100% VA Home Loan –

VA Mortgage Hub Florida

The VA and USDA home loan programs are the only mortgages in Florida that still offer 100% financing- without the need of down payment assistance or bond money.  The 100% VA home loan is a wonderful option for eligible Veterans that want to purchase a home.  VA home financing offers many advantages especially for first time home buyers that don’t have a lot of down payment required by traditional conventional loans.  The USDA loan program is also great for first time buyers, but there are limitations to the property location as it must be deemed rural.  VA loans can be used in all locations including Jacksonville – Orlando – Tampa – Lakeland – Miami – Tallahassee – Gainesville – Ocala – Naples – Sarasota. Eligible Vets should always use their VA loan benefits/ entitlement before looking at other loan options. This is mainly because the VA loan is the only program that does NOT require monthly mortgage insurance (PMI) costs.  It’s simply cheaper and financially the better mortgage choice.

Below we will outline some benefits of the VA mortgage for Fl & GA home buyers:

  • 100% financing for new home purchases. Buyer can elect to put money down if they choose.
  • No mortgage insurance – PMI – required.
  • No prepay penalty ever.
  • Secure 15 or 30 year fixed rate terms.
  • VA mortgage interest rates are the among the lowest of any loan program available today.
  • Florida and Georgia VA loans have similar closing costs to other loans, even though they offer 100% financing. The home seller can pay buyers closing costs as well.
  • One time funding fee is charged like all Government home loans – but it can added into the loan.
  • Loan amount limits up to $417,000 – some locations of South FL even higher.
  • VA offers an assortment of refinance options should interest rates move lower, or the homeowner want to cash out some equity down the road.
  • 100% VA home loan – can close in as little as 3 weeks.
  • Perfect A+ credit is not needed, borrower with credit scores down to 600 may be approved.

Any VA loan applicant will need a VA Certificate of Eligibility or COE which is available to those active military serving or those Veterans that have served in the past. In order to obtain a certificate, you must meet certain eligibility requirements as listed online at the Veterans Affairs website. Without the certificate, there is no way to obtain a loan through a VA approved lender. Before you request a certificate, you’ll need to submit a copy of your discharge papers, showing how/when you were discharged. Those vets who are dishonorably discharged are not eligible for a certificate. If you do not have your discharge paperwork, you will need to request a copy of your for DD214 which proves military service. Reach out to VA Mortgage Hub by calling ph: 904-385-3988  if you need any help obtaining you COE.

Applicants need to remember that VA home financing is not “guaranteed” even with a certificate. The VA does not process home loans directly. Like the USDA 502 Guaranteed loan, VA mortgage loans are processed by approved lenders in Florida and Georgia. Potential applicants must still meet all lender qualifying requirements in regards to credit, income, debt-to-income ratios in order to secure a VA home loan.

VA purchase loans can be used for any HUD compliant single family home, townhome, condo, etc.  The home must meet all min HUD requirements in regards safety and structural integrity. The rules in regards to property condition pretty mirror other government loan programs like FHA or USDA. Interested home buyers that have questions about applying for VA loan should visit www.VaMortgageHub.com for more information.  VA Mortgage Hub is proud to serve all active US Military and Vets in Fla & Georgia:  Atlanta – Jacksonville – Orlando – Tampa – Lakeland – Pensacola – Miami – Tallahassee – Gainesville – Ocala – Naples – Sarasota

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Great Time For Home Purchase

Great Time For Home PurchaseOver the years, Florida real estate has been a good investment choice for first time home buyers. But purchasing your first house can be an extremely daunting task, one that requires careful planning and consideration. The following reasons will put a positive spin on this stressful decision. It will answer the main question in the back of your mind…whether investing in Florida real estate now is a good idea?

Low Interest Rates

Across the nation, mortgage rates are currently around 4%, and while the interest rates are near all time lows, they are rising gradually. Nevertheless, experts believe that despite the Federal Reserve increasing the short-term interest rates, mortgage rates will remain relatively low in the foreseeable future. This provides first time buyers with a compelling reason to consider a home purchase.

Home Values Increasing Again

The great news for first time buyers is that latest home price indexes show that home prices are once again increasing. It’s a good time to buy. Some hot markets in South Florida are even witnessing record high prices and bidding wars due to low inventory. This is especially true for lower priced homes appealing to first time home buyers.  Additionally, brand new inventory is being added continuously as builder confidence grows. Large portions of land are being purchased by contractors to build homes and gated communities.

Owning Is Cheaper Than Renting

Statistics show that buying a home is turning out to be more affordable than renting. If you consider how much home buyers spend monthly, you will have a clearer idea why buying is a better idea. Home buyers spend about 25% of their income making mortgage payments; while renters, on the other hand, spend almost 35% monthly. Loan programs like 100% USDA financing eliminate the requirement of large down payments so first time buyers can easily qualify without the cash savings typically needed. The chart below also shows the equity and tax advantages over time.

