MELINDA POTCHER

FHA Product Updates

Effective for all FHA loans registered and/or locked after today, Friday, March 28, minimum FICO scores will apply in all instances regardless of AUS (Automated Underwriting System) decision. Extensions will not be granted.

See the chart below for minimum FICO score requirements for all AUS FHA loans*.

Transaction Type

Minimum FICO

Purchase & R/T Refinance

580

Cash-out Refinance LTV < 85%

580

Cash-out Refinance LTV > 85%

600

Streamline Refinance

580

*

ALL LOANS THAT WILL BE AFFECTED BY THESE CHANGES MUST BE LOCKED IN NO LATER THAN FRIDAY, MARCH 21, 2008. NO EXTENSIONS OR RELOCKS WILL BE GRANTED

IMPORTANT INFORMATION REGARDING UPCOMING AGENCY UPDATES - Elimination of LTVs 97.01-100%, Revised Minimum Credit Score Requirements and Cash-Out Refinance Eligibility for Transactions Requiring Mortgage Insurance

Due to continued mortgage insurance (MI) company product eligibility pull backs, we must implement the changes outlined below for our conventional Agency loan programs. These changes will be effective for locks on or after Friday, March 21, 2008. All loans that are locked PRIOR to March 21, 2008 will be honored; however, must be closed and funded by their original lock expiration dates. Please review your pipeline carefully to confirm if they are any loans that need to be reviewed and submitted to a MI company for MI commitment. Please note the commitment is based on the data submitted so in all cases please confirm accuracy of the information PRIOR to requesting MI. Lock-in extensions and re-locks will NOT be granted.

* The maximum allowable LTV will be reduced to 97%, regardless of the AUS approval As a result, the Fannie Mae Flexible 100, MyCommunity 100 and Teacher, HealthCare Worker & Safety 1st 100 loan programs are being eliminated.

* For all traditionally underwritten, DU "Approve/Eligible" and LP "Accept/Eligible" cash-out refinance transactions, a minimum 680 credit score (for ALL borrowers) will be required for LTVs greater than 80%, regardless of the AUS approval.

* For all traditionally underwritten and AUS (DU and LP) processed investment property transactions, a minimum 660 credit score (for ALL borrowers) will be required for LTVs greater than 80%, regardless of the AUS approval.

UPDATES TO THE PORTFOLIO LIBOR ARMS AND KEY JUMBO LOAN PROGRAMS - Incorporation of Previously Announced Updates and Miscellaneous Clarifications

The Portfolio LIBOR ARMs and Key Jumbo product descriptions are being been revised to incorporate the following updates and clarifications:

* elimination of the primary wage earner's credit score for credit and pricing qualification,

* elimination of the Interest Only feature for all 3-4 unit properties,

* increase in the minimum credit score requirement and decrease in maximum cash-out at certain LTV/TLTV loan amount combinations on primary residence cash-out refinance transactions and second home transactions,

* elimination of the 85% LTV on second home cash-out transactions,

* clarification that if the borrower owns their residence free and clear, a twelve (12) month verification of mortgage is not required, and

* clarification regarding the qualifying rate for transactions with trailing co-borrower income under the Portfolio LIBOR ARMs loan program.

Updates- Important!.

In response to the continued deterioration of credit quality and declining home values in most areas of the country, Freddie Mac is eliminating the higher risk Freddie Mac 100 loan program. As a result of this change, effective for locks on or after Monday, March 17, 2008, the Freddie Mac 100 loan program is being eliminated. All loans that are locked PRIOR to March 17, 2008 will be honored; however, these loans must be closed and funded by May 15, 2008. Lock-in extensions and re-locks will NOT be granted. PLEASE NOTE THE FNMA FLEX 100% & MY COMMUNITY PROGRAMS ARE STILL AVAILABLE

Due to continued mortgage insurance (MI) company product eligibility pull backs, we must implement the new minimum credit score requirements and cash-out refinance eligibility changes outlined below for our conventional Agency loan programs. These changes will be effective for locks on or after Friday, March 14, 2008. All loans that are locked PRIOR to March 14, 2008 will be honored; however, must be closed and funded by their original lock expiration dates. Lock-in extensions and re-locks will NOT be granted.

· For ALL traditionally underwritten, DU Approve/Eligible and LP Accept/Eligible Agency loan transactions:

· a minimum 620 credit score (for ALL borrowers) will be required for LTVs 80.01-95%, regardless of the AUS approval, and

· a minimum 680 credit score (for ALL borrowers) will be required for LTVs 95.01-100%, regardless of the AUS approval.-- THIS INCLUDES FNMA MY COMMUNITY & FLEX 97% & 100% PROGRAMS

· The maximum LTV on 1 unit second home cash-out refinance transactions will be reduced to 80%. Maximum allowable TLTVs remain unchanged.

