Mortgage
A New Hope for the USDA Program?
May 8th, 2010 categories: Mortgage
Not even 25-years-old, the USDA’s Rural Development program is fast approaching its financial demise.
In effort to save the home loan program, Congress recently passed a bill out of a House on April 22nd. Now that the program has gone insolvent, the Senate must take quick action.
Lenders would pay up to 3.5 percent in origination fees of the loan value, according to the bill, proposed by democrat Paul Kanjorski of Pennsylvania. The idea is to make the home loan program self-funding by also giving the Secretary of Agriculture the power to charge 0.5 percent annually on unpaid loan balances.
“This change will cost taxpayers nothing and ensure that families in rural areas can continue to access affordable mortgages,” Kanjorski said in a press release. “As our economy recovers, we cannot allow rural America to get left behind.”
Except for loans insured by the Department of Veterans Affairs, these USDA loans are the only remaining zero-money-down option for homebuyers. Without a down payment and no private monthly mortgage insurance, homebuyers flocked to these loans in lieu of going to lenders with tough credit expectations. In 2008, the USDA insured 54,660 loans, but that amount skyrocketed to more than 115,000 last year.
Stimulus money kept the program afloat last fiscal year, which ends every Sept. 30, and the program isn’t new to going belly up. But this year it plowed through $12 billion well before the fiscal year’s end. Now there are talks for the program to get $10-12 billion more to offer loans to borrowers through Sept. 30, 2010. Kanjorski’s bill permits the USDA to insure $30 billion in loans through the fiscal year.
The program, created in 1987, was designed to help low- and middle-income families in rural communities, where few lenders operated, purchase homes. Compared to other government home loan programs, the Rural Development one has tighter qualifications, but offers a host of advantages.
As the future of the USDA’s rural home loan program hangs in the bureaucratic gallows, borrowers might need to find new mortgage options, such as FHA loans and the military’s loan program. Some states even have grant money for qualifying borrowers to finance a home.
Bio: Robert Stretch develops content for VA Mortgage Center.com. VAMC is the nation’s number one preferred VA lender. See VAMortgageCenter reviews from customers here.
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Sacramento Realtor Angry With Banks
March 17th, 2010 categories: Loan Modification
Man, you would think the banks would have their act together by now! Think again. With so many Sacramentans (13% unemployment and rising) out of work and those whose income has been severely cut to a 1/3 of what they use to make but still want to pay their bills, the banks are NOT listening.
False hope is being given by the banks with modified house payments for a few months and then suddenly the homeowner is told they do not qualify for a loan modification. It’s a numbers game and if the bank has an IQ of over 60 they should know if a homeowner qualifies long before months worth of false hope is given to homeowners.
Just the other day, as I was leaving to show homes to a West Sacramento home buyer I received a call from a young mother who needed someone to listen and care. She had been dealing with Citi Bank and did as they requested, sent all income information and was told to send monthly payments substantially lower than their mortgage payment, which she did.
Then out of the blue, Citi Bank after receiving months worth of payments pulled the plug and said, “you don’t qualify for a loan modification.” Now, folks this is a primary residence, the husband is a contractor and we all know there isn’t a lot of building going on right now. Not qualify? Hmmm. They made the requested payments and they want to do the right thing.
Citi Bank is cold, calculating and dishonest! Are you just going through the motions because the Federal Government told you, you had to first try to do a Loan Modifications and now you can say YOU TRIED?
This isn’t the 1st time I’ve heard this scenario and it’s not the only bank. Bank of America is just as guilty and I’m sure there are more. This is why people tear up their homes. Homeowners become frustrated and the voice at the other end of the phone at the bank has no compassion, offers no real help and strings the homeowner along giving false hope that the bank will work with the homeowner. And all of this is after being on hold with the bank for long periods of time and shuffled from one person to another.
