My New Blog

One of commonly believed myths in buying a house is that you have to have 20% down payment. Though we prefer if you have 20% down to avoid paying for Private Mortgage Insurance (PMI), you can buy a house with as little as 1% down payment.

 Here's more information on the HomeReady Program:

1. Your down payment of merely 1% - which can be gifted.
2. Lender contributes 2% toward your down payment.
3. Minimum FICO score of 700.
4. Max DTI of 43%
5. Great low rates with no monthly mortgage insurance.
6. First-time buyers only (defined as someone with no interest in any property in the last three years). Counseling is required from HUD-approved counselors.
7. Must be owner occupied only buying either Single Family Homes or Condos ( 2- 4 units or manufactured homes are not eligible).
8. Maximum loan amount of up to conforming loan limits - $424,100.
9. Close in 30 days or less.

Are you interested yet? Check here if your income and dream home qualify for the program. Then apply online to firm-up your quote. Call or text me with questions at 408-605-5927 (don't worry I am a local mortgage broker located in Northgate, Seattle - just haven't changed my cell number yet).

Live close by South Lake Union, downtown Seattle and commute to Amazon office on Terry Avenue in no time.

1) Mortgage Interest Rates are on the Rise
The trend is now on the uptick. All of the technical, fundamental, and economic indicators point to mortgage rates moving up in 2013.  All likelihood is that we have seen the best rates already, and waiting is not going to bring them back.

2) Rents are Continuing to Skyrocket
Recently, Zillow reported that rents increased in the U.S. by 4.2% over the last year.  When compared side-by-side, the costs of owning vs. renting a home easily show the benefits of home ownership.

3) Prices are on the Rise
Home prices in most markets are stabilized, and even starting to increase.  This will be hampered slightly with the over cautious approach of appraisers and lenders, but the trend is still showing prices beginning to rise. The level of inventory is the lowest since 2006. Homeowners can't list because their properties are under water. Thus, many are staying put and wait it out resulting in low inventory.

4) Mortgage Guidelines Will Continue to Tighten
With government intervention added to an already overzealous underwriting standard, we are poised to see it become even more difficult for the average buyer to qualify for a home loan. 

5) FHA Loans To Become Much More Expensive
Starting with FHA Case Numbers pulled on or after June 3rd, 2013, FHA will increase the annual mortgage insurance, making these loans much more expensive for the consumer.  You can read the FHA Mortgagee Letter yourself HERE.