Tacoma's #1 Mortgage Expert - Kevin Tinsley

Effective for all case numbers assigned on or after January 1, 2010, the validity period for all appraisals on existing and proposed and under construction properties will be 120 days. This change aligns FHA's requirements pertaining to the validity of an appraisal with current industry practices.

This is a change from the current validity periods of six months for an appraisal of an existing property that is complete, and 12 months for proposed and under construction properties.

FHA Home Loans Tacoma | FHA Mortgage Rate Tacoma | FHA Mortgage Information

http://www.fhamortgagetacoma.com

All Tech Mortgage Inc. is your gateway to great mortgage products from Washington State's top mortgage lenders. Locally based in Tacoma, we shop, compare rates & fees and connect you with the best mortgage lenders in the Northwest. The interest rates we quote are typically .25% - .50% lower than most national mortgage companies. Plus our fees are some of the lowest in the industry.

We Specialize in No Cost and Low Closing Cost Purchase & Refinance Home Loans. All Tech Mortgage offers true wholesale pricing from our lending partners. At All Tech Mortgage, we never expect your business, but hope to earn it with our aggressive pricing, speed, and overall efficiency.

VA Guaranty Calculation Examples

The following examples illustrate some common situations involving VA-guaranteed loans. They are by no means comprehensive. Due to variations in the amount of entitlement available to an individual veteran, loan limits for individual counties, and purchase prices for homes, situations may arise which are not covered here. Lenders are encouraged to contact the appropriate VA Regional Loan Center prior to closing a loan if there are questions about the VA guaranty calculation.

Example 1

Veteran has full entitlement available and is purchasing a home for $300,000 where the county loan limit is $417,000.

$417,000 X 25% = $104,250 Maximum Guaranty and Available Entitlement

$300,000 X 25% = $75,000 Guaranty and Down Payment Combination Required

Since VA's guaranty is limited to the lesser of 25% of the county loan limit or 25% of the loan amount, VA will guaranty $75,000 on Veteran's $300,000 loan in this county. A down payment should not be required.

Example 2

Veteran has used $48,000 of entitlement on a prior loan, which may not be restored, and is purchasing a home for $320,000 where the county loan limit is $625,000.

$625,000 X 25% = $156,250 Maximum Guaranty

$156,250 - $48,000 = $108,250 Entitlement Available

$108,250 X 4 = $433,000 Maximum Loan Amount with 25% Guaranty

Since the proposed loan amount will be less than $433,000, the lender will receive 25% VA Guaranty on the loan of $320,000. A down payment should not be required.

Example 3

Veteran has used $104,250 of entitlement on a prior loan, which may not be restored, and is purchasing a home for $380,000 where the county loan limit is $815,000.

$815,000 X 25% = $203,750 Maximum Guaranty

$203,750 - $104,250 = $99,500 Entitlement Available

$99,500 X 4 = $398,000 Maximum Loan Amount with 25% Guaranty

Since the proposed loan amount will be less than $398,000, the lender will receive 25% VA Guaranty on the loan of $380,000. A down payment should not be required.

Example 4

Veteran has full entitlement available and is purchasing a home for $480,000 where the county loan limit is $417,000.

$417,000 X 25% = $104,250 Maximum Guaranty and Entitlement Available

$104,250 / $480,000 = 21.72% Guaranty

Since VA's Guaranty will be less than 25%, a down payment will likely be required to meet investor requirements.

$480,000 X 25% = $120,000

$120,000 - $104,250 = $15,750 Down Payment

Example 5

Veteran has used $27,500 of entitlement on a prior loan, which may not be restored, and is purchasing a home for $320,000 where the county loan limit is $417,000.

$417,000 X 25% = $104,250 Maximum Guaranty

$104,250 - $27,500 = $76,750 Entitlement Available

$76,750 / $320,000 = 23.98% Guaranty

$76,750 X 4 = $307,000 Maximum Loan Amount with 25% Guaranty

Since VA's Guaranty will be less than 25%, a down payment will likely be required to meet investor requirements.

