By Angela Lanfranco
Look for 100% Financing on FHA Denver Home Loans
For first time Denver home buyers, finding a loan they can both qualify for and manage to pay is probably the most difficult aspect of buying their first home. In the current economy, lenders are significantly more cautious about lending their money to potential home buyers with little credit history, or a negative credit record. Even those with good credit looking to secure a Denver home loan can face difficulties based on the declined market or the current requirements for appraisals.
It Is Possible
The FHA has become the prevalent factor in securing loans for many Denver first time home buyers in the last year or two. For those buyers that are looking for no-money down options or 100% financing of their Denver home loan, the FHA offers several different possibilities.
How to Qualify for a 100% Financed FHA Denver Home Loan
Any applicant looking to secure a 100% Financed FHA Denver home loan must be regularly and gainfully employed for two years. Layoffs or downsizing are taken into consideration if this criterion is not met.
Credit history is researched for the last three years prior to the application. Denver FHA home loan applicants cannot have any more than 2 thirty days’ late payments during those two years.
Any bankruptcies on the credit history must have been discharged for at least two years.
Foreclosures must be at least three years old.
For those applicants with marred credit history, they must have been actively rebuilding it over time.
There will be a debt to income ratio calculated including credit cards, student loans, auto loans, etc. When the outstanding credit balance monthly payments are compared to the total monthly income, the ratio cannot reflect payments higher than 30% of the total income.
100% financing on FHA Denver home loans can make it possible for a first time Denver home buyer to purchase their home with no money down and a federally secured loan. By backing the lending institutions in the United States, the FHA is using tools like these to begin the renovations on our housing market.
By Angela Lanfranco
Colorado Seniors Seek Refuge under the Reverse Mortgage Umbrella
In the last few years, plummeting stock prices and home values have left many seniors seeking relief for their financial losses in reverse mortgages in Colorado. Attempting to manage their debts with their much reduced pensions simply isn’t possible for a lot of people over the age of 62. Despite having planned and saved for retirement during their working years, the last few years’ stock losses and plummeting home values has removed home equity loans from the table. They are ready to retire, but cannot afford to do so, without sacrificing a large chunk of their lifestyle.
Banks are being much more frugal about the money they lend, and even the best credit score may not mean that a home loan is possible. Values are still very low and that means that many homes do not meet the 85%-90% criteria for loan balance to value in order to secure a loan.
The only real options for many Denver area senior is the reverse mortgage, which are now backed by the FHA due to private banks’ reluctance to offer programs. Home Equity Conversion Mortgages guarantee that the banks will see their money at the end of the loan life and can help Colorado senior homeowners find the leverage they need to obtain a reverse mortgage on their home.
How It Works
Consider a senior citizen, living in Colorado, who is over 62 years old. They’re pension is severely diminished due to falling stock prices and they are being forced to retire by their employer, due to economic conditions. Our Colorado senior owes $87,000 on their home, and the home value is estimated at $318,000. By opting for a reverse mortgage on their home, they are able to wipe out the $87,000 debt and keep the remainder of the money in the form of a loan or a line of credit. They no longer owe a monthly mortgage payment for their home. They are able to use that extra loan money for their financial needs.
What’s the Catch
Congress has recently increased the maximum home value that seniors can borrow against to $625,500 from $417,000. The new bill also keeps mortgage origination fees at 2% on the first $200,000 and 1% on any amount over that, with fees not to exceed $6,000. Insurance premiums and closing costs still apply. No real concern here.
However, in the case of death or sale of a home for a senior citizen that has opted for a reverse mortgage on his Colorado home, things can get sticky. With home prices still very low and decreasing in some areas, the possibility of the home being worth less than the loan amount at the time of the sale ir possible.
Who Should Consider a Reverse Mortgage
Talk to a loan officer at GoldenLenders about a reverse mortgage in Denver Colorado: if you are a senior, over the age of 62, have significant equity in your home and no real means of savings available.
Contact GoldenLenders today ! Click here to contact
By Angela Lanfranco
Denver Real Estate Investors become Agents
The housing boom gave a lot of Denver real estate investors the hands-on training and competence of a savvy real estate agent. Having worked through the explosive boom and then bust phase of this market, many of these real estate investors earned their stripes to enter the ranks of the professional real estate agent set.
Formal Training
Many existing real estate agents are concerned that if the flood of real estate investors that flowed into the market over the past several years take on the training to make them a Colorado real estate agent, the already tight competition will get worse. In reality, many real estate investors are already competent real estate agents. It is for the handful of real estate investors that don’t hold a real estate licenses that many education sources exist.
