• Lower your monthly payment
• Lock in a fixed rate
• Get cash from home equity

However, refinancing is not recommended for everyone. It is important that you weigh all your options when considering whether or not to refinance.

• Fixed rate loans - Lock in a low fixed rate that is guaranteed to never change. Popular terms include 15, 20, 30, and 40-year loans.
• Adjustable rate loans - Flexible loan terms for your short-term goals.
• Interest-only loans - Lower your payments and maximize your cash.
• Cash-out refinance loans - Get extra cash without a second mortgage.
• FHA loans -Guaranteed by the government, FHA loans offer more flexible guidelines than traditional mortgages.

FHA loans are guaranteed by the government and offer more flexible guidelines than traditional mortgages.  Loan options include:

• 30 and 15 year fixed rate mortgages
• Adjustable Rate Mortgages
• Buydowns

An important tool for community and neighborhood revitalization, the FHA 203(k) loan offers flexible qualifying and low down payments:

• FHA standard guidelines
• FHA down payment (3%)
• Flexible credit qualifying
• Assumable loans
• Finance up to 6 months of mortgage payments
• Purchase or Refinance and Improve all in one loan
• No up front mortgage insurance

The 203(k) loan program offers borrowers the resources to rehabilitate a home that may be in need of repair, either the home that they currently live in, or that special fixer-upper opportunity. One single loan is used to pay for the purchase (or refinance) and the cost of renovating the home.

Made available to certain lenders by the U.S. Department of Housing and Urban Development (HUD), the FHA 203(k) program has already provided many buyers with the funds necessary to buy their first home, or greatly improve a current home. The FHA 203(k) loan is available to borrowers of all income levels, to homeowners who plan to occupy the house, and for homes with one to four units.

203K Eligible Borrowers:

• Owner Occupants - Purchase - Refinance

• Investors NOT allowed

• 30 or 15 year fixed rates
• One year ARMS
• Assumable to a qualified buyer, with no money down

• Single family dwellings
• Condominium
• Townhouse
• Mixed Use (Storefront)
• 1-4 Unit buildings- you can increase or decrease the number of units with this loan.

• Changes for improved functions and modernization
• Elimination of health/safety hazards
• Changes for aesthetic appeal
• Plumbing, heating air conditioning, and electrical upgrades
• Well and/or septic repairs
• Roofing, gutters and downspouts
• Flooring, tiling and carpeting
• Energy conservation improvements
• Major landscape work and site improvement
• Access for the disabled

• Perform a home inspection to create preliminary costs estimates based upon FHA minimum property standards plus the scope of work as defined by the home owner/buyer.
• Once project has been determined, the cost consultant prepares a "work-write up" and 3 contractor bid packages are issued to the home owner/buyer.

• Contingency reserve (10-15%)
• Up to 6 months PITI mortgage payments
• Permit costs
• Consultant fees
• Inspection and title update fees
• Architectural & Engineering fees (if needed)

• Get pre-approved using our online application
• Locate a home and submit a contract
• Once the contract is accepted, contact us for the names of FHA approved consultants to get you started
  

• Limited Repair Program
• 1-4 Units – Purchase and Rate/Term Refinances
• Less Documentation
• Elimination of HUD Consultant
• Less fees associated with repairs/product
• 1 Title Update
• Maximum of $35,000.00 in repairs (including financeable costs) & No Minimum

Streamline 203k Value Proposition:

• Solution for Appraisal Issues, required or desired repairs/updates and other improvements.
• Lend up to 110% of appraised value
• Homeowners can make the house they are buying into the home of their dreams…..paint, carpet, appliances, etc.
• Competitive advantage in the marketplace

Allowable Repairs:

