5 Ways To Tell if You Are Getting Ripped Off on a Mortgage

It doesn’t matter the industry, there are scammers in just about every profession looking for opportunity. We really need to keep our feelers up when it comes to scams, hackers, and those just trying to get your money or your identity. Even in the loan industry, this is becoming a hassle, much more than an inconvenience, but a source of deep frustration for those looking to buy a house or refinance. In mortgage world, there are big red flags to look for so that you know your loan officer or mortgage officer is not ripping you off and keep you from being scammed. Here are the five most important ways you can tell that a lender is just not aboveboard.

#1. The ask for money up front.

This is one of the most obvious red flags. A scammer may call this an insurance fee, processing fee, advance payment or some other kind of deposit and they may even say it’s a standard procedure. But those lenders require you to wire the money through the Western Union or some other similar service, be on the lookout. This is probably a scam. We do not ask for money upfront!  Most loan costs are paid at the closing or can be rolled into the loan and you shouldn’t have any out-of-pocket expenses right off the bat. There may be some legitimate reasons why a lender would want money upfront such as for a credit report or an appraisal fee but that’s usually a very small amount. It’s important to know who you’re dealing with, not just the bank itself but the individual loan officer before handing over any funds.

#2. A lender that says every loan program out there is available to you.

This clearly is not true and that loan officer isn't doing their job or you a service. Many lenders specialize in specific types of loans such as Jumbo, FHA, VA, UDSA, Down Payment Assistance or investment loans. If a scammer says that they can handle any loan in any state and that you can qualify for anything, it probably is too good to be true.

#3. A lender promising guaranteed loan approval.

No lender can offer guaranteed loan approval without validating your documentation first. Be very cautious of any lender that promises you the moon. If they say you will get approved regardless of your credit history and no credit check, run far away. Your credit history is often the first line of defense that determines risk when it comes to finding the right loan and a loan approval for a borrower.

#4. A lender requiring quick decisions.

We're not talking about locking in interest rates in a volatile market, because sometimes we need to move quickly on those, especially if the bond market is moving, however if a loan officer is pressuring you to make a decision today, handover money right away for fear of missing out, it’s time to back off. Many hackers and scammers use this ploy to ensure that the borrower doesn’t have the needed time to research the lender enough. A reputable lender will let you take your time and help you feel comfortable with your decisions all the while reminding you of any urgency needed down the line.

#5. No license.

You might think that borrowers would be crazy to use a loan officer without the required licenses but most people don’t even question it. Legitimate loan officers and lenders will have licensing, registration and or affiliations with professional organizations. Most of them are also required to be licensed and registered with the NMLS national registry.  If a lender is not on the approved list, that could be a big red flag.

The last thing you want is to get involved with the lender that is trying to scam you out of your money, your livelihood and your security. Make sure you go with someone you trust and ask for referrals on how well a lender did with a certain loan before jumping in. Most banks, reputable or national mortgage lenders and even small-town credit unions will have reputable lenders on hand to help you. Don’t just go with the lender that looks the previous or sounds the best.

I’d be happy to go over any upcoming programs or lending options that might work for you both now and in the future.

Feel free to give me a call!
702-326-7866
Aundrea Beach-Greco
www.iLendLasVegas.com

Happy Christmas 2017 from Aundrea

Home Loan limits increase in 2018

[PSA HOMEOWNERS AND HOME BUYERS] Loan Limits increasing in 2018! It is super important you are kept in the loop with the latest mortgage information.  Great news... Loan limits are being increased in 2018... Check it out!

Confirming National Loan Limits:
Increasing to $453,100

FHA Loan Limits in Clark County: 
One-Family Increasing to $292,515

What does that mean for you? You can possibly qualify for more home, refinance to remove PMI or buy a larger home without hitting the jumbo loan mark.

Want to learn more? Get pre-approved? 

Contact us 702-326-7866
info@aundreabeach.com
www.iLendLasVegas.com

LLPA and Mortgages - Do you even know what this is?

Loan-Level Pricing Adjustments (LLPA)

A loan-level pricing adjustment (LLPA) is a risk-based fee assessed to mortgage borrowers using a conventional mortgage. Loan-level pricing adjustments vary by borrower, based on loan traits such as loan-to-value (LTV), credit score, occupancy type, and number of units in a home. Borrowers often pay LLPAs in the form of higher mortgage rates.

