Saturday, December 10, 2016

HomeStyle Renovation Loans Purchase or Refinance

This loan is a Fannie Mae product, what I think makes it very special is that it allows investors to participate. It’s also great for primary and second homes for the owner-occupied borrower.

I hate to start out with limits but at least you know if its a good fit for you or someone you know.

1-4 Units can be Primary residence owner occupied
1 Unit Second home owner occupied
1 Unit Investor

On a purchase transaction, the Loan-To-Value(LTV) is based on two factors and the lesser of the two apply.
  1. Purchase price plus the cost of the renovation
  2. The “AS Completed Value”

For the Limited Cash-Out Refinance (LCOR) the LTV is determined by dividing the original loan amount by the completed appraised value.

Another cool aspect of this product it allows for subordinate and community seconds, this is very helpful to first time buyers with down payment assistant grants from their city or county.
You must use an approved by the lender contractor and if your financing doesn’t exceed 10% of the “AS Completed Value” you can be a “Do It yourself worker” but to do this the property must be 1 unit and owner occupied. 

This loan product requires a 10% contingency reserve and the proceeds for the reno must be placed in an interest-bearing bank account that the lender has control over. Draws are set up and inspections need to be completed before each draw is paid out. Once completed the lender will require the appraiser to provide an Update/Completion Report form 1004D.

For investors doing one home at a time to buy/sell or keep and rent this is a great option and much cheaper then short term high interest rate loans from hard money lenders. Although if that is easier for you based on your documentation or lack of it, I can help you with those too! But you will be surprised how easy the HomeStyle loans are and the rates are great! 
Got questions, contact me or simply give me a call, I would love to talk with you. If you are ready to apply and get pre-approved go to my website Roxy's Website

Realtors, I encourage you to learn more about the loan products that will help you sell your listings and help your buyers with alternatives. This loan product is a valuable tool to do just that. I also have loans for sellers to help them fix, remodel or update their home in preparation of listing it. As you know, these modern fixes help sell homes and increase profits. I offer incentives to sellers that need short term money to make these improvements. 

Ask me about our Certified New Home program and Seller Home Warranty program that insures the home while it's listed. 

No Manufacture Homes (MH) area allowed on the HomeStyle program. But don’t worried I have lots of options for MH. Stay tuned to my blog for my next post on MH, you can join/follow my blog from FB over on the right side of my blog, please do!  

I always like to leave you with a link for research so here are some tips direct from Fannie Mae

I always welcome and encourage your comments and questions.
Thank you for stopping by my blog, enjoy your day!

Roxy Redenbaugh
ACMC Loan Consultant
Certified Mortgage Coach
Branch Manager
NMLS #269926

Sunday, December 4, 2016

FHA 203K Rehab Loans for Purchase or Refinance.

There are two types of 203K rehab loans, the standard and the streamline. FHA (Federal Housing Administration) is a division of HUD (Department of Housing and Urban Development. FHA administers the mortgage insurance for primary residential homes 1-4 units, that allows buyers the opportunity to purchase existing homes with 3.5% down payment. I will explain both types and some of the basics for both.

If you have been shopping for a home you’ve probably noticed many are in need a repair, remodel or a complete overhaul due to foreclosures and bank owned properties. This is a great example where a 203K standard can be used for a purchase. This rehab loan will cover a complete tear down to a complete rehab of all rooms, appliances, roof, electric, plumbing. If you are already a homeowner and would like to rehab or remodel your home, you can also refinance into a 203K standard.

If you are a Realtor this product could help you sell your listings! There are other loan products for seller but that’s another blog post. If interested email me for ways to sell your listings by offering your seller simple fixes that can make a huge difference in the seller net profits.

How a 203K Standard works; The seller or your lender depending on if you are buying or refinancing, your new loan is funded at closing. The 203K is a one time close loan. The funds needed for your rehab portion are deposited into an interest baring account at a bank or credit union and construction costs are paid out from this account just like a construction loan or at the completion of the project. With the 203K standard 5 draws are allowed. Inspections are required before each draw.
Loan maximums are like any FHA loan they are based on your county limits.
Click Here to find your state/county limits

The minimum on the rehab portion is $5000.00. IF your repairs or rehab were at or under $35,000 you would use the 203K Streamline or Limited.

