Connecticut Home Buyers Like the USDA Guaranteed Rural Housing Development Loan

Astute home buyers in select Connecticut communities  are very interested in the USDA  Guaranteed Rural Housing Development Loan.

They find this mortgage particularly attractive because they:
usda 3•  Have the ability to finance 100% of the home’s appraised valueNo Down Payment is required
•  Don’t have to fear risking all their earned savings in a new home
•  Can take advantage of today’s low-interest rates
•  Afford a more expensive home and still enjoy low monthly payments

OVERVIEW
The USDA  Guaranteed Rural Housing Development Loan  offers many benefits to qualified buyers:
• Up to 100% Financing of the home’s Appraised Value – No Down Payment is required
• Ability to finance Closing Costs when the Appraised Value is higher than the sales price
• One  30 year fixed rate mortgage  at low-interest rates
• Buyers with <20% down payment can afford higher priced listings because Monthly MI is cheaper than premiums associated with conventional and FHA mortgages
• No Pre-Payment Penalty. No Re-Capture Tax.
• No limit on Seller Contributions. No limit on Gift Funds
» No Cash Contribution required from buyer
•  Credit Scores down to 620.

CAVEATS
The USDA  Guaranteed Rural Housing Development Loan does have a few restrictions:
•  The home must be in a USDA “designated rural area”
•  Adjusted household income can not exceed established income limits
•  Single-family Property only. Must  be buyer’s’ primary residence

My expertise with the USDA Guaranteed Rural Housing Loan expands my ability to provide you with the  “Right” home financing solution.

Call Me at 860.945.9284 to discuss your mortgage options and to take advantage of my FREE  Jump Start Mortgage Pre-Approval service.
You just might be able to move into your new home in select areas of CT with little or no out-of-pocket money and low affordable monthly payments.

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Mortgage IQ Quiz Tests Basic Knowledge of Mortgage Process

First Home Buyers, take this Mortgage IQ Quiz to see if you have the Basic Know-How of the Mortgage Process.

Loan ApplicationDid You Pass or Fail? Call Me at 860.945.9284 to discuss the Right Mortgage option for your family and to take advantage of my FREE Mortgage Pre-Approval service. Then call your agent to schedule a showing and be ready to make an offer.

With today’s attractive rates, and my direct relationships with trusted lenders who offer a wide range of affordable mortgage programs, you just might be able to move in with a minimal down payment and low closing costs.

Source:  http://www.zillow.com/mortgage-rates/buyer-iq-quiz/

What to expect in today’s housing market and things to consider.

The Real Estate market continues to be dynamic as 2012 comes to close. Here are a few things to consider as you weigh the advantages of home ownership.      
         1. Inventory is down 32% from last year
         2. Sales prices are up 29.3%

Buyers must be prepared to make realistic expectations as the market evolves.
•  Expect to be patient with your home selection. I’ve had several buyers lose out on bidding wars before they made the winning offer on the right house.
•  The shadow inventory of houses … owners who are delaying putting their homes on the market until prices improve…is not emerging. Short sales still are taking months to get approved.
•  Continue to see supply down over the balance of this year with higher demand for quality homes from serious buyers.
•   The days of stealing the deal are over. Expect to see slow and normal price increases.
•   Expect to see multiple offers for homes selling in the $150 -$250,000 range.
•   Expect to pay closer to full price, but there are still ways to ask for concessions in the offer.

The results of the presidential election will have a lot to do with what happens to interest rates. Sooner or later, they are going to go up. Combined with higher prices, the dream of home ownership will get more expensive. NOW is the Time To Buy!

Call Me at 860.945.9284 to review your mortgage options and to take advantage of my FREE Mortgage Pre-Approval service. I’m here to help!

Read more on “How to Deal with Today’s Real Estate Changes” by Alan Zeider at: http://www.abc15.com/dpp/lifestyle/sonoran_living/sl_sponsors/real-estate-tips-for-todays-market

MORTGAGE BROKER vs. LOAN OFFICER: WHAT’S THE DIFFERENCE?

MORTGAGE BROKER vs. LOAN OFFICER: WHAT’S THE DIFFERENCE? 
When you are ready to apply for a mortgage loan, you may work with a Loan Officer or you may choose to work with a Mortgage Broker. Homebuyers often do not understand the difference between a mortgage broker and a loan officer even though both are working toward the same results…a new home for you. However, it is important to understand the difference between the two types of jobs so you know what to expect from them during the mortgage application process. 

What is a Mortgage Broker?
Mortgage Brokers are licensed professionals that work as an independent agent to help you, the consumer, find a loan that fits your needs. They act as a middle man between you and many lenders and can offer more mortgage options to fit almost any situation.
As part of the Pre-Qualification Process, a mortgage broker will analyze your financial situation to decide which lender is the best fit for your loan needs. He or she will send your mortgage application to the lender for approval and will work with  the chosen lender until the loan closes. He or she receives a commission when the loan closes.

What is a Loan Officer?
A Loan Officer is an employee of a lending institution, such as a bank, who works to sell and process mortgages loans originated by their employer. A loan officer is not required to have a license to work in the mortgage industry. Loan officers represent the borrower to the bank and will guide the customer through the processing and closing of mortgage loan. They too have a variety of loans types to draw from, but all originate from that specific lender. If the borrower’s situation does not “fit” into the bank’s underwriting box; the application may not get approved. Loan officers are paid a commission and/or a salary for their services. 

So Who Should You Work With?
I have worked as a loan officer for a regional savings & loan, as Sr. Mortgage Officer for a large credit union, as a mortgage originator for a national direct lender and now I am happy being a Mortgage Broker because I have the options I need to best serve my clients. Call me biased if you like, but here are a few reasons to consider Mortgage Broker vs a Loan Officer:

  • Loan Officers and Mortgage brokers analyze each home buyer’s personal and credit situation to decide which lender is the best fit for that person’s needs. A good mortgage broker can find a lender for just about any type of credit. The broker works as an intermediary between the buyer and chosen lender until the loan closes.

  • Mortgage brokers are licensed professionals who must pass difficult national and state exams and a criminal background check to originate mortgage loans. They must take continuing education courses and keep a certain degree of personal financial responsibility to renew their license each year.  Bank loan officers have no such need.

  • Banks tend to be product oriented. They have only their programs to offer and, if you don’t “fit into the box” or don’t like them, they’ll send you away having wasted your valuable time.  Good mortgage brokers are accustomed to comparing and contrasting loan programs – finding the best one for your situation, regardless of the lender.

  • Banks may not see enough of the credit challenged borrowers to offer the advice and information they need to get back on track for a more solid loan applicant. Good mortgage brokers are willing to work with clients months in advance to help prepare them for a mortgage application.

Conclusion
There should be a chemistry that develops between you and the broker or loan officer. Make your choice of a lender based on the trust that you build in each other. Be honest and straight forward about your plans and expectations. Don’t be afraid to ask as many questions to be sure you understand the process. Check out the broker or lender on-line. See what past clients and business partners have said about them Ask your real estate agent, your friends and co-workers friends who have recently bought a home for a referral.

And, as always, if you have other concerns, do not hesitate to Contact Me for advice and direction.  It’s FREE!