9/17/24 – VA Loans We do a good amount of business with Veterans, and as Trump would say we love our Veterans, and Veterans love us too! Yes, they do! They really, really do love us! LOL! Please don’t take this as an endorsement of either candidate, as I just thought it was funny. Why do we all have to be so serious? LOL! All kidding aside, the VA loan is still the best loan on the market with great rates, and they are simple to refinance when you get to that point. We don’t use debt-to-income ratios, but we use residual income, which allows Veterans to qualify for much more than average civilians. If your veteran client has any disability income, the qualifications are even easier! Everything is case by case, and we need to get their documentation in to know their maximum qualification number! Here is where it gets tricky! A Veteran can only have a co-signor if they put 12.5% down, and the Veteran must qualify for at least half of the payment! A Fiancée, a parent, aunt, or uncle all have the same rule! The Veteran can marry the fiancée or anybody off the street, and we can use that person to qualify with 0 down payment. VA Loans do not have any loan limits! You can do one loan for $5,000,000 with no money down. A Veteran with no disability must pay the VA funding fee ranging from 1.25% to 3.5% of the mortgage. This number is based on the down payment and whether the Veteran has used their VA benefits in the past. We do credit scores down to 550 on VA loans, while other lenders like to be at 600 and above. You will pay a higher interest rate if your credit scores are below 600, but beggars can’t be choosers! VA requires that condos be approved, and the VA approves most complexes. VA does not like litigation, insurance issues, and the repair issues we are dealing with today. Typically, we will see one to two of these go through, and then VA denies any further deals to go through the complex. We saw VA loans become a thing in the Mariposas a few years back, and then they stopped and seemed to have smartened up since that point. One last note, and then we will move on! Some banks have increased their loan limits on conventional loans to $802,650 for single-family conforming and $1,203,975 for high balances. The agencies will announce the official loan amounts for next year in November. The new loan amounts are a few banks trying to come up with a number sooner than others! Yup, we are dealing with bank egos! LOL! I am available all week if you need anything. Let me know if you have any questions or if someone is interested in buying a property! My cell is 661-714-6258, and my office line is 661-260-2970 ext. 2222. My direct line is 661-2 1-2222. When you text me, please text (661-714-6258) or email me at Mike@AugustaFinancial.com. But wait, there’s more! Interest rates are up a tad today and were down a bit yesterday. Let’s see what the Fed says, and we may get lucky with some lower rates coming soon. 12-day escrows if your buyer is pre-approved - Conventional / FHA / Jumbo / Bridge We do loans in all states, so call me with anything you need. Government Loans (FHA / VA/ USDA) are in the high 4’s to low 5’s Conventional Loans up to $766,550.00 are in the high 5’s to low 6’s High Balance Loans $766,550.01 – $ 1,149,825.00 are in the low to mid 6’s Jumbo loans above $1,149,625 are in the mid to high 6’s Bank statement loans - They are available with 10% down again! Starting in the mid-6’s. Profit and Loss Statement loans – 20% down – You don’t need bank statements, just a profit and loss statement! No income qualifier – 40% down with r serves! In the 8’s! 0 down loans are in the high 6’s – 620 credit score min right now, up to $1,191,000.00. Private Money lenders - Hard Money Loans – 35% down! No Ratio Loans 30% down DSCR – Debt Service Coverage loans with as little as 15% down Bridge Loans - typically 7.99% with limited fees – and they get you where you need to go! 3/2/1 Buydowns 2/1 Buydowns and 1/0 Buydowns are available at great start rates! Interest rates are subject to change without notice! The above are LA County Loan Limits. Good news on Condos – Nothing new here! Bad news – Condo Update? – Nothing here either! Condo / Townhome – issues we know of now. Properties can be financed with 10% down and are considered NON-WARRANTABLE: American Beauty Condos - The brown ones - Insurance: 50 Million in coverage for 748 units is not nearly enough! American Beauty Gardens: 19% delinquency on special assessments due. 19% are 60 days or more late! We can do with 5% down, but others can’t! American