Information from Sandy Richards with Pinnacle Capital Mortgage Corporation. Kathy and I have known Sandy a long time and this is good information.
"In this week's email newsletter I will go over changes coming from Fannie Mae regarding short sale wait periods, and what we at Pinnacle have as an alternative to the new wait period announced by Fannie Mae. My goal is to give you options for your buyers that may help you with a few more sales, so as promised I will be emailing you every one to two weeks to update you on programs and industry news that could benefit your real estate business!
NEWS YOU NEED TO KNOW!
Fannie Mae has announced that on August 16, 2014 the wait period after short sale to obtain a new FNMA conventional mortgage loan will go from two years to four years.
So you ask, how can a borrower get financing in less than four years?
The Problem: After short sale, there is a wait period to do Conventional (Fannie Mae, Freddie Mac), FHA, VA, JUMBO and USDA financing. Since conventional, FHA and VA make up most of the loans done, I will address these wait periods after short sale, foreclosure and bankruptcy. I will address JUMBO wait periods in a future newsletter.
FHA has as little as a 12 month wait after short sale and as long as three years. The wait period for foreclosure on an FHA loan is generally three years from discharge date. The wait period after bankruptcy (Ch 7) is generally 24 months, but may be as little as 12 months. In Maricopa, Pinal and Pima Counties, the max loan amount is now $271,050.
Fannie Mae, which owns majority of conventional home loans, has announced the wait period for short sales will now be four years after Aug 16, 2014. Bankruptcy wait period is 2-4 years and foreclosure wait period is 3-7 years. The lesser time frame is for extenuating circumstances. The max loan amount with Fannie is $417,000.
VA has a two year wait period on short sale, foreclosure and bankruptcy (Ch 7).
The solution: Because we are a direct lender, we have a program that allows borrowers to obtain a new mortgage up to $417,000 two to three years aftershort sale with 10% down payment or equity on a refi. The lesser time for extenuating circumstances. Wait time for foreclosure is three years and the wait time for bankruptcy is two years.
- 2014 FHA loan limit in Maricopa/Pinal/Pima County: $271,050
- 2014 Conventional loan limit in Maricopa County: $417,000
- Jumbo is any loan over $417,000"
Sandy can be reached at 602.999.2406
Information on the new Taylor Morrison community coming at the SW corner of Pinnacle Peak Road and Tatum Blvd; this is from desertridgelifestyles.com.
New Taylor Morrison Community
By Greg Abrams Vice President, Land Resources
Hello Residents of Desert Ridge! We continue to make great progress on the project and remain on track to break ground later this year. We anticipate having the community open for sales by late 2015. The community will be called Sanctuary at Desert Ridge and will have approximately 270 lots that range between 3,200 to 18,000 square-feet and houses that range between 1,600 to 5,000 square feet. The entire 105-acre community will be gated and will include several pocket parks and possibly an enhanced amenity. There will also be connectivity to the existing trail system to provide an alternative route to the Desert Ridge Marketplace and beyond.
Taylor Morrison is a local builder, headquartered in Scottsdale, Arizona. The Company operates in the U.S. under the Taylor Morrison and Darling Homes brands and in Canada under the Monarch brand. Taylor Morrison is a builder and developer of single family detached and attached homes serving a wide array of customers including first-time, move-up, luxury, and active adult customers. Taylor Morrison divisions operate in Arizona, California, Colorado, Florida and Texas. For more information about Taylor Morrison, Darling Homes or Monarch, please visit www.taylormorrison.com.