SHOW ME THE MONEY (down)
95% or 97%
What is the maximum LTV on a Regular Conventional Mortgage and maximum LTV on a First Time Buyer Conventional Mortgage?
A Second Home.
What is a home being purchased for secondary or recreational purposes where the buyer will not be residing at as their principal residence?
Try to add a co-signer.
What is a possible fix to aid with a borrower's DTI being too high on their own?
CD
What is acronym for Closing Disclosure?
When borrowers make their monthly mortgage payments, they generally also pay one-twelfth of the anticipated annual amount to pay property taxes, home owner's insurance, monthly mortgage insurance premium, etc.
What is escrow?
96.5%
What is maximum LTV for an FHA Mortgage?
No one can gift this down payment.
What is the gifting policy on down payment for an investment property?
Pay off or pay credit card debts down to at least 30% of the limit or less.
What is one of the quickest ways to raise someone's credit score?
PMI
What is the acronym for Private Mortgage Insurance?
An earnest deposit given by the buyer's upon signing a purchase agreement, this CANNOT be made with cash or money order.
What is the Earnest Money Deposit (EMD)?
100%
What is the maximum LTV for a VA loan?
For at least the first year of owning the home.
What is the length of time a buyer must live at and claim their new home as their primary residence when purchasing using an FHA loan?
There is no instant fix! You must wait for them to fall off on their own.
What is a way to fix late payments showing on a credit report that ARE accurate?
CFPB
What is the acronym for Consumer Financial Protection Bureau?
A one time, up front premium paid by the borrower for PMI, separate from their monthly PMI payment, that is financed into the loan. OR a one time up front funding fee charged by the Veteran's Affairs that is financed into the loan, sometimes people are exempt.
What is Up Front Mortgage Insurance Premium/Funding Fee on FHA or VA loans.
80%-85%
What is the maximum LTV for an investment property purchase, which must be purchased with a Conventional Loan?
All adults living in the household must qualify and be on the loan.
What is the rule on adults living in the household when using the traditional MSHDA First DPA Program?
6% for FHA and either 3%, 6% or 9% for Conventional.
What are the maximum seller's concessions to help a buyer that does not have enough cash for closing?
LTV
What is acronym for Loan to Value?
Credit, Assets and Income.
Spouse or immediate family and sometimes even a close family friend.
Who can gift money to a buyer to help with their down payment on the purchase of a primary residence?
Non-Occupant Co-Borrowers are allowed.
What is the rule on Co-Borrower's on the loan, but not living in the house for a regular Conventional or FHA mortgage?
The buyer MUST either pay the liability in full and provide full documentation of the payoff from the IRS either before or sometimes it can be done at closing, OR the buyer must establish a repayment plan, provide all documentation from the IRS showing the acceptance of the plan and now we must add the liability payment to the IRS into the buyer's DTI.
What if a buyer lied and did not pay any previous year's tax liability to the IRS and they still currently owe it?
RESPA
What is the acronym for Real Estate Settlement Procedures Act?
What is an alternative to lowering the purchase price or walking away from a deal if an appraisal comes in low?