So if you are looking to take out a home loan in Des Moines, IA you may also be reading about how the FHA will raise Insurance Premiums by .25%  starting April 18th of this year. Why are they doing this? Well if you’re searching for an Iowa home loan and you are going FHA you know you are going to have to pay Mortgage Insurance, so to you this is a slight raise in costs from 2% to 2.25%. A lot of realtors  and loan originators may be upset because it’s an extra cost they have to work around for buyers looking for Iowa homes. Now back to the “why”, well the plan is to raise funding for FHA capital reserves. This hike in premiums is projected to raise between 2.5 and 3 billion dollars annually which analysts are saying will help in the housing markets steps to recovery. So even though the raise in premiums sounds like something bad, especially in todays struggling economy, it’s good to know there are moving parts to a plan that is in motion so they can work towards helping borrowers get a mortgage in Des Moines, IA. Before the market can flourish again we have to take steps to get sections of the market, such as FHA, to a point of stability. So when you check Des Moines mortgage rates, be sure to keep in mind that if you go FHA after April 18th, you’ll be expected to pay that extra .25% in premiums.

-Dan

www.sayhalo.com

So far in our steps to landing that Iowa home loan we have looked at taking care of your total debt, finding out how much you can afford, and searching for the right loan program for you. Today we’ll discuss how to get a mortgage in Des Moines, IA even if you have less than perfect credit.

In today’s world many people find themselves struggling to stay on top of bills which can cause financial discomfort and possibly some dings here and there on credit scores. Well many lenders and the government have taken that into consideration and there are many programs available to help you get into your Des Moines, IA home. We talked about FHA loans before and how, even with less than perfect credit, you can get a loan up to 97% of the value of your Iowa home purchase. The lesson here is, even if your credit is not perfect that doesn’t mean you can’t get the Iowa home your looking at. Call your local Iowa mortgage broker and see what rates are available for your exact situation.

-Dan

www.sayhalo.com

So for part three of our home buyer tips we will talk about shopping for the right home loan in Des Moines.

First you should know that there are many different options out there and a lot of them will depend on how much you can afford. For example there are lows now where a 3% downpayment is acceptable as long as you have a steady job and good credit. Although the more money you can come up with for a downpayment, the more options you will have loan wise.  There are some programs where you can pay 10% down and not have to pay mortgage insurance on your mortgage in Des  Moines, IA. Instead they would wrap the cost of MI into your interest rate which would make it tax deductable. So once you have figure out just how much you can scramble together for a down payment, you can begin shopping around for the best home loan in Iowa that will benefit you. As long as you have your figures right and do some shopping for the right program, getting a Des Moines, IA home should be a piece of cake.

-Dan

www.sayhalo.com

So for part two of our little series I’m going to briefly discuss taking a look at how much you can afford before you apply for a home loan in Des Moines.

There are basically two parts to how much you can afford. The first is how much can you afford to borrow? Generally you want your mortgage payment, taxes, home owners insurance, and any other monthly charges related to your mortgage not to exceed 30% of your total monthly income. Keep your debt to income ratio around the 30% mark to insure that you’re not stretched out to your last penny when you include your other monthly debts. This will also allow for extra cash flow for applying to your principle each month or for placing into a savings or investment account.

The second part you need to measure is how much of a down payment can you scramble together? When you figure this number out it may be a good idea to sit down with a Des Moines mortgage broker to see exactly what goes where. When figuring your down payment for an Iowa home loan you may want to also keep in mind costs for closing and costs for any repairs you will want to make. You want to make sure you can take a nice chunk out with your down payment, but once again you don’t want to stretch yourself too thin if you plan on paying for other things out of pocket.

Obtaining a mortgage in Des Moines, IA starts by figuring out exactly how much you can afford and still live comfortably. This is a huge investment and for most people it will be a long one. So sit down, take some time and figure out how much your pocket book can take in order to get that Iowa home loan and move into your dream house.

-Dan

http://www.sayhalo.com/home.html

Thinking about getting a home loan in Des Moines? Well in the next few posts we will be walking through some tips and things to keep in mind during the whole process.

First we’re going to take a look at existing debt. If you’re starting to save for a down payment on Des Moines, IA homes than stop. Stop. Stop because you first need to take a look at any current debt you may have. Especially credit card debt since it can be very expensive over time. Why pay off the debt before getting into a home loan in Des Moines? Well it’s pretty easy, you want to get rid of existing debt if you can becuase it will help you save more money in the long run. Lori Vella, Senior Vice President of national lending for Washington Mutual, says that even though you won’t have as much of a down payment it makes sense to use cash on hand to pay off credit card debt. Another reason to pay off debt before trying to work your way into a mortgage in Des Moines, IA is because the more debt you have, the less lenders are willing to work with you. Lenders won’t give you access to the funds you need if your debt ratio is too high. Basically if you can lower the amount of money you owe, you’ll be more likely to get the funds your requesting for your Iowa home loan.

-Dan

www.sayhalo.com

So as everyone can see rates on a Des Moines, IA mortgage are higher than they were two months ago. Rates are still sitting fairly low with the national average around 4.86% for a 30 year fixed loan according to Freddie Mac’s weekly survey. Rates are projected to sit between 5% and 6% throughout 2011. What this means is the market will shift from the refinance boom in 2010 back to purchases for 2011.

There may not always be incentives for refinancing, but if you’re a renter now and thinking about getting a home loan in Des Moines, Ia you will find most people will tell you it’s worth it. If you think about how much money you’re spending on a rental property per year compared to putting equity into a property you own it’s a no brainer. Rates may be back to the norm but the benefits of buying are there. For example, your payments toward rent are not tax deductable, where as your monthly mortgage in Des Moines, IA is. That is money in your pocket at the end of the day. Also with a home loan in Des Moines, IA you can rely on the stable market and use lenders money to invest in a property that will likely appreciate. There are many pros to purchasing and even though rates are rising back to where they used to be, you have to consider all the benefits of buying, then all you have to do is pick out your new Des Moines, IA Home. Good Luck.

