FHA Limits Cash Out Refinances to 85 Percent
The FHA, which has seen its share of scrutiny as of late, plans to lower the maximum loan-to-value associated with cash-out refinances beginning April 1.
The agency, which previously allowed cash out refinancing up to 95 percent, will drop that limit to 85 percent, according to a letter sent to clients late last week.
“Effective for case number assignments on or after April 1, 2009, the loan-to-value Read more
Higher Loan Limits, Tax Credit Included in Stimulus
Things are looking up, kind of.
As expected, higher conforming loan limits and a larger homebuyer tax credit are part of the latest stimulus package to be signed into law by President Obama in Denver today.
The $787 billion bill will push the high-cost conforming loan limit to as much as $729,750 in more expensive regions of the country, helping scores of borrowers refinance into more affordable loans Read more
Congresswoman Says Higher Conforming Limits to be Part of Stimulus
San Jose Congresswoman Zoe Lofgren said the return of higher conforming loan limits will be a part of the new stimulus bill floating around Washington.
On January 1, the high cost conforming limit fell from $729,750 to $625,500 in some of the most expensive areas of the country, making it more difficult for certain homeowners to take advantage of the record-low interest rates available at the moment.
Speaking Read more