Buying Arizona Real Estate » FHA

Purchase a New Home with only a 1% Down Payment?

RebeccaRoberts — Thu, 22 Apr 2010 21:41:38 +0000

Introducing the Arizona Home Buyer Solutions™ Program
from The Lending Co. and Rebecca Roberts

Purchase a New Home with only a 1% Down Payment*

Up to a 2.5% gift
Gift to be used for a down payment by homebuyers utilizing an FHA 1st mortgage.
Down payment requirements as low as 1%
Seller can contribute up to 6% for closing costs and pre-paids
Expanded Income Limits based on county.
Competitive interest rates.
Flexible loan approval guidelines.
Not just for first time home buyers.
Applies to ANY FHA-Approved Property in AZ!

This program is ideal for low to moderate income individuals and families looking to obtain quality affordable housing with only 1% down. And the better news is the 1% down payment can be a gift from a family member!

The Arizona Home Buyer Solutions Program is offered exclusively through The Lending Company, a direct endorsed U.S. Housing and Urban Development lender.

* Plus, the Down Payment can be a Gift from a Family Member!

The Lending Company is a Direct Endorsed H.U.D. Lender. The 1% down payment program is a qualified gift program. It is available statewide in ARIZONA to qualified homebuyers. The minimum down for FHA financing is 3.5%. The gift is available up to 2.5%. Example for illustration purposes only: $100,000 sales price. $1,000 down (1%) PLUS closing costs. 6.0%/6.684 APR. 30 year fixed rate. Subject to income and credit qualifications. Rates and fees subject to change without notice. Call your representative for current low rates and further details.

*Must be Owner Occupied.

Rebecca Roberts
Mortgage Banker
The Lending Company, Inc.
Phone: 602-791-6262
Fax: 866-559-9097
License: NMLS #231543 – BK0909441
rroberts@thelendingco.com
http://www.thelendingco.com/

No related posts.

Related posts brought to you by Yet Another Related Posts Plugin.

Cash Strapped Buyers Could Get Shut Out (100% financing)

Tony Pomykala — Thu, 11 Mar 2010 23:56:54 +0000

Cash Strapped Buyers Could Get Shut Out

If you have buyers in need of 100% financing, take notice! One widely popular tool for funding is about to run out of money. Buyers that need a no down payment loan guaranteed by the USDA are running out of time to get their deal done.

USDA Rural Home Loans have been a phenomenal tool for helping cash strapped buyers get into homes for no down payment. Unlike many other loan programs though, the amount of funds available to fund these loans are set and capped at the beginning of the fiscal year.

Notice was delivered from Washington on March 9 that the funds are nearly exhausted, with expectations that they will run out in late April.

Unlike years past when similar notifications have been delivered, the USDA will not be issuing conditional commitments for buyers as the program awaits new appropriations from Washington. The USDA states they are “not certain when additional funding will be available.”

What does this mean for your buyers?

If your buyers need 100% financing and are not eligible for a VA loan, they have to act quickly or they will have to seek other options. Combined with tightening from HUD on FHA loans in April and potentially later this summer, cash strapped buyers may be shut out if they miss this opportunity.

If you have any questions, call me and let’s discuss them.

Sincerely,

Rebecca Roberts
Mortgage Banker
The Lending Company, Inc.
Phone: 602-791-6262
rroberts@thelendingco.com
BK0909441 NMLS#231543

No related posts.

Related posts brought to you by Yet Another Related Posts Plugin.

