Maria Marriott , Mortgage Advisor

Great news to home buyers...Fannie Mae is now offering a special loan program that allows buyers to purchase Real Estate Owned (REO) properties straight from Fannie Mae. It's called Home Path and is already in place.

Why is it a good idea? Because in the midst of a credit crunch and lack of loan options that allow high financing, Fannie is offering a product that not only requires very low down payment but also has flexible guidelines, thus opening doors for new home buyers.

This home loan allows home buyers to finance up to 97% of the property value, if occupying the property, and up to 90% for investment properties. It's huge!

To top it off, credit guidelines are easier AND there is NO mortgage insurance and NO appraisal requirements. Pretty good, wouldn't you agree?

Now, let's remmeber that other underwriting guidelines still apply such as proof of employment stability! This isn't one of those "as long as you can breath we'll lend" kind of loan...

There are just a few lenders who will offer this program and I'm happy to say we're one of them!

For more information on Home Path and eligible properties in your area go to HomePath.com or contact me.

On Your Team,

Maria

www.MortgageMinutesAndMore.com

By this time, most of you know how hard it's been to refinance a home loan due to property values. Short sales and foreclosures have driven home prices to their lowest and even though interest rates are still amazingly attractive, the grand majority of home owners can't take advantage of it.

But wait...you may be one of the lucky ones and be able to save some cash on you monthly payment. What if you can refinance WITHOUT an appraisal and no income or asset verification. Yep...It is very possible.

Please CLICK HERE for my video on Streamline Refinance and learn all about this incredible opportunity.

On Your Team,

Maria Marriott

www.MortgageMinutesAndMore.com

CADRELicense#: 00654852

Congratulations!

You took the big step of qualifying for a mortgage and are now on your way to finding the perfect home. It's smooth sailing from here, right? Probably. However, more than one buyer has had the wind knocked out of his sails at some point in a real estate transaction by doing some of the things described below. If at all possible, steer clear of the following "NO-NOs" until AFTER you're loan has funded and recorded.

Do Not Take On New Debt
The temptation is strong. There are so many big purchases that people want to make in connection with a move: appliances, window treatments, furniture, etc. When you add to this the fact that, today, everyone offers easy terms and no money down- well, why not just do it? Answer: because you will change what the mortgage industry calls your "debt-to-income ratios" (the relationship of your income to your debt). Bottom line...do not apply for any new purchases on credit or authorize your credit to be pulled.

Do Not Change Jobs
If at all possible, try not to make a career move during the time between your mortgage application and the closing on the home you are purchasing. But, you ask, "What if it's a BETTER job, for MORE money, in a DIFFERENT field?" Still, try and wait until AFTER closing. One of the factors mortgage companies consider is length of present employment; they are partial to stability. At the very least, changing jobs initiates the need for more paperwork, and may delay your closing.

Do Not Pack Too Soon
Well, go ahead and pack your clothes and dishes. But do not pack your bank statements, tax returns, or other important paperwork. Most especially, do not pack your checkbook! More than one buyer has had closing delayed while a friend or relative hurried over with additional funds because the checkbook was in the moving van.

Do Not Lease A New Car
This should go under the general heading of "no new debt." It is highlighted here because, for some strange reason, many buyers do run right out and lease a new car during the time between mortgage application and closing! As with any debt, this will change your "debt-to-income ratios" and may cause you not to qualify for your mortgage.

In short, do nothing that negatively impacts your ability to qualify for your mortgage loan, or initiates a new round of paperwork. If you have any doubts about doing something that may affect your ability to qualify for your mortgage loan, please consult with your mortgage professional before you do it.

These suggestions are merely that- suggestions. No one is saying, flat out, that bad things will necessarily follow if you do any of the above. They are offered as cautions. Many buyers seem to view the mortgage application procedure as a static action, a snap shot of their financial lives at a given moment in time. It's not. It's an on-going process that takes into account everything you do right up until the day of closing.

Happy Buying!

Maria

www.MortgageMinutesAndMore

Credit scores are vital to your financial health. It's a number that helps lenders predict how likely you are to make your credit payment on time. It will affect whether you can get credit and what you pay for credit cards, auto loans, mortgages and other types of credit.

Due to the current credit crunch and real estate market conditions, lenders have been changing their credit guidelines constantly and it has become harder to get a good rate or even to get approved for a home loan. What was considered a good fico score two years ago won't do anything for you now as far as mortgages are concerned.

So here's your next step... CLICK HERE for my video on credit scoring. Take action now. Once you have great scores in your pocket, you'll be in much better shape to buy that home and will also save thousands of dollars in the future. It all begins with understanding what makes your fico scores and what to do in order to improve it.

If you have any questions, please contact me. I'll be glad to help you! :)

On Your Team,

Maria

www.MortgageMinutesAndMore.com

One of the most exciting new provisions of the Housing and Economic Recovery Act of 2008 is the First-Time Homebuyer Tax Credit. This credit is designed to encourage first-time homebuyers to go ahead and make the leap to purchase their first homes. Combine this tax credit with the fact that home prices are at historical lows and indeed it is an ideal time for many first-time homebuyers to purchase homes.

SOME POINTS TO KEEP IN MIND...

1. The credit is available for homes purchased between April 9, 2008 and July 1, 2009

2. The credit amounts 10% of the price of the home not to exceed $7,500

3. A first time home buyer is defined as someone who hasn't owned a home for the past three years

4. Single tax payers with incomes of up to $75,000 and married couples with income of up to $150,000 qualify for the full tax credit

5. The tax credit works like an interest free loan and must be repaid over at 15 year period

HOW DOES A TAX CREDIT WORK?

A tax credit is a special provision that reduces income tax liability on a dollar for dollar basis. When filing a tax return, you must include income items, deductions items and the number of exemptions, among other things, to figure your total tax liability. If your total tax liability ends up being $7,500, and you qualify for the full $7,500, this credit would be applied and would wipe out all the taxes due. If your employer had already deducted from your pay checks throughout the year, you would receive a tax refund of $7,500.

DOES THE CREDIT NEED TO BE REPAID?

Yes, the credit does have to be repaid, so it is really more like an interest free loan:

1. If a homebuyer claims the $7,500 credit in 2009 on their federal tax return for a closing that occurred in 2008, then the credit is received in 2009, so repayment begins in 2010 with an annual repayment amount of approx. $500/year.

2. If the homeowner dies, their heirs do not have to pay back the remaining balance.

3. If the house is sold before 15 years have passed and the home's appreciation is less than the amount needed to be paid back, the loan is forgiven.

If the home is turned into a rental or investment property, the pay back balance is due in the year.

INCOME LIMITS

Individuals whose Form 1040 filing status is single (or head of household) are eligible for the tax credit if their income is no more than $75,000. Individuals who file a joint return may have no more than $150,000 in income. Individuals with incomes between $75,001 and $94,999 (single) or $150,001 and $169,999 (joint returns) are eligible for a partial tax credit. Individuals with incomes greater than $95,000 (single) or $170,000 (joint return) are not eligible for this tax credit.

www.MortgageMinutesAndMore.com