LLPAs Affect Conventional Mortgage Borrowers

Each week, government-backed Freddie Mac publishes its Primary Mortgage Market Survey (PMMS), a review of the week's average mortgage rates available to U.S. borrowers.

For many borrowers, however, these rates can prove elusive.

Freddie Mac may report today's mortgage rates firmly in the 3's, but when you call a lender, you get a quote which is substantially higher.

Your lender's not pulling a fast one on you. Your mortgage rate may really be higher than what Freddie Mac reports -- particularly if you're using a conventional home loan to purchase your new home due to the LLPA.

The bump to your mortgage rate is the result of a government-mandated, rate-altering program based on something called "risk-based pricing".

More formally, it's known as the loan-level pricing adjustment (LLPA) program.

What Is a (LLPA) Loan-Level Pricing Adjustment?

Loan-level pricing adjustments (LLPA) are not new. They were introduced into conventional mortgage lending in April 2008, and LLPAs remain in effect today.

They exist for good reason, too.

Toward the end of last decade, as government-backed loans began going bad, Fannie Mae and Freddie Mac realized that they were undercapitalized and over-exposed to risk.

Both organizations were losing money -- quickly. They decided to increase fees. However, neither group wanted to make an across-the-board fee change. Both groups understood that some loans were less risky than others.

From this want to collect more fees, loan-level pricing adjustments were born.

Loan-level pricing adjustments are, literally, adjustments to the "price" of a loan. Loan prices are what determine a borrower's mortgage rate.

Higher loan prices translate into higher mortgage rates.

Loan-level pricing adjustments are the government's way of raising prices for "riskier" borrowers without putting a penalty to "safer" ones. Similar to an auto insurance policy, a person loaded with risk will pay a higher premium.

LLPAs can change a person's mortgage rate by 100 basis points (1.00%) or more.

Risk Factors That Lead To Loan-Level Pricing Adjustments

The loan-level pricing adjustment system contains more than a dozen "risk characteristics". Nearly all conventional mortgage borrowers are affected by at least one.

LLPAs are cumulative, too. If you trigger 4 adjustments, you're required to pay all four.

Loan traits which affect your loan-level pricing adjustment include:

• Mortgaging a home as a investment property
• Mortgaging a condo with less than 25% equity
• Mortgaging a multi-unit home (i.e. 2-unit, 3-unit, 4-unit)
• Doing a cash-out refinance at any loan-to-value
• Subordinating a second mortgage via a piggyback loan

There are only a few scenarios which avoid loan-level pricing adjustments completely. One such scenario is when a borrower with a credit score over 740 purchases a single-family, detached home with a downpayment of 40% or more with no subordinate financing.

Everyone else is subject to LLPAs.

LLPAs Don't Apply To FHA, VA, or USDA Loans

Loan-level pricing adjustments are neither discretionary fees, nor "profit" to a bank. They are fees assessed by Fannie Mae and Freddie Mac and there's way to skip them.

However, if your LLPAs become to large, you may find it smarter to use non-conventional financing for your next mortgage loan.

Loan-level pricing adjustments apply to Fannie Mae and Freddie Mac loans only. They don't apply to FHA loans, VA loans, or USDA loans.

Therefore, if you're purchasing a home with 2 units or more, or if your credit score is below 700, you'll likely find it more cost-effective to purchase a home using an FHA mortgage instead of a conventional one -- especially if you plan to make a low-down payment.

Or, if you can qualify for a VA mortgage based on experience in the military; or, a USDA loan because you're purchasing in a less-densely populated part of the country, it's best to explore those options, too.

About the time to ignore the effect of loan-level pricing adjustments on your loan is when you're using special conventional mortgage programs such as the HomeReady™ mortgage, which puts a cap on the amount of LLPAs a borrower can accumulate and allows for just 3% down.

HomeReady™ is terrific for home buyers in low-income areas, and for buyers who rely on income from boarders to help make ends meet each month.

What Are Today's Mortgage Rates?

Today's mortgage rates are low, but because of loan-level pricing adjustments, not all rates and lenders are created equal and not all borrowers will get access to the Freddie Mac published rates.

Call today for a FREE quote!

