Short sales can be an extensive process that leaves many home owners wondering where to begin. If you have come to the point of choosing a short sale as an option, the first step is to write a hardship letter. This letter will summarize the reasons you are pursuing a short sale. Although it is tempting to include the details of your financial crisis, keeping it simple and to only one page will suffice. Once you have written your letter, seek help from a financial professional to review it and see if anything needs to be added or changed.
Read the full article here:
http://homebuying.about.com/b/2013/05/24/write-a-simple-hardship-letter-for-that-short-sale.htm
VA home loans are a privilege of being a servicemember. Thus, eligibility is not automatic; there are certain requirements that need to be met by both the VA and the individual mortgage lender. There are military service requirements that need to be satisfied such as serving at least 90 consecutive days during active war time or at least six years in the National Guard or Reserves. In order to be sure you are eligible, obtain your Certificate of Eligibility from the VA which will outline what VA loan entitlements you have. Although you do not need the Certificate to begin the home loan process, some people feel more comfortable having it in hand.
Read the full article here:
http://www.veteransunited.com/valoans/service-requirements-for-the-va-loan-program/
Areas where the housing crash hit hardest are starting to boom again with buyers eager to purchase a home. This is true in the Bay Area, from Oakley to East San Jose. All of the cities in this area are similar in that they have a small amount of inventory and lots of potential buyers. Median sales prices have risen anywhere from 27 to 51 percent. Because the overall inventory for sale is low (as in a lot of places around the country), sellers are receiving multiple offers for their home and often receiving more than the asking price. Sometimes they are getting all cash offers which helps sweeten the pot. Although we can’t predict the future, the current housing market is prime for sellers.
Read the full article here:
http://www.mercurynews.com/business/ci_23302664/bay-area-real-estate-market-is-hot-even
Due to improved financial and housing markets, Fannie Mae predicts that the economy will ‘reaccelerate’ in the remaining part of the year. While efforts such as increasing employment numbers are contributing to this push, factors such as sequestration and the impending debt ceiling are creating bumps in the road. Housing affordability may decline some but will still stay in the normal range. Mortgage rates will also most likely increase, but are projected to be no more than five percent. Home prices will also continue to rise, along with single and multi-family starts.
Read the full article here:
http://www.dsnews.com/articles/fannie-mae-economy-will-reaccelerate-in-2nd-half-of-2013-2013-05-20
There are many steps to the home buying process. You have to figure where you want to live, which includes canvasing neighborhoods, visiting schools, and looking up local statistics to see which location is perfect for you. Then, you have to figure out the type of home you want to buy, whether that be ranch style or an old-styled log cabin. Once these things are nailed down, you have to focus on the financing portion of the process. This includes determining how much mortgage you can afford, as well as finding cash for a down payment. Most likely, you will need to take out a home loan, which can also get tricky. In order to be considered a successful loan applicant, you need to understand what lenders look for and how to get a favorable review.
The first thing mortgage lenders look at is your credit score. Most lenders will not accept anything under 620, so if your score is below that, you need to do some credit recovery. They will also look for proof of income, a steady job history, and your debt-to-income ratio.
Interest rates also rely on credit scores. The higher your credit score, the lower the mortgage interest rate you will receive. In order to increase your credit score, be sure to pay your bills on time, keep the number of accounts you have to no more than a handful, and pay more than the minimum payment if possible.
There are also more costs wrapped into a home loan that many buyers don’t realize. This includes Private Mortgage Insurance (PMI), property taxes, attorneys’ costs, and title insurance, to name a few. Be sure to check with your lender about these fees before the deal is closed.
Buying a home and obtaining a home loan is a very important step to take. Contact one of our professionals to find a home and the perfect loan for you.
Although people do their best to plan for retirement, some people fall short of their savings goal. If you are age 62 or older and find yourself in this situation, a reverse mortgage could help you take advantage of the resources you already have in place. If you have never heard of a reverse mortgage, there are a few things to consider. Reverse mortgages are FHA approved, it eliminates your current mortgage and payment, you retain title of your home, you choose how the money is distributed, and there are no mandatory repayments. There are requirements in order to qualify for a reverse mortgage so be sure to check with your lender.
Read the full article here:
http://www.zillowblog.com/2013-05-15/reverse-mortgages-10-things-you-need-to-know/