This video by Matt Steinmetz covers some details about how tax returns affect you qualifying for a mortgage loan.

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4155.2 4.7.h Exceptions to the 90-day Restriction

The only exceptions to the 90-day resale restriction described in HUD 4155.2 4.7.e are for

If HUD decides to extend the waiver, we will notify you ASAP.

Happy Holidays!

Matt Steinmetz

This is me wishing everyone a Merry Christams and Happy Holidays with a bonus music track!

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Happy New Year,

Matt Steinmetz

This video goes over the importance of establishing credit and having good credit and at least 3 tradelines (open credit sources).

If have questions about your scenario, let’s talk.

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Matt Steinmetz

First off this video is a little long.  I find myself pressed for time this holiday season so I shot this in one take just to be sure to get this out.  Watch it in parts if you must as it’s about 5-6 minutes long.

Click here to view the embedded video.

The updates I received are both encouraging and discouraging!   They’ll raise you up and bring you down!  Who knew loans could be so dramatic, like a Hollywood picture show!

If you prefer to read here it is:
No Loan To Value limit on “refi plus” loans- Refi Plus is a manual underwritten loan through your current servicer.
· DU refi plus loans will NOT be eligible until March 2012- DU Refi Plus loans can be originated by any licensed originator once the automatic underwriting systems are updated.  Until then you can only apply trough your current servicer.
· No Combined Loan To Value Limits- those with second loans can still qualify
· 105% LTV for fixed period (5 or greater) ARMS and 40 yr terms 2.

Refi plus u/w changes
· No late pays in past 6 months · No more than 1×30 in months 7-12 · No minimum credit score requirement when payment is not increasing more than 20%. · Re-qualify borrow if PITI is increasing by more than 20% and borrower must have/meet: 620 FICO, 45% max DTI, verify income/assets/assets to close per selling guide · If note provides for more than one payment, then use lowest payment to qualify · If payment is increasing 20% or less, than normal refi guidelines apply
Bankruptcy and Foreclosure policy-Waiting and re-establishment requirement removed on BOTH the new and existing loan 4. LLPA (Loan Level Price Adjustments)
Lender follows DU findings re: income, employment, asset, fieldwork c. Lender complies with all other requirements to the guide · When DU offers a fieldwork waiver, Fannie will accept property value estimate submitted to DU as the market value, and Lender is not required to make any rep or warrant as to value, marketability, and condition. · If Lender obtains appraisal on property, then standard reps and warrants apply · Lender not responsible for Condo project eligibility rep/war except for the requirement of the property is not in a condo/coop hotel or motel.

Other requirements with respect to the original loan:
a. the loan was eligible for sale to Fannie the first time
b. original loan was in compliance to current laws
c. No know scheme or patter of fraud involving 2 mortgages and 2 perpetrators, etc
d. Condo, coop, or PUD project must meet original requirements
e. If no new appraisal obtained, Lender must rep/war that the current value is not less than the original value from the original appraisal report.(Fannie Mae is confirming if this is accurate or not. · If a new appraisal received, then Lender must rep/war just like any other loan
· Lender not responsible for any QC findings from Fannie after the fact · Lender not responsible for any max DTI (except as stated earlier)
· Not responsible for acceptable credit history (except as stated earlier)
· Not responsible for undisclosed liabilities (except as stated earlier)

Contact me or COMMENT BELOW and share with your friends and social media 

Matt Steinmetz
www.mattsteinmetz.com
twitter:steinmetzmatt

The limits now expire on December 31, 2013 and applies to all high cost areas like ours in Contra Costa County and surrounding areas.  Fannie Mae and Freddie Mac are limited to $625,500 in our area but that is still better than the $417,000 that it would be at if Congress did not raise this prior.

Spread the word as this should help some folks and make them happy.  Share this along with the buttons below.

Click here to view the embedded video.

