Western Mass Homes Lesley Lambert

Mortgage loan

Do’s and Don’ts for Home Buyer’s Mortgage Process

Seen while driving to show houses in the hills...

If you are buying a home, most likely you will be applying for a mortgage.  The process of getting approved for a mortgage is a delicate and very careful thing and home buyers need to be aware of the Do’s and Dont’s.

Russ Poe, mortgage officer for Top Flite Financial 413-241-6940 shared this helpful list.  There are several things that he stresses importance upon so that the mortgage process can go as smoothly as possible.

 

 

DO’S AND DON’TS

DO

  • Continue to make all loan/credit card payments on time
  • Continue to make rent/mortgage payments on time
  • Continue to maintain good employment history
  • Continue to work at least your normal work hours

DON’T

  • Any gift cannot be in the form of cash
  • Do not change jobs or leave your present employment
  • Do not make any large deposits to your bank account that are not regular payroll deposits
  • Do not open any new credit cards unless advised to do so by your mortgage officer
  • Do not make any cash advances on your credit cards
  • Do not charge any more on your credit cards than currently there
  • Do not finance or lease a new car
  • Do not overdraw your checking account or bounce checks
  • Do not take out any loans of any kind
  • Do not consign a loan for another person

If you are considering buying a home, I hope you found this list helpful.  I would love to help you in your home search!

Lesley Lambert, Western MA REALTOR with Park Square Realty 413-575-3611

Related articles

Still Working on Your 2013 Tax Returns? Here Are Some Last Minute Real Estate Tax Tips

Taxes - Word on Calculator for Tax Accounting

Tax time is a chore for everyone and if you are like me, sometimes you wait until the end of the time period to get those tax returns filed.

Owning a home in Western MA can really change how you file and what deductions you can take on your taxes.

The following articles will offer you some good advice on getting your PMI deduction, avoiding mistakes that homeowners make and much more.

Visit houselogic.com for more articles like this.

Copyright 2014 NATIONAL ASSOCIATION OF REALTORS®

Enhanced by Zemanta

Were you told you didn’t qualify for a mortgage? Don’t give up, yet!

Here is something that many people who want to buy a home in Western Massachusetts don’t know….

Not all lenders are created equal.

Dollar

If you had gone to one lender previously and were told that you didn’t qualify for a mortgage and gave up your dream of buying a home while the rates are low then you gave up too early!

Criteria for mortgages are different on many terms including the type of loan, your credit score and the programs and investors that a lender has access to.

If you are still interested in buying a home and want to take another look at qualifying for a mortgage, get in touch with me and I will give you a list of mortgage officers that may be able to get you into a new Western MA home right now!

Get in touch with me today:  Lesley Lambert, Western MA REALTOR with Park Square Realty 413-575-3611

 

Enhanced by Zemanta

FHA Changes Regulations – May Allow Those Involved with Foreclosure to Become Homeowners Within One Year

Logo of the Federal Housing Administration.
Logo of the Federal Housing Administration. (Photo credit: Wikipedia)

The FHA recently announced “Back to Work – Extenuating Circumstances” which may allow those who had been involved in a short sale or foreclosure the ability to get an FHA mortgage loan as soon as one year after the event.

WHAT DOES THAT MEAN?

In addition to meeting all FHA mortgage criteria, applicants will also have to demonstrate that they experienced an economic event that was the circumstance that caused the reduction in income.  Additionally they will have to participate in specialized housing counseling and be able to demonstrate that their situation has improved and income is steady.

This is good news for people in Western MA who may have been involved in a foreclosure or short sale that was caused by a loss of work, illness, divorce or other severe circumstances.

These changes were spelled out in HUD’s Mortgagee Letter 2013-26 which you can view here.

If you live in Western MA and have been involved in foreclosure or short sale and are interested in becoming a homeowner again, please get in touch!  Lesley Lambert, Park Square Realty, 413-575-3611

 

Enhanced by Zemanta

What difference can 1% make in your home buying power?

An icon from the Crystal icon theme.
Image via Wikipedia

Mortgage rates are on the rise and home buyers and home sellers in Western Massachusetts need to know what the changing rates mean to their buying and selling power.

Let’s take a look at a specific example in a post that I wrote for Masslive.com:

Susie Buyer wants to purchase a $200,000 house. Her current loan is set at 5% with $10,000 down over 30 years. Her monthly payment is approximately $1,230.

She waits on making her purchase and interest rates rise to 6% changing her monthly payment to $1,350.

Now, you may say to yourself, “well, that is only $120 a month, not a big deal”. However…this change will affect her debt to income ratios and in many cases will reduce her buying power. It is very possible that Susie will now have to reduce her purchase level to $184,000 or lower to meet her guidelines and keep the monthly payment at about $1,230. Now I think we can all agree that $16,000 or more is pretty significant.

Susie qualifies for less home, which will surely be disappointing to her when she starts to comparison shop, but is also significant for home sellers.

When rates go up the pool of buyers who qualify to purchase your home goes down.

What can you do about it?

Buyers can get qualified now and lock in their rate for as long as possible.

Sellers can make sure that their home is priced competitively to attract as many qualified buyers as possible.

The important thing is to understand that 1% is more than you think.

Enhanced by Zemanta