Tuesday, November 5, 2013
Sunday, November 6, 2011
Thursday, September 15, 2011
The Loan Process
What does the loan process really entail? Why does it take at least 30 days to close a loan? Let me give you a run down of what actually happens during the loan process:
1.) Loan application and gathering of paperwork. Sometimes the gathering could take days and weeks. But the clock hasn't even begun yet! You will find out at this point how much you qualify for and what the terms of your loan are.
2.) You go out and find a property and make an offer. ONce it's accepted, then we are in contract! Day 1 begins!
3.) Loan is submitted to an underwriter and sometimes, we will need to update some income and asset docs at this point.
4.) Appraisal is ordered. This whole process from start to finish could take at least a week especially during the refi boom or when rates are low.
5.) We get a "conditional" approval. This means approval is subject to the list of conditions listed on the approval.
6.) We get more paperwork and submit it to the lender. If the file is super complete from the start,then we get to skip this part.
7.) Underwriter approves the loan and we are now cleared for docs.
8.) We order docs. That means we fill out a form requesting for the documents to go to the title company with all the terms we discussed during the rate lock conversation.
9.) Docs are at title. Yahoo! You go there, or the notary goes to you and you sign loan docs!
10.) If this is a purchase, the funding happens about 2-3 days later. If it' s an owner occupied purchase, then it takes about a week.
11.) Loan funds. Funder sometimes finds more missing items!
12.) We are on record with the county recorder and the loan is done!!
It's not as bad as some people think!!
1.) Loan application and gathering of paperwork. Sometimes the gathering could take days and weeks. But the clock hasn't even begun yet! You will find out at this point how much you qualify for and what the terms of your loan are.
2.) You go out and find a property and make an offer. ONce it's accepted, then we are in contract! Day 1 begins!
3.) Loan is submitted to an underwriter and sometimes, we will need to update some income and asset docs at this point.
4.) Appraisal is ordered. This whole process from start to finish could take at least a week especially during the refi boom or when rates are low.
5.) We get a "conditional" approval. This means approval is subject to the list of conditions listed on the approval.
6.) We get more paperwork and submit it to the lender. If the file is super complete from the start,then we get to skip this part.
7.) Underwriter approves the loan and we are now cleared for docs.
8.) We order docs. That means we fill out a form requesting for the documents to go to the title company with all the terms we discussed during the rate lock conversation.
9.) Docs are at title. Yahoo! You go there, or the notary goes to you and you sign loan docs!
10.) If this is a purchase, the funding happens about 2-3 days later. If it' s an owner occupied purchase, then it takes about a week.
11.) Loan funds. Funder sometimes finds more missing items!
12.) We are on record with the county recorder and the loan is done!!
It's not as bad as some people think!!
Tuesday, May 31, 2011
How soon after a BK, a short sale or foreclosure can I buy a home?
“When Can I buy again after a Bankruptcy, short sale or foreclosure?”
I get this question all the time and I finally got smart and decided to post it here for everyone.
These guidelines have changed quite a bit over the past three years (becoming more strict) and are accurate as of the date of today’s post – 2/3/2011
2011 FHA Waiting Guidelines
Bankruptcy – You may apply for a FHA insured loan after your bankruptcy has been discharged for TWO (2) years with a Chapter 7 Bankruptcy.
You may apply for a FHA insured loan after your bankruptcy has been discharged for ONE (1) year with a Chapter 13 Bankruptcy
Foreclosure - You may apply for a FHA insured loan THREE (3) years after the sale/deed transfer date.
Short Sale / Notice of Default – You may apply for a FHA insured loan THREE (3) years after the sale date of your foreclosure. FHA treats a short sale the same as a Foreclosure for now.
Credit must be re-established with a 640 minimum credit score
2011 VA Waiting Guidelines
Bankruptcy - You may apply for a VA guaranteed loan TWO (2) years after a Bankruptcy
Foreclosure - You may apply for a VA guaranteed loan TWO (2) years after a foreclosure
Short Sale - You may apply for a VA guaranteed loan TWO (2) after a short sale, unless it was a VA loan then restrictions apply
Credit must be re-established with a minimum 620 credit score
2011 Conventional Waiting Guidelines (Fannie Mae)
Bankruptcy – You may apply for a Conventional, Fannie Mae loan after your bankruptcy has been discharged for FOUR (4) years.
