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HLS.
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May 17, 2008 at 9:36 AM #12764May 17, 2008 at 9:46 AM #206422
HLS
ParticipantFHA has had a 3% down program for awhile. The guidelines to qualify were easy at low credit score (even below 600)
but tougher on income qualifying limits (DTI) and are full doc only…FNMA has been at 95% LTV (5% down) but needing a higher credit score, usually 620+, but was easier to qualify based on imcome/debts. DTI up to 60% on loans below $417K
A few months ago, pricing became higher for scores below 680, and much higher from 580-620.
Starting in Dec 2007, FNMA had “areas of declining value” based on zip codes, that added 5% instantly. Most of So Cal was affected, so what had been a possibility for a 95% loan was now 90% in declining markets, which is where it’s stayed until now….
Without knowing the qualifying factors yet, for a qualifying borrower in a declining market, what would have required 10% down today, will only require 3% down on June 1st as a minimum down.
The details of approvals remain to be seen. It might be that even higher credit scores and lower DTI’s are required.
I don’t know if the programs will be the same up to $697,500 limit vs $417k limit…WHAT SAY YE ??
May 17, 2008 at 9:46 AM #206558ParticipantFHA has had a 3% down program for awhile. The guidelines to qualify were easy at low credit score (even below 600)
but tougher on income qualifying limits (DTI) and are full doc only…FNMA has been at 95% LTV (5% down) but needing a higher credit score, usually 620+, but was easier to qualify based on imcome/debts. DTI up to 60% on loans below $417K
A few months ago, pricing became higher for scores below 680, and much higher from 580-620.
Starting in Dec 2007, FNMA had “areas of declining value” based on zip codes, that added 5% instantly. Most of So Cal was affected, so what had been a possibility for a 95% loan was now 90% in declining markets, which is where it’s stayed until now….
Without knowing the qualifying factors yet, for a qualifying borrower in a declining market, what would have required 10% down today, will only require 3% down on June 1st as a minimum down.
The details of approvals remain to be seen. It might be that even higher credit scores and lower DTI’s are required.
I don’t know if the programs will be the same up to $697,500 limit vs $417k limit…WHAT SAY YE ??
May 17, 2008 at 9:46 AM #206473ParticipantFHA has had a 3% down program for awhile. The guidelines to qualify were easy at low credit score (even below 600)
but tougher on income qualifying limits (DTI) and are full doc only…FNMA has been at 95% LTV (5% down) but needing a higher credit score, usually 620+, but was easier to qualify based on imcome/debts. DTI up to 60% on loans below $417K
A few months ago, pricing became higher for scores below 680, and much higher from 580-620.
Starting in Dec 2007, FNMA had “areas of declining value” based on zip codes, that added 5% instantly. Most of So Cal was affected, so what had been a possibility for a 95% loan was now 90% in declining markets, which is where it’s stayed until now….
Without knowing the qualifying factors yet, for a qualifying borrower in a declining market, what would have required 10% down today, will only require 3% down on June 1st as a minimum down.
The details of approvals remain to be seen. It might be that even higher credit scores and lower DTI’s are required.
I don’t know if the programs will be the same up to $697,500 limit vs $417k limit…WHAT SAY YE ??
May 17, 2008 at 9:46 AM #206531ParticipantFHA has had a 3% down program for awhile. The guidelines to qualify were easy at low credit score (even below 600)
but tougher on income qualifying limits (DTI) and are full doc only…FNMA has been at 95% LTV (5% down) but needing a higher credit score, usually 620+, but was easier to qualify based on imcome/debts. DTI up to 60% on loans below $417K
A few months ago, pricing became higher for scores below 680, and much higher from 580-620.
Starting in Dec 2007, FNMA had “areas of declining value” based on zip codes, that added 5% instantly. Most of So Cal was affected, so what had been a possibility for a 95% loan was now 90% in declining markets, which is where it’s stayed until now….
Without knowing the qualifying factors yet, for a qualifying borrower in a declining market, what would have required 10% down today, will only require 3% down on June 1st as a minimum down.
The details of approvals remain to be seen. It might be that even higher credit scores and lower DTI’s are required.
I don’t know if the programs will be the same up to $697,500 limit vs $417k limit…WHAT SAY YE ??
May 17, 2008 at 9:46 AM #206505ParticipantFHA has had a 3% down program for awhile. The guidelines to qualify were easy at low credit score (even below 600)
but tougher on income qualifying limits (DTI) and are full doc only…FNMA has been at 95% LTV (5% down) but needing a higher credit score, usually 620+, but was easier to qualify based on imcome/debts. DTI up to 60% on loans below $417K
A few months ago, pricing became higher for scores below 680, and much higher from 580-620.
