Mortgages Today

Honesty -- is it the best policy?

2009-06-04T06:16:00.000-07:00

Ethics is a huge problem today. One of the major reasons for the downfall of our economy is based on greed and bad ethical judgements. Greed based on personal gain from not being honest with your clients. In the world of mortgages it is easy to deceive to move a client forward but this will come back to haunt the person hopefully.

I believe in treating every client the same as I would treat my mother. Straight Answers with both sides of the coin shown. Risk is discussed and the decision is up to the client in the end. From this approach I have lost business because I was straight up with the client -- I would rather not do business than not have laid it all on the table.

Appraised value is a big concern right now. I discuss the pros and cons with clients about the risk of the appraisal process in the current declining market. Some appreciate knowing the ups and downs others only want to hear it will be "ok". I can't tell everyone it will be "ok" so they go to the person that gives them the warm fuzzy feeling -- some close others get burned. My clients know the risks and accept them -- they know the potential downfall up front.

As an originator my job is to give you the good bad and ugly -- not that 2 out of 3 items in that list are negative. I am not a pessimistic person but this is your home and life we are talking about lets make sure it is a good deal for you.

If you would like honesty as the best policy give me a call or contact me via my website at: http://www.new-hampshire-home-mortgage.com

Commitment

2009-06-03T10:45:00.001-07:00

What is Commitment... not on a personal level but for your purchase?

Commitment is when the bank/lender has said yes and all conditions have been satisfied. This is when you know you have the loan... but don't completely relax.

The lender has the right to check your credit, income, assets, and employment status up to and including the day of closing!

As we tell all of our clients -- Don't Buy and Don't Apply. Buying items on credit cards can change your credit score... or applying for new debt. Whatever you want to buy for your new home will still be there AFTER you close!

For more home buying tips contact me via my website at: http://www.new-hampshire-home=mortgage.com

Turn Times

2009-05-13T10:41:00.000-07:00

Pit Crews measure their success by how fast and efficient they can get their card in and out of a pit stop with a full service. Races are won and lost by the turn time.

What does this have to do with mortgages? Currently lenders are experiencing a high amount of production due to the lower rates and lower home prices. This causes delays. It is the originators job to make sure he/she knows the lenders turn times to be able to guide you with advice in regard to how long you should lock your rate with the lender. A 30 day lock is not much good if it takes the lender 18 days to review your file and another 7 to clear up any outstanding conditions as you won't have time to get the appraisal, title, etc... in to them in time. In that case you would need a 45 or 60 day lock. Lenders are requiring 3rd party verification of income and for many this is executing a 4506-T -- Request for Tax Transcripts through the IRS to make sure what you are showing for income is what you have declared with IRS through your tax filings. This takes time and the more lender utilizing this slows this process down. Originators should be able to see this obstacle coming up and guide you through the process.

For more information visit our website at: http://new-hampshire-home-mortgage.com

Live Large!

2009-05-11T09:59:00.001-07:00

This is a quote from a paperback hero I had as a kid, I can't remember anything about the book except my hero never gave up, always won, and he Lived Large. Of course for him it meant life on the edge every minute. For the rest of us I don't think we have to go that far. But you need to live and enjoy the moment. My family planted our perennial garden this weekend in front of our home and I was struck by the joy of being able to learn about gardening with my family. All made possible by home ownership and it struck me that in my own way I am Living Large. Large in love for my family and the enjoyment we have in our yard.

The point is renting is good but there is something about pride of ownership that lets you Live Large.

Contact me via my website to find out how you can Live Large! at http://www.new-hampshire-home-mortgage.com

Purchases

2009-05-08T07:16:00.000-07:00

Financing Options:

100% Financing USDA Rural Development -- Income and Geographic limitations down to a 620 Credit Score

96.5% FHA -- No Income Limits Purchase Price Limitations

1% Down Payment with New Hampshire Housing Finance Authority combined with FHA or USDA Rural Development

5% Down Payment Conventional Financing -- can be combined with a Reduced Mortgage Insurance for an additional 1% fee

Reverse Mortgage purchase for clients over 62 years old

YES we have your programs available! For more information contact us via our web site at http://www.new-hampshire-home-mortgage.com

Comparable Sales

2009-04-21T08:35:00.000-07:00

What is the value of your home?

Is it the Assessed value that your town/city has your tax base at?
Is it the cost to replace on your insurance binder?
Is it the intrinsic value that you believe your home is worth?

The value of your home is based on what the market will pay for your home and is a snapshot in time based on what has recently sold in your area. What this means for you is that if your neighbor has the same house and just sold for $200,000 after being on the market for 6 months... chances are your house is worth $200,000, or is it? What if the neighbor had to sell to avoid foreclosure, or was going through a divorce and had to sell -- these are called distressed sales and need to be adjusted for. Our big problem right now is the VAST amount of distressed sales spread throughout our entire area and the LACK of sales. This makes it very difficult for lenders to determine a final value.

