Mortgage news you can use. Agents are not loan officers, but we must keep on top of pending changes, especially when working with buyers. John Melnick II with Presidential Bank Mortgage NMLS ID # 527960 in Fairfax provided this information.
"Subject: Potomac Partners Update: FHA Premium Reduction Likely To Be Rescinded & Updated
It now appears likely that HUD will rescind the FHA premium reduction on Friday as part of the Trump Administration’s plans to overturn a host of regulations/policies implemented by the Obama Administration. Referred to as the “ 12:01 changes” (i.e. immediately after the Inauguration), we understand each Department/agency was asked to identify specific issues. Barring a last minute change, we have heard that the premium reduction will be included in this list.
The industry is making an “all court press” to stop this rollback of the premium reduction.
We should know one way or the other on Friday afternoon 1/20/17."
In addition to above, rates are expected to rise at least 3 times during 2017. They might or might not. No one knows for sure. If you are a person who was planning on buying in 2017, you need to factor in potential changes in the mortgage industry that could happen and that might affect your ability to buy. Stay in touch with your loan officer in case some adjustments are needed to keep your home buying plan on track.
Another recent change to be aware of is, as of January 4th, the Virginia Insurance Board has issued a ruling that title companies may no longer offer home warranties free to their customers. Doing so in the future would be considered improper inducement.
So if a seller is not providing a home warranty, and you want a warranty, expect that you will pay for it yourself. Prices vary, but you'll need roughly $400.00 to $600.00 for most warranties. Some are even more.
Stay on top of changes so your home buying plans don't fly off into the sunset!
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