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 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 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

FHA Denying Support for DACA Mortgage Borrowers

What is DACA

Deferred Action for Childhood Arrivals (Dreamers)

An American immigration policy that allows some individuals with "unlawful" presence in the United States after being brought to the country as children receive a renewable 2 year period of deferred action from deportation and become eligible for a work permit in the U.S.

What is FHA

The Federal Housing Administration (FHA) is the largest mortgage insurer in the world with an active insurance portfolio of over $1.3 trillion. Each year, FHA helps more than a million homebuyers achieve the dream of sustainable, affordable homeownership of single family homes, while our insurance programs for multifamily properties support the availability of over 300,000 affordable rental units, including those for seniors and people with disabilities. FHA's healthcare insurance programs facilitate access to hospital medical care and assisted living in hundreds of communities across the country.

Who is Fannie Mae

Leading source of financing for mortgage lenders, providing access to affordable mortgage financing in all markets at all times. Our financing makes sustainable homeownership and workforce rental housing a reality for millions of Americans.

How are these all connected?

According to the FHA they are not going to be backing mortgages for DACA recipients, however Fannie Mae has stated that it supports (and will support) mortgages for DACA recipients.

“We have a longstanding policy on eligibility for non-U.S. citizen borrowers. Fannie Mae purchases and secures mortgages to non-citizens who are lawful permanent or non-permanent residents of the United States under the same terms available to U.S. citizens,” the government-sponsored enterprise said in a lender bulletin posted on Friday.

Fannie Mae said that it is not changing its existing policies. Rather, the purpose of issuing the bulletin was to provide “additional guidance to help lenders determine eligibility for non-U.S. citizen borrowers” in response to customer feedback on the issue.

 

Resources:

www.housingwire.com

www.ilrc.org/daca

www.wikipedia.com

www.nbcnews.com

 

What's Affecting The Mortgage Rates Today

Conventional rates today fell considerably today but, do you know what does effect the rates to rise and fall as they do?

The most crucial clues offset each other — Return of investment (Treasury Yield) on the government's debt obligation rose while oil prices fell. Shown below are some factors you might want to consider:

Factors

Predictions indicate for the year 2018 we should only see less than four rate hikes in 2018. So if your looking to purchase soon contact us today! And keep an eye on the markets!

 

We're striving to make the applicate process more streamline by offering services that are more automated and user friendly.

Visit Valley West Mortgage for our Online Application and our Secure Document Uploading. 

 

Resources: www.themortgagereports.com, www.mortgagedaily.com

 

Conforming Loan Limits Increase for 2018

BREAKING NEWS!

FHFA increases conforming loan limits for a 2nd straight year

Loan limits to match rising home prices

 

On Tuesday, the Federal Housing Finance Agency (FHFA) that the maximum conforming loan limits for mortgage to be obtainedce in 2018. The 2018 maximum conforming loan limit for a one-unit property will be $453,100, an increase from $424,100 in 2017. This allows home buyers to purchase a home without resulting in a Jumbo loan with higher interest rates.

For areas in which 115 percent of the local median home value exceeds the baseline conforming loan limit the maximum loan limit will be higher than the baseline loan limit.  The maximum loan limit in those areas as a multiple of the area median home value, while setting a "ceiling" on that limit of 150 percent of the baseline loan limit.  Median home values generally increased in high-cost areas in 2017, driving up the maximum loan limits in many areas.  The new ceiling loan limit for one-unit properties in most high-cost areas will be $679,650 — or 150 percent of $453,100.

Special statutory provisions establish different loan limit calculations for Alaska, Hawaii, Guam, and the U.S. Virgin Islands.  In these areas, the baseline loan limit will be $679,650 for one-unit properties, but loan limits may be higher in some specific locations. (See Below)

Because of generally rising home values, the increase in the baseline loan limit, and the increase in the ceiling loan limit, the maximum conforming loan limit will be higher in 2018 in all but 71 counties or county equivalents in the U.S.

What Is A Mortgage Loan Limit?

A loan limit is the maximum amount a lender will approve under certain guidelines.

There is not just one loan limit, but many. Conventional mortgages adhere to one set of loan limits, and FHA another. VA loans loosely follow conventional guidelines, but, technically, VA loans have no limit. Loan limits are a means of standardizing loans nationwide. That gives lenders and investors more confidence in these loans, which pushes mortgage rates down for consumers.

vwm conforming loan limits

 

Now's the time the time to start thinking about your future.

Licensed in 18 States!

Valley West Mortgage offers low rates

and No Obstacle Pre-Approvals.

 

 

Resources:

FHFA increases conforming loan limits for 2nd straight year


https://www.candofinance.com/mortgages/pros-and-cons-of-jumbo-mortgage-loans/
http://nationalmortgageprofessional.com/news/65242/fhfa-maximum-conforming-loan-limits-2018
https://www.fanniemae.com/singlefamily/loan-limits#

A Rise in Your Credit Score

Some changes took effect at the top of this month that could have amazing results on your credit score!

We’ve talked about the importance of your credit score in some of our recent posts. Your credit score—more importantly your FICO credit score (which is a combination of your credit scores and credit history)—is assessed to determine your eligibility for lines of credit, personal loans, auto loans, and more importantly, home loans. The higher your FICO score is when you apply for a mortgage, the better your chances are at negotiating mortgage loan terms with your bank or broker.

In a recent review of the three main credit bureaus, Equifax, Experian, and TransUnion, the Consumer Financial Protection Bureau found a number of concerns within the credit reporting processes of the agencies. The main issues that were called to attention included improper quality control procedures as well as incomplete and inadequate investigations when handling disputed accounts from consumers.

Your Credit Score

Raising your credit score can be challenging. Collections, debts, and student loans often tend to sneak up on us when we least expect it. One late credit card payment could drop your score down 90 or more points, and once your score is down (or damaged) it takes time to repair it again. Because of the difficulty of maintaining good credit, it’s important that the information on your credit report is accurate. Otherwise you could be receiving penalties and dropped points on someone else’s behalf. For far too long consumer credit reports have been erroneous due to insufficient identity information. As a part of the new standards set for the credit bureaus, the government has outlined a list of ways for the credit bureaus to improve on accuracy of information before applying a collection to someone’s credit report. Beginning July 1, 2017 a new and improved list of standards was set for credit bureaus.

The Bureaus

Equifax, Experian, and Transunion are due to pay more than $17 million in restitution back to consumers who’ve been victims of false reports. They are also due to pay at least $5 million in fines and penalties to the Federal Government. 12 to 20 million Americans are expected to benefit from the new standards put in place by the Consumer Financial Protection Bureau. Those who will the see the change are most likely consumers who had civil debts and tax liens on their credit report.

Checking Your Credit Report

Your credit score updates every month. Be sure to be on the lookout for a rise in your score!

 

When doing your research, always be sure to consult reliable sources. Check out the sources for this article below!

http://www.cnbc.com/2017/06/30/your-credit-score-may-jump-starting-this-month.html

http://www.cnbc.com/2017/03/14/consumer-agency-leans-on-companies-to-improve-credit-reporting.html

http://talktown.blog.myajc.com/2017/06/30/will-your-credit-score-go-up-this-weekend/

 

 

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