Five Things Your Clients Should Know about FHA Loans

Here's another fabulous post written by one of my favorite Mortgage Lenders, Stephanie Stringer. Stephanie has been assisting people accross Texas for over 15 Years with their Home Financing and is experienced with FHA, Conventional, Home Equity and VA Loans. *You can contact Stephanie directly at Direct: (214) 382-5632 or SStringer@mortgagexloan.com


Many Americans take advantage of FHA loans when purchasing a home.  FHA loans have been around since 1934.  FHA loans are mortgages issued by qualified lenders and insured by the Federal Housing Administration (FHA).  With the ever changing mortgage industry, FHA loans are becoming more popular than ever.  Here are a few facts you should know about FHA.
FHA Loans Are Not Only for First Time Home Buyers.  FHA loans are for everyone and not just the first time home buyers.  You could be on your forth home and still get a FHA loan.
FHA Loans are NOT only for the Lower Income Borrowers.  FHA loans are available to all ranges of income.  There are no maximum income limits when doing a FHA.  Just like any mortgage loan all income documentation must be submitted for qualification purpose.  
FHA Loans Are Not just for the Smaller Purchases.   Depending on the area you are looking to buy, FHA loan amounts can go up to $800,000.  The loan amount all depends on the county in which the buyer is looking to buy.  For the loan amounts for your county you can visit the HUD website(click here) or contact your local lender for details. 
FHA Loans are Usually more Affordable than Conventional Loans.  Rates on FHA are typically lower than a conventional loan.  Especially on the minimum down payment of 3.500% loans.  If you compared the two types of loans with the lower down payment, FHA will always have the better rate between the two.  In today's market, rates are tiered based on loan product, down payment, and credit scores. 
FHA Loans Are Assumable.  FHA Loans are assumable and Conventional Loans are NOT!  What this means is when a seller with an FHA loan sells his or her property, the loan and it's RATE can be transferred to the new buyer.  Of course the potential buyer must meet the lenders credit criteria.  Having an Assumable rate when you go sell the property is BIG Selling Tool.  Your listing agent will promote in MLS that you have an Assumable loan which means that your property will be more valuable in time when rates rise.  Example, if your current FHA loan is at 4.000% and you go sell five years from now and the rate is 10.000% as long as the potential buyer meets lenders requirements the buyers get that rate.  This would for sure make your house more marketable than the one down the street.
As you can tell from the Five Items listed above, FHA Mortgages can be Attractive to ALL buyers. 

Here's a simple and to the point blog written by one of my trusted Lenders, Stephanie Stringer, about Understanding a Texas Title Commitment when buying a home. Stephanie has been assisting people accross Texas for over 15 Years with their Home Financing and is experienced with FHA, Conventional, Home Equity and VA Loans. 

Via Stephanie Stringer-Mortgage Loan Officer for 15 Years. NMLS ID #246495 (Interlinc Mortgage Services LLC TX Mtg Banker NMLS ID 205696)

Now that the contract has been signed and the earnest money has been receipted, now it's time for the title company to start their research.  The title company will start examining the property in order to be able to issue title insurance.  Usually within a week or so, the commitment would be mailed to you.  Now what?  You got about 15 sheets of paper from the title company with lots of writing on it.  What does it mean to me as the potential buyer?                                                                                                                                  

The title commitment is a commitment to issue title insurance.  The title commitment is broken down in schedules.  These schedules include A, B, C and D.

Here are the ABC's of TITLE....

Schedule A:  On this schedule it will listing the existing owners and the proposed buyers names, along with the legal description of the property.  The sales price and the name of the lender will be listed as well. 

 Schedule B:  This is the buyers notification area of any utility easements and building setbacks.  A utility easement is where the utility company has the right to come on your property and dig in that certain area to work on utilities.  Utility easements are very common.  Also, within this schedule is where you will find exceptions to the title policy.  If there are any noted in schedule B they will not be covered by the title insurance.

 Schedule C:  Lists of unpaid liens.  Items that must be cleared up so title company will cover the risk or refuse to issue a policy.  Common unpaid liens are the existing mortgage loans, unpaid taxes, unpaid HOA dues and martial status disputes that are held on title.  The title company will work hard to make sure these liens are satisfied so they can convey clear title.

