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100% FHA Financing
INNOVATIVE DOWN PAYMENT ASSISTANCE PROGRAM
Helping borrowers get 100% CLTV on FHA loans.
Program Highlights:
- FHA DPA
- Purchase Only
- Min FICO 580 - DU Approve/Eligible
- Non-occupied Co-borrowers allowed per FHA guides
- DTI- Follow AUS - Approve/Eligible
- One borrower must complete HUD approved counseling
- 96.5% Max LTV with 3.5% DPA (100% CLTV)
- No Income Limits
- Second Mortgage line forgiven after 10 years

FEDS HIKE INTEREST RATE: WHAT THIS MEANS FOR MORTGAGES, CAR LOANS, AND
The Federal Reserve raised interest rates for the second time in recent months to rein in inflation. And whether directly or indirectly, consumers will start to feel the effects of increasing borrowing costs.
Here's how that breaks down for you:
Credit Cards
Credit card rates are loosely intertwined with the Federal Reserve's actions, so if you have revolving debt, you can expect your rate to inch upward in about one to two billing cycles.
We initially saw this when the Fed's increased the rate in March, influencing credit card rates to go from 16.34 to the current 17.25. Financial analysts theorize that cardholders will likely see this trend every couple of billing cycles.
Car Loans
Car loans are also likely to rise, however, not as much as the cost of buying a car (more on this in the Banks section below).
Car loans are inclined to track the five-year Treasury note, which, in turn, is influenced by the Reserve's key rate. So as the Fed goes, so do car loans. Of course, this is coupled with the already challenging price at the pump.
Mortgages
While mortgage rates aren't directly interconnected with the federal funds rate, they track the 10-year Treasury bond yield, which is impacted by inflation and how investors are anticipated to react to rising costs.
According to Freddie Mac, 30-year fixed-rate mortgages are already up by more than 5 percent this year. In contrast, the rate was up only about 3% for most of 2021.
Other home loans are more closely linked to the Treasury bond. Variable interest rate loans like home equity lines of credit and adjustable-rate mortgages will generally change after two billing cycles of the Fed's rate modifications.
Banks
This hike often translates to banks paying more interest on deposits --a great this for savers. However, it will also be more expensive for consumers to get financing. For example, it now costs consumers an average of $1000 more monthly on a new-car loan.
Student Loans
The effect on student loans depends on the type of loan. Federal student loans — whose payments are paused through August — aren't impacted since those loans have a fixed interest rate set by the government.
However, new fed school loans, whose prices are set in July, are based on the 10-year Treasury bond. We've already seen rates on these new loans jump. Borrowers whose undergraduate loans are disbursed between July 1, 2022, and June 30, 2023, will now pay 4.99 percent --increased from 3.73 percent for loans disbursed the previous year.
Private student loans, both fixed and variable-rate, will rise, and the difference will likely be noted within a month.
* Specific loan program availability and requirements may vary. Please get in touch with the mortgage advisor for more information.
BEST HOME LOAN OPTIONS FOR SINGLE PARENTS
Are you a single parent who dreams of owning a home but nervous that you’ll encounter too many challenges? We’ve got good news for you! There are home buying assistance programs that can help you purchase a home.
If you’re a single mom or dad who wants to buy a house, we’re here to list some loan programs that might work best for you.
Best Loan Programs for Single Moms and Dads
Single parenthood often means having a tighter budget, so a loan program with looser eligibility requirements is typically your best bet.
Fortunately, various loan programs are designed for lower-income homebuyers –many of which offer low down-payment options.
Here are some of the best loans programs to help fund single parents’ home-buying journey:
FHA Loans: Federal Housing Administration (FHA) loans are government-insured and fairly easy to qualify for. First-time home buyers are usually attracted to this type of loan because of its low down payment of 3.5%, low monthly loan insurance, and availability to individuals with credit scores as low as 500.
VA Loans: If you’re a veteran, active US military member, or an eligible surviving spouse, a VA loan could be the best choice for your new home.
VA loans offer extensive money-saving benefits and services that first-time borrowers will find appealing, such as no mortgage insurance, zero down payment, low-interest rates, and more. This means you can purchase a house with little to no savings with zero penalties.
Credit score requirements differ per lender and range from 580-660. This is one of the best loans available if you’re eligible for one.
USDA Loans: The U.S. Department of Agriculture, also known as USDA, offers a variety of loans to help single parents with low and moderate incomes in rural areas.
