Tag Archives: #PreQualifications

Summer Staycation

Were in the heat of summer and as the temperature rises, many are packing their bags and hitting the road. One way to save money this summer and still vacation is to enjoy a “staycation.”

First, lets clear up what a “staycation” is… A staycation is a vacation spent at home and involving day trips to local attractions. With this type of planning, your family now has redirected unused funds that they would have spent on expensive travel, and still reap the advantages of relaxation, rest and quality family time. Sounds like a win to me!

Here are some items on my staycation list:

  • Visit the local museums
  • Go to the zoo
  • Hike a nearby trail
  • Go paint-balling or rollerskating
  • Go to the movies
  • Get a massage
  • Pay to have your house cleaned to bring hotel-level service to you
  • Grocery shop for your favorite foods
  • Create a restaurant schedule and visit local eateries
  • But your toes in the water (a pool, ocean or river)
Budgeting time to decompress and have fun with loved ones always rejuvenates my spirit. By taking a staycation you choose a thrifty alternative to an extravagant vacation. I have found myself more relaxed when it’s over because we don’t have the headache of packing, travel, itineraries and overspending.
Have you ever staycationed or are planning one?

Kathleen Beck – Mortgage Lender
2716 Broadway
Sacramento, CA 95818
916-722-0395

#Mortgage #MortgageLoanProcess #Staycation #Buying #HomeBuyer #HomeBuyingProcess #Refinance #ConventionalLoan #FHALoan #VALoan #JumboLoan #PreQualifications #PreApproval #Borrower #HomeOwnership #Sacramento #BayArea #HomeFinancing #TrustedLender

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4 Exceptions To Having More Than 1 FHA Mortgage

It is well known that the FHA will not insure more than one property as a principal residence for any Borrower.  What is missing from that information to complete the understanding of what the FHA insures, are the circumstances in which a borrower with an existing FHA-insured Mortgage for a principal residence may obtain an additional FHA-insured Mortgage on a new principal residence.

  1. RELOCATION – Borrowers may be eligible for a second FHA-insured Mortgage without being required to sell an existing property covered by an FHA-insured Mortgage if the Borrower is relocating or has relocated for an employment-related reason. Also if the borrower is establishing or has established a new principal residence in an area more than 100 miles from the borrower’s current Principal Residence.
  2. FAMILY SIZE INCREASE – Borrowers may be eligible for another house with an FHA-insured Mortgage if the borrower provides satisfactory evidence that the borrower has had an increase in legal dependents and the property now fails to meet family needs. Also when the Loan-to-Value (LTV) ratio on the current principal residence is equal to or less than 75% -OR- is paid down to that amount, based on the outstanding mortgage balance and a current residential appraisal.
  3. VACATING JOINTLY-OWNED PROPERTY – Borrowers may be eligible for another FHA-insured Mortgage if the they are vacating (with no intent to return) the principal residence which will remain occupied by an existing co-borrower.
  4. NON-OCCUPYING CO-BORROWER – A non-occupying co-borrower on an existing FHA-insured Mortgage may qualify for an FHA-insured Mortgage on a new Property to be their own principal residence.

The FHA will not insure a mortgage if it is determined that the transaction was designed to use FHA mortgage insurance as a vehicle for obtaining investment properties, even if the property to be insured will be the only one owned using FHA mortgage insurance.

Kathleen Beck – Mortgage Lender
2716 Broadway
Sacramento, CA 95818
916-722-0395

#Mortgage #MortgageLoanProcess #FHALending #FHAMortgage #Buying #HomeBuyer #HomeBuyingProcess #Refinance #ConventionalLoan #FHALoan #VALoan #JumboLoan #PreQualifications #PreApproval #Borrower #HomeOwnership #Sacramento #BayArea #HomeFinancing #TrustedLender

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What is “Boarder Income” and How Is It Utilized When Applying for a Loan?

Did you know you can use boarder income to help you qualify for certain loan programs? Understanding which programs allow you to utilize boarder income and the requirements for each can help you get ahead when applying for a loan.

Boarder income is income that a person receives for lodging, meals, or related services from people living on their property. There are three types of loans that you can apply boarder income to:

  1. Federal Housing Association (FHA)
  2. Fannie Mae (FNMA)
  3. Freddie Mac (FHLMC)

Federal Housing Association (FHA)

Boarder income applies to Boarders of the subject property renting space inside the borrower’s dwelling unit.

  • Mortgagee must obtain a copy of the executed written agreement documenting intent to continue boarding with the Borrower for purchase transactions.
  • Borrower has a two-year tax return history of receiving income from boarders and the borrower is currently receiving boarder income.
  • Obtain two years of the Borrower’s tax returns evidencing income from boarders and the current lease.

Fannie Mae (FNMA)
Boarder income from boarders in the borrower’s principal residence or second home is only acceptable when:

  • Documentation of the boarder’s history of shared residency that shows the boarder’s address as being the same as the borrower’s address.
  • Documentation of the boarder’s rental payments for the most recent 12 months.
  • When a borrower with disabilities receives rental income from a live-in personal assistant, the rental payments can be considered as acceptable stable income in an amount up to 30% of the total gross income that is used to qualify the borrower for the mortgage loan.
Freddie Mac (FHLMC)

Rental income from the subject 1-unit primary residence rental income generated from a borrower’s primary residence may be used to qualify with a disability if the rental income is from a live-in aide. This Income source may be considered stable monthly income if:

  • The rental income may be considered in an amount up to 30% of the total gross income that is used to qualify the borrower.
  • The live-in aide plans to continue to reside with the borrower for the foreseeable future.
  • Borrower received rental payments from a live-in aide for the past 12 months on a regular basis.
Boarder income can be tricky but is important to take into consideration when applying for a loan. If you have boarder income and want to learn more about how you can utilize it, please let me know as we can discuss your specific scenario.
Kathleen Beck – Mortgage Lender
2716 Broadway
Sacramento, CA 95818
916-722-0395
#Mortgage #MortgageLoanProcess #Buying #HomeBuyer #Refinance #ConventionalLoan #FHALoan #VALoan #JumboLoan #PreQualifications #PreApproval #Borrower #HomeOwnership #Sacramento #BayArea #HomeFinancing #TrustedLender #BoarderIncome #Income
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