What’s the Maximum Purchase Price For The Florida Bond?

by Justin Miller on January 26, 2012 in Florida Bond Program with No comments

Many at first glance would think that this down payment assistance program was only for the lower end but that couldn’t be further from the truth.   If you are buying a property in Broward, Palm Beach, and Miami-Dade Counties Florida the home you want to purchase cannot exceed $386,202.60.  

If you want to find out the limits for any other counties through Florida click on the link below, click on the First Time Homebuyer Program image in green, choose your County, and the Number of People Living in the Household:  http://www.floridahousing.org/

Why Mortgage Deals Die?

by Justin Miller on January 26, 2012 in Interest Rates, Mortgage Education 101 with No comments

I hate to keep copying and pasting content but KeepingCurrentMatters.com does such a great job. As I have mentioned so many times before the interest rate is not the most important part of your mortgage.

I have seen estimates stating that 29% of deals that go to contract and require a mortgage, don’t close. That number boggles my mind. It means that even after a buyer and seller come to terms on a sale (not an easy feat these days), 3 out of 10 transactions fall apart. What are some of the more common reasons?

  • Appraisal issues – In many markets, we are still seeing declining values. Appraisers are in a difficult position, and with so many transactions (including seller’s concessions to assist buyers with closing costs) values aren’t always coming in at sales prices.
  • Short Sales not being approved by the current lender – With so many sellers owing more than their home is worth, buyers’ proposals need to be sanctioned by the lender (who will be receiving less than they are owed). Some of the offers are too low, but often, the lender isn’t local and they really don’t know what the property is worth today.
  • Bad pre-approvals from the loan officer – Today, loan officers who are not reviewing tax returns, analyzing bank statements, and asking for detailed explanations and documentation on credit blemishes, are truly hurting the customers. Issuing pre-approvals based on the representations of the customer is reckless and a cause for dismay later.
  • A lack of transparency – Whether it’s a seller or agent not disclosing property issues, or a buyer trying to sneak things by an underwriter, too many people think they can cut corners. That is not the world we live in anymore. Everything is uncovered. Being honest in the beginning, gives you the best chance to overcome obstacles.

It is clear by the numbers that closing loans can be more difficult today. However, with proper planning and integrity, many of the challenges can be dealt with early and successfully. Agents documenting values of the homes, loan officers doing complete reviews of the loan profile up-front, and everyone telling the truth helps get deals to a successful conclusion and avoids horror stories.

What Value Does Your Mortgage Banker Add?

by Justin Miller on January 25, 2012 in Mortgage Education 101 with No comments

This is such an important question especially when buying or getting a mortgage in Fort Lauderdale and South Florida due to so much fraud.  The article below title “What Value Does Your Loan Officer Add?”  does a very good job of going through this.  The mortgage advisor part is especially important because your mortgage should be used as a financial tool.  It’s not just an interest rate:

So, when borrowers shop for loans on the old “price/product/service model”, how does a consumer differentiate between loan officers?

  • Ask for referrals – If you have a friend, co-worker, or family member who had a good lending experience, ask who they used. Talk to people who deal with multiple lenders (real estate agents, attorneys, accountants, etc.) and leverage their comparative experience into making good choices. Loan officers who earn referrals typically go beyond price/product/service.
  • Seek out a mortgage advisor – Even today, with limited loan programs, there are many factors to consider when choosing the right mortgage. Your future income, the length of time you expect to be in the home, and your risk tolerance should be discussed before ruling out adjustable rate mortgages, for example.
  • Look for transparency – Demand a lender who freely and competently discusses rates and likely rate movements. Don’t buy into the idea that rates are conjured up in a mysterious way. Rates are derived by activities in the bond market and your loan officer should be able to explain, in layman’s terms, the factors that affect rates and upcoming events and economic reports, as well as, the most likely impact they will have.
  • Accessibility of information – Are you looking for printed materials and/or videos to guide you through the process? How about online workshops or home buying seminars?
  • Seek out a resource – You may need other professionals when buying a home (from insurance people, to home improvement people, to legal help). A good loan officer has a network of high quality referral partners to help you.

Sunrise Florida Offers Homebuyer Incentives

by Justin Miller on January 23, 2012 in General News with No comments

If you are looking to buy a home in Sunrise, FL you will want to take a look at their incentive:

“Sunrise currently has a program that offers up to $2,000 to those purchase homes that are in short sale or foreclosure, and remodel those homes. “Upgrade on appliances, roof repair, landscaping, new AC, new hot water heater,” Mayor Ryan said. “The things people do to try to improve a house, now those costs will be paid for by the city as long as they move here.”

http://www.wsvn.com/news/articles/local/21006445228631/sunrise-offers-incentives-to-home-buyers/

Mortgage Interest Rates Update: January 4, 2011

by Justin Miller on January 4, 2012 in Interest Rates with No comments

Mortgage-backed securities, which move interest rates, are trading unchanged right now.  Interest rates paying NO Points in Fort Lauderdale and South Florida are as follows today on a $400,000 purchase price, 740 credit score, 25 day lock period, primary residence, single family detached home, with escrows are:

  • 4% on a 30 year Conforming fixed rate mortgage with 20% down (APR 4.221%)
  • 3.375% on a 15 Year Conforming Fixed rate mortgage with 20% down (APR 3.533%)
  • 4% on a  30 year FHA fixed rate mortgage with 3.5% down (APR 4.89%)

Contact me for interest rates on Jumbo Mortgages and Adjustable Rate Mortgages (ARMs) in Fort Lauderdale and South Florida.  Rates are subject to change without notice.

