Articles in Category: Fixed Rate Mortgage

January 4, 2019

Renters May Spend More In 2019: Is It Time To Buy?

Do a Google search on the phrase “2019 rent increase” and you’ll find plenty of talk about higher rents. That “higher rents in 2019” includes one article published by Wilmette Week discussing the possibility that the State of Oregon may be considering state-enforced rent control with possible yearly rental increase limits of five percent. The fact that Oregon is considering this as a state-wide measure may not reflect the state of rent increases nationwide, but it certainly is food for thought for anyone living in or near that area. Is 2019 the year to consider buying a home with a low-down payment FHA mortgage instead of submitting to yet another rent increase? Some housing finance blogs and real estate bloggers are discussing how renters in 2018 spent more than the | more...

January 2, 2019

FHA Loans Are Available In 2019

By Joe Wallace

Why do we announce that FHA loans are available in 2019? At the time of this writing, the government shutdown is still in effect, and many government websites including FHA.gov and HUD.gov (FHA.gov redirects to HUD.gov) have an announcement stating that the sites themselves are not open for business. Consider the quote from HUD.gov: “Due to the lapse in Congressional Appropriations for Fiscal Year 2019, the U.S. Department of Housing and Urban Development (HUD) is closed. HUD websites will not be updated until further notice. For more information, see HUD Contingency Plan for Possible Lapse in Appropriations. “ But that DOES NOT MEAN that FHA home loans are unavailable. FHA Forward Mortgage Purchase Loans Are Available In Spite Of The Government Shutdown FHA mortgages are generally processed and serviced by | more...

January 1, 2019

Happy New Year 2019!

By Bruce Reichstein

Happy New Year 2019! We hope your holiday season has been safe and fun. We pause from our usual posts about FHA home loans to enjoy New Year’s Day 2019, and our regular posting schedule resumes on Wednesday. Thanks for reading and have a great holiday.

December 31, 2018

Buying A Home With An FHA Mortgage In 2019

By Joe Wallace

Your FHA home loan options for buying a home in 2019 are as diverse as the kinds of homes on the housing market. Do you know what your home loan options in the new year are with an FHA mortgage? FHA Forward Mortgage Options In 2019 The “forward mortgage” is the kind of loan you will use to buy your dream home with. Those forward mortgage loan options are not just for typical homes in a suburban neighborhood; did you know you can use an FHA mortgage to buy a condo unit, a mobile or manufactured home, or even a duplex or multi-unit property? The FHA condo loan option requires the condo project to be approved by the FHA; your lender can discuss the procedures for adding a condo project | more...

December 30, 2018

5 Things To Remember About FHA Loans In 2019

By Joe Wallace

What do you need to know about FHA home loans in 2019? There are several issues to keep in mind whether you are refinancing your existing FHA or non-FHA mortgage or buying a new home. Be fully prepared to explore your FHA home loan options in the new year! 5. FHA Loan Limits Are Higher For The Second Year In A Row FHA loan limits go up again for the majority of housing markets in the USA in 2019-more than 3000 counties will experience higher loan limits. A smaller number, approximately 180 counties, will see no change at all but in no case will the FHA loan limit decrease. Keep these higher loan limits in mind when you are deciding what to do about your FHA loan options in 2019. | more...

December 28, 2018

Rent Spending Was Higher In 2018; Is Now The Time To Buy A Home With An FHA Mortgage?

By Joe Wallace

Published reports coming in at the end of the year suggest that renters paid $13 billion more in rent in 2018 than in the previous year. The amount of money spent on rental housing in 2018 is higher, but in spite of this some sources point to a slowdown in rent hikes, saying that a stalling of rent hikes could bring down payments closer to some potential borrowers. The ability to save more each month toward a down payment can make a big difference in the timing of a new home loan, especially an FHA mortgage that requires only 3.5% down. FHA loans, like conventional mortgages, have a down payment requirement. But FHA loan down payments can be lower and also be supplemented by down payment grants or gift funds. | more...

December 26, 2018

Millennial First-Time Home Buyers, 20 Percent Down Payments, And FHA Mortgages

By Joe Wallace

If you make a 20 percent down payment, you save money over the lifetime of your mortgage loan, avoid private mortgage insurance (for conventional mortgages), and reap the benefits of doing these things over the long term. But millennial home buyers, especially first-time home buyers, may be unable to find the resources to make such a large down payment. If you make a 20 percent down payment, you save money over the lifetime of your mortgage loan, avoid private mortgage insurance (for conventional mortgages), and reap the benefits of doing these things over the long term. But millennial home buyers, especially first-time home buyers, may be unable to find the resources to make such a large down payment. You’ll find many internet articles and home finance blogs discussing the idea | more...

December 25, 2018

Happy Holidays 2018!

By Bruce Reichstein

Happy Holidays! We’re pausing from our usual schedule of writing about home loans, mortgage trends, FHA and HUD news, and related topics in order to celebrate the holiday season with friends and family. From all of us here, have a fun and safe holiday season! Our normal schedule resumes on Wednesday, December 26. Thank you for reading!

December 24, 2018

Winter Vacation Homes And FHA Loans: What You Need To Know

By Joe Wallace

Investing in a winter vacation home is tempting for many, especially in snow-bound states. Do borrowers have the option of purchasing a vacation home with an FHA mortgage? A look at FHA loan rules quickly reveals that one of the requirements for FHA loan approval is that the home be used as the primary residence; occupancy is a condition of loan approval for an FHA single family forward mortgage loan. But does this mean that borrowers can never use an FHA mortgage to buy a property that will become a winter vacation home? Not exactly. Borrowers who purchase a home with an FHA mortgage, use it as their primary residence, and refinance it with a conventional mortgage would be technically free (unless the conventional loan agreement states otherwise) to use | more...

December 11, 2018

Making An Offer To The Seller To Buy A Home With An FHA Mortgage

By Bruce Reichstein

When you have found the home you want to buy with an FHA mortgage, there comes a point where you will have to do the (uncomfortable for some) ritual of negotiating with the seller to arrive at the final price of the home. You may decide to offer the same amount as the seller is asking for the purchase of the home or you may wish to negotiate a lower price. When do you stand the best chance of getting a lower price than what your seller is asking? There are several different aspects to this-much depends on the nature of the housing market, how eager or stubborn the seller might be, whether the seller is willing to make other concessions if the price is firm, etc. What does all | more...