Down Payment Assistance Down To 580 Fico Scores

 

ELIGIBLE TERMS:
-No Income Limits for 1st Time Buyers!
-Completely forgivable grant equals 2% of purchase price!
•20Yr., 25Yr., 30Yr., Fixed
Program Can be used with: FHA 203B, FHA Limited 203K, FHA Standard 203K, and FHA Repair Escrow!
• TRANSACTION TYPES:
•Purchase Only
• LTV/CLTV/HCLTV:
•The maximum limit is 96.50%
•Maximum DTI limit is 48.99%
•Down to 580 FICO scores
PROGRAM SPECIFICATIONS
•1-2 Unit Primary Residence
•Manufactured Housing
•Single-width, Multi-width, MH Condo Projects, FHA HRAP Approved Condos, PUDs

 

 

 

Will Thomas
REALTOR®
Pacific Union Los Angeles
BRE#01854963
p: 310.652.6285 m: 323.359.6719
a: 3717 S. La Brea Ave #102 Los Angeles, CA 90016
w: www.willthomas.realtor e: homesbywill@yahoo.com

What’s Your Home Worth?
Get three automated Estimates – Instantly.
No cost, and no obligation.

 

Posted on April 26, 2018 at 7:08 AM
Will Thomas | Category: first time home buyer

From Tenant to Homeowner: What you Need to Know

We’ve racked our brains and the best thing that can be said about being a tenant is that you aren’t on the hook for repairs to the home. Unless you did the damage. And, only if you have a responsible, responsive landlord.

Is there such a thing?

The downsides to renting are numerous – not having the freedom to decorate how you want, to have a pet (in many cases), to having to allow the landlord into your home and, to pay for someone else’s mortgage with nothing to show for it at the end of your lease.

It’s time to buy your own home – to pay your own mortgage and build long-term wealth.

Need proof? A census study shows that homeowners are worth, on average, $197,349 more than renters. That’s 90 times a tenant’s median net worth.

The first steps

Come on, admit it: when you think of buying a house you imagine yourself driving through cool neighborhoods and touring homes for sale, right?

The initial steps you need to take are far more mundane. But they’re critical.

Get your finances in check

Write down all your recurring monthly debt payments. Include your rent and any other payments you make to repay creditors (alimony, child support, credit card payments, auto loan payments, student loan debt).

“Don’t include living expenses such as utility bills, food, and entertainment,” suggests the experts at Wells Fargo Bank.

Then, take the total and divide it by your pre-tax monthly income. For instance: assume you’re your monthly debt payments total $1,540 and your monthly income is $5,000.

Dividing 1,540 by 5,000 gives us 31 percent. This is your debt-to-income ratio (DTI) – a number that lenders rely heavily on to determine whether or not to lend you money.

An alternative method is to plug your numbers into an online DTI calculator.

Your goal should be a DTI of no higher than 43 percent, according to Jean Folger at Investopedia.

If it’s higher, start paying down your debt. Consider bringing in extra income as well.

Check your credit

Working on a too-high DTI is just one area of your finances to concentrate on. You may also have some credit messes to clean up. You won’t know, however, unless you get credit reports from all three of the major credit-reporting agencies: TransUnion®, Experian®, and Equifax.

By law, you are entitled to a free copy from each of the agencies every 12 months. The best place to obtain your reports is at annualcreditreport.com, the only provider authorized by the federal government.

Go over the reports, looking for inaccuracies and mistakes. If you find any, file a dispute. Each credit report will offer instructions on how to do so.

You may be surprised how merely ridding your reports of inaccurate information will raise your score.

Now, go get that loan

When you’ve squared away any credit problems and raised your DTI it’s time to go shopping for a loan. See several lenders and compare their offers to find the best rates and terms.

The Federal Trade Commission offers a handy guide on how to compare loan offers on its website, at consumer.ftc.gov.

Consider home maintenance costs

Keep in mind that the pre-approved loan amount that you get from the lender is the maximum amount you can borrow. If a mortgage payment for a home at that price will leave a little left in your monthly budget to cover unexpected expenses, consider buying a less expensive home.

As a homeowner, you’ll need to have a fund in place to cover not only ongoing home maintenance expenses but those nasty surprises that happen. Installing a new water heater will, for instance, set you back more than $1,000, according to homeadvisor.com.

If the AC unit dies, installing a new one will cost more than $5,000 and plan on spending in excess of $200 to replace broken glass in a window.

Then, what happens if your property taxes increase? Your mortgage payment will as well.

It’s almost yours

Many first-time homebuyers are under the impression that by signing the purchase agreement, the home is pretty much theirs. It’s a big mistake because it leads to emotional lock-down – the feeling that you are committed.

Remember: you signed the purchase agreement – not the closing papers

In reality, you aren’t committed until the last contingency is removed. You can, in fact, change your mind, and for a number of reasons, and even be entitled to the return of your earnest money deposit in many cases.

Common contingencies include the approval of the home inspection results, final loan approval and a satisfactory lender appraisal of the property.

Think of these contingencies as your “get-out-of-the-deal-free cards. This way, regardless of how emotionally attached you become to the property, you’ll know that, should you need to, you can walk away gracefully.

Posted on April 22, 2018 at 10:02 AM
Will Thomas | Category: first time home buyer

What does it mean to be A Holistic Realtor?

What does it mean to be holistic?
It’s about recognizing the interconnected aspects of a person or situation. A holistic agent is someone who guides their clients through the real estate experience while taking the well-being of the whole person into account. The goal in holistic real estate is to go through what can be a very stressful process with special care for the physical, mental, and emotional health of all concerned. Through this awareness, it is possible to find joy and greater health in the experience.

