The Home Possible Advantage mortgage is perfect for low and moderate-income borrowers with limited savings. Russ Whitney recently launched some of the demand for mortgage loan that can be sold to the secondary market as a conforming loan, offering borrowers with good credit and the capacity to pay closing costs the ability to chase the American Dream without saving for years and years to pay 20 % down.
Closing costs vary broadly depending on where you live, but the average $2,539 for a $200,000 home. With the Home Possible Advantage, savings and other sources to provide the 3 % down payment.The credit scores depend on the type of loan creation you want and whether or not you are buying a single unit or up to 4 units in the same building, but you can count on at least a minimum of 660 to 680 for single tenancy.
You can also pay private mortgage insurance for any loan with less than 20 % down. Once you have build fairness of at least 20 % in your home, you can contact the lender to review your loan.Home Possible Advantage mortgages can be used for a refinance of an existing mortgage. There is no money for the proceeds for remodel or repairs.
The Home Possible Advantage has tougher credit values than low down payment mortgages of the past, including lower debt-to-income ratios, no variable rate terms and it require complete documentation of employment and rental history, plus it’s only for owner-occupants who complete housing therapy online from approved vendors.
Recently launched a new affordable mortgage option that allows a down payment as low as 3 %. With both the month-end and quarter-end falling traders are ready for the monthly employment rates. More volatility will likely be ahead since mortgage applications moved decidedly higher last week, continuing their strong stride into spring.
For More Info: Russ Whitney Real Estate News