Category: News

The dream of owning a home is a cherished one for many individuals and families across the United States. However, the soaring median existing-home price of around $400,000 can often make it seem like an unattainable goal, especially when faced with the prospect of a substantial down payment. Traditional mortgage loans typically require a 20 percent down payment, equating to a significant sum, but there is good news – down payment assistance (DPA) programs exist to help prospective homeowners bridge the financial gap. In this blog post, we will explore what DPA programs are, how they work, and the steps to access this valuable assistance. What is a Down Payment Assistance (DPA) Program? Down payment assistance programs are financial tools designed to provide aspiring homebuyers with the necessary funds to…

Owning a home is a dream shared by many, and it's a goal that's entirely achievable, even if you have an ITIN instead of a Social Security Number (SSN). The good news is that there are financing options available that cater to ITIN holders, making homeownership a reality. In this article, we'll explore how you can buy a home with an ITIN number and access an impressive Loan-to-Value (LTV) ratio of 85%. Understanding ITIN: An ITIN is a nine-digit number issued by the Internal Revenue Service (IRS) to individuals who are required to pay taxes but are not eligible for a Social Security Number. This includes foreign nationals, resident and non-resident aliens, and others. While ITIN holders cannot obtain an SSN, they can still pursue homeownership in the United States.…

A lot of people don't realize that it's a good idea to watch their financial moves before closing their mortgage. Here are five common mistakes to watch out for to avoid any closing crises. 1. Making a big purchase, including furniture If you’re about to close on a house, it’s not the best time to get a new car, boat, or other expensive item. Even furniture or appliances — basically anything you might pay for in installments — is best to delay until after your mortgage is finalized. Depending on your credit score and history, these transactions can lower your score, which can impact the interest rate and the loan amount you receive. This could result in a higher interest rate for the next 15 or 30 years, or even…

If you are thinking about buying your first house, you probably have a lot of questions. Common ones are: how much can I afford, can I get approved, etc. It's also a good idea to organize and try to optimize your finances. However, even if you're starting with modest resources, you can still set yourself up for mortgage success. Here are some tips on where to start. Recognizing Mortgage Readiness Before diving into homeownership, it's essential to know if you're genuinely prepared for this commitment. According to a Freddie Mac study, the following signs indicate you might be in the right financial position: A credit score of 661 or above. A debt-to-income ratio (DTI) under 25%, focusing on mortgage debt. Including other obligations like student loans, the percentage can be…

Navigating the home-buying journey with little to no credit history can seem daunting. However, FHA loans, insured by the Federal Housing Administration, can be a lifesaver for prospective homebuyers with such financial constraints. Their flexible financial prerequisites make them an excellent alternative for those dealing with debt or other personal finance challenges. The FHA loan program's forgiving nature makes it easier to obtain than traditional loans, helping more people join the homeowner's club. However, an easier application process doesn't mean a less serious commitment; diligent preparation is crucial to sidestep common errors in home loan applications. If the appeal of less stringent requirements entices you, stick around as we delve into how to secure an FHA loan with low credit. Understanding FHA loan eligibility and requirements for low credit The…

The image of homebuyers often conjures up young couples, freshly married or new parents, looking for a nest to raise their family. However, senior citizens and retirees also have valid reasons for house-hunting. Even with today’s higher home prices and interest rates, seniors may be in need of a mortgage for a variety of reasons, here are options for qualifying and loan options. Applying for a mortgage as a senior entails meeting the same financial criteria as other borrowers, such as credit history, debt-to-income (DTI) ratio, income, and other assets. However, the documents required to qualify for a mortgage are slightly different for retirees. For instance, you'll have to provide forms to document income instead of pay stubs and W-2 forms. These might include Social Security award letters, retirement award…

When it comes to the decision between buying or renting a home, in today’s market, we have to look at a number of market and individual factors. With rapidly increasing housing prices and a significant inventory shortage, the thought of purchasing a home may seem daunting with the US Census Bureau and the US Department of Housing and Urban Development reporting the median sales price of $436,800 for homes at the start of 2023. Buying a home brings with it a set of unique advantages. The possibility of building equity, the tax benefits, and the freedom to customize your living space are all compelling reasons to consider homeownership. However, these benefits are balanced by potential drawbacks such as variable monthly payments, maintenance responsibilities, decreased flexibility, and the risk of your…

Finding a skilled loan officer who is attuned to your needs and can assist you through the process is essential. The sales team at Mortgage One Solutions is committed to serving you and solving your concerns. Here are five questions you might want to ask your home mortgage lender. What are my home loan options? This question will help gauge the loan officer's expertise and understanding of your specific situation. You may need to share some personal financial information, but a credit check shouldn't be necessary at this stage. Could you explain the mortgage process? A competent loan officer should be able to outline the steps from application submission to loan approval. They should also provide insights into legal and real estate aspects or direct you to your real estate…

If you're fortunate enough to be considering buying a second home, but not sure about using it as a vacation house or as an investment property to generate income, understanding the differences between the two types of property is important to determine how much you'll pay to finance and own it. A second home is a vacation home, while an investment property is rented out with the goal of generating income. If you're considering renting out the property occasionally, defining it depends on how much time you spend in it. If you use the property for 14 days or less during a year, it would be considered a rental property, and the income earned would be taxable, but you would also deduct the expenses associated with the property. The distinction…

Last week we saw mortgage rates fall again, according to data provided by Freddie Mac. This continues a streak now stretching four weeks, as homebuyers benefit from lower borrowing costs. The average rate on a 30-year fixed-rate mortgage fell to 6.28% down from 6.32% a week earlier. Freddie Mac chief economist Sam Khater stated, “Mortgage rates continue to trend down entering the traditional spring home-buying season.” While rates have fallen there are still challenges for home buyers including a low inventory available for sale in many markets. If you are thinking about buying a new home this spring check in with Mortgage One Solutions to see how much you can get pre-qualified for. You can fill out our 30-second apply now form on our website to get started. https://loanapplication.secureloandocs.com/en/apply -…