But, “rural” can be a loose term because many ZIP codes in the U.S. qualify as rural, which includes many regions surrounding popular, urbanized cities.
USDA loans have zero down payment requirements, low-interest rates, and the mortgage insurance premium is lower than FHA loans. USDA loans have income caps, so ask your lender to check if your income meets the qualifications.
Conventional Loans: Conventional loans are very common. This type of loan is best suited for salaried employees or consistent earners with a good credit score and some savings. Conventional loans can offer down payments as low as 3% if it’s your first time purchasing a house.
Which Loan Program is the Best for You?
It depends. The best low-income loans for single parents vary based on your circumstance and prospective property. In order to get the best deal available, you should consult a mortgage professional to help weigh your options.
Reach out to us by dropping a line or sending a message on our website.
* Specific loan program availability and requirements may vary. Please get in touch with the me for more information.
BUYING MORTGAGE POINTS: IS IT WORTH IT?
Buying mortgage points is a way to secure a lower interest rate during the home buying process. It can save you several thousands of dollars in interest over the life of the loan and lower your monthly mortgage payment. Check out this nifty guide to learn how they’re calculated so you can assess if purchasing mortgage points makes sense for your situation.
Mortgage Points: What are they?
Mortgage points, also known as discount points, are fees you pay your lender to reduce your interest rate when you purchase homes or refinance. You’ll give your mortgage lender cash upfront to reduce your interest rate for the life of the loan.
Should You Buy Discount Points?
If you have the budget for buying points, the decision often comes down to whether you’ll have the loan long enough to pass the “break-even point.”
The concept of the break-even point is easy to understand:
The break-even point is when the upfront fee equals the accumulated monthly savings. So let’s say that you paid $4,000 in upfront mortgage point fees, which translates to $59.70 in interest savings per month. $4000 divided by $59.70 equals 67.
That means it will take 67 months to recoup the money you paid for the points. After that, you’ll come out ahead.
So if you selling the home or refinancing the mortgage before it hits break-even, you’ll lose cash on the mortgage points you bought.
The break-even point differs, depending on the loan’s size, term, and interest rate. However, it usually takes more than just two or three years to reach it.
Is Buying Discount Points Worth It?
Most buyers make large down payments or pay extra monthly to build equity quickly and pay off mortgages earlier.
If you can’t apply the above strategy, buying discount points is an excellent option. Here, we share a list of when buying points are worth considering:
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When you don’t qualify for the lowest interest rates because of a low credit score.
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If you want the upfront tax deduction and have extra cash to put down.
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You need to reduce your monthly interest cost to reduce your monthly mortgage payment.
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You plan to keep your house for more than 5 years, giving your time to regain the cost.
Is Negotiating Points on a Mortgage Possible?
Generally speaking, the answer is yes. In most cases, mortgage professionals have the discretion to negotiate mortgage points. In fact, sometimes mortgage points are included in a quoted rate even if you didn’t request it.
Many factors in mortgage lending are variable (to a degree), and mortgage professionals use their expertise to find just the right mix for each particular situation and borrower.
Is Buying Mortgage Points the Right Choice for You?
Purchasing mortgage points makes sense since it can reduce the overall cost of your loan.
If you’re still having a hard time deciding, don’t worry, you don’t have to crunch the numbers on your own. If you need help determining if buying mortgage points is right for you, our mortgage advisors will happily lend a hand. Give us a call or send us a message on our site today.
* Specific loan program availability and requirements may vary. Please get in touch with the mortgage advisor for more information.
First Time Homebuyer Tips
Home buying can be stressful and daunting for first time homebuyers. There is just so much information, which at times can be overwhelming and confusing. Breaking it down to a simple and easy way to understand is what I do. For starters, I have a compilation of videos you can refer to every now and then and share with your friends, family and associates who may need them as well. Just click "play" button below and enjoy each video at your liesure. Then call me and let's take the guesswork out of the way.


Jonathan Caguioa
NMLS# 250609 / DRE# 01137630 Mobile: 949-241-2527

ALLIANZE MORTGAGE NMLS# 346138 / DRE# 01403147
15820 Whittier Blvd, Suite GWhittier, CA 90603