As a borrower it may be a bit more difficult to obtain FHA financing in 2010. Today the FHA announced a series of changes to the FHA insured mortgage program aimed at increasing home ownership in underserved neighborhoods. The program has become the most widely used program for first-time buyers or move up buyers with down payments less than 10%.
Ok, so Taylor, Bean and Whitaker has officially announced the ceasing of all origination operations. If you are a Realtor, please make sure you're clients are placed somewhere else quickly. Again, none of my loans in process are being underwritten by Taylor Bean.
Yesterday FHA announced it's suspension of Taylor, Bean and Whitaker's FHA origination. The action came after Taylor Bean failed to file required annual financial reports. Although FHA will allow Taylor Bean to appeal it's action within 30 days, the Government National Mortgage Association (GNMA) has immediately terminated Taylor Bean's registration with it's MBS pools. Taylor Bean has been a primary outlet for manufactured homes and HUD's FHA 203k rehabilitation loan.
Have you wanted to buy a home and finance-in some improvements? Well now is your chance! For years the department of Housing and Urban Development (HUD) has offered the FHA 203k FHA rehabilitation program. As the mortgage industry expanded in the early 2000's FHA simply became less desirable as other lenders offered programs that were more affordable. However, we now stand in a market heavily saturated with FHA loan applications.
FHA has increased loan limits yet again. The 2008 stimulus raised our loan limits in Marion and Polk counties, but when 2009 hit we saw them go down to the previous levels. It took the passing of the new stimulus to get them back up. So at this point (and I say that because this industry is ever-changing), the maximum loan limit in Marion and Polk county is $295,000. With a minimum down payment of 3.5% the maximum purchase price will be $305,699.
As we have seen the mortgage industry change in 2008, the FHA home loan has become increasingly popular. The program offers a great opportunity for purchase with little money down and a refinance with great rates.
A couple of weeks ago I mentioned the FHA minimum down payment would be changed to 3.5% effective October 1, 2008. The Department of Housing and Urban Development (HUD) has postponed the change to FHA minimum down payment until January 1, 2009. So for now, the down payment remains at 3%.
2008 has brought a significant amount of changes to the mortgage business. We have seen banks tighten up lending patterns by eliminating high risk programs and adjusting guidelines. With banks veering far from the traditional style of underwriting for mortgages the necessity for change has been needed for quite some time.
Today the Federal government announced a rescue plan after a historic week in our financial markets. Earlier in the week Lehman Brothers declared bankruptcy, Merrill Lynch was sold, and AIG was bailed out by the government. Central banks from around the world poured hundreds of billions of dollars into the banking system in hopes to calm the storm. Despite the surge of news and volatility in the financial markets this week, mortgage rates had little change.
As a borrower it may be a bit more difficult to obtain FHA financing in 2010. Today the FHA announced a series of changes to the FHA insured mortgage program aimed at increasing home ownership in underserved neighborhoods. The program has become the most widely used program for first-time buyers or move up buyers with down payments less than 10%.
Yesterday FHA announced it's suspension of Taylor, Bean and Whitaker's FHA origination. The action came after Taylor Bean failed to file required annual financial reports. Although FHA will allow Taylor Bean to appeal it's action within 30 days, the Government National Mortgage Association (GNMA) has immediately terminated Taylor Bean's registration with it's MBS pools. Taylor Bean has been a primary outlet for manufactured homes and HUD's FHA 203k rehabilitation loan.
Have you wanted to buy a home and finance-in some improvements? Well now is your chance! For years the department of Housing and Urban Development (HUD) has offered the FHA 203k FHA rehabilitation program. As the mortgage industry expanded in the early 2000's FHA simply became less desirable as other lenders offered programs that were more affordable. However, we now stand in a market heavily saturated with FHA loan applications.
