How Long Is A Short Sale?
The most important question to ask a short sale buyer’s agent. How to question the buyer’s agent to qualify the short sale buyer.
Yes, but…do you use a short sale facilitator?
Of course the REALTOR on your team needs to be a qualified team captain, with the experience to properly guide both buyers and sellers through the transaction. If savvy, they will engage the services of a short sale facilitator to ensure they have the strong team needed for a touchdown. With a contact list and savoir faire that is the stairway to heaven, these can be the ace in a hole every busy agent needs.
The Short Sale Package
Not all situations in which a homeowner cannot (or will not) make their mortgage payments will qualify for a short sale. And where each lender has unique requirements, every short sale situation will require these standard documents (printable, form).
- Seller Worksheet
- Authorization to release information – this document gives the REALTOR® permission to act as your representative and obtain information about your loan from the lender. Please include all lien holders and account numbers – this must be filled out and signed
- Financial Form – list of itemized assets and liabilities
- Hardship Letter
- Two years most W-2’s recent tax returns
- Two months most recent paycheck stubs
- Two months most recent, consecutive bank statements
The lender will use this information to determine if you are experiencing a hardship and meet certain parameters so it’s important a complete package is submitted so as to avoid any delays in processing your request.
Foreclosures are declining, right?!
A recent article in the Colorado Springs Gazette reports foreclosures are down. But, are they? The same report states foreclosures are 20% ahead of this time last year. So, where they have decreased over the last couple of months, they are up overall. Sadly, there will never be a 0% foreclosure rate and there have been 538 homeowners over the last four months in some stage of foreclosure and pure capitalism will have it no other way. And where we hope not you, know our experience, certifications and network will serve anyone in this situation well.
A trade name of Norberto Villanueva, the Axiom Real Estate Team at Equity Colorado is a REALTOR member in good standing of the Pikes Peak, Colorado and National Association of REALTORS, holds an Employing Broker level license and is a former REALTIST member of the National Association of Real Estate Brokers. Certified as a Short Sale and Foreclosure Resource (SFR) and a Real Estate Owned (REO) specialist, our focus is win-win-win solutions or none at all, offering expert analysis, acquisition, disposition and specialty finance consultation for retail buyers and sellers as well as private and institutional investors alike.
Contact the Axiom Realty Team at Equity Colorado for all your real estate investment needs by using the contact form found in the lower right of this page.
We are the ART of Real Estate and look forward to serving you.
Will reactivating an old account help my credit score?
Will reactivating an old account help my credit score? “If the borrower reactivated an old account, would the borrower see a boost in credit score?”
Source: Will reactivating an old account help my credit score?
Remember Sub-prime Mortgages?
Nowadays, we are basically able to categorize buyers in one of two ways, those with slightly challenged credit that still qualifies them for competitive interest rates in the 4% range or those who cannot be financed at all. But it wasn’t always that way. At one point borrowers were either “A paper”, meaning they had “good credit” and qualified for the lowest interest rates and fees available or a sub-prime “bad credit” borrower which were placed in what are now called predatory loans or they were Alt-A, which meant “challenged credit” at slightly better but far from prime rates and fees. Although many in the industry will disagree, as some loan officers made a killing charging front and back-end points to the tune of 1 – 4,5,6% of the loan amount back in the day, others found it unconscionable and are glad those days are over, present company included!
Your Bucket List
But, are they? In 1997, there started being talk about adopting Risk Based Pricing in the mortgage market, an existing model where “lenders assess borrowing costs loan by loan, aided by computerized loan-evaluation systems capable of forecasting the default risk dictated by each mortgage”. Each loan having an investor such as Freddie Mac, Fannie Mae and others to guarantee the loan, these investors would then “adjust the guarantee fees” “to more accurately reflect the risks represented by the individual mortgages within a loan pool that an originator wants to sell”.
Replacing prime and sub-prime titles with “buckets”, lenders are no longer able to charge as much in rates and origination fees, even for “challenged credit” borrowers, which is why we barely see rates deviate much from the 4% range these days and also why “bad credit” borrowers have been forced out of the market, the American dream out of reach for now.
The American Dream
Or is it? A new breed of lender is here to pickup where the subprime lenders, many if not most of them now out of business, left off. With competitive, low interest rate FHA/VA and USDA mortgages down to a 550 FICO score, the dream of home ownership is very much alive and well. Lucky to work with a few, the Axiom Realty Team professionals are standing by to be of service because, with service first, rewards come later.
A trade name of Norberto Villanueva, the Axiom Realty Team at Equity Colorado is a REALTOR member in good standing of the Pikes Peak, Colorado and National Association of REALTORS, holds an Employing Broker level license and is a former REALTIST member of the National Association of Real Estate Brokers. Certified as a Short Sale and Foreclosure Resource (SFR) and a Real Estate Owned (REO) specialist, we focus on win-win-win solutions or none at all, offering expert analysis, acquisition, disposition and specialty finance consultation for retail buyers and sellers as well as private and institutional investors alike.
Contact the Axiom Realty Team at Equity Colorado for all your real estate investment needs by using the contact form found in the lower right of this page. We are the ART of Real Estate and look forward to serving you.
