Did you know that an FHA loan is not just for first time home buyers? It is a myth that FHA home loans are only for the first time home buyer. Today, we are going to take a look at what our friends over at Home Loan Ninja have to say about FHA loans.

FHA loans can be used to refinance a home, and may be a good choice because of the leniency regarding credit scores. Whether purchasing or refinancing there are reasons people choose an FHA home loan.
An FHA home loan currently allows for a borrower to have a 580 FICO score, however this can change and sometimes one bank will have a different requirement.  This is set bank by bank, some will banks during changes will require a different score than another.  Now that does not mean you should shop on and on for a lender that will allow a lower credit score, what it does mean is that you should be working closely with your REALTOR® and your lender from the start. This way when changes happen you are prepared.  FHA loans allow you to finance 95% of the property value. Many conventional loans will only finance 75% to 80% of the property value. Additionally many conventional loans are only available for those with a 720 FICO score.

Additional Ask The Mortgage Professional Articles

Looking for a mortgage professional? I would encourage you to contact;

Jason or James – your Home Loan Ninjas at 503.799.4112 or you can visit their website and see more info about mortgages and what you should expect.

кухненски масиMany times a buyer will find the perfect home and it just needs a some fixes – these home can be purchased with a 203k FHA loan.  Although these loans can be tricky and the buyer, agent, lender and yes even the seller should be aware of the process they can be done.

Half the success of closing a loan and a purchase is making sure the people involved understand the process and what to expect.  With a 203k loan your repairs can be financed int he transaction, however before your appraisal you will want to have a qualified contractor look at the home, and give you an accurate estimate of the repairs.  The estimate needs to be very detailed this estimate is used as part of the appraisal.  The appraiser will be given a copy of this estimate and consider what the value of your home would be after your repairs are complete.

In Central Oregon these loans are a little trickier than in your more populated areas, because the list of certified and qualified contractors, engineers and so on are limited.

Additional Ask The Mortgage Professional Articles

Looking for a mortgage professional? I would encourage you to contact;

Jason or James – your Home Loan Ninjas

at 503.799.4112 or you can visit their website and see more info about mortgages and what you should expect.

Many times a buyer will ask me how much they need to put down to purchase a home.  The answer is not nearly as easy as you might think.  There are several loan programs and different requirements for each loan product. The video below will discuss, FHA, VA and conventional financing.

There are a couple programs that allow for 100% financing and they are briefly discussed, one of the areas not touched in the video is the Neighborhood Stabilization Program.  Many areas in Central Oregon do qualify for this program which is not quiet 100% financing but pretty darn close.

Thanks Home Loan Ninjas for once again answer our questions about home loans, mortgages and all that comes with them.

More Articles From The Mortgage Professionals

Looking for a mortgage professional? I would encourage you to contact;

Jason or James – your Home Loan Ninjas

at 503.799.4112 or you can visit their website and see more info about mortgages and what you should expect.

If you are thinking about buying a home anywhere in Deschutes County except in the Bend urban growth boundary, you should be aware of the USDA Rural Guaranteed Home Loan Program. USDA Rural Home Loans offer many advantages over either FHA Mortgage Loans or Conventional Home Loans.  Here is a brief summary of advantages of the USDA Rural Home Loan.

• No Down Payment - Truly a 100% home loan
• No Expensive Mortgage Insurance – Keeps your monthly payment low
• No Cash Reserve Requirement
• No Minimum Credit History Requirement
• USDA 100% Financing is a top choice among First Time Home Buyers
• No Limitation to the purchase price
• May finance up to 102% of the appraised value
• Down Payment Assistance from non profits is acceptable
• No limits to the concessions the seller can make – seller paid closing costs
• Rates are typically similar to FHA Home Loans or Conventional Mortgages

USDA Rural Home Loans provides competitive rates, the lowest down payment and the lowest monthly payment of any loan available. There are qualifications for the program. For instance, your household income for a family of up to 4 cannot exceed $73,600 and a family of up to 8 can have a household income of up to $97,150. Additionally, you cannot finance an existing manufactured home with this program. 

Call Fred Chamberlin today at 541-342-7576/541-221-3455 Cell for a current quote.  You’ll be glad you did!

Article Submitted by Fred Chamberlin – of Alpine Mortgage Planning

I am not a mortgage specialist and do not pretend to be… with that being said I have started asking mortgage specialist to provide information.

Written by; Fred Chamberlin, Senior Mortgage Consultant with Alpine Mortgage Planning – Fred can be reached at Eugene Loan Guy or email EugeneLoanGuy@gmail.com | phone numbers 541-342-7576 Office 541-221-3455 Cell

There is a lot of information circulating about the First Time Home Buyer Tax Credit of up to $8,000 that is included in the Stimulus Bill, including using it for down payment. First of all, at the present moment in time, it cannot be used for the down payment, even though the Secretary of Housing and Urban Development, Shaun Donovan, said it would be available in a recent speech to the National Association of REALTORS®.

It is my belief that the arrangements to make this happen will be done shortly. I think that there are procedures and non profit organizations in place that can make this happen with the assistance of HUD. I also believe that the administration wants this to happen, so it will. Estimates are that the use of the tax credit for down payment will put an additional 300,000 first time home buyers into homes. How can this be a bad thing?

This is what the Tax Credit for First Time Home Buyers is:

First-time homebuyers who purchase homes from the start of the year until the end of November 2009 may be eligible for the lower of an $8,000 or 10% of the value of the home tax credit. Remember a tax credit is very different than a tax deduction. Tax credits are equivalent to money in your hand, as opposed to a tax deduction which only reduces your taxable income.

The tax credit starts phasing out for couples with incomes above $150,000 and single filers with incomes above $75,000. Buyers will have to repay the credit if they sell their homes within three years. From what I have read of the plan, the $8,000 is available for anyone buying a home that is a first time home buyer, whether single or married. However, if a married couple buys a home and files separate tax returns, they may only get $4,000 each.

There are ways to access the tax credit in advance, such as borrowing against a 401k and paying it back after receipt, borrowing from a local financial institution and paying it back after receipt, or by accepting a gift from a relative for the down payment. Talk to your trusted financial advisor about what this will mean to you. The credit is not repayable as long as you live in the home for 3 years or more.