Big News! The CDA Increased Its Down Payment Help to $6500!

Big News!! The CDA (Maryland Mortgage Program) now offers an additional $1500 in down payment assistance (DSELP) if a buyer is purchasing a short sale/foreclosure!  This makes the total help you can receive $6500!!

Contact our office by phone, 410-491-0200, or email if you would like more information on this program.

We Are An Approved CityLIFT Lender!

We are proud to announce that we are now an approved CityLIFT Lender!

The CityLIFTSM program in Baltimore is designed to provide $15,000 in down payment assistance grants to new Baltimore homebuyers and homebuyer education programs in areas most impacted by the financial crisis.  This is a “soft second” mortgage that is forgiven over a 5 year period.

• No First-Time Homebuyer Requirement
• Can use in conjunction with CDA loans and grant programs
• Can use in conjunction with one other city-based program

Call us today to see if you can take advantage of this great program!

STUART EPSTEIN - 410.491.0200

Loan Officer/Branch Manager

 

 

*Rates and program details are subject to change.

 



Newest CDA Programs!

For June Homeownership Month:

• The Save-A-Home Loan Program (formerly the Homeward Bound Program) is offering reduced interest rates for short sales and non-DHCD-owned foreclosures for reservations made on or after 10:00 a.m. on May 31, 2012 through June 30, 2012.

In Non-Targeted Areas:
o The interest rate will be .75% below the regular Maryland Mortgage Program (MMP) non-targeted interest rate, with a floor of 3.25% (APR 4.082%).

In Targeted Areas:
o The interest rate will be 2.875% (APR 3.675%).

• $30 Million Targeted Areas Initiative:

o Interest rate of 2.875% (APR 3.675%)
o Effective for loans reserved on or after 10:00 a.m. on May 31, 2012 and continuing until the allocated funds have been expended.
o Additional incentives and resources offered by the following partners can be combined with MMP loans and benefits to maximize savings for homebuyers in Baltimore City. The partnership of State and City allows for the best homeownership initiative and lowest interest rates in the history of the Maryland Mortgage Program (MMP).
>> Baltimore City Housing Authority has a Vacants-to-Value initiative, which can include significant downpayment assistance. Click here to go to the Baltimore City website for more information.
Healthy Neighborhoods, Inc. (HNI) helps strong but undervalued neighborhoods increase home values, market their communities, create high standards for property improvement and build strong connections among neighbors. HNI offers two major home buying programs.
>> The Healthy Neighborhoods Loan Program offers low-interest loans to acquire/rehab, refinance/rehab, or make home improvements to residential property. Incentives include a 3% down payment, loan amounts up to 110% of after-rehab value, no private mortgage insurance, and free design advice.
>> The Neighborhood Stabilization Program offers:

1) $6,000 in closing cost assistance when purchasing a home that is fully renovated by an approved developer partners; and
2) $25,000 to purchase a foreclosed, abandoned or short-sale property in a targeted neighborhood.

More information on Healthy Neighborhoods, Inc., can be found on www.healthyneighborhoods.org.
Live Baltimore is the most comprehensive organization focused on Baltimore City Living. It aims to market the City of Baltimore as a great place to live and grow the city's population. Live Baltimore offers numerous education and marketing outreach to the public and details can be found on the organization’s website, www.livebaltimore.com .

You do not need to be a first-time homebuyer to purchase in Targeted Areas.
DON’T FORGET OUR DOWNPAYMENT AND SETTLEMENT EXPENSE PROGRAM! For more information, contact us. Partner Match Programs can qualify for these incentives, too!

Spring Housing Market Update for Baltimore Metropolitan Area

Written by Stuart Epstein

It’s hard to believe that we are into May already!  I will say that I am happy to report that the first four months of 2012 have been one of the busiest that we have seen in a long time in the Baltimore area home buying market.  We are up by 9% over 2011 for purchase mortgages, and an average purchase price of $200,000, compared to $187,000 for the same period last year.  Many people are starting to realize that home prices may have hit their low point and interest rates could not be more attractive than right now.  For example, the average rate on an FHA 30-year fixed rate loan right now is 3.5% and a Conventional 30-year fixed at 3.875%.  Our refinances have more than doubled for the first four months of 2012 over 2011!  This is mainly due to rates being at an all time low.  Many are reducing the term from 30 years down to 15.

The majority of the new applications are 1st time homebuyers, who happen to be in the best position right now, given they have no house to sell as a contingency for buying.  They also have the benefit of receiving 1st time homebuyer grants and incentives, such as the CDA loan with DSELP (Maryland Mortgage Program) and the FHLB grant. 

We are also seeing more “step-up” buyers, those who are selling their current home and upgrading to a larger or superior home.  Since inventories of sought after homes on the market seem to be shrinking, some sellers are finding it easier to get contracts on their houses in a couple months.   Some areas are actually experiencing bidding wars again.

The mortgage qualifying and documentation standards have continued to get more and more restrictive, which can make for a stressful process when applying and taking out a loan these days. The good news is that qualified borrowers can still get a loan, and at historically low rates.  It just may be a bit more painful getting to settlement. 

I may sound like a broken record, but the key is having a good, reputable, local lender working for you to make the transaction as smooth as possible. 

If you own a home and have not refinanced in the last year, make sure you check with your lender to see if it makes sense for you to refinance.  There are several programs available to help: the FHA Streamline Refinance, the VA IRRRL Refinance and the Fannie Mae DU Refi Plus programs all have flexible guidelines to help those who may not have the equity normally required to get a lower rate.  If you are not sure if it makes sense for you to refinance, or if you are not sure if you can, don’t hesitate to call (410.491.0200) or email us to do a free analysis.

Enjoy the beautiful spring weather!

Attention First-Time Homebuyers:

We have some really exciting news from the Maryland Mortgage Program (some know this program as the CDA loan or MMP).  The MMP has added the FHA 203(k) Streamline Renovation loan program to its offerings!!
You can now take advantage of the awesome benefits of the Maryland CDA loan and closing cost assistance - and add up to an additional $35,000 to renovate your new home at the same time. This is a big deal!!  And here is the best part – the CDA program is offering this loan at a 30-years fixed rate of 3.875% and zero points – for a limited time.

We have been waiting for years for this program to be released.  This loan is especially helpful if you are interested in buying a foreclosure or any “neglected” property that needs some TLC, or perhaps a new kitchen or bathroom(s).  The Maryland Mortgage Program also comes with DSELP, a $5000 zero percent interest loan from the State to help with your down payment and closing costs.  There are several other grants that come along with this wonderful program as well.

Traditionally, when using the Maryland Mortgage Program, you had to have a home inspection and the program required that all the items on the home inspection be repaired before settlement.  This was very prohibitive for buying homes where the seller was not able or willing to make those repairs.  That issue no longer exists with this new program.  You, as the buyer, select you licensed contractor and make your list of repairs and wish list of renovations/upgrades, and we add that to your loan, up to $35,000.  You can make the house into your dream home before you move in!

The eligibility for this MMP 203(k) loan is the same as the regular CDA mortgage.

As always, I am happy to walk you through this great program, and answer any questions you may have.  Feel free to check out all the details on my website http://www.stuartepstein.com/, or go to the website for the program - http://www.mmprogram.com/.