Wednesday, November 27, 2013
Tuesday, November 26, 2013
Monday, November 25, 2013
Monday, November 18, 2013
In Ghana, Building a Real Estate Industry From Scratch
In Ghana, Building a Real Estate Industry From Scratch
She will do very well in Ghana once everything has been implemented. Ghana has wealth
Friday, November 15, 2013
Thursday, November 14, 2013
Homepath Mortgage - REO Contact Kim C for further assistance
Wells Fargo //Homepath Mortgage
If you’re shopping for a new home, a real estate owned (REO) or foreclosed property could provide opportunities for Homeownership while helping to support communities impacted by recent foreclosures. As an approved lender for Fannie Mae’s HomePath® Mortgage, Wells Fargo has financing for REO properties available through the HomePath Mortgage program.
Features
No appraisal required.
Up to 97% financing for eligible property types.
No mortgage insurance required.
Interest-only payment feature and temporary buydown may be allowed.1, 2
Allowed for primary residence, second or vacation home, or investment property.
Fixed- or adjustable rate mortgages available.
Benefits
Down payment options as low as 3% on primary residences and as low as 10% on investment properties.
Down payment can come from your own savings, or can be a gift, grant or loan from various sources such as a nonprofit organization, state or local government, or employer.
No mortgage insurance needed – less costly.
Considerations
Only properties listed on the HomePath.com website are eligible for a HomePath Mortgage.
Even though an appraisal is not needed for the mortgage, consider obtaining an appraisal as well as a home inspection for your own protection.
You cannot build equity through monthly interest-only payments without making voluntary principal payments during the interest only period.
1 A temporary buydown is a reduction in the mortgage payment made by a homebuyer in the early years of the loan in exchange for an upfront cash deposit provided by the buyer, the seller, or both
2 The Interest-Only payment feature will allow you to make minimum monthly interest payments for a set period of time, then full principal-and-interest monthly payments for the rest of your loan term. At the end of the interest-only period, you will be required to pay down the outstanding principal, which will increase your monthly payment, possibly substantially, even if you have a fixed interest rate. You may want to consider making more than the minimum monthly payment during the interest-only period to begin reducing principal. Depending on the product specifics, a loan with the Interest-Only payment feature may result in higher interest rates and Annual Percentage Rates than a traditional mortgage product.
Wells Fargo Home Mortgage is a division of Wells Fargo Bank, N.A.
© 1999 - 2013 Wells Fargo Bank. All rights reserved. NMLSR ID 399801
Wednesday, November 13, 2013
Tuesday, November 12, 2013
Monday, November 11, 2013
Thursday, November 7, 2013
Claremont 65th Annual Pilgrim Place Festival
65th Annual Pilgrim Place Festival
Friday and Saturday, November 8 and 9, 2013
10:00 am to 4:00 pm
FREE ADMISSION!
Wednesday, November 6, 2013
Eight reasons why it will be harder to get a mortgage in 2014 !!
Don't let the eight new criteria mandated by the Dodd-Frank Mortgage Reform take you by surprise when it's time to apply for your home loan. The impact of Dodd-Frank
One of the after-effects of the recent financial crisis is the passage of the Dodd-Frank Mortgage Reform. Once the changes come into effect in January of 2014, it might be harder for you to qualify for a mortgage.
What's the reason for the reform, you wonder?
Well, some financial services companies were underwriting loans and then selling them to lenders. Because they were getting very lucrative upfront fees for originating these loans, some of these companies gave loans to people that couldn't be reasonably expected to pay them back.
So, the Dodd-Frank Act was passed in 2010 to try and stop this kind of predatory lending practice, according to Mitchell D. Weiss, an experienced financial services industry executive, author, and adjunct professor of finance at the University of Hartford. And now, the act is being reformed to protect consumers even further.
Let's take a closer look at eight factors you'll need to consider to qualify for a loan once the reform goes into effect in January.
You'll need enough income or assets to cover your mortgage payments.
It's probably pretty obvious why your income is something important for lenders to look at when determining how much you can afford to borrow - and it's something lenders have been taking into consideration for a long, long time.
"If you go back to the beginning of mortgage lending, you had what we call the 'Four Cs' of traditional lending: capacity, cash, credit, and collateral," explains Hollensteiner.
"The Dodd-Frank Act is very much a literal explanation of those. So when we talk about the borrower's ability to repay the obligation, it's all about the borrower's capacity," Hollensteiner says. By capacity, he's referring to the borrower's income or assets and whether it's sufficient enough to make the monthly mortgage payments.
You'll have to prove employment - or income from self-employment.
One of the surest ways to guarantee income is to have a job. So, this is another pretty obvious thing for responsible lenders to ask potential borrowers about.