Aundrea Beach-Greco
The Beach-Greco Mortgage Team
NMLS 333739

702-326-7866

info@aundreabeach.com
www.iLendLasVegas.com

Are you affected by the EQUIFAX BREACH? Consider a Fraud alert or credit freeze

Considering a fraud alert or credit freeze? 

You don’t need to be an identity theft victim to use these – but it’s helpful to know depending upon your situation. If you’re not sure which is best for you, here are some things to think about.

The recent security breach at Equifax has left some 143 million consumers scrambling to understand the difference between fraud alerts and security freezes, and which works best in protecting their personal information.

If you’re a victim of the Equifax breach, don’t hesitate to use these options to safeguard your information. You can opt for one or both, depending on what’s right for your situation. Here’s how to choose between a freeze and a fraud alert, and the best way to protect your credit.

What do fraud alerts and credit freezes do? With a fraud alert, businesses must try to verify your identity before extending new credit. Usually that means calling to check if you’re at a particular store attempting to take out new credit. With a credit freeze, no one – including you – can access your credit report to open new accounts. You’ll get a PIN number to use each time you want to freeze and unfreeze your account to apply for new credit.

How long do fraud alerts and credit freezes last? A fraud alert lasts for 90 days. You can renew it but you’ll need to remind yourself or it will expire automatically. Identity theft victims are entitled to an extended fraud alert, which last seven years. In almost all states, a credit freeze lasts until you temporarily lift or permanently remove it. In a few states, it expires after seven years.

How much do they cost? Fraud alerts are free. Credit freezes may involve fees, based on state law. In most states, they’re free for identity theft victims. For non-victims, they cost about $5 to $10 each time you freeze or unfreeze your account with each credit reporting agency.

How do I place a fraud alert or credit freeze? To place a fraud alert, contact any one of the three major credit reporting agencies, either by phone or online. The one you contact is required to notify the other two. If you’re an identity theft victim placing an extended fraud alert, you’ll also need to mail or upload your Identity Theft Report which you can create at IdentityTheft.gov. To place a credit freeze, you must contact each of the three credit reporting agencies individually at their credit freeze portals.

Credit freezes may be a strong tool but they may not be for everyone. Consider the cost and hassle factor. If you’re about to take out new credit (apply for a mortgage, car loan, student loan), then you’ll have to unfreeze and refreeze each time you want new credit. But if you won’t need new credit soon, then a credit freeze may be for you.

Double Protection

For anyone who is in the middle of buying a home, or some other financial transaction, you may not want to block prospective lenders from seeing your credit file. If that’s the case, opting for a fraud alert may offer reasonable protection, because lenders will be warned and you’ll receive a free credit report from each bureau.

Still, a credit freeze is the stronger option. So if you can’t lock down your credit now, plan on doing so as soon as you can.

And for maximum protection, we recommend using both freezes and fraud alerts. As the Equifax breach showed, you can’t be too careful.

If you need further information, please contact us.

702-326-7866 www.iLendLasVegas.com 

Think You Have Bad Credit? 7 Signs That You Probably Do

I know you're busy and possibly quite frankly afraid of what you'll see. It can be all too easy to turn a blind eye to your credit profile. There are certain red flags that can let you know that something is really amiss - and that your credit score has entered the "bad" zone. (Credit scores range from 350-850 scale, but generally a "bad" score is considered scores below 600 scale.)

Here are a few indications that you may have bad credit.

1. A Recent Loan Application Gets Denied
2. Your Credit Card Company Won't Lower Your APR (or Raise Your Credit Limit)
4. You Get a Default Notice or Subpeona From a Creditor
5. You're Contacted By a Collection Agency/Debt Collector
6. You Start Receiving Subprime Credit Offers
7. You Have to Put a Deposit Down on Utilities

A loan denial is one of the quickest ways to learn that your credit score is low, since a good credit score generally entitles you to affordable financing and an average one will often net you credit, but at a higher interest rate.

The Fair Credit Reporting Act (FCRA) requires lenders provide a copy of the report they used, along with an explanation, when a consumer is denied or offered adverse terms on a contract or loan.  This should give you an idea of where your credit stands shortly after you get turned down for a loan (though it's a good idea to pull your credit immediately anyway). 

A credit card issuer typically reviews your credit if you ask for a lower annual percentage rate (APR) or a credit limit raise on an existing account. So, if you get turned down for some reason, it's probably a sign that there's something on your credit report.  