As a Sacramento Realtor, I am not advocating tearing up a house since the bank really doesn’t care and the only one it hurts is your pride and the new home buyer who buys your house but I do understand and as more time goes by and more heartfelt phone calls come my way, the better I do understand. It seems it’s the only way the ignored homeowner sometimes gets back at the bank. So sad, when there are so many who truly want to work with the banks.
I could hear the babies in the background while talking to this young mother who broke down in tears. She is one of many living a stressful existence trying to do the right thing, pay her bills the best she can and be responsible instead of just moving out and ignoring the fact she can’t pay her mortgage.
I’m damn mad at Citi Bank and any Bank who refuses to work with honest hard working people who want to pay their bills but need a little help. SHAME on YOU!
This will take a heavy toll on her health, her husband’s health and the health and well being of these children.
Good Lord, when the banks have homeowners who are willing to play their little game and pay for a home that is far less than what it is worth and will not be worth the mortgage amount for many years to come, why in the world do they want to treat them this way. Especially, when they turn around and sell it for less.
No wonder there are homeowners who don’t bother to call the banks. Would you call the bank if you were treated like S**T? Banks need to get with the program. There are good people out there who do not want to walk away, that want to pay what they can pay and who deserve just a little bit of respect and help along the way. Times are tough and unemployment is at an all time high, so let’s start showing a little compassion.
My heart goes out to all homeowners who are in this stressful position.
Other Related Articles:
Sacramento Homeowners Need Help
Want to Know How To Get A Loan Modification?
Loan Modification Scams Coming to Sacramento
What You Need to Know About Loan Modification
Are Banks Helping the Troubled Homeowners?
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Sacramento Homeowners Need Help
July 1st, 2009 categories: Loan Modification
Sacramento, CA
As a Short Sale Realtor ® I receive many calls from homeowners having trouble paying their house payments.
Also, homeowners who foresee difficulty paying their mortgage in the next few years, call.
I thought I would devote this article specifically to homeowners who can’t pay their house payment.
You have a few options available:
The woman I spoke with today, called about loan modifications and was told that it would cost her $4,000. Not everyone has $4,000 to toss around especially if they are all ready in trouble.
Makes me wonder how legitimate these companies are if they demand so much money up front. Are they afraid after all their work, they won’t get a loan modification for you? Seems they don’t exactly have a lot of faith in what they are doing…wouldn’t you say?
Can you imagine if I charged my real estate fees up front? hmmm…what a concept.
There are many scams artists out there and I don’t know them all…they come out of the woodwork whenever they see a niche so as to take advantage. They prey on those less fortunate. Try to avoid them at all costs!
There’s a simple way, go to a FREE government site specifically for loan modification.
You can trust this website. Take the test and see if you qualify for a loan modification at the government site. It’s FREE.
At Making Home Affordable you will see if you QUALIFY for a loan modification. It’s an easy site to use and should be the first place you go for help.
Call your mortgage lender, service provider, the place you pay your mortgage and ask them for a loan modification. Be persistant, don’t give up. This is a long and tedious process so be strong and keep calling even if they say no, call again.
By clicking on CA State Department of Real Estate you will find a list of individual and corporate real estate brokers who have submitted an advance fee agreement to provide loan modification services. (The CA Dept. of Real Estate does not endorse these people, however). If you decide to go this route, be sure to read what the CA Dept. of Real Estate Consumer Alert has to say.
If a Notice of Default has been recorded, the ONLY person that can legally help you is an attorney. Do NOT pay anyone else.
Do You Qualify for a Loan Modification?
Don’t let the scammers tell you that they can do one if you find out from the government site that you don’t qualify. That’s what they are hoping you will be dumb enough to do. Check to see if you even qualify, first.
Making Home Affordable is a SAFE government FREE site for Loan Modifications.
The lady that called today has not missed any house payments. What many of us have experienced are banks telling homeowners they can’t do anything to help them if they haven’t missed a house payment. Then once the homeowner misses a few payments, the bank says they don’t qualify since their credit score went done due to missing the payments.
