The New Arizona FHA Mortgage Loan Refinance Option For Home Owners Who Owe More Than Their Home Is Worth..

You heard it here first.. renewed Hope for Home Owners..

David Stevens of HUD just announced that the Obama Administration is putting together an FHA Refinance program that will allow for a homeowner who is upside down on their home (sounds like all of us in Arizona, doesn’t it) to refinance into an Arizona FHA Mortgage Loan.

They anticipate the FHA Refinance program to be available within the next few months.

Arizona FHA Refinance Options for Underwater Homeowners – Encouraging Responsible Refinances

• Home owners with current financing OTHER than FHA are eligible
• It’s mandatory that part of the principal be written off by the existing lender
• The new loan cannot be more than 97.75% of the home’s value
• Combined mortgage debt must be written down to at least 115% of the current value of the home
• Monthly mortgage payments must be reduced to no more than 31% of household income
• Must have a credit score of 500 (that shouldn’t be too tough)

Here is the press release for the new Short Refinance.  HUD FHA Refinance for Underwater Home Owners

Leave your thoughts below..

Apply online for an Arizona FHA Loan and get pre-qualified today. Or click the Get Started tab above, to get started today!

Obama’s Health Care Not So Healthy For AZ FHA Mortgage Rates

Arizona FHA Mortgage Loan interest rates have climbed heavily over the last 2 days.  Basically, there is much less demand for U.S. Debt which was triggered by the massive Obama Health Care Bill.  According to bond traders, ObamaCare is a budget buster and will have a heavily negative impact on AZ FHA Mortgage Loan interest rates.  The health care bill will add significantly to the deficit over the coming years, thus making U.S. Debt much less attractive to foreign investors.

However; Obama will announce initiatives today to assist more troubled homeowners stay in their homes.  It is expected to be an FHA backed program and use TARP funds.  More spending, but in the right direction for a change.

Leave your thoughts below..

Apply online for an Arizona FHA Loan and get pre-qualified today. Or click the Get Started tab above, to get started today!

In 7 Days The Hottest AZ FHA Mortgage Loan Deal Will Expire..

There are two reasons why getting under contract and locking your AZ FHA Mortgage Loan by March 31st, 2010 will save you money and assure you are getting the hottest Arizona FHA Mortgage Loan that has ever been available.

Reason #1 -

Granted, this may be a bit on the speculative end but lets look at the facts.

The Feds have been buying Mortgage Backed Securities at a CRAZY pace.  The plan has been that the Feds would buy Mortgage Backed Securities through the end of March 2010 in an effort to ARTIFICIALLY KEEP INTEREST RATES LOW.  The Feds were to buy 1.25 Trillion in MBS and as of now have bought 1.236 Trillion.

Right now the end of March is about 168 hours away..

With the First Time Home Buyer Tax Credit expiring, the USDA running out of funds in April and the exit of the Feds buying Mortgage Backed Securities; what will happen to AZ FHA Mortgage Interest Rates?

Most Industry Professionals believe we will see them rise.

SOLUTION:  Get a contract on a property and Lock your Arizona FHA Mortgage Loan TODAY!

Reason #2 -

Based on cold hard fact, no speculation at all.  On April 2nd, 2010 HUD will increase the Up Front Mortgage Insurance Premium from 1.75% to 2.25%.  On a $200,000 AZ FHA Mortgage Loan that is an additional cost of $1,500.

Can you avoid that extra $1,500 Fee to HUD?

Yes, but you must move quickly.  The solution is the same as above; write up a contract on a property and have your AZ FHA Mortgage Loan Originator order the FHA CASE NUMBER before April 2nd.  This way, even if you close in May, you will still get in under the lower UFMIP amount.

I’d love to hear your thoughts and comments on these two items.  Given the economic condition of the country, do you think the Feds will EXTEND their purchases of the Mortgage Backed Securities?

Leave your thoughts below..

