Archive for tag Wheda
November 30, 2010 at 10:32 AM
If you are looking to buy a home, the world of lending is constantly changing. Just last week WHEDA announced the demise of their Zero Down Payment Loan. Apparently, they were not able to find investors to buy the mortgages on the secondary market, so that was the end of that program.
Just this week, Fannie Mae has announced some good and not so good changes to their programs. This New York Times article outlines those changes. You can see that now a first time buyer can use grant money and gift money for their entire down payment. The mininum down payment required for a Fannie Mae loan is 5%. Freddie Mac is also considering changes similar to these.
The not as good news according to the article is further cracking down on credit “Fannie Mae is getting tougher on debt-to-income ratios, or the amount of a borrower’s gross monthly income that goes toward paying off all debts. The maximum ratio for those seeking a conventional mortgage will drop to 45 percent from 55 percent under the new guidelines.
The agency is also taking a harder look at payment histories on revolving debt. In the past, if a borrower missed a monthly payment, Fannie Mae ignored it, or required that lenders add a few percentage points to the total balance when calculating the debt-to-income ratio. Now, buyers who have missed a payment will have 5 percent of the total balance added to their ratios. ”
Each loan program has it’s own set of criteria. The world of mortgages is confusing to the average home buyer. Your best bet is to speak to your loan officer directly and find out how the guidelines fit your circumstances. Denise Hoernke from Wisconsin Mortgage offers a concierge service to all mortgage applicants. She will compare the programs and fees you have been quoted and offer even more options! Denise can be reached at 262-707-4850. Denise will be glad to give you a second opinion!
Posted by: 
Pat Tasker
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May 07, 2010 at 10:01 AM
As most people are aware, the $8,000 tax credit ended at midnight on April 30th. Early in the year, it seemed like it would be doom and gloom for months after that. By the end of March, beginning of April, the mood seemed to be improving, in regards to life after the tax credit!
During open houses in April, I started hearing buyers say, “yes, we’d love the tax credit, but we aren’t going to make a quick decision just to get it!” That was refreshing to hear. While I know some buyers may have bought, just to “get it done” in time, many were smart and shopped with cool heads.
WHY WOULD YOU BUY NOW, IF YOU MISSED THE TAX CREDIT? I can give you several reasons.
• Low interest rates, even though they were predicted to go up quickly and dramatically, so far they have been very good.
• Great inventory is still out there
• Lower prices than we’ve seen in years
• WHEDA is back, and FHA is as busy as ever! MORTGAGE MONEY IS AVAILABLE!
• A HOUSE IS MORE THAN AN INVESTMENT! It is a place you bring your new baby home to, entertain friends at a backyard BBQ, celebrate the holidays, and go home to at the end of a long work day! It is a safe, warm welcoming place you call HOME
Our first 4 months of this year have produced some interesting numbers. New inventory is up 20%, and sales are up 40%! That shows that the inventory is starting to head towards a balanced market. So if you are a buyer, it is good to buy now, before the rates go up and the market swings out of buyers favor.
For a list of homes in the City or Suburbs of Greater Milwaukee, call or email Pat Tasker at ptasker@shorewest.com You too can make a good buy if you act now. The stock market proved yesterday it is not for the faint of heart. But real estate over the long haul has proven that it is a good investment.
Posted by: Pat Tasker
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March 08, 2010 at 03:57 PM
When it comes to choosing a lender for your mortgage most people spend more time researching which shoes go with which belt than who is best fit to finance your largest single investment!
Choosing the correct company to help with the mortgage is just as important as choosing the correct home. If you’re shopping closing costs and interest rates you’re on the right track. Finding the perfect lender is a bit harder today. Here are some steps I think are without a doubt essential.
- Talk to family, friends and your Realtor. Get a few names of people that they have used and trust.
- Ask a lot of questions. A good lender will answer all your questions. A GREAT lender will give you extra info you never thought of.
- Tell the lender what you want to spend every month on your mortgage, taxes, and insurance. Don’t forget about private mortgage insurance if you don’t have 20% down. A great lender will coach you on what price range to be looking in so you don’t leave your “comfort zone” for how much you want to pay each month.
- Ask them up front what their costs are and have them put them in writing. READ THAT DOCUMENT! And understand it.
- Set up a face to face meeting with your lender and bring all of the required documentation ASAP. Don’t put this off.
- Ask about your different options, Conventional, FHA, WHEDA. Make sure you know what they mean to you.
A really good Realtor should be able to help you through this process. It’s really heartbreaking to find the perfect home and then find out that you cannot buy it because of something that was missed in the pre-qualifying process.
If your Realtor doesn’t offer to or is unwilling to be a huge part of the lending process that should be a red flag to start looking for a different Realtor. Your Realtor and your lender should be a team working together for you.
Please as always feel free to give me a call at (414) 416-0704. If you’re just starting the home buying process or are unsure if you’re getting the best service I can help.
Posted by:
Mickey Koch
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February 25, 2010 at 11:52 AM · Posted under Ann Lebiecki
How long does it really take to buy a home?
You may have wondered just how long the process takes: searching, financing, inspecting, closing and finally moving in. If you follow the tips below you can be on your way to getting an accepted offer in as little as 2-3 weeks with a subsequent closing in 30 days. All total 6 weeks! Just in time to take advantage of the Home Buyers Tax Credit that expires April 30, 2010.
