MPA – Mortgage Assistance Payment – The State has the program in place and loan documents are finally coming out. Eligible borrowers should be receiving a call from the intake centers to come in and sign their loan documents. If they are not approved the State will be contacting them.
NEW/OLD PROGRAMS –
100% USDA –. This loan is available in any town in Oregon with a population of under 25,000. Go to http://eligibility.sc.egov.usda.gov/eligibility/welcomeAction.do to see if your property is eligible for 100% financing. The program is now self supporting and there should not be any problems with funding throughout the year. Due to the increase in production please allow an extra 10 days for a USDA loan – est. 45-50 day close
FHA – New mortgage insurance rates. As of April 18 FHA monthly mortgage insurance has increased from .90% to 1.15%. On a case by case basis I have one lender who will go down to a 580 credit score with 5% down – borrowers own funds for the 5% downpayment and a really good reason for the low score – case by case
FHA 203B loan with repairs – If our borrower is purchasing a HUD foreclosed home, getting a new FHA loan and there are less than $5000 in lender required repairs we may be able to roll those repairs into their new loan.
CONVENTIONAL 97% – It is back… borrowers need to have a 720 score and 3% of their own money but this may be an alternative to FHA – we will compare both loan programs for qualified borrowers
As a comparison a .125% difference in rate for a $200,000 loan is $15.44 per month