Why Do Millennials Love VA Loans?

As discussed beforehand, millennials are currently dominating the home buyer’s market, and here’s how! When many millennials finish their service in the military, they start to enter the work force. Since many millennials are getting a head start on their career, it’s no wonder why most would want to start settling down and buy their first home. Anyone, from millennial to a different generation, who’s still active or are retired in the military are qualified for a special loan program called the VA loan, a home loan that is guaranteed by the U.S. Veterans Administration.  And with these benefits, it’s no wonder why today’s millennials choose the VA program, especially the one offered by Mortgages for Champions:

  • No down payment required – Most loans that are on the market require a minimum of 3.5% down payment or more, depending on the borrower’s situation of credit and income. VA loans are one of the few programs that are being offered that requires no down payment to start with. In 2016, the average VA loan amount was for $253,000. If the veteran applied for an FHA loan instead of a VA loan, they would be required to put down a minimum of $8,855, the 3.5% required, as a down payment if they want an FHA loan.
  • No mortgage insurance – If a borrower puts down less than 20% of the purchase price, the borrower will be responsible for another monthly fee called mortgage insurance. Depending on the loan and the amount, mortgage insurance can add an additional $100 and up to your monthly payment. However, any active or retired military personnel and their immediate family members are not required to pay mortgage insurance if their down payment is less than 20% or they didn’t put one down to start with.
  • Credit guidelines that are more flexible – The U.S. Veterans Administration has one goal in general: to help any military personnel achieve home ownership. Because of this, their underwriting guidelines are more far more flexible and forgiving to those with a not-so-perfect credit score. The average credit score of a VA borrower was 50 points lower than the average credit score of someone who applied for conventional loan. And despite the flexibility in credit scores, VA loans have the lowest foreclosure rate on the market for most of the past couple of years. The VA’s committed to help veterans obtain and keep their homes.
  • No bank closing costs – There are multiple types of closing costs that are involved when someone obtains and closes on a mortgage. With Mortgages for Champions, we will drop the application fees, loan processing fees, mortgage underwriting fees, mortgage commitment fees, and associated commitment points. Any closing fees one are responsible for, mainly 3rd party fees, can be rolled into their loan to help.

While the work force continues to grow and targeting the age range of 25 to 34 years old, it’s no wonder why millennials in general want to settle down sooner.  With the help of VA loans, millennials who go from active duty to the work force can start settling down and create a stable living situation for them and their families with little to no money to start the process. Active and retired personnel can now worry less about down payments and closing costs that are needed up front and worry more about more important issues like where do they want to live? For more information on the VA loan benefits and how it can help out millennials, give us a call at 1-888-763-3500.

Check out our video on VA loans here:

What is a VA Loan?

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Minimum credit scores and maximum loan limits apply. Not all applicants qualify. RHF is an Equal Housing Lender. Certain products are not available in all states. Credit and collateral are subject to approval. This is not a commitment to lend. Program, rates, terms and conditions apply. Lender application, commitment, processing and underwriting fees waived. Borrower pays 3rd party fees including, but not limited to, title, appraisal and any points.  Licensed Mortgage Banker: NMLS# 34973

Who is Lady Justice?

If you want to see an allegorical personification, or a person based off of human psychology, of justice, you will be presented an image of Lady Justice in front of you. She is known as the Roman goddess of Justice (as Justita) and is equivalent to Themis, a Greek goddess who is described as “[the Lady] of good counsel”. Lady Justice can also be traced as far back as the ancient Egyptians goddess Isis and Maat. She was first sculpted with her blindfold by Hans Gieng, a Renaissance sculptor, in the late 15th century. The blindfolded Lady Justice represents a theory in law: blind justice.

Blind Justice is a theory the law should be determined guilty or not guilty with an open mind and without any bias or prejudice. The Supreme Court motto is “Equal Justice Under Law”. With this belief, the Supreme Court justice takes the following oath:

“I, [name], do solemnly swear [or affirm] that I will administer justice without respect to persons, and do equal right to the poor and to the rich, and that I will faithfully and impartially discharge and perform all the duties incumbent upon me as [title] under the Constitution and laws of the United States. So help me God.”

Some sculptors though leave her blindfold off and create her with a scale in one hand and a sword in the other. Some courthouses leave her blindfold off due to the fact she was originally not blindfolded. Others believe that the blindfold is redundant to her sword and scale and that her “maidenly form” guarantees her impartiality. The scale represents justice that is well balanced and fair while the sword represents the power and strength of justice.