Your FHA/HUD Consultant can make suggestions based on the scope of the project.
The lender will insist on a contingency reserve of between 10-20% to cover construction overages plus your payment of principal-interest-insurance-taxes (PITI) and mortgage insurance (MI) during the construction phase for up to 6 months if the property is uninhabitable. Your FHA/HUD Consultant will determine and make recommendations for the amount of the contingency and the duration of how long the property will be uninhabitable during construction.

You must have an approved FHA/HUD Consultant, that person reviews your plans, architectural drawings, material list and bids. The consultant will be required to complete two reports; A Feasibility Analysis Report (FAR) and a Specification of Repairs or SOR. The consultant will do an inspection before each draw to make sure all the work is done per HUD guidelines
Their fees range from $400 - $1000 depending on the size of the project.

You must have a Licensed General Contractor (GC) who oversees the complete project and works with the FHA Consultant to meet the FHA guidelines. Your GC will normally have subcontractors for electrical, plumbing, roofing all depending of the scope of the project. YOU can help on certain jobs but only under the direct supervision of your GC. The contractor must start the work within 30 days after your loan funds. The lender allows up to 5 months for contractor to finish the project and get the occupancy permit.

You must have an approved FHA Appraiser who will do an initial appraisal before funding of all the rehab plans, bids and cost breakdown and provide in the report the AFTER rehab completion Value. If this 203K is for the homeowner who is refinancing the appraiser will need to report on the “AS IS” value as well as the AFTER-completion value.

Here’s how a 203K Streamline or Limited works; This is a simpler process, you don’t need the FHA/HUD consultant although they are valuable and you might want one anyway! Just not required. This loan has a limit of $35,000 in rehab money available after close. Again the minimum is $5000. You still need a Contractor and Appraiser.
The contractor has 4 months to complete the work.
The type of repairs you can do range from remodeling kitchen/bathrooms to buying all new appliance. A new roof, electrical, plumbing and fixtures, even landscaping can be included. You just need to keep it at or under $35,000.

They are called streamline because the process is much easier and quicker.
However even the 203K standard may seem difficult it’s NOT, most of the work is done by others including your lender (ME) the Consultant, Contractor and Appraiser we all work together to make it all come together. It’s a GREAT way to get a home under market value and make it yours. I highly recommend these loans, they are both great products.

As for you the borrower, qualifying for either of these FHA 203K standard or streamline is basically same as any FHA loan, some lenders restriction may apply in addition to the FHA guidelines. Best way to see if you qualify is to contact me and I’ll get you pre-approved. 
It’s FAST,EASY and FREE! Go to my website to apply and let's get started Roxy's Website
Here’s a couple links to help you with some research, I always recommend doing your research and educating yourself and I am also happy to help with education and research.

Find a FHA/HUD consultant in your state… just add your state in the drop down and all the approved consultants in your state will be listed. After your lender(ME) I recommend talking with a consultant, they can help you with many questions and a referral to the best contractors, who are experience in working with FHA203K projects. They know who are the best in their field.

There are many other interesting factors for multi-family units and how you can use the 203K product. I didn’t get into these types of properties here, because this is a blog not a book. So, if you have questions contact me, or just call me. I would love to talk with you. 

If you are an investor and thinking..... how can I do this too? 
Because who wouldn’t want to buy distressed properties to resell or keep and rent. FannieMae has a product for you too! It’s called the HomeStyle Loan, stay tuned and join my blog over on the right side and I’ll post information and guidelines on that product next.

Thank you for stopping by my blog, I appreciate and welcome your comments and questions.
Have a wonderful day! 

Roxy Redenbaugh
ACMC Loan Consultant
Certified Mortgage Coach
Branch Manager
NMLS #269926

Thursday, November 24, 2016

Roxy's Real Estate News Blog: HOUSE FLIPPING ON THE RISE

Roxy's Real Estate News Blog: HOUSE FLIPPING ON THE RISE: Flipping is such a popular craze. Not sure about you but I am a regular on HDTV and I love Chip and Joanna Gains. This type of estate inve...


