What is happening in the mortgage world this week? I am seeing an increase in people interested in buying their first home. And why wouldn’t they. I just talked to a gentleman who was a veteran (actually a reservist). He didn’t know how good his situation is. He can buy with a 100% VA loan, negotiate for the seller to pay all his cost and move in for zero investment. He was still thinking he should wait (even though the selection of homes for great prices is fantastic and the interest rate near an all time low). He is conservative and wanted to wait and save reserves. Then I pointed out the $8,000 tax credit from the government will take care of that.
I think it is a go!
Phone 615-777-HOME (4663) E-mail george.margrave@migonline.com
Tuesday, February 24, 2009
Friday, February 20, 2009
First-Time Homebuyer Tax Credit - - Free $8,000 !!
Mortgage Investors Group is Tennessee's #1 "First Time Buyer" Lender for 6 Consecutive Years!
1. Effective for purchases on or after January 1, 2009 and before December 1, 2009.
2. Credit of the lesser of 10% of cost of home or $8,000.
3. All principal residences are eligible
4. Reduces (or can eliminate) income tax liability for the year of purchase. Any unused amount of tax credit refunded to purchaser.
5. Income limit is $75,000 ($150,000 on a joint return). Phases out above those caps ($95,000 and $170,000). These numbers are based on adjusted gross income.
6. Purchaser (and purchaser's spouse) may not have owned a principal residence in 3 years previous to purchase.
7. Purchaser may use THDA financing.
8. No repayment for purchases that were made within above timeframe except that entire amount of credit is recaptured if home sold within three years..
Phone 615-777-HOME (4663) E-mail george.margrave@migonline.com
For additional information on the above, please visit website at:
http://www.federalhousingtaxcredit.com/
1. Effective for purchases on or after January 1, 2009 and before December 1, 2009.
2. Credit of the lesser of 10% of cost of home or $8,000.
3. All principal residences are eligible
4. Reduces (or can eliminate) income tax liability for the year of purchase. Any unused amount of tax credit refunded to purchaser.
5. Income limit is $75,000 ($150,000 on a joint return). Phases out above those caps ($95,000 and $170,000). These numbers are based on adjusted gross income.
6. Purchaser (and purchaser's spouse) may not have owned a principal residence in 3 years previous to purchase.
7. Purchaser may use THDA financing.
8. No repayment for purchases that were made within above timeframe except that entire amount of credit is recaptured if home sold within three years..
Phone 615-777-HOME (4663) E-mail george.margrave@migonline.com
For additional information on the above, please visit website at:
http://www.federalhousingtaxcredit.com/
Tuesday, February 10, 2009
Avoid This Costly Mistake
If you've been following the financial news, you've probably heard that the Fed's been buying Mortgage Backed Securities and will continue to do so as needed. Unfortunately, some media outlets have picked up on the news and mistakenly reported that these purchases will continue to cause rates to drop lower into the summer.
But is that really what it means? No.
The truth is, the Fed has been buying Mortgage Bonds. BUT... more precisely, they're buying a lot of FNMA 30-yr 5.0% and 5.5% Bonds. Many of the mortgages in these pools are outstanding home loans with rates between 6.0% and 6.5%, as the rate that a borrower pays is different than the coupon rate given to an investor buying into that mortgage pool, with the difference being taken by Wall Street firms and government agencies. The loans in these pools the Fed is buying hand over fist are likely be refinanced and paid - because current rates make it very attractive to refinance a loan over 6.0% - and thus giving the Fed a quick recoup on some of their investment.
Bottom line: The Fed's purchase of higher rate coupons will not necessarily help rates to move lower, as their actions do not impact the loans being originated at today's low rates.
The Problem Is...
Many consumers are in situations where they can refinance now and save hundreds of dollars a month on their mortgage payments. But when they hear the media throwing around teases of lower rates ahead, they decide to hold off on making the decision to save, in the hopes of gaining a few more dollars of savings per month if a lower rate came their way. Of course, while they're waiting, rates could turn higher - and this window of opportunity could pass them by entirely.
Here's the Clincher.
Even if consumers are ultimately able to time the market perfectly and save another few bucks per month, they could still end up losing. That's because while they delayed, they lost the savings each month they could have gained by taking action sooner. In other words, they may have lost hundreds of dollars for every month they waited. So even if they got lucky and obtained the rate they were looking for, it could take years to make up what they lost by waiting.
I don't want anyone to miss an opportunity by either waiting or misunderstanding the media headline. Let's talk further on this. Call or email me, and let's discuss what this might mean for you.
Mortgage Market Guide
Phone 615-HOME (4663) E-mail george.margrave@migonline.com
But is that really what it means? No.