Lady Justice, with or without her blindfold, is a symbol to all on how the court system tries to be fair and grant everyone with a fair trial beyond prejudice and bias. May she continue to raise her sword, make her scale balanced, and continue to be blind to any sort of bias or prejudice to this day.

Loans for Police Officers and Law Enforcement

Thank you for your dedication to protect us!

At Residential Home Funding, we appreciate all the hard work and effort police officers and law enforcement personnel like you do to protect us. That is why we offer two different types of home loans that are special for law personnel just like you. If you are:

  • First or second time home buyer
  • Looking to add a new addition or remodel your home with a 203k streamline
  • Looking to purchase a single family, two to four family unit, a condominium, or a manufactured home
  • Want to purchase a mixed usage commercial property like a store with apartments attached
  • Looking for programs that require little to no down payments
  • Want to refinance your home for up to 97.7% loan to value of the appraised value of your home
  • Cash-out refinance home loan for up to 85% loan to value

Then let us help you obtain those goals. We offer the following types of programs specially for you:

  1. Government Pension Loan – This loan is funded through the state’s housing and financing departments eligible to paid police officers in certain applicable states. With this loan, you would want to read the fine print as there might be some high fees or tax implications you are acquired to pay. Borrowers are responsible for all closing costs as well as the application fees. Under certain circumstances, borrowers may roll the closing costs in their home loans.
  2. Mortgages for Champions – This loan program offers no bank closing costs to you. Application fees, loan processing fees, mortgage underwriting fees, mortgage commitment fees and associated commitment points are waived from your closing cost – an average of 2-3% savings on your loan! This program is for anyone who’s approved for Fannie Mae and FHA program. To qualify, you or someone in your immediate family must be active or retired and are able to provide the proper documentation.

So if you are a state trooper or a corrections and parole officer, or if you are active or retired, we have a special program for you. Consider this as a way of saying thanks for all the hard work you and your fellow officers do every day to make sure we are safe and secure. For more information, feel free to click ”Apply Now“ on the top right corner or give us a call at 1-888-763-3500.

Minimum credit scores and maximum loan limits apply. Not all applicants qualify. RHF is an Equal Housing Lender. Certain products are not available in all states. Credit and collateral are subject to approval. This is not a commitment to lend. Program, rates, terms and conditions apply. Lender application, commitment, processing and underwriting fees waived. Borrower pays 3rd party fees including, but not limited to, title, appraisal and any points.  Licensed Mortgage Banker: NMLS# 34973

Want To Reduce Your Closing Costs?

How to get the best costs and to finish the deal to homeownership

To obtain a mortgage, we have to pay miscellaneous fees regarding the title, land surveyor, the government for their taxes and recording the deed, and other fees. The closing costs alone can be an additional 6% of the loan. However, the closing costs are not set in stone and there are ways to reduce the cost itself.

  1. Know that different areas will equal different costs – Yes, not only does the location of your property depend on the price overall, but it can affect your closing costs. Areas where taxes are more expensive will have a higher closing cost overall. It also depends on what state you live in as well. Bankrated.com did a study where they asked lenders representing each state for an estimated closing cost for a $200,000 single family home mortgage with 20% down. As of August 2016, Hawaii’s average closing cost of $2,655 was the highest while the lowest closing cost was in Pennsylvania with $1,837.
  2. Know what costs you can negotiate on – Some of the fees on your closing costs are negotiable. One of the costs you can negotiate will be your homeowner’s insurance. Shop around to see how much each company will charge you, and try to see if there are deals like if you bundle your auto and other insurance together or discounts like if you are buying a new home versus an existing one. Not too sure what other costs are negotiable and which aren’t? Ask your loan officer and they will help you out.
  3. Don’t pay extra points to lower your interest rate – Homebuyers have the option to pay for points in exchange of lowering your interest rate. While interest rates are low as they are now, it might be a cost not worth putting into. However, you can also refinance in the future if rates are lower than they are now.
  4. Take a look at Reissue Rates – Want a discount on your homeowner’s title insurance policy? Take a look to see if you qualify for a Reissue Rate. In most states, the seller has to purchase the home and insurance policy within 10 years to qualify. Take a look at the seller’s policy to find out. If you can’t find that information, your title company can locate it and see if you qualify for a Reissue Rate or not. This task can save you hundreds on closing costs alone.
  5. Ask the seller if they will pay a portion of the costs – If the seller is desperate and the market is struggling, you can ask if the seller can pay a portion of the closing cost. Trust your real estate expert and ask if it’s the right move. If the seller is motivated enough to sell you their property, you might save some money on your cost.
  6. Review the closing cost forms and take a look for red flags – When you shop around comparing costs, feel free to ask questions. For example, if one lender is not disclosing a fee up front, ask why they didn’t include it. If you notice one company is charging dramatically less than another company, ask about the price difference. By reviewing and asking questions, you will know the estimate of your closing cost will be. If you are not sure what you are being charged for, ask your loan officer.