Just more information to digest in our ever changing market. Feel free to contact me via my website at: http://www.new-hampshire-home-mortgage.com

2009-04-16T06:30:00.000-07:00

As a result of the Homeowner Affordability and Stability Plan (HARP), Evolution Mortgage LLC is participating and pleased to announce a new refinance option, known as the FNMA DU Refi Plus Program. This program allows more flexible loan terms on rate/term refinances to specifically identified loans.
Loans being refinanced under this program must have been sold to FNMA.

Features of the FNMA DU Refi Plus Program
• Maximum LTV as accepted by DU, up to 95%.
• Maximum CLTV as accepted by DU All existing subordinate financing must be re-subordinated. New subordinate financing is not permitted.
• Minimum credit score requirement is 620 on standard conforming limits; 680 on FNMA High Balance. A credit report must still be submitted. Minimum 48 months since a Bankruptcy; 84 months since either a foreclosure or multiple bankruptcy
• DU approve/eligible recommendations (without EA findings) will be accepted
• Primary, second home and investment properties are eligible.
• Eligible properties are 1-4 units, FNMA eligible condos, and PUDs (2-4s are not eligible on FNMA High Balance)• Qualifying ratios are determined by DU.
• The borrower(s) on the existing loan must be identical to the borrower(s) on the new loan. A new borrower may be added to the new loan, as long as the existing borrower(s) is retained.
• Mortgage insurance is not required if the existing loan does not require MI. Loans currently with MI are not eligible for this product.
• Loan amount may exceed existing loan unpaid principal balance only for payment of closing costs, prepaid items and lender fees.
• Borrower may receive up to the lesser of 2% or $2,000 at closing.
• The new refinance loan must result in a tangible net benefit to the borrower in either a) a reduction in the interest rate; b) a reduction in the amortization term; c) the replacement of an ARM or a Balloon/ Reset Mortgage with a fixed-rate loan or d) lower monthly payment that recoups costs within 60 months.
• Documentation requirements are per DU findings
• Property Inspection Waivers (PIW) accepted where allowed by DU, provided:
• Borrower certifies the home has not been listed for sale in the past 6 months and is not currently for sale
• Property county was not declared to be in a FEMA declared disaster county since last first lien lending transaction
• Last first lien lending transaction was not a purchase as an REO sale.

For more information about this exciting new option and if you qualify please contact me via my website at: http://www.new-hampshire-home-mortgage.com

Complex Transaction

2009-04-13T07:27:00.000-07:00

A mortgage is a Complex Transaction -- not due the how but to coordinate ALL of the individuals to make a mortgage complete. The borrower, originator, processor, appraiser, home inspector, underwriter, title abstractor, title company processor, insurance agent, the lender's closer, the closing agent, the real estate agent for buyer/for seller, and the sellers themselves.

Many people to coordinate and make sure all are moving toward the same goal. The broker or originator is the person to coordinate with all entities to ensure this happens. So make sure you have a good relationship with your originator as they are your link to the process.

I look forward to being your "link" for more information please contact me at my website: http://www.new-hampshire-home-mortgage.com

Apri 9th Passover

2009-04-09T06:02:00.000-07:00

As Easter approaches it is time to reflect on what is good in our lives and be thankful. To remember those that have passed and those that have been forgotten. To be blessed by a child's smile or the wisdom of our older generation. Time to be the people that we should be. To deliver on promises and not make excuses. Proud of what we do and how we do it.

I am a father of 3 girls and husband to my wife of 14 years and very thankful that I have been blessed with a loving family.

From our thoughts to yours. Enjoy your family this weekend.

for my contact information go to my website at: http://www.new-hampshire-home-mortgage.com

HVCC

2009-04-06T04:19:00.000-07:00

Home Valuation Code Of Conduct... good or bad? This was not a law that was passed but a settlement between the state of NY and FNMA & FHLMC. This settlement changes how the entire property appraisal process works. Your broker will no longer order your appraisal report. The report MUST be ordered by the lender... but what happens if the lender does not like the property? Your loan must be taken to another lender and yes you guessed it, you need another appraisal. This starts to get expensive.

Brokers are cast as the evil Third Party Originators who have made a mess of the system. This is an easy scapegoat and in my opinion incorrect, what about the Ameriquests of the world? these were LENDERS that behaved worse than any broker. Companies like these have gone out of business so they can't be blamed -- hence the easy mortgage broker target.

For more information on how to best originate your loan contact me via my website at: http://www.new-hampshire-home-mortgage.com

USDA Rural Development

2009-03-24T06:51:00.000-07:00

There is information out and about that USDA Rural Development is out of money... That is 100% correct! BUT lenders are still underwriting to USDA Rural Development guidelines knowing that funding is simply held up in Congress. Congress will be funding USDA but it is delayed. As for lenders it is still business as usual knowing that funding is on the way!

