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John Paunan

Confirmed Lender

President (17 years experience)

Specialties:
Purchase Loan,
Refinancing,
Home Equity,
Mortgage Planning

Advice

  • (1161 Contributions,
  • 6 Best Answers,
  • 247 Helpful)

Contributions are sorted newest to oldest.

HARP Refi 125% w/ LPMI

Answer

Well, the quick and dirty for your situation is that you won't be able to take it to another lender because of the LPMI.  Mortgage insurance, or lender paid MI, have not been adequately addressed by all the borrower relief programs implemented by the government.  They'd have to abrogate a whole lot of private contracts if they did, which the government is loathe to do.  

  (0)
I was approved for an FHAhome loan now ready to close and rejected

Answer

Ok, just to clarify, is the 75% in reference to the loan to value on the property, or the debt to income ratio for you?  There shouldn't be a restriction for the LTV, but having a debt to income ratio that high would definitely preclude you from qualifying for a loan.  I would suggest contacting the referral Mike gave you and really work out the numbers clearly...there seems to be some confusion here.  

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I have 5 yrs left on a 15 yr mrtg.I still owe $64k. 6% loan Should I refinanace?

Answer

Yes, since you're at the 10 year mark of a 15 year mortgage, roughly 80% of your mortgage payment is going towards principle.  It still may make sense to refi if you're combining the other debt and you keep the terms low enough.  If you're absolutely positive you'd be paying off the mortgage in 5 years, you should consider a 5 year arm because the rate will be the lowest.  You'll then need to find out what payment you should be making (because the 5 year will come with a 30 year amortization schedule) to pay the loan off in 5 years.  This scenario will save you the most interest.  Have your mortgage professional crunch some numbers for you to see if it makes sense.  

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I was approved for an FHAhome loan now ready to close and rejected

Answer

Still don't see why this couldn't go FHA; unless the property is currently owned by your mother and she's selling to you and staying as non-occupant co-borrower, you should be able to exceed 75% ltv. http://www.hud.gov/offices/hsg/sfh/ref/sfhp2-03.cfm

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is there a 10% down construction/land loan in IL? looking 4 complete cost 650k

Answer

Unfortunately, there aren't a whole lot of wholesale channels for your scenario, meaning you couldn't go through a broker.  So like the prior poster indicated, you'd need to contact a local bank to see if they offer minimal down construction loans.  I have to warn you, the terms will not be great if you're able to find a willing bank.  You will have some options when it comes to getting a permanent loan, that should allow for better terms, but it will still be less optimal than if you had 20% down.  There currently isn't any mortgage insurance coverage for jumbo loans, at least not in Illinois, so the loan will have to be portfolio'd; again, less than optimal.  Terms improve greatly for jumbo with 20% down.  

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Would-Be First Time Buyers, Looking for Solid Advice

Answer

Crosbymoto,For mortgage qualification purposes, they will actually pull what's called a tri-merge credit report.  This will have the 3 scores from the main credit repositories, the lender will then take the middle score (not the average) of the 3 scores.  When there are co-borrowers, the lender will then use the lower of the 2 middle scores as the effective score for your qualification.  I hope this helps!

  (0)
Would-Be First Time Buyers, Looking for Solid Advice

Answer

Crosbymoto,For mortgage qualification purposes, they will actually pull what's called a tri-merge credit report.  This will have the 3 scores from the main credit repositories, the lender will then take the middle score (not the average) of the 3 scores.  When there are co-borrowers, the lender will then use the lower of the 2 middle scores as the effective score for your qualification.  I hope this helps!

  (0)