Archive for March, 2008

Mortgage Calculator Widget too Popular!

This weekend I ran into a problem. It is a good problem to have, but one that forced me to make a quick decision.

I have created and installed a mortgage calulator widget for those in the real estate field to use on their websites. I exected a few friends and associates might be interested, but I never expected what happened!

This widget was installed on a large number of sites. The usage of it became so overwhelming that is was cauing server load issues. My hosting provider insisted that I would need to either remove it or upgrade to a new dedicated server. This would be cost prohibitive, so I had to discontinue the widgets for now.

To those of you that were using the widget, I do apologize. I do hope to re-install this again in the near future. However, with the demand it created, I will need to be better suited to handle it. Thanks for the understanding.

Square Footage Changes in Charlotte MLS

The Carolina MLS, Charlotte’s multiple listing service for Realtors to list and sell homes and real estate in the Charlotte area, is making a change in how it will describe the square footage of a home for sale in Charlotte. In the past, the listing Realtor would enter the square footage of a home for sale. However, due to the different ways to calculate square footage of a home and all the hassles (and law suits) that come from those calculations, the Carolina MLS service will now list square footage in terms of a range. (homes for sale in Charlotte)

Typically, the square footage of a home is measured by the exterior dimensions. However, there are some exclusions. For example, if you measure the square footage of a bonus room, a very common type of room found in Charlotte real estate, you may have some challenges. According to the way you calculate “official” square footage, the walls must be at least 5 feet tall. In many of these bonus rooms, the exterior walls can get much lower than 5 feet, so one must measure only to where the height is 5 feet! Doesn’t this sound like fun?

The bottom line is that going forward, you may never know what the actual square footage of a Charlotte home really is. Of course you may get an idea from the MLS range and the appraisal of a property will have an approximation. But with these changes, Charlotte real estate is about to get slightly more complicated. Best advice is to seek the help of an excellent Charlotte Realtor.

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Concord NC gets increased FHA mortgage loan limits

Earlier today, HUD released the updated FHA mortgage loan limits for the Charlotte-Gastonia-Concord metropolitan area. Now FHA mortgages in Concord can go up to $303,750. That is terrific news for this area, for both home buyers and home owners.

Home buyers should really enjoy this. Concord NC is a great area to live.  According to information from City-Data.com, the new FHA mortgage limits for Concord will now allow roughly another 1,500 Concord homes to qualify for great FHA mortgage financing. With low rates, easy financing terms and affordable low monthly mortgage insurance payments, Concord FHA mortgages can open a new door for those that might not otherwise qualify to buy a home!

Concord FHA loans also allow a home buyer to purchase a HUD foreclosed home in Concord with only $100 down. This special program waives the required 3% down payment, making home ownership even more affordable!

Homeowners in Concord now have more options. With the new FHA loan limits in Concord, home owners can qualify for a cash out refinance loan up to $303,750 and up to 95% of the property’s value! With the FHA cash out refinance in Concord, there are no major interest rate adjustments for cash out, making the FHA mortgage rate in Concord much more appealing than conventional mortgages. And conventional mortgages can limit you to only 90% of the property’s value!

This is the best time ever to look into a Concord FHA mortgage loan.

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Rates Flucuate Dramatically

If you are rate shopping, get ready to get confused! Charlotte mortgage rates have moved up and down and all around. If you are able to keep up with them, you will get dizzy from the movements! Right now things are turbulent. When you are riding in turbulent weather, you are advised to buckle up and lock yourself in.

Right now, with rates moving around so much, one must seriously consider locking in if what you find is comfortable. And with such a variation in the market, it’s time to shift from “rate shopping” to “lender shopping.” Find a Charlotte mortgage lender you feel you can trust and let them watch the rates for you. Shopping rates in an unstable market will lead to unstable results!

Check the Rate Watch to see how things are moving!

Charlotte FHA Loan Limits are $303,750

Great news for Charlotte home buyers!

FHA loan limits are increased in Charlotte to $303,750. That is an increase of over $70,000!

This was just posted to HUD’s website. While the limits have been increased, please bear in mind that lender’s may be a little slower in implementation. Technology and system limitations will need to be addressed, as well as how they will manage and package loans on the secondary market. This may take some time, but with HUD opening this door I do not expect lenders to drag their feet either.

As this market continues to fluctuate, be sure you are working with a lender that can stay on top of the changes.