At this time, all other minimum credit score requirements (i.e., for LTVs 80% or less, etc.) remain unchanged.

All combo 2^nd mortgages now must be locked in no later than close of business day on Wednesday, March 12^th. These locks will be honored, however, must be closed and funded no later than March 31, 2008. THE FLEX EQUITY LINE PROGRAM IS NOT AFFECTED BY THESE COMBO 2^ND CHANGES.

The real estate adage is location, location, location.

If you're looking for a job, you want to be in a state that has an unemployment rate lower than the national average, which is 5% according to teh most recent data from the Bureau of Labor Statistics (BLS).

Here are the 15 best states to find work ranked by their unemployment rates.

NEW MEXICO IS RATED #11
1. South Dakota
Unemployment rate: 3 percent*
Population: 796,214**
Mean annual wage: $30,460
Top industry: Trade, transportation and utilities (19.9 percent)***

2. Idaho
Unemployment rate: 3 percent
Population: 1,499,402
Mean annual wage: $34,810
Top industry: Trade, transportation and utilities (20.2 percent)

3. Wyoming
Unemployment rate: 3.1 percent
Population: 522,830
Mean annual wage: $34,290
Top industry: Government (23 percent)

4. Nebraska
Unemployment rate: 3.2 percent
Population: 1,774,571
Mean annual wage: $34,300
Top industry: Trade, transportation and utilities (21.1 percent)

5. Utah
Unemployment rate: 3.2 percent
Population: 2,645,330
Mean annual wage: $35,540
Top industry: Trade, transportation and utilities (19.7 percent)

6. Hawaii
Unemployment rate: 3.2 percent
Population: 1,283,388
Mean annual wage: $38,630
Top industry: Government (19.6 percent)

7. North Dakota
Unemployment rate: 3.3 percent
Population: 639,715
Mean annual wage: $32,440
Top industry: Trade, transportation and utilities (21.4 percent)

8. Virginia
Unemployment rate: 3.5 percent
Population: 7,712,091
Mean annual wage: $41,450
Top industry: Government (18 percent)

9. Montana
Unemployment rate: 3.6 percent
Population: 957,861
Mean annual wage: $31,290
Top industry: Trade, transportation and utilities (20.5 percent)

10. New Hampshire
Unemployment rate: 3.6 percent
Population: 1,315,828
Mean annual wage: $39,250
Top industry: Trade, transportation and utilities (23.3 percent)

11. New Mexico
Unemployment rate: 3.7 percent
Population: 1,969,915
Mean annual wage: $33,980
Top industry: Government (23.2 percent)

12. Delaware
Unemployment rate: 3.8 percent
Population: 864,764
Mean annual wage: $41,680
Top industry: Trade, transportation and utilities (18.7 percent)

13. Maryland
Unemployment rate: 3.8 percent
Population: 5,618,344
Mean annual wage: $44,030
Top industry: Government (18.2 percent)

14. Iowa
Unemployment rate: 4 percent
Population: 2,988,046
Mean annual wage: $33,250
Top industry: Trade, transportation and utilities (20.4 percent)

15. Vermont
Unemployment rate: 4 percent
Population: 621,254
Mean annual wage: $36,350
Top industry: Trade, transportation and utilities (19.4 percent)

NEW MEXICO IS RATED #11

Posted by mpotcher, filed under Adjustable Rate Mortgages. Date: February 19, 2008, 11:39 pm | Edit|

www.HomeLoansAlbuquerque.com

Albuquerque, New Mexico is Housing Predictor's selection for the #1 spot on the Top 10 List. Albuquerque is growing like never before, attracting the movie business from Hollywood, a new airplane factory and many other new businesses, like Schott (Solar Power) and Fidelity Investments.

The median price for a home in Albuquerque is $194,000. The 2007 appreciation for homes in Albuquerque was 9.1%.

The selection is based on surveys conducted on 75 market conditions, sales velocity, pricing and 20 other factors.

Five Texas markets are included on the list, including McAllen, which placed 2nd. In early 2006 Housing Predictor forecasted the current boom in Texas.

Salt Lake City Utah placed third.

for more information on the Hottest 10 Buyers Markets, go to http://www.housingpredictor.com/hottest.html

For more information on Albuquerque Real Estate Financing, go to www.HomeLoansAlbuquerque.com