Minnesota Mortgage Blog

First off, you are going to get a hundred different opinions about what is going on today in the real estate marketplace. Did the bubble burst? Will interest rates rise or fall? Should you buy or sell? The reality is that real estate is local. What is going on in California or Florida is not necessarily indicative of what is affecting Minneapolis. One thing is for certain, the market has slowed down in the last year. The past few years is not necessarily a good barometer to measure real estate. Houses aren’t selling in record times for record prices. That is not to say that the ‘bubble has burst’ or that the industry will not improve. Interest rates have remained stable or dropped in the last six months. Depending on when you purchased your home, you could still see a good return on your investment if you sold today.

You can find your estimated home value, by filling out the Home Price Index form on this site. This can give you an estimate of what your home is worth today. Another approach to valuing your home is to contact a Real Estate Professional. We can refer you to a qualified agent in your area if you like. For more details and information please contact Joe Cook at Water Street Mortgage.

Yes!

Poor credit does not have to stand in the way of you and your next home. Just like in elementary school, your credit is ‘graded’. For example, ‘A’ would be considered exemplary credit, while ‘C’ and ‘D’ would indicate some serious credit problems. Whatever your grade, a variety of mortgage loans are still available.

Both conventional and government loans exist for individuals with bruised credit, some with little or no money down. Of course, the more damaged your credit is, the greater the down payment requirement will be. The ALT-A market has been developed to accept loans where the borrower has minimal to moderate credit issues at reasonable rates.

Recently, FHA has stepped up to the plate to work with borrowers who have moderate to serious credit problems. Borrowers with multiple mortgage lates are eligible for a new “FHA Secure” loan at near conforming rates! We expect FHA to be a major player in 2008 as delinquencies and foreclosures increase across the country.

With that said it is always best to sit down with your mortgage professional and review your current credit profile. They can make simple suggestions to raise your credit score, allowing you to receive a lower interest rate!

Our goal is to put our client in the best possible financial situation…even if it takes several months to improve their credit scores!

TECHNICALLY...YES!!!

Our lenders continue to offer 100% financing for purchases and in some cases refinances, as long as the property is not located in a declining market area. If in a declining market area you have to put 5% down. In spite of this temporary change, 100% purchase programs have never been better with low rates and very low mortgage insurance premiums as well. Did you know in many cases, your mortgage insurance premium is tax deductible? As a result, the 100% loan is the clear choice for most borrowers looking to buy their first home or even move up to their next home. Here are some of the features of the 100% loan program:

• One Simple Loan
• No Second Mortgages
• Credit Scores as Low as 620
• Reduced MI Rates
• 30 Year Fixed Rate
• Fast and Easy