Sunday, December 29, 2013

Kentucky First Time Home Buyer Mortgage Loans: Kentucky Mortgage Rates for 2014 Predictions

Kentucky First Time Home Buyer Mortgage Loans: Kentucky Mortgage Rates for 2014 Predictions: Joel Lobb Senior Loan Officer (NMLS#57916) American Mortgage Solutions, Inc. 800 Stone Creek Pkwy, Ste 7, Louisville, KY 40223 phon...

Apply for a home loan by clicking the link below:It's free and takes less than 5 minutesOr call us at 502-905-3708 for your free application over the phone

Tuesday, November 26, 2013

Louisville Kentucky VA Home Loan Mortgage Lender: Prospect Kentucky Oldham County Mortgage Loans 400...

Louisville Kentucky VA Home Loan Mortgage Lender: Prospect Kentucky Oldham County Mortgage Loans 400...: Prospect Kentucky Oldham County Mortgage Loans 40059: Homes for Sale - 9226 Featherbell Blvd Prospect KY... : Homes for Sale - 9226 Featherb...

Why You Can’t Get a Louisville Kentucky FHA, VA, KHC, USDA, Rural Housing and Fannie Mae Home Loan

Why You Can’t Get a Louisville Kentucky FHA, VA, KHC, USDA, Rural Housing and Fannie Mae Home Loan


Why You Can’t Get a Louisville Kentucky FHA, VA, KHC, USDARural Housing and Fannie Mae Home Loan
Credit
This is probably the most common hurdle. Lenders will have a qualifying credit score depending on the loan type, your background and other details. That baseline also applies to anyone else on the mortgage. So you might have an 800 credit score, but if your spouse is lagging at a 530, you’re going to struggle to obtain financing.
Even if you’re going it alone, lenders in community property states may still factor in your spouse’s credit. The average credit score for conventional purchase loans was 762 in September, according to mortgage software firm Ellie Mae. For FHA loansit was 701. Military borrowers interested in using their VA loan benefits will generally need at least a 620 score.
Conventional and FHA lenders look at two different debt-to-income (DTI) ratios. The first, or front end, ratio compares your monthly income to your housing costs. The second, or back end, ratio considers the percentage of your income that goes toward major revolving debts like the mortgage payment, credit card bills, student loans and others.
Conventional lenders are generally looking for a 28 percent DTI ratio on the front end and 36 percent on the back end. For FHA loans, it’s more like 31/43. The VA program only uses the back-end ratio and wants to see 41 percent or less.
Your DTI ratio may not be an immediate application killer. Lenders calculate it based in part on your estimated monthly mortgage payment. It might break your heart, but you can always run the numbers with a lower loan amount to try and get that ratio into qualifying range.
Cash on Hand
Down payment requirements are here to stay (unless you qualify for a VA- or USDA-backed mortgage). Conventional lenders typically require at least a 5 percent downpayment, while the minimum on FHA loans is 3.5 percent. In addition, you’ll likely need to put down earnest money, which is basically a good-faith deposit with a seller, and be able to cover an appraisal, a home inspection and possibly other up-front costs.
Assets have become increasingly important in this tighter lending environment.
Employment
Lenders want to see stable, reliable income and employment that’s likely to continue. The gold standard is generally two years, but that can vary depending on the lender, the loan type and the borrower’s circumstances.
For example, service members who separate from the military and take civilian jobs may not have to wait two years depending on how the new employment relates to their skillset, education and previous work serving our country.
What’s especially problematic is self-employment. There are a lot of unknowns for lenders here, and they’re almost always going to require at least two years of tax returns. Same goes for seasonal workers and those who work on commission.
Bankruptcy or Foreclosure
Foreclosure starts hit a 71-month low in November, according to RealtyTrac, but they’ve impacted hundreds of thousands of homeowners since 2008. More than 1.2 million people filed for bankruptcy protection in federal court in FY2012.
Each presents short- to medium-term obstacles to obtaining home loans. The waiting periods vary by event and by loan type. Bankruptcy means waiting anywhere from two to four years in many cases. The wait after a foreclosure can range from two to seven years.
Joel Lobb (NMLS#57916)
Senior  Loan Officer
502-905-3708 cell
kentuckyloan@gmail.com



Thursday, October 17, 2013

Kentucky USDA Rural Housing Loans : USDA home loans will now be processed - ArkLatexHo...

