>> Take Action Now

Frank, we feel strongly that you as a future buyer or seller needed to know this information.  It’s a fact: many hardworking, credit-worthy Americans have a difficult time saving for the down payment to buy a home. If enacted, the new regulation will make it even more difficult for many Americans to buy their next or first home.

>> Take Action Now

What can you do? Join us and take action now. Regulators in Washington need to hear the voices of homeowners as they make public policy. This is why your input is so important. We’ve made it easy for you to send a letter to the U.S. Dept. of Housing and Urban Development (HUD) to ask that they drop the proposed 20% down payment requirement. It takes just a few seconds of your time. We have already drafted the letter for you with optional space for personal comments.

>> Take Action Now

Thank you! We hope you will join us in our ongoing efforts to help current and future homeowners protect the most important investment you will make.

About the National Association of REALTORS® (NAR)

The National Association of REALTORS® (NAR) has been a champion of home ownership rights and opportunities for more than a century. Helping consumers become more informed, responsible home owners is important to the stability and value of the housing market – and your overall enjoyment of your home.

Advice on Home Repair & Improvement, Home Loans and Mortgages. Copyright ©. All Rights Reserved.

It’s a fact: many hard-working, credit worthy Americans have a difficult time saving for the down payment to buy a home. This proposal would create a high down payment hurdle for first-time and low-income home buyers and make refinancing much more expensive for credit-worthy home owners too. Everyone will suffer. 

Please make your voice heard. You can help keep the Dream of Home Ownership Alive. Simply fill in your name and address in the provided on this page  and hit "Send this message".

HUD’s comment period closes August 1, 2011 so please act before the deadline.

Learn More About Qualified Residential Mortgages and our efforts to repeal the requirement

TAKE ACTION NOW

Click here to send message by going to this page!

About the National Association of REALTORS® (NAR)

The National Association of REALTORS® (NAR) has been a champion of home ownership rights and opportunities for more than a century. Helping consumers become more informed, responsible home owners is important to the stability and value of the housing market – and your overall enjoyment of your home.

NAR is North America’s largest professional association, representing over one million members. NAR created the Home Owner Action Center to alert home owners across the country about a critical decision that will be made soon by the Federal government that will seriously affect down payment rules on home mortgages.

The ability to buy, sell and own property has defined our nation throughout its history. Numerous studies have shown the value Americans place in home ownership. According to the 2010 NAR Profile of Home Buyers and Sellers, first-time homebuyers cite the desire to own a home as the primary reason for their recent home purchase, and in the March 2011 Allstate-National Journal Heartland Monitor Poll nine out of ten home owners say they would buy their homes again. Americans still have a deep attachment to home ownership.

Please take a minute now to read more about the effort by NAR and more than 40 coalition partners to keep the Federal government from requiring a 20% downpayment on home mortgages. Requiring a 20% downpayment would shut the door to creditworthy homebuyers and threaten our economic recovery for years to come.

Contrary to assertions by some economists, the income tax deductions for mortgage interest and real estate taxes primarily benefit middle class taxpayers with incomes between $50,000 and $200,000, according to the findings of a study by the National Association of Home Builders.

Taxpayers earning less than $200,000 pay 43 percent of all income taxes. However, they receive 68 percent of the total benefit of the mortgage interest deduction and 77 percent of the total benefit of the real estate tax deduction.

Moreover, larger benefits go to larger households and families, such as those with children. And as a share of household income, larger benefits are collected by families with less than $200,000 income, indicating that these tax rules make the tax system more progressive.

The Mortgage Interest Deduction is at Risk

Ever since the federal income tax was introduced in 1913, the government has used the tax code to encourage homeownership. Now, as a result of the effort to reduce the federal deficit, the mortgage interest deduction is under fire. Proposed changes to the tax code would have a dramatic impact on home owners and would significantly reduce the value of this deduction.

How would the proposal to eliminate the mortgage interest deduction and replace it with a 12 percent nonrefundable tax credit affect a typical home owner?

Suppose a home owner paying $10,000 in mortgage interest in a year faces a marginal tax rate of 25 percent and, to keep things simple, has enough other itemized deductions that they would itemize regardless of the mortgage interest deduction.

For that home owner, the mortgage interest deduction is worth approximately 25 percent times $10,000 or $2,500 in reduced taxes paid. With a 12 percent tax credit, the home owner’s tax benefit would be reduced to $10,000 times 12 percent or $1,200.

