Palm Coast, St. Augustine USDA Mortgage Company

USDA mortgage company

USDA Rural home buyers can receive up to 100% financing on their next home with a USDA Rural Loan. Many locations around St. Johns & Flagler County like St. Augustine and Palm Coast still remain mostly approved for 100% USDA Rural loans.  The USDA 502 Guaranteed home loan program was designed to assist moderate income residents in St. Johns and Flagler County in purchasing a home by providing easy approval standards and great rates. Home buyers must purchase a home within the eligible rural areas and have a household income that does not exceed the established limits for the area where the home is located. Please see the St. Johns and Flagler County USDA RD income limits here.

Some benefits of a USDA 502 Guaranteed Loan in Palm Coast, St. Augustine included:

  • Zero down payment,  Up to 100% financing.
  • Alternate credit may be accepted (includes detailed payment history on rental payments, utility bills, telephone/mobile services and television service) Please note non traditional credit can only be used if an applicant does not have a credit score. Non traditional credit can not be used to offset bad credit.  Current credit fico score requirements are 640.
  • No limit on purchase price, or loan amount limits with USDA.
  • 30 YR fixed terms. No early payoff charges.
  • Eligible property types include existing homes, new construction, Planned Unit Developments (PUD’s), eligible condominiums, short sales, foreclosures located in a USDA RD eligible locations.
  • Gift/Grant Funds and Seller Concessions are allowed for closing costs – up to 6%.
  • Not limited to first time homebuyers, any eligible homebuyer can apply even move up buyers.

USDA like all government home loans require monthly mortgage insurance.   Below you will find the current 2015 USDA mortgage insurance rates and up front funding ( Guarantee) amounts.

  • Purchases, 2.00% upfront fee paid at closing, based on the loan size
  • Refinances, 2.00% upfront fee paid at closing, based on the loan size
  • For both purchases and refinances, 0.50% annual (monthly ) fee, based on the remaining principal balance

Example: homebuyer with a $200,000 loan size in St. Augustine Florida would be required to make a $4,000 upfront mortgage insurance premium payment, plus $83.33 monthly mortgage insurance. The up front USDA mortgage premium is normally included (rolled into) the home buyers loan. The main benefit is the USDA  loan program is the monthly mortgage insurance (PMI) is almost half the costs of the FHA loan.

Palm Coast, St. Augustine home buyers interested in applying for a USDA mortgage?  We are available to assist you 7 days a week.  For quick service please submit the “Request Information” form at the top right side of your screen.  Mobile users can find the short Request Info Form here.  Please also be sure to call ph: 800-871-2636 and visit www.FiveStarsMortgage.com for the latest home loan info.

Palm Coast, St. Augustine USDA Mortgage Company

Gift Funds and Down Payment Assistance, Closing

Down Payment Assistance, DPAMany city and county mortgage down payment assistance program ( DPA / Grants) are available in Florida for qualified homebuyers. Programs like SHIP and others help first time buyers by providing funds to purchase a home in Brevard and Indian River County. These programs are more commonly used in conjunction with a FHA or Conventional loans as they require a down payments. Keep in mind, down payment assistance programs are not available to all buyers, they more geared towards first time buyers. Buyers have to meet income caps and qualifying standards. In addition, each program may have different requirements in place regarding classes, re payment time frame ( time you must live in the home) etc.  Be sure to check with your local or county agency on all the qualifying criteria.

One of the common questions we receive is whether down payment assistance or grants can be used with the USDA Rural program? Yes they can,  buyers can use these programs in conjunction with their USDA loan. However, buyer should note the USDA Rural Development loan does not require any down payment. Instead buyers will use their DPA or Grant funds to pay down their loan amount lower, or pay their closing costs, etc.  Example:  Let’s say your are a Florida homebuyer purchasing a home for $150,000 and you received $10,000 in grant money.  Instead of financing $150,000 + closing costs you will only need to finance $140,000 + closing costs – thus lowering your debt obligation and monthly expense.

