mortgage bonds are trading 28 basis points lower which may cause lenders to raise rates today. In about the past 6 weeks mortgage bonds have lost about 700 basis points. From the spring to November it gained about 700 so are back to where we were in spring. Sure rates aren't at 4% or under on a 30 year fixed, but they are still relatively low compared to what they have been in years passed.
Some economic news today was the Senate passed the $858 billion Tax Cut Bill yesterday and now will goto the house for approval which will be a tough battle.
New construction starts went up 3.9% for November beating estimates.
Initial jobless claims fell to 420,000 with an estimate of 425,000. This is the 3rd decline in 4 weeks and was the second lowest number in all of 2010 which is great to hear. Emergency Unemployment Compensation went up to 3.9 million.
Rates are still very low, if you have been waiting to purchase or refinance I would suggest locking in rates now as interest rates will continue to rise in 2011.
Ron Meyer is a Wisconsin licensed Sr. Loan Originator NMLS #222688 with GSF Mortgage Corporation NMLS #1018 located at 300 Patriot Dr. Little Chute, WI 54140 We specialize in financing purchases and refinancing home loan mortgages for all of Wisconsin. As a local lender we pride ourselves on offering quality service before and after your closing. Our underwriting is all done in house, allowing us to have quicker than normal processing time of your loan.
Thursday, December 16, 2010
Tuesday, December 14, 2010
Fed update
Feds said today that the economic recovery is too slow to effect unemployment. The Fed Funds rate will remain unchanged at .25%.
This is having a very negative effect on mortgage bonds. Mortgage bonds are currently now down 131 basis points on the day which is causing lenders to raise interest rates.
Rates the past few weeks having been trending higher and are almost back to what they were earlier this spring.
Rates are still very attractive, if your looking to refinance or purchase I would lock in your rate soon as rates should continue to rise in 2011.
This is having a very negative effect on mortgage bonds. Mortgage bonds are currently now down 131 basis points on the day which is causing lenders to raise interest rates.
Rates the past few weeks having been trending higher and are almost back to what they were earlier this spring.
Rates are still very attractive, if your looking to refinance or purchase I would lock in your rate soon as rates should continue to rise in 2011.
Tuesday, December 7, 2010
Mortgage bonds down 128 basis points and interest rates are rising
Mortgage bonds are down 128 basis points on the day causing interest rates to rise yet again.
Some of the news that is causing this is our current income tax rates which were to move higher on January 1st have now been extended for another 2 years.
The Emergency Unemployment Compensation that was set to expire has also now been extended for an additional 13 months. 2 million people were estimated to have lost these benefit payments in the next few weeks if this benefit wouldn't have been extended.
Interest rates will continue to rise in 2011. Rates are still very low if you are looking to refinance I would suggest doing so soon to take advantage of these low rates. Those looking to purchase now is a great time as well with the prices of homes and interest rates are both low.
Some of the news that is causing this is our current income tax rates which were to move higher on January 1st have now been extended for another 2 years.
The Emergency Unemployment Compensation that was set to expire has also now been extended for an additional 13 months. 2 million people were estimated to have lost these benefit payments in the next few weeks if this benefit wouldn't have been extended.
Interest rates will continue to rise in 2011. Rates are still very low if you are looking to refinance I would suggest doing so soon to take advantage of these low rates. Those looking to purchase now is a great time as well with the prices of homes and interest rates are both low.
Friday, December 3, 2010
Mortgage bonds increase on poor jobs report
After the last couple of weeks of mortgage bonds dropping they are current up 41 basis points today due to a very poor jobs report.
November had 39,000 newly created jobs. Estimates were at 130,000 new jobs to be created.
Unemployment also ticked up to 9.8% from 9.6% from the month before. Expectations were for this to remain the same so that was a bit of a shock.
With this being extremely volatile if you haven't already refinanced I would suggest locking in your rate today. Rates are still very low and will rise in 2011.
November had 39,000 newly created jobs. Estimates were at 130,000 new jobs to be created.
Unemployment also ticked up to 9.8% from 9.6% from the month before. Expectations were for this to remain the same so that was a bit of a shock.