RENT-OWN

Mortgage Approval Is Getting Easier

Even getting the finance for a home is becoming much easier as the housing market continues to recover. The average down payment on a house is now averaging 15% on the asking price.  In addition, there are still programs that enable first time buyers to purchase with zero down payment –  USDA, VA and HUD $100 Down. Even the FHA mortgage still permit down payments as low as 3.5%

As a first time buyer, ensure that you do your homework before making the decision to buy real estate. Purchase a home only when it makes sense to you financially. Also, if you are taking out a mortgage, your monthly payments ( with taxes and insurance) should be lower than 30% of your monthly income. Moreover, remember to choose neighborhoods that are good enough to attract potential buyers in the future. While the values of property do appreciate, it usually happens over a number of years. In the long run home ownership continues to be a good investment and tax deduction. Now is a great time great time for home purchase.

Contact USDA Mortgage Source today to discuss all the home financing solutions geared for first time home owners.  Just submit the short Info Request Form on the right side of this page for quick service. Mobile phone users can find the Info Request Form here or call us 7 days a week at  ph: 904-302-6060

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August 2015 Loan Interest Rates

August 2015 USDA Interest RateAugust 2015 USDA Loan Interest Rates are out and pretty much in the same as last month.   Industry Benchmarks for USDA Rural Housing Loans:

USDA 30-Year Fixed Rate

Average USDA Rate 3.98%
Average Points 0.6%
 

How about the months to come? any crystal ball predictions?  A few months back it  seemed like mortgage rates were going to steadily increase. That never happened and now it seems mortgage rates going to hover around the 3-4% range for at least another month. If you’re looking to refinance or purchase a home, now is a good time to do it. Remember that USDA offers easy streamline refinance options for those homeowner that currently have an existing USDA home loan. The USDA Pilot refinance offers an easy way to refinance without any loan to value requirements or new appraisal.

Keep in mind that mortgage rates are volatile and do change frequently.  All August 2015 USDA Loan Mortgage Rates shown are for USDA 30 year fix, 30-day rate locks for an owner-occupied primary residence.  Other extended mortgage locks are available; prices will vary accordingly.  August 2015 loan interest rates listed are for qualified applicants with 720 or higher FICO a 30-year loan term except where otherwise noted and are subject to mortgage approval with full documentation of income.

Florida and Georgia home buyers that have questions, or would like an up to date interest rate quote should contact us at ph: 904-302-6060 or  just submit the short Info Request Form on the right side of this page for quick service. Mobile phone users can find the Info Request Form here.

8/2015

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Pasco County First Time Home Owner –

Pasco County First Time BuyerFirst Time home buyers in Pasco County still have some options to purchase a home with little or zero down payment.  After all, down payments continue to be the main obstacle preventing first time buyers from purchasing.  Before choosing the right mortgage program, buyers should know a few basic things listed below:

Determine your real budget:  It seems like a no-brainer, but you’d be surprised how many first time buyers don’t start by figuring out how much money they have to spend on their house purchase. It’s easy to call a realtor and fall in love with a house, but why waste time looking at homes that are out of your price range? The last thing you want is to find your dream home and realize it’s way over your budget.

Most banks and lenders will tell you that you can spend up to 29 percent of your gross monthly income on your mortgage, taxes and homeowners’ insurance premium, and up to 42 percent on your total debt ( housing expense, plus car loan, etc) Some loan programs may even allow higher ratios, but remember just because a mortgage company is willing to lend you more money doesn’t mean you should borrow it.

To calculate a housing budget you can live with, start by figuring out how much you spend each month. Track your daily expenses over the course of four weeks to get a real sense of how much is going out and where you’re spending most of your available cash – Gas, grocery store, etc. Watch your savings and calculate how long it will take you to come up with money needed to close on a home.

Before you commit to a mortgage amount, be sure to take the true cost of making those monthly principal, interest, taxes and insurance payments each month and apply them to your NET take home pay. Don’t worry about mortgage deductions or the after-tax consequences – just look at the numbers and think about what else you spend each month and try to understand if you’ll feel comfortable. Because if you can’t sleep at night worrying about paying the mortgage or fixing a broken AC unit, you’re over budget.
Devise a real world “wish list”:   The key here is to be realistic. Based on the housing budget you figured out, and where you want to live, compile a list of what you’d like to have in your first home.  Research is helpful when putting together your list. Check out some homes in your price range online to get a feel for what your money will buy, and make your wish list based on the home you see. If you’d love a pool, but none of the houses in your price range have one, be prepared to compromise. Remember you really shouldn’t spend more than you can afford just for extras like this.

Get pre-approved for a mortgage:  In the Florida market, many deals contingent on financing fall apart because buyers can’t find a mortgage company to give them a loan. Getting pre-approved for your mortgage in advance will help eliminate this problem.  Start by talking to a loan officer about different financing options.  FHA 3.5% down payment?  USDA 100% Financing?   USDA Rural Housing is a popular option for first time buyers as most of central/east Pasco county is approved and considered rural.  Most of Wesley Chapel, Land O Lakes, Zephyrhills is eligible for 100 percent USDA financing.  Maybe you want to live on the west side of Pasco County – New Pot Richey, Bayonet Point?  If this is case, a FHA mortgage would probably be the best option as this area is not approved for USDA financing.

