NSH Mortgage Reports

 

Alert: 4 Important Factors That Will Help You From Letting Student Loans Prevent You From Buying A Home

Alert: 4 Important Factors That Will Help You Stop Student Loans In Preventing You From Buying A Home   Student Loans: A Reality Check It can be hard to think about buying a home when you are still paying off student loans. Here are four steps that can help you with student loans when buying a home. NSH Mortgage has the wisdom and tools that can help you stay ahead of your student loans. The idea of taking on more debt can be daunting, especially if you are far from the student debt payoff finish line.   Research: Student Loans Exceed Annual Income Data show that most millennials are saddled with major student loan debt, which has possibly hurt their chances of owning a home. Those surveyed say it may take years before they are ready to buy.   A new study by the National Association of Realtors (NAR) and American Student Assistance had some interesting results. After polling millennials, they found that: Typically, they carry a student debt loan ($41,200) that exceeds their annual income ($38,800). Only 20% currently own a home. Among the eight in ten who do not own a home, 83% feel their student loan debt has impacted their ability to purchase. 84% expect they will have to postpone purchasing for at least three years. In particular, seven years, is the median amount of time they expect you to have been waiting before you buy. Nearly 80% borrowed funds their education at a four year college. 32% had previously either been in default or forbearance on their loans.   Student Debt Hits New Highs Jessica Lautz, NAR’s managing director of survey research and communications, says the report found that millennials actually have worse problems with student debt than earlier generations. In fact, 83% of people are saying their student loan debt is delaying them from purchasing. It means they are unable to save for a down payment. They also are not feeling financially secure enough because they are paying so much for their student loans. Also, it is good to note that buying a home with student loans does get easier for you in 2017. Lautz has noted to an alarming fact, that college loan balances for Americans has risen more than $833 billion over the last ten years, climbing to an all time high of $1.4 trillion. Robert Johnson, president/CEO of The American College of Financial…

Alert: The 8 New Factors On How To Buy A House With Low Income In 2017 to 2018

Alert: The 8 New Factors On How To Buy A House With Low Income In 2017 to 2018   Buy A House With Low Income: Not Easy, But Possible When you buy a house with low income, you face several obstacles. The eight new factors on how to buy a house with low income. NSH Mortgage has the wisdom and tools that can help you when buying a house with your low income. It is not easy to save a down payment while you are renting. Additionally, when you earn less, it becomes more difficult to keep your bills paid on time and your credit pristine. In addition, lower income makes it harder to keep your debt to income ratio (DTI) low enough to qualify for a home loan.   Mortgage Programs For People With Low Income Many of the best mortgage programs are only available to home buyers with low or moderate income. Here are a few solutions to your questions for, “How to buy a home with low income and with good credit?” These low income home loans offer one or more benefits, including: Below market interest rates and payments. Discounts on mortgage insurance. Low down payment requirements. Down payment assistance grants and loans. Most of these programs require you to complete some form of approved home buyer education, especially if you are a first-timer. Furthermore, all of them require you to live in the home, no vacation homes or rentals allowed. Lenders also offer government backed programs that are not restricted by income, but their features are helpful for home buyers who earn less.   HomeReady And Home Possible Advantage Fannie Mae’s HomeReady program and the Home Possible Advantage loan from Freddie Mac feature low down payment requirements. You only need three percent of the home’s purchase price, and that can be a gift, grant or loan from an acceptable source. In addition, mortgage insurance for these low income home loans are discounted. With three percent down, standard mortgage insurance for a buyer with a 720 FICO score is .95% per year. With these special programs, though, you might pay just .65% to .77%. There is no minimum required contribution from the borrower. Even better, the home seller is allowed to pay closing costs of up to three percent of the purchase price. Instead of negotiating a lower sales price, try asking the seller to cover your closing…

