FHA loans allow up to 6% of the sale price in closing cost credits from sellers! This can apply directly to your fees! *Ask me how.
June 2009 | Zero-Down home loans are almost extinct. However, $8000 tax credit and FHA still make home ownership attractive at 3.5% down.
July 23, 2008 | The Nehemiah Corporation believes Congress and President Bush will ban its down-payment assistance "gift" program within days as part of the $300B FHA bailout bill, Nehemiah President and Chief Executive Officer Scott Syphax acknowledged Monday.
What does this mean? NO MORE DOWN PAYMENT ASSISTANCE (DPA). The Nehemiah gift was a way for many first time buyers to purchase homes with no money down. It is unfortunate that this will no longer be an option. HOWEVER, there is an alternative. Right now, participating sellers typically credit 3% towards a Nehemiah "gift" plus an additional 3% towards buyer closing costs (up to 6% total) - where 3% is hardly enough to cover closing costs for an FHA loan. Although DPA is soon to vanish, sellers can still assist buyers by crediting a full 6% to closing costs instead - where a majority of that would go towards a rate buy down on the loan. Although buyers must now come up with 2.5%-5% of their own money, if the "would-be gift" were instead used for such a buy down, the monthly payments on the loan would be substantially lower. Basically, if a seller credits the same amount to the buyers closing costs instead of routing the funds through Nehemiah as a Gift, buyers would save much more in the long run through lower monthly payments and reduced compounding interest.
 The crashing wave of foreclosures is hitting American homeowners where it hurts most: their EQUITY. We are now witnessing the largest drop in home values that the U.S. has seen in decades. Until cosumer confidence picks up and sales volume increases substantially, we can expect to see a gradual decline in the listing prices of homes in California and across the nation. What this means for serious buyers is that sellers are more willing to accept offers that come in less than their asking prices. On top of that, sellers are more likely to cover your closing costs, up to 6% of the purchase price! This is the perfect opportunity for solid income borrowers with limited cash in the bank to buy homes at drastically reduced prices. Although traditional banks have become more strict in their loan qualification requirements, our government has temporarily increased FHA (Federal Housing Association) and conforming loan limits to give people more incentive to buy with federally guaranteed loans. There are many attractive programs available to the borrower who can prove his/her income. Please give me a call so I can give you a simple explanation of the mortgage products that would best suit you and your family.
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July 23, 2008 | The Nehemiah Corporation believes Congress and President Bush will ban its down-payment assistance "gift" program within days as part of the $300B FHA bailout bill, Nehemiah President and Chief Executive Officer Scott Syphax acknowledged Monday.
June 26, 2008 | Housing report shows a rise in home sales of 2% in May, while median sales prices continue to fall. Foreclosures and short sales constitute roughly one-third of all sales.
June 24, 2008 | U.S. home price index falls to a record 15.3% from April 2007 to April 2008. Las Vegas and Miami were the weakest in the nation, with near 27% declines over the year.
June 18, 2008 | FHA will now look at your FICO score to determine how much you will pay for mortgage insurance. As of July 14, 2008, FHA is switching to a new "risk-based pricing" model for their mortgage insurance premiums.
May 22, 2008 | Unsold housing inventory jumped 10.5% to mark a 23-year high. This translates into a 11.2 month supply for homes in the U.S.
May 20, 2008 | Area home sales bounce back .
Regional home sales in April shot up 25 percent over April a year ago, housing firm DataQuick reported Monday.
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Federal Stimulus
Conforming limits have been temporarily increased through the end of 2008. Bottomline, this means reduced rates and fees compared to Jumbo loans. For most parts of California, loan amounts greater than $417k but no greater than the new limits are known as "Jumbo Conforming."
Government Sponsored Loans
Fannie Mae has annouced enhancements to their current products for standard conforming and jumbo conforming loans
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 Buy with zero money down where sellers credit money towards your closing costs! Although FHA requires 2.5% to 5% down, you can also receive 3% or greater from downpayment assistance programs. So qualifying 1st time home buyers can literally purchase a new home with zero money out of pocket.
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 Troubled Credit?
If you're concerned about your FICO score, FHA may lend while traditional banks will not. Most importantly, your rate will be unaffected so you can still afford your home. Contact me to determine how much of a home you can buy.
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Lic. 01486880 