As mentioned above USDA Rural Housing loans are 100% financing by default so they eliminate the need for a traditional down payment. However the USDA program ( like any mortgage)  has standard closing costs, often time 3-6% of the loan amount. The good news is USDA permits buyers to finance closing costs, assuming the home appraised value is higher than the sales price.  Example: Home sales price is $115,000, closing costs and escrows for home insurance and taxes are another $6,000.  As long as the home appraisal comes in at $121,000 or higher, all the closing costs can be included ( rolled into) the buyers loan.

Closing costs can also be paid by the home seller on behalf of the buyer – up to 6%.  USDA offers a lot of flexibility for buyers to purchase a home with little to $0 money out of pocket. So although approved grants and down payment assistance programs are permitted under the 100% USDA program, they really aren’t needed as much as other mortgage programs that require 3.5%, 5% down, etc. Keep in mind parts of Brevard County and Indian River County are still eligible for the USDA program in 2015.

What About Gift Funds?

Like above, the buyer can receive gift funds to help pay for money down or closing costs if they like. In cases where gift funds are used, homebuyers want to remember a few important requirements.

  • Gift funds must come from an eligible source like a family member.
  • Gift funds must be documented to have to come directly from the donor.
  • Gift Funds documentation should include – copy of check, copy of deposit slip from buyer account,  and possibly a copy of donors (source) bank statement.

Florida home buyers that have questions about down payment assistance programs using them and USDA, FHA or Conventional loans –  please submit the “Request Information” form at the top right side of your screen.  Mobile users can find the short Request Info Form here.  Please also be sure to call ph: 800-871-2636 and  visit www.FiveStarsMortgage.com for the latest mortgage info.

Brevard County :  Cape Canaveral (Port Canaveral), Cocoa, Cocoa Beach, Grant, Indialantic, Indian Harbor Beach, Malabar, Melbourne FL, Merritt Island, Micco, Palm Bay, Palm Shores, Port St. John, Rockledge, Satellite Beach, Suntree, Titusville, Valkaria, Viera and West Melbourne.   Indian River County 7 days a week including Fellsmere, Indian River Shores, Orchid, Roseland, Sebastian and Vero Beach FLA, Gift Funds and Down Payment Assistance, Closing

Highlands, Okeechobee County USDA Loan Provider

highlands county usda loan

 

Highlands &  Okeechobee County  first time home buyers still have an opportunity to purchase a home with $0 down payment thanks to the Government insured USDA rural loan.  All of Highlands county and Okeechobee County IS still eligible and approved for the 100 percent USDA financing in 2015.  Including Avon Park, Lake Placid, Leisure Lakes,Sebring and Venus! USDA mortgages have many benefits in addition to being the only 100% home loan in Florida. Below we have listed a few benefits:

  • Buyer purchase a home with no money down, plus the buyers closing costs can be included into the loan or paid by the seller of behalf of the buyer. The benefits is buyers often times end up putting very little money into the transaction.  Buyers should be prepaid though to pay a refundable deposit when they go under contract ($500-$1,000)  This is customary for most purchase transactions in Florida.
  • Easy underwriting and approvals. In most cases a credit score of 640 is sufficient for approval.
  • Monthly mortgage insurance (PMI) is nearly 40% less the cost of comparable loans of FHA and Conventional loans.  If you are a homebuyer planning to do an FHA loan, be sure to take a close look at the USDA loan option simply for the cheaper mortgage insurance costs.
  • Fixed secure 30 year interest rates. No adjustable rates (ARM)  or pre payment penalties to be concerned about.
  • USDA loan pre approvals take only 20 minutes, no big obstacles to jump through.  No special class or schooling, grants, etc, needed.  Just contact below to get started today.

Contact Five Stars at ph: 800-871-2636 or visit  http://www.fivestarsmortgage.com/usda-rural-loan to learn more.

