Watch the video below from Brian and Frank. Feel free to share your thoughts in the comments below. Would love to know your opinion. Thanks!

Vincent van Gogh, Dutch painter (March 30, 1853 – July 29, 1890)
http://www.vangoghgallery.com/

Artists take risks. They pursue their vision, often without financial security, facing long odds while stewing in their own self-doubt. When the world tells them “it’s not safe,” they listen to their own voice despite “prevailing wisdom.” They have a vision and they pursue it.

Occasionally, if they’re very lucky, they get to look back on their life and see the path that lead them to create a masterpiece. At the time, the path wasn’t easy, yet in retrospect, it looks very much like the only possible path they could take.

I think in twenty years or even ten years, we’re going to hear the collective sound of people kicking themselves because they did not buy a home this year. As their teenage sons and daughters graduate and enter the future job market and begin searching for their first home, they’ll turn to their parents and say, “Seriously? You’re telling me when I was in middle school, you could get a 30-year fixed for under 5%?”

Too many remain terrified by the last great storm in the housing market. They stand now on the shores of incredible opportunity, but can’t shake the vision of all those values sinking into oblivion.

Think about the future. Who might need a home? Is there an opportunity to “be the bank” when the time comes? The descendants of those savvy collectors who bough a Van Gogh painting for mere dollars in 1885 are surely grateful for their grandparents’ eyes today, aren’t they?

Yes, there is uncertainty, but this is the calmest water you’re ever going to see. Set sail now and buy a home. Those that do will certainly be rewarded. As for the masterpiece? It will be the satisfaction of looking back and realizing they bought at just the right time.

There’s certainly no risk to exploring the opportunity. I’d love the opportunity to sit down with you and plot a possible course to the best investment you could make. Contact me today.

IPCs provide an incentive for a borrower to purchase a particular property, and in certain real estate markets, IPCs may be used to artificially inflate or maintain the sales price of a property. Fannie Mae has established definitive terms for what constitutes an IPC, specific limits on the use and permissible amounts of IPCs, and how IPCs in excess of permissible limits must be treated. These guidelines are designed to help avoid practices that may distort or artificially inflate the market value of properties.

Convetional Conforming Limits

• If you are buying a home as investment property or rental, the maximum contribution allowed by and interested-party is 2% of the sales price
• If you are buying a home as your primary residence there is a little more flexibility. At 9.99% down or less the maximum contribution is 3%. Put 10% to 24.99% down the maximum contribution by an interested-party is 5%. Lastly any more than 25% down and the interested party can contribute 9%.

VA Home Loans

• VA is a 4% limitation towards prepaids, discount points and other sales concessions (such as debt payoff).  On a VA, the seller can pay unlimited closing costs (appraisal, title, recording, loan fee, etc). There are also certain fees the Veteran isn’t allowed to pay, be sure to check with your lender on current guidelines. It’s important to note VA home loans are for primary residences only.

FHA Home Loans

• FHA still allows for an IPC of 6% regardless of the down payment. It’s important to note FHA loans are for primary residences only.

USDA Home Loans

• USDA still allows for an IPC of 6% regardless of the down payment. It’s important to note FHA loans are for primary residences only.

When IPCs exceed these limits they are considered sales concessions. For underwriting and eligibility purposes, the lender must make a downward adjustment to the property’s sales price to reflect the amount of any contributions that exceed the maximum limits. The maximum LTV/CLTV ratios must then be calculated using the lesser of the reduced sales price or appraised value.When IPCs exceed these limits they are considered sales concessions.

The rate is 4.40% and 3% (of the Note amount) cash assistance is available for down-payment, closing costs, or prepaids.

Funds are limited so get your reservations in SOON!

Stop by my page www-Michael-Eiden.com and get prequalfied!

If you need to get prequalifed for a home loan would like to see if the Oregon Bond is for you, stop by my mortgage page to get prequalied. For more information on the Oregon Bond program, you can visit their site at www.oregonbond.us.

Excerpts from the article:

By Dr. Steve Sjuggerud
Wednesday, June 1, 2011

Now is literally the best time in recorded history to buy a house in America…

Right now – today – U.S. real estate is the most affordable it’s ever been. Ever.

When I say “affordable,” I’m looking at three things: house prices, mortgage rates, and incomes. With the Affordability Index near 200, the median family has 200% of the income necessary to buy the median home (or more specifically, to qualify for a conventional loan on the median home).

Right now, as you know, house prices are sitting near new lows for this cycle, down by roughly one-third (depending on who’s counting). And right now, mortgage rates – after ticking above 5% earlier this year – are all the way down to 4.5% again, near all-time lows.

So it’s simple: With the worst house-price crash in American history, combined with the lowest mortgage rates in history, you can now afford more home than ever. Meanwhile, hope is gone. Everyone thinks housing is hopeless. That is when a bear market ends and a new bull market begins.

At a conference I attended last month, some speakers spoke woefully of the large supply of houses for sale. That will take care of itself in time. Others bemoaned the certainty of higher interest rates in the future, which would hurt housing. But they shouldn’t be so certain…

Twenty years ago, Japan faced a housing bust similar to ours. Japan’s government has cut interest rates to near zero and printed money. And long-term interest rates in Japan currently sit around 1%. Even rising interest rates won’t kill housing… In the 1970s, interest rates were rising, and house prices outperformed stock prices.

