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Florida Divorce Property Transfers Without a Deed

mchissell1@gmail.com (Mike Chissell) — Wed, 12 Mar 2025 18:02:04 GMT

Learn how Florida divorce decrees can transfer property without a deed, when a Quitclaim Deed is needed, and how it affects refinancing.

Navigating Property Transfers in Florida Divorce Without the Headache

Divorce is already stressful enough—add in the complications of property transfers, and it can quickly become overwhelming. Family law professionals work hard to ensure a smooth and fair division of assets, but when it comes to real estate, things can get tricky. Many assume that a Quitclaim or Warranty Deed is always required to transfer property, but in Florida, a properly structured divorce decree can sometimes do the heavy lifting. Understanding how this works can help attorneys and their clients avoid unnecessary paperwork, delays, and mortgage complications.

How Florida Divorce Decrees Can Simplify Property Transfers

In Florida, a well-crafted divorce decree can legally transfer property ownership without needing a separate deed. If the decree includes the full legal property description and explicitly awards the property to one spouse, it may be enough to update the title—saving time, reducing paperwork, and avoiding unnecessary legal steps.

Why This Matters:

Less Paperwork: No need to draft and record a separate Quitclaim or Warranty Deed.
Faster Process: Some county recorders accept divorce decrees as proof of ownership, expediting title transfers.
Fewer Hurdles for Clients: In cases where the home is paid off, title companies and lenders may recognize the decree without requiring additional documentation.

Quitclaim Deed for Title Transfer After a Divorce in Florida

While skipping the extra paperwork sounds great, it’s not always an option. Here are situations where a Quitclaim or Warranty Deed may still be needed in Florida:

The decree lacks a full legal property description (a must-have for title transfers).
A lender requires a Quitclaim Deed to move forward with refinancing.
The title company needs a recorded deed to clear up ownership history.
The mortgage is still in both spouses' names, requiring additional legal steps to ensure a smooth transition.

How to Add a Name to a Deed in Florida with a Quitclaim Deed

If a name needs to be added or removed from a property title due to a divorce, a Quitclaim Deed is the easiest way to make the change. Here’s how it works:

Complete the Quitclaim Deed Form – Include the property’s full legal description and the names of all parties involved. You will need the previous deed for reference.
Sign the Deed – The grantor (person transferring ownership) must sign the deed in front of two witnesses (at least 18 years old) and a notary public.
Record the Deed – Submit the signed and notarized deed to the county clerk’s office where the property is located.

Quitclaim Deeds are commonly used when transferring ownership to a former spouse, family member, or business partner.

The Mortgage Connection: How Title Transfers Affect Refinancing

One of the biggest pitfalls in divorce-related property transfers is how they impact mortgage financing. A spouse keeping the home may need to refinance, but how the title is transferred plays a huge role in loan eligibility.

Scenario 1: Court-Ordered Title Transfer

In Florida, a divorce decree alone can sometimes transfer ownership.
However, this can reset the 12-month ownership requirement for refinancing, making it harder for the remaining spouse to qualify for a lower-rate refinance.
Loan Impact: Without proof of joint ownership for at least 12 months, the refinance is classified as a cash-out refinance—leading to higher rates and stricter guidelines.

Scenario 2: Attorney-Executed Transfer Deed Before Refinancing

Some attorneys draft a Quitclaim or Warranty Deed before the refinancing process.
However, recording this deed too soon can create mortgage underwriting issues, as lenders may view the borrower as a new owner rather than a long-term titleholder.
Loan Impact: The refinance could be classified as a cash-out loan, making it more expensive and harder to qualify for.

Helping Your Clients Avoid Costly Mistakes

As a family law professional in Florida, you play a key role in ensuring your clients avoid unnecessary delays, confusion, and financial setbacks when transferring real estate. Here’s how you can help:

Verify Florida Laws: Ensure clients understand when a divorce decree is enough and when a Quitclaim Deed is required.
Include a Full Legal Property Description: This ensures title companies will recognize the decree.
Check with Local Title Companies: Some may still require a recorded deed for clear title history.
Consult a Certified Divorce Lending Professional (CDLP®) : Avoid mortgage financing roadblocks by planning ahead.
Educate Clients on Mortgage Consequences: Help clients understand how their property transfer choices affect their ability to refinance.

Don’t Let Title Issues Derail Your Clients’ Plans

Even though Florida allows divorce decrees to transfer property, title companies or recorders may still require additional steps to maintain a clean title history. Failing to confirm these requirements upfront can lead to roadblocks when clients try to refinance or sell the home later.

Partnering with a CDLP® for a Smoother Process

Divorce is already challenging—property transfers shouldn’t make it harder. That’s where a Certified Divorce Lending Professional (CDLP®) comes in. We work with attorneys and their clients to ensure title transfers align with mortgage rules, preventing costly missteps and making financing as smooth as possible.

Final Thoughts: Keep the Process Simple and Stress-Free

While skipping an extra deed sounds appealing, it’s not always the right move. By understanding when a divorce decree can legally transfer property in Florida and how it impacts mortgage financing, you can help your clients avoid unnecessary costs and delays. Working with a CDLP® ensures a seamless transition that keeps your clients on solid financial ground.

Schedule a Call with Chissell Mortgage Group

Helping your clients navigate real estate and mortgage complexities in Florida divorce cases? Schedule a call with Chissell Mortgage Group today to ensure smooth property transitions and smart financial decisions.

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Understanding Loan Types: Find the Best Option for You

mchissell1@gmail.com (Mike Chissell) — Thu, 06 Mar 2025 20:01:47 GMT

Learn about different loan types, including conventional, FHA, VA, and private loans. Contact Chissell Mortgage to find the best terms for your needs.

Listen to the latest discussion and what it means for you...

Finding the Right Loan: Understanding Your Best Options

Choosing the right loan can be overwhelming, especially when faced with different options, terms, and lender requirements. Whether you're a first-time homebuyer, a seasoned investor, or somewhere in between, the best loan for your situation depends on several factors. The challenge? Loan products change, lenders offer different deals, and your financial situation plays a crucial role. Instead of guessing which loan might work best, understanding your options is the first step toward securing the best terms for your needs.

Every Situation Is Different: Why a Loan Isn’t One-Size-Fits-All

While there are general guidelines for loan types, the reality is that every borrower’s situation is unique. Income, credit score, employment type, and down payment amount all play a role in determining eligibility. However, even two borrowers with similar financial profiles may receive different offers based on lender-specific deals, available loan programs, and changing market conditions.

Lenders regularly introduce new products, update rates, and adjust qualification criteria. This means that relying on broad generalizations may not give you the full picture. Working with a mortgage expert, like Chissell Mortgage, ensures that you have access to the best loan options at any given time, customized to your specific financial goals.

General Loan Types: Which One is Best for Your Needs?

When exploring loan options, most borrowers will encounter these common types. Each comes with specific advantages depending on credit score, income, home location, and financial goals.

Conventional Loans

Best for: Borrowers with strong credit, stable income, and at least 3% down.

Conventional loans are not backed by the government but are typically supported by Fannie Mae or Freddie Mac. These loans are ideal for borrowers with higher credit scores and who have a down payment. Down payment amounts vary by lender, though 20% avoids private mortgage insurance (PMI). They offer flexibility in loan terms (fixed-rate and adjustable-rate options) and often come with lower overall borrowing costs compared to government-backed loans, assuming the borrower qualifies.