Serving all central Florida including  – Highlands County 7 days a week including Avon Park, Lake Placid, Leisure Lakes, Lorida, Sebring and Venus Okeechobee County , Cypress Quarters and Okeechobee. Highlands, Okeechobee County USDA Loan Provider

Provider

West Palm Beach FHA Mortgage Refinance Guide

 

West Palm Beach FHA refinance

Many West Palm Beach residents  are trying to figure out a way to trim monthly expenses as we begin 2015.  The new year is always a great time to think up new ways to reduce all your monthly reoccurring costs.  Cell phone, Cable/internet, Credit card interest, and of course your mortgage.  Taking a few minutes to compare these costs could end up saving you hundreds each month.  If you haven’t considering a refinance on your FHA mortgage, now be the time, especially if you received a FHA in the last few year.  Why?  Recent FHA mortgage insurance reductions and super low interest rates.

FHA just announced last week that starting at the end of the month, the monthly mortgage insurance rate ( MI or PMI rate) will be reduced from 1.35% to .85%.   Please read more about  FHA plans to reduce mortgage insurance here.  This is huge for West Palm Beach homeowners that received a FHA over the last few years at the higher 1.35% MIP rate. This is especially big news for West Palm Beach homeowners that have higher FHA loan amount – over $225,000 as their savings for be much more.  The reduction in just mortgage insurance will save the average Florida homeowner  $900 per year.  Add to this that home loan interest rates happen to be at the lowest point over a year and refinancing makes even more sense. The monthly savings of a streamline FHA refinance could amount to possibly hundreds a month.

West Palm Beach homeowners that currently have a FHA loan do not need to worry about equity requirements as homeowners can still refinance if they are upside down on their mortgage.  The FHA streamline makes refinancing easy and lifts many of the “equity barriers” with traditional mortgage programs.  No appraisal or home inspections is needed. Furthermore, the documentation process is greatly reduced and “streamlined”

Also homeowners that do have equity can inquire about the FHA cash out refinance options available in 2015. Home interest rates are so low it often makes sense to cash out equity to pay off higher interest debt like credit cards, car loans, etc.

All Florida homeowner are encouraged to contact us for more information, 7 days week. For quick service please submit the “Request Information” form at the top right side of your screen.  Mobile users can find the short Request Info Form here.

Five Stars Mortgage is Florida’s local FHA loan resource serving  Palm Beach County 7 days a week –  Atlantis, Belle Glade, Boca Raton, Boynton Beach, Delray Beach, Glen Ridge, Golf, Greenacres, Gulf Stream,  Juno Beach, Jupiter, Lake Park, Lake Worth, Lantana, Loxahatchee, Manalapan, Mangonia Park, North Palm Beach, Ocean Ridge, Pahokee, Palm Beach, Palm Beach Gardens, Palm Beach Shores, Palm Springs, Riviera Beach, Royal Palm Beach, Tequesta, Wellington and West Palm Beach FL

West Palm Beach FHA Mortgage Refinance Guide

FHA Mortgage Insurance MI Going Down

FHA lower MI

FHA  (Federal Housing Administration) announced this week its plan to lower mortgage insurance premiums, a day after President Obama unveiled the effort to kick start first time buyer home purchases.  This is wonderful news for Florida first time buyers in 2015. For 30-year mortgages with less than a 5 %, the mandatory annual mortgage insurance rate of 1.35 percent of the loan balance will be cut to 0.85 percent. For FHA-insured loans with more than a 5 percent down payment, the previous 1.30 percent rate will be reduced to 0.80 percent. The chart to the left shows how much an average borrower with a $200,000 mortgage will save over the life of their loan.

But the reduced rates will not apply to borrowers with 15-year mortgages, according to a letter issued to mortgage lenders by FHA. The insurance rates on that loan product, which range from 0.45 percent to 0.95 percent of the loan balance, remain the same. The lower insurance rates on 30-year mortgages will take effect 1/26/2015. FHA said it will temporarily allow FHA purchase loan and refinancing applications now in process and that have a case number but have not closed to be canceled. Then, borrowers can restart the process and get new case numbers assigned on or after Jan. 26.  We encouraged Florida borrowers to contact us to review their options.