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Louisville Kentucky Jumbo Mortgage Loans

Qualifying for a Jumbo Mortgage in the Post Boom Era


Qualifying for a Jumbo Mortgage in the Post Boom EraYour Jumbo Mortgage Solution

Louisville Kentucky Jumbo Mortgage Loans



Louisville KY Jumbo loans are any loans over $417,000. With jumbo loans you typically have to put down 20% or more. Jumbo loan option include 30 and 15 year fixed or 3, 5, 7 year ARMS. Jumbo loans start over $417,000, but can go up to the multi-million dollar range. As the loan amount goes up, the percentage you have to put down goes up.

These loans often require the borrower to have high credit scores and plenty of reserves. The borrower also has to be willing to help us document their income. The stated income options of yesterday are long gone. If you are a business owner, you will now have to provide tax returns to prove income.

Typically Jumbo loans have higher rates than conforming loans under $417,000. This is because jumbo loans carry a lot more risk to lenders. Jumbo loans are associated with luxury homes which can take longer to sell and can be prone to large valuation shifts. Jumbo loans and higher-end homes have come under more scrutiny with the lower market values and the associated difficulties with appraising luxury homes. In the current mortgage environment fewer lenders are offering jumbo loans and super jumbo loans.





So, if you are in the market for a jumbo loan, here are the new rules:
• A down payment, or, if refinancing, equity, of (usually):
• At least 20% down for jumbos up to $1 million
• At least 30% down up to $2 million
• More for loans over $2 million
• An excellent credit score (at least 720 but could be more as some banks report that their average jumbo customer has a credit score in the 760s)
• Income documentation and verification. Borrowers are now required to provide financial records verifying that they earn what they say they earn (some borrowers have been asked to provide two years of their income history).
• Expect to obtain an adjustable-rate loan; fixed-rate jumbos are relatively rare.
• DTI (Debt-to-Income) of less than 38 percent. That means a borrower’s monthly mortgage payment must be less than 38 percent of their income before taxes. The ability to afford to make monthly payments is critical in the jumbo loan market.

Be prepared to shop around. Depending on what part of the country you are in, lenders can have different jumbo loan lending guidelines. Guidelines may also vary depending on the type of dwelling (condo vs. house), whether it is a primary home or investment property (some lenders will only approve jumbo loans for primary residences; others will grant jumbo loans for vacation homes or investment properties).

Jumbo loans are not commodities. Today, most jumbo loans come from the big banks that are keeping loans on their books instead of selling them. Falling property values are still a concern, but with jumbo loans requiring a lower loan-to-value ratio, even if housing prices dropped sharply, the risk to the bank is low.

Since interest rates on deposits are currently low, the bank makes money by charging higher interest rates on mortgages than they pay on their customers’ deposits, thereby profiting on jumbo mortgages, even when the mortgage is offered at a low rate. However, keep in mind that rates paid on deposits will someday rise again. Banks are promoting jumbo ARMs whose rates will rise when rates paid on deposits go up. The most popular jumbos are 5/1 ARMs, which have an introductory rate that lasts five years; then adjust annually thereafter.


Income requirements are high

Lenders of jumbo mortgages take a risk. If a jumbo mortgage loan defaults, it can be hard to sell the property quickly for a good price. Luxury properties are generally more subject to the vagaries of the marketplace than are ordinary properties. Therefore, borrowers taking a jumbo mortgage must prove their financial responsibility and reliability

Having a high income demonstrates an ability to support mortgage payments. In order to qualify for a jumbo mortgage, you will have to have a low debt-to-income ratio that allows you comfortably to pay the principal, interest, taxes and insurance each month. As a rule, your monthly mortgage payment on a jumbo loan should not exceed 38 percent of your pre-tax income.

Be prepared to present proof of your income. Jumbo borrowers typically have to fully document two years of income history. Show your shining credit score  A good credit score is essential to qualify for a jumbo mortgage. Required scores vary according to lender, but expect to need a score of at least 720. Be aware that lenders will look at credit reports from all three major credit bureaus, so any history of missed payments is sure to impact.  Down payment requirements are demanding  Again, due to the risk the lender takes, down payment requirements for jumbo loans are strict. It is rare to find a lender who will accept less than 20 percent of the home cost as a down payment. Many lenders expect at least 30 percent, especially for very expensive properties.

Not all properties qualify  Although each lender is different, many will not offer jumbo loans on vacation homes and investment properties. Refinancing a jumbo loan can be problematic in a weak economy. If house prices fall, borrowers of jumbo loans might suddenly find that they do not have 20 percent equity in their homes. Thus, they do not qualify to refinance.

