Lending On A Prayer
So often I run into buyers and sellers who just can’t pull the trigger. Recently, two of the biggest hurdles I’ve had have been not having desirable finances or the available homes are too outdated. Jon Bon Jovi once wrote, “Gina dreams of running away…when she cries in the night, Tommy whispers, ‘Baby, it’s okay, someday.’” That someday is here! New lending products are making home ownership much more obtainable whether you find a home in need of a makeover or a challenging portfolio, there’s a loan for you. Your prayers may be answered!
There are two newer products on the market that can help:
1) A Physician’s Loan allows people with more unique payroll/payment structures to buy more than in the past. Borrowers can loan up to $1,000,000 with a loan to value rate of 95% or $1,500,000 at 90%. One or more of the borrowers must be a medically licensed professional. There are similar loans available for other types of licensed professionals such as CPA’s and Financial Planners. This is a specialized lending program with no private mortgage insurance.
2) Remodeling Loans allow a buyer to purchase a home including remodeling costs up to 97.5% of the home’s loan to value depending on the type of loan and home purchase that is selected. FHA loans allow for lower credit limits coming in at a minimum of a 640 credit score. These programs are also designed to aid with remodeling your current home and avoiding the move!
One of our preferred partners, Craig Schrank, a loan originator and Partner with Willow Bend Mortgage, shares about the featured Remodel product, “With new home prices having risen so much over the last couple of years, more and more people are choosing to purchase older homes. The problem is that older homes have older features and are not usually as desirable as newer homes. The renovation loan solves the problem. Now people can add the amenities they want to any home, using money from the loan to fund construction. This allows the buyer to add value to the property and give them the home they want regardless of the neighborhood.”
So, “We’re halfway there…livin’ on a prayer!” Gina’s ready to ride off into her dreams and we just might be able to make it happen sooner than later!
Caralee Gurney & Associates LLC
KW Frisco Stars - Each office independently owned and operated