-Dan

www.sayhalo.com

Well I have been skimming through article after article to hear some of the professional opinions on what is believed to be the most useful tips for getting a mortgage in Des Moines, Ia and buying a home in today’s market. After doing some research these five seemed to be the tips mentioned the most.

1. Research your local market. This is one of those situations where you can’t just look at the big picture. Keep in mind that even though a seller may be eager to sell their home, it’s not necessarily a bargain. Your main objective here is to look at the prices in front of you and determine if they are high or low compared to other Iowa homes for sale in your area.

2. Weed out the desperate and eager sellers in your area. If you’re going to get an Iowa mortgage it would make sense to do some local shopping and determine who is more willing to negotiate pricing. Also be aware that when you call a listing phone number you’re probably talking to the selling agent who is trying to get the most profit out of the property, but at the same time may be more than ready to negotiate in this market.

3. Let your realtor know you expect them to work to keep your business. If that means using new creative ways to sell the home and being more aggressive with sellers than so be it. Also you can help them out by simply being pre-approved for an Iowa home loan, it will help them know just how aggressive they should be.

4. Details. There are hundreds of tiny little details when buying Des Moines, Ia homes. You have to remember that you are not the only one looking for a good deal, so make sure when you find one, all of your ducks are in a row.

5. Make sure you take an extra close look at the title. If there are judgemenst against the home you will want those to be taken care of before you try to purchase it. You do not want to find out about a lien later on down the road.

-Dan Morgan

www.sayhalo.com

Not too long ago I was speaking with a coworker about some of the changes that the economy has undergone in the past few years and how Des Moines Ia mortgages have been affected. In 2007 the housing market took a dive, the stock market fell face first on the pavement, and foreclosures started crawling out of the woodwork like termites during a house fire. All these things happened and no one seemed to have answers on how to deal with all these pressing issues. Overall the conversation was doom and gloom. And then my boss looks over and tells us that we have to look at the positives. Positives? There are positives?

Yes, there are positives. We talked for awhile and after our conversation I adopted a new outlook on mortgages in Des Moines Ia and this market overall. You see not more than three months ago interest rates hit record lows in Iowa and across the nation. Those interest rates are still low and in a time where money is tight it’s worth looking into. On top of that the entire loan process has become more uniform and consumer friendly.  When I say consumer friendly I’m refering to how laws and regulations for Iowa brokers and banks have been put into place in order to explain the cost of financing in a clear cut, no hidden fees manner.  And even more on top of that, a home loan in Iowa carries less risk than one comparible to those on the east and west coasts. The point is, my boss was right, even in the midst of all the chaos there are positives. And a mortgage in Iowa is still a good, solid investment.

-Dan Morgan

www.sayhalo.com

The mortgage tax deduction has been around since 1913 and for many it has been the key to landing the keys to that dream home. Although many people did not start using it until after World War II, today it has become one of the biggest perks for a Des Moines Ia mortgage loan. This deduction allows home owners to write off annual interest of their mortgage which in turn allows more take home pay when all is said and done, and in some  cases that extra income can be exactly what a buyer needs to finally get the home they want.

Washington wants to take the deduction away and bring the new amount to a flat 12% of the mortgage interest for home owners. The reason? A projected 104 Billion dollars for deductions in 2011. Obviously a lot of people are upset about this. The government wants to take away a perfectly sound tax deduction that has been around for nearly 100 years because it is costing too much? Maybe before upsetting millions of home owners the government should look for the real problem. The removal of the tax deduction would create more income for our government, the only problem is our government does not need more income. The government does not have an income problem, they have a spending problem. When the government can show some responsibility with taxpayer money people may consider supporting amendments to the deduction. Until then there are not many fans of the possible changes. A change in the policy may cause that family to miss out on a mortgage in Des Moines Ia and all around the country.  Stay tuned, it’s kind of a big deal.

-Dan

www.sayhalo.com

1. Home prices have been at national record lows throughout 2010 which means if you shop around you can probably find some great deals. A mortgage in Des Moines Ia is going to be a lot more stable than our coastal friends because of Iowa’s housing market. The  low home prices obviously help when aiming for high value in your purchase, and that’s key.

2. Government regulations. Half the reason we are in this foreclosure mess right now is because lenders were allowing irresponsible loan officers to “cheat” on forms and approve people for loans they could not afford or understand. Well today that’s A LOT different. There are new forms, laws and regulations that keep loan officers honest and make understanding loans easier for the everyday homebuyer. It’s all about you now.

3.  A home loan in Des Moines Ia is  easy to shop for since our city is a bit smaller than New York or L.A. You still have many options here. There are always the big banks with the cookie cutter loans and then there are small banks and brokers who can give you a more custom loan for your situation. Don’t always settle for the first offer, do some shopping, it could be the difference between happiness and headache.

4. On top of already low housing prices there are many bank owned homes for even less. These banks are looking to get as much as they can as fast as they can. Now these are foreclosure properties so I would recommend spending a little extra cash on an inspection, but in the long run you could save a lot and these low priced homes will have low down payments. Basically, shop around.

5. Interest rates on a Des Moines Ia mortgage are still really low. Not as low as earlier this year but they are still under what they were a year ago. These rates won’t be around forever so if you’re looking to buy now is the time to start shopping. Call a realtor, find that house, call some lenders and Iowa brokers and get on your way to being a home owner.

-Dan Morgan

www.sayhalo.com