Many homeowners are loosing their jobs, income reduced due to cut backs and still those of course that got caught up in the Lending arena.
This article has gotten much too long so I will devote this article to Loan Modifications and write later to those who may be interested in knowing about Short Sales, Deed in Lieu and Foreclosure.
Stay tuned…
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and read what other home buyers and home sellers have asked and feel free to ask your Real Estate question by email. Perhaps, your question will be part of the next article featured on Sacramento REAL Estate
Other Loan Modification Articles:
Want to Know How To Get A Loan Modification?
Loan Modification Scams Coming To Sacramento
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What You Need To Know About Loan Modification
April 27th, 2009 categories: Loan Modification
Don’t use anyone saying they can do a loan modification without checking on State Department of Real Estate website first. If they are NOT on this list do not pay any money in advance.
Modification FRAUD is rampant and you need to protect yourself.
Anyone who says they can do a loan modification here in California needs to be a licensed Real Estate Agents or Licensed Attorneys. No one can guarantee you a loan modification.
Don’t ever make loan payments to anyone EXCEPT your mortgage company. Do NOT sign anything transferring title of your home to anyone-you are still responsible for the payment
It is illegal for a a loan modification company to collect up front fees in California if you have received a notice of default.
What you should know BEFORE you Call
Lender adjusts the terms and/or condition of your existing loan. They may reduce the principal, reduce the interest rate or extend the years on your loan. (Less than 2% of the loan modification have a reduction in the loan principal amount.) It usually takes 3-4 months for a legitimate loan modification.
Unfortunately, Fannie Mae failed on loan modifications especially here in California where the value of the homes have gone down and most homeowners owe more than 105% of the market value.
There is a lot of fraud in loan modification which is why you MUST check out the Department of Real Estate website to check these loan modification people out.
What some Lender’s Offer on Loan Modifications
- Temporary reduction 1-5 years of reduced interest rates
- Forbearance Agreement past due payments and penalties & interest rolled into your payment until paid – This is NOT a good option
- Extending the loan terms – taking a 30 year loan to 35 or 40 years
- Principle Reduction option reduces principle to current market value
- FDIC Solution interest rate reduction with gradual increases along with a balloon payment at the end of the loan
- FHA (Hope) waiting for program to reduce principle of loan to market value but Lenders could chose if they wanted to participate. They are back at the drawing board to offer this.
What Your Options Are if Your Loan Modification is Denied
- Walk away, which ends up in Foreclosure and damages your credit
- Deed-in-Lieu of Foreclosure avoids Foreclosure process but it will still effect your credit
- Short Sale, sell home for less than what you owe. Helps preserve your credit. (Requires you calling and listing your house with a Realtor)
Which Lenders Are Cooperating With Loan Modifications:
Countrywide
Chase
EMC
AHMS
Aurora Loan Services
Wilshire Credit
Lenders That Are Difficult to Work With (outsourced over seas)
GMAC
Wells Fargo
Washington Mutual
Downey Savings
World Savings/Wachovia
HSBC
IndyMac (requires 90 days late before being considered)
For more information click Loan Modification (this is a non-profit organization) or call 1-888-271-9767
I hope this helps those troubled homeowners and sheds a little light on a very difficult situation for you.
If you like what you read here on Sacramento Real Estate Voice simply click and subscribe to get the latest articles sent to your email.
. and read what other home buyers and home sellers have asked and feel free to ask your Real Estate question by email. Perhaps, your question will be part of the next article featured on Sacramento REAL Estate | Discussion: 8 Comments »
Where Is The Bailout Money When You Need It?
February 27th, 2009 categories: Loan Modification, Real Estate News
Where is all this bailout money that we as tax payers have paid banks? As a Sacramento Realtor/Broker and owner of Riede Real Estate I am here to tell you that the banks have taken our money and bought out other banks and no telling what else…but they aren’t helping the distressed homeownerWhere is all this bailout money that we as tax payers have paid banks? As a Sacramento Realtor/Broker and owner of Riede Real Estate I am here to tell you that the banks have taken our money and bought out other banks and no telling what else…but they aren’t helping the distressed homeowner.