Apply online for an Arizona FHA Loan and get pre-qualified today. Or click the Get Started tab above, to get started today!

Top 5 Benefits Of Getting An Arizona FHA Mortgage Loan

There are “Top 5″ lists all over the internet so I thought I would create one for the Arizona FHA Mortgage Loan showing the overall Top 5 Reasons people use AZ FHA Mortgage Loan financing over conventional.

Here is my Top 5 List for the AZ FHA Mortgage Loan:

1. A Low Down Payment – AZ FHA Mortgage Loans only require a 3.5% down payment.  And what makes that even more attractive is that it can be a gift from a relative.  Do you have a parent or sibling who would “Gift” you some money for a down payment?  If so, it could be time to apply for an AZ FHA Mortgage Loan.
2. Flexible Credit Qualifying – HUD did NOT set a credit score requirement for qualifying for an AZ FHA Mortgage Loan.  However many lenders in the market today have drafted “Overlays” that set minimum credit score requirements.  Most lenders like to see a minimum 620 credit score, but don’t get discouraged if you are not there yet.  If you are close to 620, it is often just as simple as reviewing your credit to determine how to quickly raise it.  If you are not close to 620, ask your FHA Mortgage Loan Originator if they have a program for you.  Chances are, there is!  Bankruptcies and prior foreclosures do not automatically disqualify you either.
3. The Seller Can Pay Your Closing Costs – That’s right.  You need to have a quality Realtor who will help you negotiate not only the best price for the home, but also that the seller will pay your closing costs.  HUD allows AZ FHA Mortgage Loans to have the seller pay up to 6% of the purchase price.  Sounds good so far, a down payment gift and seller paying closing costs!
4. Flexible Income Qualifying – The standard for income qualifying ratios is 31/43 which means that up to 31% of your monthly income can be used to pay your monthly household mortgage payment; and up to 43% of your monthly income can be used to qualify for ALL monthly expenses.  Those ratios can go up to 55% if you have good credit and a good income history allowing you to qualify when others might not.
5. Qualify Without Your Spouse’s BAD Credit – This is a tricky one but it is also not well known.  You can effectively qualify for an Arizona FHA Mortgage Loan without your spouse’s Bad Credit.  FHA will look at your spouse’s credit but cannot decline your loan due to your spouse’s debt or credit score.  So if you have a spouse with a crummy credit profile, you should take a look at AZ FHA Mortgage Loans to see if it will work for you.

Thanks for reading my list of the Top 5 Benefits of the AZ FHA Mortgage Loan.

I would LOVE to hear your comments or suggestions for this list, so please feel free to leave a comment below.

Apply online for an Arizona FHA Loan and get pre-qualified today. Or click the Get Started tab above, to get started today!

Use An Arizona FHA Loan To Buy A Foreclosure

Have you been looking to buy a home in Arizona?  And use an Arizona FHA Loan to do so?  If so you must have noticed a growing trend in the massive amounts of foreclosures that are on the market and continue to show up on a regular basis.  The Arizona Foreclosures have become a staple market for the AZ FHA Loan First Time Home Buyer.

Realtytrac.com reports that 1 out of every 162 homes in Arizona is in foreclosure.  For home buyers this sounds like it would be a perfect opportunity to pick up a foreclosure property for cheap.

Right?

Arizona Home Buyers looking at getting an Arizona FHA Loan have hit with the ole “FHA Flipping” rule.  The FHA Flipping rule prevented home buyers from obtaining FHA Loan Financing if the person SELLING the property did not own it for more than 90 days.

Why Is This Important

Most Foreclosure Homes in Arizona happen to fall into the price range of the AZ FHA home buyer.  Many of these foreclosures are purchased by investors who make some improvements and repairs so that the house can be brought to market and sold in a good habitable condition AND the seller can make a decent profit.

Imagine for a moment that you have found a home you love, priced well below market value and it had previously been through a foreclosure.  You put an offer in and it is accepted.  Feeling all excited you gather your financial information, review your credit and get everything together that you need in order to apply for the FHA Loan.