Joel Lobb (NMLS#57916)Senior  Loan Officer
502-905-3708 cell

Monday, September 30, 2013

100% Financing Zero Down Payment Financing Kentucky Mortgages and Home loans: Self-Employed and Business Commission Income for a...

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100% Financing Zero Down Payment Financing Kentucky Mortgages and Home loans: Government Shutdown Affect on Mortgage Rates

100% Financing Zero Down Payment Financing Kentucky Mortgages and Home loans: Government Shutdown Affect on Mortgage Rates: Powered by Lender411.com -- Joel Lobb (NMLS#57916) Senior Loan Officer 502-905-3708 cell 502-813-2795 fax kentuckyloan@gmail.com Key...

Wednesday, September 18, 2013

What does it take to get a mortgage today? - Half Moon Bay Review : Community

What does it take to get a mortgage today? - Half Moon Bay Review : Community



Your debt to income ratio cannot exceed 45 percent. The higher your credit score, the lower the mortgage rate. A score of 740 or above will give the best rate; a 690 will work, but you will pay between one-eighth to one-quarter of a percentage point more. Rates have certainly moved up this year after the announcement from the Federal Reserve saying it planned to gradually stop buying bonds sometime in the near future. The rate changes daily, but now it’s hovering around 4.375 percent for 30-year fixed mortgages.
The amount of the down payment will also affect both the rate and monthly payment. A 20 percent down payment is the magic number, but other programs are available. The banks are once again offering second mortgages with purchases reducing cash needed. Wells Fargo is doing 80 percent first mortgages with a 5 to 10 percent second mortgage and a 10 to 15 percent down payment. This avoids the costly Private Mortgage Insurance premium, which can add a few hundred dollars a month to your payment and isn’t tax-deductible.
For those with less cash, there are the FHA loans that only require a 3.5 percent down payment and 3.5 percent for closing costs. Here you will have to pay PMI — at the time of closing and every month thereafter until you have 20 percent equity in the property.
So what does it take to get a loan today? According to Griffis, banks are going to want to see two years of tax returns, pay stubs, bank statements and a letter explaining any gaps in employment. If part of your down payment is a gift, you will have to season it in your account for two to three months or obtain a letter.

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Tuesday, September 17, 2013

100% Financing Zero Down Payment Financing Kentucky Mortgages and Home loans: Kentucky FHA Credit and Income Requirements for C...

100% Financing Zero Down Payment Financing Kentucky Mortgages and Home loans: Kentucky FHA Credit and Income Requirements for C...: Kentucky FHA Credit and Income  Requirements for Credit Approval Frequently Asked Questions from 1/26/12 Kentucky FHA Loan Credit Appr...

Apply for a home loan by clicking the link below:It's free and takes less than 5 minutesOr call us at 502-905-3708 for your free application over the phone

Tuesday, September 10, 2013

Louisville Ky Mortgage Lender FHA/VA KHC USDA Kentucky Mortgage: Kentucky FHA HUD Back to Work Program for FHA Borr...

Louisville Ky Mortgage Lender FHA/VA KHC USDA Kentucky Mortgage: Kentucky FHA HUD Back to Work Program for FHA Borr...: Kentucky FHA HUD Back to Work Program for FHA Borrowers in Kentucky  W h at is   Back  t o   W o r k ? FHA   i s  c o nt i n u ...

Louisville Ky Mortgage Lender FHA HUD Kentucky Mortgage: Kentucky FHA HUD Back to Work Program for FHA Borr... http://www.mylouisvillekentuckymortgage.com/2013/09/kentucky-fha-hud-back-to-work-program.html?spref=tw

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Louisville Ky Mortgage Lender FHA/VA KHC USDA Kentucky Mortgage: Prospect Kentucky Oldham County Mortgage Loans 400...

Louisville Ky Mortgage Lender FHA/VA KHC USDA Kentucky Mortgage: Prospect Kentucky Oldham County Mortgage Loans 400...: Prospect Kentucky Oldham County Mortgage Loans 40059: LOUISVILLE KENTUCKY JUMBO MORTGAGE LOANS : REAL ESTATE 'Jumbo' Mortgage Rates ...

Thursday, September 5, 2013

Prospect Kentucky Oldham County Mortgage Loans 40059: LOUISVILLE KENTUCKY JUMBO MORTGAGE LOANS

Prospect Kentucky Oldham County Mortgage Loans 40059: LOUISVILLE KENTUCKY JUMBO MORTGAGE LOANS: REAL ESTATE 'Jumbo' Mortgage Rates Fall Below Traditional Ones As banks compete for affluent borrowers, an odd trend has emerged ...