For over a year there have been TV commercials stating that all you have to do is call your bank. If you would like to see what a typical scenario of “just calling your bank,” is like you really need to watch ABC news video were Congresswoman Waters of Los Angeles tried to do just that with IndyMac Bank, Bank of America and Countrywide (was this when Countrywide outsourced these calls to India?…of course it’s no better now, either). It is a joke calling the banks for help! If they treat a Congresswoman like this, how do you think they treat the troubled homeowner calling?
If that doesn’t beat all! Loan modifications so far have been a joke with the banks. Many won’t do them and some of those that have simply buy the troubled homeowner a couple of months at a reduced rate with an exorbitant balloon payment at the end of 3 months. Who in the world do they think they are helping? No wonder their recitative rate is what it is. Who in the world do they think they are helping?
My guess is that the banks are hoping for more of a bailout and are simply buying time until they get it…we don’t seem to give them any restrictions with the bailout money so what in the world do we expect? Until and unless Americans stand up, contact their congress representative and demand the U.S. Government either stop the bailouts or put restrictions on how the money is spent, this will continue. As long as we continue to have foreclosures, the economy can not and will not recover.
Today, Forbes reported on an article in the Associated Press that Wells Fargo is expanding their mortgage modification program. Supposedly, since they bought out Wachovia they are touting to extend loan terms 40 years, reduce interest rates and reducing the principal of the loan to troubled homeowners where housing prices have significantly declined. Let’s see if this is hype or if they actually perform. In the past they have not helped any of their current Wells Fargo clients needing loan modifications but there is also hope.
The Hope loan modification by Secretary Paulson was a failure and never even got off the ground. False hope for the homeowner. Watch this video with Congresswoman Waters who actually tells it like it is.
Loan modification certainly beats leaving vacant homes deteriorating neighborhoods and then finally selling at a much reduced rate as a foreclosure. Some of these people speaking for the bank in Washington need to call their own banks and see how far they get. They are full of words and say the right thing but unfortunately what they say and what they do are on either end of the spectrum.
And then we have all the scammers taking what little money the troubled homeowner has and promising loan modifications. Everyone is on the bandwagon to “help” the homeowner except the banks. There are few and far between who are actually helped. I would love to hear from those of you who have succeeded in a loan modification along with the terms of your approved loan modification.
Am I the only one that sees our current practice as insane? What are your thoughts?
Please comment below and let’s get real…
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Want to Know How To Get A Loan Modification?
February 4th, 2009 categories: Loan Modification, Real Estate Tips
I don’t usually recommend a service I have not personally used but in this case, I am making an exception.
A father and son real estate team in Southern California asked if I would preview a book they have written about How To Get A Loan Modification.
I was pleasantly surprised as it guides the reader through the process, gives examples, forms and is an easy read. The book guides the reader with specific steps in determining qualifications for a loan modification.
But most importantly this book is a self-help book that walks the troubled homeowner through the process of getting a loan modification without paying someone else to do it for them.
There are letter examples, fax examples along with what you should say while talking with the bank and real life experiences that the writer shares with the reader. The authors have learned all of this from personal experience and have been successful with 6 of their own loan modifications and continuing to work on the remaining five.
The book is not quite ready for print but continue to check the website How To Get A Loan Modification . I am told by the author, Ryan and Mike Rockwood there is a money back guarantee.
I hope this book helps each of you who are having trouble paying your house payments. And if you get a chance shoot me an email and let me know if the book helped you get a loan modification.
If you like what you read here on Sacramento Real Estate Voice simply click and subscribe to get the latest articles sent to your email.
If you have a real estate question that you would like an answer to, be sure to check out and read what other home buyers and home sellers have asked and feel free to ask your Real Estate question by email. Perhaps, your question will be part of the next article featured on Sacramento REAL Estate Voice. Just ask the Realtor, Gena Riede of Riede Real Estate.