Schedule D:  In this last section you will see who will be collecting parts of the title premium and how much is being collected.

If you still have any additional questions regarding title commitments in Texas, you can contact Stephanie at 972-382-5638 or SStringer@mortgagexloan.com

Dallas TX Lake Front Homes , Lake Ray Hubbard TX, September 2011 Market Update

Are you looking to buy a LAKE FRONT home on LAKE RAY HUBBARD in Dallas County or Rockwall County?!? Well if you are, you couldn't have picked a better time to buy! Homes are holding strong in Lake Ray Hubbard area and with the current crazy low Mortgage Rates, YOU're bound to get a WIN-WIN!


LAKE RAY HUBBARD is bordered by 4 Cities, Garland TX, Rowlett TX, Rockwall TX & Heath TX. All cities are just minutes from major Highways/Tollways, making the commute to Dallas ~20-40mins, are close to Shopping, Restaurants, & are packed with Family Fun Activities! The cities that border Lake Ray Hubbard are divided into the Eastern Side of the Lake with Garland & Rowlett and the Western Side of the Lake being Rockwall & Heath.  


View Larger Map
To see a compiled a list of houses that are currently on the Market in the 4 cities that border the beautiful LAKE RAY HUBBARD and are actually ON THE LAKE, click on the links below. 


*GARLAND TX & ROWLETT TX (Dallas County) ~ Lake Front Homes on Lake Ray Hubbard

• Garland, TX  ... There are 4 lake front homes that range in price from $219,900 for a 3bd/2bth 2625sqft house, to, $349,900 for a 4bd/2bth 2,935 sqft house.
• Rowlett, TX  ... There are 11 lake front homes that range in price from $175,000 for a 4bd/2.1bth 2,578 sqft house, to, $1,700,000 for a 4bd/4.1bth 4,700sqft house.

*ROCKWALL TX & HEATH TX (Rockwall County) ~ Lake Front Homes On Lake Ray Hubbard

• Rockwall, TX  ... There are 6 lake front homes that range in price from $359,000 for a 4bd/3.1bth 2,820sqft house, to, $1,995,000 for a 5bd/4.3bth 8,112sqft house.   
•  Heath, TX  ... There are 12 lake front homes that range in price from $349,000 for a 3bd/2bth 2,064 sqft house, to, $3,770,000 7bd/5.2bth 10,000sqft house. 

Would you like more information on any of these homes? ... OR ... Do you need a Realtor that specializes in the LAKE RAY HUBBARD area?  Call or Email me today! 

For more information on LIFE in the the LAKE RAY HUBBARD area, visit the frequently updated Lake Ray Hubbard Life website & "like" it on FaceBook.

Whether selling or buying, today's complex real estate market requires a professional who can structure a transaction to benefit all parties involved and meet their needs. Let me know how I can serve you or your referrals ... because NOW really is a GREAT time to BUY!

How to Make Your House Stand Out, Dallas TX

IF you had a 3.5% mortgage on your current home and were buying another home, transferring your low interest rate mortgage WOULD be ideal. Unfortunately, lenders don't allow that.

BUT, here's a fabulous idea & another PLUS to buying a home today ...
IF you purchase a home with a FHA or VA loan, the present advantages are that these loans are priced competitively and are a little easier to qualify for than conventional loans, not to mention rates are crazy low right now!  The Future Advantage is that FHA and VA loans are ASSUMABLE at the original note rate for qualifying buyers.


There's more to sell than the home itself when you have an Assumable Loan. How so you ask???  For one, the mortgage payment for the potential buyer could lower their cost of housing significantly. Secondly, it could help grow the equity faster in the house for the potential buyer.

When Buying a Home Today, it would be smart to Think About Selling it in the Future. To have a good home with unique features makes it marketable. To have attractive financing that could be assumed would add to it's salability! Below is an example of how an Assumable Loan makes a difference. If you have more questions about how this works or are interested in Buying or Selling a home, please contact me ... I'm here to help, refer you to someone who can (lenders, ect), and would love to work with you or your referrals!