So yes we still have 100% financing through USDA Rural Development!

to find out if you qualify please contact me at my website: http://www.new-hampshire-home-mortgage.com

Change to FHA Refinances

2009-03-23T06:17:00.000-07:00

FHA has changed the cash out refinance loan to value percentage... previously the percentage was 95%. It is now down to 85%.

What this means to you...

If you purchased a home then 1 year later took out a second mortgage to build a garage and your loan to value will be over 85% you will NOT qualify for a Refinance with FHA!

For more information about this significant change please feel free to contact me at my website: http://www.new-hampshire-home-mortgage.com

Treasure your Past, Plan for your Future, Live for Today!

2009-03-09T06:55:00.000-07:00

The title of this blog "Treasure your Past, Plan for your Future, Live for Today!" is our company tag line. It means more than just a marketing gimmick. I firmly believe that you need to remember where you came from and your history as this helps define who you are or if you are looking to change, who you were.

Plan for your Future -- You have to do this because it is coming every day. Where do you want to go in life, what do you want out of life? Think about it, make a plan, and make it happen.

Live for today! Because nobody knows what the future brings you have to enjoy today! Be happy with what you have. It is the little things that make life special.

My outlook on life is very positive even in these uncertain economic times. I look forward to talking with you, please contact me via my website at: http://www.new-hampshire-home-mortgage.com

Great Home Improvements for Seniors

2009-03-05T06:43:00.000-08:00

Some great Home Improvements for Seniors to be able to stay safely in their homes longer:

1) Levered Doorknobs
2) Grab Bars
3) Levered Faucets
4) Handrails on Stairwells both sides / Also on Steps
5) Grab Bars in Showers
6) Removal of Thresholds in doorways
7) Movable Shower heads
8) Bath & Bedroom on first floor
9) Widened Door Ways to accommodate Wheelchairs
10) Ramps for walkers/wheelchairs

All of these items make your home safer, easier to navigate, easier to live in, and more comfortable.

Many clients have used the proceeds of a reverse mortgage to pay for these improvements. Ask me how! I can be reached through my website at http://www.new-hampshire-home-mortgage.com

Reverse Mortgage Limits INCREASED!

2009-03-04T12:13:00.000-08:00

HECM Reverse Mortgage Lending Limits have been increased to $625,500!!! If you were avoiding a Reverse Mortgage due to the value of your home being above the county lending limit this is GREAT news for you!

FHA/HUD has increased the lending limit to $625,500. For more information how this can help you contact me via my website at: http://www.new-hampshire-home-mortgage.com

Seller Paid Closing Costs

2009-03-02T07:37:00.001-08:00

In this market Seller are paying for your closing costs... If you ask! Don't worry about what the seller owes or if it is a bank because you only get what you ask for. If you don't ask for the seller to help you pay the costs you will not know. It is a negotiating tool, use it!

For more information on how this will help you contact me via my website at:http://www.new-hampshire-home-mortgage.com

Return on Investment...

2009-02-24T05:30:00.000-08:00

Do you buy a rate down or not? Rates are low... is it worth paying a 1/2 point to 1 point to buy the rate lower?

This depends on what your Return On Investment (ROI) will be. To calculate this have your principal and interest payment with out buying it down. Also you will need what your payment would be with buying it down. The next number you need is your cost to buy it down (your 1/2 to 1 point -- please note a point is 1% of your loan amount).

Subtract the lower payment from the larger payment.
Divide the points by the difference in the payment.
Divide this number by 12.
This is your ROI in years. You want this number to be as low as possible to have it make sense. The rule of thumb is between 2 - 4 years. But it will depend on you short and mid-term goals, your current equity position and/or liquid assets.

This may sound confusing but it is easily shown with real numbers. For a ROI calculation on your specific scenario contact me via my website at: http://www.new-hampshire-home-mortgage.com

First Time Buyers NOW IS THE TIME!

2009-02-18T14:16:00.001-08:00

The government is now paying you to buy a home if you are a first time buyer... they are paying you in the form of a Tax Credit on your year tax returns. You could get up to $8,000 if you buy a home this year and qualify.

Now is the time to see if you can buy a home. What are you waiting for? Low Rates, Plenty of homes for sale, Motivated Sellers willing to help pay your closing costs... it doesn't get better until you remember that you can get up to $8000 on top of all that!

For more information see the line we have posted on our website: http://www.new-hampshire-home-mortgage.com

Rejoice and Live -- Reverse Mortgages can Help You!

2009-02-17T05:54:00.000-08:00

A reverse mortgage will let you enjoy your golden years without worrying about the gold.

If you have a mortgage payment now you can get a reverse mortgage and not have a payment any longer.