Moreover, if other proposals affecting housing-related deductions went into effect, home owners would not be able to deduct their state and local property taxes or the interest on any home equity loan they might have and they would pay higher tax on a principal residence when sold.

Take Action

A resolution that supports retaining the mortgage interest deduction is pending in the U.S. House of Representatives. Introduced by Rep. Gary Miller of California, H. Res. 25 states that “the current Federal income tax deduction for interest paid on debt secured by a first or second home should not be further restricted.”
At present, there are more than 40 co-sponsors for this important resolution.

Show YOUR support for the mortgage interest deduction and tell your Representative to co-sponsor H. Res. 25:

Call the U.S. Capitol switchboard at 202-224-3121 to reach your Representative’s office.
OR
Visit www.House.gov to find your Representative’s website and send an e-mail in support of H. Res. 25.

AND BE SURE TO

Thank your Representative if he/she is already a co-sponsor of H.Res. 25 or decides to become a co-sponsor.

From the just released prospectus, which opens a green light for everyone who believes that the banks or its predecessor was dishonest in representing any and all deal components, and wishes to do so using statistical sampling, which is now permitted:

Allstate’s sample sizes of Mortgage Loans are more than sufficient to provide statistically-significant data to demonstrate the degree of misrepresentation of the Mortgage Loan characteristics. Analyzing data for each Mortgage Loan in each Offering would have been cost-prohibitive and unnecessary. Statistical sampling is an accepted method of establishing reliable conclusions about broader data sets, and is routinely used by courts, government agencies, and private business. As the sample size increases, the reliability of its estimations of the total population increase as well. Experts in RMBS cases have found that a sample size of just 400 loans can provide statistically significant data, regardless the size of the actual loan pool, because it is unlikely that so large a sample would yield results vastly different from results fro the entire population

For the complete article, click here:

These days HUD foreclosures are everywhere. They are everywhere because the path to ownership for a lot of these homes was quite low initially. This is good for you because HUD homes represent some of the absolute best bargains on the market these days. Purchasing a HUD home is a little different than purchasing a traditional foreclosure though. That is why is is important you get a good knowledgeable HUD Realtor to help you out. How is it different? First of all, HUD has an automated bidding system, an easily manipulated one at that. HUD’s system, and what you should bid, is based a formula derived from days on market and number of times the price has dropped. A good HUD Realtor can usually get you within a few thousand of the lowest bid that the system will accept in the absence of other bids. This means HUGE discounts for you if you know the right Realtor. When you are perusing HUD listings you need to be aware of some of the caveats and what they mean to you. One of the things you need to pay close attention to when purchasing a HUD home as a primary residence is the FHA insurability. Homes with less than $5000 in repair are usually classified as FHA Insurable. HUD will escrow the repair money in an account for you to fix what the appraiser has noted needs fixing after you close. HUD Houses with over $5000 needed generally are FHA 203K Insurable. This means if you want to buy with traditional FHA financing you can’t, you need a FHA 203K renovation loan (or another type of renovation loan like the Fannie Mae Homestyle). Finally, you will see some homes that are not FHA 203K insurable. These are essentially teardowns.

If you really want the sweet deal on a HUD Home it is good to find one that has dropped in price once or twice and that needs some repair. It isn’t unusual for us to see 30% discounts to as-is value on these types of properties. Keep in mind to, that if you are going the way of the renovation loan you will be using after-repair value and that you can often sculpt a house that you love with 50% equity the day you move in. Invest in kitchens and bathrooms along with giving the home some curb appeal will generally provide you the best returns and the most instant equity. Don’t let the news media scare you into indecision, savvy home buyers are solidifying their family’s future with the deals available in this market.

Jonathan Blackwell
Green Renovation Specialist
Hometown Lenders
http://www.203KLoan.net
http://www.GoGreenWithFHA.com
404-551-3845

In short Eco-Friendly lending helps helps you discover new ways to reduce your energy consumption and how to finance the transition to a greener lifestyle. With energy prices forever rising and the planet starting to feel years of neglect, it has become ever more important to look for new ways of doing things. What better place to start than your biggest asset, your home? You should explore what renovation projects will help you reduce your energy consumption as well as show you the ins and out of renovation loans and energy efficient mortgage solutions as a way to finance the change.