• Roofs, Gutters, Downspouts
• HVAC Systems
• Plumbing, Electrical Systems
• Existing Flooring
• Minor Remodeling such as kitchens—no structural repairs
• Interior and Exterior Painting/Siding
• Weatherization including storm windows, doors, insulation, weather stripping, etc.
• Appliances—No dollar limit
• Handicapped Accessibility
• Lead Base Paint Abatement/Stabilization
• Repair, Replace, Add Exterior Patio/Porch
• Basement Refinishing and Remodeling does not require structural repairs
• Basement Waterproofing
• Window and Door Replacement
• Septic and Well Systems/Repair and/or Replace

Ineligible Work Items:

• Major Rehabilitation or major remodeling such as relocating a load-bearing wall
• New Construction including additions
• Landscaping or similar site amenity improvements
• Rehabilitation activities that require more than 2 payments per specialize contractor

Ineligible Transactions:

• Repair Does Not Appear on the Streamline 203K Eligible Work Items List
• Repairs that Necessitate the use of a Consultant to develop a Work Write Up
• Require Plans or Architectural Exhibits
• Require a Plan Reviewer
• Require longer than 6 months to complete
• Result in work not starting within 30 days of closing
• Would cause the mortgagor to be displaced for more than 30 days during the rehabilitation being conducted

Borrower Responsibilities:

• Selecting Contractor
• Cost Estimates for all the work being performed
• If a National Home Improvement Company is used, such as Home Depot, Sears, Lowe’s borrower must provide a detailed cost estimate, receipt or invoice
• Self Help allowed on case by case basis

Contractors Responsibilities:
Each contractor must complete all documents in the contractor package which include:

• Builder Validation Statement
• Homeowner/Contractor Agreement
• Provide copy of License (if applicable)
• Notice To Contractor
• W-9
• Provide Proof of Insurance

• Cost-effective energy-saving measures may be financed as part of the mortgage!
• Make an older, less efficient home more comfortable and affordable!

Increase Your Buying Power!

• Stretch debt-to-income qualifying ratios on loans for energy-efficient homes!
• Qualify for a larger loan amount! Buy a better, more energy efficient home!

• Qualify for a larger loan on a better home!
• Get a more comfortable home NOW.
• Save money every month from Day One.
• Increase the potential resale value of your home.

• Sell your home more quickly.
• Make your house affordable to more people.
• Attract attention in a competitive market.

Remodelers/Refinancers:

• Get all the EEM benefits without moving.
• Make improvements which will actually save you money.
• Increase the potential resale value of your home.

Pay for energy improvements easily, through your mortgage. Your lender can increase your loan to cover energy improvement costs. Monthly mortgage payments increase slightly, but you actually save money because your energy bills will be lower!

• Central heating and air, including converting wall furnace and window air conditioning units to a Central HVAC system.
• Dual-pane windows
• Increased attic/wall insulation
• Energy efficient water heaters

Energy Efficient Mortgages are available with both FHA and VA financing.  With VA the maximum amount financed is $6000 regardless of property value.

USDA Rural Development has partnered with local lenders to help them extend 100% financing opportunities to rural individuals and families.

• No down payment required 
• No expensive monthly mortgage insurance means you may qualify for a larger loan.
• Flexible credit and qualifying guidelines.

The Rural Development guaranteed loan program has assisted thousands of customers just like you. 

The Advantages:

• No Down payment is required.
• Flexible credit score guidelines.
• No maximum purchase price limit.
• Closing costs can come from any source including gifts.
• Repairs and improvements can be included in the loan.
• Competitive fixed 30-year rates.

Eligibility criteria: Occupy the property as your primary residence.

• Do not own an adequate home.
• Do not have sufficient cash for a 20% down payment plus pay typical loan closing and relocation expenses.
• Be a U.S. citizen, a U.S. non-citizen national or a “qualified alien”. 
• Provide stable and dependable income for repayment ability.
• Have a credit history that indicates a willingness to meet obligations as they become due.
• Have an adjusted household income that is within Rural Development guidelines based on the number of persons who will occupy the home.  
• Purchase a residential property that is located in a Rural Development eligible area.

CalPERS offers a variety of options for purchasing or refinancing your home.

