The Truth About Lending Melinda Payan

Welcome to today’s episode! We’re covering everything you need to know about buying investment properties and accessing equity if you already own one.
First, determine your budget and discuss financing options with our loan officers. Investment property financing differs from primary residences, with conventional loans having stricter rules and alternative financing offering more flexibility.
Discuss the origin of your funds with your loan officer, especially if you're buying with a partner. Set realistic expectations for the total funds needed for closing and understand your monthly payments. Discuss potential rental income with a realtor, considering both long-term and short-term options.
For conventional loans, factors like existing tenants and your landlord experience are crucial. New landlords may be able to use current or future rental income or a lease to qualify.
Links mentioned in video:
https://flcondohelp.com
NMLS #1054357 | FL License: #MBR1395

In today's episode, we're diving into whether it's a smart decision to consolidate debt through refinancing, especially considering the recent spike in interest rates. Many homeowners currently enjoy low mortgage rates but face higher rates on other debts. We'll explore your options: What actions can you take, and under what circumstances does refinancing make sense?
We'll start by discussing scenarios where you might not want to refinance just yet. If your current mortgage rate is below 6%, and you're only looking to reduce your monthly payments without cashing out or consolidating debts, it might be wise to hold off. However, changes are on the horizon, and interest rates may decrease in the next year.
For our clients at The Truth About Lending, we promise to keep you updated and advise when it's a good time to consider refinancing. We'll also address common solicitations from others urging you to refinance now and why it might be premature.
Additionally, we'll look at two specific refinancing options that might be right for you: debt consolidation and home improvement refinances, which allow you to leverage your home equity effectively. Join us as we break down these strategies and help you make informed decisions based on your personal financial situation.
Keep up with the latest Florida real estate market news by joining us weekly!
NMLS #1054357 | FL License: #MBR1395

Welcome to this week's session on navigating the mortgage pre-qualification process! I'm Melinda Payan, proud owner of The Truth About Lending, and I'm thrilled to have you join us for this crucial discussion.
In today's session, we're unraveling the mystery behind getting pre-qualified or pre-approved for a mortgage. What exactly does that entail? How do you embark on this journey? And most importantly, how can we offer our expertise to guide you every step of the way?
Understanding the pre-qualification process is paramount in your mortgage journey – it lays the foundation for your success and ensures a smooth ride without any surprises down the road.
When it comes to filling out the application, typically done on our website, it's imperative to provide accurate information. Rest assured, the application stays with us initially, allowing us to thoroughly review it with you. Whether you prefer online submission or assistance over the phone, our team is here to facilitate the process seamlessly.
Once we have your application in hand, we'll assess if any additional documentation is required. For instance, if you receive bonus income, overtime, or commissions, we may need a Verification of Employment to accurately determine your income history. Addressing these details upfront minimizes surprises during the underwriting process.
Following the application, we'll request certain documents based on your employment status. Salaried individuals will need to provide the last two years of W-2s, while those with rental properties or self-employment will have specific documentation requirements tailored to their situation.
Join us as we demystify the mortgage pre-qualification process and equip you with the knowledge to embark on your homeownership journey confidently.
Keep up with the latest Florida real estate market news by joining us weekly!
NMLS #1054357 | FL License: #MBR1395

Understanding how student loan debt affects qualifying for a mortgage and strategies that can be used.
Join us for an insightful discussion on the intersection of student loan debt and mortgage applications!
When you're gearing up to get prequalified for a mortgage, your total student debt becomes a crucial factor in the equation. Whether you're actively making monthly payments, in deferment, or in forbearance, it all impacts the process.
If you're in deferment or forbearance, we follow specific guidelines to calculate your monthly obligation. Depending on the loan program, this could mean using 1% or 0.5% of your outstanding student loan debt. However, if you've enrolled in an income-based repayment plan, your actual payment may be lower than these calculations.
We strongly recommend exploring income-driven repayment options if you haven't already. Let's break it down with an example: Suppose you have $20,000 in student loan debt. For an FHA loan, we'd typically calculate a $100 monthly payment (0.5% of $20,000), while for a conventional loan, it would be $200 (1% of $20,000).
However, if you're on an income-driven repayment plan and paying, say, $1 a month, we'll consider that instead. It's crucial to communicate with your student loan servicer to explore these options, especially if you're eyeing government-related loans like FHA or VA. Having a clear understanding of your student loan status can make all the difference in your mortgage journey.
Join us as we navigate the complexities of student loan debt and arm you with the knowledge to make informed decisions about your mortgage application! Don't miss out – hit that play button now!
Keep up with the latest Florida real estate market news by joining us weekly!
NMLS #1054357 | FL License: #MBR1395