Below is the new mortgage insurance chart as of Jan 26, 2015 –

NEW FHA MI chart

 

Homeowners that have existing FHA home loans are encouraged to contact us to discuss FHA streamline refinance options.  Refinancing may make sense for many Florida homeowners stuck with the FHA higher 1.35% mortgage insurance over the last few years.  Lower mortgage insurance combined with near historic low rates could mean huge savings on monthly mortgage payments.

Call us 7 days a week at ph: 800-871-2636.  For quick service please submit the “Request Information” form at the top right side of your screen.  Mobile users can find the short Request Info Form here.  Please also be sure to visit www.FiveStarsMortgage.com for the latest mortgage info.

FHA Mortgage Insurance MI Going Down 2015

Teacher Home Mortgage Incentives

Florida Teacher Mortgage

 

Florida teachers have an assortment of home loan financing options available to them in 2015.  Many of these mortgage options are government backed programs – FHA and USDA being the most popular.  Florida teachers also have a verify down payment assistance programs available through county and city agencies and can be used in conjunction with FHA and USDA loans.  Let’s looks a breakdown of the most popular mortgage options being used to help teachers purchase a home today.

  • USDA Mortgage Financing: USDA home loans are very popular among FL Teachers and other public service workers like Police, Firefighters and EMT.  Mainly in part because USDA is the only mortgage financing option in Fla that still permits 100 percent financing.  Unless you have military benefits, USDA Rural Housing is the only $0 down payment option.  Since the program is 100% financing,  no down payment assistance is required or needed. In addition no “fist time homeowners” class or school is required.  The USDA loan pre approval process is quick, applicants can generally complete their application and pre approval in under 30 min.  Other USDA benefits include:  Seller paid closing costs up to 6%.  The USDA program is NOT limited to just first time home buyers, however, homeowners that currently own a home will face additional financing restrictions.
  • 100% financing, no first time buyers class, etc – sounds like the perfect program?  The only real down fall of the USDA loan is the program does have (2) key eligibility criteria that must be met.   First, the home you purchase must be rural eligible, and located in a approved area.  See the USDA map area here.   Second, the income for the household must be below a certain limit based on the county and number of people living in the household.   You can find the 2015 USDA household  income limits here.  If you have questions about the USDA program please contact us anytime at 800-871-2636 or just submit the request info form on this screen.
  • FHA Home Loans: FHA loans remain the most popular loan available to Florida home buyers.  FHA loans are  available for any move in condition homes, regardless of where the house is located. Like the USDA RD loan, borrowers are not required to be first time home buyers or required to take any first time buyers class, etc.   There are no income restrictions (limits) with the FHA home loan. However,  FHA loans do require a small down payment of 3.5% – but this down payment can be in the form of a gift from family, etc. Teachers can also use the verity of acceptable down payment assistance programs to pay the required 3.5% down payment and closing costs. SHIP among other down payment incentive programs can be used. Contact us today for a list of approved down payment assistance programs.
  • FHA also has the special HUD $100 down program. This FHA program is only for HUD owned homes, please see the list of HUD homes for sale here. The big advantage with the HUD 100 program is buyers can move into their home for only $100.00

Five Stars has been showing Florida Teacher the path to homeownership since 2006. Need assistance? For fast service please submit the “Request Information” form at the top right side.  Mobile users can find the short Request Info Form here.  Be sure to also visit www.FiveStarsMortgage.com for the latest mortgage info.

Serving all of Florida Teachers, including North East Florida  – Duval, Nassau, Clay, St. Johns, Baker, Bradford, Columbia, Flagler County. Teacher Home Mortgage Incentives

USDA Rural Housing Loan – Fort Walton, Destin, Okaloosa

Five Stars Mortgage

Okaloosa and Walton County Florida remains a popular area for the 100% USDA housing program in 2015. In fact most of Okaloosa and Walton County remain eligible and approved for USDA housing in 2015.   Locations like DeFuniak Springs, Santa Rosa Beach, Crestview, Destin, Fort Walton Beach, and  Valparaiso all remain eligible to for the no money down USDA Rural Development mortgage.   The USDA 502 Guarantee home loan program remains one of the last mortgage programs that allows Florida homebuyers to purchase a home with little to no out of pocket expense.   This is especially great for the Florida first time buyers that have issues meeting the large down payment requirements of other loan programs like FHA or Conventional loans.  Here are some of USDA program highlights below.