Flipping is such a popular craze. Not sure about you but I am a regular on HDTV and I love Chip and Joanna Gains. This type of estate investing strategy is not for everyone but if you are thinking about diving into this flipping home strategy you are not alone. 

The flipping market has been busy with some 51,434-single family homes and condos flipped in the second quarter of 2016, this is a six-year high. With an average $60K profit, it’s no wonder this strategy is HOT!

I have some points of interest you might want to consider if you have considered house flipping.

Most flipper investors or at least about 71% are using all cash to fund their deals. Most are using funds from investors that invest in people who buy houses to flip and they partner with them for a predetermined percentage of the profits plus interest on their funds. That’s one way, another is with a short-term bridge loan, this could be for a large amount to cover several properties and as each home is sold they are removed as security from the original bridge loan. There are many ways to fund these projects. I see many lenders wanting to get involved providing new programs with the flipping industry in mind. So don't stress about the money, it's available.

The most important thing is YOU!
This endeavor is not for everyone. You need to invest in yourself and get yourself educated before you just dive in, because this can be very risking if you don’t know what you are doing. I am not saying you need to go spend thousands of dollars on one of those Gurus that’s been flipping houses successfully for years. But instead go out there and buy real estate investing books, join some forum groups and talk to like-minded people. BiggerPockets is one of the best I know of and is very useful for many real estate investors for education, networking and deal-
making and will prove to be a great resource.

Do research on this industry and learn as much as you can. Learn marketing for leads and find out where the best areas for distressed homes are located, research county records for vacant homes that the city or county has in their inventory. Talk to Realtors! DO YOUR RESEARCH. Hopefully you will then know when you will make your first move and get started.  BE careful, most newbies realize very quickly this is not easy money and is a lot of hard work.

I do know a few flippers, I have helped them on the money side, they do love it and are making money. They started with one house and now are working several.  I know you can too, just be smart, get educated, start small, but do get started if this is what you want to do. Procrastination is your worse enemy for any kind of success. Get in the right mindset to succeed in your house flipping dream and get busy!

I found a couple article to help you start your research … go ahead and check them out!
And as my 10-year-old grandson claims you can learn just about anything on YouTube! So, don’t forget YouTube as a research source because he is correct.

Please leave your comments and questions, they are appreciated and encouraged. 
Join my blog on the right directly from your FB account and you will see my blog post first. 
Thank you for stopping by, have a great day! 

Roxy Redenbaugh
ACMC Loan Consultant
Mortgage Coach
Branch Manager
NMLS #269926

Thursday, November 10, 2016

Thinking About Becoming an Investor of Multifamily-Housing Rental Property

NOW is an excellent time for becoming an investor of multifamily rental property. 
We are seeing a 6-year surge in apartment rentals. Why you say? Millennial renters, although we realized an increase in homeownership in 2016’s first two quarters we are seeing more and more households opting to rent instead of buying. There are many reason (see my last blog post) but overall this increasing market is looking more appealing to investor than ever before.

There are some HOT markets for buying multifamily units these are the top 5 in the nation.
  • Orlando, FL
  • Phoenix, AZ
  • Atlanta, GA
  • Fort Lauderdale, FL
  • Las Vegas, NV
If you are selling your multifamily units, you will do well if your property is in the Hottest selling market in the nation, these are the top 5 in the nation. 
  • New York City, NY
  • Pittsburg, PA
  • San Francisco, CA
  • Miami, FL
  • Nashville, TN
It is very important to do your due diligence and research the area and properties you are considering. Professional help from a Realtor can be useful but as an investor you don’t want to rely completely on anyone but yourself.

Location, Location, Location is always going to be the most important factor of any property you buy.

