Financing

New 1% Down Payment Program

My trustworthy man at Ruoff Mortgage, Alan Pressley, tells me they have a brand new Conventional loan program out— and it only requires a 1% cash down payment from the home buyer.  Actually it gets even better!  The loan is actually a K3% down product, but Ruoff is putting up the other 2%.  (How out them apples!)

These mortgage loans can be used to purchase single family homes.  And you do not have to be a first time home buyer!  A 680 credit score is required for this program.  Keep in mind, however, there are other programs that are somewhat similar and at least one that only requires a 660 credit score.  One things for certain— There are a lot more loan programs than there were 2-3 years ago.  Which makes NOW a great time to do biz with someone who can connect you with other people who can make good things happen!!

“I work harder to make good things happen!”  -Bob

Lock n’ Load

Yesterday was a long, busy day- at my desk by 7 AM, showed houses to 5 different people, then wrote 2 offers before I called it quits around 9:00.  But… it didn’t get really crazy until this morning when I got ready to write up an offer on the last house we saw last night.  It just hit the market yesterday and two other parties were looking at it while we were.  My

Kguy decided this morning that he wants this house.  I suspected someone else might also want it.  So I texted the listing agent to see if they’d received any offers.  He already had 3!  (Not bad for the first day.  LOL)  Well, I crunched the numbers and it checked out, so my client decided to add 1 more offer to the mix.  Now that’s determination!

Like I’ve been preaching— if you’re wanting to buy a new home, get pre-qualified by a good lender (I know a guy, and a gal) and when you go looking by all means come ready to do business. 

“I work harder to make good things happen!”  -Bob                                 

Washington Continues to Aid 1%ers

Fannie Mae, originally developed to assist home buyers purchase houses for their primary residence, (for the first time ever) recently issued guarantees for mortgages made by the nation’s largest corporate owner of single-family homes.  Invitation Homes, the 2012 buy-to-rent creature of private equity firm Blackstone, and now owner of 48,431 single family homes (courtesy of the Fed’s cheap money spigot) obtained $1 billions in government guarantees for mortgage backed securities.  (That’s a billion dollars that we the taxpayers are now on the hook for.)

So let’s recap the story.  Just prior to the financial crisis, people were hoodwinked into taking out risky mortgages on over-priced houses by major banks and mortgage companies.  The Fed supplied cheap money and overlooked glaring deficiencies in their business practices which enabled the mega banks to make mortgages to anyone who could fog a mirror.  When this ponzi scheme blew up, the Fed then enabled the mega banks to walk away with nary a slap on the wrist and literally gave them the funds to rebuild their balance sheets.  On the other side of the equation, millions of lowly home buyers lost their homes and were cast to the curb with foreclosure and bankruptcy.  If that wasn’t enough, the Fed then coughed up even more cheap money so that firms like Invitation could buy tens of thousands of recently foreclosed homes and turn them into rentals.  (Those were houses that you nor I could not buy and fix up ourselves.)  Now the plot thickens aKnd when the next downturn in the economy hits, you can rest assured that they’ll be another bailout for the banks and hedge funds— and that the common man will take the brunt of the storm.

Trump promised to drain the swamp.  Now, if only he would.

If you’d like a guide through these mine fields, you know who to call.  I work harder to make good things happen!