FHA Loans

Best for: First-time buyers, those with lower credit scores, or borrowers with limited savings for a down payment.

FHA loans are backed by the Federal Housing Administration and allow borrowers with a credit score as low as 580 to qualify for a 3.5% down payment . Borrowers with credit scores between 500 and 579 may still qualify. FHA loans are ideal for those who may not meet conventional lending requirements . However, these loans require mortgage insurance premiums (MIP) for the life of the loan , increasing the total cost of borrowing.

VA Loans

Best for: Eligible military service members, veterans, and surviving spouses.

VA loans, backed by the Department of Veterans Affairs, offer 100% financing , meaning no down payment is required. Additionally, VA loans do not require private mortgage insurance (PMI) , making them a cost-effective option. The credit requirements are more flexible , and interest rates tend to be lower than conventional loans. Borrowers must meet military service eligibility requirements , and a VA funding fee may apply, though it can be rolled into the loan.

USDA Loans

Best for: Homebuyers in eligible rural areas who need 100% financing.

The U.S. Department of Agriculture (USDA) offers loans to qualified buyers purchasing in designated rural areas . Like VA loans, USDA loans provide 100% financing , meaning no down payment is needed. These loans offer low interest rates and lower mortgage insurance costs compared to FHA loans. However, income limits apply , and buyers must meet USDA location requirements.

Jumbo Loans

Best for: Borrowers purchasing high-value homes that exceed conventional loan limits.

Jumbo loans are designed for loan amounts exceeding the conforming loan limits set by Fannie Mae and Freddie Mac. These loans are often used for luxury homes or properties in high-cost areas . Jumbo loans require strong credit , higher down payments , and cash reserves due to the increased risk for lenders.

Not Sure Which Loan Is Right for You? Take Our Quiz!

Instead of guessing, take our quick and easy loan quiz! Get a general idea of which loan type might be best for you based on your credit score, income, and eligibility factors.

The Best Loan for You?

Each loan type comes with different benefits and considerations. The best loan for you depends on your credit, income, home location, and long-term financial plans . Understanding your options is the first step—but working with a trusted mortgage expert ensures you get the best terms for your situation.

Other Loan Types You May Not Have Heard About

Beyond traditional mortgage loans, there are alternative financing options that may suit borrowers with unique circumstances:

Private Money Loans – Perfect for self-employed individuals, real estate investors, or those with non-traditional income. These loans offer flexibility but may come with higher interest rates.
Bank Statement Loans – Designed for self-employed borrowers who can’t provide W-2s but have steady bank deposits to verify income.
Bridge Loans – A short-term loan to help buyers purchase a new home before selling their current one.
Hard Money Loans – Common among real estate investors who need quick financing, typically secured by property value rather than income.
Interest-Only Loans – Lower monthly payments at the start, ideal for those who expect income increases or plan to sell or refinance before payments rise.

These non-traditional loan types open doors for borrowers who may not qualify for standard mortgages. However, terms, interest rates, and approval criteria can vary widely, making it crucial to work with an experienced mortgage professional.

Contact Chissell Mortgage to Find Your Best Loan Option

With so many loan options available, navigating the mortgage process alone can be confusing. Instead of trying to figure out which loan might work best, let Chissell Mortgage guide you. We’ll help you explore all available options, compare lender-specific deals, and secure the best possible terms based on your financial situation.

�� Call us today at (727) 376-6900 to get started!

2025 Real Estate Snapshot

mchissell1@gmail.com (Mike Chissell) — Thu, 27 Feb 2025 22:02:50 GMT

Discover the latest real estate trends for January 2025. See how home prices, sales, and inventory impact buyers and sellers.

Listen to the latest discussion and what it means for you...

2025 Real Estate Snapshot in Pasco County

If you’ve been keeping an eye on the housing market, you know that conditions have been changing over the past year. According to the latest 2025 report for Pasco County, published by Florida Realtors® and based on data provided by local MLS feeds, both buyers and sellers will find new points to consider. Here’s what the numbers are telling us and how they might influence your next move.

Single-Family Homes: More Sales, Slightly Lower Prices

Closed Sales: Up by 8.9% year-over-year, hitting 659 in 2025. More homes are selling, which suggests healthy buyer activity.
Median Sale Price: Down by 2.1% year-over-year, settling at $376,950. While this is only a moderate decrease, it can mean greater affordability for buyers who felt priced out in the past.
Active Inventory: Jumped by 37.8% compared to last year, reaching 2,975 listings. A higher inventory typically gives buyers more options and can reduce some of the pressure that leads to intense bidding wars.
Median Time to Contract: 43 days, which is about a 19.4% increase year-over-year. Homes are still selling in a reasonable timeframe, but buyers now have a bit more breathing room when making decisions.
Months Supply of Inventory: 3.6 months, a noticeable gain over last year. Although five to six months is often considered a “balanced” market, 3.6 months is far from the hyper-competitive conditions we had in the recent past.

What This Means for Pasco County Single-Family Homebuyers:

If you’re in the market for a house, this slight dip in median prices and the increase in listings could work in your favor. You may have more leverage during negotiations and a better chance to shop around without feeling rushed.

What It Means for Sellers:

Even with more competition, houses are still selling in a little over a month on average. The slight price decrease doesn’t necessarily signal a major downturn—it’s a sign the market is balancing out. If you prepare your home well and price it competitively, you can still attract qualified buyers relatively quickly.

Townhomes and Condos: Steady Demand, Softer Pricing

Closed Sales: 191 in 2025, up 7.3% year-over-year. Demand in the multifamily sector remains solid.
Median Sale Price: Down 6.2% from last year, to $285,000. This drop is a bit steeper than for single-family homes, making the townhome/condo segment particularly interesting for first-time buyers or those looking to downsize.
Active Inventory: Up 32.4%, hitting 965 listings. Much like single-family homes, more condos and townhomes are coming on the market.
Median Time to Sale: 92 days, which is a 28.7% decrease year-over-year. Even though pricing is softer, the actual timeline from list to closing is shorter, possibly due to buyers jumping on lower-priced properties.

What This Means for Townhome and Condo Buyers:

You’ll find more choices and potentially lower prices than this time last year. That shorter time-to-sale, however, means buyers should still be prepared to move quickly once they find a home that meets their needs.

What It Means for Sellers:

Despite the price drop, demand remains strong enough that properties are selling in fewer days than before. Presentation, staging, and accurate pricing will help your listing stand out in a market with increasing inventory.

Key Takeaways About the Pasco County Real Estate Marketing in 2025

Slight Price Declines: Both single-family homes and condos/townhomes have seen modest decreases in median sale prices. This could open doors for buyers who were cautious about affordability.
Inventory Is Rising: More listings can mean less competition for buyers. Sellers should stay proactive—properly preparing and pricing your home is essential in a market with more options.
Balanced Conditions: We’re not at a fully balanced market (around five to six months of inventory), but it’s certainly calmer compared to the peak frenzy of the past few years.
Faster or Slower Sales? Single-family homes are taking a bit longer to go under contract, while condos and townhomes are moving faster to the closing table. The lesson: be ready for variations depending on the property type

Why Work With a Mortgage Specialist?

Whether you’re eyeing a single-family home or a condo, a knowledgeable mortgage professional can help you navigate the financing side of this evolving market. At Chissell Mortgage Group , we understand how these local trends affect interest rates, loan options, and approval processes. Our goal is to ensure you feel confident about both your mortgage and your real estate decisions.