  • NO money down, 100% financing.
  • Seller is allowed to pay up to 6% of buyers closing costs and tax/insurance escrows.
  • Just about any “move in” single family home is ok, regardless of who is selling the home. The home just has to be located in a USDA eligible location.  No mobile homes.
  • You don’t have to be a first time home owner to apply.
  • USDA Rural interest rates are secure low 30 yr fixed rates with no early pay off penalty.
  • No first time buyers class is required to apply. Buyers can obtain their USDA loan application and mortgage pre approval letter in under 30 min.

Serving Okaloosa County and  Walton County 7 days a week, including  DeFuniak Springs, Freeport, Miramar Beach,  Redbay, Santa Rosa Beach. Crestview, Destin, Fort Walton Beach, Laurel Hill, Mary Esther, Niceville, Shalimar, Valparaiso.

Need assistance? For fast service please submit the “Request Information” form at the top right side.  Mobile users can find the short Request Info Form here.  Be sure to also visit www.FiveStarsMortgage.com for the latest mortgage info.

USDA Rural Housing Loan – Fort Walton, Destin, Okaloosa

Beginning VA Home Loan Process

Great video from our friends at VA Mortgage Hub that shows Beginning VA Home Loan Process-  how to start your VA mortgage application here in Florida.  What paperwork and documentation should be gathered before loan application.

Need assistance? For fast service please submit the “Request Information” form at the top right side.  Mobile users can find the short Request Info Form here.  Be sure to also visit www.FiveStarsMortgage.com for the latest mortgage info.

 

FHA HUD $100 Home Loan Financing?

Five Stars Mortgage

Most Florida homebuyer aren’t aware that FHA/HUD has a little known program called the HUD REO $100 Down Program.  Yes! $100 down home loans here in Florida is still possible. In most cases the FHA loan program requires 3.5% down payment, not the HUD $100 down program.  This loan is perfect for new first time buyers entering the housing market with little to no money for large down payments.  The HUD $100 down program is available in  27 states across the U.S., Florida included.  The HUD $100 Down program makes government owned foreclosures available for purchase with just a $100 down payment. And, these homes are available with an insured FHA loan for owner-occupants. In addition, monthly payments can be very low thanks to secure low 30 year fix mortgage rates. First time buyers often find it cheaper to own their own home than to rent.

So, what is the catch to the Florida HUD REO 100 Down Mortgage?  The only catch is the property must be a HUD owned home.  You can find the complete list of Florida HUD home for sale here.  Basically a HUD home is a home that was foreclosed on and had a FHA-insured mortgage.  HUD pays off the losses of the lender and takes the home back to sell and recoup their losses.  It is then offered for sale at market value, based on a recent AS-IS appraisal, meaning, and the market value in its current condition. If you find a HUD home you like, a HUD registered realtor is needed to help set up a showing and to make a bid.  HUD homes are listed for sale by management companies under contract by HUD. They are listed and sold through a bid process, and any real estate broker registered with HUD may submit an offer and contract to purchase on your behalf.  Feel free to contact us if you need a Realtor recommendation in your Florida city, we would be happy to make the connection.

Who can purchase a HUD home?  Pretty much any homebuyer that can qualify for a standard FHA mortgage.  If you have the cash and credit to qualify for a loan you may buy a HUD Home. HUD Homes are initially offered to owner-occupant primary homes. Following the priority period for owner occupants, first time buyers, etc… it’s then the unsold properties are available to all buyers, including investors.