With this being extremely volatile if you haven't already refinanced I would suggest locking in your rate today. Rates are still very low and will rise in 2011.
Wednesday, December 1, 2010
Mortgage bonds drop stocks rise unemployment ends
Mortgage bonds are dropping again and interest rates are again on the rise. Couple factors influencing the drop in mortgage bonds is China's Purchasing Manager's index came in very good and at a 7 month high.
ADP Report came out with employment rose by 93,000 which was way better than expectations of 58,000 and was the largest gain in 3 years. Also noted Octobers report was revised to 82,000 jobs created up from the 43,000 originally reported. It will be interesting to see on the Jobs Report which is due to come out on Friday.
Nearly 3.8 million people will lose their Emergency Unemployment Compensation benefits that lased for 99 weeks. Congress didn't come up with a plan to extend the program yesterday.
Wisconsin mortgage interest rates are still very good. They are now higher than the lowest levels from a couple weeks ago. If you haven't refinanced yet, I would suggest locking in as rates are going to rise in 2011.
ADP Report came out with employment rose by 93,000 which was way better than expectations of 58,000 and was the largest gain in 3 years. Also noted Octobers report was revised to 82,000 jobs created up from the 43,000 originally reported. It will be interesting to see on the Jobs Report which is due to come out on Friday.
Nearly 3.8 million people will lose their Emergency Unemployment Compensation benefits that lased for 99 weeks. Congress didn't come up with a plan to extend the program yesterday.
Wisconsin mortgage interest rates are still very good. They are now higher than the lowest levels from a couple weeks ago. If you haven't refinanced yet, I would suggest locking in as rates are going to rise in 2011.
Monday, November 22, 2010
What's going on with mortgage rates? The fallout from QE2
I received the following in an email over the weekend and thought it was a great piece to share.
Everyone is wondering why mortgage rates have risen in the wake of the Fed's recent, and much publicized, second round of Quantitative Easing (QE2). Enjoy this complimentary analysis as we dig deeper to explain why rates have reacted as they have. Then, feel free to forward it to your clients and referral sources to help them understand what's really causing rates to move. Show them you are the expert they can trust. With our compliments, MBSQuoteline.
What's Going On With Mortgage Rates?
The Fallout From QE2
After reaching the lowest levels in decades, mortgage rates have shot higher over the past two weeks. There is not a simple explanation for why this happened, but looking at the many factors which are influencing mortgage rates right now will help to understand what's going on. In short, when investors look ahead, they see few reasons for mortgage rates to move lower and many possible causes for them to move higher. The major negatives include stronger than expected economic growth, domestic and foreign opposition to quantitative easing, and concerns about lower foreign demand for US securities.
Beginning in late August, the Fed hinted that they would initiate a new stimulus program to purchase Treasury securities, which is known as quantitative easing. In the short-term, the Fed buying increases demand for bonds, including mortgage-backed securities (MBS). In anticipation of this added demand, investors purchased MBS, which pushed mortgage rates lower. The announcement of the details on November 3, $600 billion through the middle of 2011, was close to expectations.
A couple of days later, mortgage rates begin to move higher for a variety of reasons. Stronger than expected economic data caused investors to raise their outlook for economic growth. Stronger growth decreases the need for additional Fed stimulus, and it generally leads to higher inflation. In addition, there was substantial opposition to the quantitative easing program from other countries and from many US politicians and economists, meaning that the Fed will face strong resistance to an expansion of the program. Investors had viewed the $600 billion figure as a first step which would likely be increased in the future. Stronger economic growth and opposition to quantitative easing reduce the likelihood that the program will be increased and possibly could cause the program to end early. In short, the expected level of added demand from the Fed decreased.
The quantitative easing program pumps dollars into the economy, and the increased supply weakens the value of the dollar relative to other currencies. When foreign investors sell US securities, they must convert the US dollars they receive into their own currency. If the value of the dollar falls, then the value of their US investment falls in relative terms to their own currency. As a result, foreign investors may reduce their purchases of US securities, including mortgage-backed securities (MBS), which would cause yields to increase. This fear of weaker foreign demand hurt mortgage rates.
