The Home Affordable Refinance Program (also known as HARP) which helped many home owners refinance their underwater homes into lower rates following the melt-down, is scheduled to end later this summer. [Read more…]
HARP Refi’s are still available…for a few more months!
May 16, 2017 by Leave a Comment
Improvements to Credit Scoring
May 12, 2017 by Leave a Comment
Earlier this year, the three major credit bureaus (aka “credit reporting agencies” or “CRAs”), Experian, Equifax and Transunion, came to a settlement with the New York Attorney General impacting credit reporting. It is anticipated that the settlement will help some consumers improve their scores by 10-40 points. [Read more…]
USDA Income Limits
May 10, 2017 by Leave a Comment
EDITORS NOTE June 5, 2017: Of course USDA income limits were updated right after I published this post! Please click here for 2017 income limits for USDA mortgages in Washington state.
USDA offers a no-down payment mortgage program which is available in rural areas (typically a town with population of 10,000 or less). USDA does not have loan limits, the program is limited by household income and if the property is in a USDA designated location. [Read more…]
Updates to Fannie Mae Guidelines
May 2, 2017 by Leave a Comment
Last week, Fannie Mae released Selling Guide Announcement SEL-2017-04 with underwriting updates, including the special pricing for when home owners refinance their home to pay off student loans. Fannie Mae is the Federal National Mortgage Association and basically provides funding for conventional “conforming” loans. [Read more…]
Are you remodeling your greater Seattle or Tacoma area home?
April 29, 2017 by Leave a Comment
We’re getting ready to remodel our kitchen and recently discovered Second Use. Second Use is locations in Seattle Tacoma. They sell second-hand items for your home from furniture to all types of fixtures. [Read more…]
Cash Out Refinances for Student Loans
April 26, 2017 by Leave a Comment
Fannie Mae has revamped some guidelines regarding student loans and how they are treated in debt to income ratios for qualifying for a mortgage. This is great news… however what’s even better news for home owners who have student loans, Fannie Mae is offering improved pricing on cash out refinances for paying off student loans! [Read more…]
Mortgage Rates take a dip
April 21, 2017 by Leave a Comment
Freddie Mac’s PMMS (Prime Market Mortgage Survey) this week headlines “Mortgage Rates Tumble Below 4 Percent“. This is great news for home owners who have been waiting to refinance.
According to the PMMS: [Read more…]
Buying a home? You may want to delay filing your taxes right now.
April 10, 2017 by Leave a Comment
If you are in the market to buy or refinance your home around tax time, you might want consider filing an extension. This is because some lenders require taxes to be verified if a tax return has been filed. The IRS typically winds up taking several weeks to process verifications from lenders during this time of the year. This can potentially cause a delay with closing of some transactions. [Read more…]
. USDA does not have loan limits, the program is limited by household income and if the property is in a USDA designated location.<!--more--> This is a government backed program that allows 100% USDA financing (no down payment) on homes that are in a designated rural community for families earning less than a certain income. A majority of Washington State single family residences (homes and condos) qualify...of course if you live in metropolitan areas like Seattle or Bellevue, odds are your home will not. However, if you're considering areas like Duvall, parts of Maple Valley, Vashon or Bainbridge Island, it may qualify for USDA 100% financing. To qualify, families must be without "adequate housing" (may not own a home or adequate home), must have reasonable credit history and be able to afford the mortgage (29/41 is the debt to income ratio guidelines). Income limits vary by county and the entire household income is considered (not just the primary borrowers or those borrowers on the mortgage) for determining if the income meets the guidelines. This is separate from income considered for "debt-to-income" ratios. Income limits