Whether you are dreaming of buying a new home, lowering your existing payments, or taking cash out, the CalSTRS Home Loan Program can help by offering competitive rates on a variety of mortgage loan programs:

• Conventional 15 or 30 year Fixed Rate Program — Competitive rates are available for buying a new home or refinancing to meet your individual needs. Mortgage loan amounts are available up to $834,000.
• 80/17 Program — Qualifying for a larger home mortgage is now available because of the low payment during the 5-year second mortgage deferral period.Mortgage loan amounts are available up to $650,000.

A Reverse Mortgage is a special type of loan that allows a homeowner to convert a portion of the equity in his/her home to eliminate mortgage payments and even gain tax-free income without losing the title to the home. The accumulated equity derived from mortgage payments and appreciation can be paid to the borrower. But unlike a traditional home equity loan or second mortgage, no repayment is required until the borrower(s) no longer uses the home as their principal residence.

Clients must be 62 or older and own a home with some equity. They don't need any income to qualify. If your client currently has a mortgage, that's okay -- we can pay it off with a Reverse Mortgage. Clients can even have bad credit, as long as there are no current government liens against their home.

The money from a Reverse Mortgage can be used for any purpose, from making ends meet to living retirement dreams. The top reasons for funds used given typically by borrowers are:

• Paying off debts, primarily mortgage and credit cards
• Home repairs and remodeling
• Living expenses
• Travel
• Health care or long-term care
• Easing the financial burden on their children
• Education
• Hobbies

In early 2009, the Obama administration announced a program called Making Home Affordable. This program is expected to help nine million homeowners keep their homes and avoid foreclosure through refinancing and modified loans designed to lower monthly mortgage payments. The Making Home Affordable mortgage is not part of the Hope for Homeowners program started in 2008. Making Home Affordable does offer hope for homeowners in need of mortgage rescue, but there are specific conditions for the program.

You must be current on your mortgage payments. Those who hope to take advantage of programs under a 2008 or 2009 housing rescue bill soon learn that staying current on your mortgage is often one of the first requirements. That’s one reason financial advisors tell people not to default or stop paying their mortgages. To qualify for a Making Home Affordable loan you must not have been more than 30 days late on any mortgage payment in the last 12 months.

• Your home must be your primary residence. For those in need of homeowner’s relief with FHA loans, this is a very familiar condition, but for those in conventional loans, the “primary residence” requirement may be new. Those who don’t live in the building they seek refinancing for will not be approved for a Making Home Affordable loan program.
• Your home must be financed with either a Fannie Mae or Freddie Mac loan. If you aren’t sure if your home loan meets this requirement, contact your Stanford Mortgage loan officer.
• Normally, home owners with loan-to-value ratios above 80% are not eligible for refinancing, but Home Affordable gives homeowners affected by such loan-to-value ratios a second chance; you may be eligible to refinance into lower mortgage rates and stable interest rates if you qualify. The Home Affordable refinance program’s official site asks, “Do you believe that the amount you owe on your first mortgage is about the same or less than the current value of your house?” If so, you qualify for refinancing rather than loan modification.

If you meet these conditions, your next step should be to contact your Stanford Mortgage loan officer to ask about starting the application process. You will need all information about your current loan, any second mortgage plus other lines of
credit like credit cards or personal loans. You’ll also be asked to supply your most recent tax documents as part of the process of applying for a loan under the Making Home Affordable mortgage refinancing package.

• Low down payment and flexible mortgage terms (fixed-rate, adjustable-rate, or interest-only)
• You may qualify even if your credit is less than perfect
• Available to both owner occupiers and investors
• Down payment (at least 3 percent) can be funded by your own savings; a gift; a grant; or a loan from a nonprofit organization, state or local government, or employer
• No mortgage insurance*
• No appraisal fees

• Financing to fund both your purchase and light renovation
• Low down payment and flexible mortgage terms (fixed-rate or adjustable-rate)
• Down payment (at least 3 percent) can be funded by your own savings; a gift; a grant; or a loan from a nonprofit, state or local government, or employer
• No mortgage insurance*

A home equity loan, also known as a second mortgage, allows homeowners to borrow money from their homes’ available equity.