China's announcement of a rate hike was another negative for US mortgage rates. Yields must rise in other markets to compete with higher yields in Chinese markets. Renewed financial troubles in Ireland and other smaller European countries helped US mortgage rates a little over the past week, but those concerns have mostly passed.
The recent news has not been uniformly negative for mortgage rates. Current inflation levels remain extremely low. In fact, the Consumer Price Index data released this week showed that annual core inflation dropped to a record low in October.
Bottom line, though, when mortgage rates reached such extremely low levels, it left them in a position to reverse direction very quickly.
Everyone is wondering why mortgage rates have risen in the wake of the Fed's recent, and much publicized, second round of Quantitative Easing (QE2). Enjoy this complimentary analysis as we dig deeper to explain why rates have reacted as they have. Then, feel free to forward it to your clients and referral sources to help them understand what's really causing rates to move. Show them you are the expert they can trust. With our compliments, MBSQuoteline.
What's Going On With Mortgage Rates?
The Fallout From QE2
After reaching the lowest levels in decades, mortgage rates have shot higher over the past two weeks. There is not a simple explanation for why this happened, but looking at the many factors which are influencing mortgage rates right now will help to understand what's going on. In short, when investors look ahead, they see few reasons for mortgage rates to move lower and many possible causes for them to move higher. The major negatives include stronger than expected economic growth, domestic and foreign opposition to quantitative easing, and concerns about lower foreign demand for US securities.
Beginning in late August, the Fed hinted that they would initiate a new stimulus program to purchase Treasury securities, which is known as quantitative easing. In the short-term, the Fed buying increases demand for bonds, including mortgage-backed securities (MBS). In anticipation of this added demand, investors purchased MBS, which pushed mortgage rates lower. The announcement of the details on November 3, $600 billion through the middle of 2011, was close to expectations.
A couple of days later, mortgage rates begin to move higher for a variety of reasons. Stronger than expected economic data caused investors to raise their outlook for economic growth. Stronger growth decreases the need for additional Fed stimulus, and it generally leads to higher inflation. In addition, there was substantial opposition to the quantitative easing program from other countries and from many US politicians and economists, meaning that the Fed will face strong resistance to an expansion of the program. Investors had viewed the $600 billion figure as a first step which would likely be increased in the future. Stronger economic growth and opposition to quantitative easing reduce the likelihood that the program will be increased and possibly could cause the program to end early. In short, the expected level of added demand from the Fed decreased.
The quantitative easing program pumps dollars into the economy, and the increased supply weakens the value of the dollar relative to other currencies. When foreign investors sell US securities, they must convert the US dollars they receive into their own currency. If the value of the dollar falls, then the value of their US investment falls in relative terms to their own currency. As a result, foreign investors may reduce their purchases of US securities, including mortgage-backed securities (MBS), which would cause yields to increase. This fear of weaker foreign demand hurt mortgage rates.
China's announcement of a rate hike was another negative for US mortgage rates. Yields must rise in other markets to compete with higher yields in Chinese markets. Renewed financial troubles in Ireland and other smaller European countries helped US mortgage rates a little over the past week, but those concerns have mostly passed.
The recent news has not been uniformly negative for mortgage rates. Current inflation levels remain extremely low. In fact, the Consumer Price Index data released this week showed that annual core inflation dropped to a record low in October.
Bottom line, though, when mortgage rates reached such extremely low levels, it left them in a position to reverse direction very quickly.
Tuesday, November 16, 2010
Wisconsin mortgage interest rates and timing the market
Wisconsin mortgage interest rates have gone up the last couple days. Mortgage bonds really got quite a bit worse the last couple days and have been trending lower for the past week. For those of you who have been sitting on the fence waiting to time the market for the absolute lowest interest rate, I think you missed it. That was last week.
Interest rates are still very low and it's still a great time to purchase or refinance your mortgage. In order for the economy to recover rates can not remain this low and will need to rise.
Interest rates are still very low and it's still a great time to purchase or refinance your mortgage. In order for the economy to recover rates can not remain this low and will need to rise.