I help my clients figure out what their best life looks like, I take my time to understand my client’s goals which helps me more clearly understand my client’s vision. I believe you can’t serve your client well if you focus only on selling a home in their price range. It has to be about more: Do they want a sign on the property, scheduling visits that work with their schedule, do they want open houses, and do they need a replacement property before they sell.

Holistic medicine is known for taking the traditional use of intellect, facts, and figures, and incorporating other elements of life into the process, Holistic real estate does the same thing. I still run comparative marketing analyses, urges clients to have inspections, keeps up on legal updates, does due diligence, and encourages buyers or sellers to do their tasks. “We are making the most of our mind’s potential by coupling the wisdom of our body and acknowledging the unknown (the spirit or soul).

What do clients think of you?
My clients are better suited to answer this for you. Here’s what some of them have said.

Evelyn.K
My husband and I been working with Will for a couple of months now and we absolutely love him. We are so blessed to have him guiding us through out the purchase of our very first home. If you are looking for an agent contact Will. He is the BEST!!!

Jeff. C
Highly recommended. Worked with Will for a little over a year. He’s very patient and does not force you into making an offer on a home that you don’t necessarily like just to make a quick buck. I was very picky on what I was looking for and Will was always patient. Thanks for all of your help Will.

Quick Snapshot
Member of the Inglewood Board of Realtors®
Member of the National Association of Realtors
Member of the California Association of Realtors
Member of (YPN) Young Professional Network

 

 

 

Posted on September 3, 2017 at 6:18 AM
Will Thomas | Category: first time home buyer, Seller | Tagged , , , , ,

Buying a condo with an FHA-backed loan

Most home sales go through without a hitch but there is always a chance that one will hit a snag somewhere along the line. Many of these are minor irritants, some are downright disappointments.

Few of the latter compared to falling head-over-heels for a condo only to learn that the community isn’t HUD-approved so you can’t use your FHA-backed loan for the purchase.

In reality, if you’re working with the right real estate agent, this shouldn’t happen; he or she should be checking the condo complex’s approval status before even showing you the home.

When it does happen, however, it typically leaves the buyer dazed and confused. Let’s take a look at what FHA requires of condo buyers that differ from its single-family home requirements.

The basic FHA requirements

Lenders have a tough job, especially when it comes to buyers using an FHA-backed loan to purchase a condo. Not only must it determine if the borrower is a decent credit risk, but it must also take into account the risk of loaning money for a home that is governed by a homeowner association. And, regardless of your creditworthiness, if the HOA has problems, the lender and/or FHA will deny the loan.

Some HOA problems that FHA frowns upon include:

  • A high number of rentals in the community. FHA rules demand that, at a minimum, 50 percent of units must be occupied by the homeowner. In 2016, HUD changed the minimum to 35 percent, under certain circumstances. Learn more about those circumstances at HousingWire.
  • The homeowner association fee delinquency rate must be lower than 15 percent of the budget.
  • No investor/entity may own more than 50 percent of the units in the community, but only if half of the units in the community are owner occupied. So, if Warren Buffet or some random Saudi Prince decides to snatch up 52 percent of the homes in a condo community, the complex will be denied HUD approval.
  • FHA will not guarantee loan repayment on a condo community that is in litigation. Once the litigation is settled (which can take years), the community can be considered for certification. Litigation examples run the gamut from the HOA suing the developer for construction defects to the famous cases of homeowners suing the HOA for the right to fly an American flag and the proper disposal of pet waste.
  • The HOA’s cash reserves must be equal to or in excess of one-years’ worth of the association fees. FHA wants to see that the HOA has sufficient reserves to cover expensive repairs or replacements.

This is by no means the entire list of requirements but represents some of those we most frequently come across. They are quite demanding – so much so that in 2013, about 60 percent of U.S. condo complexes seeking certification were denied, according to John McDermott of National Mortgage News.

Sure, it’s tedious, but the FHA process has advantages

Any home purchase requires a certain amount of due diligence. The buyer’s legal duty is to thoroughly inspect the property and the paperwork that goes with it, before going through with the purchase. Typically, the onus for this due diligence is on the buyer, but in the case of an FHA-backed loan for a condo, HUD does a lot of it for you.

Yes, you still need to read and understand every word on every document included in the HOA documents provided to you before you close on the home. While you’re trying to wrap your brain around covenants, conditions, and restrictions, however, FHA will be poring over the financial solvency of the HOA. While they may just find something distasteful in these documents, knowing that they’re scrutinizing the HOA’s budget and other financials should bring you peace of mind.

Becoming HUD-certified isn’t a one-off task, either. The association must reapply every two years.

Finally, owning a home in an HUD-certified community makes it easier to sell down the line.

Avoid disappointment

If you’re toying with the idea of buying a condo with that FHA-backed loan, do yourself a favor and check out HUD’s list of certified communities. Then, avoid looking at those that aren’t on the list. You’ll find the online database, here.

Posted on May 17, 2017 at 12:38 AM
Will Thomas | Category: first time home buyer | Tagged , , ,

BUY YOUR HOME WITH $0 DOWN!

You’re ready to buy your first home, but you can’t seem to get far
enough ahead to save for the down payment.

If you have good credit (640 fico) and a stable work history, you
may qualify for a down payment assistance program. If you have
never owned a home or haven’t owned in three years, then call me
to learn about the AWESOME loan programs available for people
that do not have savings for a down payment.

• 640 Fico or better
• Stable work history(2yrs.)
• Have not purchased a home in the last 3 yrs.

To find out if a similar program is available or if you qualify, give me a call today.


Will
Realtor
John Aaroe Group
p: 310.652.6285 m: 323.359.6719
a: 3717 S. La Brea Ave #102 Los Angeles, CA 90016

Posted on May 4, 2017 at 7:58 PM
Will Thomas | Category: first time home buyer | Tagged , ,