Here are a few tips and guidelines to use when planning to buy a home.
- Get pre-qualified. Ask your family, friends or co-workers who may have recently purchased a home who they used to finance the transaction. Set up a meeting with a loan officer to discuss the different loan programs that may be available to you. Right now one great program is an FHA loan. With the right credit scores you can buy a home with only 3.5% down payment and interest rates are very competitive. WHEDA, another government backed loan has just recently become available again too. Of course there is conventional financing that requires a minimum of 5% down (20% if you want to avoid paying private mortgage insurance-PMI). The loan officer will tell you how much of a loan you can qualify for and what your monthly payments would be. There are closing costs associated with the loan so make sure they give you an idea of what they should be.
- Find a Buyer’s Agent. Once you have found out you qualify for a home loan and what price point you are comfortable with, now you want to meet with a Buyers Agent. Not all Realtors are members of REBAC (Real estate buyers agent council) and may not be representing your best interest. In fact in Wisconsin, the agent showing you homes is not representing you the buyer unless you have entered into a formal written agreement called a Buyer’s Agency Representation. If you don’t have that written agreement the agent is a sub-agent for the listing broker and thereby is representing the sellers’ best interest. I offer buyer counseling to my clients where we get together and talk thru the process. I find out the buyers’ needs and wants in a home, and where they’d like to live. We discuss agency relationships, viewing homes and contingencies like financing and home inspection. We then pull up on the computer homes that meet their criteria and pick out ones to view. At the end of the 90 minute meeting we typically have a date set to go out on tour.
- View Homes. The beauty of working with one agent in the buying process is that he/she will set up the tour of homes and gain access to them for you. You can block out a few hours and depending on the location of the homes see 6-10 homes and get a great picture of what your dollar can buy. There is no need to wait for open houses, as some homes are never held open and sold even before the first open house.
- Write the offer. Once you’ve selected the home you’d like to buy, you submit a written offer on a state approved form. Your agent will walk you through the process and explain the forms and include any contingencies necessary.
- Finalize the closing. Once you’ve gotten an accepted offer and satisfied any of your contingencies you can set up closing. Closing is set from 9am-4pm weekdays and takes about an hour. After the closing you are the proud new owner of a home.
If you’d like more information on homes for sale or a lender referral, just give me a call 414-510-1908.
Posted by:
Ann Lebiecki
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February 15, 2010 at 07:10 AM
Starting March 1, 2010 WHEDA loans are back in Wisconsin! The WHEDA Fannie Mae Advantage allows buyers to bring less cash to the closing table and will allow them to have lower monthly payments than most conventional loan options.
With as little $1000 minimum contribution the borrower may finance up to 100% of the purchase price with a low 30 year fixed rate. Buyers also still may qualify for the $8000 Federal First-Time Home Buyers Tax Credit if they enter into a contract by April 30, 2010 and close by June 30, 2010.
Buyers must be first time home buyers, must complete the pre-purchase home buyer education course, must owner occupy the property but single family homes and duplexes are allowed. Purchase price and income limits apply.
What does this mean? It means that affordable loan products with low or no down payment options are back. Buyers with good credit can once again get into that home of their dreams with less cash up front.
Get all of the latest information here.
Posted by:Mickey Koch
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May 27, 2009 at 09:49 AM · Posted under Fair Housing, Pat Tasker
You have probably been wondering if WHEDA (Wisconsin Housing and Economic Development Authority) was ever going to be back in business. Good news! June 2009 WHEDA will be launching a new program perfect for our current market.
Starting June lst, 2009, WHEDA will be accepting applications for their new Wisconsin Neighborhood Advantage program. Taylor made for today’s market chucked full of foreclosures, this program will help an average buyer (not just first timers, but anyone who currently DOES NOT OWN A HOME) buy a foreclosure property AND provide money to do the needed repairs! Only SEVEN counties in Wisconsin will qualify for this new 
loan program:
Brown
Dane
Kenosha
Milwaukee
Racine
Rock
Waukesha
According to WHEDA, the basics of the program include:
“General Eligibility Guidelines
- The purchase price cannot exceed 90% of the appraised value
- Maximum of 25% of the “subject to completion” appraised value in property repairs
- Household does not have to be a first-time home buyer
- Borrower must attend eight hours of face-to-face home buyer education through an approved HUD counseling agency
- Property must be owner occupied
- Purchase price and income limits apply ”
Other special features include job loss protection, your payment is made for you if you are laid off, down payment assistance funds, grants for repairs, low 30 year fixed rate, $1,000 buyer’s own funds needed to qualify.
Needless to say, there is a long list of “qualifiers” that go with this program. Melding those qualifiers with asset manager requirements may be quite the job, but if it can be accomplished, neighborhoods will see improvement. Eyesore properties will be repaired, and a new family can move in. For more information about buying a foreclosure, click here.
When I first heard about the program, I thought “wow!, why didn’t someone think of this sooner…actually help a buyer finance a foreclosure AND the repairs needed, in one simple loan! This program is said to be more streamlined and easier to navigate than the FHA 203K program.
For more details on buying a foreclosure or using this new WHEDA loan product contact Pat Tasker at Shorewest Realtors ptasker@shorewest.com or 262-437-5853
Posted by:Pat Tasker
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