While there is no “one cost” to rule and set them all, closing costs can easily be negotiated. With the tricks and tips we’ve presented, you can channel your inner “car salesman” and negotiate to save hundreds on your closing cost.

A Top Mortgage Employer for 2017

Residential Home Funding Corp. Named on the Nation’s List Once Again – Here’s Why

top mortgage employer, nmp

Every year, National Mortgage Professional Magazine (NMP) announces its list of the top mortgage employers in the nation. They polled readers on their employers using the following criteria: compensation, speed, marketing support, technology, corporate culture, long-term strategy, day-to-day management, internal communications, training resources, industry participation, and innovation. Residential Home Funding Corp (RHFC) was named on this list once again.

RHFC prides itself on their personalized lending, competitive rates, and quick process. Those valuable company features paired with their passion for helping those is need is what has made their employees proud to be a part of a team that not only does a phenomenal job, but truly cares about its borrowers, its community, and its culture.

At RHFC, employees receive endless support, communication, and access to the most current technology. In-house and remote training is always available, a robust employee website is their central hub for on-demand resources, and company meetings include marching bands, celebrity speakers, and project runway inspired team building exercises.

To see the full January 2017 issue of National Mortgage Professional Magazine, click here: http://www.nxtbook.com/nxtbooks/nmpmedia/nmp_201701/#/54

 

About Residential Home Funding

*In 2016, Residential Home Funding Corp. was named on the list of the Top 100 Mortgage Bankers in America for the fifth time. This list is compiled by Mortgage Executive Magazine annually, ranking companies not only by their total volume, but also crediting them as “high performing” in periods of uncertainty. Founded in 2000, RHFC is a large mortgage lender that doesn’t act like one. As one of the largest mortgage bankers in America, they are licensed direct lenders in 12 states including CT, DC, DE, FL, GA, MD, NC, NJ, NY, PA, SC, and VA, while still treating each and every customer like family. RHFC funds all types of transactions such as basic residential purchases, refinances, investment properties, construction loans, mixed use, and more. Residential Home Funding Corp. is a direct FNMA lender and also originates FHA and VA loans to NJ and beyond. They are a direct FNMA lender and have LAPP approval. At Residential Home Funding, there is a mortgage loan custom suited for almost every borrower, having built their reputation on service and efficiency. We Do Business in Accordance with the Federal Fair Housing Law.

Fun Facts About the Super Bowl 2017

Super Bowl 2017 Trivia

Super Bowl 2017 – New England Patriots vs Atlanta Falcons

For a little over 50 years, people gather around to watch the one game that will determine which division of the national football league will be the ultimate champion for the season: The National Football Conference (NFC) or the American Football Conference (AFC). It’s one of the most watched sporting events in the world, and a great reason to gather with friends and family! With Super Bowl 2017 coming up soon, feel free to drop these fun facts to make you look like the smarty pants at the bar or home.

