COVID-19 Updates and Forbearance Info

As a designated “essential business,” JVM Lending is open and funding mortgage loans during the COVID-19 crisis. Most types of mortgage financing remain available for qualified borrowers. If you are looking for information relating to payment forbearance, please see JVM's Forbearance Resource Center.

Posts

Short Sale Seasoning? 0 to 3 yrs for FHA; 2 to 4 yrs for Conventional

We are frequently asked if the required seasoning for short sales has changed. It hasn’t. If a borrower had no late mortgage payments prior to his short sale, he can obtain FHA financing immediately after the short sale as long he buys “down” (smaller/cheaper home). No seasoning is required. If a borrower was late with […]Read More

Short Sale Seasoning; 7 Years for High Balance; FHA – Buy “Down”

We have a few corrections/reminders in regard to yesterday’s comments in regard to Seasoning Periods after a short sale. We mentioned that Conventional Financing can be obtained as soon as 2 years after a short if a borrower has 20% of his own funds for a down payment. This seasoning period can actually be shorter […]Read More

Order “Fresh Credit” On Day of Short Sale

And because these borrowers will never miss a payment up to the short sale date, they can still buy a new home the next day with FHA financing (as most know). But because short sales (once reported to credit bureaus) can lower credit scores as much as 100 points, it is essential to run a […]Read More

Financing After Foreclosure, Short Sale, BK – Time Required

Here are the “Seasoning Periods” or “Time Required Periods” after major derogatory credit events. We publish this time and again because they often change and because people ask us about them so frequently. ALL Periods below require FHA financing. The Seasoning Periods for Conventional financing are far longer. Short Sale with No Late Mortgage Payments […]Read More

Buying a Property After a Short Sale

We address short sales often, but we still get many questions so we are addressing the issue again. If a borrower is late with his mortgage payments (even once) prior to the short sale, then he cannot obtain FHA financing for 2 years or Conventional Financing for 4 years. For Conventional Financing, the four years […]Read More

Keep Payments Current Until Short Sale Closing Date!

Homeowners looking to short sale their home should NOT skip or miss payments, if possible. We beat this dead horse often, but it comes up so often we want to drive home the point again. First of all, lenders are not more likely to accept a short sale proposal if you are behind on payments. […]Read More

Short Sales Statistics – Short Sales Still Take Forever

If you are nursing a “Short Sale”, continue to expect long wait times. Legislation intended to speed up short sales apparently is not yet working. Deutsche Bank published a study of short sale turn time with various different servicers. GMAC is fastest with an average approval time of 6 months. Citi takes an average of […]Read More

Will Foreclosure Inventory Hurt Home Prices? No

Our buyers continue to express concern that the continued onslaught of foreclosures coming to market will depress housing prices. There are supposedly as many as a million unsold foreclosures or pending foreclosures in California alone, and, per the Wall Street Journal, there are about 5 million potential foreclosures coming to market nationwide over the next […]Read More

Short Sale on Credit Is Not That Bad; Credit Repair

A “Short Sale” on a borrower’s record is not as bad as many people think. Such borrowers can often buy another house in a year or less. It depends on how the short sale is reported on the credit report, and on how well the “extenuating circumstances” (that “forced” the short sale) are explained to […]Read More

Qualifying After a Short Sale, Foreclosure or BK?

Once again, are the rules for qualifying for financing AFTER a Bankruptcy, a Foreclosure or a Short Sale. For FHA, borrowers need to wait 3 years from a foreclosure, and 2 years from a bankruptcy discharge, borrowers with short sales can get financing in as little as one year. I. CONVENTIONAL LOANS: A. Foreclosure: 5 […]Read More

“Squatters” in REOs?

Here is another new issue that is slowing down some of our transactions: “Squatters” in an REO. Lenders are now well aware of how difficult it can be to evict squatters, tenants or occupants of any kind from an REO. Therefore, if lenders become aware that an REO Property is occupied, many will not fund […]Read More

Possible Relief for Short Sale Process?

We just got back from a huge Asset Managers Conference in Fort Worth, Texas where we were actually featured speakers. Our topic: Don’t be afraid of FHA because it now allows “As Is” purchases, and because we control the appraisal process. We also touted “HomePath” financing for Fannie Mae owned foreclosures. One of the things […]Read More

Foreclosures Way Up

Rates are off again because of continued signs of economic strength, including improved “Housing Start” numbers and positive corporate earnings reports from Wall Street. There are, however, many indicators that the economy remains weak, including negative data from the Fed, and increasing foreclosure numbers. Foreclosures for the first six months of this year are up […]Read More

Much Economic “News” coming this week; Commercial Hard Money

We have access to a Commercial “Hard Money” fund that is managed by a commercial real estate appraiser. The advantages of having a commercial appraiser manage the fund are several. First, the value can be estimated much more quickly, resulting in faster answers. Second, there are no up-front commercial appraisal fees that make commercial financing […]Read More

“Seasoning” for BK, Foreclosure, Short-Sale – Revised (Important Information)

Below is a summary of the Seasoning Requirements for Major Derogatory Credit Events, for both FHA and Conventional Loans. Note that the “Short Sale” rules are the same for FHA and Conventional Loans. I. CONVENTIONAL/NON FHA (Conforming) LOANS A. FORECLOSURE: 5 Years from Sale Date B. SHORT SALE or SHORT PAY-OFF: This is “case by […]Read More