I have been hearing more and more conversations lately of people struggling with a perception that finding and obtaining financing for real estate purchases is nearly impossible these days. Before giving up hope, I urge you to take the time to research the financing options available to you, despite what others may be saying on their lack of availability.
Financing is available for those who qualify. Qualifying may not be as hard as you have heard either. It is true that guidelines have reverted back to a more conservative level, however if your debt to income ratio fits, than there is plenty of money available to you.
As an example, we just had a successful closing for a bank owned property (REO) in Seaside. The bank arranged financing for this $360,000 purchase using an FHA loan with 3% down. The buyer received a rate of 6.5% and a credit of a half point towards closing costs. The seller also contributed $5000 to the buyer’s closing costs and the guidelines had no reserve requirement.
Presently, conforming and FHA loan limits allow for financing up to $729,750 on a single family residence purchase. Market changes are bringing us back to a place where houses are more affordable, and now is the time to look into your purchasing options.
Financing opportunities do exist and are available for those looking to purchase a home. Consult a REALTOR® today for information on the area you are interested in and to get a referral to a trusted lending source.
Joe Smith
Bratty and Bluhm Real Estate
574 Lighthouse Ave.
Pacific Grove, CA 93950
(831) 372-7700 PHN
(831) 375-7790 FAX
Powered by FireStats
Joe you are absolutely correct. Yes Virginia there is a Santa Clause; there is money to loan!
Purchase money or refinance money will require however to be first approved by Fannie Mae or Freddie Mac. Fannies DU approve/ eligible status or Freddie’s equivalent Loan Prospector approve/ accept status is what you need. This underwriting approval sets the borrower free to all sorts of Bank platforms and their programs for either FHA or non FHA conventional or jumbo financing. There is money to loan and yes qualifying has changed and on many levels changed for the better. When a borrower is held accountable it requires education to learn how to measure up to the new standards of lending. I will start with credit scoring and can tell you we have been quite successful in assisting potential borrowers improve those scores where necessary, ethically and affordable. They move on to make that purchase.
Galen Call, CMPS®
Mortgage Planner
Treehouse Mortgage Group
451 Washington Street
Monterey, CA. 93940
direct: 831.645.1164
fax: 831.643.1161
galen@treehousemortgage.com