Introduction. We have divided the webinar in 4 sections

Transcription

1 Introduction We have divided the webinar in 4 sections Our Loan Products Get Paid for Escrow Coordination How to Submit Scenarios and Files to Us and a Q and A session Questions during the Webinar Type in and Send during the Webinar Will be answered in the Q and A session

2 Our Loan Products FHA,VA,Conventional and USDA Loans. Quick Closes in 21 Days (Conditions apply) Most Aggressive Rates and Fees Some NICHES: Below 640 ficos (DU Approval/Manual UW) 203Ks to 580 fico VA Loans below 640 fico Half (½%) Down Loans USDA Zero Down Loans 20% + return ( within 90 days) on flipping allowed for FHA Multiple Investment properties OK No FICO/No active credit borrowers OK ( with non traditional tradelines) 95% conventional financing in restricted markets

3 Loans over 640 FICO We are Most Competitive when it comes to Fico Clients Our Fee Borrower/Seller paid or Lender paid...underwriting fee of $775, Appraisal of $ 500,Tax Service $65 and Flood Cert $19.Escrow and Title as per actuals. That s it...we are as competitive as it gets.call to Check our pricing out any day of the week... ( Based on owner occupied FHA to 96.5% with mid fico)

4 21 day Closings Want a Quick 21 Day Close...Clean loan with no/minimal challenges works like this... Day1 :You contact us Day1/2 :We contact client and get package ready.all paperwork from escrow including PC,Prelim,EMD,signing authorities etc. Day3 :Submit Day 5 :Approval Day 5 :Order Appraisal and Work on Conditions with client/you Day 7 : Submit Conditions Day 10 : Receive Appraisal Day 10 : Order Docs Day 12 : Receive Docs Day 16/17 :Fund/Record Notes The above relates to business days.add 4 holidays with the 2 week period.we are looking at a 21 day close The above assumes receiving loan application,income/asset docs,conditions and escrow paperwork within 24 hrs of request.all Conditions submitted being to underwriter satisfaction.

5 FHA Loans For FICO's % lenders do not entertain FHA loans for borrowers below 640 Fico We classify such loans in four categories FICO's between FICO's between FICO's 579 and below No FICO's This slide covers borrowers with FICO's between We process these loans very similar to FICO's 640 and above Automated DU Approve /Eligible needed Ratios per automated approval acceptable Recent Lates,Chargeoff,Collections OK Timeline Estimated 5-6 weeks closing period

6 FHA Loan for Borrowers with FICO's This slide covers borrowers with FICO's between Automated DU Approval Approvals Ratios per DU approval Recent Lates/Chargeoffs/Collections OK. DU Refer Manually underwritten Ratios generally 46% or better No Lates in last 12 months allowed Timeline Estimated 5-6 weeks closing period

7 FHA Loan for Borrowers with FICO's 579 and below This slide covers borrowers with FICO's 579 and below Minimum 10% Down Needed DU Approval Automated DU Approve /Eligible Recent Lates/Chargeoffs/Collections OK. DU Refer Very Challenging Manually underwritten Ratios generally 46% or better No Lates in last 12 months allowed Loans Manually underwritten only Timeline Estimated 6-7 weeks closing period

8 Loan for Borrowers with NO FICO's 95% lenders do not entertain FHA loans for such borrowers We classify such loans in four categories FICO's between FICO's between FICO's 579 and below No FICO's This slide covers borrowers with NO FICO's NO FICO's means a clean slate Does not imply to borrowers with Derog Collections/lates Can be a borrower with old good tradelines but No Score Maximum Financing to 96.5% Manually Underwritten Non Traditional trades rated for 12 months needed Ratios 43% or better Timeline Estimated 6-7 weeks closing period

9 How are Credit Issues addressed Vis a Vis Fico Scores Maximum financing to 96.5% OK except as stated Any FICO score Tax Liens Need to be on a payment plan or need to pay in full Unpaid Judgements Need to be paid in full Charge Offs,Lates,Collections Treatment For Automated DU approved Over 640 FICO Normally not addressed or required to be paid off Lenders rely on the Automated DU underwriter approval FICO's Normally not addressed or required to be paid off Lenders rely on the Automated DU underwriter approval FICO's Normally not addressed or required to be paid off Lenders rely on the Automated DU underwriter approval

