I hope you are having a wonderful week so far, and I hope you have a wonderful Easter weekend for those of you who celebrate Easter. We will be celebrating with a family lunch in Hollywood.
It’s been a slower week on the new call side, and I think it has to do with Spring Break for some and a holiday week as we have quite a few people off work this week. So no worries, next week will be great!
I have some clients that we are closing a loan for that had an interesting situation, and we have seen this a few times before. They had credit scores at 660 with perfect credit and 79K in credit card bills plus a 2nd Mortgage ($125,000.00) for some home improvements they did. They have a 1st Mortgage for $444,000.00, and they have sold their home for $995,000.00. The house they are purchasing is $1,400,000.00, and here is what we did to get them to qualify:
We paid off the 2nd and the Credit cards about a month ago with a Bridge Loan for $356,000.00.
Their credit scores moved to 750+, and we got them a first and 2nd Mortgage on the purchase. The purchase loan is for $1,120,000.00, and the second is $140,000.00. When their sale closes, they will walk away with about $135,000.00, and they are going to pay off the 2nd Mortgage with a few extra bucks on their tax returns. They went to three lenders that couldn’t get them a Jumbo Loan even as a contingent buyer due to their credit score. We were able to get them exactly what they needed, and they were able to buy non-contingent, and they will fund today! They will have the Bridge Loan out for less than two weeks as their sale is supposed to close by the end of the month.
Helping families is what we do every day for clients, and it takes a little effort and some creativity, but at the end of the day, we have a happy agent and two happy clients!
Interest rates got a little better Tuesday and did OK yesterday. We are now at the highest levels since January 2019. The good news is when we last had rates where they are now, we bounced off those rates and went lower. Let’s hope history repeats itself!
30-year Government Loans (FHA / VA) are in the low to mid 4’s
Conventional Loans up to $647,200.00 – High 4’s low 5’s
High Balance Loans $647,201.00-$ 970,800.00 are in the high 4’s to low 5’s +
Jumbo loans above $970,801 are in the high 4’s +. We can mid 5’s with as little as 10% down. We can do 1-year findings on these too!
5/1, 7/1, 10/1 Arms are in the low to high 3’s for over $647,201. Under that, don’t bother right now!
Bank statement loans – They are available with 10% down again! 5’s+ depending on down and credit score.
Stated income loans – I have one bank with 30% down, but everything else has to be perfect! Interest rates are in the high 4’s.
0 down loans are in the 4’s – 620 credit score min right now! Mid 3’s for the most part up to $670,000.00 Price.
0 down Jumbo to $975,000.00 – 680 credit score – call for a quote
Private Money lenders – hard Money Loans – 35% down!
No Ratio Loans 30% down
Debt Service Coverage loans with as little as 25% down
Bridge Loans – are typically 5.49 – 6.49% with limited fees – But they get you where you need to go!
Interest rates are subject to change without notice! Above are LA County Loan Limits.
I will be around all weekend if you have any questions or if someone is interested in buying a property! Yes, I have Easter lunch, but I can always take a call and make things happen! My cell is 661-714-6258, and my office line is 661-260-2970 xt. 2222. Please text me at 661-714-6258 or email me at Mike@AugustaFinancial.com. Have a great day and a better tomorrow! Please call me when you have a client that needs to borrow!