California

CalHFA Dream For All Down Payment Assistance Goes Live This Month

March 21, 2023 by Mortgage Consultants Group

California homebuyers will be delighted to learn that the Dream For All Shared Appreciation Loan Program for down payment assistance will be available as of Monday, March 27^th, 2023.

What is the Dream For All Shared Appreciation Loan Program?

The Dream For All Shared Appreciation Loan Program is an income-based program through California Housing Finance Agency (CalHFA) that provides down payment assistance of up to 20% to qualifying homebuyers.

This program was established through the 2022-23 State Budget. Originally, the program would only have provided down payment assistance for 17% of the purchase price of a home. So, it is a big deal that it will provide up to 20%.

Dream For All Shared Appreciation Loan Highlights

Required First Mortgage: Dream For All Conventional First Mortgage
Dream For All Shared Appreciation Loan
Amount: Up to 20% of the sales price or appraised value
(whichever is less)
Income Limits: Income cannot exceed CalHFA Income Limits
Minimum CLTV: 70%
Maximum CLTV: 105%
Layering with other CalHFA Programs: Cannot be combined with CalPLUS ZIP or
MyHome

If you qualify for down payment assistance, it may mean you can:

Buy a home sooner than you expected.
Afford more home.
Potentially avoid paying for mortgage insurance.

Buy a Home with Down Payment Assistance Now

During your consultation, we can help you figure out if you qualify for a Dream For All Shared Appreciation Loan. We can also give you other recommendations for how you can afford your down payment on a new home.

Please contact us today at (916) 669-1682 to schedule your consultation. We work with homebuyers in Rancho Cordova, Gold River, and throughout Sacramento, El Dorado, Placer, San Joaquin and Stanislaus Counties and throughout the states of California and Idaho.

First-Time Home Buyers: 6 Tips for Success in 2023

March 13, 2023 by Mortgage Consultants Group

Navigating the housing market can be overwhelming, especially if you’re a first-time home buyer. With so many steps, decisions, and considerations involved, it’s essential to be prepared for the homebuying process. Whether you’re planning to buy a home in California or refinance your existing property, the following tips can help you enter the market ready to make a purchase.

Tips to Purchase a Home

Research Your Options. Before you can commit to a home purchase, it’s essential to be aware of your options. Many home buyers don’t take into account the additional costs associated with buying a home, including closing costs, fees, and taxes. Additionally, buyers should consider their financing options, as well as research neighborhoods they’d be comfortable living in long-term.

Work with a Real Estate Professional. Working with an experienced real estate agent can be a beneficial decision. This can make the process much easier, as your agent will already have knowledge on neighborhoods, prices, and home details. Once you have a real estate agent, they’ll be able to help you find the home that’s best suited for your needs.

Prepare For Closing Costs. You must also be aware of the closing costs associated with buying a home. This includes taxes, title insurance, and other fees that can add up quickly. Being prepared for these costs will help you budget accordingly.

Create a Home Buying Plan. Creating a home buying plan is essential for anyone looking to buy a property. This plan should include your budget, desired location, and the type of home you’re looking for. From applying for a home loan in California to negotiating the best deal, a home buying plan will help guide you through the entire process. This is crucial for first-time home buyers since they may not be aware of the different steps involved in the home buying process that can easily overwhelm anyone.

Make Strategic Offers. When submitting an offer on a home, it’s important to make strategic offers that are within your budget. Do your research to determine the home’s price range and base your offer on that. Additionally, consider offering above the asking price or making contingencies. You should also consider if there are any contingencies that you’d like to include in the offer. Doing this can help ensure that you’re not overpaying for the home or getting stuck with costly repairs.

Prepare for Closing Costs. Closing costs vary by state but generally include lender fees, appraisal fees, title search fees, and attorney’s fees. You need to budget for these costs, as they can add up. Many first-time buyers don’t factor in closing costs, so to avoid unexpected expenses, do your research beforehand.

