- Find a Real Estate Professional
- Realtors®
- Mortgage Lenders
- Home Improvement Pros
- Other Real Estate Services
- Review an Agent, Lender or Pro
- Marketing on Zillow
- Real Estate Agent Advertising
- Join the Professional Directory
- Popular
- Real Estate Market Reports
- More
Answers (19)
- sunnyview
- Contributions:25139
A good lender could tell you what they think. Maybe you ask them about whether a HARP or an FHA streamline that has no appraisal requirement would help you or if there is another way to lower your payment.
- KKSka14
- Contributions:63
It's not about the declining market, it's the loan product. About 1/3 of our area's new purchase mortgages are VA or FHA. Five years ago this number was around 10%. So there is just not a lot of government refi volume in our neck of the woods. There's certainly some, but we're seeing a lot of ARM, 2nd mortgages and HELOCs.
" we don't see many FHA/VA borrowers who are under water on their mortgage. "
That's odd, the data seems to suggest your area is declining just like everywhere else.
That's odd, the data seems to suggest your area is declining just like everywhere else.
- KKSka14
- Contributions:63
I'm really not interested in an internet battle. When we sell our loans in the secondary market we are responsible for loan buybacks and our ratings are dinged when we have defaults. As a result, our organization won't accept no-appraisal streamlines, even if our investors did, which they don't (our investors). I mistakenly applied this to all organizations, when, in fact, this is not true. Apparently many organizations do accept no-appraisal streamlined loans.
Since FHA and VA were used in relatively little volume until after the market collapsed in our market, we don't see many FHA/VA borrowers who are under water on their mortgage.
Since FHA and VA were used in relatively little volume until after the market collapsed in our market, we don't see many FHA/VA borrowers who are under water on their mortgage.
" You may be right, Clay. Because of loan buybacks our underwriters won't accept no-appraisal loans."
Still don't think he get's it.
Still don't think he get's it.
- KKSka14
- Contributions:63
You may be right, Clay. Because of loan buybacks our underwriters won't accept no-appraisal loans. This level of conservatism cannot necessarily be applied to all organizations; I was mistaken in that. For example, Quicken Loans may do them because their volume mitigates buyback risk. We do about $50-$60 million per month, which is insufficient volume for mitigation of buyback risks.
Don't help him Clay, he's in a perpetual state of bliss.
- Clay Branch, "Georgia Loans"
- Contributions:7839
2. LTV > 97.75, AND Loan Purpose is Streamline
I believe your problem with Chase may be a submission error. An FHA no appraisal streamline is submitted using the original appraisal in FHA connection so when you list an appraised value over 97.75%, then I guess it would get turned down.
I believe your problem with Chase may be a submission error. An FHA no appraisal streamline is submitted using the original appraisal in FHA connection so when you list an appraised value over 97.75%, then I guess it would get turned down.
So basically Kevin you are posting to let everyone know that you cannot do what 99% of other loan officers can easily do.
Good to know and thanks for that info.
Good to know and thanks for that info.
- KKSka14
- Contributions:63
I am going to copy and paste from Optimal Blue Chase correspondent (not retail, CORRESPONDENT) based on an FHA streamline:
Disqualifiers:
1. Loan Amt < 417001, AND Number of Units is 1 Unit, AND State is Continental U.S.
2. LTV > 97.75, AND Loan Purpose is Streamline
Maybe Chase retail will take a no-appraisal streamline, but it's correspondent line won't, nor will any of our investors.
Disqualifiers:
1. Loan Amt < 417001, AND Number of Units is 1 Unit, AND State is Continental U.S.
2. LTV > 97.75, AND Loan Purpose is Streamline
Maybe Chase retail will take a no-appraisal streamline, but it's correspondent line won't, nor will any of our investors.
" You must have awesome investors then because they are 100% not done with our investor overlays. "
You apparently have no clue about the FHA streamline option without an appraisal. For you to say that Chase won't do an FHA streamline with no appraisal is ignorant and completely false. You seriously need to get educated.
You apparently have no clue about the FHA streamline option without an appraisal. For you to say that Chase won't do an FHA streamline with no appraisal is ignorant and completely false. You seriously need to get educated.
- KKSka14
- Contributions:63
You must have awesome investors then because they are 100% not done with our investor overlays. If Wells Fargo, for example, already has the loan then they may accept a no-appraisal streamline, but Chase Bank won't accept a no-appraisal streamline that is being refinanced from Wells Fargo. The risk wouldn't make sense because the FHA and VA ding investors for defaults and default losses and the likelihood of default is extraordinarily high when people are under water on their mortgage.
- Clay Branch, "Georgia Loans"
- Contributions:7839
VA and FHA no appraisal refinances are done all day long, everyday.
- KKSka14
- Contributions:63
True, Clay. Those programs allow for streamlined refinances that don't require an appraisal; however, investor overlays almost all require appraisals. At the very least our investors, which include the big ones like Wells Fargo, Chase Bank, and Bank of America, require appraisals on the streamlined.
- Nicholas Ribeiro, "NicholasRibeiro"
- Contributions:1807
You can but you may not want to!
- Clay Branch, "Georgia Loans"
- Contributions:7839
In addition to the other posts, if you have an FHA or VA loan the home value is not a factor.
- KKSka14
- Contributions:63
It's possible, although the guidelines are quite strict. Take Fannie Mae HARP 2.0:
1) You must be current on the mortgage
2) It must be an owner occupied primary residence
3) Fannie Mae must own the loan
4) Fannie Mae must have purchased the loan prior to May 1, 2009
5) There must be no 2nd lien and if there is a 2nd lien then it must be subordinated
1) You must be current on the mortgage
2) It must be an owner occupied primary residence
3) Fannie Mae must own the loan
4) Fannie Mae must have purchased the loan prior to May 1, 2009
5) There must be no 2nd lien and if there is a 2nd lien then it must be subordinated
- mymortgagebrokerjoe
- Contributions:129
absolutely!
- shapiroamg
- Contributions:3058
It depends. Do you know if your loan is owned by FannieMae or FreddieMac? If it is then you may have an opportunity.
can you refinance when you owe more than appraisal value?
Stating a discriminatory preference in an advertisement for housing is illegal. If you think this content is discriminatory or otherwise inappropriate and feel it should be removed from Zillow, please let us know by completing the information above.
We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.