Home Loan Down Payments in St. Louis, MO
By Dave Puzniak
A home purchase is in your future, NOW is the time to start thinking about a down payment. When considering buying a home, the down payment amount plays an important role. So, what is a down payment?
A down payment is a percentage of the home’s purchase price, which is paid upfront to obtain home financing; it’s viewed as an investment, from the buyer, in the house. While there are programs that have little to no down payment requirements, it’s always wise to have money set aside when purchasing a home. A home is typically one of the most substantial lifetime investments, and it is considered best practice to begin with money down.
While there are many ways to gather a down payment, here are 5 of the most common methods:
1. Tax Time, Right Now! Over 80% of tax filers are expected to receive a tax refund this year. Why not use that nice refund to help purchase a dream home?
2. 401K or Other Investment Accounts: A retirement and/or investment account is a common source for a down payment. Of course, consult a financial, tax, or legal advisor before withdrawing or making any decisions about investment accounts.
3. Down Payment Assistance Programs: There are county and state programs designed to help homebuyers get into a home through assistance with a majority of, if not all of, a down payment. There may be credit, property, and/or income limitations to these programs. Check with a loan officer for eligibility.
4. Gifts From Relatives: Sometimes, your family can be of help; it’s common for parents to assist their children in the purchase of a home. As long as the assistance comes from a relative and the funds provided are genuinely a gift (no repayment is intended nor required), it is an acceptable source for a down payment.
5. The First Integrity Mortgage Services Power Plus Loan Program: This unique product can ONLY be found at First Integrity Mortgage Services. Not only will it reduce the down payment to only 5%, but it can also eliminate without taking a rate hike for the program.
The best down payment option will vary from buyer to buyer and will depend on their current financial situation. Regardless of the method, set up a consultation with a lender to discuss all options. Creating a clear and concise action plan will make the home buying process easier.
Licensed mortgage professionals at First Integrity Mortgage Services use their experience, expertise, and the special programs available to discover your goals, present multiple relevant options, and recommend the program that best meets YOUR needs!
Don’t sell yourself short. Call today to start your home buying path, 314-878-7900!
Contact David Puzniak at First Integrity Mortgage at 314-486-2652 or email@example.com for a complimentary loan preapproval or refinance assessment. NMLS# 559106.
Home Loan Options in St. Louis, MO
Goal of Buying a Home
By Tim Whitmire
Whether your goal is to buy your first home or your next home, this market demands planning and preparation. Getting pre-approved by a reputable local lender is a great way to start. Our goal at First Integrity Mortgage Services is to help you find the right program that best serves your needs and to make the process as easy and painless as possible.
We start by gathering the information needed to complete your loan application. From there, we will ask a few additional questions to understand what is essential to you fully, so we can put together all the relevant options you qualify for to present to you. There more options than your standard 30 yr. fixed-rate mortgage with a 20% down payment.
There are a number of special programs specifically designed for first-time buyers. They are mostly aimed at reducing the amount of cash needed to close. First-time buyer programs require a smaller down payment. Also, there are down payment assistance grants available, and many times you can negotiate with sellers to help pay for closing costs. We can help you get into a home without needing so much cash to close.
Buying Your Next Home
Buying your next home when you already own a home can be a special challenge. A lot of times, home buyers plan to use the equity from the sale of their existing home for the down payment of their next home. This requires your purchase to be contingent on the sale of your current home. The problem is that it can be difficult to get sellers to agree to this in a seller’s market.
There may be options that don’t require the sale of your existing home to make that purchase. The plan may still be to sell your existing home, but working around the contingency can prevent you from losing the home you want to buy. Knowing all of your options can help you make it happen.
Know Before You Owe
We put together worksheets to clearly illustrate what fees are involved, what is needed for taxes & insurance, how much cash is needed to close, and your monthly payment all on one page. We can do this for specific homes you are interested in. This way, you know exactly what to expect even before ever making an offer.
We would love to help make your next purchase the enjoyable experience you deserve. Call us to get started today at (314) 878-7900 or (888) 246-8575.