Please celebrate responsibly! LOL

Increased FHA loan limits for Charlotte

When the Economic Stimulus package was passed earlier, we knew the FHA limits in Charlotte were going to increase, but no one knew exactly how much they would increase by.

New FHA Mortgage Limit for Charlotte: $303,750

Earlier in the year, the FHA mortgage limits for Charlotte were increased to $230,740. Now, with the final interpretations published by HUD, the new FHA mortgage limit for Charlotte - Gastonia - Concord is $303,750.00! With the customary 3% down, this means that a home selling for $313,000 can now qualify for a Charlotte FHA mortgage!

This is great news for the Charlotte real estate market! FHA mortgages are flexible, require less money down in many cases and offer lower monthly mortgage insurance. Plus, with an FHA mortgage, Charlotte home buyers may not have as many credit score limitations imposed upon them!

This increase in Charlotte’s FHA loan limit is temporary. It is set to return to normal at the end of the year. So take advantage while you can!

Tips for your Charlotte Home Search

Looking for a home in Charlotte? Here are a few tips to help you with your home search in Charlotte.

• Search for a Charlotte Home online.  More than 70% of home buyers begin their home search on the internet. With so many websites dedicated to real estate, you can easily search for a home at your computer. Many websites now offer access to the Charlotte MLS, the area’s multiple listing service.
  (view homes for sale in Charlotte)
• Allow a Realtor to search Charlotte homes. A home search in Charlotte will be much easier with a Realtor that knows the area and knows the market. Realtors have access to the complete Charlotte MLS. In addition to the knowledge of the area, once your Charlotte home search is narrowed down to the home you want to buy, a Realtor acting as your buyer’s agent can look out for your best interests.
  (request a Realtor referral)
• Search for a home in your vehicle. One way to know what areas of Charlotte you may be interested in is to drive the neighborhoods. While some of the roads in Charlotte can get confusing, driving the roads will make your home search in Charlotte a real adventure. And along the way you can discover the local stores, parks and other amenities.
  (get local Charlotte information)
• Ask your lender. Yeah, your lender. Most mortgage lenders work with local Realtors and investors. In many cases your lender can know of homes that even Realtors are not aware of. This can make your Charlotte home search more broad and open.
  (ask your lender for help)
• Get Pre-approved for a Charlotte Mortgage. Seriously, if you are looking for a home, get pre-approved! This will allow you to know how much you can afford and how much it may cost. This also places you in a position of strength when it comes time to negotiate the terms of your purchase.
  (apply online or call 877-411-9327)

New Minimum Credit Scores for Conforming Mortgage Loans

Effective immediately, borrowers with weak credit will need down payments or equity in their homes. All mortgage loans higher than 80% of the property value (less than 20% down payment or 20% equity) will require a 620 credit score. Anyone seeking a 95% loan or higher will required to have a credit score of 680 or better. This is the result of changes implemented by the private mortgage insurance companies that insure conforming mortgage loans. This affects all Fannie Mae and Freddie Mac mortgage products.

For the time being, FHA mortgage loans still do not have minimum credit scores… HOWEVER, many lenders have chosen to impose their own minimum score requirements. In many cases, lenders are seeking a minimum credit score of 580 for an FHA mortgage loan. This is good news for many still looking to buy a home or refinance their higher rate mortgage loans.

With these changes, we may see a comeback of the “subprime” market, but do not expect the types of loans we saw 2 years ago. If and when the subprime market begins to return, they may allow lower scores, but will require money down (or equity) along with a higher mortgage rate.

If you are considering buying a home in Charlotte, or refinancing your exisiting Charlotte mortgage, you need to speak to a mortgage professional right away. You can get qualified and find out where you stand. If you do not qualify today, you may discover what you need to correct in order to qualify tomorrow.

New Rules for Building a Home in Mecklenburg County 

Mecklenburg county is now requiring detailed plans for any new home being built, regardless of size. Before today, only homes of certain sizes needed to be submitted for approval. However, in a change aimed to find design flaws, Mecklenburg country must now review and approve the plans of any new home being built.

For most home builders, this will only be a hiccup. With most large neighborhood builders, the approval for each model will go smoothly. However, custom homes and homes with major changes may take a little longer. Be sure to plan accordingly.

This also applies for homeowners adding on to their homes. However, screened porches and decks may be exempt.

For more information, contact Mecklenburg County at 704-432-7822

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