15 Real Estate Terms Explained

MSN Real Estate recently posted 15 terms one is sure to hear during their navigation within the real estate market. The terms:

  • Adjustable rate mortgage
  • Amortization schedule
  • Closing
  • Down payment
  • Escrow
  • Fannie Mae/Freddie Mac
  • Flipping
  • Good faith estimate
  • Lien
  • Points
  • Preapproval
  • Prequalification
  • Prime rate
  • Underwater
  • Underwriting

Please read “15 real estate terms explained” for definitions.

 

What do you need to get a loan??

Do you know what is needed these days for a loan? Proof you have the ability to repay (ATR) the loan. Dodd/Frank requirements are there to protect the borrower, but have made it more stringent to acquire that loan you want.

All lenders are required to show you can repay the loan otherwise they may be liable. In order to meet these requirements you will have to:

  • Prove you have the income required to purchase the property you desire
  • Show job stability with at least two years history
  • Credit with no lates at least within the last 6 months
  • 1 year on conforming loans

Knowing about these requirements prior to talking to a loan officer or broker is helpful in ensuring a smooth transaction. Often times, borrowers are caught off guard by these requirements and time is lost searching for required documents. Or worse, they are denied.

Become prepared for your loan and show up prepared.

Give us a call @ 866-920-5777 – We’re in Sacramento, CA.

Gov. Brown Meeting With Drought Task Force As State Faces Major Water Shortage

CBS Sacramento

SACRAMENTO, Calif. (AP) — Gov. Jerry Brown says he is meeting with his recently formed drought task force as California faces a serious water shortage, but says “governors can’t make it rain.”

Brown told reporters Thursday that he will work with farmers to take whatever steps he can to get more water to parched fields.

Reservoirs have dipped to historic lows after one of the driest calendar years on record. The first Sierra snow survey of the year recorded just 20 percent of average water content.

The Democratic governor is weighing an official drought declaration. He says he will do “everything that is humanly possible” to allow flexible use of the state’s water.

Several communities already have imposed mandatory water reductions. This week, Mendocino County became the first to request state drought assistance.

Related Stories

Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast…

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Get ready for the spring gardening season

 bejim via freedigitalphotos.net

bejim via freedigitalphotos.net

MSN Real Estate offers a “January gardening checklist” to help gardeners prepare for the spring gardening season ahead. What is accomplished during winter season will help “make spring that much sweeter.”

The checklist offers tips on trees and shrubs, winterizing, houseplants, “little live things,” maintenance, perennials and weeding.

Check out the “January gardening checklist” for winter gardening tips and steps to take for spring preparation.

 

We have programs from 3.5% interest to non-prime and private lending

Check out the several programs we offer.

Conventional Niches:

  • Delayed Financing/Cash Out Refinance less than 6 months seasoning
  • Up to 10 financed properties
  • First time home buyer can purchase investment property and use rental income to qualify
  • Debts paid by others can be omitted with 12 months cancelled checks and no lates
  • Short Sale seasoning is 2 years from settlement date, 1 year if no mortgage lates 20% down
  • Properties less than 90 Days are ok — flips
  • Recently listed properties ok to cash out refinance

FHA Niches:

  • FHA Flip Waiver Program is Here!
  • Non-Occupant Co-Borrowers OK (No FICO OK)
  • Minimum 530 FICO for at least 1 Occupying Borrower
  • FHA finance to 96.5%
  • FHA FICO 500 – 579 10% Down
  • FHA FICO 580 and up 3.5% Down
  • Collections/ Charge Off OK $500 and more than 24 months old
  • Gifts are acceptable for 100% of down payment and closing cost
  • Seller credit to 6% of closing cost
  • Rent current home –use 85% of fair market rent. No landlord rating
  • Student loans that are deferred for 12 months and 401K loans can be omitted
  • FHA 230K Rehab Program
  • VA Loan 100%
  • USDA Loans 100%
  • USDA Rural Housing Products

Non-Prime Niches:

  • Loan amounts $50,000 – $750,000
  • 5 year fixed 30 year loans (No Balloon Payment)
  • O/O Purchase up to 80% LTV – (Must Have A 700+ Fico)
  • O/O Refinance up to 75% LTV
  • N/O/O Refinance and Purchase up to 70% LTV

Property types:
SFR’s — Condos — Townhouses — 2 to 4 Units

Income Documentation:
Full Doc — W2 & Paystub, 1040’s, or 24 months Personal Bank Statements or Asset Depletion
Alt Doc — 12 months personal bank statements
Asset Depletion — 101% of loan amount

Down Payments:
Down needs to be sourced & seasoned for 60 days

Prepayment Penalty: Case by Case

Credit Grades:
“A”- “B-” Minimum fico score 500 (Max LTV’s not available for all credit grades)

All Loans made in compliance with Federal, State and local laws.

Homepath Niches:

  • 97% LTV
  • No Mortgage Insurance
  • HUD 100% Program
  • Rehab Program
  • Private Money/Hard Money Niches:
  • Fix-Flip Special — Short Term No Pre-Pay
  • Stated Income- Investors Only
  • Current Foreclosure/short Sales OK
  • No FICO Minimum
  • 1,2,3, or 5 Year Options
  • Amortized over 30 — 40 Years
  • Stated Income/Verified Assets
  • Up to 70% LTV

Commercial Niches:

Property Types:
Multi-Family Mixed Use, Office Building, Office Condos, Land, Etc

Occupancy:
Investments
Owner User

Loan Term:
6 Months — 60 Months

Lending To:
Individuals / Corporations
LLC’s, IRA’s, LLPs
Family Trust

Give Client 1st Mortgage a call @ 866-920-5777. And visit us online at www.c1stm.com.