You bring your Application Packet to your Loan Originator who reviews it and seems really happy because it has been a very long time since he has seen a borrower put that much effort into putting together a perfect loan application.  Given your credit score and your income, getting the Arizona FHA Loan is a sure thing; right?

Should be… but once the Loan Processor receives the copy of the Chain of Title she sees that the seller has only owned the property 27 days.

Your loan officer calls and explains that FHA Loans are not allowed on homes that the seller has not owned for more than 90 days; AS OF THE DATE OF THE CONTRACT!

Imagine how draining that feels…

But Wait; FHA Does Something Right

FHA has waived the Anti-Flipping rule as of March 1st, 2010.  They have done this to…

“help facilitate the return of repaired and habitable properties on the market in a timely fashion”.

There are some things to keep in mind regarding the waiver of the FHA Anti-Flipping rule:

• It must be an arms length transaction
• If the sales price is more than 20% higher than what the seller paid for it, the repairs made by the seller will need to be documented and justified

So don’t hold back, go ahead and apply for that Arizona FHA Loan now and Let’s Go Shopping!

Apply online for an Arizona FHA Loan and get pre-qualified today. Or click the Get Started tab above, to get started today!

The FHA Streamline Refinance without an Appraisal and without a Credit Score

The FHA Streamline Refinance has changed quite a bit since HUD issued the HUD Mortgagee Letter 09-32.  So we have revised our FHA Streamline Refinance programs for new loans to fit properly and to provide the most benefit to our borrowers.

There are many changes, but there is also some great news about the FHA Streamline Refinance and credit qualifying.

The first update to the FHA Streamline Refinance is that it does not require a credit score for qualifying.  Qualifying for the new FHA Streamline Refinance requires that we provide a current mortgage rating only, no credit scores.  This is important as the vast majority of FHA Lenders are now requiring a minimum of a 640 middle credit score to qualify, even if it is an FHA Streamline Refinance.  I have seen this help families lower their monthly payments dramatically even if the primary borrower has a very low score, such as 540.

The second update is that now the FHA Streamline Refinance requires borrowers to verify their jobs.  And the third change is the FHA Streamline Refinance now requires the verification of assets, if assets are required to close the new loan.

Best of all, the FHA Streamline Refinance can still be done without an appraisal in Arizona as long as the principal balance of the new loan does not increase.

We help families lower their monthly mortgage payments through the FHA Streamline Refinance from Flagstaff to Scottsdale to Tucson to Yuma.  So if you’d like to find out how much you can save, click the Get Started tab above and we’ll let you know right away.

Apply online for an Arizona FHA Streamline Refinance Loan and get pre-qualified today. Or click the Get Started tab above, to get started today!

New FHA Mortgage Calculator

Use it to determine all sorts of mortgage calculations for your Mortgage Loan Arizona financing.

We’ve added a new Tucson FHA Mortgage Calculator that allows you to make the following calculations:

* Calculate your FHA Mortgage Loan payment
* Calculate if you Should Refinance Your FHA Mortgage Loan
* Calculate your FHA Mortgage Principal
* Calculate the Affordability of your FHA Mortgage Loan
* Calculate what happens If You Pay Extra Every Month
* Calculate the Real APR for your FHA Mortgage Loan
* Calculate if you Should Pay Points For A Lower Rate
* Calculate How Much Income You Need To Qualify for an Arizona Mortgage Loan
* Calculate the Financial Benefit of Owning vs Renting
* Calculate what happens if you use a HELOC to pay debts
* Calculate your Tax Benefits of your FHA Mortgage Loan

Come test out the Tucson FHA Mortgage Calculator and tell us what you think.

To find out how much you qualify for today, click here.

Apply online for an Arizona FHA Mortgage Loan and get pre-qualified today. Or click the Get Started tab above, to get started today!