RonJeremy Posted March 7, 2008 Share Posted March 7, 2008 I just wanted to share this link with my fellow mortgage people and anyone interested. The conforming and FHA loan limit increases were just announced and can be checked on this site: https://entp.hud.gov/idapp/html/hicostlook.cfm For those of you who don't know...the conforming loan limits were increased due to the passing of the Economic Stimulis Package. Link to comment Share on other sites More sharing options...
iheartskins Posted March 7, 2008 Share Posted March 7, 2008 Hmmm--RJ, what's your break even analysis for a refi on a jumbo loan assuming a spread of about 1% above the FHA rate? Link to comment Share on other sites More sharing options...
RyansRangers Posted March 7, 2008 Share Posted March 7, 2008 here in Connecticut it didnt get raised nearly enough 440k in CT are you kidding me??? there are barely any homes worht 500k here in CT.. Just another kick in the crotch to mtg brokers in CT Link to comment Share on other sites More sharing options...
grhqofb5 Posted March 7, 2008 Share Posted March 7, 2008 Dude.... Someone please come into this thread and tell me that this is effective today. My wife and I are making a second offer on a house this Sunday and this would make everything fall into place. Link to comment Share on other sites More sharing options...
Fergasun Posted March 7, 2008 Share Posted March 7, 2008 This is stupid. Home prices are going down. Why do we need to raise the limit again? Anyone buying a home now is brave... Link to comment Share on other sites More sharing options...
grhqofb5 Posted March 7, 2008 Share Posted March 7, 2008 This is stupid. Home prices are going down. Why do we need to raise the limit again? Anyone buying a home now is brave... Its really a double edged sword. If you have the money you can get a great deal. Link to comment Share on other sites More sharing options...
DeanCollins Posted March 7, 2008 Share Posted March 7, 2008 nm............ Link to comment Share on other sites More sharing options...
Predicto Posted March 7, 2008 Share Posted March 7, 2008 This is stupid. Home prices are going down. Why do we need to raise the limit again? Anyone buying a home now is brave... It will allow re-fi's to fixed mortgages by people who can afford to stay in their homes but have an adjustable mortgage that is going to balloon. That will avoid a lot of unnecessary forclosures. Link to comment Share on other sites More sharing options...
Predicto Posted March 7, 2008 Share Posted March 7, 2008 here in Connecticut it didnt get raised nearly enough 440k in CT are you kidding me??? there are barely any homes worht 500k here in CT.. Just another kick in the crotch to mtg brokers in CT It's by county, isn't it? A good part of Connecticut went up to 708k. Link to comment Share on other sites More sharing options...
Fergasun Posted March 7, 2008 Share Posted March 7, 2008 True regarding the re-finances, but still. This is a "temporary" raise to the loan limits, right? Do you really think this is "temporary"? If people re-fi into this "temporary" category what will they do when the loan limit goes back down? I don't think this is a smart move... anyway here in CA you need 25% down to buy a house. Link to comment Share on other sites More sharing options...
Predicto Posted March 7, 2008 Share Posted March 7, 2008 True regarding the re-finances, but still. This is a "temporary" raise to the loan limits, right? Do you really think this is "temporary"? If people re-fi into this "temporary" category what will they do when the loan limit goes back down? I don't think this is a smart move... anyway here in CA you need 25% down to buy a house. I don't know if it is really temporary or not, but if people refi now, it shouldn't matter to them whether the loan limit goes back down or not. They will be in with thier fixed payments, and just have to make those payments. It provides a window that eases the refi process for people - but they still have to qualify for it. I don't think you need 25%, but maybe SoCal is different than NorCal. Link to comment Share on other sites More sharing options...
iheartskins Posted March 7, 2008 Share Posted March 7, 2008 Any thoughts on the breakeven analysis? Link to comment Share on other sites More sharing options...
RonJeremy Posted March 7, 2008 Author Share Posted March 7, 2008 Hmmm--RJ, what's your break even analysis for a refi on a jumbo loan assuming a spread of about 1% above the FHA rate? I don't know the exact closing costs for New York. I have only done one loan in New York over my career. New York has strict licensing laws for companies out of state. But....in general a 1% difference in interest rate makes it worthwhile to refinance a loan amount that was considered jumbo. Dude.... Someone please come into this thread and tell me that this is effective today. My wife and I are making a second offer on a house this Sunday and this would make everything fall into place. The new lending limits will take effect April 1, 2008 This is stupid. Home prices are going down. Why do we need to raise the limit again? Anyone buying a home now is brave... We needed to raise the limit to help people get into resonable fixed rate loans that have loan balances above $417,000. see below. It will allow re-fi's to fixed mortgages by people who can afford to stay in their homes but have an adjustable mortgage that is going to balloon. That will avoid a lot of unnecessary forclosures. Exactly. True regarding the re-finances, but still. This is a "temporary" raise to the loan limits, right? Do you really think this is "temporary"? If people re-fi into this "temporary" category what will they do when the loan limit goes back down? I don't think this is a smart move... anyway here in CA you need 25% down to buy a house. The loan limit is increased for one year. Their is no discussion if it will continue beyond that right now. Once they refi....the loan is in place. A future decrease in conforming loan limits will have NO bearing on people who already refinanced into a fixed rate loan. I don't know if it is really temporary or not, but if people refi now, it shouldn't matter to them whether the loan limit goes back down or not. They will be in with thier fixed payments, and just have to make those payments. It provides a window that eases the refi process for people - but they still have to qualify for it. 1 year raise in the limit. As far as the rest...you are correct! Link to comment Share on other sites More sharing options...
iheartskins Posted March 7, 2008 Share Posted March 7, 2008 Thanks RJ. Much appreciated. Link to comment Share on other sites More sharing options...
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