Archive for December, 2008
Mortgage Loan Programs
Posted by: | CommentsNationwide provides the best refinance terms, mortgage loans, home equity and second mortgages available based on market conditions. Not all programs like the 203k loans will be available to all borrowers depending upon the state and whether or not the home is considered owner-occupied.
FHA Loans – HUD rolled out several new FHA home loans in 2008, like the Hope for Homeowners loan also known as, H4H that is like a mortgage loan modification with a principal write-down to 90% of the fair market value. Take advantage of low down-payment requirements, no minimum credit score, lower mortgage insurance with no pre-payment penalty.
Home Equity Loans – Choose from fixed rate equity loans or flexible home equity lines that enable you to borrow and re-borrow as you see fit. With our HELOCs, borrowers only pay interest on the portion they have accessed.
FHA First Time Homebuyers Loans - Our First-Time Homebuyer Specialists help you with FREE same day pre-approvals, low down payments, and savings on everything from appliances to moving expenses.
Second Mortgage – Leave your first mortgage alone and take out a 2nd mortgage for bill consolidation, cash out or home remodeling. Our second mortgage rates are low as they get online with no upfront application fees.
Debt consolidation mortgage – Consolidate your variable rate debt into one low monthly home loan payment featuring a fixed interest rate.
Fixed rate mortgages – Benefit from secure simple interest amortization that guarantees a fixed interest rate and payment for the life of the loan.
Adjustable rate refinance mortgages – Lower mortgage rates provide lower fixed payments for an initial period of time – Choose from interest-only options for 5, 7 or 10 years.
Interest only mortgage – I/O offer the lowest monthly payments possible. Minimum payments of interest only can increase your cash flow when times are tough.
Nationwide Mortgage Loans cannot guarantee that the mortgage rates or equity loan terms offered will be available unless a full credit package is submitted and reviewed by our underwriting department. Our lenders provide at the lowest interest rates available for mortgage refinancing, FHA loans and second mortgages.
Qualifying for a Mortgage Refinance Loan
Posted by: | CommentsThe federal government continues to make efforts to ease the credit markets an open mortgage lending. Whether it’s a mortgage refinance or a home-equity loan, getting a for a home loan has been nearly impossible to qualify for in 2008. The lending guidelines have tightened significantly this year and your credit score and income documentation have never been more important. Stated income loans have nearly vanished as most borrowers are pursuing FHA home loans and HUD requires full income documentation with pay stubs, W2’s and full tax returns if you are self-employed. Jumbo mortgage loans require a bigger down-payment when purchasing or more home equity if seeking a refinance mortgage.
In a few weeks ago, the federal government announced two new programs to jump-start home mortgage lending. First, the Federal Reserve agreed to buy $500 billion of mortgage loan securities. After the Federal Reserve cut interest rates, lenders reported a significant increase in refinance loan applications. Part two is a $200 billion program to lend money to private investors who buy securities backed by student and auto loans, credit card debt and small-business loans guaranteed by the Small Business Administration. The only problem with this is that, mortgage lenders have not eased their guidelines for mortgage refinancing; they only make loans more accessible to borrowers with exceptionally high credit scores.
Mortgage Loan Application Activity Surges
Posted by: | CommentsAcross the country, home equity and mortgage loan applications rose sharply. The Mortgage Bankers Association released a report highlighting that thirty-year fixed-rate mortgage loans declined to 5.47% this week. These interest rates were much lower than the 5.99% reported last week. Mortgage rates on fifteen-year fixed-rate mortgage loans fell to 5.13% from 5.78%, the report said. The rate on a one-year adjustable-rate mortgage declined to 6.61% from 6.87%.
Mortgage Refinancing
On an unadjusted basis, the index increased 51.4% from the previous week; it was down 21.9% from a year earlier, the report said. While the loan application statistics were high, “this is more a refinance story than a purchase story,” said Mike Larson, real estate and interest rate analyst at Weiss Research. FHA home loan applications increased and that was a great sign for mortgage brokers, because they have lost a lot of business to loan modifications in recent months.
The interest rate report’s Refinance Index increased 203.3% to 3802.8 from the previous week, and the seasonally adjusted Purchase Index increased 37.4%. “While purchasing a home is a big commitment, mortgage refinancing is often a no-brainer,” Larson said. “You may be less inclined to go buy a house in this weak economy. Home refinancing will go forward if the gains can hold.” In the short-term, the Fed “did manage to get quite a bit of bang for their buck,” Larson said. “Most things they’ve done so far have improved some credit spreads slightly, but you didn’t see the effect on Main Street. Now, these are big numbers, the biggest we’ve ever seen.”
Today’s FHA mortgage rates are lower because lenders’ standards are tighter, Larson said, so many buyers applying may not have the home equity they need for approval. As a result, more loan applications “might end up in the circular file rather than the closing tables,” he said. Still, Larson expected the Fed’s actions will result in more staying power and success, giving stressed homeowners a bit of breathing room. “The Fed gave us an early Christmas gift,” he said.