For the first time home buyer in Ft. Lauderdale, FL, even one with little to no credit history, there are several options when it comes to getting approved for a mortgage.  Several government agencies back mortgages; that is, they insure the mortgages against default, which makes lenders much more willing to work with Fort Lauderdale borrowers that represent varying degrees of risk.

Conventional 97, 3% Down Payment Loan

Offered by Fannie Mae, the Conventional 97 loan only requires the buyer to make a down payment of 3%, with Fannie Mae guaranteeing the other 97% of the loan (hence the name).  The agency requires a minimum credit score of 680 to qualify for this loan, however, if funds received as a gift are used to fund the down payment, the minimum credit score requirement is bumped up to 740.  Further, the total loan must not exceed $417,000, the property involved must be a single-unit property, and the mortgage must be a fixed rate mortgage.  Funds received as a gift may only come from individuals that maintain a significant relationship with the Ft. Lauderdale buyer, like a spouse, domestic partner, or fiance/fiancee, or be related to the borrower by blood or marriage.

FHA 3.5% Down Payment Loan

The Federal Housing Administration (FHA) will back loans up to 96.5%, requiring a 3.5% down payment from the borrower in Ft. Lauderdale, FL.  This is a greater down payment than a Conventional 97, but it is substantially easier to qualify for an FHA loan over all.  The FHA only requires a minimum credit score of 500, which is unaffected if gift funds are used to fund a down payment, and doesn’t require any special relationship between the gifter and giftee in order for the funds to qualify.  There is a total mortgage cap of $625,000, but the FHA will work with borrowers buying homes up to $729,750 if the home exists in a designated high cost area.  A monthly Mortgage Insurance Premium is charged each month.

Check My Florida FHA Streamline Refinance Eligibility

USDA 0% Down Payment Loan

Many Ft. Lauderdale buyers are surprised to learn that the U.S. Department of Agriculture (USDA) also backs loans.  Not only does the agency back loans, but it also features considerably more relaxed standards than the Conventional 97 and FHA loan programs.  For example, there is no maximum purchase price, certain home improvements may be included in the loan, and borrowers qualify based on where they want to live.  There is also a monthly Mortgage Insurance Premium charged each month, but USDA loans tend to carry the lowest interest rates among low and no down payment programs.

VA 0% Down Payment Loan

The U.S. Department of Veteran’s Affairs (VA) offers to back loans for Ft. Lauderdale military veterans and active duty personnel, as well as spouses of these individuals killed in the line of duty.  The agency requires no down payment and no Monthly Insurance Premium.  Loans are also capped by the agency, but the cap is increased for buyers in high cost areas.  Because the loan is a benefit of military service, even buyers with derogatory credit histories can qualify.

To find out what loan options are the best for them, Ft. Lauderdale first time home buyers should speak with a Certified Mortgage Professional.

Going green is not just a new trend; it is a way of life that benefits not only the environment, but also your health — and your pocketbook.

Green living cuts down on carbon emissions and creates a healthier environment both inside and outside of a home. While green structures sometimes cost more initially, the money (and environment) saved in the long run is well worth the investment.

Health Benefits

Owning a green Lake Mary home has significant health benefits. Many conventional buildings are not properly ventilated and indoor air quality is often more polluted than the air outside.

Poor air quality is bad for your health and can aggravate asthma and allergies. Certified green properties tend to have excellent airflow and ventilation. They also use toxin-free materials in building and tend to have fewer problems with mold and mildew.

Environmental Benefits

Homes are responsible for a significant portion of the carbon emissions on earth. A green home has a smaller carbon footprint since it is built with better insulation and fitted with energy-efficient appliances.

Green structures are built from sustainable or recycled materials that are meant to lower the impact on the environment. Proper green buildings also take advantage of natural lighting and airflow to reduce the use of electricity to light and to help warm and cool their interiors.

Financial Benefits

Green buildings are constructed to use less energy, which means you should pay less in energy costs. Ventilation systems in green structures are better insulated to reduce air leakage.

Builders also install fixtures that conserve water and are energy efficient. The initial cost might be slightly higher, but the monthly bills can be cut almost in half in many cases.

There are even more financial, environmental and health benefits to owning a green property. Living in a green home can allow you to save yourself money and help the earth, all while living in a healthy environment.

If you’re looking to purchase a new house, consider a green property. If you have any questions on current green properties available in the local market, please call your trusted real estate professional right away.

Everyone knows that first impressions are important. By carefully staging your home, you can positively influence the feelings your potential buyers have when they are viewing the property.

Staging is the art of decorating and arranging the spaces within your house to make it more appealing to buyers. If you can adapt the rooms to create an attractive and welcoming zone that home buyers can see themselves in, they will be more likely to buy your property.

One of the most important rooms to stage is the living room, because it is such a central part of the house. This is where a lot of the social activity occurs, so it should appear comfortable and welcoming.

Here are some tips to keep in mind when staging your living room before the next showing of your home:

• Clear out the clutter. The most important step is to de-clutter, because a mess will turn off potential buyers. Clear away any papers, toys and other items to make your living room as clean and minimalist as possible.

• Go zen. The main purpose of a living room is for relaxation, so make the space look as comfortable as possible. Try a soft throw on the sofa, plush cushions and a big chair that is just begging you to come curl up with a book.

• Strategically place furniture. Arrange the living room furniture to create areas of conversation, such as two sofas facing each other with a low coffee table in the middle.

• Depersonalize. Remove your personal items. If you have too many family photos and personal effects in the room, it can make it difficult for your potential buyers to imagine their own family living there.

