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Frequently Asked Questions |
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(FAQs) |
FAQs -- How The Mortgage Team does business
How does the loan process work at your company?
What fees to do I have to pay upfront to start the loan application process?
What states are you licensed to do business in?
What is your minimum loan size?
Are your broker and lender fees negotiable?
How long will it take before I will receive loan options?
Can you pull credit with just my name and social security number?
Will you match or beat all competing offers?
When can I lock the loan?
Is the loan program you outlined for us locked already?
What happens if I can't close by the time the interest rate lock expires?
What types of real estate do you provide financing for?
Are you able to provide VA and/or FHA loans?
Do you offer Home Equity Lines of Credit (HELOCs) or 2nd mortgages?
What are your title seasoning requirements for refinances, without taking cash out?
What are your title seasoning requirements for refinances, when taking cash out?
What's the highest LTV possible for investor loans for full doc, stated income, no ratio and no doc?
FAQs -- Bankruptcy and Foreclosure
If I had a bankruptcy, can I get a loan?
If I had a bankruptcy that was discharged less than 2 years ago, do I have to wait until 2 years have passed before applying for a loan?
If I had a foreclosure, can I get a loan?
If I had a foreclosure less than 3 years ago, do I have to wait until 3 years have passed before applying for a loan?
FAQs -- General Credit Issues
If I have a credit score below 500, can I get a loan to buy a home?
What is the minimum credit score needed for 100% financing?
If I have a credit score in the low 500's or below, but I just finished paying off a previous mortgage, can I get a new mortgage?
What single item on people's credit report most often causes their application to be denied?
Will small collections for items like doctor's bills and cell phone bills cause my loan to be denied?
I was out of work due to illness for a while and fell behind on my bills. Will the reason for the gap in employment and my resultant late payments be taken into account in the underwriting process?
FAQs -- Appraisal
Can I use any appraiser that I want?
What happens if the appraisal comes back lower than my purchase price?
Can I have a copy of my appraisal?
If I already have an appraisal, can I use it?
Who pays for the appraisal?
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FAQs -- How The Mortgage Team does business
Our procedures were designed with the idea that our customers' time and effort should be expended as efficiently as possible. We are very thorough in our data gathering initially so that we can streamline the approval process later on. Click on this link for an outline of our loan process.
There are no loan application fees or credit report fees when doing business with The Mortgage Team. If any money is required upfront by the appraiser or your insurance company, you would pay those fees directly to the respective agents.
HomeOne Mortgage, LLC is licensed to provide financing for 1-4 unit properties located in Washington, DC, Virginia, and Maryland.
Effective immediately, our office has instituted a minimum loan size restriction of $80,000 for 1st mortgage loans.
There is no minimum loan size restriction for home equity lines of credit or fixed rate 2nd mortgages.
No.
In most cases, you will receive loan options within 3 days of pulling credit. If there is something particularly tricky about your situation, we may take a few additional days. If we need more time, we will contact you within 3 days of pulling credit to let you know.
No. Our procedures require that we have a complete loan application, completed supplemental questions, and credit report before we can get into a detailed discussion of interest rates that might be available to you.
Unfortunately, we cannot accomodate these requests and dedicate the time necessary to our customers who are actively working to obtain financing.
No. We must have your complete loan application, including some additional supplemental questions, before we will pull credit.
No. It is impossible to guarantee that we will have the best interest rates or closing costs across all of the 100's of lenders that may provide the type of loan you're interested in.
If you're looking for us to guarantee the lowest closing costs or rates, or you'd like for us to be one of several lenders being played against one another to drive down your ultimate rates and fees, we are not the shop for you.
We can guarantee only one thing -- we will provide an attractive combination of competitive pricing and excellent customer service that our competition will have a very difficult time matching or beating.
Each loan program has its own requirements regarding how soon and for how long you can lock the loan. The Pricing Department will discuss your options for locking the loan after you select a loan program and fax back a signed Term Sheet.
Once you receive loan program options from the Pricing Department and fax back a signed Term Sheet for the loan program you're interested in, we will then discuss options for locking the loan with you.
We don't usually face this problem of not being able to close within the lock period, because we try to establish reasonable expectations with all people associated with the loan upfront. That allows us to be able to lock the loan with a workable cushion.
However, if something happens and we project that we will not close within the lock period, we will have to relock the loan. If that situation occurs, the Pricing Department and/or your Loan Processor will contact you to discuss what the impact of having to relock will be.
We provide investor, owner-occupied, and second home financing for 1-4 unit residential properties.
We do not offer commercial loans, but we can refer you to an affiliated company for this type of financing.
Also we cannot finance condotels, mixed-use properties, undeveloped land, mobile homes and trailer parks. We can provide financing for modular homes.
Yes.
Absolutely! Many of our first time homebuyers come to us looking for an education not only about the loan programs available, but also the mortgage process in general, and we're happy to provide both.
We understand the issues that first time homebuyers typically face when applying for their first home and we work to find options that address those issues. The first step in that process is to apply online to start the process of determining where you stand.
Title seasoning is the length of time that someone has owned a piece of property, or, in other words, has been on title to the property. Most loan programs seek to insure against loan fraud by mandating that borrowers be on title to a property for some period of time - usually 12 months - before refinancing, using the current appraised value.