Get Ready Dallas,TAX FREE SHOPPING Weekend is Here, Aug 19-21, 2011

It's here ... It's here ... TAX FREE SHOPPING WEEKEND!!!

That's right ... there is NO Sales Tax my fellow Texans on a good number of items this weekend, Aug 19th-21st! This "shopping holiday" comes just in time for most Dallas/Ft Worth families as a majority of area schools around the DFW Metroplex First Day of School is Monday 22nd.

In this economy, we've all learned to really stretch the dollar and Back to School Shopping is no exception! In addition to getting items without paying the 8.25% Sales Tax, many stores are offering Special Sales and Coupons. So channel your inner Extreame Couponing fabulous~ness and 

• Plan out your School Supply/Clothes Shopping for the year, or as much as possible 
• Partner Coupons & additional Store Sales to really get more bang for your buck all while Not Paying TAXES
• Don't do all your shopping in 1 store ... buy the deals at the store then move on to another store and buy their deals. Yes, this means your going to have to do a little "recon" 

So just WHAT is on the TAX FREE SHOPPING LIST? More than you'd think! Baby & even Adult Diapers, School Supplies, Computers, Pajamas, & even Neck Ties! Unfortunetely, most sporting items like football cleats, volleyball knee pads, ect are NOT included in this Tax Free Shopping Holiday. Click here to see the what is and isn't included on the TAX FREE SHOPPING LIST. 

Oh, and 1 more thing, NO, you don't need to take your kid shopping with you or fill out any forms proving you have kiddos. However, just make sure you don't pay with a Company Credit Card or Company Check.

BACK TO SCHOOL Dallas/Ft Worth

The First Day of School for many of the School Districts in the Dallas/Ft Worth area is Monday, August 22nd!

The Cheers of Parents are growing to a roar and 

The Boos and Tears of Children are escalating day by day.

Are you a Parent with a child in the Garland ISD? If so, here are a few informative articles about GISD that will help gear you up for the 1st Day of School.

• GISD 2011-12 School Schedule & Calendar
• GISD School Dress Code / Uniform
• GISD 2011-12 School Supply Lists

Do you have children attending the Rockwall ISD? If so, here are a couple of info packed articles to make sure you're ready to rock the 1st Day of School!

• RISD 2011-12 School Schedule & Calendar
• RISD 2011-12 School Supply List

Are you a Parent of a McKinney ISD student? If so, here are 3 great articles about the MISD that you'll be glad you read. They're packed with useful information from my fellow D+B Realtor, Friend, & McKinney ISD Mamma, Kim Daugherty.

•  McKinney ISD launches misdGo! (aka - Your Own MISD 911 Resource on your PHONE!)
• McKinney ISD - Back to School - Start Times 2011-2012 - Don't Be LATE!!
• It's Back to School Time in Texas! McKinney ISD 2011 - 2012 School Supply Lists!

What is Home Equity Dallas TX?!?

OK ... so really, What the heck is EQUITY and Why is it Important?!?

Equity is simply the difference in an owner's unpaid balance and the value of their home.  Amortization and appreciation contribute to the equity over time.  The equity is usually realized when the home is sold but it can also be accessed by a home equity loan or a cash out refinance.

Most people think that it takes years to significantly pay down a mortgage and they're partially correct.  A five percent interest rate on a mortgage takes approximately 20 years to pay down half of the original amount borrowed.

A mortgage is like a forced savings account because each payment is first applied to the interest due on the borrowed money but another part pays down the principal.  On a $188,175, 5%, 30 year mortgage, the first payment of $1,010.16 includes $226.10 principal reduction.  In the first year, the owner would have increased the equity in their home $2,776.24.

 

As an example, if the buyers paid $195,000 for a home that is estimated to appreciate only 1% per year for 7 years.  With a 3.5% down payment, the equity in the home at the end of 7 years would be $41,921.  55% of the equity would come from amortization; 29% would come from appreciation and 16% from the down payment.

If you'd like to get more information on Equity & how Owning a Home can be YOUR Savings Account, contact me to discuss further. I also have great Lenders who have a fabulous wealth of information to share on the subject.