Turnkey Mortgage and Down Payment Assistance
Turnkey Mortgage and Down Payment Assistance
Not limited to first time home buyers, the “Turnkey” Mortgage is a competitive 30-year fixed-rate mortgage with a Down Payment Assistance (DPA) Grant (no repayment) equal to 4% of the mortgage amount!
Mortgage Tax Credit
Used jointly with the tax credit feature, qualifying first time home buyers receive an annual federal income tax credit equal to 50% of the annual interest they pay on their mortgage loan!
- No “recapture tax”
- Max Income and purchase price limitations
- Available with various lenders!
Additional Down Payment Assistance Programs
We’ve identified over 25 down payment assistance programs to help new and existing home owners with costs to buy or upgrade the home of their dreams while saving tens of thousands, making the dream of home ownership a reality. Visit our Down Payment Resource page to locate additional programs that may help with your home ownership dreams.
The Axiom Realty Team
Norberto Villanueva is a REALTOR©/District Director for the Axiom Realty Team at Fathom Realty in Colorado Springs. A licensed real estate broker since 2002 and a mortgage loan officer/broker for five years before that, we specialize in residential housing and investment solutions. As a Certified Home Buying Advisor, Norberto is able to help most if not all homeowners with the funding necessary to cover most if not all down payment, closing and prepaid costs.
Energy Efficiency Assistance
Energy Efficiency Assistance
As an incentive for new and existing homeowners to buy homes with high energy efficiency ratings or make upgrades (furnace, insulation levels, windows, etc.) to an existing home, the state of Colorado is offering up to $8,000!
- New or existing homes (existing homeowners OK)
- Lender must reserve the incentive amount before closing
- Energy upgrades completed within 120 days of purchase
Additional Down Payment Assistance Programs
There are hundreds, if not thousands of extra programs that help with adapting homes for folks with disabilities, down payment. closing and other costs. Check them all out here!
Eight Steps To Saving For A Down Payment
Don’t worry—we’ll do the painful math for you so you know what splurges to kick to the curb in 2016.
Source: Resolve to Give Up These 8 Money Wasters for a Down Payment Before 2017 – Real Estate News and Advice – realtor.com
Time To Save For A Down Payment?
Depending on where you are in the country, it can take over 10 years to save for a down payment. Here are some things you can do to cut that time down considerably:
- $ 876 savings – Skip the latte
- $ 696 savings – Cut the gym membership
- $1,189 savings – Cancel cable TV
- $ 100 savings – Drop a streaming service
- $ 300 savings – Lower smart phone plan
- $1,714 savings – Pack a lunch
- $3,168 savings – Cut out drinking alchohol
- $1,354 savings – Cut the dry cleaning bill
$9,397 total savings!
Yes, with a lot of focus (and sacrifice), it’s possible to save close to $9,400 to use for the all important down payment for your home purchase. But, why?
Down Payment Assistance
Many don’t realize there are assistance programs that can cover:
- Down payment
- Closing costs and prepaids
- Energy efficiency upgrades
- Disability adaptability upgrades
- And more!
And the truth is these programs are available in most areas, sometimes regardless of income!
As home buying advisors, we pride ourselves on our dedication to helping anyone who wants to own a home with that goal.
Contact us today for your personalized consultation!
What Credit Score Do You Need To Buy A Home?
In a recent article by the Wharton School of Business at the University of Pennsylvania, it was revealed that some millennials are not looking to buy a home simply because they don’t believe they can qualify for a mortgage.
Source: Millennials: What Credit Score is Needed to Buy a Home?
The question, what credit score do I need to buy a home is a difficult one to answer because, dependent on numerous factors, not the least of which being the type of buyer, the answer can run the gamut.
For example, if you are a traditional first time home buyer seeking institutional lending rates (high 3% to low 4% as of this writing), you’d be hard pressed to qualify with anything less than a 620 yet, are there exceptions? Of course there are.
On the other hand, if you are an investor, the distinction being one that will not occupy the home as their primary residence, or someone with difficulty qualifying for more traditional lending, then you may not need any credit at all depending on how much you can buy it for versus how much it’s worth, repairs, and the like.
Perhaps most important is the question not asked meaning, contact a local professional with your desire, wants/needs and qualifications (or lack thereof) and let us sort it out. That’s what we do. Until then, all the best!
Norberto Villanueva is a licensed broker and experienced loan officer offering full service real estate and related services in Colorado Springs and surrounding areas. Contact Norberto at 719-453-8690 for a free consultation or by submitting a request in the lower right hand section of this page.
History of FICO®
]History of FICO ®. Founded in 1956, FICO introduced analytic solutions such as credit scoring that have made credit more widely available, around the world.
Source: History of FICO®
Mortgage Interest Rates Over 4%?!
Mortgage interest rates, as reported by Freddie Mac, have increased over the last several weeks. Along with Freddie Mac, Fannie Mae, the Mortgage Bankers Association and the National Association of Realtors are all calling for mortgage rates to continue to rise over the next four quarters.Th
Mortgage News Daily
Mortgage News Daily – Mortgage and real estate news and updates to keep you in the know.
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