Thank you,
Matt Steinmetz  nmls# 221315
Envoy Mortgage
2151-A2 Salvio St.
Concord, CA 94520

Visit Envoy925.com

Office:925-671-9501 x119
Fax:925-671-9512

Down Payment Assistance*FHA*VA*HomePath*FHA
203K*Less Than 90 Day Flips*USDA*Condo Approvals*Escrow Holdbacks*and now Up
to 8 Financed Properties

1. every time you list property, ccar generates a free property website at streeturls.com and google indexes this site
2. home opens today.com #1 open house website in norcal
3. CCAR has over 2700 followers on Facebook (maybe Realtors should link your listings here?)Free training on social media at ccar
4. CCAR mobile portal m.ccartoday.com
5. 20 photos on mls listings and soon to be more.  My Question to CCAR-Can you geo tag those? (this will help with Google’s new  localized search results)
6. cloud cma?   (sorry I didn’t get much on this topic.  Please comment if you have info to share)
7. Short sale help desk coming soon at CCAR

Robert A. Kleinhenz Ph.D. 
Deputy Chief economist CAR 

• GDP normal grows at 3.6%- coming out of a recession needs to grow faster.  3rd qtr 2011 grew 2.5%
• Unemployment continues to be high
• On Avg we are adding 125k people to job force each month.  We need to create at least this many jobs to keep unemployment from getting worse plus we have to add more for the people that were laid off.  This is why unemployment isn’t getting better.
• Inflation seems to be tame and in check for now.  Other items like jobs are more important to focus on
• need to produce 400k jobs per month to get to a 6% unemployment
• When economy is slow Gov. can get involved to jump start economy- but the consumer spending is a huge portion and needs to come back.  In 3rd qtr 2011 consumer spending went up ut consumer savings went down at the same time.
• We are growing but not growing fast enough
• fed has committed to keeping interest rates low for next couple of years.
• House sales should see around 500k annually (total units sold), we are just below this for the year and was a little below this last year around 491k
• 250k sold annually in 2007
• Home price- median price for state $287,440 this is down 8.3% year over year.  Fairly stable home prices over the past couple months.
• 55% of total market place were non distressed sales up to September- 45% REO and short sales
• See video on shadow inventory
• CA housing leads the nation. CA bottomed out first and is recovering first “we took our licks early on”
• 76% of deals did not close escrow on time in 2011 out of clients surveyed by CAR
• Watch this video regarding standing/shadow inventory:

Click here to view the embedded video.

As of Sept. 2011 on Contra Costa County we had 3,600 in shadow inventory or 2.6 months of inventory.  This is moderate pressure on the market.  Rents are on the way up (↑ 8% in the Oakland MSA)  However the outlook for home sales in 2012 is barely better than 2011.  This is interesting the since affordability in Contra Costa County is very high.  Buyers are getting much more bang for their buck than just a few years ago.  Speaking of buyers, it’s no surprise to me that 34% of sales in 2011 were for first time buyers.  Here’s a good spot to plug my buyer education page! 

A copy of the presentation information can be found at www.car.org/marketdata 

The remainder of the information was regarding laws that will come into play.  Most were dealing with short sales, foreclosures, and notices to renters when filing a N.O.D.  and N.O.S. for homeowners.  I encourage you to call the CAR legal hot line for more info on laws.  (I don’t want to quote them wrong on this!) 

My brain locked into the following bit of info/opinion as it was also mentioned last year at the same event.  Which is that the housing market will see a shortage of inventory later this decade.  Meaning that since new homes are not readily being built, when the market turns around and homes are being purchased faster, inventory will be low.  When inventory is low and qualified buyers are high… That means increases in home prices.  Demand>Supply

Please share this with the buttons below and leave a comment.  Let me know what you think about all of this and how it affects you!

Thank you,
Matt Steinmetz  nmls# 221315
Envoy Mortgage
2151-A2 Salvio St.
Concord, CA 94520

Visit Envoy925.com

Office: 925-671-9501 x119
Fax: 925-671-9512

Down Payment Assistance*FHA*VA*HomePath*FHA 203K*Less Than 90 Day Flips*USDA*Condo Approvals*Escrow Holdbacks*and now Up to 8 Financed Properties