5 New Ways That Mortgage Lenders Have Been Making It Easier To Qualify For A Mortgage In 2018

5 New Ways That Mortgage Lenders Have Been Making It Easier To Qualify For A Mortgage In 2018   Easier Mortgage Qualification: How You Can Benefit It is not always easy to qualify for a mortgage. As a borrower, you have to meet a lender’s credit standards, they can often be strict. Lenders have made it easier to qualify for a mortgage. NSH Mortgage has the wisdom and tools that can help you see how these new step will affect you.  But these rules are in place to protect you from buying a home you cannot afford. They also safeguard the lender from the risk that you will not be able to pay back what you borrow.   Good News For Today’s Borrower The good news is that lenders are making it a little easier to get a mortgage lately. That is because they appear to be relaxing some of their rules to attract more clients. At least, that is what the results of a recent lender survey suggest. Do not outright dismiss the idea of applying for a mortgage because you do not think you will qualify. If you do your homework ahead of time, you may find that the process is easier than you think today.   Lender Survey: Mortgage Standards Easing Up Fresh findings from Fannie Mae’s third quarter 2017 Mortgage Lender Sentiment Survey should encourage would be borrowers. Among the lenders that were surveyed, as many as 26% claimed that they have been easing up on their home mortgage credit standards for all their loan types instead of tightened it. That marks a new high since the quarterly poll began in March 2014. Lenders have increasingly said they are easing credit standards since the fourth quarter of 2016. The main reason for the credit loosening was due to the recent records of competition between other mortgage lenders. Additionally, mortgage lenders are also facing a negative profit margin outlook and seeing less demand for loans. In fact, the net share of lenders observing growth in purchase mortgage demand over the last three months has been dropping year after year for all these different types of mortgage loans. These factors have been helping to loosen these credit standards slightly in recent months. Mortgage lenders have also made it much easier to meet the home mortgage credit standards during the third quarter. In which it has been continuing a trend that…

5 Important Things To Note When Dealing With The Housing Market In 2018

5 Important Things To Note When Dealing With The Housing Market In 2018   The Housing Market In The Rear View It looks like 2017 is going down as the best year for the housing market in the last decade, at least so says Freddie Mac. Five factors to note when dealing with the housing market in 2018. NSH Mortgage has the wisdom and tools that can help you stay ahead of the housing market. The mortgage and the housing market are on track for their strongest 12 months in recent memory.   A Banner Year Thanks to a favorable economy, low rates and strong job growth, the housing markets has seen big growth this year. Furthermore, with improving construction starts and increasing home sales are just a few of the successful markers of 2017. We now expect 1.2 million housing starts and 6.13 million home sales for 2017, the GSE reported. Despite, with the disappointing other half of the year, both numbers are still on track for the best year in a decade. The year also saw near historically low mortgage rates, which hovered around 4.0% for most of 2017. Total mortgage origination for the year is expected to hit around $1.8 billion, about $80 million higher than last year.   Looking Ahead According to Freddie’s report, starts and sales will continue their upward trend over the next few years. Also, you should expect that with the start of 2018 and well into 2019 that the sales are going to increase. Thanks to the housing construction gradually picking up and helping to supply more homes to inventory starved markets. Sean Becketti, Freddie Mac’s chief economist, says interest rates will also remain low next year, and improving construction could drive home prices downward. Additionally, there are forecasts for interest rates that will remain low by historical standards, but gradually creep higher over the next two years. Also, there are forecasts for the housing construction which will gradually pick up, helping to supply more homes to inventory starved markets. More housing supply and modestly higher rates will lead to a moderation in house price growth.   Taking A Dip Home prices finally appear to be on the downturn, at least slightly. According to the National Association of Realtors, the average price of an existing home dropped to $247,000 in October.   A Move In The Right Direction Since June, when prices hit…

6 Important Reasons That Are Raising Buyer’s And Seller’s Confidence In Becoming A Homeowner

6 Important Reasons That Are Raising Buyers And Sellers Confidence In Becoming A Homeowner   How Do You Know If The Time Is Right? Feeling eager to buy a home, but not sure if now is the right time to become a homeowner? Raising buyers and sellers confidence in becoming a homeowner. NSH Mortgage has the wisdom and tools that can help you keep updated on new mortgage rates. It is easy to dream about owning and making your purchase desire come true. But it is not always easy to have the faith and self assurance that your timing is good.   You Are Not The Only One New data shows rising confidence from buyers and sellers alike. More players on both sides of the market thinks that now is the time to act. Knowing that many want to pull the trigger on a home purchase or sale, thus it will inspire others to do the same. It is important to trust your gut. But it is just as important to learn the facts about what you can afford and the mortgages available to you. This knowledge can also boost your confidence.   Now Is The Time, Say 77% Of Americans A recent survey by the National Association of Realtors (NAR) yielded some fascinating results: 77% of people think that right now is a good time to buy a home; 48% believe this strongly. 62% of renters believe that now is a good time to purchase a home. That is up from 52% tallied last quarter and 60% one year ago. 80% of respondents who currently own a home, including those older than the age of 55, with incomes in excess of $100,000, those who live in rural areas, and those in the South and Midwest think that now is a perfect time to buy a home. 78% think it is a good time to sell a home. That is up from 63% measured one year ago. Those owning in the West (83%) are most likely to believe that now is a good time to sell a home.   That Is Great Research: But Should You Take It Seriously? Jessica Lautz, NAR’s managing director of survey research and communications, says she is encouraged by many of these findings. The fact that 77% and 78%, respectively, think that now is a good time to buy or sell a home is significant. These…

