Ask the "Mortgage Man": Can I buy a house if I just declared bankruptcy?

Ask the "Mortgage Man": Can I buy a house if I just declared bankruptcy?: I have heard this question over and over again, and until now, I was unable to say yes.  The old tried and true method of approval is: 2 yea...

Ask the "Mortgage Man": Rehab Loan Made Easy

Ask the "Mortgage Man": Rehab Loan Made Easy: Is there an easy way to finance the repairs into a home purchase?  I can't find a home for a good price that doesn't need tons of renovation...

I HAVE REDUCED PMI INSURANCE RATES FOR YOUR BUYERS

I recently signed up to do business with a credit union in California who writes loans in Pennsylvania. One of their unique products offered to their customers is reduced PMI insurance. Because they are a credit union, as opposed to a bank or mortgage company, they get reduced rates on PMI insurance from two different PMI insurance companies. The average reduction in monthly payments is 41% less than what the large banks and mortgage companies charge for PMI insurance. The payment savings has made the difference in some people qualifying for a larger home than they otherwise would have been able to do. Plus the credit union offers fantastically low rates that match or beat my lowest banks and mortgage company's rates, too. For a PMI chart please contact me at 484 695 5972.

Andy Williams
President
Abacus Regional Mortgage

USDA Announces changes to PMI insurance

Effective today, October 1st, the USDA has announced the changes to their up front Funding Fee. The amount of up front insurance premium they require to be financed in with the mortgages was reduced from 3.5% to 2% of the purchase price. In addition, they will impose a .3% annual fee which will be added to the borrowers monthly payment on a monthly basis. As an example, if someown is buying a home for $100,000, they will be financing
$ 2,000 and incurring a monthly expense of $ 25. These changes are more attractive for the borrower making this type of financing an effective way to sell real estate. They will still finance 100% of the sale price, allowing the borrowers to finance the closing costs to a maximum of 6% of the selling price. The seller can pay the closing costs if the house doesn't appraise high enough to allow the buyers to finance them. This is another positive sign of the economic recovery in the mortgage industry.

Andy Williams
President
Abacus Regional Mortgage
484 695 5972

HEALTHY SNACKS AREN'T SUPPOSED TO TASTE THIS GOOD!

This concoction is one that I came up with over the years that tastes fantastic yet is super healthy. Here are the ingredients:

1 cup of fresh strawberries
1 tablespoon of Lowfat Vanilla Yogurt
1 tablespoon of Lowfat Cottage Cheese
1 teaspoon of Wheat Germ
1 teaspoon of Vanilla Granola
1/4 cup of whole walnuts

Slice the strawberries and mix with all of the ingredients. It stores well in a container to pack for lunches and makes a fantastic snack. It is half the calories of ice cream yet contains Omega 3s and packs alot of protein to increase metabolism and fat burning.

WHICH IS BETTER FHA OR CONVENTIONAL FINANCING?

Is FHA still the best way to go? I was recently asked this same question when the subject of PMI insurance came up. The monthly risk premium on FHA increased from .9% of the base loan amount to 1.15%. This marks a 27% increase from last year and 130% increase from three years ago. With many conventional programs offering no PMI insurance with a slightly higher interest rate, the total monthly payment is less than loans with PMI insurance. Is it better to go back to conventional financing?

POCONO COMMUTERS EFFECTED BY GAS PRICES

The last time gas prices spiked sharply in 2007 was the beginning of the end for the "Real Estate Boom". At that time, commuters rethought their idea of moving to the Poconos due to the high cost to commute from NYC and back. With the bus companies hauling the majority of commuters into the city each day, they are raising their prices in accordance with the rising gas prices. These additional commuter costs may be enough to deter the person looking to move to the area from doing so until the price of gas comes down to an affordable level. Hopefully this doesn't adversely effect the amount of home a buyer can be prequalified to purchase.

Andy Williams
President
Abacus Regional Mortgage
484 695 5972