Benefits of Homebot.ai for Potential Homebuyers

Homebot.ai Benefits for Potential HomebuyersCustomized Home Search: Potential buyers can receive alerts on new listings based on their preferences, along with market insights.Financial Planning: Homebot helps users understand affordability, monthly payment estimates, and what they can expect with different down payments.Neighborhood Insights: Buyers get insights into areas of interest, including property appreciation rates, market conditions, and neighborhood amenities.Mortgage Education: Homebot provides tools and calculators to help potential buyers learn about mortgage rates and terms that suit their budget and goals.These features empower homeowners to make informed decisions about their investments and offer potential buyers a well-rounded view of their financial and real estate options.To sign up for Hoembot.ai for free go the go to following link: https://hmbt.co/Mck4hYYou can also download the app and use the code: reggie6654

Atlanta-Sandy Springs-Alpharetta Housing Early Q-4 Trends

Housing Trends for the last quarter of 2024. Great information for buyers and sellers.

Down Payment Assistance is Available Nationwide! Get Yours!

Looking to purchase a home? Great news! Down payment assistance is available nationwide and it's not just for first-time homebuyers. Discover the options available to you in your area. Click the link below to explore your possibilities.https://www.workforce-resource.com/dpr/lopmt/DPC/REGGIE_GRAHAM_1

Real Estate Terms Every Buyer Should Know.

Real Estate Terms Every Buyer Should Know.

Why Fall is a Good Time to Purchase a Home

Benefits of Buying a Home During Fall.

5 Ways to Improve Your Home’s Value

How to improve your home's values and appearance before putting it on the market.

Benefits of 100% Mortgage Financing!

There are some advantages to 100% mortgage financing, also known as a zero-down payment loan. These include:* Faster path to homeownership: You can buy a home sooner without needing to save up a down payment.* Increased flexibility: If you have saved some money, you can use it for other expenses, such as renovations, moving costs, or a financial safety net.* Potentially lower monthly payments: With no down payment, you may qualify for a lower monthly payment, especially if you have good credit.

5 Great Reasons for Bank Statement Loan

5 Great Reasons for Bank Statement Mortgage LoanWhat Is a Bank Statement Mortgage Loan?First, let’s define what a bank statement mortgage is.A bank statement loan is a type of mortgage loan that uses bank statements instead of tax returns to determine a borrower’s income. This is particularly useful for self-employed individuals or those with variable income sources who may not have the traditional income documentation required for a standard mortgage.Benefits of Bank Statement LoansNow let’s dive into the reasons why a bank statement mortgage may be a good choice for your client:1.      No tax returns required. With a bank statement mortgage, your client won’t need to provide tax returns as proof of income. This can be a significant advantage for self-employed individuals who may not have traditional income documentation or who have fluctuating income sources.2.    Greater flexibility. Bank statement mortgages typically offer greater flexibility in terms of credit requirements, debt-to-income ratios, and down payment requirements. This can make it easier for your clients to qualify for a loan, even if they have less-than-perfect credit or limited funds for a down payment.3.    Competitive rates. While bank statement mortgages may have slightly higher interest rates than traditional mortgages, they are typically still competitive. And, because the borrower is providing more information about their financial situation, the lender may be more willing to negotiate on rates and terms.4.   Fast processing. Because bank statement mortgages require less documentation, they can often be processed more quickly than traditional mortgages. This can be a significant advantage for clients who need to close quickly, such as those purchasing a home in a competitive market.5.    More opportunities for homeownership. For many borrowers, a traditional mortgage simply isn’t an option. Bank statement mortgages offer a way for these individuals to achieve homeownership and build equity.

Peach State Veterans Assistance Program – By Georgia Dream

The Georgia Dream Peach Select Veterans Assistance Loan Program is an extension of the Georgia Dream initiative, which aims to make homeownership more accessible to Georgians. It was launched by the Georgia Department of Community Affairs (DCA), and will provide greater assistance for veterans looking to buy a home in Georgia. The program offers a low interest rate and no down payment assistance.The program has the following minimum requirements: Minimum borrower investment: $500, Maximum loan-to-value ratio: 100%, Minimum credit score: 640, and Debt-to-income ratio determined by the Automated Underwriting System. This program is currently offering a 5.00% Fixed Rate on a 30-year Term! Interest Rates are updated Weekly! Contact us to for more information to get prequalified and reserve your funds!Hey Georgia Veterans. Let's have a conversation!https://reggiegraham.lender.marketing/[email protected]: 404.461.3172 Office: 678.968.0444

