Miami-Home-Loan Locks Another Deal at the Lower Rate!

Miami-Home-Loan found Jim Carter of Element Funding had a great rate-lock for another buyer in at what looks like the lowest rate of the month!  Wow, great review and watchfulness as the rates fluctuated.  Our staff all helped as we worked to get this rate-lock completed.

041817-Freddie-Mac-Rate

041817-Freddie-Mac-Rate

We got our clients lower rate-lock at this low rate of the month which will help them with a lower payment, a improvement of  their debt ratio, and, overall, a better financial deal for them as they prepare to close.

 

We can do the same for your clients as well!

So, if you or, anyone you know, is looking to find a Miami-Home-Loan, or a South-Florida-Home-Loan,to purchase their own first time home, or to refinance an existing property, and would like help in getting their best financing solution call me, Jim Carter at Element Funding, at 305-525-6742. Your Miami-Home-Loan expert!

 

 

 

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Miami-Home-Loan Reports Another Good Closing!

Miami-Home-Loan Happy Family
Miami-Home-Loan Happy Family

 Another good closing, as Julian got his Miami Home Loan in place to move into his great new unit on Williams Island.  Thanks, go to the Element Funding operations team, including our processor, Betsy, title attorney Sheri E. Nott, and Julian for coordinating all the sales activity with the seller.

We had some interesting work to get the file prepared as there were some outstanding legal challenges from 2012, but, Julian and I worked hard to get the right documents from the previous company, get them reviewed and approved.

Athough it took some time and effort, it was good for Julian to get his credit report corrected. That really got this file ready to submit and prepared for a non-eventful closing.

Closed! Happy Family.
Closed! Happy Family.

On the closing day the attorney sent their special closer out to have Julian sign and initial the documents, and, that went well also.  Everyone worked to finally get this file closed in a timely manner.  So, now the family had a new unit with much more room, a nice improvement for them.  We can do the same for you all as well, so, give us a call!

 

So, if you or, anyone you know, is looking to find a Miami-Home-Loan, or a South Florida Home Loan,to purchase their own first time home, or to refinance an existing property, and would like help in getting their best financing solution call me, Jim Carter at Element Funding, at 305-525-6742. Your Miami-Home-Mortgage expert!

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Underwriting & Program Updates in Element Funding By Miami-Home-Loan

Miami-Home-Loan Report

Miami-Home-Loan & Element-Funding Updates

Miami-Home-loan blog, and Element Funding, direct lending mortgage bank, review several financing program changes that occurred this month. .  These changes enhance the ways we underwrite these loans.    Jim Carter, mortgage banker, reports on the details.

 Condominium Financing

New Condo Limited Project Review forms are now being used to help clarify the eligibility of the projects we look to finance.  More on financing a condo can be found here:

http://miamihomeloan4u.com/10-down-payment-for-a-condo-in-miami-call-miami-home-loan-4u/

FHA

There is also a new FHA questionnaire form with less questions.   The first step in financing or refinancing a FHA building is to confirm if the building is qualified and still certified as an FHA property.  So, that could be a question to ask the condo association for clarification.

 Jumbo Loans

We offer many jumbo products and they are great to work with and offer to our clients.  Here is one closing that was especially nice and great to complete!  Call on scenarios to see if we can help your buyers?

http://miamihomeloan4u.com/miami-home-loan-closed-fernando-and/

 Renovation Loans

We offer renovation loans to help buyers get into properties that need updating or the buyer may want to make changes to the property to suit their needs.  Here is an article on those loans:

http://miamihomeloan4u.com/203k-renovation-loan/

Veteran Loans

Now borrowers can do a joint loan with an non-military partner or a non-spouse.    These new loans will have a down-payment requirement.

 Student Loans

There are some new terms for these loans now.  If the loan does not show a payment on the credit report, we still must use the loan, but at a rate of 5% of the outstanding balance for the next 12 months.

Income-Based Repayment (IBR) is a way to make your federal student loan payments more manageable. And if you’re a teacher or work in government or at a nonprofit (501(c)(3)) organization, you might qualify for a new type of public service loan forgiveness (PSLF) after 10 years of eligible payments and employment.  We do have a program that will use the (IBR) as well.

