Mortgage Rates April 27, 2020

Mortgage Headliners: 

Getting Answers...Should I delay my mortgage payment...
Homeowners with federal loans won’t have to pay lump sum after pausing payments
Coronavirus related forbearance requests still on the rise…
The housing industries response to the corona virus…
Nearly 10% of FHA and VA borrowers are in forbearance. Total forbearance nearing 7%...

We’re watching the market closely…

If you’re in the market to purchase or refinance give us a call today (888) 931-9444 or (702) 696-9900

Coronavirus-FHA 680 FICO

Things are moving so quickly in the market with the coronavirus being at the forefront, everyone is feeling hardship across the board.

FHA Loans provides mortgage insurance on loans made by FHA-approved lenders throughout the United States and its territories.  It is one of the largest insurers of mortgages in the world, insuring more than 46 million mortgages since its inception in 1934 and it's the only government agency that operates from its self-generated income.

Self-generated income which means the Mortgage insurance premiums that is collected from borrowers via lenders are used to operate the program.

FICO scores tells the lender what type of credit risk you are and what your interest rate should be to reflect that risk by utilizing a FICO formula.

The most commonalty used :

Equifax Beacon 5.0

Experian/Fair Isaac Risk Model v2

TransUnion FICO Risk Score 04

We’re seeing what’s “good” for rates can be bad for lenders, and what’s “good” for the market can be bad for home buyers. This tug of war has caused servicers to implement drastic measures to keep up; includes raising the minimum FICO.  If you have questions or concerns please contact your lender right away.

Mortgage Rates March 17, 2020

Mortgage Headliners: 

Economist predicting emergency rate cut this week…
Negative Interest Rates Unlikely…
Coronavirus economic package in full...
Trump is considers letting homeowners delay mortgage payments...

We’re watching the market closely…

If you’re in the market to purchase or refinance give us a call today (888) 931-9444 or (702) 696-9900

Mortgage Rates March 16,2020

Mortgage Headliners: 

Mortgage stress test changes suspended…
Why you can't get that historically low mortgage rate…
Coronavirus sends mortgage rates lower…
Mortgage investors cheer as Federal reserve starts…
Fed funds rate pinned at zero…
Keep your eyes on stock news…
Preparing for Recession…

We’re watching the market closely…

If you’re in the market to purchase or refinance give us a call today (888) 931-9444 or (702) 696-9900

Mortgage Rates March 12, 2020

Mortgage Headliners: 

A flood of mortgage applications drive rates higher...
How the coronavirus outbreak is moving mortgage…
Mortgage rates rise sharply from last week's record low…
Mortgage rates are mixed after hitting all-time lows…
Mortgage demand is so high that lenders turn away…
Coronavirus looms over crucial spring season for housing…
Bonds are responding…

We're watching the market closely...

If you’re in the market to purchase or refinance give us a call today (888) 931-9444 or (702) 696-9900

Mortgage Rates March 11, 2020

Mortgage Headliners: 

Mortgage applications increase over 55%...
Refinance applications surge to decade high...
Plunging mortgage rates might not end U.S. Housing...
Mortgage rates rising at fastest place…
The US should suspend mortgage and rent payments…
The banks are back in residential mortgages…
U.S. mortgage lenders urge customers to ask about forbearance…

Lock Recommended

If you’re in the market to purchase or refinance give us a call today (888) 931-9444 or (702) 696-9900

Mortgage Rates March 5, 2020

Mortgage Headliners: 

Mortgage rates are plunging, but will coronavirus...
US mortgage rates sink to a record low on COVID-19 fears...
Long-term mortgage rates tumble to record low...
30-year rate falls to record low...
Mortgage rates hit a new record low, and they might keep falling...
Mortgage rates dip to lowest point record...
Wow! Mortgage rates reach lowest level in almost 50 years...

Lock Recommended

If you’re in the market to purchase or refinance give us a call today (888) 931-9444 or (702) 696-9900

Home Repairs or Replacement?

Being a home owner is often a rewarding experience. Homes need to be continually cared for, and everything inside has a lifespan. Understanding this will ensure their replacement doesn't put you in a bind.

Windows 8-40 years

Old, out-of-date windows aren't merely an aesthetic problem — they can also lead to higher energy bills. Over time, efficiency gains will help the windows pay for themselves.

Usage, weather, maintenance, and material quality all have an impact on how long your windows will last. Is it time to replace them?