Click Sacramento MLS where you can pick any community or city around Sacramento and see homes for sale.or simply click on the search icon and pick the area you are interested in finding a home or condo for sale in
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Loan Modification Scams Coming to Sacramento
December 29th, 2008 categories: Foreclosure, Loan Modification, Real Estate Tips
Opportunists who want to suck what little money you, the homeowner have left, are calling to HELP with a loan modification.
Are you having trouble paying your house payment? Many Sacramento homeowners are. If it sounds too good to be true, it is.
These scam artist are charging several thousand dollars to do what you can do yourself for FREE.
Yes, many of these people are real estate agents and mortgage brokers hungry for money. These are the same people who put you in the position that you find yourself in today. Don’t be fooled!
Those of us who are reputable real estate Realtors and Mortgage Brokers don’t take your money and make empty promises. The CA Attorney General has his hands full dealing with loan modification companies who are taking your money on this latest scam. Check out this video on how the sub prime mortgage burned the homeowner and how they are being burned again. Don’t become the next victim.
Nothing in life comes easy, you have to put forth the effort to help yourself. Don’t throw your money down the drain with these scam artists. It takes work on your part, so be prepared for the fight of your life.
Many will take your money and do nothing. Check out frequently asked questions about loan modification from HUD.
Call the bank that you pay your mortgage to each month. Tell them you want to stay in your house but can’t meet your payment. Ask for a loan modification. It won’t be simple. Dealing with the banks is not easy but keep at it. Keep your temper. You won’t accomplish anything if you aren’t sincere.
In order to qualify for a loan modification here are the qualifications you must meet:
- Your original loan date must be prior to December 31, 2007
- You must have an existing sub prime loan (fixed or adjustable) or Option ARM
- Loan to value ratio needs to be above 75%
- You must live in the house as your primary residence
- You must be employed
- Your mortgage payments must exceed 31% of your gross monthly income
Click here for a list of what constitutes a hardship and needs to be part of your hardship letter.
Although we keep hearing that the banks are doing modifications, many have not come on board yet. With the new year, and hopefully some stipulations on the bail out money from Congress, we will see more banks stepping up and securing loan modifications in 2009.
If you are unable to get a loan modification through your lender, a Short Sale is the next option to consider. This is when with the help of your Realtor, you put your home up for sale for less than what you owe on your loan(s). Short Sales are long and tedious but if successful will harm your credit for a lesser time than a foreclosure.
Another option is Deed in Lieu of Foreclosure. This is when you ask the mortgage lender that you pay each month if they will accept the keys to your property to avoid foreclosure. For further information be sure to read What is Deed in Lieu of Foreclosure?
Prepare the following papers which are needed if you are also going to list your house as a Short Sale, getting a Loan Modification or Deed in Lieu of Foreclosure.
- 2 years of W2’s (or letter explaining you are unemployed)
- Last 2 years tax returns
- Financial Statement listing assets and liabilities (stocks, retirement fund, 401K’s)
- Last 2 employer pay stubs
- Hardship letter limited to one page (Short and to the point)
Banks have taken their sweet time with Short Sales in 2008 but hopefully the banks have gotten wiser and realize that they are far better off to accept a Short Sale than to spend needless money and risk break-in’s with foreclosure. Let’s hope the banks are wiser in 2009.
See a few examples of hardship letters to get you started and tweak them to your own circumstance.
If you like what you read here on Sacramento Real Estate Voice simply click and subscribe to get the latest articles sent to your email.
If you have a real estate question that you would like an answer to, be sure to check out and read what other home buyers and home sellers have asked and feel free to ask your Real Estate question by email. Perhaps, your question will be part of the next article featured on Sacramento REAL Estate Voice. Just ask the Real Estate Broker and owner of Riede Real Estate, Gena Riede.
