$10,000 Federal Grant Program Back for 2008! Get Money for Closing Costs anywhere in Maryland December 17, 2007
Posted by Patti Shawgo in Uncategorized.11 comments
The Federal Home Loan Bank of Atlanta has a great program that I work with that gives up to $10,000 to first time home buyers. The great thing about this program is that is good ANYWHERE in the state of Maryland, Virginia, and the District of Columbia!
You need to make 80% of the area’s median income as calculated by FHLB-A. That number is different depending on how many people are in your household, and this limit is slightly higher than other programs.
This is a 5 to 1 matching program, meaning you need to have $2000 of your own money in the transaction to get the full $10,000. It is a loan/grant that is forgivable over 10 years, the longer you live in the property, the more of the money is forgiven. While you own the property it is a 0% interest loan with no payments. Just like every other program, you need to take a home buyer educaiton course by an approved agency.
Another great thing about this program? It can be used in conjunction with other down payment/closing cost assistance programs!
Maryland’s More House 4 Less: Get the Lowest Payment with CDA’s financed MI December 13, 2007
Posted by Patti Shawgo in First Time Home Buyers, Interesting Stuff, Local News, Mortgage News, Real Estate.Tags: cda, First Time Home Buyers, more house 4 less
1 comment so far
One of the More House for Less (aka CDA) program’s greatest points is that you can finance an upfront mortgage insurance premium into the loan amount on a conventional loan. Don’t know what that means? Here is how it works, we’ll use a $200,000 sales price with 0 points origination for all examples, and this doesn’t include property taxes or home owner’s insurance in the monthly payments:
On a traditional 100% non-CDA loan
Principal and Interest Payment with a 6.5% rate: $1264
Monthly Mortgage Insurance Premium: $160
Monthly Payment: $1424
CDA with monthly mortgage insurance
Principal and Interest Payment with a 6.75% rate: $1297
Discounted CDA Monthly Mortgage Insurance Premium: $123
Monthly Payment: $1420
CDA with FINANCED mortgage insurance
Principal and Interest Payment with a 6.75% rate: $1300
No Monthly Mortgage Insurance
Monthly Payment $1300
Which loan do you want? You see, what happens is that your mortgage pays the mortgage insurance company an upfront fee of 2.86% and that money gets financed into the loan, making your monthly payment much, much less. And the great thing about it is that when you go to refinance or sell the property, you are entitled to a partial refund of that amount (the longer you live there the less that refund is).
Want to get in on this program? Send me an email at patriciacshawgo@gmail.com or call me at 443-802-6864.
You don’t even have to be a first time home buyer if you are purchasing in Baltimore City or other targeted areas AND you can make up to $90,000-100,000 and still qualify. It is the best, and most flexible down payment assistance/loan program around!
History Lesson: Mortgage Rates December 11, 2007
Posted by Patti Shawgo in First Time Home Buyers, Mortgage Stuff, Real Estate.2 comments
I just saw this article on homes101.com and thought I’d share it. It is really true that we have grown accustomed to the current interest rate environment, but it wasn’t that long ago that 9-10% rates were the norm. That drastically reduces the affordability of a home.
While barring any unforeseen circumstances, I don’t think we have to worry about 10% rates anytime soon, expecting rates to drop much more than where they are at now is unlikely. Rates for the last 2 years have hovered between 6-7%, and that is likely the trend that will continue.
And remember: MORTGAGE RATES ARE NOT TIED TO THE FED RATE YOU HEAR SO MUCH ABOUT! Please read this for more info on that.
You can read the article at:
Have an FHA loan? Do you know about FHA Streamline Refinances? December 10, 2007
Posted by Patti Shawgo in First Time Home Buyers, Interesting Stuff, Mortgage Stuff.2 comments
One of the really great benefits of having an FHA loan is that you can streamline refinance. In this day and age streamline anything is hard to come by in the mortgage industry.
What exactly makes it streamline? well, if you are not cashing out and refinancing to reduce your rate, no new appraisal is needed! Very, very little other documentation is needed as well and the fees involved are minimal. You can apply and close within 2 weeks time as long as the title company can complete what they need to do in that short time.
Right now FHA interest rates are lower than conventional rates! You can get an FHA loan with 0 points for 6%!! So, if you have an FHA loan, the rate is higher than 6.5%, and you are planning on staying in your home for at least 2-3 more years, you should looking into streamlining (with me) today!
Give the Gift of Financial Freedom this Holiday Season December 10, 2007
Posted by Patti Shawgo in Credit, First Time Home Buyers, Interesting Stuff.1 comment so far
Need to get a gift for someone and not sure what to get? Jim Cramer’s new book is an excellent idea. Jim Cramer has a fantastic show on CNBC every weeknight about the stock market and investing. While that might sound boring to you, Jim is known for his lively and accessible style.
His new book Stay Mad for Life goes beyond just investing in the stock market and delves into how you can attain financial freedom, no matter who you are or what your current situation is.
Here is an excerpt from the introduction:
Most people don’t think about it, but there’s a difference between making a lot of money and building lasting wealth. When it comes to money we think that striking it rich is the ultimate goal. I know because I used to feel that way. In reality, getting rich isn’t the financial finish line. It’s the first lap of a much longer race. I’m talking about ensuring long-term prosperity for you and your family: not just getting rich, but staying rich. That’s what each and every one of us truly wants to achieve with our money, and I don’t care who you are, who your parents are, where you live, or what you do for a living: you can do it if you let me help you. I don’t care if you don’t have two cents to your name or if you owe thousands of dollars in credit card debt. I am confident I can get you there. You may think of yourself as someone who’s awful with money; you could be a person who’s tried and failed to get anywhere with every single financial plan you’ve ever been handed, like so many failed faddish diets. Whether you’re 16 or 60, sending your kids to college or sending yourself to college, I’m writing this book to tell you everything you will ever need to know and everything you must do to create and maintain the kind of wealth that lasts a lifetime. I want you to get there and stay there.