Have questions about financing your next home, or simply wondering if now is the right time to buy or refinance? Reach out to the team at Chissell Mortgage Group . We’re here to help you make sense of the numbers and guide you toward the best mortgage solution for your situation.

If you’re still on the fence, remember that these trends can shift quickly. Staying informed and working with a trusted mortgage expert is the best way to position yourself for success in the Pasco County real estate market this year.

The 5 Phases of Divorce Mortgage Planning with Expert Insights

mchissell1@gmail.com (Mike Chissell) — Thu, 20 Feb 2025 11:44:12 GMT

Step through the phases of divorce mortgage planning with expert commentary and analysis to help secure your financial future with confidence.

Divorce Mortgage Planning Phase: In-Depth Analysis

Divorce is a complex financial transition, and handling real estate assets can be one of the most challenging aspects. Whether you’re determining affordability, evaluating mortgage options , or finalizing property division, having a structured approach ensures financial stability and legal compliance.

This guide walks through the five key phases of divorce mortgage planning, helping you make informed decisions at every step. Additionally, we provide expert commentary and analysis to offer real-world context and deeper insights into each phase.

1. Discovery: Where Do I Begin in Divorce Mortgage Planning?

The first step in divorce mortgage planning is understanding the financial landscape and gathering the necessary information to lay a strong foundation.

Objectives:

Client Needs Assessment – Identify individual financial goals and needs.
Align client goals with mortgage strategies.
Identify risks and assess case status & direction.

Desired Outcome:

Gap Analysis – Uncover any missing financial details.
Client Engagement – Establish a roadmap for the mortgage planning process.

Commentary & Analysis:

The discovery phase is crucial because it sets the stage for all future decisions. Many divorcing individuals underestimate how their financial standing impacts mortgage eligibility. By proactively gathering data on income, assets, debts, and credit scores, you can avoid last-minute surprises. Seeking guidance from a financial expert at this stage can prevent delays and missteps later.

2. Initiation: What Type of Mortgage Can I Afford After Getting a Divorce?

Once the discovery phase is complete, assessing financial feasibility is crucial to determine affordability and legal preparedness.

Objectives:

Quality data collection and financial preparedness.
Evaluate income , credit, and asset stability.
Coordinate with the legal team to align mortgage decisions with the divorce strategy.

Desired Outcome:

Coordination with Legal Team & Preparedness – Ensure financial decisions comply with legal agreements.
Understanding of Current Situation – Clarify financial standing and potential mortgage pathways.

Commentary & Analysis:

Affordability often becomes a major stress point in divorce mortgage planning. Many individuals assume they can afford to keep the marital home without fully analyzing post-divorce expenses. A clear financial assessment, including a future budget, is critical. Consulting with both legal and mortgage professionals ensures that your mortgage decisions align with your long-term financial health.

3. Planning: What Are My Morgage Options?

This phase involves exploring available mortgage solutions and aligning them with the divorce settlement.

Objectives:

Client Acceptance – Ensure alignment between financial goals and available mortgage options.
Resolve outstanding financial issues to smooth the transition.

Desired Outcome:

Change Management – Adapt financial strategies to post-divorce realities.
Documentation & Compliance – Ensure all paperwork meets legal and lender requirements.
Resolve Open Conflicts – Address potential disputes before execution.

Commentary & Analysis:

Many divorcing homeowners struggle with deciding whether to refinance, sell, or assume the mortgage. Each option has distinct financial implications. Refinancing can allow one party to keep the home, but qualification is often challenging on a single income. Selling may be the most practical solution but can be emotionally difficult. Understanding these trade-offs early prevents rushed decisions that could impact long-term financial stability.

4. Execution: What Are My Next Steps?

Once the plan is in place, the focus shifts to executing mortgage solutions in compliance with legal agreements.

Objectives:

Maintain open communication between all parties.
Ensure quality control and progress tracking to prevent delays.
Implement strategies to adhere to the settlement agreement and court orders.

Desired Outcome:

Alignment with Legal Compliance & Orders – Ensure property division meets legal requirements.
Obtain Financing Approval – Secure necessary mortgage approvals and finalize financial transitions.

Commentary & Analysis:

This stage requires close coordination between legal teams, lenders, and financial advisors. Unexpected obstacles, such as discrepancies in property valuations or settlement terms, can arise. Staying proactive and ensuring all parties are aligned prevents delays. If issues emerge, having a contingency plan in place can make the execution phase smoother.

5. Closure: Moving Forward

The final phase is about successfully completing the mortgage and property division process while ensuring financial security.

Objectives:

Legal Compliance Check – Conduct a post-implementation review to confirm all obligations are met.
Complete the mortgage process and property transfer.

Desired Outcome:

Financial Closure – Ensure all mortgage and financial obligations are resolved.
Client Satisfaction – Provide a stable foundation for post-divorce financial success.

Commentary & Analysis:

The closure phase marks the transition into post-divorce financial independence. Ensuring all legal and financial responsibilities are finalized provides peace of mind. It’s also a good time to reassess long-term financial goals, update estate plans, and create a sustainable budget that reflects your new circumstances.

Secure Your Future with Divorce Mortgage Planning

Divorce mortgage planning is a structured journey that requires careful financial and legal coordination. Whether assessing affordability, exploring mortgage options, or ensuring compliance with court orders, each step is crucial to achieving a smooth transition.

For expert guidance through this process, contact Mike Chissell to navigate your next steps with confidence.

HELOC vs. Mortgage Refinance: Which One Saves You More?

mike@mikechissell.com (Mike Chissell) — Thu, 13 Feb 2025 20:25:11 GMT

Learn whether a HELOC or mortgage refinance is right for you. Find out which option saves you the most money and schedule a free finance review.

Don't Let Lending Confusion Cost You Thousands

Making the right financial decision can be overwhelming, especially when it comes to borrowing against your home. You might be wondering if your bank is giving you the best deal or if there are better options available. A mistake in choosing between a HELOC (Home Equity Line of Credit) and a mortgage refinance could cost you thousands in interest and fees. Let’s break down these options so you can make the best decision for your financial future.

What Is a HELOC? What Is Mortgage Refinancing?

A Home Equity Line of Credit (HELOC) is a flexible loan that allows you to borrow against the equity in your home. It works like a credit card—giving you access to funds as needed—but with a variable interest rate. This means your payments can fluctuate.

Mortgage refinancing, on the other hand, replaces your existing mortgage with a new one—ideally with better terms, such as a lower interest rate or a shorter loan term. This can lead to lower monthly payments or help you access cash from your home equity at a fixed rate.

HELOC vs. Mortgage Refinance: Key Differences

Why Refinancing Is the Better Choice for Most Homeowners

For many homeowners, refinancing provides the best long-term financial benefits. A HELOC can be useful in some cases, but refinancing offers greater stability, lower costs, and more predictable payments.

Here’s why:

1. Lower Interest Rates

When you refinance, you replace your existing mortgage with a new one—often at a lower fixed interest rate . Unlike a HELOC, which typically comes with a variable rate that fluctuates with the market, a refinance allows you to lock in a consistent, lower rate. This can significantly reduce your total interest payments over time.

For example, if you currently have a 6.5% mortgage and refinance to a 5% rate, you could save hundreds per month and tens of thousands over the life of the loan.

2. Stable Monthly Payments

A HELOC operates like a credit card—meaning your payments can change depending on interest rates and how much you borrow. This unpredictability can make it difficult to budget, especially if interest rates rise.