Remember, you can click on Search for Homes and chose bank owned homes in all of the Sacramento and surrounding areas. Plenty of 1st time home buyers are approved and ready to buy one of these great deals.
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Sacramento Home Buyer Report on Interest Rates
October 22nd, 2008 categories: Home Buyer, Mortgage
Thought this morning I would share with the Sacramento home buyer some important information about mortgage rates that an expert in the field of mortgage lending has written. Brian Brady who knows loans inside and out sent me an email with his latest article which deserves your time if you are considering buying a home in Sacramento.
Without further adieu…here’s Brian Brady, American’s #1 Mortgage Broker from San Diego Mortgage rates are finally below 6.0% again. If you’re closing in October, take any rate under 6.0% and lock it in to closing. In the beginning of the month, I suggested to wait for lower rates if you were closing in the last two weeks of October. I said:
You can safely delay mortgage locks if your closing after October 17th. Delaying your lock is a bit different from a “float” recommendation. It means that you should expect lower rates and jump on one when you feel it’s “good enough”. The market should remain volatile. The par rate (with no yield spread premium to the originator) should drift as low as 5.625% in the next 60 days but it may have to go through 6.125% to get there.
We made it through the 6′s but never lower than the original 5.875%. If I still think there is room for improvement in mortgage rates why am I recommending to lock for October closings?
My strategy is more about limiting higher rates than gambling for better rates. I try to avoid unnecessary risk by being biased to locking unless there is irrational fear. While I was dead on about the irrational fear in the mortgage-backed securities market, my timing was off. If you’re closing a loan this week, and delayed your lock, I might have cost you some money.
The mortgage-backed securities markets are finally able to focus on the economy now that the drama is over on Wall Street. Economic fundamentals drive mortgage rates and the economy doesn’t look real healthy. Expect rates to improve to 5.625% and fluctuate between 5.625% and 6.25% through the rest of the year.
If you’re closing after November 1, 2008, delay that lock until 5.625% is available. All October closings, take what you can get today.
*****
Brian is a straight shooter and tells it like it is. He predicted this blood bath of foreclosures long before it occurred. He is a man worth reading and noting as well as following his advice. If you are a Sacramento Home Buyer make sure you discuss your loan lock with your lender and follow Brian’s advice. I hope to bring you more valuable lending information in the future.
Click Sacramento MLS where you can pick any community or city around Sacramento and see homes for sale.or simply click on the search icon and pick the area you are interested in finding a home or condo for sale in .
If you have a real estate question that you would like an answer to, be sure to check out and read what other home buyers and home sellers have asked and feel free to ask your Real Estate question by email. Perhaps, your question will be part of the next article featured on Sacramento REAL Estate Voice.
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Another Life Raft is Thrown to Homeowners
July 29th, 2008 categories: Foreclosure, Mortgage, Real Estate News
Bank owned, foreclosure, short sale. These are words that run down the streets of Sacramento, Elk Grove, Natomas, Folsom, Roseville, Granite Bay and more cities.
We may not like to admit it but there are more bank owned homes on the real estate market than you can imagine throughout the U.S.
After returning home from a Real Estate conference, several of the offers my home buyers had made were accepted by the bank which means we begin our discovery period or disclosure period. Yes, short sales are being accepted and of course REO’s. But, it’s important to have the mind set that the banks are selling the property as-is and if you can’t handle that…then short sales and foreclosures are not for you.
Banks accept no liability and sell the property as-is, they reduce the commissions to the agents and want to keep as much of the proceeds as possible. Do any of us like it? NO! However, the sooner we get through all these short sales and foreclosures, the sooner we will have a steady real estate market. So, I’m all for getting this over with!
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Here's How to Live in Your Home Without Paying
June 13th, 2008 categories: Mortgage, Real Estate Tips
Do you own your own home? Are you at least 62 years young? Are costs today, interfering with the way you thought you would live out your life? There is no reason to scrimp and do without during the last half of your life.
