Moving To And Living In Austin

Top 5 Reasons To Consider an FHA Loan

With all of the changes in the lending industry of late, FHA loans are making a combeback for several reasons.  Earlier this year, Congress passed the Stimulus Act of 2008, which increased the loan limits for FHA among other things.  While Austin and the surrounding areas remain at a $200,000 loan limit, this stimulus package put FHA back in business, even in our area.

1. Recently FHA drastically changed its appraisal and fee negotiating policies, making it much more competitive and attractive for buyers and sellers.

2. FHA loans are not FICO score driven, so borrowers can have a lower credit score and still qualify for a good rate.

3.  Because FHA loans are federally insured, they tend to trade at a higher premium in the secondary market, and consequently lenders can often charge a lower rate.

4.  FHA Loans require as little as 3% down.

5. FHA loans allow down payment assistant programs, which allow the seller to cover the buyer's down payment and closing costs.  This is a great opportunity for first time home buyers or move up buyers with little cash, to get into a new home with little or no down payment.  For sellers this is a big benefit because they are able to offer concessions to the buyer in a competitive buyer's market, possibly without having to lower the price of the home further.

To find out more about FHA go to http://www.fha.com/important_facts.cfm

Or, http://www.hud.gov/offices/hsg/fhahistory.cfm

For a great lender to advise you on whether an FHA loan would be right for you, you can call us for a referral at 512-454-8955 or email at erin@austinhbc.com.  Or visit www.ResultsMortgage.Net

13 Necessities for Obtaining a Mortgage

To get started with obtaining a mortgage, you'll need access to the following items.  It is a good idea to keep them handy throughout the closing process, too, just in case you need them along the way.  We've had several clients who have needed to jump through one final hurdle for the lender right before closing, and their documents were all packed away! Especially in the current volatile mortgage industry, it pays to be prepared.

1. Your Social Security number and that of your spouse.

2. Your current pay stubs, or if self employed, your past 2 years' tax returns.

3. Bank statements for the past two months.

4. Investment account statements for the past two months.

5. Life Insurance Policy information.

6. Retirement account statements for the past two months.

7. The make and model of any vehicles you own, along with their resale value.

8.  All credit card account information.

9. All auto loan account information.

10. All personal loan account information.

11.  If you already own real estate, your mortgage account information.

12.  Your home equity account information.

13.  Home insurance policy information.

For more information about  obtaining a home loan, or for help finding a mortgage broker that fits your needs, call us at 512-454-8955 or simply shoot us an email at erin@austinhbc.com.

To see what you may qualify for click here:  http://resultsmortgage.net/loancenter-calculators-prequalify.aspx

To see other mortgage calculators go to: www.usam.net/calculators/menu.aspx