LOUISVILLE KENTUCKY JUMBO MORTGAGE LOANS

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Wednesday, August 28, 2013

Louisville Kentucky VA Home Mortgage Lender: Kentucky VA Mortgage loans for Active Duty Milita...

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Louisville Kentucky VA Home Mortgage Lender: Kentucky VA Mortgage loans for Active Duty Milita...

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Apply for a home loan by clicking the link below:It's free and takes less than 5 minutesOr call us at 502-905-3708 for your free application over the phone

Monday, August 26, 2013

Louisville VA, FHA, USDA, KHC , Fannie Mae Mortgage Guide: New FHA Guidelines Shorten Time To Get Back In Hou...

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Kentucky USDA Rural Housing Loans : KY USDA RURAL HOUSING LOAN PROGRAM GUIDELINES

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Monday, August 19, 2013

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Homes for Sale - 9226 Featherbell Blvd Prospect KY 40059



Homes for Sale - 9226 Featherbell Blvd Prospect KY 40059 


Saturday, August 17, 2013

BANKRUPTCY SHORT SALES FORECLOSURE GUIDELINES FOR A LOUISVILLE KENTUCKY VA MORTGAGE LOAN


BANKRUPTCY SHORT SALES  FORECLOSURE GUIDELINES FOR A LOUISVILLE KENTUCKY VA MORTGAGE LOAN











2 years seasoning required from Discharge or Dismissal date.

Borrower must have completed at least 12 months of on-time payments per the plan approved by the Bankruptcy court.  In addition, borrower must receive Bankruptcy court approval to enter into the new mortgage loan transaction.

All bankruptcies must meet seasoning requirements and will be reviewed on a case-by-case basis.  Borrower’s with multiple bankruptcies are generally not acceptable on manually underwritten loans.
·         2 years seasoning is required.
·         Borrower must have a clear CAIVRS.
·         If the foreclosure involved a VA guaranteed loan, the borrower may not have full entitlement available for the new loan.
·         2 years seasoning is required.
·         Borrower must have a clear CAIVRS.
3 years seasoning is required.













-- 
Joel Lobb (NMLS#57916)
Senior  Loan Officer
502-905-3708 cell
502-813-2795 fax
kentuckyloan@gmail.com

Key Financial Mortgage Co. (NMLS #1800)*
107 South Hurstbourne Parkway*

Louisville, KY 40222*










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Thursday, August 15, 2013

Louisville VA, FHA, USDA, KHC , Fannie Mae Mortgage Guide: Ky First Time Home Buyer Loans

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  • 680 credit score
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  • 640 credit score
  • AUS approval
  • Purchases
 
4.250% 
4.750% 
Conventional 
  • 680 credit score
  • No MI required
  • LTV 80.01% -97.00%
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 * Run through DU for Approve/Eligible BEFORE reserving with KHC.  Select HFA Preferred Risk Sharing program located on Additional Data Scr

100% Financing Zero Down Payment Financing Kentucky Mortgages and Home loans: Will Mortgage Interest Rates Dip Again? | Credit.c...

100% Financing Zero Down Payment Financing Kentucky Mortgages and Home loans: Will Mortgage Interest Rates Dip Again? | Credit.c...: Will Mortgage Interest Rates Dip Again? | Credit.com Blog

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Wednesday, August 14, 2013

Mortgage Insurance: Why You Have to Pay and When You Can Stop | Money Talks News

Mortgage Insurance: Why You Have to Pay and When You Can Stop | Money Talks News

Two types of mortgage insurance


Mortgage insurance is generally either purchased from the Federal Housing Administration or bought privately. For buyers with FHA loans, the U.S. government collects the premium and guarantees the loan. For conventional loans, private mortgage insurance, or PMI, is underwritten by a private company.


Two types of mortgage insurance

Mortgage insurance is generally either purchased from the Federal Housing Administration or bought privately. For buyers with FHA loans, the U.S. government collects the premium and guarantees the loan. For conventional loans, private mortgage insurance, or PMI, is underwritten by a private company.

