The real estate market is not always kind. I have had friends and clients who purchased a home when the market was up and through the roller coaster ride of the market years later, are forced to sell their homes at a loss. This financial loss can be devastating but it is nothing compared to the emotional toll it can take. My friends have confided they felt embarrassment and confusion during the process and for years after.

If you had to sell your home through a short sale, bankruptcy or foreclosure, I want you to know two things. 1) You are not alone and 2) Your goal of home ownership is not over.

Short Sales
According to the Department of Housing and Urban Development, borrowers are considered eligible for a new FHA-insured mortgage after 2 years if:

• They were current on their mortgage and other installment debts at the time of short sale of their previously owned property, and
• The proceeds from the short sale serve as payment in full.

Borrowers in default on their mortgage at the time of short sale are not eligible for three years, EXCEPT:

• The default was due to circumstances beyond the borrower’s control (such as death of primary wage earner, long term un-insured illness, etc.), and
• The review of the credit report indicates satisfactory credit prior to the circumstances beyond the borrower’s control that caused the default.

Foreclosures
According to Fannie Mae, for borrowers with documented extenuating circumstances, a 3 year wait period is required for the following exceptions:

• Lesser of 90% LTV ratio or maximum per the Eligibility Matrix.
• Documented extenuating circumstances

Bankruptcy
The new wait period is 2 years, provided there is documented extenuating circumstances.
**Individual lenders may have additional criteria that must be met. Speak with your lender for additional information.

Source: www.hud.gov – Mortgagee Letter 09-52
Source: https:/www.fanniemae.com – Announcement SEL-2010-08

Purchasing a home is one of the biggest investments you can make. There are many pros and cons when it comes to deciding between new construction and purchasing an existing house. If you decide that new construction is right for your financial situation and it meets your timeline, keep in mind that a Realtor can make the process easier for you.

When you work with a Realtor, you are choosing to work with a person licensed to facilitate the purchase and sale of homes. For most of us, that’s our full-time job. If you are purchasing new construction from a builder, you will want someone on your side who understands the industry and is interested in making sure you get the best deal.

Who will protect your interests? The site agent works for the builder, not for you. Bringing a Real Estate agent with you from the very beginning sets a standard for how you will be treated. An added perk of using a Realtor is gaining insight from their buyers who have bought new construction before. Your Realtor will be glad to connect you with a buyer who has used the same builder.

Working with a Realtor won’t cost you a dime and will save you money in the long run. When you purchase a home, the seller is the one who pays the Realtor for their time and expertise. For new construction, this means that the builder will pay the Realtor’s usual commission. The Realtor can help you negotiate for additional closing costs and even get a matching interest rate if the builder insists you use their lender.

A Realtor is a set of experienced eyes through the whole process. From style choices at the design center to final walkthrough, a Realtor has seen it all! Let them guide you to the best choices for getting the most value from your new home. It can be helpful to have an eye on industry trends before you make your final decision. Using a Realtor when purchasing new construction will set you up for success if you decide to sell your new home in the future.

Interested in buying new construction? Call Linda at 904-504-6717 or Carol at 904-862-7044.

Searching for the next home for your family can be a lot of fun. When your offer is accepted by the sellers, your excitement can take off like a rocket. Avoid surprises and unpleasant hold-ups at closing by working with a great lender.

A great lender will guide you through the whole process from beginning your search to filing your Homestead Exemption sometimes months after closing. Just as you want to choose the right Realtor, you also want to choose the right lender.

“A good lender has the ability to help clients understand the process,” says Mike Wiles, Mortgage Loan Officer at Hamilton Group Funding, Inc. “We provide our client assistance, throughout the entire home buying process.”

Whether a buyer is purchasing their first home or refinancing an existing mortgage, financial and mortgage laws continue to change and evolve. It is important to use someone who knows all of the lending options currently available rather than a lender who could be uninformed on the best program for your situation.

A great lender is one who communicates clearly and is readily accessible. “The biggest complaint we hear about working with big loan offices is no one will call the buyer back after 5,” says Scott Goldstein, President of Atlantic Trust Morgage. “Our office is available at all hours via text, phone, or email. The ease of access is very useful when shopping for a home, clients want to see numbers quickly prior to making an offer and having access to us evenings and weekends allows them to make those offers quickly.”

Communication should definitely flow both ways. Be open and honest with your loan officer about your financial situation and they can help identify the best package for your needs.  The best question a buyer can ask their loan officer is, “What are my limitations?” says Wiles. A good lender will identify problem areas early in the process and give the buyer time to make the best decision for their situation.

If you are thinking about starting your home buying process, contact Scott Goldstein or Mike Wiles for more information about home mortgages.

Scott Goldstein, Atlantic Trust Mortgage, President
[email protected]
904-553-8988

Mike Wiles, Hamilton Group Funding, Inc, Mortgage Loan Office
[email protected]
904-401-3510