Has your retirement account been hit with the economic downturn?

Do you need/want the security of a line of credit with no payments required?

Have your property taxes outpaced your fixed income?

Are medical bills or prescriptions too much and you are making difficult choices?

Are you looking to buy a second home?

do you want to give to your kids and see them enjoy their "inheritance"?

A Reverse Mortgage can do any of the above or any combo of the above.

For more information for yourself or your parents, please contact me through my website at: http://www.new-hampshire-home-mortgage.com

Remembering

2009-02-16T06:15:00.000-08:00

I wanted to take this time to say goodbye to Dan Carey who passed away yesterday. Dan gave me my first job at the local corner market where I worked from age 14 through college and some after. I learned more from Dan than you can imagine.

Dan was one of the great men in this world and we are all worse off for his passing.

Matthew J Butt
http://www.new-hampshire-home-mortgage.com

VA Refinance Mortgages

2009-02-13T06:03:00.000-08:00

If you have a VA loan did you know that you can do an "Interest Rate Reduction Loan" (IRRL) and reduce your rate without an appraisal, income, or credit check?

Yes you can quickly lower your rate and save money every month for very little hassle! You can apply today, sign a few forms, provide minimal documentation, and start saving money in the very near future.

A loan that truly makes sense to do! For more information in regard to VA Refinance Interest Rate Reduction Loans contact me via my website at: http://www.new-hampshire-home-mortgage.com/

What Next...

2009-02-12T06:14:00.000-08:00

What is in store for borrowers/buyers next? The credit market is continuing to tighten. Restrictions are continuing in the form of guideline changes. The guideline changes are requiring higher credit scores for the lender's programs. For FNMA "Fannie Mae" there have been increased rates for lower credit scores and higher loan to value ratios.

The reasoning is the lower the credit score the higher the risk of default/Foreclosure. The higher the loan amount to the value of the home the less the borrower has invested and the easier it is for the borrower to walk away. The problem with this reasoning is that MOST people pay their mortgages. It is the minority that is ruling the majority in this case by creating issues due to foreclosure. Now don't get me wrong the minority is 3 - 5% of the homes in America that are in trouble or have been foreclosed upon. this is a huge number BUT look at it the other way 95% to 97%of Americans are paying their mortgages! A majority of mortgages are good. The system is trying to increase rates on the higher risk categories and the mortgages system should! If there is an increased risk of default the lender HAS to protect itself with an increased rate for all borrowers that fall into this category to plan for the borrowers that do get foreclosed on.

For more information about mortgages and your opportunities to purchase home with straight answers to your questions please contact me via my website at: http://www.new-hampshire-home-mortgage.com

What Rate is Low Enough?

2009-02-11T06:16:00.000-08:00

What rate is Low Enough for you...? When do you pull the trigger on locking your rate. Do you wait for 4.75%... or is 4.875% good enough? Nobody can answer these questions but you. What you need to decide is it worth the gamble of the rates dropping more to save a little bit more money every month or take the slightly higher rate. See Example:

$100,000 mortgage at 4.75% = $521.64
$100,000 mortgage at 4.875%= $529.21

So waiting for the 4.75 would save you 7.60/month or $2,736 over the life of the loan. Anything you can keep in your pocket is a good deal BUT what happens if you pass on the 4.875 in hopes of getting the 4.75% What if rates never go down to the 4.75% rate you wanted? You would be stuck at your higher rate and you would not enjoy any savings! This is the risk you run and only you can decide what is the best deal for you. Only you can filter all the advice and decide when to lock. Listen to advice from your broker, your trusted advisers, friends, family, read information, and then make your decision.

For more information or to discuss this topic please reach me via my website: http://www.new-hampshire-home-mortgage.com

Vacation Home Purchase, is now the time?

2009-02-09T05:43:00.000-08:00

Is it time to purchase your vacation home? Yes and No...

Yes it is the time as there are some great deals on vacation homes. Yes it is if you are in a stable job and the current downturn while it affects everybody your income is secure. Yes it is if now was when you were planning on buying. second home ownership is about cash flow can you tie up a certain amount of money every moth to own another property. will you use this vacation home enough to warrant the money you are spending on the months that you will not utilize it? Are you taking a long term approach that a good deal today means a good profit when sold?

No it is not time to buy a vacation home because of your current job being based on the economy. If you are a commissioned sales person that is getting hit by the downturn then it would not make sense for you right now. You want to be able to view the amenities, landscaping, docks, beach etc... in the winter you can't check these parts of a waterfront home which are crucial to your enjoyment AND with shoreline protection rules/regs/laws you will not be able to change the shoreline easily.

