The Ellis Team has landed some new home buyer financing programs that should benefit self employed people, investors, and those with an isolated credit event. We have a lender that can qualify a borrower off bank statements and does not need their tax return. Many self-employed borrowers write-off a lot of expenses which makes it difficult to qualify for a loan. Banks typically go off net income, not gross income.
New Home Buyer Financing Programs
Now the lender can calculate what you make to repay the loan by what you have in the bank, not what the tax return says. This is big news for some businesses that do well but don’t show a large net profit from the business. Of course, there are restrictions like minimum credit scores, at least 10% down, and a letter from a CPA may be required. We can even use this program on second homes if the buyer puts 20% down. Rates are higher than conventional loans but still pretty good. This program sure beats renting because the business always has write-offs.
We have a new investor program too that lets an investor buy with 20% down and a minimum credit score of 680. This lender can do condos and non-warrantable condos as well. Duplex buyers can buy with as little as a 640-credit score.
Many people have been shutout of the home buying process and programs like these will help bring more people to the table. Of course, if a buyer has income from an employer and meets guidelines, we can get those loans approved through (DU) desktop underwriter which is an automated loan approval. These loans are fast and easy, and a buyer is good to go shopping.
In a frantic paced market like today it is always best to get pre-approved before you go shopping. A seller will require it anyway. Buyers will lose properties to other buyers without getting their financing in order prior making an offer.
Counseling Approach
The Ellis Team is a little different than most Realtors. We offer a counseling approach. Our buyers find it most helpful for them if we start the process of searching for a home by having a counseling session in our office so we can help them better and faster find their dream home. Financing is just one step in the process.
Today things are changing at a rapid rate. On October 1st the flood insurance program made some big changes that will affect buyers and sellers. Homeowners insurance is changing quickly too. Throw in big changes to lending guidelines and changing interest rates, and you can see it takes a full-time expert to keep up. Working with an experienced team that understands these changes will help buyers better compete against other buyers. Our knowledge will also help sellers when making financial decisions.
The agent you work with matters. The reputation of the agent you work with and the relationships they have can make the difference whether you win your dream home or lose it to another better prepared buyer.
Better Preparation
Ellis Team buyers and sellers are better prepared and know what to expect in advance. Therefore, we offer the counseling session. It helps to hire the best Realtor you can, but none of that matters if it doesn’t get communicated back with the customer. We wish all our buyers and sellers to be the most informed. A better-informed client results in better financial decisions and success.
You have probably heard horror stories of buyers who cannot land a home. They believe there is too much competition. Maybe so, but often buyers fail to win homes because their offer was not written correctly, or they were not prepared.
Sellers complain that they sold quickly but left money on the table. Hiring the right Realtor matters more than ever.
Always call the Ellis Team 239-489-4042 for buying or 239-310-6500 for selling. Or visit our website, www.LeeCountyOnline.com to search all listings or www.SWFLHomevalues.com to find out what your property is worth.
Good luck, and let us know if we can help!