Foreclosure - You may apply for a Conventional, Fannie Mae loan SEVEN (7) years after the sale date of your foreclosure. Additional qualifying requirements may apply,
Short Sale / Notice of Default – Currently treated the same as a foreclosure with a waiting time of SEVEN (7) years before you can buy again using a Fannie Mae conventional home loan.
Credit must be re-established with a minimum 660 credit score.
Fannie Mae has reduced waiting periods in cases of extenuating circumstances – The death of a primary wage earner seems to be the only one I have been able to identify up to this point.
Preparing to Buy Again after BK, Short Sale or Foreclosure
You should begin looking at your credit at least six (6) months before you are ready to buy again.
Quite often there are things left over on your credit report that can delay your ability to qualify.
With a little head start and good advice, you can get your credit in line, qualify for financing and buy again in the lowest priced real estate market that California has seen in years and years!
Call me for more details!
Marylou Edwards
925-398-0211
I get this question all the time and I finally got smart and decided to post it here for everyone.
These guidelines have changed quite a bit over the past three years (becoming more strict) and are accurate as of the date of today’s post – 2/3/2011
2011 FHA Waiting Guidelines
Bankruptcy – You may apply for a FHA insured loan after your bankruptcy has been discharged for TWO (2) years with a Chapter 7 Bankruptcy.
You may apply for a FHA insured loan after your bankruptcy has been discharged for ONE (1) year with a Chapter 13 Bankruptcy
Foreclosure - You may apply for a FHA insured loan THREE (3) years after the sale/deed transfer date.
Short Sale / Notice of Default – You may apply for a FHA insured loan THREE (3) years after the sale date of your foreclosure. FHA treats a short sale the same as a Foreclosure for now.
Credit must be re-established with a 640 minimum credit score
2011 VA Waiting Guidelines
Bankruptcy - You may apply for a VA guaranteed loan TWO (2) years after a Bankruptcy
Foreclosure - You may apply for a VA guaranteed loan TWO (2) years after a foreclosure
Short Sale - You may apply for a VA guaranteed loan TWO (2) after a short sale, unless it was a VA loan then restrictions apply
Credit must be re-established with a minimum 620 credit score
2011 Conventional Waiting Guidelines (Fannie Mae)
Bankruptcy – You may apply for a Conventional, Fannie Mae loan after your bankruptcy has been discharged for FOUR (4) years.
Foreclosure - You may apply for a Conventional, Fannie Mae loan SEVEN (7) years after the sale date of your foreclosure. Additional qualifying requirements may apply,
Short Sale / Notice of Default – Currently treated the same as a foreclosure with a waiting time of SEVEN (7) years before you can buy again using a Fannie Mae conventional home loan.
Credit must be re-established with a minimum 660 credit score.
Fannie Mae has reduced waiting periods in cases of extenuating circumstances – The death of a primary wage earner seems to be the only one I have been able to identify up to this point.
Preparing to Buy Again after BK, Short Sale or Foreclosure
You should begin looking at your credit at least six (6) months before you are ready to buy again.
Quite often there are things left over on your credit report that can delay your ability to qualify.
With a little head start and good advice, you can get your credit in line, qualify for financing and buy again in the lowest priced real estate market that California has seen in years and years!
Call me for more details!
Marylou Edwards
925-398-0211
Tuesday, August 10, 2010
Purchases after a short sale
Are you aware that you can actually buy a home even if you short sale your current property?? Yes you can!! As long as you have made your payments on time for the past 12 months on all loans and your lender has agreed to a short sale!! Yes you can!! You can even buy a home with only 3.5% down payment with the best rates in town, like in the 4.25% range for a 30 year fixed!! It is legal and available through a variety of lenders. Call me and I can tell you how to do it! 925-285-5333.
Marylou Edwards
Marylou Edwards
Tuesday, August 3, 2010
Friday, July 30, 2010
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