  1. The first two Super Bowls were not even known as the Super Bowl. They were called the AFL-NFL World Championship Game. It wasn’t called the Super Bowl until the 3rd
  2. Roman numerals are normally used to identify each game. The one exception to this rule was Super Bowl 50. But why did they go with Super Bowl 50 and not Super Bowl L? Because when the league tried to make the logo, the “L” didn’t work out and decided to use numbers.
  3. Super Bowl I and II almost didn’t exist. Back in 1967 and 1968, the big game was not broadcast live. So when they taped the games, someone made a mistake and recorded over the taped game with soap operas! However, they could always defend on their fans as one of them have recorded it and handed it over to them.
  4. It pays more to win the super bowl than to lose. While each one of the players on the winning team takes home $97,000 each, each person on the team that didn’t win (or we can say it… the losing team) takes home $49,000
  5. To date, the Super Bowl has never been able to reach overtime. Many have come close though!
  6. Americans all together drink an estimated 325.5 million gallons of beer and devour 1.25 billion chicken wings on Super Bowl Sunday!
  7. With all the food and drinks being devoured on this day, it also marks the 2nd largest day for food consumption in the USA, falling behind Thanksgiving.
  8. Hall of Famer, Charles Haley, holds the record for the most Super Bowl wins when he was the pass rusher for the 49ers and the Cowboys. He has 5 rings for each win; a ring for each finger. The ring alone also costs around $5,000, which makes Charles wearing around $25,000 on his one hand alone.
  9. The team that hosts the Super Bowl has NEVER played in that game as well! Will the Minnesota Vikings break this record next year when they host Super Bowl LII?
  10. Are you planning on being “sick” after the big game? You and 1.5 million people are estimated to call out on Monday. The boss might suspect something is going on.

This year, millions of us will be watching to see if the New England Patriots or the Atlanta Falcons will bring home the trophy. Are you on AFC or NFC? Should Brady get his 5th ring this year or will Ryan steal it from him?

Large NJ Company Holds What is Being Called The “Best Company Meeting … EVER”

Top Mortgage Company* Residential Home Funding Corp. (RHFC) hosted its annual company meeting at the Sheraton Hotel in Mahwah, NJ this past week. There were nearly 400 employees in attendance, with celebrity entertainment, teambuilding exercises, awards, and guest speakers. But this meeting in particular was like no other. The company went above and beyond to celebrate its continued success and consistent growth.

The meeting kicked off with the Brooklyn Unite Marching Band flooding the doors of the room where everyone was seated. The beat of the drums, the sounds of the horns and the energy of the dancers set the tone for the day. Every single person in the room was thrilled and moving with the music, elated by the surprising morning movement.

Next came a hysterical yet inspirational speech from Paul Cell, the VP of the International Chief’s Association. Our keynote speaker was Scott Hopeck, the President of iHeart Media, who also motivated the team. Next came the Amazing Kreskin – a seasoned mentalist who has been on TV more times than we can count. But none of these meant more to the company then having Vinny Ventriglia on stage with his family. Vinny, a young man with cancer, was presented with a check on behalf of the RHF Foundation and the Dean Michael Clarizio Cancer Foundation (DMCCF). RHFC makes service and giving back its priority, and was honored to help Vinny and his family.

The afternoon was all laughs, with the entire company participating in a team building exercise that blew expectations out of the water. The “RHF Project Runway Superhero Challenge” was a first for the company, and was a massive hit. 15 teams worked to create their own superhero, with its own funky costume design, name, and super powers. Employees from different states, departments and backgrounds were thrown together at random and the results were side-splitting laughs and a newfound sense of comradery. The shocking winner and entire runway show was captured on video, and can be found here:

About Residential Home Funding
*In 2016, Residential Home Funding Corp. was named on the list of the Top 100 Mortgage Bankers in America for the fifth time. This list is compiled by Mortgage Executive Magazine annually, ranking companies not only by their total volume, but also crediting them as “high performing” in periods of uncertainty. Founded in 2000, RHFC is a large mortgage lender that doesn’t act like one. As one of the largest mortgage bankers in America, they are licensed direct lenders in 12 states including CT, DC, DE, FL, GA, MD, NC, NJ, NY, PA, SC, and VA, while still treating each and every customer like family. RHFC funds all types of transactions such as basic residential purchases, refinances, investment properties, construction loans, mixed use, and more. Residential Home Funding Corp. is a direct FNMA lender and also originates FHA and VA loans to NJ and beyond. They are a direct FNMA lender and have LAPP approval. At Residential Home Funding, there is a mortgage loan custom suited for almost every borrower, having built their reputation on service and efficiency. We Do Business in Accordance with the Federal Fair Housing Law.

Low on Cash? Do you know about these No Money Down Real Estate Loans?

No Money Down Loans

Many Americans think that in order to buy a home, they would need to put at least 20% of the purchase price down for a down payment not 0% or no money down. For example, if they want to buy a home with a $100,000 price tag, they would need to put down at least $20,000. I don’t know about them, but we certainly don’t have $20,000 lying around. Yet it is possible to save up for it over time. However, how long would it take for us to save up that much? Since it’s not that easy to come up with $20,000 overnight, or even in a year or two, the requirement for a down payment has drastically reduced. There are many loan programs out there that require as little as 3.5% of the purchase price as the down payment. Did you know that there are a few loan programs that have no down payment as a requirement? What loan programs offer something this crazy and we’ve never heard of?