When it’s required

For a conventional home loan, buyers can ask the lender to drop PMI whenever their loan-to-value (or LTV) ratio reaches 80 percent and the equity equals 20 percent.
To illustrate, if you buy a home that costs $100,000 and put down $20,000, you’ve got an 80 percent loan-to-value and 20 percent equity: no PMI required. Put down just $10,000, however, and you’ve got a 90 percent loan-to-value and only 10 percent equity: PMI required.
Paying down the mortgage until it reaches $80,000 will give you 20 percent equity, but appreciation could also do the trick. If our sample house becomes worth $120,000, for example, even if the mortgage is still $90,000, it would have a loan-to-value ratio of 75 percent ($90,000 divided by $120,000 = 75 percent) and equity of 25 percent. PMI can now be canceled.
There’s also a situation where the lender must automatically cancel the policy, with no action by you. Says mortgage insurer MGIC, it’s:
  • On the date the mortgage loan balance is first scheduled to reach 78 percent of original value, based solely on the initial amortization schedule, regardless of the outstanding loan balance AND
  • The borrowers are current on the payments required by the terms of the mortgage.

Buy a house with an FHA loan after June 1, 2013? You’re stuck.

For FHA loans with a case number assigned after June 1 of this year, mortgage insurance is required for the life of the loan, regardless of LTV ratios. This means FHA borrowers who don’t put down 20 percent are effectively paying a “low down payment tax.”
The only way out of PMI in those cases is to refinance the house with more than 20 percent equity.

How much does it cost? 

Private mortgage insurance rates can vary based upon the down payment and the buyer’s creditworthiness. Premiums usually range from 0.03 percent to 1.5 percent of the original loan amount each and every year, Bankrate says. PMI premiums are baked into monthly mortgage payments. The premiums for FHA-insured loans are set by the federal government.
For buyers who’ve struggled to save a down payment in the first place, monthly mortgage insurance premiums can often stress budgets that are already stretched a bit thin, so it helps to have a clear idea of costs. For an easy-to-use mortgage calculator that includes PMI premiums, check out this estimator by CNNMoney.
Using the example above, if we put $10,000 down on a $100,000 house, CNNMoney’s calculator says our PMI would be $80 per month.

You might be able to deduct it

PMI premiums are tax-deductible in these situations through 2013, says houselogic:
  • You got your loan in 2007 or later.
  • Your mortgage is for your primary residence or a second home that’s not a rental property.
  • Your adjusted gross income is no more than $109,000. The deduction begins to phase out once your adjusted gross income (AGI) exceeds $100,000 ($50,000 for married filing separately) and disappears entirely at an AGI of more than $109,000 ($54,500 for married filing separately).

How to avoid PMI

It’s simple: Put up at least 20 percent of the purchases price of your home.
Another route is to get what’s called a piggyback loan in addition to your first mortgage, so that your down payment and the second loan add up to 20 percent of the purchase price. However, Investopedia warns:
Of course, there is a catch. Very often the terms of the piggyback loan are risky. Many are adjustable-rate loans, may contain balloon provisions, and are due in 15 or 20 years (as opposed to more conventional loans which are due in 30 years).
Getting a piggyback loan also typically requires excellent credit.

Sunsetting your PMI

Discontinuing PMI can get sticky. Federal law requires non-FHA lenders to automatically cancel PMI premiums when a borrower’s balance reaches 78 percent LTV as determined by the loan’s amortization schedule. But you can also ask your lender to drop PMI when you’ve reached the 80 percent LTV mark. As mentioned above, this can happen with a combination of events:
  • You make extra payments on the principal.
  • Your house goes up in value, either because of market trends or improvements you’ve made. “Consider getting an appraisal of your property if either of these causes your home’s loan-to-value ratio to drop significantly (remember, in this case, a decrease is a good thing),” Realtor.com says.

PMI pros and cons

The advantage of PMI is straightforward: Buyers are able to seize a homebuying opportunity they may have otherwise missed by waiting until they’d saved a 20 percent down payment.
The cons? In addition to the extra cost, where payments aren’t automatically canceled, failing to act means premiums could roll on month after month, year after year, and end up wasting thousands.
And canceling PMI before the mortgage amortization reaches 78 percent means jumping through hoops. For example, if your equity increases through a rising market or improvements to your home, you’ll have to prove it by paying for an appraisal, then filling out any forms required by your lender. Many don’t make the process easy.

The bottom line

If you’re planning to purchase with less than 20 percent down, understand how PMI works, what you’ll pay, and the requirements to make it stop. Explore piggyback loans, and compare the added interest you’ll pay on a second loan with the cost of PMI.
And don’t feel too bad about paying for a policy you don’t get to shop and get no protection from. Because it reduces lender risk, mortgage insurance is the only way many dreamers become owners.
Karen Datko and Stacy Johnson contributed to this post.

Read more at http://www.moneytalksnews.com/2013/08/13/mortgage-insurance-why-you-have-to-pay-and-when-you-can-stop/#1X2i31czsv8MCWhY.99