 On a VA loan, a student loan can still be deferred.

So, if you or, anyone you know, is looking to find a Miami-Home-Loan, or a South-Florida-Home-Loan, to purchase their own first time home, be prequalified, or to refinance an existing property, and would like help in getting their best financing solution call me, Jim Carter at Element Funding, at 305-525-6742. Your Miami-Home-Loan expert!

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Miami-Home-Loan Finds A Great Article on Getting Mortages in 2017

Miami Home Loan Sold Sign on House
Miami Home Loan Sold Sign on House

Miami Home loan, and Element Funding, direct lending mortgage bank, found another great article on getting a mortgage in 2017. Scott Sheldon, of Credit.com, wrote a very good article on issues facing home-buyers in 2017.  It was published Jan. 24, 2017 in www.MarketWatch.com.

Jim Carter, mortgage banker, reports on the details here and provides a link for you to read the article.  In addition, if you do have any credit questions, www.Credit.com has some excellent articles and advice on credit questions.  If you are looking to be pre-qualified, please call me at 305-525 or sign on to my applications page listed below:

http://www.elementfunding.com/branches/5321/jcarter.

The articles talks about some of the challenges and where you can get more credit information if you need some help with your credit score.  Here is the link to review:

http://www.marketwatch.com/story/looking-to-get-a-mortgage-in-2017-heres-what-you-need-to-know-2017-01-23?cb=logged0.5772566181007257.

So, please take a look at the information and see how we can help you all get into a home in 2017.

So, if you or, anyone you know, is looking to find a Miami Home Loan, or a South Florida Home Loan,to purchase their own first time home, or to refinance an existing property, and would like help in getting their best financing solution call me, Jim Carter at Element Funding, at 305-525-6742. Your Miami Home Mortgage expert!

 

 

 

 

 

 

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Miami-Home-Loan Reports Another Great Closing!

Miami-Home-Loan Closing Karm and Jay

Miami-Home-Loan Closing Karm and Jay

Another good closing, as Jayson and Karmbir got their Miami Home Loan in place to move into his great new house in a waterfront location. Thanks goes to the Element Funding operations team, including our processor, Vanessa, title attorney Diana Fitzgerald, and title  agent Victoria De Armas, both of Fitzgerald & Isaacson, LLP.  The listing agent was Steven Copeland of Stalcoproperties – Premier Realty Team, and, our selling agent was Erica Torres of Cutting Edge Real Estate and Investments.  We had a really smooth closing, as the new buyers got their first house.

We had some interesting events to get to this closing.  One of the challenges was that one of the buyers was a Canadian Citizen who had become a U.S. resident.  Many of her accounts in Canada were not reporting to the U.S. credit bureau, so, she made calls and

Miami-Home-Loan and Team Completes the Closing

Miami-Home-Loan and Team Completes the Closing

worked hard to get those accounts moved to the U.S. bureau to report and build her U.S. credit that took some time, and, finally once all were moved, she got an excellent score reporting.  So, that challenge was resolved.  And we helped by monitoring the progress of moving the accounts to the U.S. to build the credit.

As we got the title work done, the agent noticed some items on the survey that needed addressing.  That also took a little time to address, but, we again, we all worked together to make sure those questions were resolved and included in the title work. So, no matter what the challenge we work to make the challenge understood and resolved!  Then we were ready for the closing.  Victoria and Diana did an excellent job getting the documents prepared and presented to the buyers in a timely manner.  When it came time to sign and close the transaction, it went very smooth, and, the buyers left the office with their first home!  What a fun time for us all!

Miami-Home-Loan Jay Accepts the gift!

Miami-Home-Loan Jay Accepts the gift!

Miami-Home-Loan Erica Delivers a Closing Gift

Miami-Home-Loan Erica Delivers a Closing Gift

 

 

 

 

 

So, if you or, anyone you know, is looking to find a Miami Home Loan, or a South Florida Home Loan,to purchase their own first time home, or to refinance an existing property, and would like help in getting their best financing solution call me, Jim Carter at Element Funding, at 305-525-6742. Your Miami Home Mortgage expert!


