All Forum Posts by: Rahnesha White

So I'm trying to determine if I want lock in a FHA loan or conventional loan I qualify for both. I don't like that the FHA loan is essentially $5,800 more for the cost of the loan due to the upfront mortgage insurance even though its financed into the total loan amount. However, I just got the home inspection report back and there are a lot of things are that flagged. I'm thinking that I might have more negotiation power locking in a FHA loan because I know the lender has certain required repairs that the seller would mostly likely have to fix prior to closing.

If I go conventional I would save the $5800 upfront mortgage insurance but I don't think I would have much negotiation power with the seller to fix things per my agent observation. So the question to me becomes do I think the lender would require the seller to fix at least $5800 in repairs to justify doing the FHA loan since I qualify for conventional also- FHA seems more protective since its an older house and this is my first home not exactly sure what to look for.

I'm not sure because I don't have much construction knowledge to determine from the report how much the repairs might potentially cost but I do I see a lot of things flagged on the report some things I noticed were ...Roofing has ponding/roof
shingles that are damaged, Termite Damaged was visible In the Framing Members, Due to the installation of finish surfaces, the slab is mostly inaccessible and could not be throughly inspected, Soffit damaged/rotted wooden siding trim had termite damage, Stucco siding had damage
sections. Garage has open live wiring exposed suggested to install, small Shop in back yard roof sheathing has Water damage, missing smoke detectors/carbon monoxide detectors in the rooms, no A GFCI Outlets in Bathroom.. I'm not knowledgeable enough in the construction part to know how bad or how much is much cost to make repairs. Would love to know your thoughts can also DM me. Thanks 

Hello, I'm wondering if there are any lenders who offer low loan minimums to accomplish renovations only? I have a home free and clear that needs around 30k in renovations that I'm looking to get funding for in Michigan.  Please message me if you know someone. Thanks!

I am trying to figure out how I can put down less than 20% more like 15% for an investment property? I called a traditional bank and they said for a conventional loan I had to put down 20%. The property is turn key so not value add, someone suggested hard money but I know see the need for hard money since I don't have any renovations and from my knowledge most hard money lenders require 20% also?. I know every investor isn't putting down 20% for each property so would like to know different strategies. Thanks!

Hello, question... is it true that if I quick claim deed a property to an LLC that the lender TITLE insurance/ owner TITLE insurance policy will no longer be valid. I keep hearing different things I heard that the lender title insurance policy will be valid but the owner title insurance policy will be voided. Any experience with this?

Also, if I plan to refinance in the next year should I get the owner title insurance now since I know I will have to purchase that insurance  again one I refinance?

Lastly, lol.... anyone ever had an "due on sale" called for a property that you deeded to your LLC? just curious because I'm aware thats a possibility also. Thank so much!

@Reid Chauvin

@Erik Estrada

@Dave Skow

@Zach Wain

@Gordon Cuffe

Thank you all for you advice. The lender ended up honoring the initial rate and lower my points to compensate for his oversight so all is well! 

@Dave Skow

@Jaron Walling

@Chris Seveney

@Chris Seveney

Thank you all for your feedback talking to another lender now!

Im trying to decide between the 20% down with 744.02 for the buy down or just put 25% down and do the par rate with no points/buy down. Its only like a $3,000 difference from putting 20 % down versus 25% down but would rather have to bring less to the closing table. I kept hearing buying down the rate isnt worth it...Thoughts!

They had me sign a “rate lock agreement “ the $500 was suppose to be the processing fee to start processing the loan once I signed the rate lock and appraisal waiver for them to get the appraisal and submit everything to underwriting. I signed it and my lender signed. Then two days later my lender told me that the points/ fees they were charging were more than the allotted 5 % that Fannie Mae allows for investment properties. So that’s why he said we have to change the interest rate by giving me a higher rate and lower points to be under the the 5% Fannie Mae requires for conventional loans for points / fees. I responded by saying I didn’t want a higher rate bc I had already signed the rate lock and that they should honor that and instead lower the points for the 6.375 rate that was locked in to be under the 5% Fannie Mae requires but they said no they will only do the higher rate and lower points. Non of this was verbal I have the signed agreement everything signed in writing . I think it was a regulatory constraint my loan officer overlooked when we signed the rate lock he said he wasn’t aware of the 5% Fannie Mae rule. But I feel like that shouldn’t be my problem. I’m just not sure where or who to talk to about it because I’m not sure if the is so common practice to change the rate lock once the loan gets to underwriting and go not honor the agreement and then to not give me my $500.00 processing fees back because I told him I didn’t want to proceed at the increased rate… the rate lock on the initial agreement is until 2/16 not expired 

@Chris Seveney

@Jaron Walling

I paid a non-refundable $500.00 fee to lock in a 6.375 % interest rate that me and my lender both signed and then two days later my lender said they cant do that rate and then hiked up the rate to 6.875. I asked for my $500.00 back and now he is saying its non refundable. This is for a conventional loan with 25% down. The 6.375 was with 2 points and the 6.875 is with 1.5 points. I want to walk away because feel like my loan officer is untrustworthy but then I would lose my EMD of $1,000 plus all the fees Ive paid so far. I also know that a 6.875 % is still a decent rate in this market but I just feel like its kinda shady to have me pay rate lock that wasn't locked in, plus I ran my numbers at 6.375 so now at 6.875 makes my cash flow every then. Any advice/experience or any lenders think they can do better lol I only have two weeks to close now?

@Jim Wellington Thanks! I didnt know sewer line insurance was a thing that was helpful information! However, when I googled ALOT of companies came up any companies in particular that you have worked with and would recommend?

@Nathan A. Yes you're right thank you!