- You Have a Second Chance: Homebuyer Tax Credit Extended and Expanded Until 2010 -

[click here to read the full article…]

1 comment

Hotel rooms are expensive, stay in a loft in Manhattan, a ski condo in Aspen, or a beach house in Australia. It's free.

For many, many years, the FHA Streamline refinance was a borrower’s dream.  Once upon a time, a homeowner/borrower could easily and quickly refinance their FHA mortgage loan and get a lower rate and payment with no qualifying at all.  No appraisal was required, no credit check, no credit score, no job verification.

Gone are those days. The FHA Streamline refinance is all new for 2010. [click here to read the full article…]

Hotel rooms are expensive, stay in a loft in Manhattan, a ski condo in Aspen, or a beach house in Australia. It's free.

As of January 1, 2010, mortgage originators are required to give mortgage applicants the “new” Good Faith Estimate (GFE).   The document will be used by all lenders and all originators and will make it easier for borrowers to compare costs.  The big plus with the new guidelines is the consistency of the form.  Previously, the GFE could take on a slightly different look from one lender to the next.

The biggest minus lies in the fact that the form does nothing to allow the mortgage shopper to judge mortgage competency, service, or job knowledge.  After all, it won’t help me if someone tells me they can paint my entire house for $100.00 if they never show up to do the job.  Similarly, if I’m told I can get a mortgage at 3.25%, I will be up the creek if my loan cannot close.  If you are looking for a mortgage, keep in mind that the Loan Officer’s ability to carry through to the end with product knowledge and borrower education is equally important. [click here to read the full article…]

Hotel rooms are expensive, stay in a loft in Manhattan, a ski condo in Aspen, or a beach house in Australia. It's free.

Let’s see if you might qualify.

Last year, over 23 million people took advantage of a tax break called the “Earned Income Tax Credit.”  And the IRS handed down $50 billion in benefits.

Want your own personal stimulus?  Keep reading and check to see if the Earned Income Tax Credit (EITC) can put some dollars in your pocket.

 Who qualifies for the Earned Income Tax Credit?  It depends on a few criteria: [click here to read the full article…]

1 comment

Hotel rooms are expensive, stay in a loft in Manhattan, a ski condo in Aspen, or a beach house in Australia. It's free.

How does a borrower looking for a mortgage loan find who “really” has the lowest mortgage rates if there are over 25 million pages online screaming that “they” have the best mortgage rates?  

What do I mean?  Type “best mortgage rates” in Google and see what you get.  Today, February 8, 2010, your friendly lenders are saying they will bless you with rates ranging from 3.48% to 5.25%.  Oh me oh my.  What to do now?  Do you suppose it makes sense to call the 3.48% advertiser?   After all, they say they have a rate that is almost 2.00% lower than the other guys. [click here to read the full article…]

1 comment

Hotel rooms are expensive, stay in a loft in Manhattan, a ski condo in Aspen, or a beach house in Australia. It's free.

Okay.  So you’re thinking to yourself, “I called that lender because they advertised rates that were so low, but I didn’t get the rate.”  Why not? The answer is relatively simple though some lenders don’t take the time to thoroughly explain it.  Mortgage rates are low, but only if the borrower “qualifies” for that low rate.  When lenders advertise rates, we are required to indicate “the fine print” that specifies who and how to qualify for the rate.  The fine print also has to say how much the borrower must pay for that low rate – otherwise known as points.  Unfortunately, many, if not most borrowers completely miss the fine print.  Even worse, borrowers often get wind of low rates from a quick TV news spot.  There is no requirement for CBS or CNN to share the fine print. [click here to read the full article…]

Hotel rooms are expensive, stay in a loft in Manhattan, a ski condo in Aspen, or a beach house in Australia. It's free.

Effective February 1, 2010, a new policy goes into effect that will speed the resale of foreclosed properties to buyers in New Jersey and other states.

To help achieve the national goal of stabilizing home values and improving conditions in communities where foreclosure activity is high, Shaun Donovan, HUD Secretary, announced a temporary policy that will permit FHA financing for foreclosure properties up for sale within 90 days of the foreclosure.

Prior to this policy change, FHA prohibited insuring a mortgage on a home owned by the seller for less than 90 days. This temporary waiver will give borrowers access to a large inventory of foreclosed properties. Due to the tight credit markets, FHA-insured mortgages are often the only means of financing available to many homebuyers. [click here to read the full article…]

Hotel rooms are expensive, stay in a loft in Manhattan, a ski condo in Aspen, or a beach house in Australia. It's free.

FHA loan limits vary by county and state where you want to buy.  It is well understood that home prices vary throughout the country.  What $100,000 will buy in Miami won’t buy you a hut in San Francisco.  You should check to be certain the home you want to buy fits into the FHA loan parameters if you will be using FHA for financing. See the chart below for 2010 limits in New Jersey counties.  [click here to read the full article…]

2 comments

Hotel rooms are expensive, stay in a loft in Manhattan, a ski condo in Aspen, or a beach house in Australia. It's free.

Get Set, Get Ready to File Your Taxes and Claim Your Home Buyer Tax Credit

February 2, 2010

Are you planning to claim the home buyer tax credit when you file your taxes?  If the answer is yes, here are a few things you need to be aware of as you organize your documents.
Most important and unknown to most people is that you will NOT be able to do a quick efile if you’re [...]

Read the full article →

The “New” FHA Mortgage for 2010 – After April 5, It Will Cost You More $$$$

February 2, 2010

Effective April 5, 2010, it will cost you more to buy a home using FHA.  With the market still trying to correct itself, FHA has insured more mortgage loans than ever before over the past 18 months.  More loans mean more risk is being assumed.  With more risk comes greater cost – passed on to the [...]

Read the full article →

Are Mortgage Loans Still Available In New Jersey for Self-Employed Borrowers?

January 28, 2010

Yesterday, I got a call from a woman who owns her own bookstore. She was calling to see about possibilities of refinancing. She now has an interest only mortgage loan that she wants to refinance to a 30-year fixed. When she got her mortgage 5 years ago, she qualified using a program called “No Income [...]

Read the full article →

FHA is Making it Tougher to Get a Mortgage; Changes Might Shut the Door For Many Buyers

January 20, 2010

As we warned last year, the guidelines for getting an FHA mortgage will be tougher – effective early this year.  The announcement with specific changes will be published this week.  Perhaps as early as January 22, we will have the new Mortgagee Letter in hand.   (Mortgagee Letters are used by HUD to inform everyone of [...]

Read the full article →