With a mortgage refinance, you lock in a fixed payment for the life of the loan, making it much easier to plan your finances. You’ll know exactly how much you owe each month, reducing stress and the risk of unexpected payment increases.

3. Debt Consolidation

If you have high-interest debt—such as credit cards, personal loans, or even a HELOC—a refinance can be a powerful tool to consolidate everything into one lower-interest payment.

Instead of juggling multiple monthly payments at high rates of 15–25% (credit cards) or 8–10% (personal loans), you can roll them into your refinanced mortgage at a much lower rate—often under 6%. This saves you money and simplifies your finances.

4. Long-Term Savings

The combined effect of lower interest rates, stable payments, and debt consolidation can save you thousands of dollars. Over the life of a 30-year mortgage, a well-timed refinance could cut years off your loan term and reduce total interest payments by tens of thousands.

Example Savings from Refinancing vs. HELOC

Let’s say you have:

A $250,000 mortgage at 6.5%
A HELOC with $50,000 borrowed at an 8% variable rate

If you refinance both into a single 5% mortgage, your monthly payments decrease, and your total interest paid drops dramatically over the life of the loan.

Bottom Line: If you plan to stay in your home for a while and want to save money in the long run, refinancing is often the superior financial choice.

When a HELOC or Reverse Mortgage Might Be the Best Option

While refinancing is generally the better option, there are cases where a HELOC or reverse mortgage makes more sense. Here’s when they could be the right fit:

When a HELOC Is a Good Idea

A Home Equity Line of Credit (HELOC) might be a better choice in specific short-term situations, such as:

You Need Short-Term Borrowing for a Home Project: If you’re planning a kitchen remodel, roof replacement, or home addition, a HELOC can give you access to funds as needed, rather than taking out a lump sum with refinancing.
You Plan to Pay Off the Balance Quickly: Since HELOCs come with variable interest rates, they’re best if you pay them off quickly—before rates increase.
You Don’t Want to Restart Your Mortgage Term: Refinancing restarts the clock on your mortgage. If you’re already 10-15 years into a 30-year loan, you may not want to extend your payments for another 30 years.

If you only make minimum payments on a HELOC and interest rates rise, your payments could skyrocket—making it harder to pay off the balance.

When a Reverse Mortgage Might Be the Best Option

A reverse mortgage can be a lifeline for retirees who need to supplement their income while staying in their homes. This type of loan allows homeowners aged 62+ to access their home equity without monthly payments.

A reverse mortgage could be a smart option when:

You’re 62+ and Need Extra Retirement Income: If your Social Security or retirement savings aren’t enough, a reverse mortgage lets you tap into your home equity for additional funds.
You Want to Stay in Your Home Without Mortgage Payments: Unlike a traditional loan, a reverse mortgage doesn’t require monthly payments—the loan is repaid when you sell your home or pass away.
You Want to Eliminate an Existing Mortgage: Many seniors use a reverse mortgage to pay off their existing mortgage, reducing monthly expenses while keeping their home.

Important Considerations:

A reverse mortgage reduces the equity in your home.
The loan must be repaid when you sell the house or leave it.
It’s not ideal if you plan to leave the home to your heirs as an inheritance.

Find the Right Loan Option for You

Unfortunately, there isn’t a one-size-fits-all solution. The best choice depends on your unique financial situation. Schedule a free finance review with us today! We’ll analyze your finances, review your loan options, and help you make the most cost-effective decision.

Get Your Free Finance Review

Complete the form below to get started:

Helping Homebuyers Navigate Mortgage Pre-Approval

Thu, 06 Feb 2025 11:36:25 GMT

A guide for Realtors to help clients with mortgage pre-approval. Learn the benefits, steps, and how Chissell Mortgage simplifies the process.

Why Mortgage Pre-Approval Matters for a Smooth Home Purchase

One of the biggest hurdles homebuyers face is securing financing. Without mortgage pre-approval, buyers may fall in love with homes they can’t afford, experience delays in making offers, or struggle to compete in a competitive market. As a Realtor, guiding clients through the pre-approval process ensures a smoother transaction, reducing stress for everyone involved.

At Chissell Mortgage Group , we specialize in helping buyers get pre-approved quickly and efficiently. By connecting your clients with a trusted lender early in the process, you set them up for a successful home search.

The Importance of Mortgage Pre-Approval

Mortgage pre-approval is a critical first step in the homebuying journey. It provides buyers with a clear understanding of their borrowing power, helping them set realistic expectations before house hunting. Here’s why pre-approval is essential:

Establishes a clear budget: Buyers avoid looking at homes outside their financial reach.
Identifies potential credit or income issues: Addressing financial concerns early prevents last-minute surprises.
Strengthens buyer confidence: Knowing they have financing in place allows buyers to move quickly on a home they love.
Improves negotiation power: Sellers take pre-approved buyers more seriously, especially in competitive markets.

At Chissell Mortgage, we take the time to walk homebuyers through their financing options, ensuring they are fully prepared before they start shopping.

Steps Involved in the Mortgage Pre-Approval Process

Understanding the mortgage pre-approval process helps Realtors guide their clients effectively. Here’s a breakdown of the key steps:

Gather financial documents: Buyers need to provide proof of income, employment, assets, and debts.
Check credit scores: Lenders assess credit history to determine loan eligibility and interest rates.
Submit a mortgage application: Buyers fill out a loan application with a lender, detailing their financial situation.
Lender review and verification: The lender evaluates financial documents, employment history, and creditworthiness.
Receive a pre-approval letter: If approved, buyers get a letter stating their loan amount, helping them shop with confidence.

At Chissell Mortgage Group, we streamline this process, providing clear guidance at every step to make pre-approval as stress-free as possible.

How Pre-Approval Helps Strengthen Purchase Offers

In a competitive market, a pre-approved buyer has a significant advantage. Sellers are more likely to accept offers from buyers who have already secured financing. Here’s how pre-approval strengthens purchase offers:

Shows serious intent: A pre-approved buyer is less likely to back out due to financing issues.
Reduces closing delays: With lender approval already in place, the process moves faster.
Gives Realtors stronger negotiating power: Buyers may have an edge over competing offers that lack pre-approval.

By working with Chissell Mortgage, your clients gain a trusted mortgage partner who can ensure they are pre-approved and ready to submit a strong offer when they find the perfect home.

Ready to Help Your Clients Get Pre-Approved?

Encourage your clients to take the first step toward homeownership by completing our Mortgage Readiness Quiz below. This quick assessment helps buyers understand their financial standing and prepares them for the pre-approval process.

For personalized guidance, connect with Chissell Mortgage Group today . We’re here to help your clients navigate mortgage pre-approval with confidence.

Steps for Divorce Planning and Your Home

mchissell1@gmail.com (Mike Chissell) — Thu, 30 Jan 2025 18:46:45 GMT

Learn how to plan for your family home during a divorce. Gain clarity, explore your options, and secure a stable financial future.

The Steps of Divorce Planning and Your Home

Divorce brings tough decisions, and one of the biggest challenges is deciding what to do with the family home. You may feel stuck—there’s significant equity in the property, but simply giving it to your ex or splitting its value may not feel fair or realistic. What are your options? The truth is, without a plan, it’s easy to feel overwhelmed and unsure of the best path forward. That’s where divorce mortgage planning comes in, helping you turn confusion into clarity.

Gain Clarity with Divorce Mortgage Planning

Planning is the key to creating a clear path toward a secure financial future. With the right guidance, you can make informed decisions about your home, equity, and long-term goals. By working with experts who understand both divorce settlements and mortgage options, you’ll gain a structured plan that empowers you to take control of your situation.

