The Scoop on the New Good Faith Estimate

Written by: Joe Peffer

If you’re in the market to buy a new home this year, you may have heard mention of the new Good Faith Estimate that has been in use since the beginning of the year. There has been much written nationally regarding the new form. Much of the drama has revolved around whether or not it is actually helpful to consumers and much of the griping has come from lenders and title companies who’ve had to adjust their routines a little.

I think anything that clarifies what to expect going forward for the home buying consumer is a positive step for the industry. You know, complete disclosure and total transparency and all. So far this year, there’s been a little hand-wringing by both Delicious Real Estate Buyer’s lenders and title companies but no hold ups, real confusion or problems around closing time–having to do with this anyway.

So please note that there is a new form, it’s for your benefit, and you can find it right here. For all the discussion, it’s really pretty self-explantory. If you don’t think so, the two humorless NAR guys in the suits in this video will do their best to explain it to you. Remember, always compare apples to apples when judging one lender’s program with another lender’s program.

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Buying a Columbus Foreclosure? Fannie Mae and Maytag Team-Up for Free Money and Appliances

Written by: Joe Peffer

Fannie Mae has several current foreclosure listings in Franklin County including this fabulously unique 3 silo home in Dublin with an indoor pool and close to 4,000 sf for $200,000

(Click Here to check out more on this unique round house in Dublin once featured on HGTV’s Extreme Home’s)

Closing Cost Assistance and Appliance Incentive for Fannie Mae Homes

Fannie Mae is offering a 3.5% incentive* for buyers who purchase and close on a Fannie Mae-owned home between January 28 and April 30, 2010. Buyers purchasing properties listed through the Homepath Program that are closed within this period may receive up to 3.5% of the final sales price for:

• Closing costs;
• The purchase of new Whirlpool® appliances by Fannie Mae; or
• A mix of closing costs and appliances, at the buyer’s discretion, up to the maximum 3.5%.

To be eligible for this incentive:

• Offers must be accepted on or after January 28, 2010
• Property sales must close before May 1, 2010
• Buyers must be owner-occupants, investors are excluded

Contact a Fannie Mae listing broker for more information.

*Lenders may impose their own limitations on the use of the 3.5% incentive, so buyers should consult their lenders for guidance.

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A new Home Equity Loan Product (a loan – not a line of credit)

Written by: Joe Peffer

Lenders like making money from your equity and here's a way that could help you finance that special project.

Different lenders offer different products, many of them also offer the same products and it is very important to compare apples to apples when shopping for a mortgage. I think the new Good Faith Estimate helps to do just that. If you are only considering a 30 year mortgage and not researching different offerings and how they might best fit with your future plans, you may be doing yourself a disservice.

If you already have a home and are considering a big purchase–a car, boat, down payment on a vacation property, college, etc, you might want to know about this new offering from Third Federal who offers both equity lines, which can vary monthly based on principal balance, and equity loans which are fixed monthly payments over a particular period of time.

Starting tomorrow, February 17th, they have a new equity loan called “Prime Plus.” The rate will be prime plus .74% (currently that would be 3.99%) but it will be fixed for the first 3 years. After that it will work like a regular 3/1 ARM in that it will change yearly, and the rate cannot go up or down more than 2% per change or 6% over the life of the loan.  Minimum loan amount is $10,000 and you get to choose the term.

Example: you want to buy a car for $20,000. If you choose repayment over 10 years, the payment is $202.40 (for 1st 3 years) and if you choose repayment over 30 years (that is the maximum) your payment for the 1st 3 years is $95.37.

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Like Having a Realtor in Your Pocket…

Written by: Joe Peffer

I’m always on the lookout for ways to make your home search fun, interesting and easy. Because Delicious Real Estate is consistently at the top of the technology curve – finding ways to make your buying and selling experience better while saving time and money – we’ve been test driving different home search applications as they come on the market. iphone or desktop, mobile or laptop, I try to pass along place to look and tell you what’s hot.
This new Realtor.com iphone ap is hot. It is easily the best in class. Check it out…

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