Refinancing or Buying, Contact Chris Ryan!

Looks like Punxsutawney Phil was right after all! We are indeed seeing more winter here in the DMV. I’m privately rooting for it to be over soon. Streets, driveways and sidewalks are cleared … for the most part. ?? We plan as best we can when we know a snowstorm is coming: ?? Snow shovels are placed in an area we can easily get to them ?? Rock salt is accessible for efficient application ?? Cars are covered (if they can be) and maybe the windshield wipers are popped to facilitate snow removal ?? Buying a home requires planning too. ?? The best first step is talk with a mortgage lender who can analyze your income, debts and assets to see what’s possible. Refinancing or Buying, Contact Chris Ryan!

#FinancingFriday What to do you if you’re looking to buy your next home before selling your current one? Most sellers will NOT accept a contract contingent on the sale of your home. Consider this example: The house you’d like to buy is $1M. You can borrow $950K and do $50K down payment (5%) and cover closing costs of ~ $35K for total cash needed of $85K (B) The house you own is worth $600K and you owe $300K. Costs to sell are are~ $50K so you’ll clear $250K in proceeds (S) You pay a nominal fee to use $150K of your $250K in proceeds to “recast” loan on new home. Loan payment resets on new loan balance of $800K AND you eliminate private mortgage insurance. (R) You use the other $100K in proceeds to replenish cash used to purchase new home. BSR - Buy Sell Recast. An effective way to Buy Now, Sell Later with only 1 loan closing.

???????? ???? … Before I share the balance of the statement, let me take you through a recent exchange with a prospective client (PC). PC: we’re looking to relocate and buy in DC, VA and maybe MD. Me: good to hear! Do you have a price point in mind or do you need help determining that? PC: up to $1M and we plan to do 20% down payment. Me: got it. Are you committed to 20% down payment? Doing so will limit you on mortgage options. PC: well that’s interesting! Please tell me more. Me: ???????? ???? you kept more of your money invested and did 15%, 10% or even 5% down payment? You could choose between adjustable rate mortgages (ARMs) which have lower rates or the more traditional 30 fixed option. ?????? ??????: ???????????????? ?????????? ???? ?????????? > $??????,?????? ???????? ???????????? ???????????????? ?????????? PC: We plan to be in this home 5-10 years so keeping more of our money invested and having an option to do an ARM with a better rate may appeal to us. Me: If you open a wealth account with a financial advisor from our company for at least $25K, I can offer a lower rate and closing cost credit. PC: what if we want to lower our loan balance and payment? Can that be done without refinancing? Me: yes! You can “recast” your mortgage for a modest fee. The amount you use to pay down your mortgage is applied against the remaining principal balance and your monthly payment is lowered the following month. You can do this more than once as you see fit. Financing a home doesn’t always follow a predictable path. It’s exchanges like above that help me determine a client’s objectives to recommend the best possible solution. Refinancing or Buying, Contact Chris Ryan!

#FinancingFriday Buying a home with $0 down part 2. This is a continuation from last Friday’s message and it’s geared for medical doctors. Doctors often have the income and credit but may lack significant cash to buy. That shouldn’t be a deterrent to buy sooner than later! Enter the Medical Professional Loan (aka Doctor Loan). With it, medical doctors can buy a home up to $1.5M with $0 down payment. Doctors I helped last year bought a home for $1,550,000 and only needed $50,000 in down payment thanks to a $1,500,000 loan amount. A sales price up to $2,105,263 only needs 5% down payment and a sales price up to $3,333,333 only needs 10% down payment. Eligible doctors for this program include physicians, dentists, ophthalmologists, dermatologists, veterinarians, podiatrists, pharmacists and more! Refinancing or Buying, Contact Chris Ryan!

These were a few of the few open houses visited yesterday in Silver Spring, MD and Kensington, MD. Encouraging to see so many people touring these homes. Demand is out there for well priced homes. It was rewarding to see real estate agents I know and meet new ones. There are a variety of loan programs to finance these homes including 100% financing with no private mortgage insurance and jumbo loans with as little as 5% down payment. You don’t need a lot of cash to buy a home. Waiting may only make it more expensive. Refinancing or Buying, Contact Chris Ryan!

#FinancingFriday It’s rewarding to see clients fulfill a New Year’s resolution in early January. We started talking in August. They ratified a contract last week and are closing at the end of the month! Some quick particulars on the purchase: * $0 down payment * 100% financing with no PMI - 80% first mortgage plus 20% second mortgage * 30 fixed rate (same rate for both loans) * $3300 in lender credit and grants * seller credit at 3% of price towards closing costs Buyers are getting into the home for about $1K total! Eligible buyers must meet certain income and credit requirements Let’s make 2025 the year for more homeowners Refinancing or Buying, Contact Chris Ryan!

#FinancingFriday Throwback to January ‘24 with my client who bought a 4 unit property in DC. She lives in 1 and rents from the other 3 cover the majority of her payment. She negotiated an excellent price AND got a concession from seller towards closing costs. Home buyers at this time of year can be successful on negotiations compared the busier spring and fall months. Refinancing or Buying, Contact Chris Ryan!

#FinancingFriday On this final Friday of 2024, I’m thankful for the clients, referral partners, family, friends and support team who enabled those to attain their homeownership goals this year. All are on their own homeownership journey. Some of the clients from this year include: ? First-time homebuyers who bought in January and refinanced in October at a much lower rate (a classic Marry The House, Date The Rate scenario) ? Doctors who bought in VA and MD with limited to no down payment with the Medical Professionals Loan ? lot owners in Delaware who are building their dream second home thanks to a one-time close Construction to Permanent Loan ? current homeowners who were able to buy in their desired neighborhood without selling their current home first (put less money down on purchase and used home sale proceeds to “recast” their loan to lower balance and payment) We are likely to see continued affordability challenges and sustained higher rates in 2025. The good news is that there are solutions to help with lower down payment options and lower interest rates for “jumbo” loan borrowers with relationship pricing incentives. Refinancing or Buying, Contact Chris Ryan!

It's important for first-time home buyers to be educated and informed BEFORE they buy a home. Certain loan programs require home buyer counseling before closing. The good news is that it can be done online and it's FREE! A current client is pursuing a Freddie Mac Home Possible Loan which offers lower rates and grants for closing costs in some cases. Thinking about buying your first home? Reach out to me and I can advise if the Home Possible Loan or some other loan program can help you. Refinancing or Buying, Contact Chris Ryan!

STOP paying your landlord’s mortgage ?? START paying your own and begin building equity ?? The challenge for many renters to become homeowners is lack of enough funds for down payment and closing costs. The Community Combo Loan enables eligible buyers to buy with $0 down payment AND with no private mortgage insurance! Grant funds also possible up to $5000 for closing costs. If buying a home in 2025 is in your plans or someone you know, reach out to me to discuss options. Refinancing or Buying, Contact Chris Ryan!