Update: The 10 New Steps Added To VA Loans Guidelines For 2017

Update: The 10 New Steps Added To VA Loans Guidelines For 2017   The VA Loan: Better Than FHA And Conventional Loans? There is a right program for every mortgage borrower, but for many, the VA loan stands apart for its combination of low rates, aggressive underwriting, and secondary benefits. The 10 new steps for VA loans in 2017. NSH Mortgage has the knowledge and tools that can help you in the new steps for the updated VA loan guidelines. Backed by the U.S. Department of Veterans Affairs, VA loans are arranged to assist active duty military personnel. Veterans and certain other groups become homeowners at an affordable cost. The VA loan asks for no down payment, requires no mortgage insurance, allows flexible guidelines for qualification among its many other advantages. Here is an overview of the ten biggest benefits of a VA home loan.   1. No Down Payment On A VA Loan Most home loan programs require you to make at least a small down payment to buy a home. The VA home loan is an exception. Rather than paying 5, 10, 20 percent or more of the home’s purchase price upfront in cash, with a VA loan you can finance up to 100 percent of the purchase price. The VA loan is an absolute no money down opportunity.   2. No Mortgage Insurance For VA Loans Typically, lenders require you to pay for mortgage insurance if you make a down payment that is less than 20 percent. This insurance, which others refer it as a private mortgage insurance (PMI) for a conventional loan and a mortgage insurance premium (MIP) for a FHA loan, protects the lender if you default on your loan. VA loans require neither a down payment nor mortgage insurance. That makes this a VA backed mortgage very affordable upfront and over time.   3. VA Loans Have A Government Guarantee There is a reason why the VA loan comes with such favorable terms. The federal government guarantees that a portion of the loan will be repaid to the lenders, even if you are unable to make monthly payments for whatever reason. This guarantee motivates and empowers lenders to offer VA loans with extraordinarily enticing terms to borrowers that want them.   4. Your Ability To Shop And Compare VA Loans VA loans are neither originated nor funded by the VA. Furthermore, mortgage rates for VA…

Important: 6 Factors On How Millennials Have Been Influencing The Housing Market

Important: 6 Factors On How Millennials Have Been Influencing The Housing Market   Millennials Impacting The Housing Market Stated in one national housing trend report, first-time buyers generate up to 47% of all purchases and half of those buyers are under 36 years old. It is now safe to state that many millennials are now taking up a large segment of the home buying procedure. Here is how millennials have been influencing the current housing market. NSH Mortgage has the wisdom and tools that can help in buying a home within the housing market.   Millennials Only Group Moving Up In Home-Ownership The Zillow report showed that millennials were the only generation to see an increase in their homeownership from the previous quarter, reaching 35.3%. The report also noted racial differences: 66% of millennial homeowners are white, compared to 77% of all owners. Making Home-Ownership A Possibility Besides, how do you reach the group that is being discouraged by the idea of real estate buying? Many people believe that owning a home means roadblocks and difficulty. It is not that millennials have abandoned the idea, it just seems hard for them in the long run to manage it all.   What Is The Best Way To Educate Gen Y? Firstly, here is the steps on how to have millennials realize that home-ownership can become a real possibility. Even though, they see it as a goal, but they find it not obtainable at this point. It is easy to share the advantages of property ownership, but think about who you are reaching. Your friends, sons, daughters and peers. This group is busy traveling, excelling in their careers and education. How can it appeal to them? One main concern for most millennials are their current student loans. That debt, mixed with a shaky job market causes them a lot of their concern. Those that are in the position to purchase are now finding out that low inventory is another hurdle they have to cross. Although, these are not the only concerns for this generation, that they feel are possible deterrents for them.   Millennials: Not Your Dad’s Housing Market Millennials remember what happened to the housing bubble in 2008. That made many understandably fearful about buying. Another issue is the belief that only families with kids buy homes, not single people. Although many are considering their pets when they buy, say recent…

Alert: 7 Updates To FHA Cash-Out Refinance Guidelines And Mortgage Rates For 2017

