The Minnesota Home Ownership Center takes on the magazines article and makes it’s case for why home ownership IS a good thing(Although it may not be for everyone).

With all the recent news about H.R. 5981, I thought I’d share that we now have through the entire month of September before the change will take place with FHA mortgage insurance premium fees. It will effect new case numbers on or after October 4, 2010.

PENCIL PUSHING: Do the math for yourself: 6% is a pretty normal rate in a normal economy. Just how good are rates now? On a $200,000 loan, the difference in 4.25% and 6% is $213 per month! The 6% rate produces a payment of $1,193 vs. a $980 payment at 4.25%, a difference of 17.85%!

Ever wondered exactly what is behind an underwriting decision? Or why some borrowers sail through underwriting, while others struggle? Knowing the 5 C’s of credit will help you understand just what a lender is looking for.

RE-PULL A CREDIT REPORT AT THE CLOSING TABLE? Starting with new applications as of yesterday, 6/1/10, Fannie/Freddie are requiring that lenders pull a final credit report just prior to closing. If a buyer’s credit scores have lowered, new debt has occurred, etc, then this could stop a closing in its track.

MN Housing Finance Agency Programs with lower than market 30 year fixed rates and up to $10,000 in closing cost and/or down payment assistance, plus special financing options for fixing up minor items that may need updating or repair with a unique 203K program designed with the first time homebuyer in mind.

Linda was referred to our office by a past client. Linda had been preapproved with another mortgage company that never even mentioned programs that would clearly benefit her. Linda qualified for a first time home buyer loan through Minnesota Housing Finance Agency. She qualified for down payment assistance and closing cost assistance. Of course the other mortgage company never said anything to her. They didn’t offer those programs. The reality is that Linda has found a home, financed through Cornerstone Mortgage Company, received up to $15,000 in down payment and closing cost assistance, and is now a very happy homeowner.

If you’re interested in making a career change to a company that is over-the-top committed to delivering world-class service and meeting the needs of Loan Originators to help them effectively grow their business, call me. We have bar-none, the best support in the country from our CEO to our Director of First Impressions and everywhere in-between. I’ll show you the difference it can mean to have the right team behind you to help you carry the weight of success.

RATES AND THE MARKET – Volatility and upward movement seem to be the name of the game right now. Yes, we’ve seen rates move up from those great levels we got accustomed to for so long. The Fed did what they set out to do – purchasing $1.25 trillion in mortgaged-backed securities, and succeeding in their plan to lower home loan rates and help stabilize the housing sector.

If you are looking for a home in Burnsville, or anywhere in Scott County or Dakota County, or know someone who is looking and needs Spanish translation, please take advantage of the translation service we are proud to provide.