Most of our loan programs are currently requiring a full 12 months title seasoning before a refinance is allowed. However, in some cases, the lender may allow you to refinance with no title seasoning restrictions within 12 months, but will limit the value of the property to the acquisition price + rehab expenses, if applicable. In other words, if trying to refinance within the required title seasoning timeframe, and the market value is higher than the acquisition price + rehab expenses, then the loan amount would be based on the lower property value.
If you're considering a situation like this, we recommend applying online so we can advise you more fully.
Maximum Loan-to-Value for Investor Loans (purchases and no cash out refinances):
Full Documentation -- 80%
Stated Income -- currently not available
No Ratio -- currently not available
No Documentation -- currently not available
Maximum Loan-to-Value for Investor Loans (cashout refinances):
Full Documentation -- 80%
Stated Income -- currently not available
No Ratio -- currently not available
No Documentation -- currently not available
The loan-to-value information above is subject to change without notice and subject to your ability to qualify for these programs.
To determine if you qualify for any of these investment programs, apply online today.
You can also email us with a specific scenario you'd like us to consider, and we'll get right back to you.
If I had a bankruptcy, can I get a loan?
Good news! It is no longer the case that having had a bankruptcy means that you cannot get a new mortgage loan. There are many factors that go into determining your ability to get a loan and bankruptcy is just one of them. The best thing to do is to apply online to see what your true options are. It is always best to know for certain than to assume that you can't get a loan.
If I had a bankruptcy that was discharged less than 2 years ago, do I have to wait until 2 years have passed before applying for a loan?
Usually, yes. However, there are some loan programs available within 2 years of discharge of bankruptcy, but the availability of these programs is waning. To see if these loan programs will work for your current financial profile and payment objectives, the best thing to do is to apply online.
If I had a foreclosure, can I get a loan?
As long as your foreclosure happened 3 or more years ago, you may have an opportunity for financing. As with a bankruptcy, there are many factors that go into determining your ability to get a loan, and the best thing to do is to apply online to see what your true options are.
If I had a foreclosure less than 3 years ago, do I have to wait until 3 years have passed before applying for a loan?
Usually, yes. Most programs will require that you be out of foreclosure no less than 3 years before it's possible to get a new loan. However, some loan programs allow for a shorter time period, so run your scenario by us to see what can be done.
If I have a credit score below 500, can I get a loan to buy a home?
Generally speaking, no. However, if you have a substantial downpayment of about 30% of the purchase price, we have some loan programs that you may be able to qualify for. Keep in mind that these programs have much higher interest rates and transaction fees; this is not an option for borrowers with limited resources. Apply online for a sense of what is possible for you.
If you are not in the position to pay a very large downpayment, you may want to improve your credit score before resuming your search for a new loan. Click here to visit an affiliated credit restoration service that you might find helpful.
It's very difficult to say without a clear look at your entire application, credit report, and objectives. However, it's true to say that your credit score should have a much larger impact on your ability to get a loan than the fact that you recently paid off a mortgage.
If you have a wrinkle to your credit profile like this, apply online for a more thorough analysis of your ability to qualify. You may also want to consider a credit restoration service that can help you address the negative entries on your credit profile. Click here to be routed to a credit restoration service that you may find helpful.
Probably the mortgage history is the biggest impediment to getting a "yes" from the Pricing Department. With the tightening mortgage guidelines in the marketplace these days, lenders are less lenient on late payments on a mortgage than they once had been.
Even borrowers with challenges on their credit report could sometimes gloss over those issues if their mortgage history were better. Having said that, it pays to review the details of your unique situation before deciding not to go forward with an application. Apply online for an indication of your options.
It depends on the overall credit profile, but, usually, no. To be more definitive, we would need you to apply online to see the entire picture.
Underwriters will generally take documented explanations into account when seeking to understand gaps in employment. However, the underwriter is generally required to use the hard numbers, like income and credit profile, at face value.
One loan program that may take extenuating circumstances into account more aggressively is FHA.
Can I use any appraiser that I want?
In most case, yes. You can choose any appraiser you like, provided that that appraiser is sanctioned by the lender.
However, we highly recommend that you consider using an appraisal company that we do a good deal of business with so that we can be sure of the quality of the work and the speed with which it is delivered.
Regardless of which appraiser you select, we make no express or implied guarantee that you will receive the value you expect. If, in fact, your desired value doesn't materialize, please understand that neither the appraiser nor HomeOne Mortgage, LLC can refund any portion of appraisal fees you may pay.
If the appraisal shows a lower value than your purchase price, you will need to contact your real estate agent, if applicable, and/or the seller to determine how to handle that situation. In most cases, the parties will agree to reduce the pruchase price accordingly, but every situation is different.
If your desired value doesn't come through, neither the appraiser nor HomeOne Mortgage, LLC can refund any portion of appraisal fees you may pay.
Yes. You have a right to a copy of your appraisal. Simply request a copy in writing and we will make a copy available to you.
Yes. You may use a copy of an existing appraisal, if it is no more than 6 months old, in most cases. The original appraiser will need to be rewrite the report in the name of HomeOne Mortgage, LLC, and that may cost you a nominal fee, but you will usually not be required to pay for another full appraisal.
Check with us to see what's warranted in your particluar situation.
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Who pays for the appraisal?
The borrower always pays the appraiser directly before or at the time of the appraisal inspection. Unfortunately, we cannot arrange for the appraiser to be paid at settlement.
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