Monday, July 8, 2024

Government Sponsored Hero Mortgage Program

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With Covid-era relief efforts winding down, some Congress mortgage stimulus programs are coming to a close.

Fortunately, homeowners who need to lower their mortgage payments are not out of options.

Millions of homeowners are still refinance eligible. And with a wide variety of mortgage programs available, even those with little or no equity might qualify for a lower rate and cheaper monthly payment.

> Related: The best way to refinance your mortgage

A Wealth Of Options You Cant Afford To Miss

Often first-time or even experienced home buyers dont realize something important that state and local governments along with vendors provide ways to save significantly during the home sale process. Missing out on these grants, discounts, and rebates can cost you thousands of dollars. We run all the research, providing you with a customized list of options based on your location so that you can save big and get that much closer to financial freedom.

Do Nurses Get Discounts On Mortgages

Are Physician Loans a Good Idea?

A physician loan can come with sizable benefits such as no money down or an easy approval process. Everyones needs are different. We will make sure you have the right home loan. Whatever option you choose, we work with you to make sure that it is the most viable option for you and your financial future.

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How Do I Qualify For A Hiro Loan

First, youll have to confirm your loan is already owned by Fannie Mae. The mortgage giant has a lookup tool on its website for that purpose.

This program is reserved for loans opened on or after Oct. 1, 2017. But your loan must also be at least 15 months old to qualify.

Finally, eligible applicants must have made no late payments longer than 30 days over the last six months and a maximum of one 30-day late payment in the last 12 months.

Specialized Home Loans For Nurses

The 2nd kind of loan, the FHA Title I loan, belongs to an ...

Here are the two most famous home loans for nurses that operate nationwide.

Nurse Next Door

The Nurse Next Door program is not a true mortgage loan program. It does not lend money or originate loans. Rather, its a home buyer assistance program that will help match you with the right property, mortgage, and aid program for your needs .

Via Nurse Next Door, you can get grants of up to $6,000 and down payment assistance of up to $10,681. You may also get reduced closing costs through the elimination of a home appraisal and other fees.

Before you use this program, though, check that you cant get more generous grants or loans from your state or local down payment assistance program.

Homes for Heroes: Healthcare Professionals

Homes for Heroes is another nationwide homeowner assistance program that aims to make home buying more affordable for firefighters, law enforcement, teachers, military, and yes medical professionals.

The website says, On average heroes save $2,400 when they buy or sell a home with Homes for Heroes. When a hero works with our real estate specialist, on average they will save $1,700. When a hero works with our mortgage, title and inspection specialists, on average that hero will save $500 on lender fees, $150 on title service, and $50 on a home inspection.

Note that you have to use professionals recommended by Homes for Heroes in order to benefit. Again, check other local programs to make sure this is the best option for you before you buy.

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Nevada Home Is Possible For Heroes Program

The Nevada Housing Division was created in 1975 by the Nevada Legislature. A division of the Department of Business and Industry, this entity was created to address what the agency identifies as a real problem: a shortage of safe and decent housing for individuals and families of low and moderate income.

To that end, the Nevada Housing Division created three Heroes programstwo of which are aimed at non-military members including teachers, and one specifically for military-affiliated borrowers.

The NHD Home Is Possible For Heroes program offers veterans and those currently serving home loans with lower rates, no first-time buyer requirement, and more. These loans are not issued by NHD, but rather through a network of participating lenders.

The VA Home Loan offers $0 Down with no PMI. Find out if youre eligible for this powerful home buying benefit. Prequalify today!

State And Local Assistance Programs For Heroes

Many state and local governments have similarly named programs aimed at helping military veterans, first responders, educators and medical personnel here at home gain access to housing they can afford. A simple Google search including your state, city and/or county should help you find one available to you. Texas, for example, offers a Homes for Texas Heroes Program, which offers benefits to teachers, law enforcement, firefighters, EMS personnel, corrections officers and veterans. A Los Angeles program aims to help homeless veterans.

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What Is A Cash

A cash-out refinance is the act of replacing your current mortgage with a new one. When you refinance your home, the new mortgage may have more favorable terms, such as a lower interest rate or a lower monthly payment. Refinancing is a popular option to pursue when interest rates drop.

A cash-out refinance is essentially a new mortgage with a home equity loan amount higher than what you previously owed on your old mortgage. Once the home equity loan is disbursed, the difference between your new loan amount and current loan balance goes to your pockets. This allows any borrower to use their home mortgage to get some cash.

You must have built equity on your home in order to cash-out refinance, and you must usually leave 20% of the equity in the home if you are going with an FHA or conventional loan.

Heres an example of a cash-out refinance at work:

Current Home Value: $200,000

Equity Left in the Home : $40,000

New Loan Amount: $160,000

Cash out: $60,000

You will have to factor in closing costs when determining your maximum cash out, but this gives you a general idea. VA loans allow you to get a cash-out loan for 100% of the home value.

