Presentation on motif: «Greet Real estate 101. Real estate 101 Home buying 101 Demonstrated by the NASA Federal Credit Connection Bert Aguilera Mortgage Representative NMLS #551894 (301) 249-1800,»- Demonstration transcript:

dos Property 101 Real estate 101 Displayed by NASA Government Borrowing Partnership Bert Aguilera Home loan Agent NMLS #551894 (301) 249-1800, x334

step 3 What exactly is a home loan? Its also referred to as an interest rate, good lien, or a security focus that’s held by a loan company. New lien was paid and put out once and make fast money towards the identity of one’s loan, the borrowed funds was refinanced adjust the new words, and/or home is marketed. It is also also known as a home loan.

5 The loan Market Went Back again to Principles When applying to own a mortgage twenty five years ago, four things were vital: ? Business Stability ? Dollars ? Credit ? Earnings Now, talking about nevertheless crucial!

six How do you Be eligible for Home financing inside the 2014? An excellent Credit rating Cash to close off Full Files

eight What you should Stop When preparing Locate A home loan Lots of credit card debt Big sales (to purchase an automible and other high affairs) Switching jobs Trying to get the fresh new borrowing from the bank

8 Papers Requirements The latest records expected towards the a mortgage loan is actually to search for the creditworthiness of one’s associate while he or she is in a position to repay the debt. Resource paperwork to support funds to possess advance payment, closing costs, and you can reserves. Income files such as for instance current shell out stubs coating a single month months and W-dos statements during the last couple of years are typically needed for salaried professionals.

9 Paperwork Conditions Cont’d To have self employed borrowers, a lot more papers including tax statements for the past couple of years and you may year so far profit-and-loss comments are required. For S providers and businesses that are integrated, business taxation statements during the last a couple of years are necessary.

10 Payment Charges Cost of the closure the loan Usually projected from the cuatro%-6% toward get deals. Appropriate settlement costs is determined by charges fees towards you, exactly how much youre credit, how you funds the home loan (points), and your closing go out, we.e., in which they drops within the times. Closing costs have been in introduction towards downpayment number requisite.

11 What’s a place? A time is actually a fee the new member can choose to spend to attenuate the speed. The brand new supplementary markets will get implement almost every other products to possess credit score, occupancy, under financial support (etc). For every single part is equal to step 1% of the loan amount which can be added to the full closing costs. Members can decide to shell out circumstances or loan providers increases the considering interest to attenuate the new relevant points.

several What are other closing costs? Pre-paids (escrows getting assets taxes and you will home insurance) State and local transfer and you may recordation taxation Origination Charge Assessment Charges (paid back additional closure) Credit file, Flooding Qualification, Taxation Solution Costs Settlement Fees, eg title lookup and you may name insurance policies, review charges, questionnaire, recording charges, and you will client attorneys charges

13 Carry out I wanted a down-payment? Never. The financing relationship also offers a zero Down, No MI portfolio special. Other mortgage loans normally wanted at least down payment of step 3.50%, 5%, 10%, or even 20% of transformation rate. Specific mortgage software need to have the money getting the loans. The sole lent money have to are from a secured asset for example once the a beneficial 401(k) plan. Other businesses allows you to fool around with something special from a relative to fund their advance payment.

14 Very first Home loan Terminology LTV (loan-to-value) – The ratio within level of the mortgage as well as the total property value the property. CLTV (combined-loan-to-value) This means there is a moment home loan ()() to the possessions. Arm changeable speed home loan EMD Earnest money put GFE Good-faith estimate MI Financial insurance rates that is required if the LTV was more than 80%. P/I (PITI) Dominant and you will attract (fees & insurance) DTI debt-to-earnings ratio HUD-step one payment layer explaining finally cost of purchase

15 Version of Mortgages Sorts of Mortgages Compliant as much as $417,000 Low-Compliant Jumbo Mortgage loans significantly more than $417,000 FHA & Va /5 or Zero Down Zero MI Special (get merely)

17 The new Programs 100% Resource to $650,000 – No Deposit called for- Buy Financing – Zero home loan insurance policies (MI) required – You want Good credit, Earnings and you can Deals Trend – On 31 and you can fifteen seasons Repaired, 3/1, 5/1, 7/step 1 and you may 10/1 Case – 95% Money to help you $850,000 which have 5% down-payment So it provide is bound to help you well-qualified applicants. Some restrictions get use. Bring is valid for number one Household Simply.

18 Record Low interest Rates haven’t been that it reasonable just like the 1971 cuatro.00%, 29 Season Repaired Conforming Prices effective * subject to transform day-after-day step 3.75, 20 Year Fixed step 3.125%, fifteen Seasons Fixed What this means For you…

20 Monthly payment Try to have a beneficial $eight hundred,000 Mortgage Title: 30 Seasons Fixed RateP&We Fee Amount 4.00%$1,910 5.00%$2,147 six.00%$dos,398 Full monthly payment (PITI) should include possessions taxes, homeowner’s insurance rates and maybe mortgage insurance

21 Things to consider When searching for Your home? Location and you can must have enjoys The restriction pre-accepted financing curb your Real estate professional Domestic Advantage (mycuhomeadvantage)mycuhomeadvantage Their Payment Providers CU Term

twenty-two Home Advantage Program Availableness program due to Hook into the NASA’s web site 100 % free system so you’re able to users Have a look at newest listings from Several Checklist Provider (MLS) Get university and area investigation Get a hold of a professional realtor and you can located around 20% of its percentage to your settlement costs.

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23 Isn’t it time To shop for Property? Label NASA Federal’s step 1 st Mortgage Gurus First. We could assistance with an individual appointment. Score Pre-Accepted And make an offer into property together with your broker What you may anticipate out of lender when your render is actually approved and you can ratified by the suppliers (securing rates, disclosures, operating, underwriting) Mortgage Connection Page Payment / Closure

24 Information Remove as much consumer debt that you could Save your self, Conserve, Conserve getting a deposit & settlement costs Cannot make major purchases, Early installment loans transform jobs, or score the newest borrowing from the bank if you’re qualifying getting home financing Carefully evaluate your credit score Free yearly credit file (annualcreditreport)annualcreditreport Have fun with Balance having borrowing from the bank session

twenty-five Investment having NASA FCU One-End Store! Of looking a representative so you can Money in order to Closure! Fast, Polite, Elite Provider Straight down Costs On the internet Tools Individual Consultation services

twenty-six Free Individual Appointment Find out how far you can afford Talk about other loan alternatives Review your house to shop for techniques If you’re maybe not already a member of NASA FCU become a person is effortless!! Ask all of us just how.