Home Loan Resources

As of October 1st, the government has banned all seller funded Down Payment Assistance programs.  The whole legality and ethical battle of why these programs should or should not be allowed is a whole another story.

However, with all the foreclosures on the market today, we really need to sell these to willing buyers to help stabilize the real estate market.  Over the last 6 months, 90% of our business came from first time home buyers utilizing DPA (or DAP) from the sellers who otherwise couldn’t buy a house at this time.

These buyers have good credit and make good money to pay their monthly mortgage, however, saving for a down payment just hasn’t been possible.  Thet=y deserve to own a home and enjoy the benefits of owning rather than renting.

I am really curious to see the number of home loan applications over the next few months to confirm that this ban on these programs has truly affected our real estate market in the opposite way.  Only time will tell.

In some cities and communities there are still organizations with programs that offer down payment assistance to qualified borrowers , so look to see what may be available in your town.

In a shocking announcement on Monday, Indymac Bank has shut down it’s wholesale and retail operations.

Luckily for consumers who had loans about to fund with them, they will most likely still go through.  They are just not allowing new submissions or new rate locks.

Just when we thought all the big banks still remaining had made it through the mortgage meltdown, Indymac releases this news.  It will be interesting to see how this plas out and we will keep you posted.