10 How are Credit Issues addressed Vis a Vis Fico Scores Charge Offs,Lates,Collections Treatment For DU Refer FICO's Normally not addressed or required to be paid off No Lates in last 12 months Ratios restricted to 46% or better FICO's 579 and below Maximum Financing restricted to 90% Normally not addressed or required to be paid off No Lates in last 12 months Ratios restricted to 46% or better NO FICO Scores Derog Credit,even if old not allowed Clean Credit Report Slate required Old Good Tradelines OK Ratios restricted to 43% or better Maximum financing to 96.5% OK

11 Borrower Short on Funds to Close? Half Percent Down Loan is the answer Seller reduces or remover seller credits? Buyer has 3.5% down but no money for closing costs? Buyer does not even have 3.5% down? Half per cent down loan comes in handy All the above situations and many more are saved with the Half percent down loan 96.5% FHA First 3% 15 year fixed second Restrictions Borrower Income to be below 125% of HUD median income for county Median Income Limits ( ) Back end as follows FICO % FICO % FICO <619 43% Credit Requirements same as listed elsewhere in the Resources

12 Existing Homeowners wanting to Buy a Owner Occupied Home Requirements This is a Huge market to Tap Can Existing Homeowners get a 3.5% Down Loan...Yes Should qualify with both mortgages (Existing Mortgage and Mortgage for New Purchase) OR Existing Home should have 25% equity and we can then use projected Rental income (Borrower are allowed to pay down existing loan to get to 75% LTV) Credit Requirements Same as any other FHA loan (Can do Fico's above and below 640) This is a Huge untapped market. Talk to your existing clients wanting to buy a owner occupied property at 3.5% down

13 One Spouse has a Shortsale/Foreclosure; Other Spouse Can Qualify IMMEDIATELY If... A.If Shortsale/Foreclosure on Primary Residence Other Spouse Can Qualify for Conventional Loan Spouse with Shortsale/Foreclosure not in picture( Liability not considered) 20% Down for any property of Borrowers choice 5% Down Limits Borrowers choice to HomePath properties Higher the FICO better the rate B.If Shortsale/Foreclosure on Investment Property Other Spouse Can Qualify for 3.5% Loan Borrower should never have lived in short sold/foreclosed property Borrower needs to qualify with spouse's debt Lower FICO scores are OK Qualification criteria of FHA loans will apply

14 Existing Homeowners Wanting to Buy Investment Property Down Payment Needed Conventional Loans 20% HomePath Properties 10% Projected Rental Income used for Qualification So If Current Debt to Income is below 45% And Projected Cash Flow is Positive or Zero (using 75% rent) ;Borrower will normally have qualifying DTI Higher the FICO better the rates

15 100 % VA Loans Foreign National Loans 100% VA Loans NO FICO Score Requirement No Outstanding Collections permissible Credit cannot be on a deteriorating track No MI(monthly mortgage insurance) Loans ( FHA Loans have MI) Funding Fee may be exempt for Veterans with Disability All Closing Fee can be paid by Seller Loans For Foreign Nationals Legal Residents with Temporary Visa's OK Visa should have 2 yr unexpired period OR Should have a history of Renewals 2 Yr Prior Work History from Country of Origin and/or US OK Non Traditional Lines from US and/or country of Origin OK

16 HomePath Loans Properties owned by Fannie Mae ( Exceptional Financing Terms NO MI(monthly mortgage insurance) over 80% No Appraisal Needed Upto 97% Financing (without MI) For Primary Homes Upto 90% Financing (without MI) For Investment Homes Suggestion:Use this loan when One spouse is not to be brought in the picture

17 Get Paid for Escrow Coordination. We allow the following Escrow coordination Charges payable to You Your Cost/Charges Upto.5% on the Buyers side of HUD The Seller s Credit/Lenders YSP is used to pay your Escrow Coordination Charge. EXAMPLE A purchase deal of $ SENT TO US can get you an additional $1500 in escrow coordination fee.

18 Submit Scenario/Deal Update Scenario/Deal Submit Scenario/Deal () Add Notes Upload Files Update Scenario/Deal () Correspond Back and forth with Loan Officer Upload Files Maintain all Correspondence in same Check Example

19 Q and A Questions and Answers Type in and Send any Questions that you have. Will be answered Now After this webinar you may send Questions to me at dp@shiningstarfunding.com For Accessing all links and Services