Roland Carrillo, PhD - Mortgage Consultant

Cary once again makes the news for being one of the safest cities in the nation. The Town of Cary has been named the 3^rd safest with populations between 100,000 and 499,999 according to CQ Press in their annual crime rankings. In 2007, Cary was ranked the 4^th safest in the same category.

Once again Cary is also the highest-ranked municipality in North Carolina and the Southeastern Region. The Town of Cary has held this distinction for ten years in a row now. Amongst all the areas ranked, Cary was the 15^th safest overall in the report.

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Roland Carrillo, PhD
Branch Manager
VanDyk Mortgage in Cary, NC
Email: rjcarrillo@gmail.com
Website: http://www.mymortgageanalysis.com/

Our branch specializes in affordable lending options including FHA / VA and the Community Heros program. As both a banker and a broker, you have access to a full menu of products including all Fannie Mae and Freddie Mac Conforming loans, Reverse, Jumbo and Commercial financing on a variety of property types. We are located in Cary, North Carolina and are within easy reach of the entire RTP Area including Wake, Durham and Orange Counties.

FHA loans have been around for a long time, but during the current market turmoil it is proving to be an increasingly better option for home buyers and owners looking to refinance. In fact, with some of the recent loan requirement modifications, these affordable loans may make sense now more than ever.

6 reasons why an FHA loan is ideal for today's home buyer

1. Low Down Payment: FHA loans require as little as a 3.5% down payment. The entire amount may come from a family member, employer or charitable organization.
2. Easier to Qualify: Since FHA provides the mortgage insurance for FHA loans; there are less restrictive guidelines than may be available for conventional loans.
3. Less than Perfect Credit Qualification: Borrowers with credit problems, such as bankruptcy, have an easier time qualifying for an FHA loan than a conventional loan.
4. No Income Caps: There are no maximum income requirements or geographic restriction for FHA loans.
5. Financed Mortgage Insurance: Because the FHA charges mortgage insurance up-front (UFMIP); borrowers are able to finance this into the cost of their loan. There is still a monthly portion, but it is generally lower cost than private mortgage insurance.
6. No Prepayment Penalty: With an FHA loan, borrowers may prepay their loan without the worry of a costly prepayment penalty.

Although many lenders have just started working with government programs, VanDyk Mortgage is a Full Eagle Direct Endorsement FHA Lender with over 20 years of experience with the FHA, VA and USDA programs. To find out more about FHA loan options, contact us now.

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Roland Carrillo, PhD
Branch Manager
VanDyk Mortgage in Cary, NC
Email: rjcarrillo@gmail.com
Website: http://www.mymortgageanalysis.com/

Our branch specializes in affordable lending options including FHA / VA and the Community Heros program. As both a banker and a broker, you have access to a full menu of products including all Fannie Mae and Freddie Mac Conforming loans, Reverse, Jumbo and Commercial financing on a variety of property types. We are located in Cary, North Carolina and are within easy reach of the entire RTP Area including Wake, Durham and Orange Counties.

Secretary Preston of the US Department of Housing and Urban Development announced the new Federal Housing Administration (FHA) loan limits for 2009. Beginning January 1^st FHA will insure single-family home mortgages up to $271,050 in all areas and up to $625,500 in high cost areas.

Because of the 2008 Stimulus Package, the maximum FHA loan limit was temporarily raised to $729,750 through December 31, 2008. However, the new maximum of $625,500 is still a significant increase over the $362,790 limit in effect prior to the Stimulus Package. Secretary Preston stated "these new loan limits will ensure FHA can to continue help struggling homeowners refinance into safe, affordable government-insured loans, and allow many first-time buyers take advantage of today's buyers market".

For conforming mortgages, the Housing and Economic Recovery Act links the maximum loan limit to a house price index chosen by the new Federal Housing Finance Agency (FHFA). For 2009 the national conforming limit will remain at the current level of $417,000.

Unfortunately for those in the Triangle the news is not so good. After January 1^st FHA limits in Wake County will actually decrease from the current $295,000 to $271,050. The same is true for Johnston, Franklin and Harnett County. For Orange and Durham County there will be no change, with loan limits remaining at $334,650.

Another important item to remember is that FHA will be increasing the minimum borrower contribution on January 1^st. Currently borrowers needed to put in 3% of the sales price or appraised value (whichever is lower), but in 2009 this will increase to 3.5%. So for anyone interested in buying under the current loan amount/down payment requirements, time is short to submit an application!

One final piece of good news... FHA and conforming interest rates are again at historic lows. They now rival the interest rates available back in 2004-2006, so if you can qualify for one of these great programs now is the time to look into buying or refinancing.