With clarity comes confidence—confidence to move forward, achieve financial stability, and make decisions that protect your future.

The Divorce Mortgage Planning Process

Breaking the process into manageable steps ensures every detail is addressed. Here’s how it works:

1️⃣ Foundation: This is where it all starts. We’ll help you clarify your goals, understand the current state of the marital home, and assess your financial picture.

2️⃣ Discovery: Together, we’ll analyze your financial documents to uncover opportunities, ensuring your mortgage options align with your divorce settlement.

3️⃣ Strategy: Once we’ve reviewed the numbers, we’ll create a tailored plan focused on cash flow, equity division, and your long-term housing needs.

4️⃣ Execution: Finally, it’s time to put the plan into action. Whether that means refinancing the home , securing a new mortgage, or exploring creative solutions like reverse mortgages, we’ll guide you through every step.

This structured approach ensures nothing is left to chance, helping you achieve the best possible outcome.

The Importance of Having the Right Team

Divorce is a challenging time, and it’s crucial to have a supportive team in your corner. Financial decisions about the home can impact your future for years to come. A Certified Divorce Lending Professional in Florida (CDLP®) can bridge the gap between legal and financial strategies, helping you navigate complex choices with clarity and precision.

At Chissell Mortgage Group, we’re here to ensure you’re not navigating this process alone. With expert guidance, you’ll feel supported and empowered every step of the way.

Contact Us Today

Take control of your future by making informed decisions about your home. Contact Chissell Mortgage Group at (727) 376-6900 or click here to download your free divorce lending guide.

Chissell Mortgage Group
NMLS #2062741

EQUAL HOUSING OPPORTUNITY

How Marital Property Affects Mortgage Decisions in Florida

mchissell1@gmail.com (Mike Chissell) — Thu, 23 Jan 2025 18:09:26 GMT

Learn how marital property affects mortgages in Florida, including retention, selling, refinancing, and protecting your financial future.

Protecting Your Family: The Uncertainty of Keeping Your Home

Divorce brings a lot of changes, and one of the biggest questions for families in Florida is: What happens to the home? Your home is more than just a property; it’s where your family feels secure and builds memories. But navigating how to keep or manage your marital home after a divorce can be overwhelming. Protecting your family means understanding your options and making informed decisions about your mortgage, whether that involves retaining, selling, or refinancing the property.

Retaining the Home: Florida's Equitable Distribution Standards

In Florida, the division of marital assets during a divorce follows equitable distribution standards. This approach ensures assets, including your home, are divided fairly, though not always equally. Deciding to retain the home is a significant choice, often influenced by emotional attachment, financial capability, and family stability. Understanding the key considerations can help you make an informed decision about this critical asset.

Who Keeps the Home?

Determining who will retain the home requires an evaluation of both financial and legal factors. In most cases, keeping the home involves a "buyout," where one spouse compensates the other for their share of the property’s equity. For example, if the home is appraised at $400,000 and the equity is $200,000, the spouse retaining the property may need to pay the other $100,000 to secure sole ownership. Alternatively, other marital assets—such as savings accounts or retirement funds—can be offset to balance the division.

In some situations, the decision about who keeps the home may require negotiation or mediation, particularly if both parties have a strong attachment to the property. Regardless of the outcome, it’s important to weigh the emotional significance of the home against the financial responsibilities it entails.

Can You Afford It?

Keeping the home means taking on its full financial burden. This includes not only the mortgage but also related costs such as taxes, insurance, and maintenance. Refinancing the mortgage is often necessary to remove your spouse’s name from the loan, and you must qualify for the new loan based solely on your income and credit profile.

Beyond the mortgage, retaining the home also means managing property taxes, which may be reassessed upon the transfer of ownership. Homeowners insurance premiums may also change, and the cost of routine upkeep or unexpected repairs can add up quickly. It’s essential to assess whether these expenses align with your long-term financial goals or if they could create undue strain. Consulting with a financial advisor can provide clarity on whether keeping the home is a sustainable option.

Legal Agreements Matter

Any decision about who retains the home should be clearly documented in the divorce settlement. This includes transferring ownership through a quitclaim deed or similar legal mechanism to ensure the retaining spouse has full title to the property. Refinancing the mortgage under one name is equally critical, as leaving your spouse on the loan creates financial liability for them, even if they no longer own the home.

A well-drafted legal agreement provides clarity and minimizes the risk of future disputes over the property. Working with experienced attorneys ensures that all necessary legal steps are completed accurately and in compliance with Florida’s laws.

For Families with Children

For parents, the decision to retain the family home often goes beyond financial considerations. Staying in the same home can provide children with stability during an emotionally challenging time. It allows them to remain in their school district, maintain friendships, and avoid the upheaval of a move.

While this sense of continuity is valuable, it must be balanced against the financial realities of keeping the home. If retaining the property creates financial strain or limits your ability to meet other obligations, it may be worth exploring alternative options, such as selling the home and reinvesting in a more manageable property.

Making the Right Decision

Retaining the home can offer emotional comfort and stability, but it also comes with significant responsibilities. Carefully evaluate your financial capability, the legal steps required, and your long-term goals before making a decision. Seeking guidance from professionals—such as attorneys, financial advisors, or Certified Divorce Lending Professionals—can help ensure you make the best choice for your future and your family’s well-being.

Refinancing After Divorce: Removing a Spouse From the Mortgage

If one party retains the home, refinancing is often necessary to remove the other spouse from the mortgage . Here’s what you need to know:

Qualifying for Refinancing: The spouse keeping the home must qualify for the loan on their own. This includes meeting income, credit, and debt-to-income requirements.

Updating the Title: Removing a spouse from the mortgage does not automatically remove them from the property title. A quitclaim deed or other legal documentation is needed to finalize the transfer.

Timing Matters: Refinancing should be done promptly after the divorce to avoid complications with payments or ownership disputes.

Refinancing can streamline the process of separating financial ties, but it requires careful planning to ensure it aligns with your financial goals.

Selling the Home: Tax Implications and Timing for Buying Again

Selling the home is another common route, especially when neither party wants to shoulder the financial or emotional burden of the property. Here's what to keep in mind:

Capital Gains Tax

In Florida, the IRS allows an exclusion of up to $250,000 for individuals ($500,000 for couples) on capital gains if you’ve lived in the home for at least two of the past five years. Laws change frequently, please contact Chissell Mortgage or your attorney for the most recent information, (727) 376-6900 .

Time Frames

Selling the home may take weeks or months, depending on market conditions. Plan accordingly if you need the proceeds to purchase a new property.

Transitioning to a New Home

If you’re planning to buy again, consider how the sale affects your mortgage qualifications, such as debt-to-income ratios and credit scores.

Selling can free up resources and allow both parties to make a fresh start, but it’s essential to weigh all financial and emotional considerations before listing the property.

Make Informed Mortgage Decisions With Chissell Mortgage

Divorce and mortgage decisions are deeply intertwined, and there’s no one-size-fits-all solution. Protecting your financial future starts with understanding your options. There are lots of details and information that are critical for making sure your circumstances and goals are aligned with your mortgage planning.

Contact Mike at Chissell Mortgage. Mike is a Certified Divorce Lending Professional who understands all the options and can guide you through the decision-making process.