Tax Returns and Mortgage Loan Approvals

Tax returns play a significant role in the mortgage loan application process. Lenders often require borrowers to provide their tax returns as part of the documentation needed to assess their financial stability and determine their eligibility for a mortgage loan. Here are some key reasons why tax returns are important in the context of mortgage loans:Income Verification:Tax returns provide a comprehensive overview of an individual's or a couple's income.Lenders use this information to verify the borrower's income stability and capacity to repay the loan.Debt-to-Income Ratio (DTI):Tax returns help in calculating the debt-to-income ratio, which is a crucial factor in mortgage loan approval.The DTI ratio is the percentage of a borrower's gross monthly income that goes towards paying debts. Lenders use this to assess the borrower's ability to manage additional debt, such as a mortgage.Creditworthiness Assessment:A consistent and sufficient income reflected in tax returns is an indicator of financial responsibility, which contributes to a positive creditworthiness assessment.Lenders use credit scores and income information to evaluate the risk associated with lending to a particular borrower.Documentation for Self-Employed Borrowers:For self-employed individuals, tax returns are crucial documentation because they provide a detailed record of income and expenses.This helps lenders assess the stability and profitability of the borrower's business.Completeness of Financial Picture:Tax returns provide a comprehensive picture of an individual's financial situation, including sources of income, deductions, and other financial transactions.This information helps lenders assess the overall financial health of the borrower.Government Compliance:Lenders may require tax returns to ensure compliance with government regulations and to adhere to industry standards.It also helps prevent fraud by verifying the accuracy of the information provided by the borrower.Loan Program Eligibility:Different mortgage loan programs have specific eligibility criteria, and tax returns help determine whether borrowers meet the requirements for these programs.Underwriting Process:Tax returns are a key component of the underwriting process, where lenders evaluate the risk associated with a loan and determine whether to approve or deny the mortgage application.In summary, tax returns are crucial in providing lenders with a detailed and accurate representation of a borrower's financial situation. This information is essential for making informed decisions about mortgage loan approvals and ensuring the financial stability of the borrower.

What are closing costs?

A mortgage loan involves various costs beyond the principal amount you borrow, and two key components are the down payment and closing costs.Here's an explanation of the difference between them:Down Payment:Definition: The down payment is a percentage of the home's purchase price that the buyer pays upfront from their own funds. It is not included in the mortgage loan amount.Purpose: The down payment demonstrates the buyer's financial commitment to the purchase and reduces the lender's risk. It also helps determine the loan-to-value ratio (LTV) – the loan amount relative to the property's value.Amount: Down payment percentages vary but commonly range from 3% to 20% of the home's purchase price. Some government-backed loans may require lower down payments.Closing Costs:Definition: Closing costs are fees and expenses associated with the process of finalizing the real estate transaction. These costs are incurred by both the buyer and the seller.Components: Closing costs may include fees for services like appraisal, title search, attorney fees, loan origination, home inspection, and escrow services. Additionally, there may be prepaid items like property taxes and homeowners insurance.Amount: Closing costs typically range from 3% to 5% of the home's purchase price. The exact amount varies based on factors like location, loan type, and the specific services required.In summary, the down payment is the initial lump sum paid by the buyer when purchasing a home, expressed as a percentage of the home's price.On the other hand, closing costs encompass various fees and expenses associated with the home buying process and are incurred by both the buyer and the seller.While the down payment is part of the buyer's upfront investment, closing costs are additional fees paid to third parties involved in facilitating the real estate transaction.

Thrive4Home

Thrive Mortgage's in house credit consultation and restoration program. Monthly updates and accountability partners for all our clients and partners.