The truth is, the Fed has been buying Mortgage Bonds. BUT... more precisely, they're buying a lot of FNMA 30-yr 5.0% and 5.5% Bonds. Many of the mortgages in these pools are outstanding home loans with rates between 6.0% and 6.5%, as the rate that a borrower pays is different than the coupon rate given to an investor buying into that mortgage pool, with the difference being taken by Wall Street firms and government agencies. The loans in these pools the Fed is buying hand over fist are likely be refinanced and paid - because current rates make it very attractive to refinance a loan over 6.0% - and thus giving the Fed a quick recoup on some of their investment.
Bottom line: The Fed's purchase of higher rate coupons will not necessarily help rates to move lower, as their actions do not impact the loans being originated at today's low rates.
The Problem Is...
Many consumers are in situations where they can refinance now and save hundreds of dollars a month on their mortgage payments. But when they hear the media throwing around teases of lower rates ahead, they decide to hold off on making the decision to save, in the hopes of gaining a few more dollars of savings per month if a lower rate came their way. Of course, while they're waiting, rates could turn higher - and this window of opportunity could pass them by entirely.
Here's the Clincher.
Even if consumers are ultimately able to time the market perfectly and save another few bucks per month, they could still end up losing. That's because while they delayed, they lost the savings each month they could have gained by taking action sooner. In other words, they may have lost hundreds of dollars for every month they waited. So even if they got lucky and obtained the rate they were looking for, it could take years to make up what they lost by waiting.
I don't want anyone to miss an opportunity by either waiting or misunderstanding the media headline. Let's talk further on this. Call or email me, and let's discuss what this might mean for you.
Mortgage Market Guide
Phone 615-HOME (4663) E-mail george.margrave@migonline.com
Tuesday, February 3, 2009
No Credit Score?
Not all consumers will qualify to have a credit score. Their credit files might not have enough information to generate a credit score with the credit scoring models. This is often called a “thin file.” In order to be “scoreable,” your credit reports need to meet three minimum qualifications:
** You must have at least one account that has been open for 3 months or more. This is determined based upon the listed opening date of the account. Remember, you only need one of these accounts.
** You need to have at least one account that has been updated within the last 6 months. This is determined based upon the date reported to the credit bureaus.
** Your credit files can’t have any sort of “deceased” indicator on them. If you have a joint account with someone who passed away, it is possible that the lender will report the account as belonging to a deceased person. And if you’re a joint holder of the account, that notation can show up on your credit reports too. If it does, you won’t be able to be scored
All consumers are entitled by law to a free copy of their credit reports each year. You may wish to pull your credit reports to verify that the information in your credit files at TransUnion, Equifax, and Experian are accurate. To do so, go to http://www.annualcreditreport.com/ to pull your credit reports for free - once every 12 months. After you pull your credit reports, the site should provide you with contact information directly to the individual credit bureau in question. Please note that annualcreditreport.com does not provide you with your credit scores.
http://www.credit.com/answers/questions/34/No+Credit+Score%3F
Sent by Jennifer Hamby
P.S. I am willing to help with learning or improving our client’s score. Just give me a call at 777- Home (4663) or e-mail at george.margrave@migonline.com. Also It is still possible with a couple of government programs to get a loan without a credit score. However we can’t do it with a Fannie Mae or Freddie Mac loan which means you will have to have mortgage insurance no matter how much you put down. For that reason I believe folks in our time need to maintain credit records which is contrary to the advice of some of our financial gurus of today.
** You must have at least one account that has been open for 3 months or more. This is determined based upon the listed opening date of the account. Remember, you only need one of these accounts.
** You need to have at least one account that has been updated within the last 6 months. This is determined based upon the date reported to the credit bureaus.
** Your credit files can’t have any sort of “deceased” indicator on them. If you have a joint account with someone who passed away, it is possible that the lender will report the account as belonging to a deceased person. And if you’re a joint holder of the account, that notation can show up on your credit reports too. If it does, you won’t be able to be scored
All consumers are entitled by law to a free copy of their credit reports each year. You may wish to pull your credit reports to verify that the information in your credit files at TransUnion, Equifax, and Experian are accurate. To do so, go to http://www.annualcreditreport.com/ to pull your credit reports for free - once every 12 months. After you pull your credit reports, the site should provide you with contact information directly to the individual credit bureau in question. Please note that annualcreditreport.com does not provide you with your credit scores.
http://www.credit.com/answers/questions/34/No+Credit+Score%3F
Sent by Jennifer Hamby
P.S. I am willing to help with learning or improving our client’s score. Just give me a call at 777- Home (4663) or e-mail at george.margrave@migonline.com. Also It is still possible with a couple of government programs to get a loan without a credit score. However we can’t do it with a Fannie Mae or Freddie Mac loan which means you will have to have mortgage insurance no matter how much you put down. For that reason I believe folks in our time need to maintain credit records which is contrary to the advice of some of our financial gurus of today.
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