How Much House Can You Afford?
This mortgage calculator can be used to figure out monthly payments of a home mortgage loan, based on the home's sale price, the term of the loan desired, buyer's down payment percentage, and the loan's interest rate. This calculator factors in PMI (Private Mortgage Insurance) for loans where less than 20% is put as a down payment. Also taken into consideration are the town property taxes, and their effect on the total monthly mortgage payment.
Contact us for more information about financing your next real estate purchase.
Things you should know about financing:
- $424,100 maximum loan amount for SFH or Condo
- 5% Down – Minimum Requirement
- 3% Seller Paids – Less than 10% down
- 6% Seller Paids – 10% to 25% down
- 9% Seller Paids – 25% down or more
- 2% Seller Paids – Investment Property Purchases
- 3.5% Down Minimum Requirement –Can be gift funds
- Up to 6% in seller paid closing costs
- $318,550 maximum loan amount for a sfr or condo
- Monthly Mortgage Insurance – Life of the loan with less than 10% down or 11 years
Earnest Money Checks
- Must be from the buyer - If the check comes from the parents or significant other it’s a gift and depending on the buyer and program that may not be allowable.
- Unsecured funds are not allowed - Earnest money can’t be from a credit card
- Collect and Process ASAP - We have to verify the earnest money check has cleared the buyers account with a new bank statement
Qualfied Mortgage or QM
- Loans are subject to post clear to close audits
- ATR – Ability to repay
Appraisal Delivery Requirements – Final Appraisal Report
- 3 days prior to closing – Via email
- 6 days prior to closing – Via mail
- Final inspection reports, added comps, any changes
- New construction home? No worries, consumers can waive their appraisal delivery time requirements but must be done at least 3 days prior to closing
FANNIE MAE OWNER OCCUPANCY CONDO RATIOS
Established Condo Projects
Fannie Mae has relaxed the owner occupancy ratio for condominium projects. If the buyer is purchasing or refinancing an owner occupied or second home, then the maximum investor concentration is not a factor in condo project approval.
If the buyer is doing an investor loan, then the owner-occupancy in the project must be at least 51%.
2-4 Unit Condo Projects
If the project consists of 2-4 units, then no more than 1 unit can be investor owned.