Effective January 10th 2014, the pendulum of mortgage underwriting is going to be taking another swing towards facilitating a safer lending environment for the residents of Massachusetts. The Consumer Financial Protection Bureau, or CFPB for short, has recently finished creating the Qualified Mortgage rule (QM). This new QM will become the blueprint that the vast majority of MA lenders will begin to utilize for qualifying mortgage applicants. Read more…
The Gift of Equity Down Payment Option
One of the most important aspects of preparing your finances to purchase a new home is deciding how you are going to come up with your initial down payment money. There are several options that can be considered, but one that is often overlooked is Read more…
Can I Use My 401(k) to Buy a New Home in Massachusetts?
This month Mass Mortgage Buddy is excited to feature an article in our guest blogger section by Keller Williams’ agents Kelly and Joe Provost. This married dynamic duo has one of the fastest growing real estate teams in Worcester County. The following article provides valuable insight about the ability for a prospective home buyer to utilize their 401(k) plan to purchase a new home in Central Massachusetts. I hope you enjoy the following contribution as much we did. Read more…
Using Compensating Factors to Beef up Your FHA Application
The FHA insured loan offers more flexible underwriting standards that its cousins Fannie Mae and Freddie Mac. As a result, prospective Massachusetts home owners have been turning to FHA insured mortgage products more and more in recent years. HUD and FHA have recently announced their commitment to strengthen the FHA insurance fund and make sure that the FHA insured mortgage option is available for the next generation. This is a sugar coated way of saying that FHA doesn’t have enough money to back up its mortgage portfolio and in turn they have increased mortgage insurance premiums and are tightening up their underwriting guidelines. These changes come at a time when more and more renters are looking to get pre-approved for the first time, but don’t let this discourage you from the dream of home ownership. FHA has little known blue print to help you Read more…
Mortgage Underwriting Starting to Loosen its Grip
Massachusetts’s home owners and prospective buyers may possess the desire to buy a new home or refinance their current one, but if the mortgage financing is not available, the desire can quickly turn into frustration. Lending standards and practices have gone through some dramatic changes over the last decade. The Wild West pendulum of regulation was pushed completely Read more…
New Mortgage Buddy App Giving Home Buyers an Edge
If you have been watching the nightly news or reading the Boston papers lately, you have probably heard that the Massachusetts real estate market is on fire. Real estate agents are reporting that properties listed for sale in MA are receiving multiple offers and many homes are selling above asking price. The real estate market has quickly shifted from a buyer’s market to a seller’s market leaving local agents searching for more inventory to list. When looking for that perfect home in a competitive market, having every Read more…
HARP Program Extended for 2 More Years
Great news for Massachusetts home owners who have yet to refinance and take advantage of the current low interest rate environment. On April 11th the Federal Housing Finance Agency (FHFA), instructed Fannie Mae and Freddie Mac to Read more…
How To Achieve Short Sale Success
Mass Mortgage Buddy would like to welcome, top New England RE/MAX Realtor, Bill Gassett to the site. If you have ever searched for information regarding real estate in Massachusetts, the chances are you came across one of his highly regarded articles. I strongly recommend taking some time to read the following article that Bill Gassett wrote on how to achieve a successful short sale process in Massachusetts. Read more…
FHA Insurance Changes Now in Effect
The Federal Housing Administration (FHA) was created as part of the National Housing Act of 1934. Its purpose is to insure mortgage products made by various approved lenders and add stability to mortgage lending and the housing market. FHA insured loans offer an affordable alternative to its conventional lending cousins Fannie Mae and Freddie Mac by facilitating mortgage financing solutions with lower down payments and more flexible underwriting guidelines. As of April 1st 2013 FHA has implemented changes to its Read more…
What to Look for During the Final Walk-Through Before Closing
The final walk through is the last step before crossing the threshold to home ownership. This is your final chance to double check the condition of the home before you sign your closing papers on your new MA home. Below is a punch list of items to keep in mind to make sure that that the property didn’t Read more…