FHA appraisals will soon seem similar to those of Fannie and Freddie’s HVCC. I’m hopeful from reading the Mortgagee Letter 2009-08 that FHA’s route of improving the relationship between appraisers and loan originators will be healthier than HVCC’s (where the banks are profiting from their ownership interest in the unregulated AMCs). [Read more…]
Mortgage Programs
Not all mortgage loans are the same — and choosing the right program can make a significant difference in your payment, qualification, and long-term financial flexibility.
This section covers the most common and specialty mortgage programs available to homebuyers and homeowners, including:
- FHA Loans
- VA Loans
- USDA Loans
- Conventional & Jumbo Loans
- HomeReady & Home Possible
- Down payment assistance programs
- Washington State Housing Finance Commission (WSHFC) programs
- Specialty programs for medical professionals and unique scenarios
Understanding eligibility guidelines, loan limits, credit requirements, and program benefits allows you to compare options strategically rather than relying on headlines or general advice.
As a Mortgage Advisor with over 25 years of experience, I help clients evaluate which program best aligns with their income, assets, and long-term plans.
Explore the programs below to better understand your options.
Reader Question about FHA Mortgage Insurance
August 24, 2009 by 2 Comments
I received this email this past week while I was on vacation. Right now I am licensed for loans only in Washington State and I don’t always have enough time left in the day to answer the questions or request for advice that I receive from readers who are located outside of my current “lending boundaries”…although I do try. Sometimes a question or email makes a good post because it may help others who read this mortgage blog.
UPDATE: FHA guidelines constantly change. Whether or not your FHA mortgage insurance will drop off will depend on when you obtained the FHA mortgage.
Do ARMs Give You Goose Bumps?
June 30, 2009 by 2 Comments
Adjustable rate mortgages are becoming attractive once again for those who do not
plan on retaining their mortgage beyond the fixed period or who can stomach the unknown of what exactly their rate may be once the fixed period is over.
Today I quoted the following rates for a home buyer in Seattle with a 740+ mid-credit score who is buying a home with just over 20% down payment to have a loan amount at $417,000.
30 Year Fixed: 5.125% with 1 point (APR 5.281%) Principal and interest payment of $2,270.51.
10/1 ARM: 4.625% with 1 point (APR 5.883%). Principal and interest payment of $2,143.96.
5/1 ARM: 4.125% with 1 point (APR 6.480%) Principal and interest payment of $2,020.99.
Let me begin by saying there is nothing wrong with a 30 year fixed rate in the low 5s. In fact, historically speaking, it's a great rate. What I'm most excited about is the return of the 10/1 ARM. The 10/1 ARM offers a long term at a lower rate. Based on this scenario, the monthly savings is $122.97. Over a five year term, if you put that savings into a mattress; this is a savings of $7,378.20. Use this amount to pay off non-tax preferred debt or to apply towards reducing the principal balance and it's even more beneficial.
Do factor how long you're planning on staying in your home and/or retaining the mortgage. Remember that "life happens" and should you opt for a shorter period ARM, such as the 5/1 ARM, with intentions of moving–you may find yourself dealing with an adjustment that you were not planning on. It's all about knowing what your options are, understanding your choices and the terms of the mortgage and making an informed decision.
HUD Approves First Time Home Buyers Using Tax Credit Advance for FHA Loans
May 30, 2009 by 1 Comment
There’s been a lot of rumbling about whether or not first time home buyers would be able to access the tax credit created by The American Recovery and Reinvestment Act of 2009 towards the purchase of their new home. From HUD’s announcement yesterday: [Read more…]
Mortgage Master now has Streamlined FHA 203(k) Loans!
May 13, 2009 by 1 Comment
UPDATE: Please visit our Renovation Mortgage Guide for current information on various mortgages to remodel your Washington state home. [Read more…]