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Miami-Home-Loan Completes Another Good Closing!

Miami-Home-Loan Attorney Powell

Attorney Norman Powel & Michel

Another good closing, as Michel got his Miami Home Loan in place to move into his great new unit in Hialeah. Thanks goes to the Element Funding operations team, including our processor, Vanessa, and, title attorney Norman Powell.

Michel and I worked together since April of 2013 to get this deal put together!  We worked on credit questions, credit revisions, income, and, various other elements needed to get this file completed and ready to close. We did  cost estimates on many houses to show exactly the estimated costs of the purchase.  So, we are Element Funding are glad to help a buyer get ready to buy their home.   There were many unique property items about this property we needed to understand, and, Norman Powell, title attorney, did a fabulous job of getting these questions answered and the property questions identified.  We had to do a “Meets and Bounds survey”, and, he got that done right away for that part of the title work.   After a few more reviews, Michel did a great job on getting his needed documents together, and we at Element Funding got his Miami-Home-Loan ready to close.  And, the closing went very smoothly.

Miami-Home-Loan Closing

Element-Funding completes another closing!

 

The sellers were happy as they prepared to move on to their next adventure, and, Michel was happy as he prepared to be a 1st Time Homebuyer, and a new Miami-Dade County property tax payer.  By the way, it is a great time to become a tax payer.  We all need somewhere to live, and, a new home is a good tax incentive. 

Element-Funding & Norman Powell

On your income tax, In Florida, a tax payer not only gets to deduct the interest payments, but, also the mortgage insurance as a deductible expense on your tax return.  For more details, give your tax preparer a call to see how that may affect your tax returns and what deductions you may use.

Miami-Home-Loan-Closing Team

 

 

 

So, if you or, anyone you know, is looking to find a Miami Home Loan, or a South Florida Home Loan, to purchase their own first time home, or to refinance an existing property, and would like help in getting their best financing solution call me, Jim Carter at Element Funding, at 305-525-6742. Your Miami Home Mortgage expert!

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Miami-Home-Loan, Options When You Get a Low Appraisal

 Miami Home loan, and Element Funding, direct lending mortgage bank, found there has been some good articles discussing appraisals.  This article was paraphrased from Julian Hebron, a mortgage executive based in San Francisco.[i] .  With the mortgage rates on a track to increase in the next few months, getting the best appraisal based on your loan pre-qualification is an important step in keeping your payments at the amount initially estimated.  Jim Carter, mortgage banker, reports on the details of the article from Mr. Hebron.

A home is collateral for your mortgage; your mortgage can’t be approved without an appraisal report on the home’s value. Appraisals aren’t guaranteed to come in at your contract price, and your loan options change if your appraisal comes in short. Here’s what to do if this happensIf you need more information on the Home Appraisal process, here is a flyer to help you learn more Appraisal-Process.

Miami-Home-Loan Low Appraisal

How a low appraisal changes your loan options

When you’re buying a home, lenders will extend a loan on the lower of either your contract price or the home’s appraised value. This is a critical distinction, because if an appraisal comes in lower than you’ve agreed to pay, you must either increase your down payment or increase your monthly budget in order to buy that home.

Suppose a home in a very competitive neighborhood is listed for $300,000. You know there are multiple bidders, so you offer $325,000. Your offer is accepted, and you begin obtaining a loan for 80 percent of the $325,000 contract price, planning to put down 20 percent. When the lender’s appraisal comes back, it shows the value of the home is $300,000.

When your process started, your $325,000 contract price minus your 20-percent down payment of $65,000 made your loan amount $260,000. The low appraisal of $300,000 takes that option off the table, and instead you have two other options.

1. Increase your down payment to avoid paying mortgage insurance

The most you can borrow without paying mortgage insurance is 80 percent of the $300,000 appraised value, which is $240,000. This means that instead of $65,000, your down payment now must be $85,000 to bridge the gap between your $325,000 purchase price and the $240,000 loan amount that’s available with no mortgage insurance.