Mortgage Loan Do’s and Don’ts

Prequalification vs Preapproval

Mortgage preapproval and prequalification are terms often used in the home-buying process, but they have distinct meanings and implications. Here's an overview of the differences between the two:Prequalification:Definition: Prequalification is an informal assessment of your financial situation. It involves providing a lender with basic information about your income, debts, assets, and credit score.Process: The lender uses the information you provide to estimate how much you might be able to borrow. This process is generally quick and may be done online or over the phone.Reliability: Prequalification is not a guarantee of a loan. It's based on the information you provide, and there's typically no verification process at this stage. It gives you a rough idea of your purchasing power.Preapproval:Definition: Preapproval is a more formal process where a lender evaluates your financial information in more detail. It often involves submitting documentation such as pay stubs, tax returns, and bank statements.Process: The lender reviews your credit report and verifies the information you provided. The preapproval process is more thorough and provides a more accurate assessment of your borrowing capacity.Reliability: A preapproval is a more solid commitment from the lender. While it's not a guarantee of a loan, it carries more weight than a prequalification. Sellers may view offers from preapproved buyers more favorably.In summary, prequalification is a preliminary step that provides an estimate of your borrowing capacity based on the information you provide, while preapproval is a more in-depth process involving verification of your financial documents. A preapproval is generally considered a stronger indicator of your ability to secure a mortgage, and it can give you a competitive edge when making an offer on a home. However, it's important to note that even with a preapproval, final loan approval is contingent on additional factors, such as a satisfactory appraisal of the property you intend to purchase.

What is (DTI) Debt-To-Income Ratio?

The Debt-to-Income (DTI) ratio is a crucial financial metric that lenders use to assess an individual's or household's ability to manage monthly mortgage payments. It is a key factor in determining eligibility for a mortgage loan. The DTI ratio is expressed as a percentage and represents the relationship between a borrower's monthly debt payments and their gross monthly income.Here's how to explain the Debt-to-Income Ratio for a mortgage loan:Definition of DTI Ratio:The Debt-to-Income (DTI) ratio is a financial metric that compares the amount of your monthly debt obligations to your gross monthly income.Components of DTI:The numerator (top part) of the ratio includes all your monthly debt payments. This typically includes your mortgage payment, car loans, credit card payments, student loans, and any other monthly debt obligations.The denominator (bottom part) is your gross monthly income, which is your total income before taxes and other deductions.Calculation:The DTI ratio is calculated using the following formula:DTI Ratio= (Total Monthly Debt Payments Gross Monthly Income) ×100DTI Ratio= (Gross Monthly Income(Total Monthly Debt Payments​) ×100Interpretation:A lower DTI ratio is generally preferred by lenders as it indicates that a smaller portion of your income is dedicated to debt payments.Lenders usually consider two types of DTI ratios: Front-End DTI and Back-End DTI.Front-End DTI: Considers only housing-related expenses (mortgage, property taxes, homeowner's insurance). A ratio of 28% or lower is often acceptable.Back-End DTI: Considers all monthly debts. Lenders often prefer a ratio of 36% or lower, although some may accept higher ratios depending on other factors.Impact on Mortgage Approval:Lenders use DTI as one of the key factors in assessing your ability to afford a mortgage.A lower DTI ratio suggests a lower financial risk, making you a more favorable borrower.Improving DTI Ratio:To improve your DTI ratio, you can either increase your income, reduce your monthly debt payments, or both.Considerations:While DTI is an important factor, lenders also consider other factors like credit score, employment history, and down payment.Understanding and managing your Debt-to-Income ratio is crucial when applying for a mortgage, as it directly impacts your ability to qualify for a loan and influences the terms and interest rates you may be offered.

What is Down Payment Assistance?