For questions or comments, please contact Tim Whitmire at 314-402-8184 or firstname.lastname@example.org, NMLS# 279207.
Home Improvement Loans
By: Ryan Cox
The perfect loan for the almost perfect home. Find out how a renovation loan or what is often referred to as a home improvement loan can help you buy or refinance to create the home of your dreams. Whether your home improvement projects are large or small, a home renovation loan can help you get the job done. With a home improvement loan, you’ll be able to buy or refinance a home and include money needed for simple upgrades, remodeling projects, or even more complex renovations. Monthly payments on home improvement loans are typically lower than credit cards or personal loans, and in some cases, the financing may also be tax-deductible.
What are some of the features & benefits of Renovation loans? Making significant home improvements such as adding an extra room or replacing the roof not only makes a difference in how much you enjoy your home, but it can improve its overall value as well. If you aren’t happy with some aging features of your house or want to buy a home that needs work, consider using a home renovation loan to transform a house into the home you’ve always dreamed of. Although you may be able to pay for the home improvements with a personal loan or other types of financing, these methods have higher interest rates and monthly payments. With a Renovation loan, you’ll be able to finance a renovation period of up to six months with only one set of closing costs and absolutely no prepayment penalty. While the total loan amount is based on the property’s appraised value, once the updates or improvements are complete, the down payment requirement may be as low as 3.5%.
Do you know all the options for home Renovation loans?
Having the right information gives you, the homeowner or potential homeowner, the details needed to make an excellent decision for your current needs. There are many different Renovation loan products from which to choose:
- FHA 203K Limited or Streamline (improvements under $35,000)
- FHA 203K Standard (improvements over $5000 & up to FHA limits)
- Fannie Mae HomeStyle (Conventional loan product, Primary Residence, 2nd home & investment properties)
- Freddie Mac CHOICERenovation (Conventional loan product)
- Design Plus Jumbo Renovation (Up to $810,000 with no MI)
- VA Renovation (100% LTV with improvements up to $50,000)
Working with someone who knows and understands each product could make all the difference in you having a successful loan experience. Renovation loan programs can be a wonderful option in helping people reach their goals, but doing your research finding a loan that is right for you is a critical part of the outcome.
If you have questions about any of the different Renovation products and all the benefits they have to offer or wondering if a Renovation refinance or Renovation purchase might be right for you, please contact me for more information, or to schedule an appointment.
Ryan Cox (Senior Renovation Specialist) NMLS# 1547172
Email - email@example.com
Office – (314) 878-7900
Cell – (618) 581-3015
Mortgage and Home Loan Company in St. Louis Gives Back!
Here at First Integrity Mortgage Services, giving to our community is one of our core pillars, along with teamwork, integrity, and customer service! Commitment to our community evident daily by our leadership, within our culture, in our vision, and our core values. It is woven within the fiber of who we are.
All company meetings begin in the same way, with us reciting these words, “Our vision is to lend a helping hand to all in our community.” Clearly, this is a pillar upon which we can set a firm foundation.
And it’s not just lip service, either! We put our money where our mouths are! Well, technically, it’s donations given, raised, and time invested, but you get the drift! We give back in many ways, including volunteering, hosting events, holding food drives, donations of time, and even digging into our own pockets! Each of our employees is encouraged and supported by leadership to give back to our communities.
We pick an organization or cause each quarter to support with donations. The organizations we choose are personally significant, have touched our lives and hearts in meaningful, inspiring, and heartfelt ways!
In 2019, some of the organizations and causes supported were:
Backstoppers: Police Officers, firefighters, EMS workers put their lives on the line for our safety and we are proud to support Backstoppers not only with our donations raised by our annually held Trivia Night but also via our Backstopper loan program.
The Backstopper Loan Program: FIMS gives a $750 credit, the borrower receives $500 off of closing costs, and we also donate $250 to the organization for each Backstopper loan originated.