Now let’s discuss some of the wonderful benefits of the HUD $100 down home loan.

  • The HUD 100 down mortgage is only for owner occupied primary residences. The means buyers will not be competing with investors when making a bid.
  • The program only requires $100 down payment.
  • Up to 3% of buyers closing costs can be paid by HUD.
  • The credit underwrite approval process on the HUD REO $100 Down Payment program is the same as a normal FHA purchase loan.
  • If the HUD property needs some minor repairs, HUD will allow up to $5,000 of required repairs to be held in an escrow account.  If the property is in need of more extensive repairs in excess of $5,000, you can still purchase it using a FHA 203K Renovation loan. Please contact us 7 days a week at ph: 800-871-2636

Other notes about the FHA HUD 100 Down program here in Florida:

  • You need earnest money deposit when you make a bid. This earnest money (or good faith deposit) will be held in escrow. This money will be applied to any outstanding the costs the buyer may have. For HUD homes UNDER $50,000, the earnest money despot is $500. For HUD homes OVER $50,000, the earnest money is despot $1,000.
  • All standard FHA qualifying requirements apply to the HUD REO $100 down program. Buyers will need a stable 2 year job history, 620 credit score, etc. All the basic FHA approval requirements can be found here. The HUD 100 program lender approval is quick and easy, the process generally takes about 15 min to complete.

Florida homebuyer that have HUD 100 pre approval questions, or would like to start a HUD $100 down loan application, please contact us at www.FiveStarsMortgage.com or call ph: 800-871-2636.  Need assistance? For fast service please submit the “Request Information” form at the top right side.  Mobile users can find the short Request Info Form here.

Five Stars –  providing mortgage solutions all Florida home buyers including  – Jacksonville FL, Lakeland, Orlando, Tampa, Tallahassee, Gainesville, Sarasota, Naples FL, Ocala, Daytona Beach, Titusville, West Palm Beach, Miami FLA. FHA HUD 100% Home Loan Financing?

 

Seminole County USDA Loan Approval

The USDA Rural Development Home Loan is the last remaining no down payment government insured mortgage program for Florida civilians. The USDA mortgage program is designed to help promote homeownership less populated locations around Florida.  Many people assume the USDA loan program is only for farmers or ranchers, not true. Many major metropolitan areas have outlining areas that are qualified USDA eligible property locations. Locations around major cities like Jacksonville, Orlando, Tampa, Gainesville, Ocala, Tallahassee, Pensacola have USDA eligible locations around them. Seminole County also has eligible locations as of 2015.  Interested homebuyers can click here to view USDA eligible zones in their location.

The USDA loan program will allow homebuyers to borrower up to 102% of the home’s appraised value. In addition, homebuyers can include closing costs into their loan assuming their appraised value is sufficient.

Some benefits of a USDA Home Loan include:

  • 102% Financing,  No Down Payment required!
  • Low monthly mortgage Insurance (PMI) One-time USDA funding fee that is included into your loan.
  • No Loan Amount limits.
  • No Cash Reserve Requirements
  • 6% Seller Contribution Limitations
  • 100% Gifted Closing Costs allowed
  • 30 year low fixed rate loan
  • No Prepayment Penalty
  • Primary Residents only (no rentals/investments or second homes permitted)

To qualify for the USDA loan program, there are two main requirements that differ from the other government loan programs (FHA or VA loan program)

Property Location: The home must be located in a Florida USDA eligible designated rural area. Please click here. Remember, the seller of the property is not important, just where the property is physically located.

Household income: Each county has different USDA Income restrictions. The income limit is based on many different variables, see the RD income limits here.

Need assistance? For fast service please submit the “Request Information” form at the top right side.  Mobile users can find the short Request Info Form here.  Be sure to also visit www.FiveStarsMortgage.com for the latest mortgage info.

Seminole County 7 days a week including Altamonte Springs, Casselberry, Geneva, Lake Mary, Lake Monroe, Longwood, Oviedo, Sanford, Winter Springs, Seminole County USDA Loan Approval