Buy a Home in Rancho Cordova

Purchasing a home can be both an exciting and intimidating experience. If you’re a first-time home buyer, follow all these tips to ensure a smooth and successful purchase in 2023. Doing research on the home’s market value, budgeting for closing costs, and making strategic offers are all important steps in the home buying process. With these key tips, you can navigate through the home buying process with ease. Trust only Mortgage Consultants Group to help you make your dream of home ownership come true. Our team of experienced mortgage professionals are here to help you find the best mortgage product for your needs, from conventional loans to FHA or any first-time home buyer loans. We’ll also walk you through the entire process, from pre-qualification to closing. Contact us today to get started!

The Biggest Advantages of Getting a Jumbo Loan in 2023

March 2, 2023 by Mortgage Consultants Group

If you are considering buying a home and need a large loan, then a jumbo loan might be the right choice. Jumbo loans are mortgage loans that go beyond the conforming loan limits of the Federal Housing Finance Agency (FHFA). These loans have higher interest rates and typically require higher down payments than conventional loans, but they also offer several benefits.

You Should Know The Advantages of Getting a Jumbo Loan

Lower Interest Rates. Today is a great time to consider taking out a jumbo loan due to historically low-interest rates. These low rates could save you a lot of money in the long run, and if you qualify for a bigger loan, it could also give you the additional purchasing power to buy a more expensive home or make other investments. It’s definitely worth exploring this option.
Flexible Terms. A jumbo law gives you an opportunity to tailor the loan according to your current financial needs. You can choose from different loan types and terms, allowing you to select the best option for your current situation. This could include a fixed-rate loan, an adjustable-rate loan, or a hybrid loan. Apart from that, you can choose a loan term that fits your budget, ensuring that you can pay back the loan in full on time.
Higher Loan Limits. Higher loan limits, also known as “jumbo loans,” allow borrowers to access larger loan amounts and give them more purchasing power when buying a home. This can help to reduce interest rates and monthly payments, making homeownership more accessible for those looking to buy more expensive property. Furthermore, higher loan limits can reduce the costs associated with purchasing a home, making it more attainable for a larger number of people.
Fewer Restrictions. Getting a jumbo loan now has several advantages, with fewer restrictions being one of them. Lenders have become more lenient with their requirements, allowing borrowers with lower credit scores, higher debt-to-income ratios, and higher loan-to-value ratios to qualify. This makes it easier for those with less than stellar credit or overleveraged to get the loan they need. Lower rates and larger loan amounts are also available with jumbo loans, making them a great option for those looking for a larger loan.
No Prepayment Penalties. Jumbo loans allow borrowers to obtain larger loan amounts than traditional mortgage loans. This type of loan offers borrowers the freedom to pay off their loan earlier without any additional charges. This can benefit those who want to purchase bigger properties and help them save money due to the reduced interest rates associated with short-term agreements. Additionally, borrowers are not required to stay in the loan agreement for the entire term.
No Private Mortgage Insurance. One of the most attractive features of taking out a jumbo loan is that there is no requirement for private mortgage insurance (PMI). PMI is an insurance policy that typically requires borrowers to pay a monthly premium to protect lenders from potential losses associated with defaulting on the loan. By avoiding PMI completely, borrowers can save money each month, allowing them to keep more of their hard-earned money.

Conclusion

Jumbo loans can be very beneficial for those looking to finance large purchases. With lower interest rates than conventional loans, higher loan limits, and no private mortgage insurance, jumbo loans can provide a much-needed financial boost to those looking to purchase or refinance their homes. Moreover, jumbo loans can be used to buy luxury homes, second homes, and investment properties, giving borrowers even more options for their purchases.

Get In Touch With Your Trusted Mortgage Expert Today!

Buy a home in California with help from Mortgage Consultants Group. We have been helping people purchase and refinance their homes for over 29 years. Our mortgage company makes it easy to find the best loan for your needs, whether you are buying a new house or refinancing your current mortgage. Ask about our flexible financing options, such as a jumbo loan. Contact us at (916) 669-1682 to schedule a consultation.