A couple of viewpoints on vacation homes. For more information and both sides of every mortgage please contact me via my website at: http://www.new-hampshire-home-mortgage.com

Bank Owned Properties -- BE Prepared

2009-02-06T10:07:00.001-08:00

There is a reason that Lenders list their properties for sale "As Is As Seen" this means they may be unwilling to do anything to the property to get it up to snuff. You may be buying a Lemon or a Diamond in the Rough.

The process is rarely smooth as the seller which is a company needs to sign the Purchase and Sales agreement after it has been negotiated. This typically takes some time. Negotiations may take even more time.

Properties can be winterized so you have to get the systems operational prior to home inspections and appraisals.

You also have to watch out for penalties for not closing on time.

Great deals to be had if you are patient and prepared.

For more information about avoiding these pitfalls contact me through my website at: http://www.new-hampshire-home-mortgage.com

4% Government Rates??

2009-02-05T07:36:00.000-08:00

I heard today on NPR on the way into work that the Government is trying to hatch a plan to have a 4% interest rate on mortgages. WOW that would be great, but when is the government going to start this program... still needs to pass so now it is just hype. How is the government going to do this... haven't said this either.... The US Government does not set interest rates they are set by the open market by what investors are willing to pay for mortgage backed securities. The new story stated that the Government could sell 10 year treasuries at 3% and then have mortgage money available at 4% so the government would make money... But if private companies can't make money at those margins how would the government do it?

So before we all line up to get our 4% government loans lets get the programs passed through congress (if that happens) and the programs in place. When the office of the Housing and Urban Development received a passed bill increasing the Reverse Mortgage Limits it took 4 months to have the limits raised.

Irrational Sellers

2009-01-30T07:33:00.000-08:00

Yes there are still irrational sellers out there who think that their property is a castle and worth a king's ransom! These folks are chasing the market downward and when they realize that their home is not a castle to others they drop their price considerably but at that point it is too late. Why is it too late? Because the property has been on the market so long that people think there is something wrong with it or the seller is getting desperate.

The best course of action is set your price for what the house should sell for and expect to pay for the buyer's closing costs or a portion of them. In this market 90% of our purchases have the seller paying for part or all of the buyer's settlement charges -- even on Bank Owned Properties!

For more information about Seller Paid Closing Costs contact us via our website at: http://www.new-hampshire-home-mortgage.com

Value, Value, Value

2009-01-29T06:59:00.001-08:00

There is news today that prices of home being sold has dropped! This is true and it affects your homes value. The appraisal process is designed to use an independent 3rd party to determine the value of your home in today's market by comparing it to closed home sales in your area. If everything is selling for less then your home's value has declined.

Does this mean it is a bad time to refinance? No it it does not if you have sufficient equity for your loan to be underwritten and closed. If you bought last year with 100% financing chances are you may not have the equity to refinance, but maybe you bought a home that was distressed or from a bank, then you have equity. Or perhaps you have put on an addition increasing your square footage which will increase your value. These scenarios are very typical. For more information contact us via our website at http://www.new-hampshire-home-mortgage.com

Windows of Opportunity...

2009-01-28T08:07:00.000-08:00

Hindsight is 20/20! In the mortgage business today it is easy to look back and say to yourself... I should have locked the rate or I should have waited... Yesterday afternoon we had a drop in prices that was truly beneficial for the borrowers who have been waiting to get to a rate in the low 5's. But I still had clients that did not want to move yet, and now today the rates have crept back up!

The lesson to be learned here is when opportunity knocks GO FOR IT!

you can visit us at our website: http://www.new-hampshire-home-mortgage.com

Appraisal

2009-01-27T06:33:00.000-08:00

The appraisal is one of the big three items that a lender makes their decision on. The appraisal is an independent 3rd party opinion of market value. The appraiser will analyze your home compared to other homes that have sold. The key word is sold. When markets are down or slow the appraiser has to go farther away from your home or make more adjustments to the sold homes to make up for differences in size, bedroom count, bathrooms etc...

The appraiser's job is NOT to get a certain number to make your loan work. The appraiser's job is independent of the loan's success or failure.

for more information on appraisals contact me via my website at: http://www.new-hampshire-home-mortgage.com

VA Loans

2009-01-26T06:45:00.000-08:00

Have you served your country? Have you used your VA Certificate of Eligibility? Did you know that there are still 100% financing options for VA Loans?

YES 100% financing. Also with VA Loans typical ratios can be overcome as this loan looks at Residual Income more than typical debt ratios!!

Let us help you find out more about VA Home Mortgages by contacting us at our website: http://www.new-hampshire-home-mortgage.com

Credit Score Requirements are CHANGING

2009-01-22T07:46:00.000-08:00

There is plenty of money to buy and refinance homes... the credit/income requirements are becoming more strict. While the government continues to "solve" the banking industry problems the marketplace is already 2 steps ahead in becoming more restrictive. Lenders are increasing minimum credit scores for programs across the board. This is a direct move from the risk associated with lower credit scores on the secondary market.