The money that you pocket from a cash-out loan is considered debt, so it is tax-free. Many homeowners commonly reinvest this money back into their homes, using the funds for renovations and other home improvements.

Criteria For The Hiro Program

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While many mortgages will qualify for the Fannie Mage High LTV Refinance option, not all mortgages or property owners will be eligible. Initial qualifying criteria include:

  • Holding a mortgage that is currently owned by Fannie Mae.
  • The mortgage must have originated on or after October 1, 2017.
  • There must be a 15-month interim between when your initial loan originated and when the refinanced loan is opened.
  • The mortgage can have no 30-day late payments within the last six months, not more than one 30-day late payment in the previous 12 months, and no delinquency greater than 30 days.
  • Reverification of income by one of the following methods:
  • Verbal verification of current employment or self-employment by at least one of the listed borrowers.
  • Documentation of non-employment income, such as pension or Social Security.
  • Documentation of liquid financial reserves equaling at least 12 months of the new full housing payment, including insurance, taxes, and any other associated expenses.

Aside from there criteria, there are few other requirements for qualification. Lenders generally arent required to consider credit scores, since the borrow has an excellent financial history in relation to the property that is being refinanced. This requirement may vary from lender to lender, though, as some may add additional requirements on top of what is required by Fannie Mae.

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How To Choose The Right Home Loan Program

Of course, theres no single best home purchase loan for nurses. That will depend on your personal circumstances.

If you are serving or have previously served in the military , a VA loan is highly likely to suit you best.

If youve never served, but have good credit and a decent down payment, a conventional loan is often the next best. But, if your credit score is in the 580-619 range, you might need to go for an FHA loan.

Finally, USDA loans can perfectly suit someone with small savings and buying in a rural area, providing their household income isnt too high.

Just from that brief summary, you probably already have an idea of the type of loan that might suit you best. There are links to full descriptions of each in the bullet points where theyre listed, above.

Who Qualifies For Hiro

Only homeowners who currently have a Fannie Mae-backed mortgage can qualify for the HIRO refinance. If youre not sure whether Fannie Mae backs your loan, use Fannies Lookup Tool to find out.

Other requirements for the high LTV refinance option include:

  • The mortgage was originated on or after Oct. 1, 2017
  • Youve held the mortgage at least 15 months before applying for HIRO
  • You made no payments more than 30 days late in the last 6 months
  • You made no more than one payment up to 30 days late in the past 12 months, and have no payments greater than 30 days late

In addition, the HIRO refinance must have a net tangible benefit for the homeowner.

That means the loan must result in at least one of these four benefits:

  • Reduced monthly principal and interest payment
  • Lower interest rate
  • Shorter amortization term
  • More stable mortgage product, such as moving from an adjustable-rate mortgage to a fixed-rate mortgage

If any of the above applies to you, you might be eligible for the HIRO mortgage program. Find out here.

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Is An Academy Bank Hero Loan Right For You

You may have heard the term HERO loan before, but at Academy Bank, it means something unique. Geared toward first responders and offering as low as a $0 down payment, this product means a lot to our bank and to our community heroes.

Well answer some of your questions here, such as: Do you qualify for an Academy Bank Hero loan? And what benefits can it bring to your home ownership journey?

Learn more to find out about this special kind of homeowner loan.

How To Overcome Home Buying Challenges As A Nurse

Homes for Heroes helps another Hero in Columbus, GA ...

Qualifying for a mortgage as a nurse can sometimes present challenges.

Lenders need to verify your income, but not all of them understand how nursing works. And you may have to explain to them why the way your job is structured makes nurses a special case.

Nursing income for mortgages

Of course, your basic pay should count toward your qualifying income when youre applying for a mortgage. But it can become more complicated when it comes to overtime, shift differentials, and extra pay.

With those, lenders are likely to look back over the last couple of years to see your average gross pay. If you recently had a schedule change or took on more hours, that might not count toward your income right away.

For example, if youve only just started earning the higher hourly rate for night shifts, lenders are unlikely to take that into account when deciding how much you can borrow. It might help if you can get your employer to write the lender verifying this will be a long-term arrangement.

You can also write an explanatory letter with your application telling the lender why you think it should take into account more of your income. And that sometimes works. But not always.

Travel nurses

Travel nurses sometimes have to seek out lenders that understand their work.

Again, you can explain to lenders how your employment works. And, if one wont listen, move on to others that will.

Student debt

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Arizona Home Plus Conventional Loan Programs

Conventional loans with down payment assistance can be a great option because unlike some other loan programs, conventional loans allow home buyers to remove the private mortgage insurance down the road.

Home Plus Fannie Mae HFA Preferred Loan Program

This program is derived from the Fannie Mae HomeReady program and is one of the Arizona conventional Home Plus loan programs offered. It is offered anywhere in Arizona.

Program Highlights:
  • Down payment assistance options between 3% and 5%. You can choose what is best for you based on your loan scenario.
  • Minimum FICO score is 640
  • Maximum debt-to-income of 50%
  • Maximum income of $105,291 if over 80% AMI.