There are several tips about finding the best location.
  •        Finding the best property in the best neighborhood, or the worse property in the best neighborhood, because rehabbing a rundown property can make for a great investment if the location is in a well sought out area.
  •        Check with the Police or go to the library to see about the crime rate in the area before you buy. No one wants to rent in a high crime area.
  •        Check the schools and find out their state racking. Are they within walking distance from the property you are looking to buy.
  •        Parking is another very important factor, does your potential property have tenant parking for one or two vehicles or is it street parking only.
  •        You will need to know what the average rents in the neighborhood are producing. 
Investing in multi-family property can be very lucrative, but they can also be financially draining. Do your homework, find good professionals to work with you, a Realtor and a good loan broker, I am available if you need either.  Most investments properties require more money down then regular residential loans.
You will want to learn about managing a rental property and know the tenant/landlord laws in your state. You will need to decide if you will manage or you plan to hire a managing company to run your properties.

Get the facts and know what you are doing BEFORE you invest!

Here are some websites and organizations that can provide information.

Thank you for visiting my blog, please leave your comment and questions! Join my blog on the right to receive a notice when I have a new post.

Roxy Redenbaugh
ACMC Loan Consultant
Certified Mortgage Coach
Branch Manager
NMLS #269926

Tuesday, November 8, 2016

Student Loan Debt is Primary Reason for Putting off Homeownership

Many older millennials are carrying a debt of $70,000 to $100,000 in student loans. But each generation is effected with student debt. More then half of each generation of non-owners are delaying their homeownership plans because of student debt.

The added student loan debt is cutting into the ability to qualify for a home loan as well as making it difficult to save for a down payment. This burden is also being passed onto parents with adult children unable to leave home. Parents are also taking on student loan debt to minimize their children’s debts.

Student debt is a national issue and a common problem with 70% of college students borrowing money for college. The average graduate completes school owing more then 40,000 with payment over $300 per month. This effects the ability and buying power for car loans, home loans and is driving the use of credit cards up and is effecting our nations economy.  

Hopefully in the next year we will find a way to relieve the need for large student debt. I heard some great alternative ways to pay it back may be in the works. There are also ways for student loans to be would be a great relieve if future employers would help where they can. 

Don't be the ONE
As a mortgage loan professional, I strongly recommend if you have student debt to keep on top of it, communication with your lender is critical. Having multiple payments due on several loans can be hard to keep track of thus causing you to miss or pay them late adversely affecting your credit. I recommend that you consolidate all your loans into one loan for easier management and lower payment overall. 
I see more people with credit issue due to student debt than any other reason. It’s crazy hard to get them cleared up and back on track. So please don’t ignore and put off dealing with your student loans.

When you are ready to purchase a home, or would like to see where you stand, give me a call or send me an email. We can work together to get you prepared to be in position to buy!
I believe in many cases if someone is thinking about buying a home and have student loan debt they are just discouraged and need guidance on how to make it work. More education about home buying and preparedness is needed. This education is available FREE! Just call me

For more information, the following paper is availabl

Finance and Economics Discussion Series Divisions of Research & Statistics and Monetary Affairs Federal Reserve Board, Washington, D.C.
Click here to review

Your comments and questions are welcomed and encouraged, thank you for visiting my blog

Roxy Redenbaugh
ACMC Loan Consultant
Certified Mortgage Coach
Branch Manager
NMLS #269926

Saturday, November 5, 2016

USDA Loans MORE Affordable and BEST 100% Financing in the Marketplace

USDA loans are a GREAT way for anyone to purchase a home,
but especially first time homebuyers when coming up with a down payment is next to impossible for many.
Just last month USDA lowered the USDA Guarantee fee from 2.75% to 1% and the annual fee from .50% to .35% this incredible decrease will make it possible for even more buyers to qualify with lower monthly payments.
Ok so what is a USDA loan anyway? It is a US Department of Agriculture backed loan for suburban and rural home buyers, it’s a 100%... that’s right NO money down mortgage loan and part of the Rural Development Guaranteed Housing Loan Program. With reduce mortgage insurance premiums and lower then market interest rates.
I’ve been originating mortgage loans for over 20 years and this loan is by far the best, even better then FHA, that require 3.5% down payment and upfront fees of 1.75% and an annual fee of .85 for loans above 95%LTV.
There are income limits with a USDA home loan, tied to the area’s median income levels and is defined by those earning up to 115% of the county in which the property is located. Most people will find they fall within these income limitations.
The property must be eligible as well but you can easily check for income and property eligibility by clicking on this link.
USDA Property and Income Eligibility

In most cases depending on your area, owning a home and having a USDA loan could be cheaper then renting. 