Sales Trends 2010 thru February

Tony Pomykala — Wed, 10 Mar 2010 00:46:17 +0000

Information provided via email from WWW.ACTIVEFUNDINGGROUP.COM


Jan-10	Total Closings	5575

Sales price	No. sales	% of total
0-100,000	2219	39.8027%
101-200,000	2154	38.6368%
201-400,000	998	17.9013%
401-750,000	253	4.5381%
751-1,001,000	47	0.8430%
1,001-2,000,000	56	1.0045%
2,001-5,000,000	21	0.3767%
5,001-10,000,000	1	0.0179%



Feb-10	Total Closings	6635

Sales price	No. sales	% of total
0-100,000	2482	37.4077%
101-200,000	2557	38.5381%
201-400,000	1157	17.4378%
401-750,000	300	4.5215%
751-1,001,000	62	0.9344%
1,001-2,000,000	48	0.7234%
2,001-5,000,000	20	0.3014%
5,001-10,000,000	2	0.0301%

Supply as of 3-4-2010

Total no. actives 35110

List price	No. Active listings	Supply (in months)
0-100,000	8034	3.42
101-200,000	12064	5.47
201-400,000	8321	7.64
401-750,000	3493	12.63
751-1,001,000	3253	59.69
1,001-2,000,000	2133	41.02
2,001-5,000,000	763	37.22
5,001-10,000,000	82	27.67
Over 10,000,000	25

List price	Av. Days on market
0-100,000	85
101-200,000	107
201-400,000	135
401-750,000	188
751-1,001,000	234
1,001-2,000,000	258
2,001-5,000,000	361
5,001-10,000,000	369
Over 10,000,000	377

Summary

Over 78% of sales occur in the $200k and under category

Over 90% of sales occur in the $400k and under category

In summary, the numbers don’t lie and market trending is abundantly clear. Two core elements drove the market into the sewer beginning in the 2nd quarter of 2006, which were rapid price deflation of residential assets coupled with a simultaneous dramatic lack of available take out financing.

There is still an oversupply of active properties for sale (we believe the oversupply is approximately 40%) but that needs to be carefully analyzed in specific pricing segments as opposed to a “bulk number”. The majority of oversupply exists in properties that retail for a price that exceeds the FHA upper end lending limit. We are seeing predictable and relatively short resale marketing timeframes for properties that retail for $250K and under.

Price deflation has largely occurred at this point and we are seeing modest price inflation in the $250K (retail) and under category and properties that retail for any price that is underneath the FHA upper end lending limit.

Market speed and velocity for properties that retail for a price that exceeds the FHA upper end lending limit is lethargic and will continue to be that way until there is a more competitive take out market for loan amounts over the FHA lending limit as there are only so many 800 FICO score buyers with 30% (or more) in cash for a down payment.

Prices being paid at Trustee sales recently are downright stupid if your business model is based upon an near term exit strategy, but the Bidders/Buyers attending the sale typically have little to no risk in the purchase, or the result reinforcing the largely accepted thought that it’s easy to spend someone else’s money. We believe the successful investor will “shoot with an arrow, not a shotgun” in this very competitive environment.

We are seeing some good values in the purchase of bank recovered assets from local or regional lenders, and short sale purchases.

There are still some “home runs” in the market – we see them daily but they are few in number and we see a lot more “singles and doubles”. Care and caution are the order of the day as we see it.

ACTIVE FUNDING GROUP PROVIDES ASSET BASED LOANS FOR THE PROFESSIONAL REAL ESTATE INVESTOR

WE OFFER SPEED, CONVENIENCE, DEPTH OF CAPITAL (WE DON’T RUN OUT OF MONEY)
AND AN EXTREMELY EASY TO USE ONLINE APPLICATION AND APPROVAL PROCESS.

APPLICATION TO FUNDING IN HOURS WHEN NECESSARY – LOG ON TODAY

WWW.ACTIVEFUNDINGGROUP.COM

No related posts.

Related posts brought to you by Yet Another Related Posts Plugin.

Those Who Wait Will Pay Thousands More This Spring

RebeccaRoberts — Thu, 04 Mar 2010 16:23:24 +0000

Those Who Wait Will Pay Thousands More This Spring

Waiting a few extra days or weeks to purchase a home this spring could cost buyers thousands of extra dollars as the office of Housing and Urban Development (HUD) implements several changes for loans guaranteed by the Federal Housing Authority (FHA).

Coming just weeks before the April 30 deadline for the Home Buyer Tax Credit and just days after the March 31 expiration of the Federal Reserve Board’s mortgage backed securities purchase program (which has kept home loan rates artificially low for over a year), these FHA changes make it even more important to act now to save big.