There are lots of blogs out there for what to do, but we are the only one dedicated to showing you how to pay for it. Let’s face it, if you have looked into making your home more eco-friendly in the past then you know that going green isn’t cheap. Whether it be solar panels, energy efficient appliances, EnergyStar windows, additional insulation or tankless water heaters, none of them are cheap. Regardless, there are dozens of mortgage programs, tax incentives and purchase credits out there designed to help you pay for your new green home.

Whether you are looking to go completely “off the grid” or just looking for a way to shave some costs off your monthly energy bills, we will provide the solutions and advice you need to make it happen. Along the way we will provide you with other tips you can use when building or renovating your home to help reduce your energy consumption, save yourself some cash and feel good about your contribution to saving the planet.

For more information on how to create a green home visit my website, GoGreenWithFHA.com!

Jonathan Blackwell
Green Renovation Specialist
Hometown Lenders
http://www.203KLoan.net
http://www.GoGreenWithFHA.com
404-551-3845

An Energy Efficient Mortgage (EEM) is a mortgage that credits a home’s energy efficiency in the mortgage itself. EEMs give borrowers the opportunity to finance cost-effective, energy-saving measures as part of a single mortgage and stretch debt-to-income qualifying ratios on loans thereby allowing borrowers to qualify for a larger loan amount and a better, more energy-efficient home.

To get an EEM a borrower typically has to have a home energy rater conduct a home energy rating (HERS) before financing is approved. This rating verifies for the lender that the home is energy-efficient.

In the past most EEM’s were used to purchase a new home that already had energy efficient improvements in place. However, we specialize in the opposite of that, we help show you how to renovate your current home and add energy efficient improvements or to purchase an existing home with a FHA 203K renovation loans and add the improvements during the renovation process. So how does it benefit you?

Besides the fact you are allowed higher debt-to-income ratios, FHA EEMs allow lenders to add 100 percent of the additional cost of cost-effective energy efficiency improvements to an already approved mortgage loan (as long as the additional costs do not exceed $4000 or 5 percent of the value of the home, up to a maximum of $8000, whichever is greater). You will also end up with a far more marketable home if and when you choose to sell. We encourage you to take advantage of these money saving improvements while, at the same time, using environmentally friendly building materials and techniques to a truly create a home that has a minimal impact on the environment. Feeling good about your contribution to saving the planet along with saving yourself some serious coin on your monthly energy bills is a solid combination.

Jonathan Blackwell
Green Renovation Specialist
Hometown Lenders
http://www.203KLoan.net
http://www.GoGreenWithFHA.com
404-551-3845

And then there was one. With the recent struggles in the mortgage and housing industries the availability of true no down payment programs have all but vanished. All, but vanished except for little known and little used program offered by the US Department of Agriculture and their Rural Housing Division.

USDA Rural Housing Loans have been around for a while, but with all the easy money out their they were often ignored by home buyers and mortgage lenders alike, but no more. As the LAST remaining program allowing for 100% financing I expect their use will see a pretty dramatic rise in the next couple of years.

Created to foster development in America’s lesser populated areas, The USDA Rural Housing program is actually quite strong. Beside the 100% (102% with the funding fee) aspect they also have NO mortgage insurance. Like FHA, they offer flexible credit qualifying, reasonable debt to income ratio allowances, strong fixed rates, and little barrier to entry. They also will allow you to finance up to 100% of any repairs you may want to do and base the loan on “AS-IMPROVED” value. So that foreclosure down the road that is a great deal, but needs a little work? Yeah, you can buy it and finance the repair!

There are a few caveats to the program however. For one you need to live in an area that is low population density. Secondly, there are some income restrictions as well based of a percentage of what HUD has determined the median income level for your area to be. Don’t let either of those requirements scare you though, they are more generous then you might think.

If you have questions on whether a property or your income will qualify click on the link below and we will look it up for you. In the meantime, keep that down payment in the bank and get out there and find you a house.

Jonathan Blackwell
FHA & USDA Specialist
Hometown Lenders
http://www.USDADevelopment.com
http://www.203KLoan.net
404-551-3845

When most homeowners want more space or a nicer place they call Real Estate Agent and start their search for a new home. It doesn’t have to be that way though, you don’t have to move out to move up!

