New to the board. FHA changes.

Greg Phillips · Joined: 13 Dec 2005 Posts: 123 Location: Chillicothe, Ohio

Hello everyone!

Well this is my first of many posts but I wanted to introduce myself first. I have been closing mortgages over 8 years now. I like helping people and helping others succeed. I look forward to posting and sharing good information about Closing Some Loans!

So I will point out a few great changes to FHA first.

Instead of 85% on cash out you can now go 95%!

Effective 1/1/2006 the appraisal required will be just a 1004!

So some good stuff if you did not know already!

Haplo · Joined: 20 Jan 2005 Posts: 2422 Location: Springfield, IL

Keep in mind that while technically you may be able to go to 95% cash out, you'll still have to find an invester that will underwrite the loan. Currently it seems to be rather scarce ;)

Also, the new appraisals are rather exciting. It's been fun wading through the new forms and reading all the new comments etc. So while it may only be a 1004 they have made enough changes that it definitely will require some attention to make sure you're not missing some key information 8)

chow · Posted: Tue Dec 13, 2005 8:58 pm Post subject:

Greg Phillips · Joined: 13 Dec 2005 Posts: 123 Location: Chillicothe, Ohio

We do it in house and you can use our wholesale for brokering.

Wells Fargo too.

chow · Posted: Fri Dec 16, 2005 2:04 pm Post subject:

Has anyone told Wells Fargo that? :lol: :wink: :lol: :wink: :lol:

I was taking a test the Philly HOC gave me the other day, and that 95% cash out question was posed. I asked them if they knew any investors buying them yet-because we hadn't seen it pop up as an available product with anyone we knew of-yet!

Greg Phillips · Joined: 13 Dec 2005 Posts: 123 Location: Chillicothe, Ohio

Maybe they made the decision to not release it within their wholesale unit.

I guess it could be the same way through our wholesale too.

Haplo · Joined: 20 Jan 2005 Posts: 2422 Location: Springfield, IL

Chow actually was talking to me about the 95% the other day, and as of that week (This was before the update I just got today, which I have yet to install so maybe it's changed) per our UW guidelines the max we could go on FHA cashout was 85%. I'm on the retail side of WF.

Greg Phillips · Joined: 13 Dec 2005 Posts: 123 Location: Chillicothe, Ohio

Ok.

I am PM'ing you more detail I cannot really post to the public.

But it is so very odd you still cannot offer it.

It has only been 2 weeks for us.

Haplo · Joined: 20 Jan 2005 Posts: 2422 Location: Springfield, IL

It may be in our update then ;)

Thanks for the info, i'll be doing some checking for sure.

chow · Posted: Sat Dec 17, 2005 9:30 pm Post subject:

Guys, I looked for it on retail and Wholesale, and no one with a broad base of buying pool's of loans was biting yet.

so, yes Home123 could offer it, and feel they have a few months to get the backend into the compliance-but...Most of the larger lender's who already have a boat load of the normal loans to "cleanse" won't be biting-until they know what the SRP is on them.

So, in fair interest of shipping a loan to anyone who will close and fund it-when you need it....If 123 is buying-go sell!

(and I watch haplo hoover in the corner while I switch plates- :lol: :lol: :lol: )

He offered-The Teeming Million's need it. Load up the trucks-we are there!!!

Greg Phillips · Joined: 13 Dec 2005 Posts: 123 Location: Chillicothe, Ohio

Oh boy!

Wells may not be the one on this. Might be another buyer. Not sure who yet. When I find out I will advise.

Maybe they are holding these until they find a buyer too. Very possible. As I know more you both will.