The FHA Expert

Felicia... my pleasure...

Rosemary... not trying to sound rude... but unfortunately those are the hard knocks of real estate. Question... does your borrower have a lender for their loan? Why can't that lender approve the condo now, while waiting for the short sale approval? You can do this niow. If not, that lender will just have to approve the whole association when everyone is ready.

Fortunately I checked to make sure the complex was already HUD approved before we made the offer. I got burned once before -- never again! In the case of Short Sales, some sellers are not willing to pay for HOA docs prior to escrow.

Jeff, I re-read the post. I learned more from doing that, and I revised my comment thusly:

Firstly, it was a real estate blog. The title mentioned real estate, the post gave real estate designations examples, along with mortgage related designations, so it wasn't only geared towards mortgage designations as explained above.

Secondly, it was an anecdotal example of a lender who disagreed in one of your posts. In the end he said he was still learning...I took that to be a good thing...he was keeping an open mind. Until we die, aren't we all still learning? ... Read More

Lastly, I fail to see the connection between him "still learning" and the designation you discovered on his web site. From the post he didn't brag about having it; if he had then there was cause to caution people that designations really were just "fluff and stuff."

The more professionals in any industry are educated, the better for consumers, in my very humble opinion.

Yolanda.... yes, I did mention some realtor designations, yet I gave a PS at the bottom, explaing that designations are mainly good for educational puproses.

Yes, learning is good... my whole problem is how upfront mortgage brokers sell. As sales people, we know that low costs, cheap sales, no costs, discounts, etc, etc. sell a product a lot ... Read Moreeasier. My problem is that this person disagreed with me 110%, yet didn't read my detailed post about this example. And that he was way one-sided on his thought process and opinion. My problem is that he might have steered a lot of borrowers the wrong way, just because he sells cost, being one of the cheaper lenders out there. And my point to that is.... being the cheapest could cost that client the most, because the focus was on giving best price, yet failing to educate or give good advice. You might not fully understand where I am coming from, since this is a lending issue that I have.

Overall, from day one, I took pride in all mortgage products, learning how to compare. This person showed me that he had not done this. To me, this is common sense stuff. You don't need to be tought it .... and if you knew anything about his specific desgination, you might understand better of what I am trying to get across. If you read many of the comments by loan officers, they get the point. Thanks for your input.

Thanks Gerry, Rosemary, and Cindy for the thumbs up.

It doesn't matter now. With unemployment heading towards 10%, you are going to have more defaults on 1st mortgages, regardless of the amount of money down. People out of work can't afford mortgages, it happens. There are still "bad" loans that are defaulting in the past 1 1/2 years too, more alt-A's projected to default.

Lisa... yes, I agree.. I am just stating that the gov't is using the excuse that we need more skin in the game, but fail to bring up the other main issues/reasons to foreclosures. Yes, we will have even more types of loans from the past start to foreclose, but it's hard to tell until more jobs are lost. thanks

Thanks Audrey, Christine, Cindy, & Della for the thumbs up...

Saving my pennies to buy more rental properties if that happens! Hope they loosen up on investor programs if that happens!

Kelly... I don't see the investor guidelines getting any better for at least the next 3 to 5 years... just my opinion... if lucky, 2 to 3 years, but I would doubt it. It will take about 2 to 3 years to get out of these messes. Again, just my opinion.

here is my take on this.... a blog that I just wrote... please comment on it... we need Congress to read these comments.
http://tinyurl.com/yd6qy6b

Bill... I have no idea... there have been like 8 bills introduced on the tax credit, but it hasn't been pushed through. My take on that is because of the health care bill. And I think the tax credit will get passed, but I don't see anything happening for several months, and then for it not to go into effect until Jan. or March of 2010.

Bethany.. I think it is a big deal. It might not be to you, but to the average homebuyer?? And please read my blog that I posted above. I give some reasoning to why I think we are over-looking some other issues, and now the gov't wants to step in.. thanks for your comment.

Cheryl and Nora... I will write about that later, but I gave a quick answer to Bill above. thanks... Read More

Chris... I agree, hence what I wrote about in here.. http://tinyurl.com/yd6qy6b thanks

Thanks Gerry & Giselle for the thumbs up...

In regards to the GFE and that you say this came from your office. In my opinion of 17 yrs in this mortgage business... that is not how you compare a conventional mortgage vs a FHA mortgage, no matter what one thinks. Before I go further, yes, it is easy to assume. But from reading the GFE and the e-mail that the borrower received from this loan ... Read Moreofficer, it never made any mention to comparing the 1.75% upfront mortgage insurance. Another HUGE mistake. Which allows my assumptions to run wild then, with good reason.

Now, this is how I think one should compare a FHA loan to a Conventional loan. Please read : http://activerain.com/blogsview/1246079/fha-loans-vs-conventionals-loans-things-you-should-know-about-even-with-10-down-9-19-09

There are even simple programs that either one can buy or that many of these LOS programs offer, such as Point or Encompass. And I find fault within the loan officer to add the UFMIP to the points as comparison. (cont)

They should not even be in any type of financing, especially mortgages. I take this stuff very seriously. I have seen some very lousy examples and or comparisons in my life time.

The overall issue, all Lewis wanted to do was to speak to someone on the phone about this. I think the organization has shown poor management levels then. I don't care ... Read Morewhat channels his shows are own. I have more thoughts on that also. I have seen people that are elevated to trust advisors on major tv shows, and they don't know squat. I know this first hand because one of them that is seen on CNBC, told me that I was incorrect about MI on a FHA mortgage falling off. And this is a person that boasts about being on financial shows for CNBC, owning his own real estate company, and his own mortgage company. Sometimes these shows are run like the gov't. It sometimes comes down to those who you know. And many of these people giving this great advice, never worked in the deep trenches and are up to date. thanks

Valerie... ps... at what points being charged..

Gerry... Cindy.... Crystal... Traci... and Arlenne... thanks for the thumbs up, but I didn't write the blog as of yet. ;o)

Kris... no, it won't be as bad. Actually, some things are good.

Tess... what you would do with me? or without me? ;o) Seriously, thanks for that polite compliment.

Can you help me out with my loan ?? FHA

Thanks for this, great information

Vickey... my pleasure and thanks for stopping by...

Loretta... I respect your opinion, but I don't think we are on the same page. How can you see that DPA programs are no different??? Seller-funded DPA's don't cost the tax payers a cent. Manipulated? Any loan program and or appraisal can be manipulated. But I want to stay on point here, in regards to the tax credit costing us, the tax payers, ... Read Moremoney.

Now, in regards to your statement about tax-based incentive programs... it insures that the recipients are actually paying taxes? How is that? It's $8,000 that they don't have to pay back. How does that ensure that they are paying taxes.

Okay, for arguments sake, borrower A owes $3,000 in taxes. They buy a home and receive 8k. Okay, so they take that 8k to pay their 3k in taxes... but who paid for that 3k? We did, the American public. So I am trying to understand your point. thanks

Credance Mortgage Fraud... sorry that I missed your comment earlier. Overall, sorry to hear about your misfortunes about that paricular lender.

Michigan... no biggie

Keller.... the exception in regards to having credit scores? Not really... keep in mind, it's the investors that make the rules. Most investors even on VA loans want credit scores of 620 or higher. FHA allows for credit scores under 500 with 10% down, but there isn't one investor out there that will go below 535. thanks

WE have a 580 and the guy said everything looks good but he needs it to 620. IS any one doing loan with 580