Roofs 15-150 years

Roofs vary widely when it comes to average lifespan, largely depending on type and quality of materials used and ventilation. Here's how long you can expect some of the most common roof types to last, according to InterNACHI:

It's important to have an idea of how soon that repair may be necessary. A leaky roof can also lead to serious water damage, so it's critical to keep a close eye on the overall condition of your roofing.

Central Air 7-15 years

Replacing your air conditioning unit every seven to fifteen years, InterNACHI suggests replacing your furnace every 15 to 25 years along with general upkeep and maintenance.

Counter tops 20-100 years

While tile, stone, and wood can  last more than a century, laminate or resin-based counters should be replaced roughly every 20 to 30 years.
Another thing to consider: Semi-synthetic surfaces, such as cultured marble, do not have nearly the lifespan of natural stone. These surfaces may last as little as 20 years.

Appliances

Other Items

Understanding the lifespan of your big ticket items and other items will allow you to make the best and sound decision when it comes to repairing or replacing them. We recommend speaking with a professional.

Need home insurance or want more information about how to ensure you're properly covered contact Valley West Insurance (702) 262-9900 Text or Call

Note: This information is provided as a courtesy and is for informational and entertainment purposes only. Contents of this website are subject to change without notice. This content is not intended to replace official resources

What is Debt To Income

Your debt to income ratio or DTI, is a figure that allows a lender to analyze your monthly spending habits. They use your DTI to determine how you manage your money.

You want your debt to income to be as low as possible to ensure that your chances of being offered a lower rate is better.

How much debt do you have this month?

Think about all of the bills you have to pay for the upcoming month.

For example, Brandi pays $720 monthly for rent, $235 monthly for her car note, $200 monthly for her car insurance, and she makes about $100 monthly in credit card and utility bills. Brandi earns $4000 every month before taxes. So if we add up Brandi’s debt expenses and divide them by 4000, we get approximately 31%.

An article from consumerfinance.gov recommends keeping your debt to income ratio below 43% based on evidence from studies on mortgage loans. So when our friend Brandi is ready to move from her apartment into a new home, the bank will be eager to get things started for her, knowing that her debt to income ratio is low and that she has the ability to repay her loan.

Debt to income factors

Another factor that can help your debt income ratio is paying your bills on time and in full. Most banks offer the option to have money from your account wired directly to the institution you wish you pay. You can even customize the time and date that the wire will be released. As a result, before applying for a mortgage loan be sure that the job you are currently holding will provide you with the means to pay your current bills and a house payment.

Higher income means more flexibility to play around with financing options. What lenders don’t want to see is that you spend six months at every job and then bail. It shows instability and lenders won’t be so open to lending their money to someone who is in the business of making risky decisions by jumping from job to job.

Be sure to use that steady job to help build your savings. Why? Because of a thing called a Cash Reserve. Your cash reserve is your safety net. Money that you have saved up between your bank accounts will be evaluated by your lender. This extra money lets the lender know that if you fall on hard times or your expenses for some reason go up, you will still have the money to pay your household bills and still make regular payments on your loan, therefore keeping your DTI constant.

What lenders typically look for is a cash reserve that will hold you over for two or more months, so be sure to pad those savings accounts.

The impact of student loan debt

A meaningful proportion of current student loan borrowers will likely be flirting with a risky DTI just from student loan debt. 16% of Student Loan Borrowers Will Likely Have a DTI Over 20% Just From Student Loans. Below shows sample data from Lendedu: 10,000 pre-qualification applicants used.

The above statistics derive from proprietary data provided to LendEDU by student loan lender Funding U. DTI ratios for nearly 10,000 pre-qualification applications for private student loans were calculated by Funding U using metrics like projected first year salary, projected student loan debt upon graduating, and projected monthly student loan debt payments

Debt to income is an important factor when applying for a home loan. Be sure to take this critical component into consideration when you go to speak with your lender.

Mortgage Rates March 3, 2020

Mortgage Headliners: 

Mortgage Rates Are Near All-Time Lows As Coronavirus Worries Hit Market
There are 11.1 Million Refi candidates, With $2.99B in Potential Savings
In rare move, Fed issues emergency rate cut to bolster economy from coronavirus
Refinancing Field Day
Low mortgage Rates Push U.S. Property Prices
Mortgage outlook: Rates continue to slide spurred by COVID-19
Falling rates boost refi eligible mortgages
What the virus outbreakmeans for home loans, mortgage rates

Lock Recommended

If you’re in the market to purchase give us a call today (888) 931-9444 or (702) 696-9900