Friday, November 5, 2010
Jobs report was very good this month bad for Wisconsin mortgage interest rates.
Jobs report was released with expectations of 60,000 new jobs being created. The number came in at 151,000 new jobs created. This is great news for the economy and those who are unemployed. The bad news is as a result mortgage bonds are trading quite a bit lower on the news and interest rates are starting to rise. Wisconsin mortgage interest rates are still trading at historically low levels.
Monday, November 1, 2010
What to do while your Wisconsin Mortgage refinance is being processed
With Wisconsin mortgage interest rates at historically low levels more and more people are taking advantage of this and refinancing. After you've decided to refinance and lock in that new low rate there are a few things to do and do not do while your loan is in processing.
1. Do not apply for any credit. On the day of closing we will repull a credit bureau. Any new recent inquiries we will need a letter of explanation for and if any new credit was established we will need a statement from the creditor and include that minimum payment in your debt to income ratio. This additional payment may make you ineligible for a refinance.
2. Continue to make your minimum monthly payments that are due on all accounts until your loan funds. Your loan will fund on the 4th business day after closing occurs.
3. If you have electronic funds transfer call your local bank to have that stopped. Depending on your bank this can take 10-14 business days.
4. Do not quit your job or give a 2 weeks notice. Our funding department will call your employer day of closing to verify you are employed.
If you have any questions please give me a call at (920) 788-9608 or I can be reached via email at rmeyer@gsf-mortgage.com.
1. Do not apply for any credit. On the day of closing we will repull a credit bureau. Any new recent inquiries we will need a letter of explanation for and if any new credit was established we will need a statement from the creditor and include that minimum payment in your debt to income ratio. This additional payment may make you ineligible for a refinance.
2. Continue to make your minimum monthly payments that are due on all accounts until your loan funds. Your loan will fund on the 4th business day after closing occurs.
3. If you have electronic funds transfer call your local bank to have that stopped. Depending on your bank this can take 10-14 business days.
4. Do not quit your job or give a 2 weeks notice. Our funding department will call your employer day of closing to verify you are employed.
If you have any questions please give me a call at (920) 788-9608 or I can be reached via email at rmeyer@gsf-mortgage.com.
Wednesday, October 6, 2010
Wisconsin FHA monthly mortgage insurance premium increase
National and Wisconsin FHA mortgage home loans has changed the up front and monthly mortgage insurance premiums.
Here is an example of how this change will effect your Wisconsin mortgage monthly payment.
Effective Oct. 4th the new up front and monthly mortgage insurance premiums changed. Here's an example of purchasing a home for $100,000 putting 3.5% downpayment estimating home insurance at $480 per year and real estate taxes at $2400 per year at 4.25% on a 30 year fixed rate.
The old premiums your total mortgage payment would be $769.29 per month. Under the new mortgage insurance premiums that payment is now $791.29 per month.
Here is an example of how this change will effect your Wisconsin mortgage monthly payment.
Effective Oct. 4th the new up front and monthly mortgage insurance premiums changed. Here's an example of purchasing a home for $100,000 putting 3.5% downpayment estimating home insurance at $480 per year and real estate taxes at $2400 per year at 4.25% on a 30 year fixed rate.
The old premiums your total mortgage payment would be $769.29 per month. Under the new mortgage insurance premiums that payment is now $791.29 per month.
Friday, October 1, 2010
Wisconsin Mortgage lending tips for Real Estate Agents
Wisconsin Mortgage lending tips for Real Estate Agents.
Lending laws have changed considerably the past couple of years. Many of the things that could be done in the past are no longer allowed. Here are some tips for a Real Estate Agent to help make a transaction run smoothly without delays in closing.
1. Any repairs needed?
Make the seller aware if the home needs repairs they may need to be done prior to closing. More and more homes are being purchase with FHA loans. When an appraisal is completed the appraiser will list what needs to be fixed. These items can not be escrowed and repaired after closing or given as a seller credit on the HUD Settlement Statement. We do offer an FHA 203k loan that allows the buyer to receive additional funds for repairs or remodeling.
