Did You Know that You Can Qualify for a USDA Loan Texas?
Today we’re gonna talk about FHA and USDA Loan in Texas for the year, 2019 and Here’s What You Need To Know.
And we’re getting started right now!
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This is USDALoanInfoTexas.com, a top Mortgage Advisor with USDA Loans in Texas and Mortgage Lenders in the state of Texas.
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FHA loans & USDA Loans in 2019 what you need to know.
Buying a house with an FHA loan or refinancing to FHA loan could be very very advantageous.
There’s a lot of good points to the FHA loan and I’ll go over just a few of them.
First and foremost, it only requires three and a half percent down payment I know I saw a study almost 3/4 of people think you need 20% down.
But for an FHA loan you only need three and a half percent down.
The FHA loan is a very good loan because I came about, you know, in the ’30s after the crash of ’29, and back in those days people had to put down at least 50% of the property have a balloon payment so it really cornered off how many people can actually buy a house so this allowed more buyers to buy more real estate that’s why we kinda have the robust market we have today.
So again 3.
5% down lower FICO scores you can go as low as 500 FICO some lenders will go down that low from 500 to 579 is 10%down whereas a 580 or above the only 3.
Also since it is FHA is insured, you know since you paid a funding fee and mortgage insurance you know that’s one thing you pay for it allows for very low interest rates so compared to conventional vs FHA your interest rate will be lower because the the risk to the lender is insured with FHA mortgage insurance.
Also FHA loans will allow a higher debt to income limit so I’ve had some FHA loans go as high as 56% so uh you know usually at 43 45 was that was the cut off what a lot of lenders will have an overlay for that.
We go all the way for as long as we can get approval.
So I’ve had a lot of FHA loans that are you know over 50%that would have never gotten approved anywhere else but our company so that’s one thing.
Some of the drawbacks about FHA loans, they do require, you know, there’s some property requirements, you know , they you know, and they’re not as big as as you would think.
They just require have it be livable like you can have have any wood rod or anything of that nature of their owner-occupied only so you do not for fixer-uppers so but there is an FHA program for fixer-uppers called the 203K.
You know we’ll go over that in a different different conversation so but for a normal FHA loan you have a new good property requirements it’s good for you as the buyer because you can have a lower FICO lower down payment things like that.
FHA loans allow for all gift funds I’ve had some FHA loans where my client got a grant from the city and they paid like a hundred dollars they’re actually paid nothing at closing because we funded the appraisal and they paid nothing.
So you know FHA loans allow some some very creative financing options if you want to learn about your FHA loan scenarios you know give me a call or go to usdaloaninfotexas.com
Put in your info and I’ll get back in contact with you and as always you want to learn more about mortgages at the home buying process.
Hey Mark Albert here, so glad you're withme today.
Today for the very first time on my youtube channel I get to discussfake news.
I love it.
So pay attention it's gonna be prettyexciting.
Private lenders stress test.
This is new and it's unsubstantiated.
At least five or six syllables.
Let me tell you if you know how manysyllables in that word please write down below so I tried to figure out that fiveor six words syllables.
Fake is one syllable.
News is one syllable.
This isfive or six.
Its unsubstantiated and we're gonna look at that together.
First of all lenders in Canada there's three categories.
There's A lenders, Blenders, C lenders.
A lenders where you get your best rate you need your best creditscore.
Need at least six hundred fifty credit score.
You can do that at fivepercent down with an A lender, any of the big banks and many other lenders thataren't part of the big bank series.
B lenders, if you can't qualify with an A lenderyou got to go to B lender.
Credit score you can get away with under six hundredwith some of them.
But you gotta put 20% down.
A little easier to get in to qualify based on stress test but you gotto put a bit more down.
C lenders, that is where you're talking privatemortgages.
So from a credit standpoint it's less importantand why is that? the reason is is because you're looking at an equity loan.
So theloan is based off of the equity on in on the house and so private lenders willlend out based on the amount of equity you have.
And this is pretty helpful forsome people who can't get they need more money and there with an A lenderor B and they need more money for pretty strategic reasons and these guys havehelped people have been stuck in a bit of a pickle.
They've been very veryhelpful for a lot of people.
So you didn't know this probably but privatelending in Canada it's about 10% of the total value of mortgages out there.
So right now all mortgage business is estimated about 1.
5trillion dollars in the mortgage market in Canada and 10% of that isprivate money.
Okay? So on January 25th which is this pastFriday a number of media outlets picked up a story published by Reuters and openlike this, it said "Canada is considering subjecting private lenders to the samemortgage stress test rules faced by banks to prevent housing marketsfrom being destabilized by the lenders rapid growth, three sources with directknowledge of the matter said this" and that's unsubstantiated.
How do I knowthat? Well let me tell you.
There's two things that I'm gonna tell you.
MortgageProfessionals Canada is an organization, they're a really key strategic partner inthe mortgage industry in Canada and I happen to be a member of them.
So theysent me a notice on this.
This is what they did.
They contacted directly theMinistry of Finance from the Government of Canada.
They called out directly andthey spoke to senior ministry officials and they were advised by them that thesereports are unsubstantiated.
Word-of-the-day unsubstantiated can'tsay that too many times in a row I tell ya.
Not currently considering anyregulation on private lending so we're clean right? And that's the firstaffirmation.
Secondly, we got Bill Morneau Finance Minister, he wasspeaking to reporters in Ottawa.
This is what he said, he said this "I'm notcurrently considering any stress test on private mortgage lenders".
There you go.
No stress test.
Nothing being considered.
So what does that mean for us? Well foryou, just know, you want to get if you got to get a mortgage for your house youwant to get an A lender if you can.
Right? If you can't you got to defaultto a B and as time moves on circumstances may be that you may needmore resource and because of the stress test you may not be able to qualify formore money.
But you're already an A mortgage or a B mortgage and you haveequity in your home and if the need is important you should be able to look atconsidering private lending if it meets the need.
If you need to get advice onthat, I'd be happy to, reach out to me my contact information is below.
Listen I hope this was helpful.
Thank you so much for being with me today.
Have yourself a fantastic day.
Looking for to talking you soon.