According to CNN Money, Congress will be considering raising FHA down payment requirements, approving higher insurance fees for FHA mortgages, and changing
IT’S TIME TO RELAX, WE CAN MANAGE
rules for ‘qualified’ mortgages. This could mean higher interest rates for consumers and higher down
REAL ESTATE
But a recent Obama Administration white paper on the mortgage industry hints that this very low down payment might change as the federal footprint in the mortgage market shrinks.
payments, perhaps up to 30 percent. With its low down payment requirements, low interest rates, and lower credit score requirements, FHA now has a 30 percent market share in the mortgage arena but plans are to reduce its activity to just 10 percent. Administration officials say the planned process could take some time, but it might include phasing out federal backing of Fannie Mae and Freddie Mac. Since the mortgage crisis began, the government has bailed out the federally backed entities to the tune of $150 billion.
POA Management Associates offers full service management for Northern Virginia Townhouse and Single-Family Homeowners Associations. We personalize services tailored to your community’s needs and budget and cover all aspects of Community Association Management, Accounting and Architectural Functions.
Contact Terri Hillaert (703) 938-8761 poa-management@cox.net www.poa-management.com
POA Management Associates
Other Services Available Include: • Financial Only Services • Reserve Studies • Resale Disclosure Packages • Organization of Historical Records • Web-site Maintenance
Serving Northern Virginia Homeowners Associations since 1985
How to qualify: If you are interested in buying a home with an FHA mortgage, it’s important to determine whether you have a favorable mortgage expense to income ratio. Here’s how to calculate whether you would qualify for the maximum ratio of 29 percent.
Renneye + Rotonda = Results!
Say the total monthly payment on the home would be $750, including hazard insurance, mortgage insurance, homeowners dues, etc. Then, say the borrower’s gross monthly income, including spouse income if married, comes to $2,850. Divide the house payment by the monthly income. In this case, it would produce an expense to income ratio of 26.32 percent or well below the 29 percent maximum.
Renneye L. Pike Associate Broker ABR, CRS, GRI, SRES
Lifetime Member NVAR Multi-Million Dollar Sales Club Lifetime Member NVAR Top Producers Club Direct: 703.281.6424 Email: rpike@mcenearney.com www.rotondaresults.com
Buying or Selling...your search for a TYSONS location should always include a conversation with Renneye. She’s owned condos at the Rotonda since 1988 and is always in the loop of the changes in our TYSONS landscape and knows the market like few others can. Results MatteR! 35 condos at the Rotonda SOLD in 2010, per MRIS data (Metropolitan Regional Information Systems), and Renneye had 8 of the 35 listings. No one knows the Rotonda like Renneye does. Let her 23 years of experience work for you.
1320 Old Chain Bridge Road McLean, VA 22101
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MAY - JUNE 2011 | VivaTysons
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