2. How is title held?
When listing a home find out how title is held. If it’s in an LLC, Corporation, Trust etc get the trust agreement or articles of incorporation from the seller. The lender will need these documents to verify the person signing the sales contract has the power to do so.
3. Earnest Money
Make sure earnest money is in the form of a personal check or bank check and not cash. In order for the lender to give this credit towards the purchase they need to be able to verify where these funds came from and that they are the buyers own funds or documented proof they were gifted. Make sure the check is cashed as soon as possible. The lender will need proof the check cleared the bank.
4. Personal items included in contract
If any personal items are included in the contract such as not built in appliances, old lawnmowers, etc include in the contract the following note: Personal items are being left behind and are of no value out of convenience for the buyer.
5. No Rush closings.
There is really no such thing as a rush closing anymore with initial and redisclosures that are now required. Try to allow 30 days for closing and loan commitments. I am still seeing quite a few offer to purchase contracts coming over with 14 day loan commitments.
6. Home Insurance
A home insurance binder is required prior to all closings. If they will be escrowing for home insurance it must be paid in full for 1 year. It’s a good idea to have this done at least 10 business days prior to the closing date. The underwriter needs to review it, then funding sends out loan documents, and the title company needs time to prepare the HUD Settlement Statement.
7. Do not apply for credit during the loan process
A recent change to conventional loans and not FHA yet is on the day of closing or the day before the lender will reorder a credit report. If the buyer has applied for credit since the original credit report was issued we will need a letter from the buyer for inquiries and include the new monthly debt into the debt to income ratio. I always instruct buyers to not apply for any credit until they close on the home, however, I see many buyers go apply for credit to get new appliances, furniture etc. In certain cased where the debt to income ratio is tight this could make them ineligible and we won’t know until the day of or day before closing.
8. Do not quit your job
As funny as this sounds we still run into on occasion someone who quits there job after they get an accepted offer on a home. The lender will call the day of closing the buyers employer to make sure they are still employed and haven’t either quit or given a two week notice. If they have changed jobs in the process we will need the new employment and income documentation and it will need to go back to underwriter for review.
Lending laws have changed considerably the past couple of years. Many of the things that could be done in the past are no longer allowed. Here are some tips for a Real Estate Agent to help make a transaction run smoothly without delays in closing.
1. Any repairs needed?
Make the seller aware if the home needs repairs they may need to be done prior to closing. More and more homes are being purchase with FHA loans. When an appraisal is completed the appraiser will list what needs to be fixed. These items can not be escrowed and repaired after closing or given as a seller credit on the HUD Settlement Statement. We do offer an FHA 203k loan that allows the buyer to receive additional funds for repairs or remodeling.
2. How is title held?
When listing a home find out how title is held. If it’s in an LLC, Corporation, Trust etc get the trust agreement or articles of incorporation from the seller. The lender will need these documents to verify the person signing the sales contract has the power to do so.
3. Earnest Money
Make sure earnest money is in the form of a personal check or bank check and not cash. In order for the lender to give this credit towards the purchase they need to be able to verify where these funds came from and that they are the buyers own funds or documented proof they were gifted. Make sure the check is cashed as soon as possible. The lender will need proof the check cleared the bank.
4. Personal items included in contract
If any personal items are included in the contract such as not built in appliances, old lawnmowers, etc include in the contract the following note: Personal items are being left behind and are of no value out of convenience for the buyer.
5. No Rush closings.
There is really no such thing as a rush closing anymore with initial and redisclosures that are now required. Try to allow 30 days for closing and loan commitments. I am still seeing quite a few offer to purchase contracts coming over with 14 day loan commitments.
6. Home Insurance
A home insurance binder is required prior to all closings. If they will be escrowing for home insurance it must be paid in full for 1 year. It’s a good idea to have this done at least 10 business days prior to the closing date. The underwriter needs to review it, then funding sends out loan documents, and the title company needs time to prepare the HUD Settlement Statement.