You’ll need to decide whether this extra $20,000 is something you can afford. If so, the lender also must determine if you’ll have enough reserves left over after closing to still qualify for the loan.

One offset for putting the extra $20,000 cash into the deal is that your monthly payment will be $95 lower.

The original deal with the $260,000 loan using a 30 year fixed rate at 4 percent gave you a total monthly payment of $1,887, comprised of $1,241 mortgage payment, $256 taxes, and $390 insurance. The new deal with the $240,000 loan gives you a total monthly payment of $1,761, comprised of $1,145 mortgage payment, $256 taxes, and $360 insurance.

2. Keep the same down payment amount, and add mortgage insurance

If you can’t afford or don’t want to bring in the extra $20,000 to cover the short appraisal, you can still get your target loan of $260,000. However, if you divide this by the $300,000 value, the loan is 86.7 percent of the home’s value, so you’ll have to pay mortgage insurance.

If you’re getting a 30-year fixed loan at a rate of 4 percent, your total monthly payment will be $1,995, comprised of $1,241 mortgage payment, $108 mortgage insurance, $256 property tax, and $390 insurance.

If you compare the $1,761 payment you end up with by putting in the extra $20,000 (to cover the short appraisal and avoid mortgage insurance) with the $1,995 you’ll pay if you stick with the original down payment (giving you a larger loan plus mortgage insurance), you can see that you’ll save $234 per month if you pay the extra $20,000 upfront.

Disputing low appraisals

All of this assumes you can’t get the appraised value above $300,000. However, when an appraisal comes in short, you can work with your lender and real estate agent to evaluate whether the appraiser included all relevant comparable sales on the report to derive their value.

An appraiser’s selection of comparable sales is based on many factors like location, size, age, upgrades, and general condition of the sold homes being compared to the property you’re buying. How recently the other homes sold is also a factor.

Your lender — usually after consulting with your real estate agent — will advise if they think a value dispute is warranted. If so, underwriters of the file will review any new documents submitted.   They will write up a case for a dispute and present it to their appraisal company to review with the appraiser directly. The.  Federal appraisal regulations make the dispute process complicated and often slow, so make sure that your contract allows you enough time for a dispute.

If the value is revised to your contract price, you can use your originally intended deal structure. If the low value is validated during the dispute process, you can ask the seller for a price reduction. If they refuse and you still want to buy the property, you can revert to the options laid out above.

Miami-home-loan staff is always a good source of information to keep you informed. To get pre-qualified, discuss a Miami-Home-Loan, or, just ask a financing question, please call me, Jim Carter, Loan Officer, at Element Funding, 305-525-6742.

 

 

 

 



[i] Notes from Julian Hebron, a mortgage banking executive and writer based in San Francisco. May 5,2015.

 

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Miami-Home-Loan Presents A New Foreign-National Program

 

Miami-Home-Loan National Flags Against-Sky

Miami-Home-Loan National Flags

Miami-Home-loan, and Element Funding, direct lending mortgage bank, added another unique Foreign-National program to their offering.  This Foreign-National program gives a foreign buyer a good alternative for financing with excellent rates  Jim Carter, mortgage banker, reports on the new Foreign-National Program.

Overview:

Loan Size : Min = $100,000 up to $3,000,000

All collateral types allowed:   SFR, 1-4 Family, High-rise Condo, Condo, Non-warrantable Condos, Condotels,  Co-op, Acreage, Hobby Farms, Second Homes, NOO,  Jumbo Super Jumbo

LTV Loan Amount =  Max 50% ; some exceptions for citizens of the UK, Canada and Australia with a foreign credit report  60%.  Call me for other details.