What does this mean for you? Check your credit score and start working on increasing the score! The lower the score the stricter guidelines OR the higher the rate. Save money by increasing your credit score. Credit is your biggest asset or liability depending on what your number is!

As usual contact us at our website: http://www.new-hampshire-home-mortgage.com

Market Uncertainty

2009-01-21T05:56:00.001-08:00

While yesterday was a tremendous day in the history of our great country, the markets are still uncertain of what the future holds. The following is a quote from one of my lenders about the market stability/instability: "The mortgage markets are choppy and thin and that is leading to prices from wholesalers that are not predictable." This is coming from the people who are paid to watch the markets and know how they will react!

My point to today's post is simple. Make the best decision you can with the information you have and don't look back. Rates go up, Rates go Down, the only thing you can be sure of is what your rate is when it is confirmed/locked with the lender!

For more information contact me through my website at: http://www.new-hampshire-home-mortgage.com

Soup Kitchens and Food Banks

2009-01-15T05:54:00.000-08:00

This has nothing to do with mortgages. I can't urge you enough to either donate food, money or your time to helping others this winter. These are not necessarily homeless people but your they could be your neighbors who just need a little bit of help to make ends meet. With our tough economy many people are in need.

Don't have the time? Donate Food
Don't have the extra $$? Donate Time

Just a thought for the day...
from http://www.new-hampshire-home-mortgage.com

Credit, Credit, Credit, Need I say More.

2009-01-13T02:59:00.001-08:00

If you are looking at doing something with a purchase or refinance even if it is not for several months you should start now. The first thing you want to do is contact your mortgage broker and put in an application as long as there is no fee involved. You should not have to pay an application fee anywhere. Once you have given enough information the mortgage broker can pull your credit report. This is a valuable tool as credit can be an asset or a liability.

The better your credit the more programs and lower rates are available to you. The worse your credit the rates get higher and less program options are available. If you do not have stellar credit what can you do? Talk with the mortgage person about what accounts can be paid off or balances lowered. Discuss any collection accounts or other information that is outstanding on your report. Find out if there are any erroneous accounts that need to be cleaned up. Fixing your credit is hard work that will pay off. If you have to do 40 hours worth of work to get 1% lower on your mortgage rate that could save you Thousands over the life of your loan!

For more information regarding credit contact me at via my website at http://www.new-hampshire-home-mortgage.com

NH and FHA

2009-01-12T07:33:00.000-08:00

Did you know that there are less than 100 companies that have an actual office location in New Hampshire? How does this affect you? There are numerous companies approved for FHA but if you want to got to their business location there are less than 100. Evolution Mortgage LLC is one of these locations. We are centrally located just north of Concord NH in a small town called Boscawen.

I have strong ties to this area having been born and raised in Boscawen and Penacook and will do everything possible to make sure you are taken care of.

If you want to contact me I can be reached via my website at http://www.new-hampshire-home-mortgage.com

Time To Buy!

2009-01-09T06:42:00.000-08:00

For those of you looking to buy a home now is the TIME! Rates are incredibly low AND there are numerous homes on the market. Moreover, sellers are more than willing to pay for your closing costs this combined with a USDA Rural Development Mortgage (backed by the US Government) you can get into a property with little money out of pocket!

Income Restrictions and Geographic Restrictions apply -- call me with any questions at 603-796-6244 or via my website at http://www.new-hampshire-home-mortgage.com

Are you ready for a 5% Rate?

2009-01-08T06:19:00.000-08:00

Rates are going down to 5% on a regular basis now, ARE YOU READY? By this I mean have you committed to a mortgage broker? Have you had an appraisal done? Has your file been submitted to underwriting? The answer to all of the above should be YES.

Once you have decided to refinance do everything with your originator to get your loan submitted and ask about 15 day rate locks. A 15 day rate lock is generally priced better for you. You will have to communicate more with your originator once you are approved but you can hold off and not lock until you get the rate you want. This is a bit of a gamble but the rewards may outweigh the risk. As always the decision is yours.

For more information about 15 day rate locks contact us at 603-796-6244 or our website at http://www.new-hampshire-home-mortgage.com

FHA Purchase

2009-01-07T08:46:00.000-08:00

Did you know that you can help your child out when purchasing a home by Co-Signing the note? This is known as a Non-Occupant Co-Borrower. We take all of your information as well as the borrower -- your income, assets, and credit are looked at equally! If your son or daughter needs a boost for income and you are willing to co-sign it is an excellent opportunity. This allows your child to purchase their first home with no out of pocket expense on your part... of course there is a risk. You have to be confident that your child will be able to pay the loan back as you are equally responsible for the note!

For more information contact us through our website at http://www.new-hampshire-home-mortgage.com

FHA 3.5%

2009-01-06T07:05:00.000-08:00

FHA has increased the down payment requirement to 3.5% on all new purchases. All 3.5% has to be toward the down payment unlike previously when some of this could be applied toward closing costs.