• Remove the bulk. If your living room feels small, you can remove some of the furniture to give it the illusion of being bigger.

• Channel your green thumb. You might want to consider bringing in some plants to make the space feel fresh.

• Brighten it up. If your living room has dark corners, invest in upright lamps that will help illuminate the space and provide an aura of intimacy.

With these seven tips, the living room in your Longwood home will be much more appealing to potential buyers.

If you are ready to get your home sold, call your trusted real estate agent for a personal consultation to get the best return on your real estate investment.

Mortgage rates rose last week with average rates a 30-year fixed rate mortgage rising from last week’s 3.35 percent to 3.42 percent with buyers paying all closing costs and 0.7 percent in discount points.

Average rates for a 15-year fixed rate mortgage rose from 2.56 percent to 2.61 percent with buyers paying their closing costs and 0.7 percent in discount points.

Freddie Mac also reports that average rates for a 5/1 adjustable rate mortgage rose from 2.56 percent last week to 2.58 percent with buyers paying their closing costs and 0.5 percent in discount points. 

Here are noteworthy points from last week’s economic news:

Monday:  In spite of improving economic conditions, a majority of participants in the Senior Loan Officer Opinion Survey on Bank Lending Practices indicated that their lending institutions would not be relaxing residential mortgage lending standards. Lenders perceive a significant risk in terms of being required to absorb losses incurred on defaulted mortgage loans. 

Mortgage owners including Fannie Mae and Freddie Mac, along with mortgage insurance companies can require mortgage lenders to buy back defaulted loans or make them whole for losses related to foreclosed and otherwise defaulted mortgage loans.

Tuesday: CoreLogic reported an increase of 1.9 percent in national home prices for March. This news represents the 13th consecutive increase and a year-over-year increase of 10.5 percent.

Home prices were boosted by strong increases in the West; Nevada posted a 22.2 percent gain from last March and California posted a 17.2 percent year-over-year gain. 

CoreLogic predicted a year-over-year increase of 9.6 percent for home prices for April, with a monthly increase of 1.3 percent increase expected between March and April.

Thursday: Weekly jobless claims brought good news as they came in at 323,000; this was lower than expectations of 335,000 new jobless claims and the 327,000 new jobless claims reported in the prior week.

Friday: The Treasury Department reported that the federal budget has a surplus of + $113 billion for April. This was $54 billion higher than for April 2012 and the highest monthly surplus since April, 2008.

Increasing home values and federal budget surpluses, along with falling consumer debt pointed the way toward overall as well as personal economic recovery last week.

What‘s Coming Up 

This week brings a couple important economic reports affecting the real estate industry including the Home Builders Index on Wednesday and the Weekly Jobless Claims and Housing Starts numbers released on Thursday.

The Consumer Sentiment and Leading Indicators reports will round out the week on Friday. Consumer Sentiment is important in terms of housing markets and mortgage lending; consumers typically don’t buy homes or move up to a larger home if they aren’t feeling secure about economic conditions. 

This week’s economic data may provide further evidence of a stronger U.S. economy as well as a snapshot of retail spending and consumer costs.

RealtyTrac recently reported that national foreclosure filings are down while foreclosure filings are seeing marked increases in some states.

There are two systems for foreclosing residential real estate in the United States; judicial and non-judicial foreclosure. The states individually decide which foreclosure process will be followed in their state.

Click Here To Download An Overview Of The Foreclosure Process

Judicial foreclosure requires action by the courts because the mortgage is not written including a “power of sale clause”. Judicial foreclosure proceedings generally take longer than non-judicial processes due to this court involvement.

A log-jam of delayed judicial foreclosures are beginning to move through backlogged courts with the result of higher numbers of foreclosures started, foreclosure auctions scheduled, and properties either sold to third parties at foreclosure auctions or repossessed by mortgage lenders.

In states allowing non-judicial foreclosure, the matter may be handled outside of the judicial system as the mortgage is written with the power of sale clause which allows the lender to take control of the mortgaged property to satisfy the outstanding lien.

Here are highlights of April’s foreclosure report:

Nationally, 144,790 foreclosure filings were made in April, a decrease of 5 percent compared to March and representing an annual decrease of 23 percent year-over-year. 

Overall, April’s residential foreclosure activity was at its lowest since February 2007. About one of every 905 U.S. housing units had a foreclosure filing during April.

Due to the aforementioned backlog of judicial foreclosures, scheduled foreclosure auctions hit a 30-month high in April rising by 22 percent between March and April.

Some states had markedly higher rates of foreclosure sales scheduled in April 2013 as compared to April 2012. Examples include Maryland (+199 percent), New Jersey (+91 percent), Ohio (+73 percent), Oklahoma (+57 percent), and Florida (+55 percent)

Foreclosure auctions scheduled in non-judicial states were 7 percent lower in April as compared to March, and were an encouraging 43 percent lower in April 2013 as compared to April 2012; this was the lowest reading for non-judicial foreclosure sales scheduled since December of 2005.

Non-judicial foreclosure sales were impacted in some states as the result of legislation affecting foreclosure procedures. Affected states included Arkansas, California, Nevada, Oregon and Washington.

70,133 U.S. homes went into foreclosure in April 2013, which is 40 percent lower than for March 2013 and 28 percent lower than during April 2012.

With home values increasing and large numbers of delayed foreclosures clearing the books, this data offers further evidence that the U.S. real estate market is steadily improving.  As more foreclosures are removed from the housing inventory, home prices should continue to stabilize and increase in the Longwood area.