Starting in Dec 2007, FNMA had “areas of declining value” based on zip codes, that added 5% instantly. Most of So Cal was affected, so what had been a possibility for a 95% loan was now 90% in declining markets, which is where it’s stayed until now….
Without knowing the qualifying factors yet, for a qualifying borrower in a declining market, what would have required 10% down today, will only require 3% down on June 1st as a minimum down.
The details of approvals remain to be seen. It might be that even higher credit scores and lower DTI’s are required.
I don’t know if the programs will be the same up to $697,500 limit vs $417k limit…WHAT SAY YE ??
May 17, 2008 at 10:25 AM #206568SD Realtor
ParticipantI read about these as well HLS. Interesting times huh?
Anyways, I just am on the cusp on a short sale closing where I am the listing agent. This beast is like a dragon that has been taking almost a year to slay but the loan funded on Friday for the buyers and we actually did record at the end of the day. The last step is that the loan servicing company for the sellers wants the certified HUD signed by both parties. Odd…
The sellers did go the 3% down route with the FHA loan. I will be curious to see how the requirements pan out with credit scores, income levels and verification, etc….
Personally I agree with the statement YIKEs… Soon they’ll be giving away money on corners again…
SD Realtor
May 17, 2008 at 10:25 AM #206541ParticipantI read about these as well HLS. Interesting times huh?
Anyways, I just am on the cusp on a short sale closing where I am the listing agent. This beast is like a dragon that has been taking almost a year to slay but the loan funded on Friday for the buyers and we actually did record at the end of the day. The last step is that the loan servicing company for the sellers wants the certified HUD signed by both parties. Odd…
The sellers did go the 3% down route with the FHA loan. I will be curious to see how the requirements pan out with credit scores, income levels and verification, etc….
Personally I agree with the statement YIKEs… Soon they’ll be giving away money on corners again…
SD Realtor
May 17, 2008 at 10:25 AM #206515ParticipantI read about these as well HLS. Interesting times huh?
Anyways, I just am on the cusp on a short sale closing where I am the listing agent. This beast is like a dragon that has been taking almost a year to slay but the loan funded on Friday for the buyers and we actually did record at the end of the day. The last step is that the loan servicing company for the sellers wants the certified HUD signed by both parties. Odd…
The sellers did go the 3% down route with the FHA loan. I will be curious to see how the requirements pan out with credit scores, income levels and verification, etc….
Personally I agree with the statement YIKEs… Soon they’ll be giving away money on corners again…
SD Realtor
May 17, 2008 at 10:25 AM #206485ParticipantI read about these as well HLS. Interesting times huh?
Anyways, I just am on the cusp on a short sale closing where I am the listing agent. This beast is like a dragon that has been taking almost a year to slay but the loan funded on Friday for the buyers and we actually did record at the end of the day. The last step is that the loan servicing company for the sellers wants the certified HUD signed by both parties. Odd…
The sellers did go the 3% down route with the FHA loan. I will be curious to see how the requirements pan out with credit scores, income levels and verification, etc….
Personally I agree with the statement YIKEs… Soon they’ll be giving away money on corners again…
SD Realtor
May 17, 2008 at 10:25 AM #206432ParticipantI read about these as well HLS. Interesting times huh?
Anyways, I just am on the cusp on a short sale closing where I am the listing agent. This beast is like a dragon that has been taking almost a year to slay but the loan funded on Friday for the buyers and we actually did record at the end of the day. The last step is that the loan servicing company for the sellers wants the certified HUD signed by both parties. Odd…
The sellers did go the 3% down route with the FHA loan. I will be curious to see how the requirements pan out with credit scores, income levels and verification, etc….
Personally I agree with the statement YIKEs… Soon they’ll be giving away money on corners again…
SD Realtor
May 17, 2008 at 11:30 AM #206504Baron von Rothschild
ParticipantThe change was due to political pressure. Can you say “election year”?
I wonder what happens after November.
May 17, 2008 at 11:30 AM #206588ParticipantThe change was due to political pressure. Can you say “election year”?
I wonder what happens after November.
May 17, 2008 at 11:30 AM #206534ParticipantThe change was due to political pressure. Can you say “election year”?
I wonder what happens after November.
May 17, 2008 at 11:30 AM #206452ParticipantThe change was due to political pressure. Can you say “election year”?
I wonder what happens after November.
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