Mortgages

From The Desk Of Howard or Michelle Goodman:

Most of my Clients finance their home purchases, rather than paying cash. This is why it is to my advantage to associate with Lenders that can accommodate my Client’s particular Financing needs and thereby assure a “Funded Mortgage”. Here’s what a Premiere Lender who I work with regularly has to offer:

 

DID YOUR BANK SAY NO?

Have you been turned down for a Home Mortgage recently, while other people with your same credentials got the loan they desired?

It may not be your fault but rather just the Bank you chose to secure your Home Mortgage. What I’m saying is that different Banks may offer the same products (FHA, USDA, 30 Yr. Conventional, etc.) but the criteria used in determining your credit worthiness may vary from Bank to Bank.

 

HERE’S WHY BANKS MAY DIFFER

Most Banks, large and small, do not keep their Mortgage originations. They opt to sell them to Wall Street, where the Loans are ultimately bundled with other similar Loans. A set of Underwriting Guidelines are used for each Loan Product. Guidelines are set forth by the Government Institutions to protect the Investor from “mortgage defaults” as long as the Mortgages are in sync with all of the Government Agencies requirements. So far, everything seems to be standardized and equal. Unfortunately, different Banks sell to different Investors. Many Investors have more stringent requirements than the basic Government Underwriting Guidelines. These new requirements are called “Underwriting Overlays” and every Bank has an Investor Overlay in some (or all) of their Loan Products. The trick is to find the Bank that does not have an Underwriting Overlay in the area that a Borrower is deficient in.

Many turndowns occur because the Bank you chose did not support a Loan Program that you may have qualified for. For example, if you did not have enough “Down Payment” to qualify for a standard FHA product (3.5% down), it’s possible that you could have qualified for a the FHA “Access Product” which only requires a 5% Down Payment. However, only select Lenders have that Loan Program available.

 

HOW CAN WE HELP?

This is where New Horizon Mortgage Concepts comes in. We deal with a wide variety of Lending Institutions that offer a full spectrum of Loan Products. Each one has different Overlays and requirements, allowing us to direct each Loan Package to the most suitable Investor. We never charge our Clients an Application Fee (like some of the big Banks) and we also explain in detail what we can and can’t do. We provide an open line of communication and can usually give you a definitive answer as to whether we will be able to proceed with Loan Package in as little as 24 hours.

E-mail us at thebanksaidyes@yahoo.com or

Call Ken Soderlund at 714-269-4118 with your Loan Scenario.

We will ask you a few pertinent questions that will help us determine what your Home Loan qualifications are. Again, there is never a charge for this service.

 

AREAS OF COMMON BORROWERS CONCERNS

  • My Bank said I did not have enough reserves to qualify for their Loan!
  • My Credit Scores did not meet my Bank’s minimum requirements!
  • My Bank said I owned too many Properties that are financed!
  • My job experience does not meet my Banks minimum requirement!
  • My Bank said my “Debt to Income Ratio” was too high!
  • The Bank said my Bankruptcy or Foreclosure have not matured for their acceptable time limits!
  • The Bank said I did not have enough Credit Lines!

 

These are just a few areas that can be fixed if your Application is sent to the right Bank or Investor. Let us know why you were turned down.

E-mail us at thebanksaidyes@yahoo.com or

Call Ken Soderlund at 714-269-4118

Remember … There’s never an Application Charge or Fee.

 

BELOW ARE THE TYPES OF LOAN PRODUCTS WE SUPPORT

FHA This loan allows the most amount of flexibility as far as the borrower is concerned. Debt to Income ratio’s as high as 50% are allowed as are non own­er occupant co-signer, credit report with no credit scores, credit scores below 580 and only two year seasoning on chapter 7 and one on chapter 13 bankrupt.

USDA This loans features are that no money is needed for a down payment and the closing cost can be financed in the loan as long as the appraised value will support it. The upfront one time Guarantee fee has is 2.75% which can be financed, but USDA has added an annual .5% fee that is paid monthly. Property has got to be within USDA designated rural areas and there is a maxi­mum cap on the amount that borrowing unit can earn monthly.

1% DOWN CONVENTIONAL LOAN This is a Freddie Mac Loan Product where the lending bank contributes 2% of a 3% conventional loan. Some credit qualifications are necessay.

CONVENTIONAL This loan is your standard 80% loan. Max Debt to Income ratio is 45%. If you want, you can get up to a 97% loan, but will have to buy mortgage insurance and pay a higher interest rate. The final rate on this loan is heavily dictated by your credit scores.

VA NO down payment is necessary when using a VA loan. The upfront VA fee of 2.15% can be financed as part of the loan. You will need a certificate of eligibility from the VA to qualify for this loan.

HECM for PURCHASE  This is a type of FHA loan. This loan allows senior citizens, (over the age of 62), to purchase a home for 50% or less of the sales price (must have that amount as down payment at time of close) and have no monthly pay­ments for the rest of the time they reside in that property. They own the property and can sell it and keep the equity above the owed debt.