Qualifying As a Borrower For The Florida Bond Loan

by Justin Miller on January 4, 2012 in Florida Bond Program with No comments

Here is what you need to know:

  • First Time Homebuyers only – someone who hasn’t owned their legal residence in the past 3 years.  Applies to the buyer and spouse even if the spouse isn’t going on the loan or deed.
  • 3 years of tax returns for all borrowers and spouses
  • You must have a minimum of a 620 middle credit score
  • Anyone who will be on the deed and spouse must complete the 8 hour homebuyer education.  You will want to set this up immediately.   To find an approved counseling agency in your area – Click here
  • You must be within the Household income limits.  To find out the income limits for your County click on the link below, click on the First Time Homebuyer Program image in green, choose your County, and the Number of People Living in the Household:  www.floridahousing.org
    • The household size is determined by the number of people  permanently residing in the property. 
    • For the Frequently Asked Questions – Click Here

Florida Bond – Miliary Heroes

by Justin Miller on January 3, 2012 in Florida Bond Program with No comments

If you are looking to purchase a home anywhere in Florida and you are a veteran or active duty military personnel you might qualify for the Florida Military Heroes loan.  It requires 0% down and down payment assistance with the $7500 Florida Assist or the $5k HAMI depending on your income

In order to qualify you have to be within the income limits for your county and family size.  To find out the income limits for your County click on the link below, click on the First Time Homebuyer Program image in green, choose your County, and the Number of People Living in the Household:  www.floridahousing.org or contact me.

 

Florida Bond – HAMI $5k Down Payment Assistance

by Justin Miller on January 3, 2012 in Florida Bond Program with No comments

If you are looking to purchase a home anywhere in Florida and you don’t qualify for the $7500 Florida Assist Down Payment Assistance program you will want to look into the $5k Homeowner Assistance for Moderate Income (HAMI) loan.  This loan is typically behind an FHA, VA, or USDA first mortgage.  This is a bond, not a grant.  I have helped a lot of first time homebuyers in the Fort Lauderdale and South Florida area.   All you have to do is the 8 hour first time homebuyer education course and we handle the rest. 

In order to qualify you have to be within the income limits for your county and family size.  To find out the income limits for your County click on the link below, click on the First Time Homebuyer Program image in green, choose your County, and the Number of People Living in the Household:  www.floridahousing.org or contact me.

It is a 10 amortizing loan but accelerated if any of the following occur – a sale, transfer, other disposition of the property (including any involuntary transfer by or as a result of foreclosure or judicial sale or operation of law), refinance or satisfaction of the 1st mortgage.  It is repayable and never forgiven.   The interest rate is 5%.

Florida Bond – Florida Assist $7500 Down Payment Assistance

by Justin Miller on January 3, 2012 in Florida Bond Program with No comments

If you are looking to purchase a home anywhere in Florida make sure to find out if you qualify for the $7500 Florida Assist Down Payment Assistance program.  This loan is typically behind an FHA, VA, or USDA first mortgage.  This is a bond, not a grant.  I have helped a lot of first time homebuyers in the Fort Lauderdale and South Florida area.   All you have to do is the 8 hour first time homebuyer education course and we handle the rest.  

In order to qualify you have to be within the income limits for your county and family size.  To find out the income limits for your County click on the link below, click on the First Time Homebuyer Program image in green, choose your County, and the Number of People Living in the Household:  www.floridahousing.org or contact me.

It is a 30 year deferred loan but accelerated if any of the following occur – a sale, transfer, other disposition of the property (including any involuntary transfer by or as a result of foreclosure or judicial sale or operation of law), refinance or satisfaction of the 1st mortgage.  It is repayable and never forgiven.   The interest rate is 0%.

 

No Doc Stamps & Intangible Tax With The Florida Bond

by Justin Miller on January 3, 2012 in Florida Bond Program with No comments

Another great feature when using the Florida Bond to purchase a home in addition to getting up to $7500 in down payment assistance is that you do NOT have to pay any doc stamps or intangible tax.  On a $100,000 loan that is a savings of $550. 

If you are renting or thinking of buying you need to look into using this program.  All you have to do is the First Time Homebuyer 8 hour class which you will find very informative.  We handle the rest.

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