www.chicorealtor.net
Welcome Chico home buyers,
Have you been searching for a mortgage loan that's right for you? Have you given up all hope because of a checkered credit history? Well, your in luck! There are now mortgage loans that may fit you and your family's situation and may help you obtain home ownership in Butte County.
Since the economic collapse in 2008 banks have been really keeping things tight and making it difficult to get a mortgage loan. But in the last couple of years we are starting to see a trend that they are changing. The mortgage giants Fannie Mae and Freddie Mac have been rolling out new loan products that are designed to put people in homes with less down payment and credit scores as low as 580.
One loan in particular that has recently rolled out is called BACK TO WORK lending program. This program is designed for borrowers that may be otherwise ineligible for an FHA-insured mortgage due to FHA's waiting period for bankruptcies, foreclosures, deeds-in-lieu and short sales, as well as delinquencies and/or indications of derogatory credit, including collections and judgments, may be eligible for a FHA-insured mortgage,” according to Mortgagee Letter 2013-26
Lenders must document that the borrower lost their job or suffered a significant reduction in income due to circumstances “beyond their control” and the borrower has demonstrated a full recovery from the event.
The Back to Work initiative will provide “creditworthy re-employed borrowers with strong recent pay histories” access to FHA financing. “We should give well-qualified Americans who lost their jobs during the crisis a fair chance to get a loan if they’ve worked hard to repair their credit,” the president said.
But lenders may find the documentation and other requirements will take a lot of work and leave them open to second guessing by auditors.
This loan may be the perfect fit for you if you suffered a job loss in the economic downturn. Please feel free to e-mail me with any questions about your Chico Ca home buying options and if I cannot answer them I will refer you to a mortgage specialist in the Chico Ca area.
Brent McCarthy
Coldwell Banker Dufour Realty
PH: 530.896.3174
CELL: 530.228.1232
FAX: 530.343.8233
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guidelines and information in this blog were obtained via
By
http://www.nationalmortgagenews.com/dailybriefing/FHA-Issues-Guidelines-Back-to-Work-Lending-Program-1038235-1.html
