Down Payment Assistance Programs For NC Residents!

Buyers,

Here is a great chart from the Raleigh Regional Association of REALTORS® that will help you understand the North Carolina Housing Finance Agency (NCHFA) down payment assistance  programs and eligibility requirements.    Check out our preferred partners webpage for Mortgage Consultantswho are registered with NCHFA.

Please note that this chart only highlights the programs, consult a certified mortgage broker for full details.  July 2009

 

NCHFA Loan Program	DAP (Downpayment Assistance Program)   $8,000, 0%, 30 year deferred 2nd mortgage.   Requires $1,000 borrower investment of own funds.	DAP (Downpayment Assistance Program)   $4,000, 0%, 30 year deferred, 2nd mortgage   Requires $1,000 borrower investment of own funds.   Limited number of loans – 125 (e) Minimum credit score – 700 Maximum qualifying ratios – 31/43%	NHLP (New Homes Loan Pool) Up to $25,000 or 20% of sales price (whichever is less); +$4,000 for energy efficiency retrofits.   Requires $750 borrower investment of own funds.   Can include $8,000 statewide feature for a $37,000 maximum 2nd mortgage.
Areas Served	Statewide	Statewide	48 non-profit approved organizations; borrower applies through non-profit organization. See www.nchfa.com for full list of non-profit organizations and areas served.
Eligible 1st Mortgage Loan Types	NCHFA FirstHome Mortgage ProgramLoan Types:  FHA, VA, USDA & Conventional	NCHFA FirstHome Mortgage Program  Loan Types:  FHA, VA, USDA	NCHFA FirstHome Mortgage Program or Lender Programs Loan Types: FHA, VA, USDA & Conventional
Sale Price Limits	$210,000 new or existing construction.	$210,000 new or existing construction	New Construction: FHA 203(b) loan limit
Income Limits	80% or less of area median income; varies based on county and household size.	NCHFA FirstHome Program Limits: 1st mortgage limits (approximately 100 – 115% of area median income based on family size)	80% or less of area median income; varies based on county and household size.
Eligible Borrowers	First-time homebuyer requirement:  Yes (has not owned a home last 36 months)	First-time homebuyer requirement: Yes   (has not owned a home last 36 months)	First-time homebuyer requirement:  Yes(has not owned a home last 36 months)

Need to Know Information for Buyers!!

Buyers,

It is important for you to know about the changes in the Housing and Economic Recovery Act (HERA) regulations.  It may alter your closing date!!  Read the key highlights below or click here for full details.

Effective July 30, 2009 is a new regulation that will require all mortgage lenders to provide a Truth in Lending Statement (TIL) to their borrowers at least seven business days before the closing.  Closing documents can not be signed any earlier than the seven days after the first TIL has been provided.

If there are any changes to the loan that affects the annual percentage rate (APR) or the APR calculation (discount points, lender fees, attorney fees, etc.) then a new TIL statement must be provided to the Buyer with a 3 day wait period before the loan closing. 

Click here for the Press Release from the Federal Reserve System.

Information to have on hand for the Affordable Home Program

Hi Friends,

 

We are passing along some valuable information on the Home Affordable Initiative. If you feel like you have a friend, family member or co-worker who might benefit from this program during these difficult economic times, then use the list below from Debbie Sheets with SunTrust as a resource for getting started. Please know that any lender can do a Home Affordable Initiative Loan also known as a DU Refi Plus.  Loan modification’s where the homeowner is currently delinquent and/or experiencing hardship must be done by their specific loan servicer. 

 

Items to Gather for Home Affordable Initiative Loan

 

·         2 recent pay stubs for all persons currently on the loan

·         2008 federal tax return, all pages & schedules for all persons currently on the loan

·         Type of property (manufactured, townhouse, condominium, etc…)

·         Do you have a second mortgage or home equity on the home?  If so provide a copy of the most recent statement.  We need this information regardless of balance.

·         Do you have Mortgage Insurance on your loan? 

·         Do you currently occupy the home as your primary residence?

·         If SunTrust does not service your loan please provide the name of your servicer as well as their customer service contact number.

·         Have you been more than 30 days late within the last 12 months on your primary or secondary mortgage?

·         Do you have additional mortgages outside of the ones on your primary home?

·         Go to www.suntrustmortgage.com/dsheets & apply on line.  For any items you do not know just enter “Do not know”.  I will call you to fill in the blanks.

 

Please write the answers to your questions on this document & return fax to 1-866-458-2942 along with all requested documentation.  You do not need a cover page. 

 

SunTrust Mortgage will begin to review applications for the Home Initiative Loan beginning April 4, 2009.  Prior to that date we are unable to give you an answer as to qualification or approval. 

 

Applicants who return all the above documentation & complete an application on-line will be considered on a first come first serve basis.  If information is missing you will be contacted.  The review process begins once we have all information.  This process allows us to help as many people as possible.

