Columbus Ohio Real Estate Experts: August 2015

Major Changes For Those Applying for FHA Loans on 9-14-15

 

For any FHA loans assigned on or after September 14, 2015 there will be significant changes, especially those that are applying with student loans. Here's what you need to know if you are considering applying for an FHA backed home loan.

Changes for those with student loans.Major Changes For Those Applying for FHA Loans

As of September 14, underwriters will no longer be able to exclude student loan payments for FHA loans. In the past, student loan payments in deferral for at least the next 12 months could be excluded from the debt to income ratio. This means that those that had student loans deferred for over one year were not taken into account when applying for the home loan.  For FHA loans assigned prior to this date  borrowers that have student loan payments which are deferred for more than one year after the closing date do not have to count  these payments as part of their debt. But on September 14, 2015, this will change making applying for a home loan mortgage more difficult.

 If you have deferred a student loans for more than one year, is extremely important to get qualified before the September 14 deadline. This means that you'll need to submit a signed application, have your credit pulled and have an accepted purchase contract or refinance ready to go.

 

Accounts

 

Other FHA changes coming down the pike will be if a down payment has been gifted to the buyer. Lenders will be requiring a bank statement from the donors account as well as the source of any large deposits to that account. This is required in order to document where the donors funds came from.

For all 30 day accounts such as American Express, mortgage companies and lenders will be required to verify that the borrower pay the outstanding balance in full on all 30 day accounts each month for the last year. 30 day accounts that are paid monthly will not be included in the borrower's debt to income ratio.

 

Employment.

If a borrower has changed jobs more than three times in the last 12 months or change their line of work, the mortgage lender must verify and document the stability of the borrower's employment income. Any gaps longer than six months in employment will require six months on a new job before approval.

With these new changes it is imperative that potential buyers apply for the loan before September 14. But this also means they will need a signed contract on a new home. For more information or to get started on a home loan and find a home to purchase, contact me today. 

columbus, lewis center and gahanna real estate

Columbus Ohio real estate - Vision RealtyAs a certified Realtor® for the top-rated Columbus Realty Firm - Vision Realty, with 32 years of dedicated real estate experience, I can help buyers, sellers, investors, short sale sellers and more find, sell or invest in the right property, at the right price, at the right time. Contact me anytime for updates and information on the Columbus OH Real Estate market.

 

Donald Payne - Vision Realty, Inc.
4608 North High Street

Columbus, OH 43214

Toll-free: (866) 510-2223

Cell: (614) 323-4348
DonaldPayne@VisionRealty.com
Follow Me on Pinterest

LinkedIn Donald Payne Twitter Vision Realty - Donald Payne Vision Realty on Facebook Vision Realty YouTube Listings Vision Realty Columbus OH real estate search
Comment balloon 1 commentDonald Payne • August 26 2015 09:03AM
Major Changes For Those Applying for FHA Loans on 9-14-15
share
For any FHA loans assigned on or after September 14, 2015 there will be significant changes, especially those that are applying with student loans. Here's what you need to know if you are considering applying for an FHA backed home loan. Changes… more
Open Houses Are Pointless
share
That's a bold statement. It all depends on the house, the neighborhood and the market. There has been a lot of controversy around open houses in the last couple of years. How safe are they? Are they pointless for the seller, are agents simply doing… more
What's Happening in Columbus This Weekend?
share
There are four of my favorite things happening this weekend, August 15 in and around the Columbus Ohio area. Family Damsels and Dragonflies at the Franklin Park Conservatory and Botanical Gardens On Saturday, August 15 Starting at 11:00 AM until 2… more