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Closer Look at the VA Funding Fee

The VA Funding Fee is a government fee applied to every VA purchase and refinance loan in Utah. This fee goes directly to the Department of Veterans Affairs to help cover losses and keep the loan guaranty program running for future generations of military homebuyers. The fee changes depending on several factors, including the nature of the borrower’s service, whether the borrower has used the benefit before, the type of loan and whether there’s a down payment. Borrowers with service-connected disabilities and select others might not have to pay it at all. Let’s take ...

December 4th, 2018 | VA Loans, Loan Programs, Closer Look at the VA Funding Fee

VA Loans - Residual Income Requirements

For eligible active-duty service members, veterans and surviving spouses, the VA loan is a really good deal if you’re looking to buy a home in Utah. Its benefits include a 0% down payment and a funding fee that can be paid at closing or rolled into the loan instead of mortgage insurance. You may be familiar with the fact that lenders take a look at your monthly debt payments in order to help determine how much house you can afford. However, VA loans also take into account the concept of residual income. Before we get to that, let’s touch on the basics.   What&...

December 1st, 2018 | VA Loans, Loan Programs, VA Loans - Residual Income Requirements

Fed Chair Powell, a Prince to the Markets

"This is what it sounds like when doves cry"... Prince We heard "doves cry" this week when Fed Chairman Jerome Powell spoke in NYC on Wednesday. Doves are people who offer peaceful polices, so upon Mr. Powell's soothing speech both Stocks and Bonds moved nicely higher, with home loan rates hitting their best levels in nearly two months. Some of Mr. Powell's market-comforting words included: We know that moving too fast (hiking rates) will risk expansion It may take a year or more to fully realize the effects of hikes The Fed doesn't see "d...

November 30th, 2018 | Mortgage News, Fed Chair Powell, a Prince to the Markets

What Are Seller Concessions?

The dance between home buyer and seller is a tricky one. Although it might seem like a match made in heaven – one person wants to buy a house, the other has a house to sell – there are a lot of factors that go into whether a sale will be successful or not. One such factor is the seller concession. If you’re looking for a home, seller concessions can be a way to lighten the load of all the loan costs you’ll have to deal with as a buyer. However, approach with caution, as not all sellers are amenable to concessions, and asking for them could sour your deal....

November 29th, 2018 | Home Buying or Selling, What Are Seller Concessions?

4 Documents You Need for Mortgage Pre-Approval

Getting a mortgage pre-approval is a smart step before you go out looking for a home. A pre-approval letter shows sellers that you have already proven to a mortgage company that you have the income and down payment to qualify for a mortgage loan. This allows sellers to take you seriously, especially in a hot seller’s market. Pre-approvals can be quick and painless if you have the right documents lined up. While each mortgage lender may require slightly different paperwork, there are at least four documents that almost all mortgage brokers will need.   Income and Employmen...

November 28th, 2018 | First-time Homebuyers, Home Buying or Selling, 4 Documents You Need for Mortgage Pre-Approval

FHFA Announces Maximum Conforming Loan Limits for 2019

Fannie Mae and Freddie Mac Baseline Limit Will Increase to $484,350 Washington, D.C. The Federal Housing Finance Agency (FHFA) today announced the maximum conforming loan limits for mortgages to be acquired by Fannie Mae and Freddie Mac in 2019.  In most of the U.S., the 2019 maximum conforming loan limit for one-unit properties will be $484,350, an increase from $453,100 in 2018.  Baseline limit The Housing and Economic Recovery Act (HERA) requires that the baseline conforming loan limit be adjusted each year for Fannie Mae and Freddie Mac to reflect the change in the ave...

November 27th, 2018 | Conventional Loans, Mortgage News, FHFA Announces Maximum Conforming Loan Limits for 2019