vary on household size from 1-4 person or 5-8 person. As of the publishing of this article, in Washington, the income limits by county are: <ul> <li>King and Snohomish Counties: 1-4 Person $102,150 | 5-8 Person $134,850</li> <li>Pierce County: 1-4 Person $83,150 | 5-8 Person $109,750</li> <li>Benton County: 1-4 Person $80,850| 5-8 Person$106,700</li> <li>Clark County: 1-4 Person $84,550 | 5-8 Person $111,600</li> <li>Franklin County: 1-4 Person $80,850| 5-8 Person $106,700</li> <li>Garfield County: 1-4 Person $78,050 | 5-8 Person $103,050</li> <li>Island County: 1-4 Person $89,550 | 5-8 Person $118,200</li> <li>Kitsap County: 1-4 Person $86,950 | 5-8 Person $114,750</li> <li>Kittitas County: 1-4 Person $75,700 | 5-8 Person $99,900</li> <li>San Juan County: 1-4 Person $78,050 | 5-8 Person $103,050</li> <li>Skagit: 1-4 Person: 1-4 Person $78,400 | 5-8 Person $103,500</li> <li>Skamania Counties: 1-4 Person $84,550 | 5-8 Person $111,600</li> <li>Thurston County: 1-4 Person $88,900 | 5-8 Person $117,350</li> <li>Whatcom County: 1-4 Person $80,350 | 5-8 Person $106,050</li> <li>Whitman County: 1-4 Person $77,750 | 5-8 Person $102,650</li> <li>All other Counties*: 1-4 Person $75,650 | 5-8 Person $99,850</li> </ul> *All other counties includes: Adams, Asotin, Chelan, Clallam, Columbia, Cowlitz, Douglas, Ferry, Grant, Grays Harbor, Jefferson, Klickitat, Lewis, Lincoln, Mason, Okanogan, Pacific, Pend O'Reille, Spokane, Stevens, Wahkiakum, Walla Walla, and Yakima. You can check<a href="https://eligibility.sc.egov.usda.gov/eligibility/incomeEligibilityAction.do?pageAction=state" target="_blank" rel="noopener noreferrer"> current USDA income limits by visiting the USDA site (clicking here)</a>. Please be sure to click the "guaranteed" option. Income limits can and do change. You can also use <a href="http://eligibility.sc.egov.usda.gov/eligibility/incomeEligibilityAction.do?pageAction=state&NavKey=income@11" target="_blank" rel="noopener noreferrer">USDA's income eligibility calculator</a> which will factor in deductions to income, select the "guaranteed" results (not "direct"). Income used to determine if a family is under the household income limits includes all those (18 years and older) who will be living in the home regardless of whether or not they're on the mortgage. Incomes of children over 18 who working AND who are full time students are not factored. Here is more information of <a href="http://eligibility.sc.egov.usda.gov/eligibility/IncomeEligibilityHelp_SFH.jsp#1">how USDA loans calculate household income</a>. Once you've determined that you meet the household income limits, the next step is to see to see what communities in your area are eligible for USDA financing. You don't have to go too far from Seattle or Bellevue to find homes that do qualify for this type of mortgage. <a href="http://eligibility.sc.egov.usda.gov/eligibility/welcomeAction.do?pageAction=sfp&NavKey=property@11" target="_blank" rel="noopener noreferrer"> Using the USDA site, under "Property Eligibility" click "Single Family Dwelling".</a> From there you can either enter a specific address or click on the map to narrow down your search. <img class="wp-image-12773 alignleft" src="https://mortgageporter.com/images/2017/05/2017-05-usda-173x300.jpg" alt="" width="300" height="519" /> <strong>Sellers and real estate agents who are working in neighborhoods that qualify should be sure to include this program as an option they'll consider for financing on their offers. </strong>USDA often offers a more attractive payment than FHA because of FHA's higher mortgage insurance and funding fees. <span style="color: #1c1c1c;">This map is as of the publishing of this post. Areas that are outside of the peachy orange shade are eligible for USDA 100% financing (no down payment) mortgages.</span> I'm pleased to offer USDA financing as an option for borrowers who meet the criteria. If you have any questions regarding USDA or other mortgage programs for financing homes located anywhere in Washington State, please contact me, I'm happy to help! <a href="https://mortgageporter.com/apply">Click here for a mortgage rate quote for homes located anywhere in Washington.</a>){kind=link}
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