"This is as important today as it has always been," Hollensteiner says. "Do you have a position that will be here tomorrow? We can't predict the future, but if a lender finds out a borrower's job will expire prior to the loan closing, that might cause the lender to reconsider the borrower's profile." Without another job lined up, a lender could worry you might not be able to pay the mortgage.
Where this gets a bit trickier is when it comes to self-employed borrowers. If you're an independent contractor, your jobs might only last a few weeks or months - and that could make it hard to convince lenders you're a safe bet.
"Self-employed borrowers have to show a two-year track record of having been in the same business, along with two years of federal tax statements to show their income," Hollensteiner says.
If you're self-employed and thinking about applying for a mortgage, it might benefit you to talk to a mortgage professional to find out what you'll need to prove your income.
[Thinking of applying for a mortgage? Click to compare interest rates from multiple lenders now.]
You'll need to prove you can afford property tax and homeowner's insurance.
In addition to principal and interest payments on your mortgage, you'll also have to pay property taxes, homeowner's insurance, and possibly additional fees like a homeowner's association (HOA) fee. The Dodd-Frank Act wants all of those taxes and fees to be clear to borrowers up front.
"Lenders need to document every payment associated with the property and what it entails," says Hollensteiner. "It's important for the consumer to know what the total payments are for the property."
You'll have to factor in the amount you pay on any additional mortgages.
This factor applies to homeowners who might take out more than one loan on their home, like a second mortgage or a "piggyback loan."
The Dodd-Frank Act simply requires lenders to include both payments (for the first and second mortgage, in this example) when they're figuring out whether or not a borrower is qualified for a loan.
Believe it or not, some lenders previously weren't including the payment on the second mortgage in their calculations - even though it's money the borrower will be expected to pay every month.
You'll need to provide full disclosure of any additional properties you own.
Do you own a second home somewhere? If so, all mortgage-related costs for all of your properties should be included in a lender's calculations to determine if you qualify for a new mortgage under the new reform.
"This would pertain to any properties the borrower owns. Investment properties, second homes, vacation homes, etc," says Hollensteiner. "The lender needs to have full disclosure to the total monthly obligations on all the borrower's other properties."
If you pay child support, you'll have to calculate that in, too.
Maybe you don't have a second property, but you do have to pay alimony or child support every month.
That will also be taken into consideration, as lenders will be required by law to include things like alimony and child support in their calculations. Although the Federal Housing Administration takes this factor into consideration already, it may not be common practice across all lenders.
"The borrower might qualify based on income and debts alone, but monthly alimony payments could have a major impact on their being able to pay," says Hollensteiner. "If the lender doesn't include those obligations, the lender could be helping the borrower get financing that he or she won't be able to continue paying down the road."
You'll need a debt-to-income ratio that's lower than 38 percent.
One of the major tools lenders use to determine whether a borrower qualifies for a new loan is the debt-to-income (or DTI) ratio.
"The monthly debt-to-income ratio calculations have been in the lending industry for - probably forever," says Hollensteiner. "What we're seeing today in the industry is that the maximum DTI range is 38 to 41 percent of the borrower's gross monthly income." That's the highest DTI lenders typically consider when determining whether or not to qualify someone for a mortgage, Hollensteiner explains.
To calculate your DTI ratio as a percentage (which is how lenders typically consider DTI ratios), divide your monthly debt repayments by your gross monthly income (before taxes), and multiply that number by 100. But why is the DTI ratio so important?
"It validates you've got a loan that meets the definitions of a safe loan," says Hollensteiner.
You'll need a clean credit history, and a good credit score.
You probably know that your FICO credit score can be used for everything from determining what interest rate you'll pay on your credit cards, to whether or not you qualify for financing on that new car loan. It should come as no surprise, then, that it's important to lenders, too.
"Going back to the 'Four Cs' of traditional lending, credit has always been considered," Hollensteiner says. "It is tremendously important, and it is a great indicator of how likely the borrower is to repay the obligation."
So it might be worth getting a hold of your credit report and doing whatever you can to improve your score. Pay your bills on time, every time. Dispute any errors on your report. A little effort now could pay dividends down the road when it's time to apply for your mortgage, that's how important your credit history is.
As Hollensteiner notes, "even in the dark ages of business, every lender - even if they didn't look at anything else - looked at credit report." By Jennifer Berry
Tuesday, November 5, 2013
Monday, November 4, 2013
No Change for FHFA
No Leadership Change at FHFA; Watt/Democrats will Try Again">
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Saturday, November 2, 2013
Friday, November 1, 2013
California a Seller's Market
California is Sellers' Market as Over-List Price Sales Soar">
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