Fannie Mae Changes Mortgage Qualifications

Many do not understand exactly what Fannie Mae is or what it does. Basically, once you apply for a mortgage, the Lender will most of the time approve the loan with Fannie mae guidelines. The purpose of that is so they can later sell the loan to Fannie mae, Freddie Mac or FHA depending on the Mortgage qualifications.

If you get a DU or desktop approval, you have a much better chance of getting approved for a new home loan. DU is a Fannie mae program that looks at the application, the credit of the person applying and determines if it fits for approval.

So What Did Fannie Mae Change

This past week, Fannie announced that they will now buy loans from first time homebuyers with only 3% down. Normally, a minimum down payment was 5% or 3.5% if you did an FHA mortgage. The recent Fannie change will allow more prospective buyers to get into a home with a low down payment.

The borrower will still need to get PMI or Private mortgage insurance to cover the amount over a conventional loan with the normal 20% down payment. PMI insures the payments if the borrower defaults.

If You Now Rent, You Are A First Time Home Buyer

You may have owned a home before and think the new program does not apply to you. It might. If you have rented over the last three years no matter how many homes you have owned previously, you are considered a first time homebuyer. Many more buyers fall into this category.

The new Fannie mae program has a few requirements, but most will fit into the new program. If you are looking to buy a new home, find out if you are qualified for the new Fannie Mae 3% down program. Getting a new home mortgage can be stressing, but worth the effort. Many times, owning a home will also be much less cost than renting while also building equity for your future.

Finance California Investment Property!

California real estate took a real nose dive as the economy faded. But,now California property values are on the rise. Home mortgage Valencia may be the thing holding you back.It’ s a great time to begin.

If your just getting ready to buy your 1st California Investment property, make sure you get you mortgage financing pre approved before you make an offer. You will find the requirements to getting approved for an Investment Property Mortgage is much different than on a Primary Residence.

Several items will be noticeable different. First, the Loan to Value or LTV will by different. Normally, the max LTV will be 70%. Additionally along with more down, you will be required to have as much as 12 months payments as reserves. This will depend on your exact situation and credit score.

Home Mortgage Valencia

You will find that once you own more than 4 financed properties, the rules for Fannie Mae mortgages change and the requirements get tougher. Both Fannie Mae home loans and. Freddie Mac home loans can finance you if you own up to a max of 10 financed properties but it just gets harder to qualify.

We specialize in helping Investors build their portfolio of California Investment properties and can help you get started.

Call us at 877-244-9190 to get pre approved for an investment property mortgage or visit us at www.MortgageConsumer.com

Tips to Buying California Real Estate at Steep Discounts

Mortgage Valencia is the missing element in making a home purchase in Valencia,Ca.Do you believe you know everything you read about purchasing California real estate? I hope not. Successful Investors can share some great advice on how to buy California Investment properties at steep discounts. There’s so many small things you need to know. Some of the most expert buyers still learn new things all the time.

When Investment property hunting, you should take into account the overall California homes marketplace. Your California Realtor may be able to provide you with a checklist. Several Los Angeles Realtors have checklists that cover the purchase of a home, including budget. These checklists can keep the process on track and make sure everything is taken care of.

When you want to add more value to the property you own, do some remodeling and repair work. The good thing is that you will get a good profit from your investment when you repair a fixer. The increase in value can sometimes be substantially more than your investment. But be prepared to have stiff competition when trying to buy a California Investment property.

Get a Approved Home Loan before making an Offer

When you make an offer on a home, consider asking the seller to contribute toward the closing costs or give you some other type of financial incentive. Have your agent request that the seller buy down your interest rate for the first two years of your Santa Clarita home loan. Some sellers may be more willing to negotiate on these types of incentives instead of their selling price.

Make sure you prepare a list of questions to ask real estate agents during the interview process before choosing one to represent you. Important questions you need them to answer include how many sales they made over the last year, and how much experience they’ve had in the neighborhood you’re looking at. Any agent should be ready to give you answers to these questions professionally.

Los Angeles Real Estate Values

When you find a home you love, one of the first things you should do if hop on the Internet and check your potentially future neighborhood for registered sex offenders. Information about sex offenders is required to be made available to the public, but you are unlikely to hear about any near the house from the seller or real estate agent. Do your own research!

Try to buy houses that have fireplaces only in the family room. When you have more than one fireplace, you may find yourself spending more time maintaining them than using them.

California Foreclosed Homes

Assume that needed repairs are a given when you are considering purchased any foreclosed home. A lot of California foreclosed homes sit vacant for a while before coming to the market, so needed upkeep has probably not been done. Foreclosed homes usually require pest control and a new HVAC system.

Find a good real estate agent if you want to purchase property. You need one you can trust. Professionals with long histories of success will serve your needs well. Remember to do your homework to find someone that has your best interests at heart.

One of the most critical steps in finding a home is being pre-qualified home loans Santa Clarita for a loan. You will have a better idea of your price range before you make up your mind about buying a home. Also, getting a Santa Clarita mortgage can be a long process that you do not want to wait until last minute to begin.

Prior to purchasing any home out there, you always need to check the property thoroughly. There are a lot of people who rush into property purchases that end up being poor decisions, and as a result, they lose significant amount of money and time. Research important features of the property, such as crime rates, property age, and any other factors that may be necessary for an informed purchase.

This article has provided you with information you can use during your next Mortgage Valencia. Anyone you help could always help you back in future. Get pre Approved for a California Mortgage to make your purchase. We are a Nationwide mortgage lender.