If you have questions about either USDA or FHA loans give me a call or shoot me an email.
Ready to get pre-approved, let's get started. 

Your comments and questions are always welcomed and encourage. 
Thank you for visiting my blog.

Roxy Redenbaugh
ACMC Loan Consultant
Certified Mortgage Coach
Branch Manager
NMLS #269926

Monday, April 25, 2016

Foreclosures In Hawaii Are UP!

In the state of Hawaii where historically foreclosures have been lower than most other states Hawaii is showing an increase, state records show a jump of 21% during the first quarter of 2016 compared to the same quarter last year.

I would like to take a few minutes to express to any home owner in any state that is facing foreclosure or behind on their mortgage payments to be very cautious when being contacted by mortgage relief companies/scammers using deceptive practices to sell you the distressed homeowner their services.

These services are costly ranging from $1500 - $6000 and up!. Some typical signs of a rescue foreclosure scam is;
1.       They require an UP Front Fee for either all of part of their fee.
2.       They will guarantee to stop the foreclosure and/or get your loan modified or get the principal  balance reduced.
3.       They tell you to STOP making their monthly mortgage payments and/or start making the  payment to them.
4.       They tell you to STOP communicating with the mortgage lender.
5.       They may even pressure you to sign over the deed to your home.
6.       Some companies even claim to be government sponsored or have government loan modification programs.

Hawaii as well as has most all states now have FREE agencies to serve distressed homeowners.
Hawaii has FREE Certified Housing Counselors at; 808-587-3222 or you can go to; for more information.

For questions and a variety of legal help call Legal Aid Society of Hawaii 800-499-4302

In 2008 Hawaii enacted The Mortgage Rescue Fraud Protection Act, which can bring action against violators that can result in fines from $500 to $10,000. To file a complaint go to

 The link below is an information site by state, just click on your state to get local help and information.

I hope this article has been informative and will help you or someone you know. Please remember above all else that HELP is FREE. Also armed with a little know how and instructions from your mortgage lender YOU can do all that is needed to get your own home loan modified. Seek local legal help and/or counselling it FREE…
Thank you for visiting my blog, I welcome your questions and comments.

Roxy Redenbaugh
ACMC Loan Consultant
Certified Mortgage Coach
Branch Manager
NMLS #269926

Monday, March 28, 2016

Have you heard about FHA's "Back To Work" Program?

This program has been around since 2013 but not everyone knows about this program. You or someone you know may benefit so check this out!

This unique “Back To Work” program allows the lender to waive the normal 3 year waiting period if a borrower has had any one or more of these Economic Events happened that resulted in;
  • Pre-foreclosure sales
  • Short sales
  • Deed-in-lieu
  • Foreclosure
  • Chapter 7 bankruptcy
  • Chapter 13 bankruptcy
  • Loan modification
  • Forbearance agreements

It’s also important to note that an Economic Event is defined as a loss of employment, loss of income or a combination of both, the loss of income must be at least 20% for a period of 6 months. If you meet this requirement and a few others, your waiting period for a new FHA purchase loan is 12 months.
You must take, pass and get a Certificate for attending an approved HUD Homeownership Counseling Program. You must demonstrate a full recovery from the event and have extenuating circumstances that meet the guidelines set by HUD.
These extenuating circumstances is FHA-HUD’s second chance program for borrowers who have had financial hardship. What’s really cool is you can use this program for First Time Homebuyer, repeat buyer and FHA’s 203K which is their construction loan or rehab loan under the “Back To Work” program.
You better get your ducks in a row quickly however, this program is scheduled to end September of this year. So get on board and back into the housing market! Call me for a quick prequalification or questions on any type of real estate finance.
I welcome your comments and questions.
Thank you for visiting my blog

Roxy Redenbaugh
ACMC Loan Consultant
Certified Mortgage Coach
Branch Manager
NMLS #269926