The only sure thing about the mortgage industry is the rules are always constantly changing. Shortly after the housing bust, the requirements for obtaining a mortgage in Boca Raton became extremely tight. But new statistics from the Mortgage Bankers Association indicate those mortgage requirements are finally starting to loosen, making home financing in Boca Raton in much easier.
The MBA recently revealed great improvements in lender requirements for credit scores, down payments and other loan terms due to improvements made by new government efforts to ease the regulations to make the housing market more affordable. Among the changes is Fannie Mae purchasing conventional mortgages for as low as 3 percent down. Freddie Mac is planning to do the same for mortgages closed on or after March 23. The results are already being felt around the mortgage industry. It’s estimated that 40 percent of investors have started offering Fannie Mae’s 3 percent program. Freddie Mac’s program is expected to bring similar results.
Another important factor helping more people secure a mortgage loan in Boca Raton is the Federal Housing Administration’s reduction of upfront insurance premiums. The ruling has helped increase the eligibility of thousands of homebuyers throughout the nation. Nearly all mortgage lenders who work with the FHA program are now offering smaller mortgage premiums, since the reductions took effect in January. FHA insures loans in Boca Raton with down payments as low as 3.5 percent. The current economic climate is also makes it easier for home buyers and those who are looking into home refinancing in Boca Raton.
More mortgage lenders are also loosening their restrictions based on credit ratings. The recent ease of restrictions is giving more mortgage companies greater confidence in lending to greater volume of borrowers, which includes home buyer who don’t necessarily have the best credit scores or enough money to put down a huge down payment. More banks are accepting home buyers who have low credit scores, but have a good income with plenty of reserve and a large down payment. It’s good news who’ve had their credit scores reduced due to the recession.
The American Dream is alive in well in Boca Raton. To help make it a reality, it’s important to find a mortgage company looking out for the best interests of home buyers. Since 1996, the professionals at Ace Mortgage Loan Corp. have helped countless people realize their dream by securing a home mortgage in Boca Raton. To learn more, call (954) 777-4774 and schedule an appointment with a mortgage broker in Boca Raton today.