  

Credit Card issuers are in the habit of conducting account reviews on their own from time to time, so if you see a change in your credit card's terms and conditions (like, say, your credit limit decreases or your rate is increased), your score may have gone down. And if it's fallen low enough, they could close your account all together.

Late payments are certainly going to hurt your credit score, but by the time you've entered default, big damage is likely to have been done. The same rule applies if you're being or were sued for an old debt.

Lots of different items, including medical bills, unpaid utility accounts or even gym subscriptions can wind up in collections. And these collections accounts will hurt your credit score, if the company who owns them reports to the three major credit reporting agencies. So, if bills start arriving in the mail or a debt collector comes calling, that's your cue to check your credit. 

You want to make sure the collections notice is valid, and then address it. 

Credit card solicitations can wind up in anybody's mailbox, but pre-approved offers from subprime financing providers, like a secured credit card issuer, payday lender or a car title loan company, may be a sign your score has dropped below a certain threshold, especially if you're somebody who's used to being qualified for prime credit.

Lenders aren't the only ones who pull your credit. Cellphone providers, insurance agencies and even utility companies look at versions of your scores when determining whether to do offer credit to you. So, if you have to pay fees or are offered less-than-stellar rates, your credit may to blame.

Has There Been a Mistake on Your Report?

Keep in mind, your credit score may be bad for a variety of reasons. While you may have damaged your own credit, there is also a chance an error is weighing down your score.  And something more damaging could be lingering... a sudden drop in your score could be a sign identity theft might be occurring.

To get a handle of what might be behind your bad credit, you should thoroughly check your credit. You can do so by pulling your credit reports for free each year at www.AnnualCreditReport.com. If your bad score is valid, you can work to improve it by getting accounts out of default, paying down high credit card balances and limiting new credit inquiries.

If you need help, we are here for you to answer any questions you may have.

Aundrea Beach-Greco

NMLS 333739

702-326-7866

www.iLendLasVegas.com

PS - If you want a free credit analysis, just reach out!  Click here for your request.

Your Lender For Life

Junk Mail - How to evaluate "REAL" Mortgage Refinance offers

Junk Mail: How do you decipher?

For nearly anyone who owns a home, it’s practically impossible to avoid a flood of junk mail related to refinancing your home. As mortgage lenders are desperate for a bigger piece of the home loan pie, they try to dream up the best ways to generate leads and a lot of their efforts end up as wasted trees delivered to your mailbox.

Part of the overall strategy of many companies offering mortgage refinancing is to reach out to a wider class of homeowners, whether these individuals need their services or not. Almost from the day that you sign your settlement papers, you can expect a host of marketers sending you letters about “new low rates” and “dropping your monthly payment.”

Trust me... I have been in this business over 20 years and the letters are so good even my own mother has called on a few of them.  Be careful!! 

Are Mail Offers for Mortgage Refinance a Scam?

We suggest you wait a while after buying your home and restrict your refinancing to drop in payment that make sense versus the fees that you can expect from refinancing. There are exceptions of course, if you are doing a streamline refinance after Down Payment Assistance, or there is a true exit strategy in place. 

The majority of mailers you get don’t take these factors into account, which has led many consumer advocates to view most of them as scams. Too often, the writers of direct mail pieces are simply trying to get up-front fees, and some of them may never even provide refinancing services at all.

That doesn’t mean that there aren’t legitimate refinancing offers out there, just that it’s critical to read the fine print of any offers you receive. High pressure to refinance sooner than a year after purchase, or at a rate difference of less than 1/2%, is usually a sign of predatory lending.

How to Tell Which Refinance Offers are Legit

The best litmus test for whether or not a direct mail offer is a scam is an analysis of what you're really going to get out of it–the most fundamental way to judge an offer for a refinance is by calculating how much you will save versus how much you will pay.

We recommend looking critically at loan fees that often come in the form of unnecessary loan origination fees. We will provide every family a Total Cost Analysis to make sure it is in their best interest to refinance and go over all the pros and cons.

That’s why finance pros advise you only use a mortgage lender you can trust, and never agree to an interest rate or any other aspect of a deal unless it’s in writing. Even a lending estimate mandated by HUD is not always an accurate indicator, so it’s important to look at the hard numbers when you are considering signing on the dotted line for refinancing.

