Attention Homebuyers! As of September 2023, interest rates are approximately 8% which is $7.34/ $1000.However mortgage loans originated over the past 10 years were originated between 3 & 4%! In comparison a 30yr loan at 3.5% is $4.49/ $1000 borrowed. How would you like a mortgage payment 40% cheaper! Well you can as government mortgage loans ARE ASSUMABLE if you meet the following criteria:
1) Find a seller with a government loan willing to allow for the assumption of their loan.
2) Have the cash or find a seller to do a carry back to satisfy the cash to mortgage amount needed for the “cash to mortgage” amount.
3) Qualify based on the current lenders mortgage qualifying standards. Typically it mirrors current VA and/or FHA credit qualifying standards of credit score, debt to income ratio and job stability.
Here is a Rocket Mortgage article about assuming VA loans. I love the idea of a homebuyer assuming a VA loan as there were lots originated in the past 10 years, vets can substitute their eligibility allowing the release of the sellers, there is NO MI although FHA mi is only .5%, so a 3% mortgage is like having 3.5%! Here is the article: https://www.rocketmortgage.com/learn/are-va-loans-assumablehttps://www.rocketmortgage.com/learn/are-va-loans-assumable.
Contact me for a complete list of homes for sale with either FHA or VA loans for sale!
