Rates
Well rates have gone up this week to 1 month high, as expected, with less and less news coming out of Ukraine, more of the bond traders are focusing on US Economic news this week.
US Economic News:
-July wholesale inventories 0.1% vs est. of 0.5%, not a huge miss.
-Weekly Jobless Claims 315K vs est. of 300K, close, still low.
-Retail sales 0.6% vs est. of 0.6% nice growth.
-Retail sales last month revised from 0.0% to 0.3%, big swing.
-Consumer Sentiment up to 83.5 vs est. 82.5WOW.
This has caused rates to jump and even today we are seeing a sell off, causing rates to again worsen.
With no bad news coming out of Europe, traders are again focusing US Economic news, and it is all good news.
Lock’em
Rural Development Changes
Don’t forget RD will be increasing their monthly Mortgage Insurance from .40 to .50 beginning October 1st.
Also October 1st, RD will release new eligibility maps, although we don’t expect much change in the Treasure Valley, it will be interesting to see what the rest of Idaho looks like.
RD’s major change is increasing a city eligibility to a population of 35,000 or less.
Purchase a home with a 530 FICO score, YEP!
With loan applications becoming less and less, lenders are loosening up guidelines like no tomorrow.
And now we have lenders willing to go down to a 530 FICO score.
YES YOU HEARD ME RIGHT 530 FICO SCORE!!!!
And it is a FHA loan, not some subprime, interest only ARM loan, but a regular 30 year fixed loan.
Borrower still have to be 2 year out of Bankruptcy
Borrower still have to be 3 year out of Short Sale or Foreclosures.
If your FICO is <580, the borrower will need to bring in 10% for down payment (>580 = 3.5% down payment).
Downpayment CAN come from a gift!
I was quoting out rates yesterday in the Low 5’s, so not too bad!
Few more items and politics, but overall it CAN BE DONE!!!
Link to flyer here: FHA 530 Flyer
HomePath financing
Fannie Mae as of 10/6/2014 is discontinuing the HomePath financing program.
This was a program where as you can purchase a Fannie Mae Owned property and get some perks on their Specific Loan program.
If you a loan in process no worries.
If you have a loan that qualifies, you may want to review program with Fannie Mae.
But fear not, it wasn’t really a good program, and the interest rates were dumb high, IHA’s HFA preferred program is a significantly better program AND it has downpayment assistance!!!