Once you’ve compared a few loans types it’s time to get pre-approved. Some lenders may charge for a loan pre-approval (most won’t) so be sure to ask about those costs up front. You’ll need to provide the lender with details of your credit, income and assets to start the process. The mortgage company  will verify everything and issue a letter that tells you, and sellers, how much the bank is willing to lend you.  The process is typically done in about 30 minutes and most pre-approval letters are good for 90 days. If you don’t find a home within that period of time, you may need to re-qualify with your lender.  Important tip – be sure work locally.  If you are purchasing a home in Florida, deal with a Florida lender…not someone in California.   Also, remember that some loan programs,  like the USDA Rural Development loan, is a specialized program.  Not all loan officers deal with or understand this program, in fact most don’t.   Just insure you ask about this and make sure your bank/lender understands the complexities involved. Florida home buyers can visit www.UsdaMortgageSource.com to be connected with a trained USDA loan specialist today.

Find a good Realtor. A knowledgeable Realtor is just as important as a great loan officer. Finding a good realtor can lift the weight of searching for the right home, contract negotiations, ordering appraisal and home inspection, plus many other things. Like your loan officer, make sure your realtor is familiar with the type of loan you are doing.   If you need a Realtor recommendation in Florida, reach out to us and we would be happy to help make the connection.

Know the hidden costs of home ownership:  Many first-time home buyers get so caught up in the idea of owning a home that they forget about life after closing. The real costs begin after you move into the house. In addition to mortgage payments, you’ll have to pay electrical, cable, phone, landscaping, and be responsible for any maintenance issues that come up while you own the home. These costs are all the more reason not to spend every last dime on your mortgage payment. If you have nothing left after paying your mortgage, you’ll be unable to pay all the other fees or save for unexpected expenses.

There’s a lot to think about when buying your first home, but remembering these tips should help you navigate the process and avoid potential issues. Take your time, do your research and don’t let anyone pressure you into buying a home you’re not completely sure of.

Florida home buyers that have questions are encouraged to reach out to us.  Please submit the short Info Request Form on the right side of this page for quick service. Mobile phone users can find the Info Request Form here.  You can also call us 7 days a week at  ph: 904-302-6060.   USDA Mortgage Source serves all of Florida – including Hillsborough County – Riverview, Tampa, and Pasco County – Wesley Chapel, Odessa, Land O Lakes, Zephyrhills FL.

Pasco County First Time Home Owner –

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Zephyrhills USDA Loan

Zephyrhills USDA loansZephyrhills is a city in Pasco County that is popular among first time home buyers that want to live outside of the hustle and bustle of Tampa.  The city is only about 45 minutes from Tampa and offers some great home ownership opportunities for new buyer starting out.  Most of central and eastern Pasco county, including Lake O Lakes and Odessa,  is approved for the 100 percent USDA Rural Housing mortgage. This program is wonderful for first time home owners that have limited funds and find it difficult to raise the 3%,5%,10%+ down payments required by many other loans.  The USDA 502 Guarantee loan is an easy way to move into a home for little to no money out of pocket.

There are a few stipulations buyers need to know before applying for the USDA loan.

  1. Be sure you are willing to live in a USDA approved location. Remember USDA Rural Development is only for certain “rural defined” area’s of Pasco and Hillsborough County.  You can see the map here to check a property address. The parties selling the home is not important (bank, private seller, etc)  just where the home is located. Zephyrhills, FL, Land O Lakes, Odessa are all approved locations in Pasco County. Even some areas around Wesley Chapel are approved.
  2. Make sure your household income is within the USDA income guidelines. If you are over the income requirements, be sure to contact us about other limited down payment options. Just submit the short Info Request Form on the right side of this page for fast service. Mobile users can find the Info Request Form here.  You can also contact us at 7 days a week at  ph: 904-302-6060
  3. You need decent credit to be approved-  generally over a 620 credit score is required.
  4. You also need good steady, documentable employment and income.

Zephyrhills USDA Loan offers many advantages for buyers like:

  • 100% home financing, no down payment.
  • Government backed, secure 30 year fixed mortgage terms.
  • The home buyer can put money down if they like, and this money can also be a gift from family, etc.
  • The home seller can pay the buyers closing costs.
  • Just about any single family home, town home or condo is approved. The property just needs to be in good livable condition, and be located in an eligible area according to the map.  No manufactured home, construction to perm,  or re build type projects.

Ok, so you think meet the requirements and want to learn more?  Contact us to discuss the next steps and get your loan pre qualification started today. It only takes a few minutes and will insure you meet all the USDA RD eligibility requirements. Interested home buyers can fill out the short info request form on this page, or call ph: 904-302-6060.  Mobile users can find the Info Request Form here

 

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