�� (727) 376-6900

�� mike@mikechissell.com

Chissell Mortgage Group
NMLS #2062741
1817 Cypress Brook Drive, Suite 104, Trinity, FL 34655

Mortgage Pre-Qualification vs. Divorce Mortgage Planning

ryan@mikechissell.com (Ryan Chissell) — Thu, 09 Jan 2025 12:12:52 GMT

Mortgage Pre-Qualification vs. Divorce Mortgage Planning: A Critical Difference

Understand the critical differences between mortgage pre-qualification and divorce mortgage planning for a secure financial future post-divorce.

The Chaos of Divorce and the Need for Financial Clarity

Divorce is one of life’s most challenging transitions, filled with emotional, logistical, and financial complexities. In the midst of deciding custody arrangements, dividing assets, and planning for a new life, it’s easy to overlook a crucial aspect: your future housing situation. Whether you’re considering divorce or already in the process, the decisions you make about your mortgage will significantly impact your financial stability. This is where the distinction between mortgage pre-qualification and divorce mortgage planning becomes critical. One provides a simplistic snapshot, while the other offers a detailed roadmap that takes your unique circumstances into account.

Pre-Qualification: A Basic Starting Point

Mortgage pre-qualification remains a common first step in home financing, but it’s far too simplistic to address the financial nuances of divorce. While it provides a quick snapshot of your borrowing power based on basic financial details like income and credit score, it overlooks critical factors like joint debts, divided assets, and long-term financial goals.

Think of pre-qualification as a “one-size-fits-all” approach. It’s helpful for a general idea of what you might qualify for, but it doesn’t offer the depth of analysis or personalized guidance you’ll need to make informed decisions during a divorce.

What Is Divorce Mortgage Planning? A Strategic, Holistic Approach

Divorce mortgage planning offers more than just a ballpark figure for your borrowing potential—it’s a comprehensive, future-focused process that accounts for the complexities of divorce. With the help of a Certified Divorce Lending Professional (CDLP®), this approach dives deep into your financial landscape and aligns your mortgage decisions with your long-term goals.

A Comprehensive Financial Analysis

Unlike the simplistic calculations of mortgage pre-qualification, divorce mortgage planning begins with a full evaluation of your financial picture. This includes your income, assets, debts, and even your future cash flow projections. CDLP®s understand that your financial life doesn’t exist in a vacuum—it’s interconnected with the realities of your divorce settlement and life goals.

Settlement Integration

Your divorce settlement plays a pivotal role in shaping your financial future, and it’s one of the critical elements a CDLP® considers.

For example:

How does the division of assets impact your ability to qualify for a mortgage?
Will spousal support or child support payments affect your income calculations?
Are there tax implications that could shift your financial standing?

By carefully analyzing the settlement, a CDLP® ensures that your mortgage strategy aligns with the terms of your divorce, avoiding potential pitfalls and ensuring a seamless transition to homeownership.

Future-Focused Strategies

Divorce mortgage planning doesn’t just stop at the immediate need for a mortgage. It incorporates long-term strategies that help you rebuild your financial stability. Whether it’s improving your credit, planning for retirement, or managing debt, this approach ensures that your mortgage decisions are part of a broader plan to achieve your post-divorce goals.

Collaborative Divorce Mortgage Planning: A Team Effort

Divorce isn’t just about dividing assets—it’s about creating a new foundation for your life. That’s why collaboration is at the heart of divorce mortgage planning. A CDLP® doesn’t work in isolation; they’re part of a team that includes your attorney, financial advisor, and mediator, all working together to craft a plan that safeguards your future.

Identifying and Resolving Conflicts

During the divorce process, your financial team may encounter settlement terms that could conflict with mortgage guidelines. For example, joint debts might affect your debt-to-income ratio, or the structure of spousal support payments might make it harder to qualify for a loan. A CDLP® identifies these potential issues early and works with your team to resolve them, ensuring that your mortgage plan is feasible and aligned with your goals.

Developing Tailored Solutions

No two divorces are alike, and neither are the financial strategies required to navigate them. A CDLP® brings creativity and expertise to the table, offering solutions such as:

Debt restructuring to meet mortgage eligibility criteria.
Exploring alternative financing options for unique situations.
Developing strategies to optimize cash flow while maintaining long-term stability.

Strengthening Communication Among Your Team

When managing a divorce, multiple professionals are working toward the same goal. Unfortunately, miscommunication can derail even the best plans. A CDLP® serves as a bridge between your legal and financial advisors, ensuring that everyone is on the same page. This collaboration leads to a cohesive strategy that protects your financial future while minimizing stress during an already challenging time.

The CDLP® Advantage: Expertise Beyond Pre-Qualification

One of the most significant differences between mortgage pre-qualification and divorce mortgage planning is the level of expertise involved. While pre-qualification provides a basic estimate, a CDLP® dives deep into the intricate financial realities of divorce to craft a comprehensive plan.

Certified Divorce Lending Professionals are trained to understand how divorce impacts property division, spousal support, and tax liabilities. Our specialized knowledge ensures you’re not just checking boxes for mortgage approval but setting yourself up for long-term success.

A Personalized Roadmap to Financial Stability

The true value of divorce mortgage planning lies in its ability to create a personalized roadmap for your financial future. This roadmap includes:

Current Financial Assessment: A realistic evaluation of your income, debts, and assets to determine what’s possible today.
Future Financial Planning: Strategies to align your mortgage decisions with long-term goals like retirement savings or rebuilding credit.
Proactive Solutions: Addressing potential challenges, such as joint debts or settlement conflicts, before they become roadblocks.

This process isn’t just about securing a mortgage; it’s about creating a stable foundation for the next chapter of your life.

Brochure: Divorce Mortgage Planning vs. Pre-Qualification

Don’t let the complexities of divorce derail your financial future. Download the CDLP Brochure: Divorce Mortgage Planning vs. Pre-Qualification today to learn how comprehensive planning can safeguard your financial stability. Take the first step toward clarity and confidence—your future self will thank you.

Take the Next Step with Chissell Mortgage

If you are going through a divorce and need help navigating the financial complexities of refinancing or selling your home, reach out to Chissell Mortgage. Let us help you make informed decisions and reduce the stress of the process.

�� Call us today at (727) 376-6900
�� Complete our Refinancing Form to get started.

Your future starts with the right decisions today. Let Chissell Mortgage guide you.

Divorce Mortgage Planning Experts Near You

mchissell1@gmail.com (Mike Chissell) — Thu, 02 Jan 2025 20:02:38 GMT

Divorce Decisions Are Hard: Navigating the Emotional and Financial Chaos

Struggling with mortgage decisions during divorce? Learn how Chissell Mortgage can help navigate your options for a better outcome.

Divorce is never easy. It’s a time of emotional turmoil, heightened stress, and difficult decisions. When it comes to financial matters—like deciding what to do with the family home—the stakes are even higher. Trying to agree on something as significant as housing while emotions run high can feel almost impossible. The frustration of negotiations, the complexity of the mortgage process, and the weight of making decisions that impact your future can leave anyone feeling overwhelmed. This is where having an experienced guide can make all the difference.

Why You Need an Experienced Team for Divorce Mortgage Planning

When two people are going through a divorce, emotions can run high, making financial negotiations difficult. A Certified Divorce Lending Professional (CDLP®) like Mike Chissell with Chissell Mortgage Group acts as a neutral party, helping navigate between two individuals who may not agree on much. This expertise is crucial for reaching equitable outcomes that benefit both parties and comply with mortgage guidelines.

