FHA Changes – The Only Consistent is Change

Dustin | Home Buying Process, Mortgage Approval Process, Mortgage News, Mortgage Payments, Mortgage Programs, Mortgage Rates, Refinance Process, home buying, mortgage, real estate | no comments

As French Author François de la Rochefoucauld so perfectly stated, “The only thing constant in life is change.”  Well, those words certainly ring true for the mortgage industry, which has seen a significant shift in guidelines, interest rates, and regulatory oversight.  So, what is next?

FHA has been given the authority to change the amount charged to borrowers for the up front and annual mortgage insurance premiums… and they wasted little time making some adjustments.

This is going to impact how Realtors write up FHA purchase agreements, as well as the monthly payments borrowers might expect when buying or refinancing their home.

The new premium amounts will be effective on all FHA case numbers assigned on or after October 4, 2010 – so borrowers that already have an FHA transaction in process won’t be impacted, but new FHA clients who come into process on, or after, October 4th will be subject to the new guidelines.

Here’s what you need to know:

• The Up Front Mortgage Insurance premium is now 1.0% for all standard FHA programs, including on purchase money mortgages. This is a significant change from the 2.25% Up Front Mortgage Insurance typically in place on FHA 30 year Fixed Rate transactions.

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Second Credit Pull Could Impact Potential Homebuyers

Dustin | Credit, Home Buying Process, Mortgage Approval Process, Mortgage Closing Process, Mortgage News, Refinance Process, home buying, mortgage, real estate | 2 comments

What a relief… you have been approved for your home loan and it is just a matter of days before the big move.  Time to go to Home Depot, like my friend Frank, and purchase that new refrigerator on their 12 months no interest plan, right?  WRONG!

Effective June 1st, 2010, your lender may now be required to re-pull your credit report prior to closing.  Fannie Mae’s new “Loan Quality Initiative” is intended to improve loan quality and eliminate the poor underwriting practices that helped accelerate the housing market meltdown.

I see this being a particularly painful problem for many borrowers, realtors, and loan officers who do not effectively communicate the importance of managing their credit throughout the mortgage process.  For those unaware of this initiative, this may lead to delayed closing dates, higher interest rates, and worst case – the decline of a loan in the eleventh hour.

To avoid this happening to you, here are some quick Do’s and Don’ts you should consider: read more »

Dustin360 has launched!

Dustin | Blog, FAQ, Home Buying Process, Mortgage News, dustin360, family, home buying, homes, motivation, social media, videos, webinar | 5 comments

Welcome to Dustin360

As Ralph Waldo Emerson so perfectly stated, “Finish each day and be done with it. You have done what you could. Some blunders and absurdities no doubt crept in, forget them as soon as you can. Tomorrow is a new day, you shall begin it well and serenely...”.  When the idea behind Dustin360 was first conceived, I knew it was a lofty vision for the lending industry.  How could I possibly create a lending website that not only gives today’s A.D.D. driven consumers the information they so desperately need, yet still make a site that accurately reflects who I am as a person and professional?  After all, I am so much more than a loan officer, I am a dedicated family man, multi-business owner, design junkie, travel enthusiast, Apple fan, and an intense individual.  How’s that for professional A.D.D.?

Trying to create all that in one website seemed like an impossible task.  I thought, “who cares if there is another mortgage website?  Does anyone really care about your quest to build a highly successful business and only work 25 hours a week?”.  “Is the idea too far out there for the mortgage industry?”.

Then I decided to take my own advice – stop thinking about it… and just start doing it!

However, when trying to blaze a new trail sometimes you discover new problems.  For the most part, www.dustin360.com has come together better than I had ever imagined.  But due to the massive size of the vision and our concrete timeline, my old nemesis decided to pay me a visit… Murphy’s Law… Anything that can go wrong, will go wrong.

The good news is that the site is up and running, but this isn’t the whole thing.  I frankly just ran out of time… and my time is heavily influenced by my priorities.  Over the next 1 – 6 weeks I plan on fixing some minor bugs and opening up some other areas of the site.  Here are some of the things you can expect to see very soon.

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