Here are a few reasons why:

On April 5th, the cost of required up-front mortgage insurance for loans guaranteed by the FHA will increase from 1.75% to 2.25%. For a borrower purchasing a $200,000 home with a $7,000 down payment, the up-front mortgage insurance will increase by $965. Up-front mortgage insurance is typically financed in the final loan amount so the impact to a monthly payment will be minimal but overall, the increase is still borne by the borrower both upfront and monthly.

It is important to note that in order to be eligible for the lower cost up-front mortgage insurance, a lender has to order a case number from the FHA before April 5th. A case number can only be generated for loan applications where a property is involved and a fully executed purchase contract exists. Home buyers who have been pre-approved but are not under contract will not be eligible for the reduced premium effective April 5th.

Later this spring, the amount of money that a seller can return to the buyer from their sale proceeds will be reduced from 6% to 3%. The reduction in these “seller concessions” can increase the amount of cash a buyer will be required to pay at closing by $6,000 for a home purchase of $200,000.

There is only one way to avoid being affected by all of these costly changes that lie ahead – submit all FHA mortgage applications by the last week of March.

If I can answer any questions you may have about how these changes could impact you, call me. I appreciate your business.

Sincerely,

Rebecca Roberts
The Lending Co.
602-791-6262
rroberts@thelendingco.com
equal opportunity lender
BK0909441 NMLS#231543

No related posts.

Related posts brought to you by Yet Another Related Posts Plugin.

FHA waives the 90 day flip rule

Tony Pomykala — Mon, 18 Jan 2010 17:09:56 +0000

I received a nice email from Michael Neill of American Alliance Mortgage Company with the following fantastic news:

BREAKING NEWS!!!!!FHA WAIVES 90 DAY FLIP RULE

HUD TAKES ACTION TO SPEED RESALE OF FORECLOSED PROPERTIES TO NEW OWNERS

Measure to help bring stability to home values and accelerate sale of vacant properties

In an effort to stabilize home values and improve conditions in communities where foreclosure activity is high, HUD Secretary Shaun Donovan today announced a temporary policy that will expand access to FHA mortgage insurance and allow for the quick resale of foreclosed properties. The announcement is part of the Obama administration commitment to addressing foreclosure. Just yesterday, Secretary Donovan announced $2 billion in Neighborhood Stabilization Program grants to local communities and nonprofit housing developers to combat the effects of vacant and abandoned homes…

…The waiver will take effect on February 1, 2010 and is effective for one year, unless otherwise extended or withdrawn by the FHA Commissioner. To protect FHA borrowers against predatory practices of “flipping” where properties are quickly resold at inflated prices to unsuspecting borrowers, this waiver is limited to those sales meeting the following general conditions:

· All transactions must be arms-length, with no identity of interest between the buyer and seller or other parties participating in the sales transaction.

· In cases in which the sales price of the property is 20 percent or more above the seller’s acquisition cost, the waiver will only apply if the lender meets specific conditions.

· The waiver is limited to forward mortgages, and does not apply to the Home Equity Conversion Mortgage (HECM) for purchase program.

Specific conditions and other details of this new temporary policy are in the text of the waiver, available on HUD’s website at: http://www.hud.gov/offices/hsg/sfh/waivpropflip2010.pdf

Mike Neill
480-505-2202 ext 208
mike@aamcbank.com

No related posts.

Related posts brought to you by Yet Another Related Posts Plugin.

Buying Arizona Real Estate » FHA

Purchase a New Home with only a 1% Down Payment?

Introducing the Arizona Home Buyer Solutions™ Program from The Lending Co. and Rebecca Roberts

Cash Strapped Buyers Could Get Shut Out (100% financing)

Sales Trends 2010 thru February

Those Who Wait Will Pay Thousands More This Spring

FHA waives the 90 day flip rule

Introducing the Arizona Home Buyer Solutions™ Program
from The Lending Co. and Rebecca Roberts