A CDLP’s role goes beyond lending; they understand the financial and legal complexities involved in divorce. Their ability to mediate between parties ensures that the housing decisions made during divorce are strategic, fair, and financially sound. Having an expert like Mike in your corner helps reduce stress, manage conflicts, and create solutions tailored to your unique situation.

The Five Keys to Successful Divorce Mortgage Planning

Understand Goals and Housing Needs
Divorce mortgage planning starts with understanding the goals of each spouse. Does one party want to keep the house? Is selling the property and splitting the equity the best solution? A clear understanding of each party’s objectives sets the foundation for successful negotiations.
Strategize Housing Options
Once goals are understood, the next step is identifying strategic options. This may include refinancing the home to buy out the other spouse, selling the property, or transferring ownership while complying with mortgage underwriting guidelines. Each option must be evaluated for long-term financial stability.
Create Collaborative Solutions
A CDLP® brings critical thinking and problem-solving skills to the table. They help both parties let go of unproductive stances and focus on finding workable solutions, such as dividing equity or structuring payments. This collaborative approach ensures fair outcomes for everyone involved.
Finalize Settlement Agreements
Incorporating the agreed-upon mortgage strategies into the divorce settlement is essential. The agreement must be clear, concise, and compliant with lending guidelines to avoid future conflicts. A CDLP® ensures that the settlement aligns with mortgage requirements.
The Role of the CDLP®
A CDLP® is uniquely qualified to bridge the gap between legal, financial, and real estate planning during divorce. Their specialized training allows them to create housing solutions that meet both spouses’ needs while keeping future financial goals in focus.

Why Working with a CDLP® Matters

Divorce mortgage planning isn’t just about the numbers—it’s about the future. A CDLP® like Mike Chissell brings a unique perspective that works with a divorce team who integrates family law & tax consideration partners, real estate expertise, and financial planning into the mortgage process. We help ensure that housing decisions are not just equitable but also sustainable for years to come.

Chissell Mortgage is proud to have CDLP® expertise, ensuring that our clients receive the guidance they need during one of life’s most challenging times. From understanding your options to negotiating fair solutions, we’re here to support you every step of the way.

Take the Next Step with Chissell Mortgage

�� Call us today at (727) 376-6900
�� Complete our Refinancing Form to get started.

Your future starts with the right decisions today. Let Chissell Mortgage guide you.

Happy Holidays from Chissell Mortgage Group

mike@mikechissell.com (Mike Chissell) — Tue, 24 Dec 2024 17:00:04 GMT

Happy Holidays from Chissell Mortgage Group

As the holiday season unfolds, it’s hard not to get swept up in the magic of this time of year. At Chissell Mortgage Group , we cherish the festive atmosphere, the joy of togetherness, and the anticipation of fresh starts that the season brings. Whether it’s the warmth of a family gathering, the twinkle of holiday lights, or the excitement of planning for the year ahead, this season is truly special.

Embracing the Spirit of the Season

One of the things we love most about this time of year is the unmistakable spirit in the air. The kindness and generosity of people are on full display, reminding us what the holidays are truly about. Communities come together, neighbors lend a helping hand, and the simple joys of the season shine through. At Chissell Mortgage Group, we take inspiration from this festive spirit as we reflect on the relationships we’ve built and the dreams we’ve helped make possible.

Cherishing Togetherness with Family and Friends

The holidays are also a time to slow down and savor the company of loved ones. From cozy nights by the fire to cheerful holiday dinners, these moments remind us of what truly matters. At Chissell Mortgage Group, we understand the importance of creating spaces where these memories can unfold. Homes are where traditions are born, and we’re honored to play a part in helping families find the perfect place to call their own.

Looking Ahead to New Beginnings

As the year comes to a close, the holidays mark the start of many new beginnings. For some, this might mean finding a bigger home to accommodate a growing family, downsizing to simplify life, or refinancing to meet new financial goals. The real estate season ahead will be bustling with possibilities, and Chissell Mortgage Group is here to guide you every step of the way.

Wishing You Joy, Peace, and New Opportunities

From all of us at Chissell Mortgage Group, we want to thank you for being part of our community and allowing us to support your journey. As you celebrate this holiday season, may your days be filled with warmth, laughter, and love. We look forward to helping you make your dreams a reality in the new year.

Happy Holidays and best wishes for an amazing 2025!

Commercial Property Mortgage Brokers | Expert Financing

mchissell1@gmail.com (Mike Chissell) — Thu, 19 Dec 2024 11:17:04 GMT

Commercial Property Mortgage Brokers: Find the Best Financing Options

Buying commercial property , whether for investment rentals or a business location, can feel overwhelming. The options for financing are more complex than residential mortgages, and understanding which loan is right for your needs can be challenging. Without guidance, you might end up with financing that doesn’t align with your goals or costs more than it should. This is where commercial property mortgage brokers make a difference. They help you navigate the maze of financing options to secure the best terms for your property investment or business purchase

Differences Between Commercial and Residential Mortgages

Commercial mortgages and residential mortgages differ in significant ways, making it essential to understand these distinctions when financing a property.

Purpose: Residential mortgages are for homes you live in, while commercial mortgages are for income-generating properties or business premises.
Loan Terms: Commercial loans typically have shorter repayment terms, often 5-20 years, compared to 15-30 years for residential loans.
Interest Rates: Commercial mortgage rates are usually higher due to increased risk.
Down Payments: Commercial properties generally require higher down payments, often 20% or more.
Approval Process: Commercial loans often require more extensive documentation and analysis of the property’s income potential.

These differences highlight the need for specialized expertise when securing financing for commercial real estate.

FHA Loans for 4 Units or Less vs. Commercial Property and Apartment Buildings

FHA loans are often a great option for financing residential properties with up to 4 units, such as duplexes or triplexes. These loans offer low down payments, as little as 3.5%, and favorable interest rates. The key benefit is that you can live in one of the units while renting out the others, making it a popular choice for first-time investors.

However, once you move beyond 4 units, the property is considered a commercial investment. Apartment buildings with 5 or more units require commercial mortgages, which come with different terms, higher down payments, and stricter qualification requirements. Financing these properties often involves SBA loans, conventional loans, or asset-based loans, depending on your financial situation and goals.

Your Options for Financing

FHA Loans: Best for residential properties with up to 4 units.
SBA 7(a) or SBA 504 Loans: Suitable for small businesses or expanding investments.
Bridge Loans: Ideal for short-term needs while securing long-term financing.
Conventional Commercial Loans: Great for well-qualified borrowers seeking flexibility.
Property Investor Loans: Tailored for income-generating rental properties.

Understanding these distinctions helps you select the right financing and ensures you’re prepared for the unique challenges of commercial real estate.

Types of Commercial Mortgages

There are several types of commercial mortgages available, each suited to different needs. Understanding these options can help you choose the right financing for your property.

SBA 7(a) Loans

The SBA 7(a) Loan is popular for small businesses looking to purchase or refinance real estate. It offers low down payments and longer repayment terms, making it an accessible option for many entrepreneurs.

SBA 504 Loans

The SBA 504 Loan is designed for businesses looking to expand or purchase fixed assets like commercial real estate. It features low-interest rates and long repayment terms, perfect for large purchases.

Bridge Loans

Bridge Loans are short-term financing solutions that "bridge" the gap until permanent financing is secured. These loans are ideal for businesses needing quick capital for a purchase or to cover expenses during a transition.