DTI = Max =40%

  • Pay stubs or Income Letter must be in English[i]
  • CPA summary letter may be accepted
  • Foreign Assets are accepted on a case-by-case-basis

SSN/ITIN Requirement

  • Required by closing for 1098 Mortgage Interest Reporting purposes
  • Passport or Visa allowing entry into the U.S. is required

Cash Out

  • Loan amounts up to $3MM with $1MM Cash in hand
  • No seasoning requirements on all collateral types including NOO

Pre-Approval

  • All loans pre-approved before appraisal order
  • “TBD Address” pre-approvals accepted

PITI reserves for all properties owned in all countries for loan amounts up to $1 million

Foreign assets for down payment AND reserves including foreign retirement funds considered.

  • Funds for closing must be moved to U.S. prior to the funding date
  • Foreign assets used for reserves do not need to be moved to the U.S.
  • Funds for down payment and closing costs must be moved to U.S. account prior to closing
  • All funds are sourced and seasoned 60 days

2nd Homes must be in a resort area

  • Homes in metropolitan areas usually considered investment properties
  • General Rule: 2nd home = no other properties owned in the U.S.

• All foreign debts including any PITI info need to be added to the 1003 shown in USD equivalent

• All income, assets and PITI info must be translated by a U.S. based certified translation company

• Below are some contacts for translation**

- samedaytranslations.com

- link-translations.com/client/mortgage

- certifiedchinesetranslation.com

• Any U.S. citizen or U.S. Permanent Resident (Greed Card holder) living abroad must have filed the

Previous years U.S. tax returns while living outside the U.S. ***

ARM Product Features

• Max DTI 40%

• 50% LTV up to $3 million loan amount

• 30 year amortization

• No prepayment penalty

• 2/2/6 caps, 1-year CMT Index, 3.0% Margin, Floor = Note Rate

• Qualify at the start rate on 7/1, 2% over on the 5/1 and 6% over on the 3/1

• Escrows required

• Rates currently are from 5.0% to 5.5% for a SFR.  Other adjustments could apply.

Important Foreign National Guidelines:

• This is a full documentation loan in terms of income, assets, deposits, etc.

• Income needs to be documented on foreign tax returns, W-2 equivalents, paystubs, etc.   CPA letters are not allowed.

• All foreign debts including any PITI info need to be added to the 1003 shown in USD equivalent

Max DTI is 40%

 • Borrower must have at least 12 months reserves PITI for subject property loan amounts up to $1mm, 18 months PITI up to $1.5mm, and 24 months PITI on loans over $1.5mm

• Borrower must have at least 12 months reserves for any additional properties or primary residence rent (can come 50% retirement and 100% of liquid account values)

• Max LTV for Foreign National purchases is 50% but we will make exceptions to go up to 60% for strong borrowers with English language documents (a borrower provided foreign credit report can help getting an 60% LTV approval)

Required documentation:

Income:                     

• If applicable, we will need the last 2 years foreign tax returns (translated as needed)

• 2 recent paystubs if possible

• Employment letter confirming title, employment dates, current/ previous year’s salary (for wage earners) (We can sometimes use this instead of tax returns)

• Previous 2 year’s year-end income statement if applicable (equivalent of W2 or UK P60)

• Lease agreements and 3-6 months bank deposit history for foreign rental income

• Rents approved on a case by case basis (assuming we can properly document)

Assets:

 Previous 2 months bank statements (I know this can be a struggle in some countries but we just have to see what we can get)

  Previous 2 months or quarterly statements for retirement accounts

  Must source large deposits and earnest money deposit

  Will only use 50% value of any joint account if the other account holder is not on the loan

Credit:

  A borrower provided foreign credit report is not required but can help with approval. (We don’t pull international credit)

Other Documentation:

  Mortgage statements, tax info, and insurance policies for all properties owned

  2 forms of identification

 Must have an ITIN or social prior to close (I can sometimes get an exception to close without the ITIN with proof that they submitted their application through a IRS acceptance certified tax preparer or accounting firm)

So, if you need a Miami-Home-Loan, for a Foreign-National, or just want to discuss financing options, please call me, Jim (James) Carter, from Element Funding, at 305-525-6742 to help you get the best financing solution. We at Element Funding, will help you with an exceptional Miami Home Mortgage.