Resources are not limited to existing real estate agents, and maintaining the integrity and training of anyone calling themselves a Colorado real estate agent can only help the perception of the whole. While some real estate investors can succeed without a real estate license, there viability to prospective clients will be enhanced if they do hold one.
Education Options
Any Denver real estate investor interested in pursuing formal training to obtain their real estate agent license can look to several sources within the real estate market. First and foremost, MLS.com offers real estate courses in pre-license, post-license, brokers’ pre-license and continuing education. These courses are available to real estate assistants at half the agent costs, and are available online. Each course is set to cover information covered in specific states’ license exams.
Real Estate Investment Association offers some continuing education training seminars for real estate agents that are specifically target real estate investors and how to assist them. The REIA is very supportive of the proposition of educating Denver real estate investors to help them become licensed, professional Colorado real estate agents. By leveraging their experience earned in the housing market, the expectation is emerging real estate agents with the know-how to deal with extreme market situations like we have faced over the last few years.
Going Forward
As the housing market continues its path to level all around the country, the need for more savvy real estate agents with “in the trenches” skills is palpable. The experience of successful real estate investing in the Colorado market has given Denver real estate investors a leg up in becoming skilled, licensed Colorado real estate agents.
By Angela Lanfranco
Denver Reverse Mortgages
Denver Reverse Mortgages can assist homeowners with converting a portion of their equity into useable cash. The Federal Housing Administration has created something called The Home Equity Conversion Mortgage (HECM). There are some stipulations and qualifications, but this program could be the answer to so many struggling Americans financial problems. The greatest part of this Golden Lenders sponsored program is that you wont have to pay back a penny of the loan unless you move and call another home your primary residence. Of course there are 2nd mortgages and refinancing options where you can draw out cash on your equity, but with a Denver Reverse Mortgage, you pay nothing as long as you reside in the home. And the qualifications are a lot simpler than refinancing or pulling out a 2nd mortgage.
Denver Reverse Mortgages for Retirement
More and more retired Americans especially in Denver are using reverse mortgages to supplement their social security income. It could be that your house is a little older and in need of repairs, a reverse mortgage option could help you financially support this. Golden Lenders in Denver, has been offering quick approvals that could literally get you cash in days through reverse mortgages. This option is very attractive to seniors because they are normally living on a fixed income.
Rules of the Denver Reverse Mortgage
To be eligible for a FHA HECM: the Federal Housing Authority requires that you be:
Homeowner
62 years of age or older
Own your home outright, or have a low mortgage balance that can be paid off at closing with the reverse loan
You must live in the home
How you will receive your payments?
• Tenure – equal monthly payments as long as at least one borrower lives and continues to occupy the property as a principal residence.
• Term – equal monthly payments for a fixed period of months selected.
• Line of Credit – unscheduled payments or installments, at times and in amounts of your choosing until the line of credit is exhausted.
• Modified Tenure – combination of line of credit with monthly payments for as long as you remain in the home.
• Modified Term – combination of line of credit plus monthly payments for a fixed period of months selected by the borrower
Goldenlenders is happy to sit down with you and discuss your options regarding a Reverse Mortgage in Denver. Give us a call today or send us an email to get started today!
303-482-2361 or Contact Us through our Online Form by clicking HERE
By Angela Lanfranco
Great refinancing rates in Denver and other Colorado areas is slowly starting to dry up according to a nationwide report last week. Some rates by lenders across the U.S. went up almost one percent. This could be because of the Feds recent comments on the economic stabilization looking a little brighter. With the growing number of folks refinancing, this has to play a role in a boost in the U.S. economy. Most analysts agree this small rise in rates won’t necessarily hurt the economy. While some home owners who were pondering on recent offerings of 4 % rates, are now wishing they had acted faster.
The average rate for a 30-year fixed mortgage is back at 4.91 percent this week, up from 4.82 percent last week, Freddie Mac said Thursday. Here at Golden Lenders, we are constantly watching these trends because we have had so many homeowners inquire about refinancing. ” I would say now is the time, it can’t get much better than now” said Golden Lenders Owners D.J. Robbins. D.J. and his team have been processing multiple refinancing packets per day. D.J. when on to say “These homeowners are getting the best possible rates we can offer.”
Most of the fuel behind the recent spike was because of new loan applications rising for the last 5 weeks according to the Mortgage Bankers Association. On top of that, sales of new homes are appearing to bounce back. Here in Colorado, home sales are actually positive from April through May.
We can still lock you in a great refinancing rate, just come in and sit down and talk with us. We will sit and consult with you and figure out the best possible options that suit your needs. Whether your looking to cash in some equity, get a lower rate, or lower your monthly payments, there is something right now that fits your situation. Denver Colorado home refinancing options have still never been better. Don’t wait to long before the time is up. Contact Golden Lenders today!
