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Posts Tagged ‘arizona mortgages’

How can I help make your Arizona mortgage process easier?


How can I help make your Arizona mortgage process easier?

1. First and foremost, buying a home is in the top 5 most stressful things one will do in their lifetime. I certainly do not expect you to understand what, when, why and how. ASK! Call. E-mail or to make it a bit easier there is also a wealth of information online.

2. You can apply for your mortgage online at https://secure.web-loans.com/security-logon.aspx?timeout=1 – this is a SECURE webpage allowing you to enter your e-mail address, save your data and come back to it at a later time.

3. How much is it costing you to rent and what are the financial benefits to buying? You can compare renting versus owning here: http://fcfs.net/loancenter-calculators-rentvsown.aspx

4. How much can you borrow? Use this calculator to help you find out – http://fcfs.net/loancenter-calculators-prequalify.aspx

5. How will making an extra monthly payment affect the payback of your loan? Use this calculator – http://fcfs.net/loancenter-calculators-extrapmt.aspx

6. Check out the Frequently Asked Questions section – http://fcfs.net/faq.aspx

Your question may be covered here too! No question should go without asking!

Remember, my goal- Having a dream is good, owning one is better!

Leslie Pelletiere, Owner First Class Financial Services, proudly mortgage lending since 1999!

602.294.9288(O) 602.294.9830(F)

www.fcfs.net

MB#0902810 NMLS #162494

AZDFI Loan Officer # LO-0911453

AZ Mortgage at 100% financing? YES!


 

AZ Mortgage at 100% financing? YES!

You can still have access to 100% financing on specific properties available through the USDA Rural Housing program. There are income and property restrictions so be sure to speak to your loan officer about availability. Through the USDA Rural Housing website, your loan officer can specify the property address of the Arizona property you are interested in and it will advise if the property is eligible. As the name implies, it is typically on RURAL properties but in Arizona that can include areas of Anthem, Maricopa, Buckeye, and outlying areas so don’t dismiss without checking.

There are also income restrictions for the borrowers depending on the size of their family and monthly income. The website also allows your loan officer to run the eligibility here too.

Listing agents… check your property against the website. Your listing may be eligible and it would be a great sales tool to highlight on your listing! Ask your loan officer, they can run them for you!

Having a dream is good, owning on is better!

Leslie Pelletiere, Owner First Class Financial Services, proudly mortgage lending since 1999!

602.294.9288(O) 602.294.9830(F)

www.fcfs.net

MB#0902810 NMLS #162494

AZDFI Loan Officer # LO-0911453

AZ Mortgage Question of the Day: IF my ex-husband signs a quit claim deed, does that remove him from the mortgage liability?


AZ Mortgage Question of the Day:  IF my ex-husband signs a quit claim deed, does that remove him from the mortgage liability?

 

No.  The quit claim deed ONLY deeds the ASSET of the property to the remaining party.  It does not remove responsibility from the mortgage.  The mortgage would need to be refinanced with the remaining borrower qualifying to carry the mortgage alone.  Once the new mortgage is closed, the escrow company would take care of recording the new deed in the remaining party’s name.

IF the one borrower signs a Quit Claim deed but does not have the remaining borrower refinance, BOTH borrowers are still liable on the mortgage and it’s repayment requirements.  It also will remain on BOTH borrower’s credit reports. 

Many borrower’s make this mistake during a divorce.  Especially if they are trying to handle their divorce without an attorney.  It makes sense that if a borrower deeds the ASSET to the other party, that also transfers the mortgage liability, however this is not the case.  It is very important to handle this correctly during the proceedings as it can affect the leaving party in their ability to mortgage qualify down the road.  Providing the divorce decree and the quit claim deed will not suffice in removing the mortgage liability when qualifying.

Having a dream is good, owning one is better!

 

 

Leslie Pelletiere, Owner

First Class Financial Services, proudly mortgage lending since 1999!

602.294.9288(O)

602.294.9830(F)

www.fcfs.net

MB#0902810

NMLS #162494

AZDFI Loan Officer # LO-0911453

 

AZ Mortgage Question of the Day: My wife mortgaged our primary residence only in her name, do I need to count that against me when I qualify?


AZ Mortgage Question of the Day: My wife mortgaged our primary residence only her name, do I need to count that against me when I qualify?
 

Simple answer, YES. Arizona (and many other states- see below) is a community property state so debt is considered “common” between husband and wife regardless of who signed the note.  This is important for several reasons but primarily for asset requirements.  Every loan has a “reserve” requirement.  This means “a number of months of principal/interest/taxes and insurance for EVERY property that you own needs to be available in liquid funds.”