$320,000 X 25% = $80,000

$80,000 - $76,750 = $3,250 Down Payment

Example 6

Veteran has used $36,000 of entitlement on a prior loan, which may not be restored, and is purchasing a home for $120,000 where the county loan limit is $417,000.

Since the loan amount will not be over $144,000, the veteran's additional entitlement cannot be used. Therefore, the guaranty would be 0%: $0 / $120,000

Example 7

Veteran has full entitlement available and is purchasing a home for $800,000 where the county loan limit is $729,750.

$729,750 X 25% = $182,437.50 Maximum Guaranty and Entitlement Available

$182,437.50 / $800,000 = 22.81% Guaranty

$800,000 X 25% = $200,000 Guaranty and Down Payment Combination Required

$200,000 - $182,437.50 = $17,562.50 Down Payment

All Tech Mortgage Inc. is your gateway to great mortgage products from Washington State's top mortgage lenders. Locally based in Tacoma, we shop, compare rates & fees and connect you with the best mortgage lenders in the Northwest. The interest rates we quote are typically .25% - .50% lower than most national mortgage companies. Plus our fees are some of the lowest in the industry.

We Specialize in No Cost and Low Closing Cost Purchase & Refinance Home Loans. All Tech Mortgage offers true wholesale pricing from our lending partners. At All Tech Mortgage, we never expect your business, but hope to earn it with our aggressive pricing, speed, and overall efficiency.

visit us online at www.VALoansTacoma.com

Does Fannie Mae own my mortgage? Why would you even care who owns your mortgage? Well if you have been considering refinancing your home loan, but real estate values in your area have declined, you may want to know who owns your mortgage...Knowledge is Power...

Fannie Mae's program DU Refi Plus allows homeowners to refinance even though the value of their home may have dropped. One of the biggest benefits of the program is, if you were not required to carry mortgage insurance in the past, chances are you will not have to carry it when you refinance. This alone could save $50-300 per month. Or if you did have mortgage insurance on your previous loan, you can continue paying at the same rate - which is usually less than what's available today. For more information about the DU Refi Plus program, call Kevin Tinsley - All Tech Mortgage (253) 472-1500. Locally based in Tacoma, WA Serving the entire Puget Sound Region. www.alltechmortgage.com

All Tech Mortgage Inc. is your gateway to great mortgage products from Washington State's top mortgage lenders. Locally based in Tacoma, we shop, compare rates & fees and connect you with the best mortgage lenders in the Northwest. The interest rates we quote are typically .25% - .50% lower than most national mortgage companies. Plus our fees are some of the lowest in the industry.

www.VAHomeLoansTacoma.com or www.VAHomeLoansSeattle.com

General Rules for Eligibility

Military Service Requirements for VA Loan Eligibility:

Note: Applications involving other than honorable discharges will usually require further development by VA. This is necessary to determine if the service was under other than dishonorable conditions.

Wartime - Service During:

• WWII: 9/16/1940 to 7/25/1947
• Korean: 6/27/1950 to 1/31/1955
• Vietnam: 8/5/1964 to 5/7/1975

You must have at least 90 days on active duty and been discharged under other than dishonorable conditions. If you served less than 90 days, you may be eligible if discharged for a service connected disability.

Peacetime - Service during periods:

• 7/26/1947 to 6/26/1950
• 2/1/1955 to 8/4/1964
• 5/8/1975 to 9/7/1980 (Enlisted)
• 5/8/1975 to 10/16/1981 (Officer)

You must have served at least 181 days of continuous active duty and been discharged under other than dishonorable conditions. If you served less than 181 days, you may be eligible if discharged for a service connected disability.

Service after 9/7/1980 (enlisted) or 10/16/1981 (officer)

If you were separated from service which began after these dates, you must have:

• Completed 24 months of continuous active duty or the full period (at least 181 days) for which you were ordered or called to active duty and been discharged under conditions other than dishonorable, or
• Completed at least 181 days of active duty and been discharged under the specific authority of 10 USC 1173 (Hardship), or 10 USC 1171 (Early Out), or have been determined to have a compensable service-connected disability;
• Been discharged with less than 181 days of service for a service-connected disability. Individuals may also be eligible if they were released from active duty due to an involuntary reduction in force, certain medical conditions, or, in some instances for the convenience of the Government.