Home Plus Freddie Mac HFA Advantage Loan Program

This program is derived from the Freddie Mac Home Possible Advantage program and is the other Arizona conventional Home Plus loan programs offered. It is offered anywhere in Arizona.

Program Highlights:
  • Maximum income of $105,291

How To Receive An Armed Forces Bank Hero Loan

The term HERO loan may already be familiar to you, but at Armed Forces Bank, it means something special. To honor our community heroes, we offer as low as a $0 down payment with this homeowner loan for first responders.

You may have some questions about a Hero Loan, such as: Are you eligible for an Armed Forces Bank Hero Loan? And how can it help you in your home ownership journey?

Read more to find out about this unique product.

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Contractor From Long Beach Ca

As a participating contractor of the Hero program I feel for your situation, there are unscrupulous people in every industry. I wanted to clear one area surrounding price setting and contractors. A homeowner can get as many bids as they like from participating HERO contractors and there are plenty contractors to choose from, just check the HERO directory. The approved contractors have to meet insurance guidelines , typically are certified by national and state agencies in home energy efficiency, and invest around $10k in energy testing equipment just to participate. I donât know what the next guy charges but my pricing reflects my overhead and doesnât change wether or not the project is HERO funded. There are other low interest financing options that are not HERO/ PACE. I suggest anyone considering any type of home improvement project explore all their financing options.

Harp Replacement Programs For Underwater Homeowners

Homeowner Assistance Fund Update. Mortgage Assistance Program

The Home Affordable Refinance Program was created in the wake of the housing crisis as a way for homeowners with little or no equity to refinance.

Fortunately, home values have been increasing steadily in recent years. And the number of underwater homeowners has fallen sharply. As a result, millions of homeowners are eligible to refinance at todays low rates.

Even if you had an underwater loan in the past, its worth re-checking your eligibility. You might be surprised how much equity youve gained in the past year.

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How The Hiro Refinance Program Works

The Fannie Mae High LTV Refinance Option is designed to help borrowers with little or no equity.

In fact, it can actually help some underwater borrowers borrowers who owe more on their homes than the property is worth.

While a lack of equity is a problem for millions of homeowners, there is also a less visible issue.

Low-equity borrowers are often trapped with high-cost mortgages which cannot be refinanced at todays rates.

Using the HIRO program, these homeowners may be able to lock in a lower rate and more affordable mortgage payments.

High LTV refinance example

For instance, say you purchased a home with 3% down using Fannie Maes HomeReady loan program in late 2017.

Your situation might look like this:

  • Original purchase price: $250,000
  • Current loan balance: Around $238,000
  • Homes current value: $245,000
  • Current loan-to-value: 97.14%

In this scenario, the loan-to-value ratio would be too high for a traditional refinance. But you might be able to qualify for the HIRO high-LTV refinance.

Because rates are falling, the Fannie Mae High LTV Refinance Option can lower your monthly payment and free up needed cash in your budget.

Why is Fannie Mae easing loan requirements under this program?

After all the paperwork is shuffled, the borrower has a lower monthly cost or a better loan. And Fannie Mae has a borrower with a good payment record who represents less risk of delinquency or foreclosure.

What Our Buyers Think

Hero Home Programs are subject to state and federal laws and not all discounts may be available in all states. Cashback and discount amounts are estimates. Actual discounts and rebates received may vary based on sale price of the home, loan amount, occupation and/or military service.

A VA approved lender Not endorsed or sponsored by the Dept. of Veterans Affairs or any government agency. Customers with questions regarding our loan officers and their licensing may visit the Nationwide Mortgage Licensing System & Directory for more information.

All applications are subject to underwriting guidelines and approval. This does not constitute an offer to lend. Not all applicants will qualify for all loan products offered. All loan programs, terms and interest rates are subject to change without notice. All fees are subject to state and federal high cost thresholds.

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Standard Home Loans For Nurses

If youre looking for home buying assistance or simply an affordable loan option you dont have to use a mortgage program tailored to nurses.

In fact, some of the most affordable types of home loans are widely available across the market. These include:

  • Conventional conforming loans Conventional mortgages arent backed by the government. But most conform to the rules laid down by Fannie Mae and Freddie Mac, which are two government-sponsored enterprises. Youll need a down payment of at least 3% of the purchase price and a credit score of 620 or better
  • FHA loans If your credit score is between 580 and 620, you could opt for a mortgage backed by the Federal Housing Administration . Youll need a 3.5% down payment. But go with a conforming loan if you can. Because with those you can escape mortgage insurance costs more easily and cheaply
  • VA loans Backed by the Department of Veterans Affairs, these loans are open only to those who have served or are still serving in the military. If youre eligible, this is highly likely to be your best bet. Lenders set their own credit score thresholds, usually between 580 and 660. But you need no down payment. And youll be in line for an ultra-low rate, no private mortgage insurance, and low closing costs
  • These loan types can typically be used with down payment assistance programs, which could help cover your down payment and potentially your closing costs, too.

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