Covering Appraisal Shortfalls

Whenever the market heats up like this, particularly in the springtime, appraisals invariably come in low. This is simply because there are often no closed comparable sales (comps) that even come close to supporting current contract prices, especially when there are bidding wars. REMINDER: Appraisers can only use comps that close prior to the appraiser’s […]Read More

Bridge Loans; Buying Before Selling – Best Financing Option

BUYING BEFORE SELLING Sellers often want to buy a new home before selling their current residence for a variety of reasons. They might want more time to move, more time to fix up their current house before selling, or more time to fix up the new house before moving in. They also sometimes want to […]Read More

When Character Doesn’t Count – Lending in 2017

There may be murderers and bank robbers with 800 credit scores who are eligible for the best mortgage financing available. This is b/c financing is available for anyone who can manage his/her credit and income, irrespective of his/her underlying character. This occurred to me for a couple reasons. First, there was an article in the […]Read More

Loans Greater Than $417,000 Require 10% Down or FHA with 3.5% Down

Financing for loans less than $417,000 can be obtained with as little as 3% down (or even less with Homebuyer’s Assistance Programs). For loan amounts over $417,000 and up to $625,500 (in “High Balance” counties), borrowers must put down at least 10% for conventional financing, or obtain FHA financing with 3.5%. There are still no […]Read More

When VA /FHA Clearly Stronger Than Conventional? Large Down

We often have buyers willing to take VA or FHA financing even though they have substantial funds for down payments. The reason is that they are often bidding on properties that will be difficult to appraise because of the lack of closed comparable sales (necessary to “bracket” the purchase price). In many markets it is […]Read More

Bridge Loans – What, When and Why?

Our Opes Advisors branch offers “Bridge Loans.” Bridge loans are temporary financing against a property that a borrower will likely sell. In other words, if a buyer wants to buy a new home before selling his departing residence or existing home, he can get temporary financing against his departing residence to help finance his new […]Read More