Our Veterans: Another group that we so much appreciate, respect, and support is our Veterans. These individuals have fought for our country and sacrificed for our freedom, and we are forever indebted to them.
In support of our Veterans, one of the organizations we raised donations for this year was the Sgt. Bam Foundation, whose mission is to bring our Veterans more peace of mind when they’ve returned home by raising funds to train and distribute service animals to our Veterans in need.
The VA Loan Program: In addition to the VA loan benefits such as 100% loan to value and no mortgage insurance requirement, First Integrity goes a little further to show our respect and appreciation for our Veterans. For every VA loan we originate, we waive the $985 origination fee as a way of saying “Thank You.”
Here are just a few other causes and organizations First Integrity Mortgage Services has supported:
- SSM Health Foundation: Donations provided paid for materials to make blankets for those undergoing cancer treatments or in hospice care.
- St. Joachim & Ann (Food Drive & Blanket Collection) provides many services to those in need, including food and warmth.
- A Safe Place is a local domestic violence shelter who provides services to meet the immediate needs of individuals and their children who are victims of domestic abuse.
- Autism Speaks to support people with Autism, and TASK, which creates and supports team activities for special needs kids.
All of us are so proud to be a part of this company, which is more like a family. First Integrity Mortgage Services believes in giving back, in supporting the needs of our communities, and consistently upholding our core values. Our commitment to serving, to helping, to giving is just part of what makes our First Integrity Family so unique and special!
If you would like to propose a charity that is near and dear to your heart, please share your story with me, Michelle Lewis, at firstname.lastname@example.org or at 314-662-0364, NMLS# 640206.
VA Mortgage in St. Louis, MO
I want to start with thanking our veterans and those who currently serve our country in the military. The VA mortgage, in my opinion, is the best mortgage program in the industry as it should be. It’s a benefit that has is earned by serving our country.
When most think of the VA mortgage, they think of 100% financing with no mortgage insurance (PMI). These are two significant benefits of a VA mortgage, but they aren’t the only two benefits. Interest rates on VA mortgages are lower than competing conventional mortgages, and a VA mortgage is still a great option even when making a down payment.
Even though VA Loan doesn’t charge mortgage insurance, they still have a substantial up-front fee called the VA funding fee. This up-front funding fee is a genuine fee, but it’s typically rolled into the loan and doesn’t increase the amount of out of pocket cash needed to close. The amount of this funding fee varies depending on your level of service, whether it’s the first use or subsequent use, and how much the buyer’s down payment is. VA’s funding fee may be waived if the buyer has a service related disability.
The funding fee is its highest when making no down payment and obtaining 100% financing. Making as little as a 5% down payment significantly reduces this fee. Making a 10% down payment reduces the fee even further.
Conventional mortgages generally do not have an upfront fee similar to VA’s funding fee. Furthermore, if the buyer can make a 20% down payment, conventional mortgages also have no mortgage insurance (PMI). Therefore, many consumers and loan officers automatically default to a conventional mortgage without even considering a VA loan when the borrower makes at least a 20% down payment.
Although it is true that there are less up-front fees for a conventional mortgage than a VA mortgage, the interest rates for a VA mortgage are so much lower than a conventional mortgage that most of the time a borrower can save significantly more money with a VA loan over the life of the loan. VA mortgages also allow borrowers to obtain more of their home’s equity with a cash-out refinance than a borrower otherwise could with an FHA or conventional mortgage.
Whether you are looking to purchase or refinance a home and regardless of how much down payment you are making or how much equity you have in your home, veterans should always give VA mortgages consideration when financing a home. After all, it’s an earned benefit. I find that VA mortgages almost always provide a valuable option.
We have full underwriting authority for VA loans at First Integrity Mortgage Services, and we love serving members of our military and veterans. We’ve helped our heroes close on homes even as they’ve been deployed, via video conference! We also waive our standard commitment fee for veterans.
We would love to earn your business! Check out our reviews on Google, visit our website at www.firstintegrity.com, and call First Integrity today at (314) 878-7900.