7. Do not apply for credit during the loan process
A recent change to conventional loans and not FHA yet is on the day of closing or the day before the lender will reorder a credit report. If the buyer has applied for credit since the original credit report was issued we will need a letter from the buyer for inquiries and include the new monthly debt into the debt to income ratio. I always instruct buyers to not apply for any credit until they close on the home, however, I see many buyers go apply for credit to get new appliances, furniture etc. In certain cased where the debt to income ratio is tight this could make them ineligible and we won’t know until the day of or day before closing.
8. Do not quit your job
As funny as this sounds we still run into on occasion someone who quits there job after they get an accepted offer on a home. The lender will call the day of closing the buyers employer to make sure they are still employed and haven’t either quit or given a two week notice. If they have changed jobs in the process we will need the new employment and income documentation and it will need to go back to underwriter for review.
Thursday, September 16, 2010
USDA Wisconsin refinance mortgages are suspended
Just received word today that all USDA nationwide including refinances of Wisconsin mortgages are currently suspended as they have exhausted their funds. If you have a conditional commitment it will still close and fund.
In the meantime if you were looking to do a refinance and want to take advantage of the current low rates give me a call today at (920) 788-9608 as we offer several alternatives to USDA for refinancing your Wisconsin mortgage.
The suspension of funds for refinancing I feel is only going to be temporary.
In the meantime if you were looking to do a refinance and want to take advantage of the current low rates give me a call today at (920) 788-9608 as we offer several alternatives to USDA for refinancing your Wisconsin mortgage.
The suspension of funds for refinancing I feel is only going to be temporary.
Thursday, September 9, 2010
USDA is again funding loan
We have been closing USDA loans all along, but we have just receive a letter stating funding has been replenished. They are currently working on the $1.6 billion in conditional commitments issued since May 26th. Due to this current submissions will take a little longer for final approval.
Thursday, August 19, 2010
Jobless Claims report
The initial Jobless Claims reported 500,000 people filed to receive unemployment benefits for the first time. This was the highest since November 2009 and the initial estimates were at 475,000. Continuing claims is at 4.5 million people receiving benefits. This number only takes into account unemployment benefits for the first 26 weeks.
In addition the Emergency Unemployment Compensation or EUC reports that an additional 4.75 million people are receiving this for a total of 9.25 million people receiving unemployment benefits. Until more jobs are created and people go back to work I don't see the economy recovering much.
In addition the Emergency Unemployment Compensation or EUC reports that an additional 4.75 million people are receiving this for a total of 9.25 million people receiving unemployment benefits. Until more jobs are created and people go back to work I don't see the economy recovering much.
Wednesday, August 18, 2010
Extreme Makeover Home Edition home in Neenah
Extreme Makeover Home edition is building a new home in my hometown this week. I stopped by last night to checkout the progress. WOW, they've done quite a bit in only a couple of days. Went to the live auction last night. Pretty good turn out and they raised quite a bit of money. According to Jeff Marlow's recent posting on facebook they are about $30,000 away yet from raising enough money to payoff the mortgage. Text the word "GROOVE" followed by your dollar amount to 27138 if you'd like to donate to this great cause.
You can follow the build here
http://www.lexingtonhomemakeover.com/
Not sure of the exact date of when the home will be aired on ABC but I heard sometime around November.
You can follow the build here
http://www.lexingtonhomemakeover.com/
Not sure of the exact date of when the home will be aired on ABC but I heard sometime around November.
Wednesday, August 11, 2010
FHA mortgage insurance premium changes updated
FHA announced their original plan to implement the changes effective September 7th, 2010 and that has now been changed to effective October 4, 2010. This will allow lenders additional time to make system changes and test to make sure everything is working correctly.
Monday, August 9, 2010
HUD announces refinancing program for upside down borrowers
Here's a link to an article that talks about HUD offering a new program to help out homeowners who are upside down on their mortgage and owe more than they are worth.
http://www.dsnews.com/articles/fha-rolls-out-principal-reducing-refi-program-for-underwater-borrowers-2010-08-06
From the investors I have talked with none are willing to refinance these types of loans. It will be interesting to see if any of the major banks will offer this program to any of their current customers.
Personally I think this is just FHA and HUD trying to put out a feel good story for the press. It'll be interesting to see in the coming months what happens.