  

Debbie Sheet, Mortgage Consultant

Debbie.Sheets@suntrust.com

919-616-2868 or 252-756-3912

 

 

Loan Modification & Foreclosure Help for Raleigh Area

Loan Modification & Home Affordable Program

 

If you are trying to make your home mortgage affordable, behind on payments or even facing foreclosure, then consider reviewing the information below about Obama’s Home Affordable Program.  On April 4^th many mortgage service providers like SunTrust and Wells Fargo will begin reviewing applications for the affordable initiative.  Here are some highlights of the programs:

 

Loan Refinance Program:

 

Under this program homeowners can refinance home loans that Freddie Mac or Fannie Mae own or guarantee.  The program can help people who are currently making their loan payments, have stable income and have a higher loan to value ratio due to declining market values.

 

If you don’t know if you have a government sponsored loan (GSE) then call or visit:

 

• 1-800-7FANNIE or www.fanniemae.com/homeaffordable
• 1-800-FREDDIE or www.freddiemac.com/avoidforeclosure 

Loan Modification Program:

 

This program allows loan modifications for homeowner-occupants who are having a hardship, in default or close to defaulting on their loan. The entity that services the loan must be the one to preform the modification, especially if you are in default. So contact your lender to start the process.

 

Visit our special blog posting for information to have on hand for when applying for the Affordable Program.

Visit this site http://makinghomeaffordable.gov/  for more information about eligibility and program details.

FHA Limits Since Recovery Act

Some Counties FHA limits have increased since the Recovery Act.  Here they are:

Wake: $295,000

Durham: $334,650

Johnston: $295,000

Franklin: $295,000

Pittsboro: $271,050 (no change)

Granville: $271,050 (no change)

Update on First Time Home Buyer Tax Credit & the Stimulus Deal

Hi All,

I just wanted to provide you with a little update regarding the first time home buyer tax credit (FTHB) program and how it affects you as a home buyer.  As reported today in the Wall Street Journal, Congress’ stimulus proposal does include a revision of the FTHB tax credit.  Here is how it could benefit you:   

 

“The proposal would eliminate the repayment requirement for first-time home buyers, and raise the credit to $8,000 from $7,500. However, Congressional aides cautioned that the credit’s size was still subject to negotiation.” (Source WSJ)

 

So, this is some very good news for you as a home buyer.  If you are still considering purchasing a new home this Spring or Summer, contact your Lender or CPA about the tax credit qualifications. We are seeing listing activity increase within our RE/MAX United office, so fresh houses are coming onto the market for the Spring shopping season!  It is still a Buyer’s market with some very motivated Sellers and Builders!  Take advantage of both of these great opportunities to help you get into your first home.

 

Fannie & Freddie Change the Appraisal Process for Buyers

Fannie Mae and Freddie Mac Change the Appraisal Process

Freddie Mac and Fannie Mae will implement a revised Home Valuation Code of Conduct beginning May 1, 2009. In an attempt to increase the reliability of appraisals, the revised code builds on existing seller-servicer guidelines and will apply to lenders that sell single-family mortgage loans to Fannie Mae and Freddie Mac.

One major difference in the code is that lenders will be required to order appraisals from one central clearing house, which will in turn select an appraiser. The down side of such a process is that lenders will have little to no communication with the appraiser, which means there won’t be an opportunity to have a discussion or touch base with appraisers before they go out to appraise the house. The new code is intended to help assure that borrowers, home buyers and secondary mortgage market investors receive fair and independent property valuations.

In some areas, lenders have already implemented these changes, and in the next few weeks and months, more will have to begin the process.

For more information contact Debbie Sheets, SunTrust Mortgage

Debbie.Sheets@SunTrust.com

SunTrust Mortgage

(o)  252-756-3912

(m) 919-616-2868

(f)  866-458-4942

 

 

 

 

 

FHA Limits Decrease for Wake County

Just a little FYI on FHA mortgage limits…

 

Effective January 1, 2009 are new FHA mortgage limits for Wake County. The new limit is now $271, 050 for Wake County.

 

WAKE

183

NC

$271,050

 

First Time Home Buyer Tax Credit Update

If you are following the First Time Home Buyer Tax Credit program we have great news!  

The $819 billion stimulus packaged passed by the House on Jan. 28 would eliminate a requirement that the $7,500 tax credit for first-time home buyers be repaid over a period of 15 years.  We will update our blog as additional details are released. 

Raleigh: Fix Housing First – Proposed Home Buyer Tax Credit

Friends,

For those of you considering a home purchase over the new few months, you might be interested in this proposed stimulus package. It differs greatly from the first time buyer tax credit.

 The National Association of Homebuilders has representatives in Washington DC pressing for passage of a proposed bill, “Fix Housing First”.  Here are two summary points to their proposal:

 (1)  The federal government would offer a tax credit of between $10,000 and $22,000 (depending on locale) to anyone closing on the purchase of a home, new or resale, by December 31, 2009.  The credit would not have to be repaid, which is a major upgrade from a tax credit passed last summer; and

 (2)  The government would provide a federally-subsidized 30 year fixed rate mortgage of 2.99 for all home purchases, new and resale, closing by June 30, 2009.  After that, the rate would be 3.99 for purchases closing by December 31, 2009.

Watch the featured video from the National Association of Homebuilders via our VodPod on the right side of the blog or visit Fix Housing First.  If you want to support this effort, then take action and tell Congress by emailing your Senators today.