Mortgage Scam Red Flags

The fact is that many direct mail pieces are just pathways to possibly predatory mortgage lending schemes that you don’t want or need, and that could harm you in the long run if you don’t fully understand what the letters are selling.

Want a Total Cost Analysis to see if a Refi is right for you?  

Contact me today!
Aundrea Beach-Greco
Mortgage Advisor, CMPS
NMLS 333739
702-326-7866
info@aundreabeach.com

What a Total Cost Analysis can do for you

Cost of waiting to buy a home

HOAs

DO's and DON'Ts

Why work with us

HomeFundMe $ for YOU!

BIG News on Appraisal changes from Fannie Mae and Freddie Mac

Appraisals may not be needed on every purchase transaction!

[Appraisal update = Effective August 19, 2017] 

Fannie Mae PIW (Property Inspection Waiver) and Freddie Mac ACE (Automated Collateral Evaluation) is being extended to Purchase Loan Transactions. 

It was usually only allowed on certain transaction types, but now it is going to be offered on some purchases!

Fannie Mae is updating Desktop Underwriter (DU) effective Saturday, August 19, to offer the Property Inspection Waivers (PIWs) on some purchase transactions. Eligibility is limited to one-unit, principal residences and second homes up to a maximum 80 percent loan-to-value ratio.

Freddie Mac - Beginning September 1, ACE will be extended to some purchases. More information to follow. 

​What does this mean to you? 
On some transactions, you will not need an appraisal.  Whoo hoo!

This is the first wave of the Fannie and Freddie roll out so stay tuned...

If you want more information, please contact us.

Aundrea Beach-Greco 

702-326-78966

info@aundreabeach.com

HARP extended to help underwater homeowners

Is your home still underwater? 

[REFI ANNOUNCEMENT] FHFA Extends HARP

HARP is being extended thru December 31, 2018 per announcement by the Federal Housing Finance Agency (FHFA).

Below are some of the highlights of this new program:

- Available for refinance applications received in late 2018
- There must be a benefit to the borrower from the refinance
- Loan being refinanced may not have been a HARP refinanced loan
- If you have MI, the MI must be transferred to the new loan, but is not required if not on the original loan being refinanced

Following our review of full program information, we will provide updates as needed.

Contact us you have questions. 

Aundrea Beach-Greco 

702-326-7866

info@aundreabeach.com

Crowdfund your down payment - Exclusive HomeFundMe Program

Home Buyer Mistakes You Don't Want to Make

Stated Income Home Loans are Back

Stated income loans have a bad rap and were abused during pre-recession as lenders and loan officers mis-used the product for borrowers that couldn't really afford the payments.  It doesn't make sense a maid or cab driver can afford an $800k home, right?!?  It caused some drama that's for sure.  

In this healthy economy, the "stated income" and "bank statement" loans have resurfaced.   They are not like they used to be though and the criteria is different.  They aren't just giving anyone with a high FICO score a stated income loan just because...  It's a non-QM, outside Dodd-Frank product for specific needs. 

In a nutshell, you'll need good credit, 25% or more to put down, reserves, and be able to verify and source all assets. It can be great for tip earners of all types, entertainers, commission only earners, independent contractors, etc...

Give me a call 702-326-7866 if you want to learn more or see if you fit the criteria. 

Otherwise you can apply online at www.iLendLasVegas.com

Aundrea Beach-Greco 

NMLS 333739

Biggest Lender Guideline Changes Since Recession

Fannie Mae announced guideline changes as of 7/29/17.

Did you know... The No. 1 reason that mortgage applicants get declined for a home loan?
Yes, you guessed it... debt-to-income ratios (DTI)!

Great news!! One of the biggest changes today from Fannie Mae is they are raising allowable debt-to-income ratios to allow for more people to qualify.

Here are some of the new changes: 

DEBT TO INCOME

Fannie Mae is now looking to allow more homeowners to enter the market as it increases its DTI limits from 45% to 50%.

DTI is a borrower’s total amount of debt, including credit cards, student loans, auto loans and mortgages, versus their total income. 

 - What does that mean for you?

In an example... if someone made $10,000 gross income per month, they could qualify for a total outlay of $4500 including the proposed new mortgage but now with the new guidelines, they can go up to $5000 per month. That's $500 more dollars - that's HUGE!

