Todays consumer is looking to find ways to reduce their current home loan mortgage or to purchase a new home. There are a variety of loan products available even in todays economic climate.
PhoenPhoenix Mortgage key for the consumer is to understand what loan product will best serve their needs for now and in the future. The problem in the past has been consumers have been placed into programs that were not compactable with their cash flow or their future plans.
One product for the consumer to consider is FHA Financing. FHA loans are guaranteed by the government and for the new home buyer offer low down payment options that are in some cases have more flexible guidelines than the normal traditional mortgages.
Some of the features to this type of product are but not limited to depending upon the consumers situation are as follows:
- Down payment of 3.5%
- Allows for lower credit scores
- Cash out refinance transactions up to 85% loan to value
- Loan amount available up to the maximum Jumbo FHA limit in your area
- No minimum or maximum income limits
One of the keys to this program is that FHA financing is available to all consumers and not just limited to the first time homebuyers.
As a consumer if you are considering a refinance or a new purchase, you need to have all of your financial information available. By having all the information available, the lender will be able to assist you and explain to you all your various options whether under a FHA financing program or another loan program.
It is important for the consumer to present the following items which visiting with a lender:
- Complete copy of last 2 years personal tax returns for all borrowers
- Copy of most recent paystub for all borrowers
- Complete copy of last 2 months bank statement on all types of accounts
Some programs may not require this type of financial information. However, the more information provided to the lender allows for a smoother the transaction for the consumer. In addition, it allows the lender to have a frank discuss with the borrower on the types of programs that will meet their financial requirements.