The story is simple: House prices have fallen more than ever… And mortgage rates are lower than ever. If you can buy a house now (and want one), go for it.

Now is the best time in American history to do it.

Good investing,

Steve
http://www.dailywealth.com

NEWS RELEASE 

For Press Inquiries:

Justine Saudan, Media Relations
4949 Meadows Road Suite 150
Lake Oswego, OR 97035

PACIFIC RESIDENTIAL MORTGAGE

FOR IMMEDIATE RELEASE 

PACIFIC RESIDENTIAL MORTGAGE, is pleased to announce that Michael Eiden Sr. Mortgage Banker MLO-165229, has joined our Lake Oswego Branch. Michael’s passion lies in serving the needs of others and contributing to his community. A former United States Marine, Michael’s exceptional service skills have helped businesses and individuals with their financial goals for over 14 years. As a Mortgage Banker he has made it his mission to use his planning skills to help folks obtain a mortgage properly—whether it is through a refinance or purchase of a primary or investment real estate property.  Michael takes great pride in his work and is available to serve you. We are excited to have him as a part of our team! 

About Pacific Residential Mortgage (PRM)

In May of 2004, Pacific Residential Mortgage (PRM) opened a new kind of Mortgage Company. Made up of seasoned professionals, PRM’s rapid success is based on its decision to hire only top quality loan originators with a reputation for character, integrity and quality.

 As a broker and a banker, PRM offers the highest degree of flexibility to best meet the changing needs of all clients by providing a combination of the best products, the best service and the most competitive rates available. Dreams Approved Daily®

203k Loans 1 of 2
203k Home Improvement Loan Part 1 of 2

203k Loans 2 of 2

203k Home Improvement Loans Part 2 of 2

Effective with FHA case numbers assigned on or after April 18, 2011 the annual MI premiums will increase by 25 bps. (FHA Forward Mortgages only)

The following table will give you a snapshot of the changes:

Loans > 15 Years (30yr fixed)

• ≤ 95% – Before 85 bps NOW 110 bps
• > 95% – Before 90 bps NOW 115 bps

Loans ≤ 15 years

• ≤ 90% – Before None NOW 25 bps
• >90% – Before 25 bps NOW 50 bps

This means that on a $200,000 30 year FHA loan the monthly premium will increase by approximately $42.00.

A couple of things to consider…

• There are no changes to the Up-Front Mortgage Insurance Premiums (UFMIP)
• The change is effective with FHA case numbers assigned on or after April 18, 2011
• 15 year FHA loans with LTV’s below 90% remain at -0- annual MI

Please contact me if you have any questions or need additional information.

One side effect of that policy had been to stifle purchase-and-renovate projects by legitimate, small-scale investors who buy houses after foreclosure or loan defaults and then resell them in substantially improved condition. In many parts of the country, first-time and moderate-income buyers often sought to buy these fixed-up houses using FHA-insured mortgages with 3.5% down payments, but were prevented from doing so by the “anti-flipping” rule.

This left large numbers of foreclosed, vacant houses sitting unsold and deteriorating, with negative effects on the values of neighboring properties.

Last January, FHA Commissioner David H. Stevens announced a one-year suspension of that rule, permitting qualified buyers to obtain FHA mortgages on properties that were acquired by rehabbers less than 90 days before. The plan, set to expire at the end of this month, came with safeguards for purchasers, including inspections and multiple appraisals in some cases to document the amounts spent by investors on the improvements.

Vicki Bott, deputy assistant secretary for single-family housing at the FHA, confirmed in an interview that the agency expects to continue the policy for another year. Not only have first-time buyers responded overwhelmingly to the opportunity to buy “turnkey” renovated homes with low down payments, she said, but they have performed well on their mortgage obligations.

“Obviously we have concerns about flipping in general,” Bott said, but the FHA has seen none of the fraud problems, defaults and re-foreclosures that cost the agency millions in insurance payouts in earlier years.

Investor Paul Wylie, who with a group of partners and contractors specializes in acquiring, renovating and reselling foreclosed and distressed houses in the Los Angeles area, says the government’s policy “has been a very positive approach” because “it recognizes the role that [private investors] can play in helping the housing market get back on its feet.”

In the L.A. market, Wylie said, FHA financing accounts for 40% of all home purchases and 60% of purchases in predominantly Latino and African American communities.

Buying foreclosed houses “comes with a lot of risk factors,” Wylie said. “There’s no title insurance. We don’t have a good idea of the extent of the defects” inside properties that have been sitting vacant or vandalized for months. Some houses come with delinquent property taxes, which Wylie’s group typically must pay.

Then again, the profit opportunities can be significant as well. Most of the Wylie group’s houses sell for more than 20% higher prices than Wylie paid at acquisition — a quick turnaround gain that potentially works for buyers, sellers, neighborhoods and, yes, the FHA itself.

Source:  www.latimes.com