 

 

 

 

 


[i] The translation must be done by Certified US Based Translation Company

 

 

 

 

 

 

 

 

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Miami-Home-Loans: Foreign-National Update

Miami-Home-Loan Flags-of-the-World

Miami-Home-Loan Flags-of-the-World

Miami Home loan, and Element Funding, direct lending mortgage bank, added another useful program to their offering.  The Foreign-National program gives a Foreign-National buyer a way to finance a home purchase in the United States.  Jim Carter, mortgage banker, reports on the details.

Property types include single family residences, condos, townhouses, and 2-4 units.

Loan Terms and index features are as follows.  These products are our version of hard money loans, but with much, much more attractive terms.

  • Rates start at 7.99%.
  • Loan type  a 7/1 hybrid ARM (based on a CMT-Index – which is a Constant Maturity Treasury margin) with no points and no pre-payment-penalty – this is the only product with these terms
  • We have no South American country restrictions for our Foreign National products, and we can close these loans in an individual’s name if the proceeds are for a business use! 

Foreign-National loans are generally for 2nd homes.  If the property cash flows, we will lend 70%.  Borrower just needs to provide a copy their passport and a credit reference letter from a bank in their home country, and the completed application.  Here are a few more details:

  • LTV 70%
  • NOO are easier than second homes
  • We lend 70% up to 750k, over 750k reduce LTV by 5%
  • Property must cash flow (PITI payment is less than Market Rent Survey)

Documents Needed:

  • Credit reference letter from country of origin
  • Income verification, including tax returns, paystubs, W2′s from the country of origin
  • 2 forms of picture ID
  • Bank statements – -Funds must be in a US bank to close
  • All these documents must be translated by a certified translation company.

 Below are some contacts for translation**:

  •  Action Translation Services
  • Samedaytranslations.com
  •  Link-translations.com/client/mortgage
  • Certifiedchinesetranslation.com

So, if you need a Foreign-National Miami Home Mortgage, please call me, Jim (James) Carter, from Element Funding, at 305-525-6742 to help you get the best financing solution. We at Element Funding, will help you with an exceptional Miami Home Loan, where our Primary Focus is You!

 

** Any US based certified translation company can be used

 

 

 

 

 

 

 

 

 

 

 

 

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Miami-Home-Loan Offers a Fix-and-Flip Program for Investors

Miami-Home-Loan blueprint

Miami-Home-Loan blueprint for Fix-and-Flip

 

Miami Home loan, and Element Funding, direct lending mortgage bank, added another oney making program to their offering.  The “Fix-and-Flip Program” gives a investors way to buy an investment property, repair or upgrade the house, and, Flip-IT!   Jim Carter, mortgage banker, reports on the details of the program.

So, we have a fix-and-flip program that is perfect for investors or borrowers looking to fix-and-flip houses!

Here are the details:

 Max units to fix:      Max number of properties they can currently own is 20, and as long as they do our loans as fix and flip, they can do as many as they want per year (max 3 at any one time).  They would need to put down 25% and prove they have reserves to fix the property up. 

 Loan Terms and Type:      The program loan term is a 30 YR amortization using a 7/1 Hybrid ARM.  The index is a 1 year CMT.  It is a 2% initial change cap/2% annual Cap/6.0% Life Cap.  The starting rate is 9.49%.

Loan Amounts:      The minimum loan amount is a $100,000, up to a $2MM loan amount.  Loan amounts greater than $1MM require senior management approval.  The also require a 650 minimum FICO score.  We can use lower scores, but, the LTV’s would be adjusted lowered depending on the score.

Loan Documents Needed:

Worker reviews fix-and-flip plans
Worker reviews fix-and-flip plans

  * This is a currently NOT a stated income program

* All standard DU required docs

* Standard replacement cost insurance required

* DTI up to 50%

* Verified assets (if applicable)

 So, if you need a Miami Home Loan, to fix-and-flip a property, or to discuss other financing options, please call me, Jim (James) Carter, from Element Funding, at 305-525-6742 to help you get the best financing solution.  Let’s get started! We at Element Funding, will help you with an exceptional Miami Home Mortgage.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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