Home equity loans are commonly used for debt consolidation, home improvements, educational expenses, unplanned emergencies, vehicle purchases, and other gifts and purchases.

The two most popular types of home equity loans are a home equity line of credit (HELOC) and a home equity fixed loan.

A HELOC offers you a revolving credit line with a variable rate, much like a credit card. You draw only what you need, when you need it. They normally have a lower monthly payment because your payments are interest-only.

With a home equity fixed loan you receive the entire loan amount at once. A home equity loan offers the stability of a fixed rate and fixed payments over the life of the loan.

Construction Loans

Construction loans are story loans. That means that the lender has to know the story behind the planned construction before they're willing to loan you money. Because it's a story loan, it's not going to be standardized like mortgage loans underwritten to Freddie Mac or Fannie Mae guidelines. That said, there are some common features to a construction loan. Construction loans typically require interest-only payments during construction and become due upon completion. Completion for homeowners means that the house has its certificate of occupancy.

Construction loans are usually variable-rate loans priced at a spread to the prime rate or some other short-term interest rate. You, the contractor and the lender establish a draw schedule based on stages of construction, and interest is charged on the amount of money disbursed to date.

Another variable in construction loans is how much of the project cost the lender is willing to lend. If you already own the land, then that can be considered as equity on the construction loan.

Many homeowners use construction-to-permanent financing programs where the construction loan is converted to a mortgage loan after the certificate of occupancy is issued. The advantage is that you only have to have one application and one closing.

Depending on your view on interest rate trends, you could also purchase a rate-lock agreement valid through the expected completion of the construction. Just make sure you allow for the inevitable construction delays.

A construction loan, unlike a mortgage, isn't meant to be around for a long time. If you're taking out a $200,000 construction loan for six months and you pay an extra 0.5 percent on the loan, it costs you an additional $250. (Assumes an average $100,000 loan balance over a six-month construction period.)

You may be willing to pay a higher rate on the construction loan if you're doing construction-to-permanent financing and can get better mortgage terms or a longer, better rate lock from that lender

If you are interested in purchasing a commercial property or in need of refinancing your existing commercial loan, please call your Stanford Mortgage loan officer for more information.

Coming Soon

Coming Soon

At Stanford Mortgage our goal is for SUCCESS to be the only option for our loan officers.  We proudly offer:

• Monthly E-Newsletter to your clients and sphere of influence
• Monthly Co-Branded E-Newsletter
• Weekly Realtor Rate Updates
• Monthly Flyer and Postcard designs

All free to the loan officer.

• Company Paid Business Cards
• Company Paid Automated Underwriting
• Reimbursement for Credit Reports
• Access to over 500 Real Estate Agents
• FHA Approved
• Excellent Support Staff

Loan Officers and Processors call our management team today for more information.
Mike Farr, General Manager
(916) 390-2953
Jodi Mottashed, Corporate Administrator
(916) 941-3463

Submit resumes to marketing@stanfordloans.com

FHA/HUD
www.hud.gov
VA
www.homeloans.va.gov
Fannie Mae
www.fanniemae.com
Freddie Mac
www.freddiemac.com
Mover’s Guide
https://moversguide.usps.com/icoa/flow.do?_flowExecutionKey=_cD8199A6F-1431-DD8D-A691-4939CE2B1266_kFCF7D044-61CD-B956-4487-F4A815BDE9D9
Chico Association of Realtors
http://www.chicorealtors.com/
El Dorado County Board of Realtors
www.edcar.org
Placer County Association of Realtors
www.pcaor.com
Sutter-Yuba Association of Realtors
www.syaor.com
C21
Main landing page for C21
ERA
Main landing page for ERA
Property Management
Main landing page for property management