Comments for Bailey and Wood Financial Group » Home Town Mortgage Lender http://bawfg.com Your Home Town Mortgage Lender Wed, 04 Jan 2012 19:33:39 +0000 hourly 1 http://wordpress.org/?v=3.2.1 Comment on Michael Bentley leads Bailey and Wood Holiday Drive to help families. by Michael Bentley http://bawfg.com/2011/12/michael-bentley-leads-bailey-and-wood-holiday-drive-to-help-families/#comment-7 Michael Bentley Wed, 04 Jan 2012 19:33:39 +0000 http://www.silouangreen.com/bawfg/?p=1596#comment-7 Thank you to all the staff that helped make this possible. It was truely a team effort. Thank you to all the staff that helped make this possible. It was truely a team effort.

]]> Comment on Down Payment by Bailey and Wood http://bawfg.com/question/down-payment/#comment-3 Bailey and Wood Tue, 22 Nov 2011 20:07:58 +0000 http://www.silouangreen.com/bawfg/question/down-payment/#comment-3 Most lenders offer financing programs that allow the borrower to finance up to 100% of the sales price of a new home. However, if no down payment is made, the borrower will be required to pay for private mortgage insurance (PMI), see question ten, below, for further information on PMI. If you can afford to put more money toward a down payment, it will reduce the amount of your monthly mortgage payments. Some loans programs offer 3% down payments if you meet certain income standards. The Veterans Administration (VA) and the Rural Housing Service (RHS) also offer no-down-payment loans. The lender will want to know how much money you plan to put down and the source of those funds. Sources you may draw upon include savings, stocks and bonds, pension funds, real estate holdings, life insurance policies, mutual funds, and employee savings plans. You may also use a gift of money from a family member that need not be repaid. If you do this, you will need to present a letter to your lender that states the amount of the gift, is signed by the giver, and is notarized by a third party. A gift letter "form" may be obtained from your lender. You are also now allowed to withdraw up to $10,000 from both traditional and Roth Individual Retirement Accounts (IRAs) with no early withdrawal penalty, if used towards buying your first home. Most lenders offer financing programs that allow the borrower to finance up to 100% of the sales price of a new home. However, if no down payment is made, the borrower will be required to pay for private mortgage insurance (PMI), see question ten, below, for further information on PMI. If you can afford to put more money toward a down payment, it will reduce the amount of your monthly mortgage payments. Some loans programs offer 3% down payments if you meet certain income standards. The Veterans Administration (VA) and the Rural Housing Service (RHS) also offer no-down-payment loans.

The lender will want to know how much money you plan to put down and the source of those funds. Sources you may draw upon include savings, stocks and bonds, pension funds, real estate holdings, life insurance policies, mutual funds, and employee savings plans.

You may also use a gift of money from a family member that need not be repaid. If you do this, you will need to present a letter to your lender that states the amount of the gift, is signed by the giver, and is notarized by a third party. A gift letter “form” may be obtained from your lender.

You are also now allowed to withdraw up to $10,000 from both traditional and Roth Individual Retirement Accounts (IRAs) with no early withdrawal penalty, if used towards buying your first home.

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