Gulf War - Service during period 8/2/1990 to date yet to be determined

If you served on active duty during the Gulf War, you must have:

• Completed 24 months of continuous active duty or the full period (at least 90 days) for which you were called or ordered to active duty, and been discharged under conditions other than dishonorable, or
• Completed at least 90 days of active duty and been discharged under the specific authority of 10 USC 1173 (Hardship), or 10 USC 1173 (Early Out), or have been determined to have a compensable service-connected disability, or
• Been discharged with less than 90 days of service for a service-connected disability. Individuals may also be eligible if they were released from active duty due to an involuntary reduction in force, certain medical conditions, or, in some instances, for the convenience of the Government.

Active Duty Service Personnel

If you are now on regular duty (not active duty for training), you are eligible after having served 181 days (90 days during the Gulf War) unless discharged or separated from a previous qualifying period of active duty service.

Selected Reserves or National Guard

If you are not otherwise eligible and you have completed a total of 6 years in the Selected Reserves or National Guard (member of an active unit, attended required weekend drills and 2-week active duty for training) and

• Were discharged with an honorable discharge, or
• Were placed on the retired list, or
• Were transferred to the Standby Reserve or an element of the Ready Reserve other than the Selected Reserve after service characterized as honorable service, or
• Continue to serve in the Selected Reserves

Individuals who completed less than 6 years may be eligible if discharged for a service-connected disability.

You May also be determined eligible if you:

• Are an unremarried spouse of a veteran who died while in service or from a service connected disability, or
• Are a spouse of a serviceperson missing in action or a prisoner of war

Note: Also, a surviving spouse who remarries on or after attaining age 57, and on or after December 16, 2003, may be eligible for the home loan benefit. However, a surviving spouse who remarried before December 16, 2003, and on or after attaining age 57, must apply no later than December 15, 2004, to establish home loan eligibility. VA must deny applications from surviving spouses who remarried before December 6, 2003 that are received after December 15, 2004.

Eligibility may also be established for:

• Certain United States citizens who served in the armed forces of a government allied with the United States in WW II.
• Individuals with service as members in certain organizations, such as Public Health Service officers, cadets at the United States Military, Air Force, or Coast Guard Academy, midshipmen at the United States Naval Academy, officers of National Oceanic & Atmospheric Administration, merchant seaman with WW II service, and others.

For additional information on VA Home Loans, Call Kevin Tinsley (253) 472-1500 www.alltechmortgage.com

www.FHAHOMELOANSTACOMA.COM

Financing a home with a FHA mortgage in Tacoma can be a challenge if the seller has recently acquired the property. Due to the large number of foreclosures and short sales, you may come across homes where the owner of the property has only owned the home for a short time. In this case, if you are planning to finance the purchase with an FHA LOAN, you will have to wait 90 days before you can enter into a purchase and sale agreement to purchase the property.

Hud has recently made some exemptions to this 90 Day rule. Below are the exceptions:

* HUD Repo's
* Owned by Federal, State or Local Governments Agencies
* Owned by State of Federally Charted Financial Institutions
* GSE owned Fannie and Freddie Mac
* Inherited Properties
* Employer owned from employee transfers
* Non-Profits on HUD's approved list to purchase REOs at a discount
* Properties in a designated federal disaster area
* Builder selling newly built home
* Foreclosed, or Mortgagee (Lender) "acquired" properties

**Any title change to the property in the proceeding 90 days will trigger the 90 day rule. Examples: Seller transfer the property to a LLC, Seller creating a revocable living trust, Seller transferring the property to a living trust, and quit claim deed transfers.

TIP: Request a copy of the ownership record, preliminary title, or any other document to show how long the owner has owned the property before making a offer to purchase the property.

If you do have to wait for the 90 day period to expire, keep in mind you may be subject to higher interest rates in the future and may no longer qualify for the home.

For more information on this topic, Call Tacoma's #1 Mortgage Expert - Kevin Tinsley at (253) 472-1500 or visit us on-line at www.alltechmortgage.com or www.fhaloanstacoma.com