* Effective for new loan files submitted on or after the weekend of July 29, 2017.

DISPUTED CREDIT TRADELINES

For example, a loan application with a disputed tradeline that received an Approved recommendation from DU® will not be required to submit further documentation on the said disputed tradeline.  In the past we had the client get the "dispute" verbiage removed and then do a rescore or repull.  Not always a favorable outcome.  

ARM LOAN TO VALUE (LTV) RATIOS

Fannie will align the following ratios of an adjustable-rate mortgage with that of a fixed-rate mortgage: (a) LTV or loan-to-value, (b) CLTV or combined loan-to-value, and (c) HCLTV or home equity combined loan-to-value, of up to 95%.

SELF-EMPLOYMENT INCOME: 

Fannie has an updated documentation requirement to verify self-employment income. Currently we require 2 years personal and business tax returns, however it is expected that more could qualify for one year’s worth of personal and business tax documents.  This will be on a case by case basis but opens up more options for the self-employed and entrepreneur.

If you were turned down for debt ratios being too high in the past, now is the time to re-apply and see where you stand.  Rates are low and it's a great time to buy.

Contact us today! 

Aundrea
702-326-7866

www.iLendLasVegas.com

Delayed Financing: Recoup Your Money Right Away

Buying a home for cash might seem a little out of the realm for most people, but if you have the funds and are in a competitive market, it may be the way to go.  You can now get most of your cash back within 24 hours... In the past, at least 6 months would have to pass before the you could refinance the property with a cash-out refinance. Today, the wait is strictly 24 hours – which means the borrower can recoup his money right away.

How it Works

If you purchase a home in cash and want to recoup your funds then you can apply for the Fannie Mae Delayed Financing program. This program allows you to take out a loan on the home you just paid for gaining some of your capital back. There are restrictions on how much you can take out, however, and of course, qualifications that must be met.

Qualifications Required

Fannie Mae Delayed Financing can be used on a variety of different types of properties. Primary, secondary, and investment homes are all eligible for this financing. Where the differences come in is how much of the equity can be taken out with this cash out refinance. If you are living in the home as your primary residence, you can take out up to 70% of the equity of the home, If the home is a second home or investment, you are only allowed to take out 60% of the equity with the cash out refinance. If this is an investment property, you are not allowed to have more than 10 properties in order to qualify, although some lenders will maximize that number at 5 properties.

In addition to standard loan qualification guidelines, such as meeting the minimum credit score and debt ratio requirements for the loan, the Fannie Mae Delayed Financing program has a few other stipulations:

• You cannot have purchased the home from a relative, friend, or co-worker. You must have what is called an arms’ length relationship with the seller, basically meaning you did not know the seller.
• The cash used to purchase the property must be able to be sourced. The lender needs to know that you used your own money to purchase the home.
• If you used money from another loan, such as a Home Equity loan, the cash taken out of this home’s equity will need to be used to pay off that home equity loan before you are given any of the cash from the loan.
• You must provide the CD from the closing showing that you did, in fact, purchase the home.
• The title company will perform a search on the property to ensure that there are no existing liens on the property before you close on the loan.

Advantages of the Fannie Delayed Financing Program

The Delayed Financing Program offers buyers a valuable advantage; they are able to make a cash offer on the home. Most sellers are much more willing to take a cash offer than one with a financing contingency, which means you get the home faster. In a competitive market, that could be a huge competitive advantage. If you have the funds to purchase the home right away, you can do it, knowing that you will get your cash back in a few short weeks after the approval for the Delayed Financing Program goes through. It also allows buyers to purchase a property that would otherwise never get financing. With a little work and a little capital outlay, the buyer can eventually get a large portion of his cash back, enabling him to purchase other investment properties or invest his money in other ways.

As with any loan, you will have to meet certain requirements, but the Delayed Financing Program is available in all 50 states. If you are curious if you would be eligible for the program, talk to a lender before making the cash offer, just so you know where you stand. If your credit is in disrepair or you have a high debt ratio, you may not qualify until you work on your finances. Once everything is on the up and up, you may be a great candidate for this program, allowing you to jump right into real estate investing.

Let us know how we can help!

Aundrea
702-326-7866
www.iLendLasVegas.com

Get an Extra $1500 Bonus to Buy a House with NV Home is Possible Program

Get bonus money on top of bonus money—for a limited time...

