Deciding Between FHA, VA, USDA and Conforming Home Loans

Deciding on an FHA mortgage

The Federal Housing Administration (FHA) loan program is established in 1934 to help home buyers with smaller downpayments, modest incomes, and / or credit challenges.

Homes for Sale in Davenport FL

An FHA mortgage might be your best route to homeownership if you face any of these hurdles.

Today, however, FHA loans face competition from other products, and one of them might be a better fit for you.

Weigh the benefits of FHA against those of similar products to find your best mortgage choice.

Alternatives to FHA

There are several government-backed and non-government (conventional) options that also offer low down payments and flexible underwriting.

They include Fannie Mae and Freddie Mac (conforming)…

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buy a house waive contingencies

When you buy a house, it's a jungle out there

Contingencies are magical little contract clauses that can prevent you from losing your shirt when you buy a house. And yet – as home prices have increased and inventory has shrunk – the need for contingencies is increasingly open to question.

Homes for Sale in Davenport FL

After all, if you see a nice house at a good price, won’t it attract multiple offers in today’s hot markets? Doesn’t it make sense to dump your contingencies to out-gun other bidders?

To answer this question we first need to take a basic look at the real estate contracting process.

Offer, acceptance and counter-offer

Picture a property listed for $400,000. A couple comes along and says, "We'll pay you $400,000 for your…

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The results of countless studies have shown that potential home buyers, and even current homeowners, have an inflated view of what is really required to qualify for a mortgage in today’s market.

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One such study by the Wharton School of Business at the University of Pennsylvania revealed that many millennials have not yet considered purchasing homes simply because they don’t believe they can qualify for a mortgage.

A recent article about millennials by Realtor.com explained that:

“About 72% of aspiring millennial buyers said they’re waiting because they can’t afford to buy…”

The article also explained that 29% of millennials believe their credit scores are too low to buy. The problem here is the fact…

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Your children have finally moved out and you and your spouse now live alone in a large four-bedroom house in Davenport FL. You have two choices to make:

  1. Remodel your house to fit your current lifestyle and needs
  2. Sell your house and purchase the perfect home (may we suggest Champions Gate, in the same area?)

Based on the record of dollars spent on remodeling and renovations, it appears that many homeowners are deciding on number one. But, is that the best long-term solution?

If you currently live in a 3-4-bedroom home, you probably bought it at a time when your children were the major consideration in determining family housing needs. Along with a large home, you more than likely also considered school district, the size of the…

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your mortgage rate and points

What affects your mortgage rate?

Your mortgage rate depends on many factors, like your property location, the economy, and loan size. One really influential factor is the amount you pay for your home loan. And fortunately, it's a variable over which you have complete control.

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When you pay more to have a lower rate, this is called "buying down" your mortgage rate, and the fees you pay are called "points." each point is one percent of the loan amount.

How do points drive your mortgage rate?

The relationship between your mortgage rate and its costs is an inverse one. When other factors are equal, a loan with higher fees has the lower interest rate. Home loans with lower rates are obviously more desirable, so…

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buying a home grocery store affects value

Think real estate and groceries

Buyers need to think about many factors before buying a home in Central Florida. These include price, neighborhood amenities, area schools and commute time.

New data suggests that nearness to your preferred food store should also be pondered. Shopping convenience is one perk. But a bigger one is the effect that grocer can have on your home’s value. This nearby store may affect your flipping or renting prospects, too.

Homebuying tips: how to choose your neighborhood

While this probably should not make or break your choice on where to buy, it can better inform your decision. So when scouting a home for sale, take time to learn which food stores are close by. This knowledge could pay dividends in the form of a…

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pay old debt to close mortgage

Is there old debt lurking in your financial closet?

Before you apply for a home loan in Davenport FL, it's a good idea to get a copy of your credit reports. Suppose your report includes some old debt from years ago. And suppose that's timed out as a result of your state's statute of limitations on debts.

Don't "reactivate" an old collection when you apply for a mortgage

What you do next could have a huge impact on your ability to get your mortgage application approved. And it could affect your financial well-being for years to come. So read on to make sure you know how to protect your interests.

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How to get a copy of your credit reports

Under federal law, you are entitled to a free copy of each of your…

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your mortgage rates loan features

Why a loan's features change your mortgage rate

Your mortgage rate depends on many factors like the economy, your credit scores, the kind of property you're purchasing, and others. One factor that you have a lot of control over is the loan you select -- it's features and terms.

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What features affect your mortgage rate?

Features can shift risk from you to the lender, which increases your price, or from the lender to you, which drops it. For example:

  • Rates that are initially fixed but then reset
  • Interest-only payments
  • Terms ranging from five to 40 years or longer
  • Prepayment penalties
  • Cash out refinancing

We'll look at how much each of these features adds or subtracts from your mortgage…

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Getting in the right financial mindset is crucial. Saving can feel overwhelming, but small moves add up quickly. You can do it!

By Lynnette Bruno, Real Estate and Lifestyle Expert   

7 simple steps to help you save for a house in just twelve months.

Want to buy a home in Davenport FL, but don’t have a pile of cash in the bank? You’re not alone. Trulia research tells us that saving up for a down payment is the biggest obstacles to homeownership for first-time buyers, behind poor credit history, qualifying for a mortgage, and rising home prices. When I saved up for my first home, it took several years. So as I can attest, the struggle is real but not impossible.

First, how much should you aim for? When thinking about…

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Robyn Woodman  - Trulia  

A few strategic, affordable upgrades can add big value to your home.

Increasing the value of your home when selling can be a difficult task, but a few home improvement ideas can help you stage for success while keeping within your budget.

8 Home Improvement Ideas Under $1K

1. Install a programmable thermostat

Heating your home accounts for more than 40% of its total energy usage, according to the U.S. Department of Energy. Programmable thermostats allow you to customize a temperature profile throughout the day. Reducing the temperature inside your home by a degree or two while you sleep can lead to huge savings on a monthly basis. And with energy costs on the rise, many buyers…

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