______________________________________________________

Roland Carrillo, PhD
Branch Manager
VanDyk Mortgage in Cary, NC
Email: rjcarrillo@gmail.com
Website: http://www.mymortgageanalysis.com/

Our branch specializes in affordable lending options including FHA / VA and the Community Heros program. As both a banker and a broker, you have access to a full menu of products including all Fannie Mae and Freddie Mac Conforming loans, Reverse, Jumbo and Commercial financing on a variety of property types. We are located in Cary, North Carolina and are within easy reach of the entire RTP Area including Wake, Durham and Orange Counties.

Some homeowners fearing a foreclosure notice during the holidays are getting an early gift from Fannie Mae and Freddie Mac. The two government sponsored enterprises (GSEs) announced they will suspend evictions and foreclosures on over 15,000 properties until January 9^th.

One reason for the delay is because Fannie and Freddie, now under government control, is implementing a new loan modification program. In this program, the two mortgage companies will modify the terms on possibly hundreds of thousands of mortgages that are >90 days past due. Although the two GSEs hold a small percentage of the delinquent loans in the US, government officials hope that other lenders and servicers will follow the example.

"We encourage other servicers of non-GSE mortgages to participate in the streamlined modification program to bolster our collective efforts to stem the foreclosure crisis," Fannie Mae President and Chief Executive Herb Allison said in a statement. Until recently, troubled loans were handled on a case by case basis, a costly and time-consuming process. But as home prices continue to decline the cost of foreclosure to lenders is climbing.

For example, Freddie Mac is current trying to find buyers for over 28,000 foreclosed homes as of the last quarter, up from under 12,000 a year ago. Furthermore, the gross proceeds from the sale of fore closed homes were nearly 30% less than the unpaid balance of loan in the third quarter. This 30% loss doesn't even take into account other costs such as repairs, real estate agent commissions and closing fees.

The situation at Fannie Mae is equally bleak, with an inventor of more than 67,000 single family homes at the end of the third quarter. This is a drastic increase from the under 34,000 foreclosed homes they had at the end of 2007. Net proceeds at Fannie Mae also fell to an average of 70% of the loan balance from 78% in 2007.

The temporary suspension in foreclosure will apply to 10,000 Fannie Mae held loans and 6,000 Freddie Mac owned mortgages. Properties will range from single family to four-unit properties that were set to sell in foreclosure between the end of November and January 9^th of 2009. At the very least it will help homeowners by giving them a place to stay over the holidays and hopefully longer if the loan modification program works.

______________________________________________________

Roland Carrillo, PhD
Branch Manager
VanDyk Mortgage in Cary, NC
Email: rjcarrillo@gmail.com
Website: http://www.mymortgageanalysis.com/

Our branch specializes in affordable lending options including FHA / VA and the Community Heros program. As both a banker and a broker, you have access to a full menu of products including all Fannie Mae and Freddie Mac Conforming loans, Reverse, Jumbo and Commercial financing on a variety of property types. We are located in Cary, North Carolina and are within easy reach of the entire RTP Area including Wake, Durham and Orange Counties.

With the anxiety in the financial markets recently, I am writing to share some good news. I was recently awarded the Lending Integrity Seal of Approval from the National Association of Mortgage Brokers (NAMB). This means that I have met the association's high standards for ethics, integrity and dedication.

I couldn't buy or receive it just by joining the association; I had to earn it. In fact, I am the first loan officer in the Triangle and one of the very few in North Carolina that has met the strict requirements set by the NAMB. I did so because I understand that the success of my business rests upon a foundation of professionalism, education and service.

To obtain the Lending Integrity Seal of Approval, a mortgage broker or loan officer must:

• Possess a current state license or registration
• Pass a national criminal background and credit check
• Submit three mortgage industry business references
• Complete yearly professional education, including ethics training
• Pass an examination on federal and state mortgage regulations
• Adhere to NAMB's Code of Ethics and Standards of Business Practices
• Pledge to abide by NAMB's formal ethics grievance review process

This sets the highest national standard in the mortgage lending industry and I am proud to have earned it. The rigorous validation process assures consumers that they are working with a responsible lending professional and during these challenging times, that is more important than ever.

To read the full press release, visit:

Triangle Business News & Carolina News Wire

To learn more about the Lending Integrity Seal, email me or visit:

www.LendingIntegrity.org

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Roland Carrillo, PhD
Branch Manager
VanDyk Mortgage in Cary, NC
Email: rjcarrillo@gmail.com
Website: http://www.mymortgageanalysis.com/

Our branch specializes in affordable lending options including FHA / VA and the Community Heros program. As both a banker and a broker, you have access to a full menu of products including all Fannie Mae and Freddie Mac Conforming loans, Reverse, Jumbo and Commercial financing on a variety of property types. We are located in Cary, North Carolina and are within easy reach of the entire RTP Area including Wake, Durham and Orange Counties.