Until September 1, 2017, get an extra $1500 towards your down payment and closing costs. This is in addition to the money you can already receive through Home is Possible. What a great time to buy a house!  (Please note that this extra money is for conventional loans only, and maximum income limits apply.)
Established by the state of Nevada in 2014, Home Is Possible helps homebuyers just like you to get up to 5% of the home loan value. That's thousands of dollars for a one-time fee of just $675. When you qualify, you can use that money for your down payment or closing costs.
Yes, really!
So what are the highlights of the Home Is Possible program? Here’s a handy dandy list.

Key Benefits: 

• Non-repayable money up to 5% of the loan value
• Usable for down payment and closing costs
• Attractive 30-year interest rate
• No first-time homebuyer requirement
• Financing available for manufactured homes
• Statewide program

Program Requirements

• Qualifying income below $98,500 
• Home price below $400,000 
• Minimum credit score of 640 
• Homebuyer must live in home as primary residence 
• Homebuyer education course required 
• Must meet standard underwriting requirements
• One-time fee of $675

If you love the benefits and meet the qualifications, the next step is to find a Home Is Possible qualified lender and get pre-approved. They’ll help you get thousands of dollars in bonus money, courtesy of Nevada Housing Division and our Home Is Possible program.

Let's get YOU into a home today!  Call me!

Aundrea 

702-326-7866
www.iLendLasVegas.com

3 Steps To Challenging A Low Home Appraisal During A Mortgage Transaction

Don’t Let a Low Appraisal Ruin Your Real Estate Transaction

In any residential real estate deal, there’s a lot riding on the home appraisal. If you’re selling a home, a low appraisal can make it difficult to get what your home is worth. If you’re purchasing and the appraisal comes in under contracted price, then you may not be able to secure financing.

For refinancing, a sub-par appraisal can result in higher interest rates or having private mortgage insurance premiums. It may even prevent the refinance from going through at all. Fortunately, you can challenge a low home appraisal. Talk with the experts and then follow these steps.

Get a Copy of the Appraisal

Before you can dispute the appraisal, you’ll need to know how and why the appraiser undervalued the home. By law you are supposed to receive a copy of the appraisal, so if you don't have it handy, ask your real estate agent or mortgage lender to get a copy of the appraisal for you. Reviewing it with them will give you useful insight into why the appraiser valued the home the way he did.

Do A Comparison

In the appraisal, you’ll find a list of similar homes to yours that the appraiser used to value your home. Sometimes, you may find that many of the homes on the list aren’t really comparable at all. Some may have smaller lots or lower square footage. Others may be in poor condition or lack similar upgrades and amenities. You may also find that the appraiser compared your home to sold listings in nearby, but less desirable neighborhoods or school districts.

Search for Comparables

Between you and your realtor, you should be able to come up with a list of additional comparable properties for the appraiser to consider for a re-valuation purpose. It may just be that the appraiser didn’t fully understand local market conditions or didn’t do the proper research or was just swamped with work - he is human.

Sell the Sizzle

It’s possible that the appraiser may have missed certain details about the house during the initial evaluation. For example, he/she may not have taken note of the upgrades - renovated kitchen, remodeled bathroom, or eco-friendly AC system. Make a list of as many upgrades as you can come up with, and have that ready to present to the appraiser.

State Your Case

Before ordering a second appraisal (if the lender will allow it), see if you can get the previous appraiser to reconsider their report. Don’t just give them your opinion; back it up with the data you’ve gathered. And who knows - They may see things your way and be willing to re-value the property.

Get a Second Opinion

If the appraiser simply won’t consider your request for a re-value assessment, and you feel strongly that the home’s value is higher than assessed then you may want to consider getting a second appraisal (if the lender will allow it). 

You may be able to demand a second appraisal from the mortgage lender. If granted, the bank will send another appraiser to inspect the property.  It will come out of your pocket, but it could turn a stalled real estate transaction into a success.

Best of Luck!

Whether you’re buying, selling, or refinancing a home, we hope you reach out to experts in your market to help you get the appraisal you need to get the deal done. Oh, and if you’re currently looking for a mortgage, we’re here for you!