The seller can still pay for your total settlement charges for up to 6% of the purchase price AND the 3.5% can be a gift from an immediate family member!

for any questions you can contact me at:
http://www.new-hampshire-home-mortgage.com

Happy New Year!

2008-12-29T07:34:00.000-08:00

Happy New Year from my family to yours!

http://www.new-hampshire-home-mortgage.com

2008-12-22T06:26:00.000-08:00

Merry Christmas and Happy New Year from Evolution Mortgage LLC.

We will be continuing our BLOG after the holidays -- have to take time to play with the kids during their school vacation!

As always you can reach us via our web site at
http://www.new-hampshire-home-mortgage.com

Lower rates...?

2008-12-19T06:11:00.000-08:00

Rates have dropped. This is a fact. As a matter of fact they are as low as during the refinance boom of a few years ago. Why the question mark in my heading? These rates are great for those not taking cash out with superb credit scores and very low loan amount to value of the home. For example if you take a person that bought a house 6 years ago with a first mortgage then this person 2 years ago took out a second mortgage for home improvements and they have a 680 credit score at 80% Loan To Value Ratio -- this clients refinance is considered a Cash Out refinance and the higher Loan To Value will mean that the broker or lender is being charged more via Fannie Mae and Freddie Mac's Rate Adjustments. For the client this means that rates may not be as great as you think.

You need to deal with a professional that will be up front with you every step of the way and point out preferred financing solutions. The person above may be better off subordinating the second mortgage and simply doing a Rate and Term refinance OR even consider an FHA mortgage. The FHA mortgage will have Mortgage Insurance but the lower rate may compensate for this additional monthly fee -- furthermore the Mortgage Insurance on an FHA loan will go away after 5 years.

Today's market demands experience to give you the best advice possible. If you are interested in discussing your opportunities contact us via our website at: http://www.new-hampshire-home-mortgage.com

FHA Mortgages

2008-12-17T06:04:00.000-08:00

FHA is a premier program for today's borrowers. There are many great opportunities to purchase or refinance with this program as you are being backed by the Mortgage Insurance pool from the government. Lenders utilize this as a very safe mortgage product.

There are straightforward guidelines for debt to income ratios BUT with compensating factors these can be overcome. A great compensating factor is more than 3 months of housing payment in reserve. Another is superb credit.

But this program will go below a 580 credit score and still get you to a 96.5% Loan to Value ratio. Remember though you have to have a clean credit history for 12 months minimum and be able to explain what happened to lower your score.

This program is also great for suberb credit as you can purchase a home combined with a NH Housing Finance Authority Grant and only have to have 1% of the purchase price come from your own funds.

Connect to us via our website at: http://www.new-hampshire-home-mortgage.com

100% Financing...

2008-12-16T06:20:00.000-08:00

Don't believe the news. I was watching one of the networks and they stated you needed to have 20% down to qualify now... this is wrong. The story was on the bailout of the major banks and how credit has tightened. This story failed to mention that the US Government already has a great program in place for 100% financing -- USDA Rural Development. This is a government insured backed mortgage where you can buy a new home and even finance closing costs and home improvements if needed, depending on the appraised value.

The fine print: There are income limitations on this program defined by Metropolitan Statistical Areas -- basically the population of an area. Also there are 13 towns in New Hampshire that do not qualify for this program -- too much population (the name is Rural Development).

The Mortgage Insurance is financed into the loan and there is NO MONTHLY Mortgage Insurance! This keeps the monthly payment lower!

For example a family of 4 buying a home in my town of Boscawen NH has an income limit of $81,100. BUT if the 2 children are in any type of day care or after school care the costs of this can be subtracted from your gross income to help you qualify!

Definitely worth asking about to cut down on your required down payment.

As usual check our website for more information at:
http://www.new-hampshire-home-mortgage.com

Ice Storms and State of Emergency

2008-12-15T06:10:00.000-08:00

Well we have just come through a major Ice Storm in NH and ME. This has caused a State of Emergency to be declared.

If you are in the midst of a refinance or purchase your lender may require that the appraiser go back to the home to make sure it is still in the same condition. This can cause last minute delays and problems. Especially with purchases and rate locks. You should communicate with your lender to find out if they will require the appraiser to go back out to your home or your potential new home. While on the surface this seems like a waste of time, the lender wants to make sure they are lending on a solid property not one that was taken out by a tree and not fixed! You as a buyer should also do another walk through to make sure there are no problems. If the power is off wait until it is back on and pipes are working to avoid any plumbing issues from burst pipes. An extra ounce of prevention right now can save you in the long run.

for more questions contact me through my website at:
http://www.new-hampshire-home-mortgage.com

Interest Rates... Shopping and Stopping!