Beauty Village West: On Fannie s List. Per Fannie, this project needs critical repairs and may have material deficiencies and significant deferred main entrance conditions. This project’s master insurance policy deductible exceeds the allowable limit. Bella Ventana – $50,000 deductible per unit is naughty. Bouquet Canyon Village – $50K deductible per unit is naughty! Briarcliff North Townhomes –7435 Shadyglade Ave #2, North Hollywood. Insurance deductible is $50K. Briarcrest – 12720 Burbank Blvd Valley Village – Insurance and repairs Bridgewater, Emeryville - On Fannie’s List! Insufficient Insurance Brookside Walk – Insufficient Insurance Cabrini Villas, Burbank - On Fannie’s List! Insufficient Insurance Calla and Rowan – 27513 Illumination – Fannie Mae Approval expired – New Construction. See Blog on 5/7/2024 Cameo Woods HOA - Per the litigation disclosure, the association is being sued by a homeowner for water heater damage and discrimination, and the damage is still ongoing. We received confirmation that the HOA’s insurance agency is not covering the lawsuit, and the claim was denied due to the nature of the complaint. Canyon Village – Reserves and 10% of the dues not going to reserves! Canyon Oaks – Insurance On Fannie’s List! Casa Marabella – 13951 Sherman Way, Van Nuys -On Fannie’s List! Cassia and Jasmine – 26949 Winding Trail Court – Fannie Mae Approval expired. See Blog on 5/7/2024 Cimmaron Oaks – Castaic – Insurance is too low! Cornerstone – Insurance -On Fannie’s List! Creekside – Insufficient insurance District Community Association – Northridge – Fannie Denied – Insufficient Insurance Encino Oaks – 5460 White Oak Ave – On Fannie’s List! Heather Ridge – Deductible too high! not enough insurance – Fannie Naughty List! Liberty Canyon HOA – 27409 Country Glen Road, Agoura Hills, CA- On Fannie’s List! Madison at Towne Center – Litigation – We can do with 5% down, but others can’t! Magnolia Manor – 12416 Magnolia – Lots of issues from insurance to repairs. Mariposa: On Fannies List. Per Fannie Mae – This project’s master insurance policy coverage does not meet the requirements. Market Street Community – Corona – No Wildfire coverage Mesa Vista North Townhomes – San Juan Capistrano – 50K deductible per unit is naughty! Orchid at Valencia – 27033 Open Sky Place – Fannie Mae Approval expired. See Blog on 5/7/2024 Penn Court HOA – 4201 Pennsylvania Ave La Crescenta On Fannie’s List! Princessa Estates – insufficient reserves Scenic Hills – Insurance – On Fannie’s list! This project’s master insurance policy coverage does not meet the requirements in Selling Gu de Sec. B7-3-03, Master Property Insurance Requirements for Project Developments. Shadow Ridge – Oak Park – Insurance -On Fannie’s List! Sherman Way Condos – 17900 Sherman Way Reseda – On Fannie’s List! Tyler Villas – Sylmar – Coverage is good, but non-warrantable for delinquencies The District Community Association – 19533 Cardigan Dr, Northridge – On Fannie’s List! Treana - Stevenson Ranch: On Fannie’s List! Per Fannie, this project needs critical repairs and may have conditions such as material deficiencies and significant deferred maintenance. Valle Di Oro is on Fannie’s List! Per Fannie Mae, this project contains timeshare, fractional, segmented, or split ownership units or other arrangements (such as mandatory rental pooling, shared interest apartments, or community apartments) restricting the unit owner’s ability to occupy the unit. Village Park Condo – It’s over the max deductible with that 50k per unit. Vista Del Canon – Insurance is too low, UGH! Walnut Gardens II – 7320 Lennox Ave Van Nuys CA – On Fannie’s List! Warner Center Condos – 5515 Canoga Ave, Woodland Hills, CA – On Fannie’s List! West Creek Condos and Townhomes: On Fannie s List. Per Fannie, this project’s master insurance policy coverage does not meet the requirements in the Selling Guide! 13801 Hoyt Village LLC – 26 units and 14 are owned by one entity! Please let me know if you hear anything new on condos or townhouses. I am still available all week if you need anything. Let me know if you have any questions or if someone is interested in buying a property! My cell is 661-714-6258, and my office line is 661-260-2970 ext. 2222. My direct line is 661-291-2222. When you text me, please text (661-714-6258) or email me at Mike@AugustaFinancial.com. Have a great day and an even better tomorrow! Please call me when you have a client who needs to borrow! Mike Meena President | Loan Officer Click to Call or Text: (661) 714-6258 This entry has 0 replies Comments are closed.