  1. VA loans

    VA loans are guaranteed by the U.S. Department of Veterans Affairs (VA) and require no down payment at all. The other plus side of this loan is that they do not require their borrowers to carry mortgage insurance as well. However, the downside of this loan is that they are very unpopular to many sellers, especially if you want to buy a home in poor condition. The VA standards are stricter than the average non VA loan because they want you to find a home in good shape. Also, this loan is only available to anyone who has served in the military as well as their surviving spouses.

    Check out our video on VA loans here:

    What is a VA Loan?

    Liked the video? Visit our YouTube channel to subscribe, like, comment, and share more videos like it here

  2. USDA loans

    USDA loans are mortgages that are backed by the U.S. Department of Agriculture and are part of the USDA Rural Development Guaranteed Housing Loan program. Unlike a VA loan, USDA loans are available to everyone. One of the requirements of this loan is what location you are looking to be in. The property must be in a suburban or rural area, which means that you are restricted in a geographical area. You also must purchase a single family home that will occupied by you, and if you do not put down a down payment, you will be required to pay mortgage insurance as well.

If you are first time home buyer looking for no down payment, take a look to see if you qualify for any of the loans offered. For more information, contact a licensed mortgage professional at 973-577-7008.

8 Mortgage Mistakes You Should Not Make

Picture this: you found your perfect house. You put in your offer and the seller accepts! Now it’s all about obtaining that mortgage to secure the deal. But did you know there are some mistakes you could be making that will affect your mortgage? We advise you to avoid the following:

  1. Picking any old mortgage – Look at all of your options and companies. Do the math and lay your choices side-by-side. Have emergency savings for the worst case scenarios
  2. Confusing Pre-Approval or Pre-Qualification with Commitment – Yes, there is a difference in being pre-approved and being pre-qualified. When you are pre-qualified, the lender will give you an estimate of how much you can borrow from them based on the information you provide. When you are pre-approved, the lender looked over your information you provide and also to lend you up to a given amount at current interest rates within certain conditions. It is better to be pre-approved than to be pre-qualified, however even a pre-approved is not a guarantee. The lender’s final clearance and loan commitment are subject to an appraisal satisfactory to the lender, a good title, and a last minute credit check and other verifications.
  3. Having too much debt – You could be the perfect candidate and pay all of your bills on time. However, they also look at your debt-to-income ratio as well as timeliness payments. In other words, being up to your ears in debt is a sure way to be turned down for your mortgage. A way to avoid this is by avoiding buying any big-ticket purchases until you buy your house.
  4. Forgetting about your credit – You should know your credit score and credit report from the inside out. Check your credit report for any possible mistakes and you can order a free report once a year from the big three credit agencies – Equifax, TransUnion, and Experian. If you see a mistake, dispute it. If your credit score isn’t what you want it to be, repair it before you apply for a mortgage.
  5. Lying on your loan application – Exaggerating or putting down untruths on your mortgage application and income can be a federal offense. If the lender finds out, they can make your loan due and payable. The ultimate price for lying on your loan application will fall on you the borrower.
  6. Hiding from payments – The worst thing you can do is ignore phone calls and letters from lenders and businesses you are behind on with your payments. Lenders have many options that could help you avoid foreclosure and losing your home, but they won’t be able to help if you don’t talk to them about your difficulties.
  7. Skipping the home inspection – Failing to pay the extra free to inspect the home could be a very costly mistake. Good home inspectors examine houses from top to bottom. They are able to tell you how long the appliances will last, if the roof or basement leaks, and if the mechanical systems in the house are in good shape. If you get caught off guard by the necessary repairs, it will mean more money for you and your mortgage payments.
  8. Making big life changes – It’s a good idea to keep your job for at least a year or two before applying for a mortgage. Lenders like to lend to people who have stability. If you are thinking of switching jobs, consider doing it after you closed the deal on your mortgage.

Are there any other mistakes you shouldn’t make? Are you not too sure if you should do this or that? If you are lost and confused and want a professional answer, call us at 973-577-7008 and we can connect you to a mortgage loan originator who can help you avoid these costly mistakes.