2008-12-12T08:22:00.000-08:00

Rates have been dropping! This a great thing for people with the need to refinance or lower the interest rate and save money every month. But I constantly get the question of when is a good time to lock my rate? Are rates going lower? This is the crystal ball question that nobody can give you a gaurantee on and if the do ask them for the lotter numbers at the same time.

The rate is right and you are done shopping when you obtain your goals for the refinance. What are you trying to do with the refinance? Lower rate? Lower Payment? Shorten the term of your note? Pay off Debt? You must first determine what your goal is and only you can decide this. If I offer you a lower rate on a 15 year mortgage that raises your payment but saves you 15 years on your mortgage... is this a good deal? It depends what are YOUR goals.

A mortgage professional will not just quote you a rate nor should you want this -- you want someone to ask "What are you shopping for?" This will open up a discussion on your goals to make sure that what you really want is delivered at the closing table.

When do you stop shopping for a rate? Well as you can tell from above that is simple -- when you have found a professional that will help you obtain your goals. Everyone wants the lowest rate, but this does not always meet your goals -- you can sometimes get a lower rate when you are not taking any cash out of the equity of your home -- but if your goal is to get cash out of your home the lowest rate is not right for you as it will not help you obtain your goal.

Decide what you are looking to obtain and find a professional that is going to work with you to get you there. There are always cheaper options out there, less now than previously, but remember cheap is good but good is not cheap!

If you have any questions about mortgages you can contact me directly via my website at:
http://www.new-hampshire-home-mortgage.com/

Reverse Mortgage Continued

2008-12-11T06:40:00.000-08:00

Reverse Mortgages are not for every client over the age of 62. You need to sit down with a professional that will give you the Good, Bad, and Ugly of Reverse Mortgages. Visit other web sites about Reverse Mortgages such as:

AARP's Web Site
http://www.aarp.org/money/revmort/

HUD/FHA's Web Site (Top Ten Questions)
http://www.hud.gov/offices/hsg/sfh/hecm/rmtopten.cfm

These are 2 starting spots to learn!
You can also visit my web site at:
http://www.new-hampshire-home-mortgage.com/Reverse-Mortgage.html

We are updating our information online this week and will get more up to date information.

For example did you know if it makes sense you can get a Reverse Mortgage if one of the spouses are Under age 62? If it makes sense is the key to this statement! You need to do some serious financial thinking.

Or how about using a Reverse Mortgage to buy a new home or to downsize into a condo! WE have seen many people go to single floor living with a new home with all of the upgrades to keep you in your home, safe, and comfortable!

The other item people consider with Reverse Mortgages is using them to pay for at home health care or Visiting Nurses. There are some great opportunities to stay in your home but still have the care you need.

Why would you NOT want a reverse mortgage...

You are not able to put the home in an Irrevocable Trust. If this is one of your goals for estate planning then you would need to change that part, the home can be in a Revocable Trust.
You have added a child to your deed... this would have to change as well. You are financially stable, you have plenty of income from stable sources -- there is no need for you to get one!
You don't have a mortgage now and your kids are assisting you with other financial needs -- you don't need one!
The thought of a rising debt falling equity loan is not what you want -- Get something else that fits your goals.
You are only planning on staying in your home for a very short period.. A reverse may not make sense depending on what you are planning -- Consider all the angles

Just because there is a significant amount of discussion about Reverse Mortgages does not mean you need one. Meet with an FHA Approved Lender or Broker that you feel comfortable with and that is responsive to your questions and calls. If you are feeling pressured -- STOP and find someone else to work with. The mortgage process needs to be comfortable and to move at your pace not that of the Mortgage Company -- Remember You Are the Client and You Are In Charge!

I can be reached via my website at: http://www.new-hampshire-home-mortgage.com/ We have a free information package available if you are interested.

Matthew J Butt -- evolutionmortgage@tds.net

December 10 2008 Reverse Mortgages

2008-12-10T07:06:00.000-08:00

This is my first Blog. My name is Matthew Butt with Evolution Mortgage LLC in Boscawen NH a small family owned mortgage broker licensed in New Hampshire and Maine.

I want to discuss Reverse Mortgages with you. If you are 62 and over or know someone who is (parent, uncle/aunt etc...) a Reverse Mortgage may be an excellent opportunity for them to enjoy their retirement vs. surviving it!

I have had a client that was on a fixed income that lost 40% of their retirement income -- the client was not invested correctly BUT they still need to live, pay taxes and eat! I was able to take this client from a desperate situation to a comfortable one! The client now has a line of credit that does not require a payment. This line of credit can be utilized to pay their taxes or for whatever purpose needed.

There are good bad and ugly items about a Reverse Mortgage that I will be exploring here more and more. I look forward to comments. You can find us on the web at http://www.new-hampshire-home-mortgage.com/