USDA FUNDS

USDA Funds

With the re-funding of the USDA’s lending program, housing sales in rural and suburban markets should see some revitalization. This is good news for both buyers and sellers!


Benefits of the program include:

*No-money-down financing
* No mortgage insurance (a onetime funding fee is financed into the loan at closing)
* Expanded underwriting guidelines
*Interest rates comparable to standard FHA and Conventional financing

This is good news for buyers and sellers in rural and some suburban markets that qualify for USDA funding!

There are limits on both buyers’ income and loan amounts:

Income limits are set by the property location and will vary from county to county.

If you are interested in learning more about USDA funding and whether you and the property you are interested in qualify, please let me know. I can put you in touch with a trusted mortgage loan officer who can help answer your questions.

Eunice Waller

Prudential Simpson & Assoc.

540-842-1061

http://www.fredericksburghomesource.com/

http://eunicewaller.blogspot.com/

So I Am Told...VHDA Loan Program Changes

Change to VHDA / FHA Plus Program Maximum Loan Amount



VHDA (Virginia Housing Development Authority) continues to evaluate programs in an effort to balance program benefits and risks. In consideration of continuing market challenges and the need to maintain the benefit of first –time homebuyer down payment assistance, VHDA is changing the amount available for the second mortgage of the FHA Plus Program.

Borrowers with credit scores between 620 and 679 (or those with no credit score with acceptable non-traditional credit) will be eligible for a second mortgage at a maximum of 3.5% of the lesser of sales price or appraised value.

Borrowers with credit scores of 680 and greater will continue to be eligible for a maximum second mortgage of 5% of the lesser of sales price or appraised value.

The applicable credit score will be the lower of the middle scores of all borrowers.

Maximum second mortgage amount will be based on the credit score available at the time of loan commitment. No increase to the loan amount will be allowed for improved credit scores after loan commitment.

When making a loan reservation beginning May 1, 2010, a credit score for all loan programs will be required to be input in the reservation system. If the score changes it will be updated at the time of loan commitment.


These changes are effective with reservations beginning May 1, 2010.
 
If you or some you know is looking to buy your first home, I can help you. It's what I do!
 
Eunice Waller
Prudential Simpson & Associates
 
540-842-1061
 
http://www.fredericksburghomesource.com/
 

NO ONE Knows Real Estate Better ~ "Helping Families Since 1984!"

FHA is Changing

FHA is Changing

If you or someone you know is considering a FHA loan, here is a rundown of what is changing in April.

1. Increased mortgage insurance, aka private mortgage insurance which is paid over the life of the loan, will increase from 1.75% to 2.25%.
2. Homebuyers who have a credit score of at least 580 may still be able to purchase a home with 3.5% down, but those with credit scores less than 580 will be required to put down at least 10%.
3. Reduced seller concessions from 6% to 3%. Basically what this means is the person selling the home will now only be able to offer the homebuyers 3% to help defray closings cost.

The bottom line is that the changes will impact some homebuyers more than others.

And as usual, if you or someone you know is considering a move, I can help. It's what I do!

NO ONE Knows Real Estate Better ~ "Helping Families Since 1984!"

Eunice Waller
Prudential Simpson & Associates


http://www.fredericksburghomesource.com/
http://eunicewaller.blogspot.com/
http://www.trulia.com/blog/eunice_waller
http://activerain.com/blogs/therightagent

FHA Announces Policy Changes

FHA Announces Policy Changes

FHA Announces Policy Changes to Address Risk and Strengthen Finances | RISMedia