Recently homeowners wanting new digs have found the going a bit tougher. Both Fannie Mae and FHA have instituted restrictive new rules aimed at homeowners looking to buy a new place and rent out their current residence until market conditions improve. For both you now must have significant equity, 25% and 30% respectively, to use the rental income on your current residence to qualify. That means that many people now have to qualify for TWO mortgage payments. Obviously, that simply isn’t possible for many homeowners. All is not lost for those wanting a bigger space though, they just need to look a little closer to home.

Both FHA 203K and Fannie Mae Homestyle Renovation Loans allow homeowners to refinance and renovate their current residence. They allow it all based on the after repair value of the renovations. Only have 10% equity currently? That is not a problem for FHA 203K or Fannie Mae Homestyle renovation loans, they are only concerned with the equity you will have when you are finished with your renovations! So, how can you use FHA 203K or a Fannie Mae Homestyle?

New Freestanding Appliances, Complete Bathroom Remodel, Adding a New Master Bathroom, Upgrading Heating & Cooling Systems, New Siding, Fresh Paint Inside or Out, Attic Build-Outs, Finishing the Basement, Making the House Handicapped Accessible, Complete & Total Renovation, Adding a 2nd Floor, Adding a New Master Bedroom, New Deck & Outdoor Kitchen Area, Upgrading Doors and Windows, New Hardwood Flooring or New Carpet, New Lighting, Upgrading Plumbing & Electrical System, New Fixtures for Bathrooms and Kitchens, Opening Up a Floorplan, New Kitchen Counters, Vaulting Your Ceiling, Going Green with Solar Panels, and Building a New Garage to name a few!

There are hundreds of ways these loans can help you create the house you want without having to pack and unpack a moving truck. You can even add those green and energy efficient improvements you have wanted while you are creating your new space. With a tough market to sell you should always consider all your options when looking to move up. FHA 203K Renovation Loans can allow you to explore an angle you might not have previously considered

Jonathan Blackwell
FHA 203K Specialist
Hometown Lenders
http://www.203KLoan.net
404-551-3845

When most homeowners want more space or a nicer place they call Real Estate Agent and start their search for a new home. It doesn’t have to be that way though, you don’t have to move out to move up!

Recently homeowners wanting new digs have found the going a bit tougher. Both Fannie Mae and FHA have instituted restrictive new rules aimed at homeowners looking to buy a new place and rent out their current residence until market conditions improve. For both you now must have significant equity, 25% and 30% respectively, to use the rental income on your current residence to qualify. That means that many people now have to qualify for TWO mortgage payments. Obviously, that simply isn’t possible for many homeowners. All is not lost for those wanting a bigger space though, they just need to look a little closer to home.

Both FHA 203K and Fannie Mae Homestyle Renovation Loans allow homeowners to refinance and renovate their current residence. They allow it all based on the after repair value of the renovations. Only have 10% equity currently? That is not a problem for FHA 203K or Fannie Mae Homestyle renovation loans, they are only concerned with the equity you will have when you are finished with your renovations! So, how can you use FHA 203K or a Fannie Mae Homestyle?

New Freestanding Appliances, Complete Bathroom Remodel, Adding a New Master Bathroom, Upgrading Heating & Cooling Systems, New Siding, Fresh Paint Inside or Out, Attic Build-Outs, Finishing the Basement, Making the House Handicapped Accessible, Complete & Total Renovation, Adding a 2nd Floor, Adding a New Master Bedroom, New Deck & Outdoor Kitchen Area, Upgrading Doors and Windows, New Hardwood Flooring or New Carpet, New Lighting, Upgrading Plumbing & Electrical System, New Fixtures for Bathrooms and Kitchens, Opening Up a Floorplan, New Kitchen Counters, Vaulting Your Ceiling, Going Green with Solar Panels, and Building a New Garage to name a few!

There are hundreds of ways these loans can help you create the house you want without having to pack and unpack a moving truck. You can even add those green and energy efficient improvements you have wanted while you are creating your new space. With a tough market to sell you should always consider all your options when looking to move up. FHA 203K Renovation Loans can allow you to explore an angle you might not have previously considered

If you are in Georgia, Alabama, Florida, Tennessee or Virginia and would like to discuss your FHA 203K or Fannie Mae Homestyle options go visit our quick and easy Renovation Advisor now!