Jacob Haddan FHA HUD VA and USDA Lender (Freedom Financial Services) Lone Tree

The light rail line in south Denver based on the Southeast Corridor Extension will extend the light rail line 2.3 miles from the current end-of-line located at Lincoln Station. New stations of Sky Ridge Medical Center, Lone Tree City Center and One south of the new RidgeGate Parkway/I-25 interchange.

Erin a yourhub stated that "Due to downturn in the economy,coupled with escalating materials cost, has skyrocketed the cost to about $7 billion - about $2 billion more than the original estimate"

My oppionion is that this will bring value to the comminity and I look forward to seeing this take shape.

Details and amenities in the area,

RidgeGate: Sky Ridge Medical Center, a $300 million medical campus and trauma center hospital

A Great Recreation Center, a $16 million recreation center, Supper Target, Colorado Center for Reproductive Medicine, 650 residences in six neighborhoods ranging from apartments to single family detached homes. Land under contract for a 400-unit continuing care retirement community and more.

Future Amenities, Museum and Cultural Center renovation project, Added Retail center east of Super Target, Lone Tree Cultural Arts Center, Two Hotels Embassy Suites and Hampton Inn & Suites, Wide range of housing from Apartments to Single-family homes starting at $159,900 to $3,400,000. Three light rail stations planned for inclusion in RTD's Southeast Line extension and parks, trails and preserved open space.

What's really going on here. If you have turned your TV on today you would have noticed the stock market is at a 7 month high. But what does this really mean?

The fact is that with stock prices on the rise and inflation inevitable Mortgage rates will be increasing soon. I always suggest my clients "lock in" the interest rate if they are not into gambling. This is at least something solid. If you have a lender who has not locked in a deal your working together find out why. Before rates go up and they no longer qualify. Please ask the loan officer what did you lock the rate at and for how many days. With uncertain times and programs changing daily nothing is guaranteed but at least you will have one less thing to worry about.

Any comments good bad or mean are greatly apreciated. I request that everyone speak from the heart with love.

Hopefully this helps you sleep better at night. It sure has helped me over the years. Keep living your life with Passion! Thanks for reading JH.

Realtors,

If your selling a home and working with an investor who bought at a substantial discount and now is making a substantial profit of 100% or more FHA will have an issue with this. Please be sure to call the loan officer and have a talk with He/She to fully document the seller profit. Per FHA a substantial profit is over 100%.
Example$100,000 purchase turns and sales for $200,000 if a substantial profit but if Seller/Investor puts $50k into work on the property this is now acceptable per FHA. This can always change of course based on the current market. But always fully document and don't blame the loan officer for not catching it as it's your responsibility to fully disclose if you don't want to take the Risk of a delayed closing.

So my main point is "communication is key"

Thanks JH!

jhfreedomfs@gmail.com

Jacob C. Haddan

Sr. Loan Officer

Freedom Financial Services

10463 Park Meadows Dr. Ste 210

Lone Tree, CO 80124

Main: 303-663-5266 Ext 112

Fax: 303-680-1995

Cell: 720-210-7898

Many Realtors never thought they would have to touch a buyer purchasing a home through FHA financing. Now it consists of 80% of the business Realtors currently do. (Based my personally interviews) FHA lost significant business between 2001-2008 due to conventional sub-prime loans.

FHA products are great for first time homebuyers but you don't have to be a first time homebuyer. With the risk based PMI insurance companies tightening, buyers who are putting less than 20% down and have a credit score less than 700 (within the FHA loan limit)should consider an FHA loan as a financing option.

Requirements

Borrower

•1. Client needs little to no money down, 3.5% down

•2. Less than perfect credit allowed(as of 4/13/09 580 minimum credit score)

•3. 6 percent seller paid concessions

•4. All down payment funds can be gifted

•5. No reserve requirements

•6. No income limits

•7. very competitive interest rates

•8. Limited to owner occupied property

•9. available for 1-4 unit properties

•10. High LTV for owner occupied 4 unit property

•11. manual underwriting allowed

•12. Borrowers in a Chapter 13 bankruptcy with 1 year of on time payments can buy

•13. 2 years out from discharge date on a chapter 7 Bankruptcy

•14. 3 years required from Foreclosure sale date

•15. Manufactured housing is allowed

•16. Letter of explanation is needed on all bad credit on their borrowers report

Property

FHA appraisers are required to not any major defects such as Evidence of termites, inoperative or inadequate plumbing, heating or electrical systems. Structural failure in framing members. Leaking or worn-out roofs. Cracked masonry or foundation damage drainage problems.

Examples of minor property conditions that DO NOT require Automatic repair for existing properties include, but are not limited to:

• Missing handrails
• Septic Systems unless evidence of system failure
• Cracked or damaged exit doors that are otherwise operable
• Cracked window Glass
• Flat and/or unobservable roof unless there is a problem.
• Defective floor finish or covering (worn through the finish badly soiled carpeting)
• Evidence of Previous wood destroying insect damage.

Comparison Approach:

• Usually the most applicable approach in estimating the market value; Selection of comparable Age of comps should not exceed 6 months
• over 12 months is unacceptable per HUD.
• Underwriter or Investor may not accept anything over 6 months or require fully acceptable explanation.
• Current offerings and listings are used as supplemental data only.

• Property Flippers PLEASE TAKE NOTE; Current owner must be on title 90 days.

Loan Limits:

Limits rang per county from as low as $271,050 and as high as $729,750 for Single Family Residences in the state of Colorado. (For current FHA loan limits in your county you can contact me just email and put in your county and number of units)

Changes,

Some of the main changes that agents should be aware of are. The current Up front mortgage insurance premium on Purchase loans is 1.75% the Monthly Private Mortgage Insurance is .55% on purchases up from last year.

Last year there were 40 mortgagee letters amending these items so this was almost changing on an every 10 day basis.

Marketing,

Freedom Financial Services markets to First time home buyers on several of the top Denver Radio stations. I add give updates on Mondays at my twitter page www.twitter.com/jhaddan in order to keep my clients and referral partners informed. I will make other updates if rates have increased or if there are currently changing mortgagee letters with guideline changes. These have an option to be received by text message.

We do a monthly Realtor Seminar at our office for Realtors who want to learn more about FHA and Assistance programs available in the Denver Market.

I have been originating FHA loans since 2001. I often give credit to my most influential top of the line manager Rosella Manning who is one of the true FHA CHFA Queens of Colorado. It has been my pleasure to help borrowers with their financing through FHA. I would encourage Realtors to look at our market as an opportunity to connect and build stronger relationships with loan officers starting today.