This week on the Mortgage Monday show, Jim Cardinal and Alexis Meeks discuss how FHA loans are assumable and what that means to buying and selling a home. What the FHA loans are assumable means is that the buyer of a home can simply take over the loan that the current homeowner has in place without have to go out and find a new loan.
The home buyer has to qualify for the FHA loan, same as they normally would, but what they don’t have to do is go through the trouble of finding a mortgage company.
Additionally and probably most importantly the new home buyer gets to keep the interest rate of the current FHA loan. So if the current market mortgage interest rate is 5%, but the old mortgage on the home is only 3%, the new home buyer would be able to keep that 3% rate by assuming the FHA loan.
Watch the video to learn more:
(if you can’t see the video click here)
Thankfully we have Jim Cardinal, Branch Manager for Syracuse Securities {visit his website to learn more} and Alexis Meeks of Karp, Ackerman, Skabowski & Hogan CPAs {Connect with Alexis on LinkedIn} to explain what is happening in the mortgage industry, how issues will impact the home buying process and what actions to take moving forward.
You can reach them by phone at:
- Jim Cardinal | (518) 281-0077
- Alexis Meeks | (518) 828-7618
We can help with homeowners insurance
If you are a first time home buyer or if you currently own a home we would love the opportunity to help you find the proper coverage at the most competitive rate for your home insurance or rental property insurance. We are dedicated to helping you make the best decisions regarding your insurance and providing our community are resources like Mortgage Mondays are part of that dedication.
If you would like to receive a quote give us a call at (518) 456-6688 or click here to begin the process by email.
Thank you,
Ryan Hanley, CIC