House Key Opportunity aka Washington State Bond Mortgage Program ending soon

Washington State Bond House KeyI just received notice from the Washington State Housing Finance Commission that they will stop accepting reservations for the House Key Opportunity program effective October 15, 2014 at 4:00 pm. Reserving funds is essentially locking the loan and committing to delivering the transaction to WSHFC. Reservations cannot be done unless there is a bona fide transaction with a closing date that will meet the delivery date of the reservation (lock period).

Funds for this program are limited and when they’re gone, they’re gone… at least until another housing revenue bond becomes available again.

WSHFC’s Home Advantage mortgage program does not rely on bonds and, unlike House Key Opportunity, it does not run out of funds.

What can you do if you were planning on using a House Key Opportunity (Washington state bond) mortgage program?

If you are not yet in contract (mutually accepted purchase and sales agreement) to buy a home, contact  your WSHFC approved mortgage originator to see if Home Advantage will work for you.  If you have a preapproval letter from a lender based on using House Key Opportunity, it may no longer be valid since the program is ending and it needs to be updated. You might qualify for a lower sales price and loan amount as House Key Opportunity offered below market mortgage rates. Home Advantage offers competitive rates and several down payment assistance programs.

If you have a House Key Opportunity mortgage in process, contact your mortgage professional to confirm that funds are reserved. If they are not reserved, your lender has limited time (until October 15, 2014) to accomplish this.  If you have a delayed closing date (mid-to-late November and later), check with your lender to see if you are still able to use House Key Opportunity as it may not be enough time to deliver the loan to WSHFC.

If you are a Real Estate Broker working with a Home Buyer who is either preapproved or has a transaction in process using any type of down payment assistance programs, contact the mortgage professional asap to see if the buyers are relying on House Key/State Bond for financing and if they need a back up plan.

Again, Home Advantage is not running out of funds and is still readily available. :)  If I can help you with your home purchase or refinance on property located anywhere in Washington state, please contact me.

PS: Check out upcoming WSHFC sponsored classes that I’m teaching by clicking here. Students who attend are eligible for mortgage programs like Home Advantage, down payment assistance and/or mortgage credit certificates (MCC).

 

 

What May Impact Mortgage Rates this Week: September 29, 2014

MortgagePorter-JobsReportThis week is packed with economic data that may influence the direction of mortgage rates wrapping up with the Jobs Report on Friday. Mortgage rates will also react to world tensions, such as what’s taking place in the Middle East. This is because mortgage rates are based on bonds (mortgage backed securities) and investors often seek the safety of bonds over the potentially higher return found with stocks. Stocks are taking a hit this morning and mortgage backed securities are improved.Here are some of the economic indicators that are scheduled to be released this week:

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How much does a bump in interest rates impact home buyers?

Kate portrait 4I’m reading an article this morning, “When Mortgage Rates Rise”, which addresses something that I’m often asked and that I also addressed recently on post here. Essentially, the “experts” are predicting that we will mortgage rates trend higher to around the 5% range by mid to late next year. Historically, speaking, 5% is not a high rate… in fact, I’m sure I wrote a blog post about when mortgage rates dipped as low as 5% back around 2008 . Our “problem” is that we have become accustomed to fixed rates in the 3 to 4% range. Mortgage rates have been at artificially low levels for a long period. And I agree that we will see this end as the Fed continues to pull back their support of mortgage backed securities.

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Kent Home Buyer Education Class

Seattle Home Buyer ClassesI will be teaching a home buyer class in Kent with Ira Sacharoff of Better Properties Real Estate on Saturday, October 11, 2014 at Mortgage Master Service Corporation’s home office which is located just south of South Center on West Valley Highway.

The class is sponsored by the Washington State Housing Finance Commission. Students who attend are eligible for programs like Home Advantage or House Key Opportunity (the Washington state bond program) or Freddie Mac Home Possible. Students are also eligible for various down payment assistance programs and MCC (mortgage credit certificates).

If you are considering buying a home with your spouse, partner or friend, they will need to attend the class with you to qualify for the programs.  You do not need to be a first time home buyer to qualify for many of the mortgage programs. And of course, you’re welcome to attend if you’re not interested in down payment assistance programs and you just want to learn more about the home buying process.

Space is limited, so please RSVP today

When: Saturday, October 11, 2014 from 11:00 am – 4:00 pm. We do our best to wrap up the class by 4:00 pm. The WSHFC requires that the classes be at least five hours.

Where: Mortgage Master Service Corporation located at 20425 72nd Ave South, Suite 210, Kent, WA 98032 at Center Point. Click here for directions to Mortgage Master Service Corporation.

Cost: FREE and lunch is provided!  Typically lunch is something like pizza.  If you have any special dietary needs or preferences, please bring a sack lunch. We will be teaching through lunch in the interest of keeping the class time shorter.

RSVP for our Seattle Home Buyer Class by clicking here.

Click here to see all current home buyer classes that I’m teaching.

Refinancing after paying cash for your home

MortgagePorterHourGlassHouseThe greater Seattle – Bellevue competitive housing markets have been experiencing a higher amount of buyers paying “all cash” for homes. Refinancing after you’ve paid cash for a home is also referred to as “delayed financing”. Delayed financing may also take place when a person is buying a foreclosed home at auction at the court house. Historically, “all-cash” buyers who want to refinance after closing to re-coup the cash they used to purchase their homes had to wait six months after the purchase before they can do a “cash-out” refi. Now, home buyers who used “all-cash” to buy their home no longer have to wait months to refinance to get their cash back.

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What May Impact Mortgage Rates this Week: September 22, 2014.

10590595_10152292265616046_3172341462878606042_nHappy first day of fall! Mortgage rates continue to be in a fairly tight range and are slightly improved compared to last Monday’s rate post.

Here’s a short  list of economic indicators that may impact the direction of mortgage rates this week:

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Seattle Home Buyer Education Class on November 8, 2014

Seattle Home Buyer ClassesI will be teaching a home buyer class in Seattle with Jim Repppond of Coldwell Banker Danforth on Saturday, November 8, 2014 at the Greenwood Library in Seattle.

The class is sponsored by the Washington State Housing Finance Commission. Students who attend are eligible for programs like Home Advantage or House Key Opportunity (the Washington state bond program) or Freddie Mac Home Possible. Students are also eligible for various down payment assistance programs and MCC (mortgage credit certificates).

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What May Impact Mortgage Rates this Week: September 15, 2014

20140504_210758This is a painting on black velvet that I did of our Fed Chairwoman, Janet Yellen, that hangs in my office. All eyes and ears will be on the Fed after the two day meeting FOMC meeting wraps up today. Here are some of the economic indicators scheduled to be released this week:

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