Are you numb yet? Continuing inflation, continuous raising of interest rates, threats or recognition of a recession! Incoming data indicate a slowing yet resilient economy. Consumers still have in excess of a trillion dollars in excess savings, and they’re draining it, along with increasing credit card purchases to maintain a life style. Look for good numbers for Holiday shopping, especially if the mid-term elections less than a month away are seen as supportive for the economy. We find it interesting that some economists are still forecasting a recession starting the beginning of next year. By definition, we crossed that...
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IF IT LOOKS LIKE A CONDO, IT MUST BE A CONDO, RIGHT?
It looks like a condo, is it a condo? One cannot determine whether or not a structure is a condo by looking at it when it comes to HOA’s. There are many properties that you may know as a patio home, townhome, or even a single-family residence, but because of the way the land was developed, lenders will consider them as condominiums and they must meet specific rules. What defines a condominium? Here is how you can tell if your property is a condo: If the legal description contains the words “condominium” or “horizontal regime,” the lender will consider the...
October 3, 2022October 4, 2022
MINIMUM DOWN PAYMENT REQUIREMENTS
What is the minimum amount you can put down to purchase a home? It depends on whether you are purchasing the home as your primary residence, second/vacation home, or investment property. Also, it can depend on the type of loan. Here are the minimums: • VA, USDA, or down payment assistance loan – No down payment • Primary residence, first-time homebuyer – 3% down • Primary residence, FHA loan – 3.5% down • Second/vacation home – 10% down • Investment property – 15% down These amounts assume a 1 Unit property. If you are looking to purchase a 2-4 Unit...
October 1, 2022October 1, 2022
WHAT IS A CAP RATE, AND HOW DOES IT WORK?
If you are looking to purchase a commercial property, one factor to consider is the “cap” rate. The “cap” rate is the capitalization rate. The rate is determined by taking the net operating income and dividing it by the value of the building. Many investors look at this rate to help them determine their return on investment. If you are looking for a loan to purchase a commercial property, contact us. We shop many different lenders to find the best loan for you. We are mortgage brokers. We work for you, not the lender. Counsel Mortgage Group®,...
September 27, 2022September 27, 2022
MORTGAGE LENDING CAN BE TRICKY TO NAVIGATE
Mortgage lending can be confusing and tricky to navigate, especially nowadays. That’s why it is best to work directly with a mortgage broker. A mortgage broker has access to a variety of programs and wholesale rates. If you are financing a residential or commercial loan contact Counsel Mortgage Group. We are here to assist you. We are experts in mortgage finance and have helped thousands of families over the years. We can help you too! Counsel Mortgage Group®, LLC Licensed in Arizona, California, Hawaii and Illinois www.counselmortgage.com 480-502-1000 NMLS #178927 AZ MB #0909580 CA DBO #60DBO43873 HI-178927 IL MB.6761723 Copyright...
September 21, 2022September 23, 2022
CONFORMING LOAN LIMIT INCREASED TO $715,000
Some lenders increased their conforming loan limit to $715,000. We can broker to these lenders. If you have a loan amount in excess of the current conforming loan limit of $647,200 and up to $715,000, we can broker it as a conforming loan to these lenders. This may give you a lower interest rate than a jumbo loan. We are experts in mortgage finance and have helped thousands of families obtain the right loans for them. We can help you too! Contact us and experience the difference. Counsel Mortgage Group®, LLC Licensed in Arizona, California, Hawaii and Illinois www.counselmortgage.com 480-502-1000...
September 20, 2022September 20, 2022
SPEC HOMES FOR PROFIT
We have products for builders who are building spec homes for profit. The minimum loan amount is $150,000 with a maximum loan amount of $3 million. For us to review your scenario we need the detailed budget, construction schedule/development phases, and architect drawings. The lender considers the following in the credit decision: ● Borrower characteristics/Total exposure approval (experience in the space, experience in the market) ● Concentration risk in the subdivision (total number of planned units, current phase, % of planned project under construction at one time) ● Local/Demographic data (where is the neighborhood, is it by a large metro,...
September 17, 2022September 17, 2022
DO YOU HAVE QUESTIONS ABOUT REVERSE MORTGAGES?
Are you considering applying for a reverse mortgage? Do you have questions about reverse mortgages? A reverse mortgage is a loan where you don’t have to make a monthly payment, rather, the equity in your home makes the payment. You have to be at least 62 years old to qualify and have a 40-50% equity position in your home. You must occupy the home as your primary residence. We have highly qualified originators who specialize in reverse mortgage loans. Contact Counsel Mortgage Group, we can help you navigate through the process and provide straight forward advice to get you the...
September 15, 2022September 15, 2022
CONTRIBUTIONS TOWARD CLOSING COSTS
Contributions toward closing costs allow costs at closing and prepaid expenses to be paid by interested parties to the transaction. So, if you only have the down payment, or are looking to do a no down payment loan and do not have much cash, you can negotiate to have the closing costs paid for you. Closing costs can be paid by the seller, real estate agent, or lender. There are limits on the amount a party can contribute depending on the type of loan and amount of down payment: • If you are applying for a conforming loan for...
September 12, 2022September 13, 2022
WE WORK WITH LENDERS WHO UNDERWRITE TO EITHER DU OR LPA
What is DU and LPA, you might ask? Loan Originators use both DU and LPA automated underwriting programs. DU is Desktop Underwriter and is Fannie Mae’s underwriting software. LPA is Loan Product Advisor and is Freddie Mac’s underwriting software; most conforming loans are run through one of these software programs. These programs dictate details such as the documents to be requested by lenders, whether the property qualifies for an appraisal waiver, and whether a condominium will need a full or limited review. Underwriters condition loans to their findings in order to make the loans saleable to either Fannie Mae...
September 10, 2022September 10, 2022