 

IF the wife, in this case, holds the Arizona mortgage note but BOTH parties are on the deed, this is considered community property and is subject to reserve requirements.  We want to make sure that the amount of assets available meet the reserve requirement.

 

Reserves are considered checking, savings, stocks, mutual funds, bonds, and retirement accounts.  Retirement accounts only receive credit for 60% of their balance (due to restrictions on having access to the money).

 

Special rules apply to spousal property and income in the community property states:

  • Arizona
  • California
  • Idaho
  • Louisiana
  • Nevada
  • New Mexico
  • Texas
  • Washington
  • Wisconsin

Feel free to contact me if you have any questions.

 
Having a dream is good, owning one is better!

 

 

Leslie Pelletiere, Owner

First Class Financial Services, proudly mortgage lending since 1999!

602.294.9288(O)

602.294.9830(F)

http://www.fcfs.net

MB#0902810

NMLS #162494

AZDFI Loan Officer # LO-0911453

AZ Mortgage Rental Property Home Insurance Tips!


Arizona mortgage rental property home insurance tips:

First, THANK YOU to Loel Weatherly! My favorite American Family Insurance Agent!  He has provided me some important pointers when it comes to home insurance for those of us that call ourselves landlords. 

From Loel Weatherly, American Family Insurance Agency:  “… A couple of points come to mind immediately…

•1)      The proper policy form should be obtained once the property is rented out…typically called a “landlords” policy,  “rental dwelling protection” policy, or a BOP (Business Owners Policy).  The standard homeowner policy is not written or rated to provide coverage other than to the owner/occupant of the property.

•2)      As part of these types of policies there is generally coverage provided for “loss of rents” or “loss of income”  in the event that the property would be uninhabitable due to a covered loss.

•3)      Another crucial part of these types of policy forms is the Liability coverage to protect the property owner….typically a minimum of $300,000 per occurrence and in many cases can be increased to $1 Million in coverage for a slight additional premium charge.

•4)      Also, coverage for damage to the structure, walls and flooring as a result of a broken pipe either in the wall/ceiling or floor should be included. ”

Many times clients call me AFTER something has happened to ask how they should handle it.  I am new to this landlord gig so I want to make sure to pass on all that I get as I go through the process!

Again, thanks Loel!  You can reach Loel at American Family Insurance at 480.926.2766.

Having a dream is good, owning one is better!

 

Leslie Pelletiere, Owner

First Class Financial Services, proudly mortgage lending since 1999!

602.294.9288(O)

602.294.9830(F)

http://www.fcfs.net

MB#0902810

NMLS #162494

AZDFI Loan Officer # LO-0911453

Cleaning the carpets at my Arizona rental… secret to stains!


 

Cleaning the carpets at my Arizona rental…. secret to stains!

First, I know this has nothing to do with the insides of the Arizona Mortgage business.  However, a good pointer I could not pass up.

I have tried everything to get the stains out of my WHITE carpet.  I rented a carpet cleaning machine and even purchased the spot remover. Nothing worked. HOWEVER I remembered the Queen of Clean mentioning something about Baking Soda/Vinegar and Water.  The baking soda WORKED! Literally took the BLACK stains from years ago, out of the carpet completely! I sprinkled down the baking soda, sprayed it with a water bottle and let it sit.  That’s it! Pulled it right out!

You can all thank me later!

Having a dream is good, owning a rental property with clean carpets is great, owning your own home is even better!

 

Leslie Pelletiere, Owner

First Class Financial Services, proudly mortgage lending since 1999!

602.294.9288(O)

602.294.9830(F)

http://www.fcfs.net

MB#0902810

NMLS #162494

AZDFI Loan Officer # LO-0911453

AZ Mortgage Buyer Checklist as provided by the Arizona Department of Real Estate


AZ Mortgage Buyer Checklist as provided by the Arizona Department of Real Estate 

In researching some information through the Arizona Department of Real Estate, I found a handy Buyer Checklist!

You can find it here: http://www.re.state.az.us/PublicInfo/PropertyBuyerChecklist.aspx

This checklist has infomation on:

New homes in a Subdivision…….specifically to reading the contract completely (builder contracts can vary greatly from the typical purchase contract), how to get the public report, and notes on what to do BEFORE you sign the contract.

Previously Owned Homes……..specifically to the realtor’s representation, getting a home inspection, termite inspection and what to do BEFORE you write an offer.

Undeveloped Land…….. specifically to advise regarding asking for the ” Arizona Department of Real Estate Disclosure Report “(Public Report), reviewing the Arizona Department of Water Resource, and parcel requirements, if intent to build.