Down payment assistance (DPA) programs are designed to help homebuyers cover a portion of their down payment or closing costs when purchasing a home. The down payment is a percentage of the home's purchase price that the buyer must pay upfront, and it is typically a significant barrier for many potential homeowners. DPA programs aim to make homeownership more accessible by providing financial support. Here's how down payment assistance generally works for mortgage loans:Identification of Eligible Candidates:DPA programs often have specific eligibility criteria based on factors such as income, credit score, and property location.These programs may target first-time homebuyers, low-to-moderate-income individuals, or those purchasing homes in designated areas.Application Process:Homebuyers interested in down payment assistance need to apply for the program.Applications may require documentation of income, assets, and other financial information to determine eligibility.Approval and Funding:Once approved, the DPA program provides financial assistance in the form of a grant, loan, or deferred payment.The funds are typically reserved for the down payment or closing costs associated with the home purchase.Types of Assistance:Grants: Some programs offer grants, which do not need to be repaid. These grants can cover a percentage of the down payment or closing costs.Loans: In some cases, assistance is provided in the form of a low-interest or forgivable loan. This means that the borrower may be required to repay the assistance under certain conditions or that the loan is forgiven after a specified period.Restrictions and Requirements:DPA programs often have restrictions and requirements, such as a commitment to living in the home for a certain period, maintaining it as a primary residence, or meeting specific financial criteria.Coordination with Mortgage Lenders:Homebuyers, along with their mortgage lenders, work in coordination with the DPA program to ensure a smooth transaction.The DPA assistance is typically applied at the closing of the home purchase.Repayment or Forgiveness:Depending on the terms of the assistance, borrowers may need to repay the assistance amount if they sell the home within a certain timeframe or under specific conditions. Alternatively, some programs forgive the assistance over time.It's important for potential homebuyers to research and understand the specific requirements and terms of the down payment assistance program they are considering. These programs can vary significantly based on location and the organizations that administer them. Consulting with a mortgage professional or housing counselor can also provide valuable guidance throughout the process.

How does a Buydown work?

A buydown is a financial arrangement where a borrower pays an additional amount of money upfront to reduce the interest rate on a loan for a specific period. This is commonly used in the context of mortgage loans, but it can apply to other types of loans as well. The purpose of a buydown is to make the initial payments more affordable for the borrower.There are different types of buydowns, but the most common ones include:Temporary Buydown (or Interest Rate Buydown): In this type of buydown, the borrower pays an upfront fee to the lender or a third party, which is then used to subsidize the interest rate for a specified period. For example, a 2-1 buydown might lower the interest rate by 2% in the first year and 1% in the second year before reverting to the original rate from the third year onwards.Permanent Buydown: With this type, the borrower pays additional upfront points to permanently reduce the interest rate over the entire term of the loan.Down Payment Buydown: In some cases, a third party, such as a home builder or seller, may contribute funds to reduce the borrower's down payment, effectively acting as a buydown.Here's a simplified example of how a temporary buydown works:Let's say you have a 30-year fixed-rate mortgage with an interest rate of 5%, but you opt for a 2-1 buydown. In the first year, you might pay an interest rate of 3%, in the second year 4%, and from the third year onward, the rate returns to the original 5%.The additional upfront payment made by the borrower is typically calculated based on the difference between the original interest rate and the reduced rate for each period. The specific terms of the buydown, including the duration and the amount of reduction, vary depending on the agreement between the borrower, lender, and any third party involved.It's important for borrowers to carefully consider whether a buydown makes financial sense for their situation, taking into account the upfront costs and the long-term benefits.

Chenoa Down Payment Assistance Program

The Chenoa Down Payment Assistance Program is a nationwide program that provides down payment and closing costs assistance for first time and repeat homebuyers as long as it is going to be the primary residence and all loan applicants meet the median credit score of at least 600. The Chenoa program is available to be used in conjunction with FHA, USDA and Conventional mortgage loans.

Fix and Flip Loans for Investors

At Thrive Mortgage we have the ability to finance Fix and Flip properties new and experienced real estate investors.

Georgia Dream Down Payment Assistance Program

Georgia's statewide down payment assistance program for low to moderate income families. The program currently provides down payment assistance between $10,000 to $12,500, based on the borrower's employment and income type. The minimum median credit score for the program is 640. Target counties do not require buyers be a first-time homebuyer. Contact us to find out if you qualify.Georgia Dream Down Payment Assistance is a program offered by the Georgia Department of Community Affairs (DCA) to help eligible homebuyers with their down payment and closing costs when purchasing a home. The program is designed to make homeownership more affordable and accessible for first-time homebuyers in the state of Georgia.To qualify for the Georgia Dream Down Payment Assistance program, applicants must meet certain eligibility criteria, which may include:Being a first-time homebuyer or not having owned a home in the past three years.Meeting certain income limits.Completing a homebuyer education course.Using an approved lender and loan type.The program provides financial assistance in the form of a second mortgage that can be used towards the down payment and closing costs associated with purchasing a home. The amount of assistance available and the specific terms of the second mortgage vary depending on the applicant's income and other factors.

Rates Have Fallen

Rates have fallen below 7% for the first time since August of 2023. This is good news whether, you are looking to buy, sale or refinance.