Alert: 7 Updates To FHA Cash-Out Refinance Guidelines For 2017   What Is A FHA Cash-Out Refinance? A FHA Cash-Out refinance is a government sponsored home refinance program. Seven updates to FHA cash-out refinance guidelines for 2017. NSH Mortgage has the wisdom and tools that can help you save money with FHA cash-out refinance. FHA Cash-Out refinances allows a homeowner to turn home equity into cash by taking out a larger loan than what they currently owe. The homeowner receives the difference in cash. FHA is one of the most popular home buying programs on the planet. But not everyone knows FHA also offers three refinance types The FHA streamline refinance. FHA standard refinance. The FHA Cash-Out refinances. Of the three, the FHA Cash-Out loan is the only option that allows cash back to the homeowner. Considering, the latest updates to FHA Cash-Out refinance we are going to review how these new updates will affect you and the marketplace, regarding the three options above.   Why Use A FHA Cash-Out Loan? FHA loan guidelines are flexible, and is making it so that more homeowners can use the cash-out option. Conventional refinance loans offer cash-out as well. But the homeowner must have higher credit scores and more equity in the home. With a FHA Cash-Out, you can pay off any loan type, plus take equity out of your home as a check, or have it wired to an account of your choice. You can use those funds for any purpose: Home improvement projects. Credit card consolidation. Auto loan payoff. Student loan refinancing. Prepay college tuition. Consolidate a first and second mortgage. Pay off personal debts. There is almost no limit to what you can use the money for. Homeowners who want to reduce monthly payments, or just have a little extra cash in the bank, should examine this loan type.   How Do FHA Cash-Out Refinances Work? With a cash-out refinance, you open a new FHA loan to replace an existing loan. Unlike the FHA streamline, you do not have to refinance an existing FHA loan. You could have a subprime, Alt-A, conventional, ARM, or another loan type, and replace it with new FHA financing. In addition, you can turn your home equity into spendable cash. Many homeowners do not know that FHA can be a cash generating tool, but it can. Here is how it works: The maximum loan to value for a FHA Cash-Out…

6 Important Factors You Should Consider If You Plan On Paying Off Your Mortgage Before Your Retirement

6 Important Factors You Should Consider If You Plan On Paying Off Your Mortgage Before Your Retirement   Should You Retire Your Mortgage Before You Retire? If you are planning not to pay off your mortgage before retirement, you will not be alone. If you plan on paying off your mortgage before retirement. NSH Mortgage has the knowledge and tools that can help you with your retirement planning. You should also note that fewer than half of owner occupiers in the age group of 65 to 69 years were actually mortgage free in 2015.   What Is In And What Is Out This record low number came from an October 2017 study by Fannie Mae. But the report revealed something even more surprising. Younger baby boomers, in the 50-59 years cohort, were actually more likely to own their homes outright than people the same age were in 2000. In other words, this tendency to carry mortgages through into your retirement may now be losing ground. Habits have the possibility to change in any kind of direction. In all honesty you never know which direction in life is best for you and you should always ask yourself if this method is right for you to take. So, should you be re-thinking about if and when is it a good time to pay off your mortgage? It is certainly a lively debate.   Why People Retire With Mortgages There are two main reasons why people retire before paying off their mortgages: They have no choice. Especially, following the Great Recession, many have seen their financial plans blown off course. They strategically choose to keep their mortgages going. While, some arguments for doing this to maximize wealth are quite compelling. Those in the first group can do little about their predicament. But those who choose keeping this debt in retirement might want to keep their decision under review.   When Not Paying Down Your Mortgage Makes Sense Does the end of your mortgage term happen to coincide with your retirement date? If not, paying down your loan by that deadline will mean paying more than your required monthly payment. Here are some situations in which it is often better to prioritize other things: If you have a pile of higher interest debt. As a rule, you should pay down accounts with the highest interest rate first, and then work your way down to the…

Alert: 6 Ways To Identify The Best Home Equity Loan And How To Pay Less For It

Alert: 6 Ways To Identify The Best Home Equity Loan And How To Pay Less For It   Choosing The Right Home Equity Loan Homeowners who choose the wrong home improvement loans are throwing away a pile of cash. The best home equity loan and how to pay less for it. NSH Mortgage has the wisdom and tools to help you on deciding which home equity loan saves you the most money. But there is no single right or wrong choice. Which will suit you best will depend on how much you need to borrow. Secondly, how good your credit is and how much equity you have. For instance, home equity is measured by the amount which your home’s market value exceeds your mortgage balance. To equip yourself with the information you need to make an informed choice, keep reading.   1. Credit Card Average credit card rates at the time of writing are 16.7 percent. So you do not want to borrow much, or for long, with plastic. Still, there are three ways in which smart people use their cards for home improvements: To begin with, they will want to borrow just hundreds of dollars and with the knowledge that they can easily pay back this down payment quickly. Secondly, they might be trying to earn rewards, and will pay the balance back in full. Finally, they will get a card with a zero percent APR on purchases for up to 21 months, providing they can pay the debt off during that period. Credit cards frequently involve the least amount of conflict. For example, you are using an existing line of credit and even if you apply for a new card. The process is quick and free. Just avoid borrowing more than you can pay back quickly.   2. Personal Loan These typically have lower interest rates than credit cards, and with fixed interest rates and payments, they make budgeting easier. But those are still higher than the other types of loans explored below. So personal loans may be best if you are borrowing smallish amounts, perhaps $1,000 to $5,000. If you have a rewards credit card, you might want to put the improvements on it, then repay it with a personal loan at a better rate. Again, you are likely to get a decision on your application quickly and with little hassle. Meanwhile, the set-up costs are generally low…