You’ve worked hard, paid your bills and now it’s time to relax and not worry anymore. Let your house pay for you, now. Reverse Mortgage is the way to make this happen.
It is safe as long it is backed by FHA. Don’t be caught like Ed Mc Mann in your 80’s without a house or not have enough money for living the life you planned due to the high cost of fuel, food, medications and health care during your retirement.
This week I had the opportunity of speaking to Kimberly Keith who is handling the loan for one of my current home buyers in Cameron Park, CA. During our conversation, we discussed Reverse Mortgages and I asked Kimberly to be a guest author on Sacramento Real Estate Voice to bring her professional prospective on Reverse Mortgages. I hope that her article will help answer some of your questions about Reverse Mortgage. So, without further adieu, here’s Kimberly Keith.
Many people have heard about the Reverse Mortgage, however few really know how they work. The mystery and intrigue surrounding the reverse mortgage is being eliminated as many are becoming informed regarding the program and realize that a reverse mortgage can be a valuable tool to supplement fixed incomes and meet the dramatic increases in our ordinary, daily, living expenses.
Let me first try to dispel the rumors regarding the reverse mortgage. It is not true that you will no longer be on title to your home or that the bank will own your home in its entirety! The title and financial responsibility of the home, such as homeowner’s insurance and taxes, continue to be the homeowners’ responsibility.
Another vicious rumor is that you could actually owe more than the value of the home and that if you die you would be leaving a debt, not the asset of your home, to your heirs. Absolutely untrue!
The reverse mortgage is considered a “non-recourse loan”. What this means is that you will never owe more than the appraised value of the home at the point of sale or the time of a refinance.
The money from the reverse mortgage is also considered an alternative income and as such, is tax-free and will not affect regular Social Security or Medicare payments. It is always recommended that a homeowner consult their tax advisor or attorney regarding their specific situation. Payment of the reverse mortgage is deferred (not due) until the surviving spouse dies or sells the home. The money you receive from a reverse mortgage can be paid in a lump sum, monthly payment or a line of credit or a portion of all three. How you use the money is completely up to you!
The reverse mortgage requires owner occupancy so, in order to be in “violation” of this requirement one or both homeowners would have to be hospitalized or in assisted living for a complete 12 month timeframe. Additionally, if either came home for even one night, the 12 month timeframe would start again.
So, after explaining the truths regarding a reverse mortgage you may ask who is qualified for one? If you are 62 year or older and own your own home, you may qualify! Your age at the time of your application, current interest rates, the appraised value of the home and the type of reverse mortgage that you apply for can affect the amount of money you may obtain. Generally, the older you are and the more equity in your home, the larger the reverse mortgage may be.
The process of obtaining a reverse mortgage is easy. I can review the loan program with you and would welcome the participation of another family member, and/or financial advisor, lawyer or accountant. You are required to obtain government approved, independent and free counseling to ensure that all your questions are answered. An application is then taken and the file is sent to the investor. After credit approval, your home will be appraised and together we will meet any additional underwriting conditions. Finally, after the loan is approved and the documents are drawn, we will sign loan documents. Your loan will fund and shortly thereafter you will receive the funds agreed to and in whatever manner you have decided on.
Please know that a reverse mortgage may not be right for everyone. I promise to make sure the information regarding this program is presented to you in a clear, concise manner so you can determine if a reverse mortgage will help you be more financially secure. If you would like additional information regarding this or any other loan program, please call. I look forward to speaking with you!
Kimberly Keith Mortgage Planner
Ph: (888) 429-7714
Fax: (530) 252-1544
Thank you, Kimberly. I hope that some of the questions that you may have had about Reverse Mortgages have been addressed. If not, feel free to give Kimberly a call.
If you like what you read here on Sacramento Real Estate Voice simply click and subscribe to get the latest articles sent to your email.
Other Articles That May Be of Interest:
Reverse Mortgage Helps You Stay in Your Home
Retire in Elk Grove California
Active Adult Communities Around Sacramento
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