Loan Limits Increase for 2017
The largest financing agencies of the United States government have decided to increase loan limits in 2017. Below are the highlights of the increase: – FHA loan limit “floor” will increase to $275,665 from $271,050. (These are the limits observed in Lee County) -FHA loan limit “ceiling” will rise to $636,150 from $625,500. -Conforming Fannie Mae and Freddie Mac loan limit will increase to $424,100. FHA states that maximum loan limits increased in 2,948 counties and remained the same in 286 counties. Studies have estimated that these increases could have a billion dollar effect on the loan...First-Time Homeownership Driven By Millennials
According to the National Association of Realtors, first-time home buyers are getting off the sidelines and purchasing homes. The share of home purchases by first-time buyers rose to 35% this year from 32% last year. This is a great sign that the job market is finally getting better for those who have less experience in the workforce. The low mortgage interest rates are also helping with...Published Interest Rates Misleading
There has been a lot of buzz lately regarding the difference between the published interest rate and the rate that is actually offered to borrowers. The interest rate published as the “average rate” by Fannie Mae and Freddie Mac is always lower than the actual interest rate offered by mortgage lenders or brokers. The reason for this discrepancy are loan level pricing adjustments “LLPA”. The published rate is the rate offered to borrowers with no negative loan level pricing adjustments. These can include credit score, loan to value, property type, and many other factors. When you are shopping for your next home loan keep in mind that you probably will not qualify for the “average rate” published on...Fannie Mae Day 1 Certainty
Day 1 Certainty is a new offering Fannie Mae is giving their lender partners. This should mean greater speed and simplicity when lenders deliver loans to Fannie Mae. This will increase efficiency for lenders when verifying income, assets, and employment. There will also be additional improvements for customers eligible for a property inspection waiver (PIW). This efficiency should mean the an easier and more hassle-free loan process....Connect With Us