Cheers-

Aundrea

Contact us today 702-326-7866

www.iLendLasVegas.com

Canceling Your FHA Mortgage Insurance

HOW TO GET RID OF YOUR FHA MORTGAGE INSURANCE TODAY!

An FHA loan was a great strategy for you at the time.

The good news is that you can cancel your FHA mortgage insurance today.

There are two methods of removing your FHA mortgage insurance, commonly known as FHA MIP.

Method #1: Check your Loan Balance - Get Rid of FHA Mortgage Insurance

• The loan is in good standing

• The loan was opened prior to June 3, 2013

• You’ve paid your loan for 5 years if you have a 30-year loan. If you have a 15-year loan, there’s no 5-year minimum.

• Your loan balance is at or below 78% of the last FHA appraised value, usually the original purchase price.

Method #2: Make a Plan to Refinance out of it - Get Rid of FHA Mortgage Insurance is a Great Financial Decision

You can request cancellation of your FHA mortgage insurance when you meet certain requirements.

If you bought a house with a 30 year FHA loan some years back, you may be eligible call your servicer to cancel your FHA PMI today. If your loan balance is 78% of your original purchase price, and you’ve been paying FHA PMI for 5 years, your lender or service must cancel your mortgage insurance today — by law.

While a low balance is a sure-fire way to cancel FHA mortgage insurance, it can take a while to get there. On a 30-year fixed FHA loan, it could take you about ten years to pay your loan down to 78% of the original purchase price. If you’re not quite there, continue making payments for a few more years, or make a one-time principal payment.

Once you hit the magical 78% loan-to-value ratio, you can potentially start saving hundreds per month, and keep your existing FHA loan and interest rate intact.

Cancelling FHA mortgage insurance is also possible by refinancing into a conventional loan. It’s often the quickest and most cost-effective way to do it. And it can be the only way to do it if you opened your FHA loan on or after June 3, 2013, when FHA mortgage insurance became non-cancellable.

With today’s rising home values, homeowners might be surprised how much equity they have. With a refinance, you can use your home’s current appraised value rather than the original purchase price.

Consider Replacing FHA mortgage insurance with conventional PMI

Conventional private mortgage insurance, or PMI, has to be paid for just two years, then is cancellable. Converting your FHA mortgage insurance to conventional PMI is a great strategy to reduce your overall cost. Conventional PMI is usually much cheaper than FHA mortgage insurance, and you can cancel it much more easily.

You can often refinance into a conventional loan with as little as 5% equity.

When your new conventional loan balance reaches 78% of the home’s value, you can cancel conventional PMI. Some lenders and servicers will even let you cancel when you reach 80% of your home’s current value.

In as little as two years, you could be rid of mortgage insurance forever. Compare that with a minimum of five years for FHA, and a maximum of 30 years if your FHA loan was opened after June 3, 2013.

Get rid of FHA mortgage insurance with a loan that doesn’t require PMI

If your home has about 20% equity based on today’s value, you can cancel your FHA mortgage insurance using a conventional refinance, often within 30 days, and you can start today.

You might have more equity than you think. Some areas of the country like Phoenix and Las Vegas have seen 20% to 30% appreciation over the past few years. Use your new-found equity to discontinue your FHA mortgage insurance. Refinance into a new loan that does not require mortgage insurance of any kind, and do it immediately.

For instance, if you purchased your home for $200,000 with an FHA loan, and the home is now worth $250,000, there’s a good chance you can remove your FHA mortgage insurance now.

Check with us to see if you qualify to remove your FHA mortgage insurance.

When you’re buying a home, you’re mainly focused on getting into a place where you can set down roots and build a solid future. You probably weren’t too concerned about the FHA PMI costs at that time.

But now that you’re settled in, it’s time to think about getting rid of FHA mortgage insurance. These high monthly costs could and should be going into savings, a child’s college fund, or toward loan principal.

Don’t delay. Even if you’re not able to cancel your mortgage insurance today, let's make a plan for how you’re going to do it in the future.

Ten or twenty years down the road, you’ll be glad you did.

Homeowners who want to eliminate their FHA mortgage insurance should lock in a refinance before rates rise.

It’s possible to keep a similar rate or even drop your rate when you refinance out of an FHA loan. You could save a lot of money every month in interest and mortgage insurance.

Contact us today!  A quick phone call will determine your savings, and it's free to find out!702-326-7866www.iLendLasVegas.com