored agencies are Fannie Mae and Freddie Mac. During the real estate boom of the 2000′s, these two companies drove the market up. They became riskier as the years went buy because of the lack of oversight, greed, corruption within the ranks, and more importantly the demand for mortgages. Their lack of properly reviewing the borrowers credentials to afford a home led to their ultimate demise and the US Government bailing them out and taking over.
Now, how does that affect us down here in Fort Lauderdale and the rest of South Florida? Well it means that the only mortgage to be had is an FHA mortgage. Well…that is not completely accurate. It just depends on a combination of credit, down payment and proof of income. Their is always an exception to the rule.
Basically, as stated in previous posts, lending is becoming exactly like the motto for the state of Missouri. Banks and lending institutions have become the show me state. For many people in Fort Lauderdale that can not prove their income, are in the hospitality Business, or choose to hide their income through their companies, they will have more limited opportunities. For the people in Fort Lauderdale and the surronding areas, that choose to prove their income. Their is alot of opportunity to get a nice piece of Real Estate.
You better hurry though. This will not last forever. If you are looking to make a move but are waiting for the bottom of the market, you could miss the opporunity you have been waiting for.
Ok guys and gals (is that politically correct enough for you?)
Yesterday, the federal government announced that they will continue to buy mortgage backed securities beyond the originally $500b to the tune of an additional $750b, so a total of $1.25 trillion dollars!! Everyone in the world was in shock that they did this. So much so that the news organizations, started reporting it and that lower rates where on their way here.
What do you think actually happened today in Fort Lauderdale and the rest of South Florida with the FHA Rates? Lenders are aggressively repricing rates for the worse. Exaclty opposite what the news organizations were saying. Some lenders this morning even put out rates much worse than the late yesterday after the announcement. What is happening is pipeline control. Lenders got slammed with new submissions and lock requests late yesterday and this morning and they cant handle the volume so they are increasing rates. Alot of lenders have to much work and not enough workers. Some lenders websites are getting so much traffic that they are crashing.
What should you do if you are in this situation? Work with a lender that will honor the rate they quoted you. Know if you have made a commitment with someone by locking your rate and you signed a rate lock disclosure form, then you are in good shape. If you didnt sign one, call your loan officer or mortgage broker and ask if you are locked. Tell him to double and triple check so that you can feel safe. Then ask him to prove it to you.
That is where 1 of 2 things will happen. You will get a lock form that you need to sign or you will get an excuse. When these announcements are made by the media it can cause pandamonium. Its been a hectic week here at Fort Lauderdale Loan FHA Rates with all these announcements. But some one has to keep you updated.
***PS. Always trust your gut. If you think someone is not being straight with you then they are probably not.***
An announcement was made by the Federal Reserve yesterday. The Federal Reserve is the central government bank that controls the short term interest rates. Things like car loans, credit cards and Home Equity Lines of Credit are immediately affected by this change in rate. It was lowered from .25% to 0%. So short term rates are going lower. Why? Because the Federal Reserve is trying to cut you a deal so that you will go out and buy something.
Now what does that mean for mortgage rates? It does not mean that you can go through Fort Lauderdale looking for FHA home loans at 0%. The Fed. Fund Rate as it is called in the banking industry, works completely opposite from long term interest rates like Mortgage rates. That’s right. I said it. When that Federal Reserve moves their rate down, Mortgage Rates will go up here in Fort Lauderdale and the rest of the country. But because there is an inverted yield curve in effect in the market, Mortgage rates are virtually unchanged. That is the good thing.
So, Mortgage Rates continue to be disconnected from the rest of the market.We should see very similar rates today that we have been seeing all week with a 30 year fixed rate mortgages anywhere from 4.75% to 5%.Some lenders are offering incentives for very high credit scores borrowers and low loan to values which makes their rates around 4.625%.These incentives are for clients with over 800 credit scores and loan to values under 60%.When you work with a good lender, they will know about these programs and will be able to provide you a better rate on your mortgage.
Anyways that’s it folks, I wanted to give you a brief update on the current Fort Lauderdale Loan FHA rates. As always, with any questions feel free to contact me via email or the phone.
To celebrate here at Fort Lauderdale Loan FHA the holiday, I am at work. But for those of you that may have taken the day off to go to church or to celebrate with a large feast and a pint of beer, please enjoy the music.
For those of us that live in the real world, lets get to it.
Not so good news was released by the FHA yesterday. Thanks to the current economic crisis and President Obama’s current administraton, they are limiting the amount of “Cash Out” on any FHA Loan. What does that mean?
That means that as of this week, lenders all across the country and Fort Lauderdale will only allow anyone to take cash out of their home up to 85% of the value of the home. Not a first look you think, thats great we as a country dont want people to strip out the equity of their home and lose it by investing with Bernie Maddoff in a Ponzi Scheme. Truth is most folks take cash out of their homes only because they have to. Like a renovation on their home, debt consolidation, medical emergency or taking out cash to invest in their own business. etc…
By limiting Fort Lauderdale FHA Loans to 85% of the value of the home. You are limiting the exposure for the government has if you default on the loan. But what about the people the need to take the cash out for any of the reasons listed above. What does FHA say to them. Sorry you cant get any money here.
I will take it one step further, what if you bought a home some time ago and you need to renovate it because it is 10 to 15 years old. What do you do if they will not let you refinance and take the cash out?
If you want to do something before its too late, then contact me so that we can get the cash out before its too late! Talk to you all soon.
Everyone in the world was in shock that they did this. So much so that the news organizations, started reporting it and that lower rates where on their way here.