The FBI spoke today at the lunch event put on by NAHREP here in Concord, CA.  Here’s what they had to say:
*If you lie in order to get something of value, you could be charged with mortgage fraud.
*Mortgage fraud is committed for 2 reasons- to get a house and to get profit.
*Investigating Mortgage fraud is easy ecause there is always a paper trail!
*Gangs use straw buyers to buy houses and infiltrate neighborhoods.  Straw buyers are when someone uses a persons identity to buy a house becuase they don’t qualify themsleves.  The straw buyer is paid to buy houses
*Poor Economic conditions create breeding grounds for mortgage fraud.
*L.A. is the #1 city in CA for mortgage Fraud
*Over 3,000 activ cases today with around 1 million dollars in losses on each case.
*62% of cases pertian to loan originatin schemes.  Usually faking loan documents or misrepresenting income.
Types of Fraud
*Air Loans- when the property doesn’t exist.  There is no real collateral.
*Flips- when someone buys a house for cheap, inflates price a resells and does this over and over on same property.
*Silent seconds- Buyer uses someone elses money to buy a house but the 1st lender is not aware of a silent non recorded 2nd loan on the property.
*Foreclosure Rescue- person tells owner they will save them from foreclosure if owner ads their name to deeds.  Then person can sell home or obtain new loans on the property and walk away with profit.
Red Flags
* Inflated Appraisal
* Bonuses to brokers
* Higher than normal fees
* False Identification
* Signings off site
* Does not have physical business adddress or disclose business license
* Borrower or investor lacks mental or physical capacity
* Language and communication issues
* Borrowing that is not consistant with borrowers income or needs

It was interesting to hear the crowds response to this.  Layering of some of the items above is a clear cut example of when something wrong is taking place.  People who commit these crimes are selfish beings and are hurting the entire economy for self profit.  It’s a shame that law enforcement don’t have more funds to pursue these folks.

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Matt Steinmetz
Envoy Mortgage

This video discusses the estimate from the Mortgage Bankers Association that the loan volume for 2012, industry wide will drop by 25%.  This will force more lenders, individuals and companies, to leave the industry.  The video also touches on where rates are today and what to expect.  Watch to see what this means for you.

Matt Steinmetz
Mortgage Banker
Branch Manager
nmls#221315

Envoy Mortgage
Concord, Ca
Contra Costa County

Let’s look at the option of refinancing into a FHA 203K loan.

Most home loans use the homes current appraised value to determine the loan amount.  In today’s world that leaves many of us with very little, if any equity at all.  This makes it very difficult (impossible) to use your homes equity to fund renovation projects or remodels. 

What if there was a home loan that took the future value of the home after the improvements were made?  THERE IS!  

You must have at least 2.25% equity in your home before the refinance, so this does not help those of us underwater.  How ever if you do or are close enough to pay the loan down to get to that point then the FHA 203K or 203K streamline may be right for you. 

Most of us don’t have extra cash laying around for renovations and as mentioned it is difficult to tap your homes equity.  We don’t see equity lines as an answer any more as the credit standard have tightened.  Equity lines and most other home loans have restrictions on the loan to value at which they will lend.  At today’s levels they are not very helpful to the mass public.  At least in terms of getting cash out to repair and modernize your home. 

The FHA 2o3K allows you to wrap in the costs of the loan, your renovation costs and pay off your existing loans on the house.  This leaves you with one shiny new loan up to 97.75% of the value and a beautiful home.  Keep in mind this is 97.75% of the value after the remodel is completed so the loan amount will be higher than your current loan.  The 203k is a 30 year fixed so there are no adjustment to worry about.  Your taxes and insurance will be paid with the monthly payments, so if you do not have this currently you’ll need to consider how much your monthly obligation goes up, but if you find it manageable then this may be the answer you have been looking for. 

Appraisals will show the underwriter any repairs needed.  Normally someone would need to repair any issues before the loan can close.  This would me self financing the repairs.  With the 203K these repairs can be financed in the loan and completed after the loan closes!  Other restrictions and qualifications apply so contact me for more details, BUT this loan may just be an answer for a lot of people who would like to use their equity to complete renovations/modernizations to their home and cannot self finance the costs.

Thank you,
Matt Steinmetz  nmls# 221315
Envoy Mortgage
2151-A2 Salvio St.
Concord, CA 94520

Office: 925-671-9501 x119
Fax: 925-671-9512

FHA * VA * HomePath * CalVet * FHA 203K * Less Than 90 Day Flips * USDA * Condo Approvals * Escrow Holdbacks * and now Up to 8 Financed Properties

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