Archive | March, 2018

FHA Advantages

27 Mar

The Federal Housing Administration, operating under HUD, offers affordable mortgages for tens of thousands of buyers who may not qualify for other types of programs. They are popular with both first-time and repeat buyers.

The 3.5% down payment is an attractive feature but there are other advantages:fha3.png

  • More tolerant for credit challenges than conventional mortgages.
  • Lower down payments than most conventional loans.
  • Broader qualifying ratios – total house payment with MIP can be up to 31% of borrower’s monthly gross income and total house payment with all recurring debt can be up to 43%. There is a stretch provision taking it to 33/45 for qualifying energy efficient homes.
  • Seller can contribute up to 6% of purchase price; this money must be specified in the contract and can be used to pay all or part of the buyer’s closing costs, pre-paid items and/or buy down of the interest rate.
  • Self-employed may qualify with adequate documentation – two year’s tax returns and a current profit and loss statement would be required in addition to the normal qualifying and underwriting requirements.
  • Liberal use of gift monies – borrowers can receive a gift from family members, buyer’s employer, close friend, labor union or charity. A gift letter will be required specifying that the gift does not have to be repaid.
  • Special 203(k) program for buying a home that needs capital improvements – requires a firm contractor’s bid attached to the contract calling for the work to be done. The home is appraised subject to the work being done. If approved, the home can close, the money for the improvements escrowed and paid when completed.
  • Loans are assumable at the existing interest rate with buyer qualification. Assumptions are easier than qualifying for a new mortgage and closing costs are lower.
  • An assumable mortgage with a lower than current rates for new mortgages could add value to the property.

Finding the best mortgage for an individual is not always an easy process. Buyers need good information from trusted professionals. Call (972) 978-6539 for a recommendation of a trusted lender who can help you.

Standard or Itemized

20 Mar

Taxpayers can decide each year whether to take the standard deduction or their itemized deductions when filing their personal income tax returns. Roughly, 75% of households with more than $75,000 income and most homeowners itemize their deductions.Standard or Itemized-250.png

Beginning in 2018, the standard deduction, available to all taxpayers, regardless of whether they own a home, is $24,000 for married filing jointly and $12,000 for single taxpayers.

Let’s look at an example of a couple purchasing a $300,000 home with 3.5% down at 5% interest. The first year’s interest would be $14,630 and property taxes are estimated at 1.5% of sales price would be $4,500.

The interest and property taxes would provide a combined total of $19,130 which is less than the $24,000 standard deduction. Unless this hypothetical couple has other itemized deductions like charitable contributions that would make the total exceed $24,000, they would benefit more from taking the standard deduction.

If the mortgage rate were at 8%, the combined total of taxes and interest would be almost $28,000 which would make itemizing the deductions more beneficial.

Tax professionals will compare available alternatives to find the one that will benefit the taxpayer most. For more information, see and consult a tax advisor.


16 Mar

70622_15456 Mountain View Ln, Frisco TX 75035-Caydee Jennings ONSITE pic vid 3D_14-03-2018.0173

15456 Mountain View Lane, Frisco

4 Bedroom / 3.1 Bath / Media / Game / Study

Check out the full motion HD-video here!

A Popular Floor Plan in Prestigious Hunters Creek! Upgrades include: Wood Floors, Plantation Shutters, Kitchen with Updated Cabinets, Granite and Island. The Large Master Suite has Wood Floors, Frameless Shower, Double Sinks and huge Walk-In Closet. Study with Wood Floors and Custom Built-Ins. Upstairs you will love the Large Secondary Bedrooms, Guest Suite, Over-sized Game Room, Media Room + Bonus Room which can be used as Craft, Exercise Room or Fifth Bedroom.

Peaceful backyard with Flagstone Patio, Gas Fire-Pit, Pergola and Driveway Enclosed by an Electric Gate. Active Community with 2 Pools-Splash Park and Lazy River, Hike and Bike Trails, Parks, Playgrounds and Fun Family Events. All this and walk to Elementary, Middle and Liberty High School. 

Move in, unpack and enjoy!

Please contact Marchand Froschheuser at 972-943-7315 for more information or click HERE.

Inventory Continues to be a Challenge

13 Mar

In any given market, inventories fluctuate based on supply and demand considering area and price range. The National Association of REALTORS considers a balanced market to be a six-month supply of homes.47945268-250.jpg

If it takes longer than six months to sell, it is thought to be a buyer’s market and less than six months, a seller’s market. Most buyers and sellers probably feel a balanced inventory is more like three months’ supply of homes.

The inventory of existing homes has been reduced to approximately 1.5 million houses which is 10.3% lower than a year ago. According to the Federal Reserve Bank of St. Louis there are 5.7 months’ supply of new homes currently on the market in the U.S.

Inventory has a direct impact on price. When demand is constant, but inventory is reduced, price tends to increase because the same number of people are trying to buy a smaller than normal number of homes.

As easy as it is to recognize the signs of spring, one should be able to spot the direction prices will be moving. When prices and mortgage rates are increasing, buyers are affected by not being able to afford the same price or size of homes.

Your Refund Could be the Difference

7 Mar

One of the silver linings to filing your income tax return is finding out that you are going to receive a refund. If you happen to be one of these fortunate taxpayers, your next decision is what to do with it. With the average tax refund around $3,000, it could be the difference that makes a home a reality sooner rather than later.46795263-250.jpg

Many would-be buyers think it takes 10% or more down payment to purchase a home, but actually, it can be much less. There are VA and USDA mortgages that have no down payment for qualified buyers. FHA has a 3.5% down payment program and FNMA has 3% down payment mortgages for qualified creditors.

Closing costs for originating new mortgages can easily range from two to three percent of the purchase price but most lenders will allow the seller to pay part or all of them based on the agreement in the sales contract.

While the average tax refund might not cover the down payment on the median price home, it certainly helps. Your refund could make it as simple as 1-2-3 to get into a home.

  1. Get the hard, cold facts for the homes and mortgages in your area and price range.
  2. Get pre-approved with a trusted mortgage professional.
  3. Start looking at homes.

Call me at (972) 978-6539 or jeff to get started.


1 Mar

69756_7915 Mckamy Dr, Frisco TX 75034-Caydee Jennings ONSITE pic vid 3D_26-02-2018.0057

7915 McKamy Drive, Frisco

4 Bedroom / 3.1 Bath / 2 Car / Media / Greenbelt

Check out the full motion HD-video here!

~Full On Style!~ Designer dream home in West Frisco!

You’ll love to come home to the lovely landscaping, beautiful brick and stone elevation & friendly front porch! Hardwood floors, new (2018) designer paint & updates abound! Perfect open concept gourmet kitchen with granite countertops, large island, stainless steel appliances, walk-in pantry, & kitchen nook with window seats!  

Don’t miss this incredible opportunity to enjoy two true master suites – one up and one down, both with jetted tubs! Formal living and dining rooms, large family room with built-ins. Huge game room and a separate media room to enjoy family time.

Walk to exemplary Frisco ISD elementary & middle schools. Enjoy Heritage Village park and pool, close to shopping, Dallas Tollway and the new Frisco Star Center! Must See!

Please contact Elyse Guthrie at 512.217.1412 for more information or click HERE.

For more information and other homes for sale in this area, check out 

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