Welcome to this week's insightful session on foreign national loans! In today's discussion, we're diving deep into understanding the nuances between permanent resident aliens and non-permanent resident aliens, alongside exploring the diverse landscape of foreign national loans.
If you've ever wondered about the distinction between these classifications and how they impact lending, you're in the right place!
First things first, let's clarify – a foreign national loan is tailored for individuals who aren't citizens by birthright. However, if you're a resident alien, you're essentially on par with a citizen in the eyes of lenders. So, if you're in possession of an unexpired resident alien card, this information may not directly apply to you.
For our resident alien listeners, rest assured, you're already covered under standard lending practices.
But for those who fall into the category of non-permanent resident aliens, the landscape gets a bit more complex. This group encompasses a diverse range of individuals – from visa holders to those with temporary protective status or DACA designation.
Whether you're here on a work visa, temporary protective status visa, or under DACA, understanding your options is crucial. And let's not forget those who are simply visiting on tourist visas or arriving from countries with visa waiver agreements, such as our neighbors up north in Canada.
Join us as we unpack the intricacies of non-permanent resident alien status and how it influences your eligibility for various loan programs. Knowledge is power, especially when it comes to navigating the financial landscape as a foreign national.
So, buckle up and tune in as we break down foreign national loans and empower you to make informed decisions about your financial future! Don't miss out!
Keep up with the latest Florida real estate market news by joining us weekly!
NMLS #1054357 | FL License: #MBR1395

Welcome to this week's podcast with The Truth About Lending! Join us as we take a deep dive into the complex landscape of the current housing market. We're here to debunk common misconceptions and provide you with the facts you need to make informed decisions.
Firstly, let's address the elephant in the room: It is not 2008 and we are not on the verge of a housing bubble. Contrary to what you may have heard, the current market is not reminiscent of 2008. The media often sensationalizes market conditions, but the reality is far from bleak. In 2015, pundits warned of a housing bubble and the prices are really high, but yet here we are.
Consider this: in 2006-2008, there were 3.7 million units for sale, compared to today's 1.4 million units. This shortage of inventory is a key factor driving the market. Even with around 130 million households in the U.S. today (compared to 116 million back then), there's a significant scarcity of homes. This imbalance between supply and demand indicates that waiting for prices to drop might not be the wisest choice.
Interest rates are another critical factor to consider. While they're currently higher than desired, they're expected to decrease in the near future. This drop will likely lead to increased buyer activity and a surge in demand, further driving prices up. This is your window of opportunity to secure a property before this shift occurs.
It's also essential to understand the regulatory changes that have occurred since 2008. The Dodd-Frank Act, with its Qualified Mortgage Rule, ensures that today's mortgages are far more secure. Lenders must now verify a borrower's ability to repay, reducing the likelihood of risky lending practices.
Furthermore, the availability of homeowner assistance programs has significantly decreased the number of foreclosures. These programs provide options for homeowners facing financial hardship, ensuring that they have a chance to stay in their homes.
In conclusion, the current housing market presents a unique opportunity for buyers. With a shortage of inventory, impending interest rate decreases, and robust regulatory safeguards, now is the time to act. Don't let fear or misinformation hold you back. If you're considering purchasing a home, seize the moment and take advantage of the current market conditions. Subscribe to our channel for more insights and visit our website for expert advice on navigating the housing market.
Keep up with the latest Florida real estate market news by joining us weekly!
NMLS #1054357 | FL License: #MBR1395