I would encourage anyone who is currently upside down on their current mortgage to call their current lenders and see if they are willing to participate in this program.
http://www.dsnews.com/articles/fha-rolls-out-principal-reducing-refi-program-for-underwater-borrowers-2010-08-06
From the investors I have talked with none are willing to refinance these types of loans. It will be interesting to see if any of the major banks will offer this program to any of their current customers.
Personally I think this is just FHA and HUD trying to put out a feel good story for the press. It'll be interesting to see in the coming months what happens.
I would encourage anyone who is currently upside down on their current mortgage to call their current lenders and see if they are willing to participate in this program.
Friday, August 6, 2010
FHA mortgage insurance premium changes
Congress has passed H.R. 5981. President Obama hasn't signed the bill yet but it's expected to be signed soon.
The law reads effective September 7, 2010 for all new FHA case numbers pulled the mortgage insurance premium will change. FHA's upfront mortgage insurance premium will go down to only 100 basis points "1%" of loan amount on all amortization terms and the annual mortgage insurance premium will increase to 85-90 basis points ".85 or .90% of loan amount" on amortization terms greater than 15 years.
The upfront and annual premium changes do not apply to the following FHA Programs: Title 1, HECM, HOPE For Homeowners (H4H), Section 247 (Hawaiian Homelands), Section 248 (Indian Reservations), Section 223 (e) (declining neighborhoods), Section 238 (c) (Military Impact areas in Georgia and New York).
LTV's <=95% will increase to 85 basis points and LTV > 95% will increase to 90 basis points.
The law reads effective September 7, 2010 for all new FHA case numbers pulled the mortgage insurance premium will change. FHA's upfront mortgage insurance premium will go down to only 100 basis points "1%" of loan amount on all amortization terms and the annual mortgage insurance premium will increase to 85-90 basis points ".85 or .90% of loan amount" on amortization terms greater than 15 years.
The upfront and annual premium changes do not apply to the following FHA Programs: Title 1, HECM, HOPE For Homeowners (H4H), Section 247 (Hawaiian Homelands), Section 248 (Indian Reservations), Section 223 (e) (declining neighborhoods), Section 238 (c) (Military Impact areas in Georgia and New York).
LTV's <=95% will increase to 85 basis points and LTV > 95% will increase to 90 basis points.
Thursday, August 5, 2010
My websign redesign is now finished
My website redesign was just completed this week. The online application is quite a bit more user friendly. I also now am able to change and add new information to the pages quickly myself as things are constantly changing in the mortgage industry.
I hope you find the information on the site helpful. Check it out and give me your feedback.
I hope you find the information on the site helpful. Check it out and give me your feedback.
Thursday, July 29, 2010
Documents needed for your Wisconsin mortgage
Lending quidelines are constantly changing. Your individual file may be different, but here are some of the standard documents that are needed for a Wisconsin mortgage home loan.
1. Last 1 months check stubs
2. Last 2 years W2's
3. Last 2 years federal taxes
4. Last asset statement for downpayment or reserves such as a checking, savings, 401k, ira statement etc.
5. If you've been divorced a copy of the divorce decree
6. If you receive child support a copy of the child support agreement and proof of last payment. Most child support payments are directly deposited into a checking or savings account so your last statement would work.
7. If you receive SSI a copy of the awards letter and your last bank statement showing that you received it.
8. If you've had a bankruptcy you may or may not need to provide a copy of the bankruptcy papers and discharge.
9. Drivers license or government issued photo id.
1. Last 1 months check stubs
2. Last 2 years W2's
3. Last 2 years federal taxes
4. Last asset statement for downpayment or reserves such as a checking, savings, 401k, ira statement etc.
5. If you've been divorced a copy of the divorce decree
6. If you receive child support a copy of the child support agreement and proof of last payment. Most child support payments are directly deposited into a checking or savings account so your last statement would work.
7. If you receive SSI a copy of the awards letter and your last bank statement showing that you received it.
8. If you've had a bankruptcy you may or may not need to provide a copy of the bankruptcy papers and discharge.
9. Drivers license or government issued photo id.
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