Archive for 'VA Loans'
Market Update on Interest Rates – New Lows
Posted on October 7, 2010, by jhester, under Benson NC Mortgages, Buyers, Fayetteville NC Mortgages, FHA, First Time Home Buyer, HomePath, Interest Rates, Jacksonville NC Mortgages, Main Section, Raleigh NC Mortgages, Refinance, USDA Home Loans, VA Loans, Wilmington NC Mortgages.
Here’s an update on what is happening in the securities market which affects interest rates for mortgage loans in Wilmington, Jacksonville, Fayetteville, Benson and Raleigh, North Carolina as well as the rest of the nation. The market affects interest rates for FHA, VA, Conventional, USDA, HomePath Loans, and NC Housing loans for first time home buyers and those wanting to purchases or refinance as well.
5 year treasuries set a new record low, yielding 1.122%. The old low was set in December 2008 at 1.18%. 10 year notes traded as low as 2.36% before giving up some ground to finish at 2.39%. Real money accounts stepped up to buy, especially once the ADP report showed continuing pain in the employment sector. Rumor also had it that a West Coast Hedge Fund (Pimco?) was in the market buying 2 billion 10 year notes as their position was believed to be underweight that duration. Mortgage backs performed like dogs, widening out to treasuries while closing up 10/32’s on the day. Since we priced plus 8/32’s today, the market is a little rich to our pricing which should help you with overnight expectations. We see traders and money managers taking a neutral bias, waiting for pullbacks (consolidation) in the market to buy. We like the range on the 10 year between 2.34% and 2.42% so on balance, you’re close to the top and the best mortgage pricing we’ve seen. Keep in mind that tomorrow will be “square up day” where trading is typically quiet before a big release like Friday’s Employment Report.
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Looking for No Money Down Financing in Raleigh, Wilmington or Jacksonville NC?
Posted on September 21, 2010, by admin, under Fayetteville NC Mortgages, FHA, Jacksonville NC Mortgages, Raleigh NC Mortgages, Refinance, USDA Home Loans, VA Loans, Wilmington NC Mortgages.
Looking for No Money Down Financing???
For those looking to purchase a home with little to no money out of their pocket, PrimeLending offers financing programs to make it happen. If you are a Veteran, the choice is simple with a VA Guaranteed loan. Veterans in the Wilmington, Jacksonville, Fayetteville, Goldsboro, and Raleigh markets are able to finance 100% of the purchase price up to $417,000.
In addition to no money down, VA allows the seller to pay all the purchaser’s closing costs and even debts to help qualify. Plus, with NO monthly mortgage insurance, the payments are lower than going with a conventional or FHA loan, which normally require a down payment and monthly mortgage insurance. VA will also allow energy improvements which will lower utility bills to be financed into the loan as well.
In order to guarantee the loan, VA charges a fee which is called a VA Funding Fee. Disabled Veterans are exempt from this fee. For those not exempt, the fee is financed into the loan amount. The fee changes based on whether or not the guarantee has been used before, and what the loan to value will be for the loan. A veteran can use their VA entitlement over and over as many times as they like.
Non-Veterans that do not own a home have another choice which is very similar to VA financing. It’s called a USDA loan. USDA loans have a few more limitations, as they are limited to rural areas and have income caps based on family size limited to 115% of the median income for the area. There are also loan limits based on the area as well. But for those fitting in these limits, it is a super program!
USDA will finance 100% of the sales price plus their guarantee fee just like a VA loan. Plus, just like VA loans, there is no monthly mortgage insurance.
If you would like to see if a home is in an eligible area, you can visit their website at: http://eligibility.sc.egov.usda.gov/eligibility/welcomeAction.do
To view income limits for an area in any state you can view USDA’s income limit page here: http://eligibility.sc.egov.usda.gov/eligibility/welcomeAction.do?pageAction=pageLoad&requestInfo=GuaranteedProgramInfo&NavKey=loan@21
USDA counts all the income for a household in qualifying, even though an income producer may not be on the loan. To help more households qualify, they allow deductions from a household’s income for child care, children under the age of 12, and elderly occupants over the age of 62.
State Housing programs are another great way to finance a home with very little out of pocket money for first time home buyers, or those who haven’t owned a home in the past three years. In the state of North Carolina the program is called NC Housing. Much like the USDA program, there are income limits based on family size and area. These programs are similar to 100% financing in the fact they loan the money for a down payment at 0% interest for 30 years with no monthly payments owed. In North Carolina, these down payment assistance programs can help borrowers with either a $4,000 or $8,000 down payment, dependant on credit score and household income.
I will cover a lot more on state housing programs such as NC Housing in a later blog. In the meantime, if anyone should have any questions about financing a home with little or no money out of their pocket, please contact me, John Hester, at PrimeLending directly. My email is jhester@primelending.com. God bless!
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Welcome to my New Web Site Blog for Wilmington NC Mortgages, Raleigh NC Mortgages & Jacksonville NC Mortgages
Posted on September 16, 2010, by jhester, under FHA, Jacksonville NC Mortgages, Raleigh NC Mortgages, Refinance, USDA Home Loans, VA Loans, Wilmington NC Mortgages.
Welcome to my blog post. My name is John Hester and I am a Senior Loan Officer with PrimeLending, a PlainsCapital Company. I currently have over 18 years of experience in mortgage lending. I am happy to answer any questions you may have regarding FHA, VA, USDA, Conventional, Jumbo, NC Housing, HomePath, FHA 203-k, $100 Down Program, Teacher, Fireman and Policeman loans, Escrow Holdback, first time homebuyer, Investor, Refinancing, Cash-out, and just about any loan program currently in existence.
PrimeLending, a PlainsCapital Company, is the lending division for PlainsCapital Bank which is currently the 8th largest private bank in the country, and the 15th largest producer of residential loans in the country. We are also the 5th largest USDA lender in the country. And we are very proud to live up to our motto “Mortgage without Obstacles”!
With In-House processing, underwriting, and closing departments, the lending process cannot be smoother. I frequently close loans in less than two weeks! I don’t know of any other lender able to offer this level of service.
Plus, PrimeLending has a unique FREE Float Down Program! With this program, we can at no charge lower your locked-in rate to a lower rate if the interest rate market improves! A borrower no longer has to worry about when to lock their rate in while worrying about rates going up. I love it when my clients get a lower rate than they originally locked. And I know you will, too, if the market should improve during your loan process.
Please call or write me if you have any need for a mortgage loan in North Carolina, Virginia, or throughout the country! I specialize in lending in the Raleigh, Wilmington, Jacksonville, and Fayetteville markets. But I have also closed many loans in the Woodbridge, Fairfax, and Fredericksburg, Virginia markets where I originally started my career in the mortgage industry.
In 1995 I started First American Mortgage Services, Inc. in Woodbridge, VA. I was very happy to run this company till 2008 with offices in Virginia and North Carolina.
I look forward to offering valuable information on mortgage lending and I hope I can help you. Take care and God bless!
John
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