Grand Rapids Mortgage Company

President Barack Obama announced HARP 2.0, a revised form of the Home Affordable Refinance Program, back in December.  Which is some great news for underwater homeowners.  What exactly is this program though and what are the qualifying guidelines to take advantage of the program?

To begin, a quick history lesson on HARP.  It was first introduced back in 2006 by the Federal Housing Finance Agency.  The goal was to allow homeowners with a loan-to-value (LTV) ratio higher than 80% to refinance without worrying about payments on mortgage insurance.  Later within the same year, the LTV cap was raised up to 125% allowing countless Americans to take advantage of the program.

Once December 2011 rolled around, President Barack Obama expanded the Home Affordable Refinance Program until December 31, 2013.  The program was thus dubbed, HARP 2.0.  A few key changes to the program came along with this extension as well.  All of which are meant to further benefit homeowners in tough situations with their current mortgage situations.

The biggest change instituted was the elimination of the LTV cap, previously set to 125%.  Now all homeowners in an “underwater” situation have the option to refinance as long as they meet just a few criteria:

• Mortgage is owned or guaranteed by Fannie Mae or Freddie Mac.
• The mortgage was fully completed on or before May 31, 2009.  Anytime after is not deemed acceptable.
• Owner must NOT have a previous HARP refinance of the mortgage.  UNLESS the loan is owned/guaranteed by Fannie Mae which was refinanced under HARP between March and May of 2009.
• The homeowner must be current (on-time) with their mortgage payments.  No 30-day late payments anytime in the last six months and no more than one late payment in the past 12 months.
• MUST benefit from the loan through lower monthly payments or the move to a more stable product.

If you fit the criteria for HARP or actually don’t know if you meet the criteria you can get ahold of certified loan officers who could go through the information with you over the phone or via email.  That way it can be properly determined if you can take full-advantage of HARP 2.0.

What’s one thing Michigan has plenty of yet?  That would be an abundance of land.  You can look at the statistic of forest-based land alone in the state and you’ll realize how much we have.  Compared to most other states, we have one of the highest amounts of untamed land still available.

Untamed forests cover our mitten state, Michigan houses 19.3-million acres of pure forest, which equates to about 53% of the entire state.  18.6-million of those acres are labeled as “timberland.”  This land provides several benefits to us that most people don’t often consider or think of.

It’s estimated jobs based-off of this land alone brings in about $19-billion per-year and helps support upwards of 200,000 jobs state-wide.  There are other benefits to this land though.  Many Michiganders love the outdoors; they love the wilderness and being deeply rooted within the forest.  Whether that means keeping a cabin on that land, using it for camping, hunting or even land for big-boy toys like ATV’s and snowmobiles; there are plenty of options available for any land you may own.

When someone says “Up North,” what do you think of?  I’m sure most would imagine lush-vibrant land, cabins, camping and maybe family adventures.  Though those visions are true, those same experiences are available much closer to home than you probably thought of.

Let’s say you’re from Grand Rapids.  Head in almost any direction and pretty quickly you’ll find a mass-abundance of land available.  This is something that could be said for any part of our state.  Looking for some land near the city but year also near Lake Michigan?  There’s plenty of those options available up-and-down the coastline.  Maybe you’re looking for a place that is truly secluded from the rest of society but don’t want a four-hour trip across the state.  All you need to do is open-up Google Maps and select and area of the state.  You’ll easily find what you’re looking for.

We specialize in Michigan land loans and specifically raw acreage throughout the state.  So if you’re looking for land in any area of the state including Northern Michigan, we can help you out.  Call: 1-800-555-2098. Or fill out the email form below.

Riverbank Finance LLC provides tips on comparing the options to buy vs rent in Michigan. Decide for yourself what is best for your situation.

Riverbank specializes in land loans in Michigan for buying land, vacant land or hunting land. They offer mortgage terms up to a 30 year fixed with current land loan rates around 5.00 to 6.00 percent. Many clients decide to pay off their land mortgage within 5 years or 60 payments can take advantage of a 5/1 ARM which is fixed for 5 years with some of the lowest land loan rates available. The rule of thumb is the shorter the length, the lower the interest rates so choose what is best for you.

Today is an fantabulous time to purchase land in Michigan. There has not been a period of time in our lifetimes better to purchase hunting land or to acquire farm land. Property values have dropped significantly over the past a couple of years and land loan rates are also very attractive. While there are few land loan lenders in Michigan, they are able to offer outstanding funding programs. We recommend a Michigan Land Loan for financing.

Top 3 Problems for borrowers Purchasing Land

Loans on land are inherently more risky for lenders because there is less demand for these properties. As long as new home construction is slow, many people are not looking to buy land that they can build on. If a land lender has to foreclose on a property then they may have a difficult time selling the land to recover their money. Land typically takes longer to sell than land with homes therefore many lenders do not offer land loan options.

At Riverbank Finance LLC or minimum credit score is a 660 credit score to buy land or get a land mortgage but typically our investors would like to see higher credit scores. Credit score requirements to purchase land may can be an issue if you have recent late payments on other loan obligations or lower credit scores. If your credit score is under a 660 and considered low you should do what you can to improve your credit score before attempting to purchase land in Michigan. This will help you to have lower land loan rates and lower payments when you do buy land.

Down payments may be another issue for those interested in purchasing land in Michigan. Most land lenders require 20% for your down payment. For example, if you are buying 20 acres of vacant land for $100,000, you would need a down payment of $20,000 in addition to the costs associated with closing.

An accomplishment that you can pass down through the generations of your family tree is owning land. We will eventually run out of land and it will become our most valuable resources and the price to buy property will rise. Once you buy land it can be passed down for generations for your grandchildren to hunt or grow farm crops.

For those that want to purchase land in Michigan give Riverbank a phone call at 800-555-2098 and get pre-approved for a vacant land loan now!

While taking out a mortgage, the lower the interest rate on the mortgage, the better and easier to will be for you to manage the mortgage payments. Now, you will be able to get a low interest rate mortgage and a longer loan term with other affordable terms and conditions only if you have a good credit score. Now, you may ask what a good credit score is.

Credit score for home mortgage

A minimum of 500 in credit score is required in order to get a mortgage. But, if you really want to get a home loan with much better offers, it is important for you to have a credit score above 730. The more your credit score, the better it is for you to have low interest rate mortgage.

However, it is not only the credit score that is important but it is also important for you to have a clean and good credit history and report.

Getting the right home mortgage

Purchasing a new home with the help of a mortgage is in itself a confusing and complex task. There are various things that is important for you to understand in order to get the right mortgage. The most important thing that you need to know is the credit score that you should have
in order to get a mortgage with affordable terms and conditions.

Whenever you apply for a new loan, the lenders check with your credit report and your credit score. Depending n your credit report and
score, the lenders determine whether or not you are a high risk borrower or a low risk borrower. The higher your credit score and the better your credit report, the low is the risk of borrowing you money. There is some assurance that you are a responsible person and that you will be making regular payments against the mortgage that you are going to borrow. Thus, the lender offers you the home loan at a considerably low interest rate.

A low interest rate on your home loan helps you save money against you mortgage payments. It becomes easier for you to manage the payments and thus you are able to make the timely payments. This again helps you in improving your credit all the more. So, the best thing to do is to check with your credit score before applying for a mortgage in order to finance your home.