The checklists are kept up to date by the Arizona Department of Real Estate and have all of the important information for each category that you or your buyer might forget!

Although dry, the department can be a wealth of information. The more we know the better off we are.

Having a dream is good, owning one is better!
Leslie Pelletiere, Owner

First Class Financial Services, proudly mortgage lending since 1999!

602.294.9288(O)

602.294.9830(F)

www.fcfs.net

MB#0902810             NMLS #162494 

AZDFI Loan Officer # LO-0911453

AZ Mortgage Question of the Day: Can an investor buy a property from Fannie Mae and then sell it to a new buyer using HomePath financing?


AZ Mortgage Question of the Day: Can an investor buy a property from Fannie Mae and then sell it to a new buyer using HomePath financing?

Sorry. The answer is No.

Fannie Mae properties are offered with special financing called HomePath financing. This allows for a buyer to purchase the home directly from Fannie Mae and take advantage of the perks of the HomePath financing.

In this case the client was purchasing an investment property. On investment properties, HomePath allows for a minimum 10% down payment and NO monthly mortgage insurance requirement!

Most HomePath properties are designated that way due to condition issues. The HomePath financing does not require a property appraisal so any condition issues are not relevant to qualifying.

Fannie Mae also have a special incentive running now offering 3.5% closing costs assistance through 6/30/2011.

You can find out more about HomePath properties at www.homepath.com and about the special incentive at www.homepath.com/incentive/index.html

Having a dream is good, owning one is better!

Leslie Pelletiere, Owner/Broker

First Class Financial Services, proudly mortgage lending since 1999.

www.fcfs.net                          

 mortgagedr@fcfs.net                        

MB#0902810             NMLS#162494

 

AZ Mortgage Question of the Day: Can I use money from my Home Equity Line for a down payment on an investment property purchase?


AZ Mortgage Question of the Day: Can I use money from my Home Equity Line of Cfredit for a down payment on an investment property purchase?

Yes. Yes you can! Couple of things:

1. Along with meeting the other investment property qualifying requirements, you need to be able to qualify WITH the new monthly payment from the home equity line.

2. You will need to show that is where your down payment money came from. This is important. IF you draw, for example, $20500 from your Home Equity Line of Credit, you cannot withhold $500 for yourself when you go to the bank to make the deposit. We will not be able to tie the two numbers together. Deposit exactly what you drew from the line. Then you will need to provide the statement from the line that shows the withdrawl and a statement from your account that shows the deposit. Voila! The numbers tie together and we can now “papertrail” the source of the funds.

3. You will need to provide the NOTE (your re-payment agreement) from when you acquired the Home Equity Line of Credit. This will show the terms of the line.

4. You will want to consider the Home Equity Line of Credit payment amount in your total exposure on the new investment property to ensure that it is still an income producing property.

NOW! Today! Immediately. PRONTO….is the time to consider purchasing investment property real estate. The opportunity is amazing. Property values are low and demand for rentals is extremely high!

Having a dream is good, owning one is better!

Leslie Pelletiere, Owner

First Class Financial Services, proudly mortgage lending since 1999!

602.294.9288(O)

602.294.9830(F)

http://www.fcfs.net

MB#0902810

NMLS #162494

AZDFI Loan Officer # LO-0911453

Investment properties are HOT but how many can you mortgage?


Investment properties are HOT right now but how many can you mortgage?

It is important to cover this at application time as many investors assume with good credit and the minimum down payment requirement they can mortgage as many as they would like. This can vary DRAMATICALLY between lenders and needs to be prior approved before the investor starts shopping!

Each lender makes a distinction as to what underwriting guidelines they are going to follow. Most lenders have “overlays” over the top of the traditional Fannie Mae/ Freddie Mac guidelines.
Fannie Mae’s standard guideline is that one borrower cannot have more than 10 financed properties including any financed primary residence.

Many lenders have an “overlay” restricting that to 4 financed properties including any financed primary residence.

Many lenders restrict the number the borrower can already have financed with them as well.

Freddie Mac has a maximum financed properties of 4 including any financed primary residence.

As an agent, be sure you ASK your loan officer what the restriction is for the number of mortgage properties. Many loan officers are not even aware of this restriction and again will only approve the borrower on credit/down payment merit.

Having a dream is good, owning one is better!

Leslie Pelletiere, Owner

First Class Financial Services, proudly mortgage lending since 1999!

602.294.9288(O)

602.294.9830(F)

http://www.fcfs.net

MB#0902810

NMLS #162494

AZDFI Loan Officer # LO-0911453