Asset-Based Loans

Asset-Based Loans use the property or other business assets as collateral. These loans are helpful when traditional financing options are unavailable due to credit challenges or cash flow issues.

Property Investor Loans

For those purchasing commercial real estate as an investment, Property Investor Loans offer financing based on the property's potential rental income. These loans are ideal for landlords and property developers.

Conventional Loans

Conventional Loans are provided by banks or private lenders and often offer flexible terms for well-qualified borrowers. They are suitable for those with strong credit histories and solid business financials.

Other Popular Options

Hard Money Loans: Short-term loans from private lenders, often used when speed is crucial.
CMBS Loans: Commercial Mortgage-Backed Securities loans are packaged and sold to investors, offering fixed rates and long terms.
Mezzanine Financing: A hybrid loan that combines debt and equity financing, typically used for large projects.

The Importance of Working with a Mortgage Broker for Commercial Property Financing

Navigating commercial real estate financing is complex, and working with a mortgage broker can simplify the process. Here’s why partnering with a broker is crucial:

Access to More Options: Brokers have relationships with various lenders, giving you access to more loan products than you’d find on your own.
Expert Guidance: Brokers understand the nuances of commercial lending and can match you with the best loan for your specific needs.
Save Time and Money: Brokers handle the research, paperwork, and negotiation, ensuring you get the best terms without the hassle.
Customized Solutions: They tailor financing solutions to your business goals and property type.

A mortgage broker helps you avoid costly mistakes and secure financing that sets your business or investment up for success.

Ready to Start? Apply for a Commercial Loan Today

If you’re ready to explore your commercial property financing options, take the first step by starting your application with Chissell Mortgage Group. Our expert brokers are here to guide you through every stage of the process.

Start a Commercial Loan Application and find the financing solution that fits your needs.

Tampa Bay Homebuyers: October 2024 Real Estate Market Insights

ryan@mikechissell.com (Ryan Chissell) — Tue, 08 Oct 2024 18:26:55 GMT

Navigating a Changing Real Estate Market: Insights for Tampa Bay Homebuyers

The Tampa Bay real estate market is in a constant state of flux, with shifts in buyer preferences, market demand, and economic factors creating both opportunities and challenges for prospective homebuyers. As the region experiences demographic shifts and varying trends across counties, it becomes increasingly difficult to predict the market’s future with certainty. However, by understanding key patterns and trends, you can make informed decisions. In this post, we’ll unpack some of the most recent data for Tampa Bay’s single-family homes and condo markets to help you navigate these uncertain waters.

Curious about the latest shifts in Tampa Bay’s real estate market?

In our newest podcast episode, we dive deep into the trends shaping the future of home buying and selling across Pinellas, Hillsborough, and Manatee Counties. From rising condo sales to neighborhood-specific activity, our experts break down the data and explain what it means for you. Whether you're a first-time buyer, investor, or simply keeping an eye on the market, this episode is packed with insights you won’t want to miss!

Want an inside look at the latest Tampa Bay real estate trends?

Download our exclusive PDF report for a detailed breakdown of the data shaping the market today. From condo sales to single-family home trends, this report offers valuable insights to help you make informed decisions. Whether you're buying, selling, or just staying informed, this is a must-read!

�� Download the Tampa Bay Real Estate Report Now

Shifting Trends in the Pinellas County Condo Market

One of the most interesting takeaways from recent reports is the shift in the Pinellas County condo market. While the overall sales volume is up compared to last year, the total value of those sales is down. This trend points to an increase in the sale of smaller, more affordable units like studios and one-bedroom condos. These lower-priced properties are gaining traction, particularly among first-time buyers and investors. Understanding buyer behavior in this segment can help you identify whether this might be the right time to enter the condo market in Pinellas County.

Demographic Influences on Hillsborough County’s Real Estate Surge

Hillsborough County is experiencing significant growth in its single-family home market, with a notable surge in sales volume. A key driver of this trend appears to be specific demographic groups showing strong interest in targeted neighborhoods. This increase in buyer demand, particularly from families or new residents attracted by job opportunities, has led to some neighborhoods seeing a ripple effect in property transactions. If you’re considering buying in Hillsborough, it’s worth taking a closer look at which neighborhoods are currently in demand and what’s driving those trends.

Market Slowdown in Manatee County: What Does it Mean?

While Hillsborough County thrives, Manatee County is showing signs of a slowdown in its single-family home market. This could be an indication that some buyers are being priced out of hotter markets and expanding their search to areas perceived as more affordable. It’s too early to say definitively, but this spillover effect could present opportunities for those looking for more affordable options just outside the most competitive areas. As always, keeping an eye on neighboring markets can help you stay ahead of the curve.

The Impact of Daily Market Fluctuations

Real estate is not only about long-term trends but also about those daily shifts that can dramatically change the landscape. In some counties, sudden spikes in new listings or sales might be triggered by local or even global events, such as a major economic announcement or seasonal factors like school schedules. These fluctuations can create both risks and opportunities, so it’s essential to stay informed and be ready to act when the time is right.

Making Sense of Tampa Bay’s Real Estate Puzzle

Tampa Bay’s real estate market is much like a puzzle, with multiple pieces that need to come together for a clear picture. From broad economic indicators like job growth to hyperlocal trends in specific neighborhoods, there’s no one-size-fits-all approach. That’s why it’s crucial for buyers and sellers alike to dig deeper into the data and consult with experts to make the best decisions for their unique situations.

Contact Chissell Mortgage Today for Expert Guidance

As you navigate Tampa Bay’s dynamic real estate market, having the right mortgage partner can make all the difference. At Chissell Mortgage, we’re here to help you find the loan that best suits your needs.

Call Us:

Email Us:

Have questions about the lending process? Reach out via email.
Ryan@mikechissell.com

August 2024 Pasco County Real Estate Market Update

ryan@mikechissell.com (Ryan Chissell) — Wed, 07 Aug 2024 14:50:41 GMT

Here’s your comprehensive update on the Pasco County real estate market, covering the last four weeks up to August 7, 2024 ( source PRO ). We’ll dive into key metrics and trends for single-family homes and condos in Pasco County. Let’s see how the market is performing and what it means for buyers and sellers.

Pasco County Single-Family Homes

In the past four weeks, the Pasco County single-family home market has shown notable activity:

Active Listings: 1,221
Canceled Listings: 215
Pending Sales: 826
Closed Sales: 847
Temporarily Off-Market: 73

The market activity for single-family homes in Pasco County is vibrant, with a significant number of closed sales and active listings. The relatively high number of active listings indicates a healthy level of market supply, while the substantial number of pending and closed sales reflects strong demand. The number of canceled listings suggests some volatility, which could be due to pricing adjustments or shifting buyer preferences.

Pasco County Condos

The condo market in Pasco County also demonstrates significant activity:

Active Listings: 112
Canceled Listings: 20
Pending Sales: 47
Closed Sales: 35
Temporarily Off-Market: 7

The condo market in Pasco County shows a lower level of inventory compared to single-family homes but still maintains a steady flow of sales. The number of closed sales, although lower than single-family homes, indicates consistent demand. The relatively few canceled listings suggest that the condo market is more stable and less prone to volatility.

Market Dynamics

The Pasco County real estate market is characterized by:

High Demand: The number of closed sales in both single-family homes and condos indicates strong demand in the market.
Inventory Levels: The significant inventory levels, particularly in single-family homes, provide ample choices for buyers, although the high number of cancellations suggests a need for price adjustments or other market corrections.
Time to Contract and Sale: The efficient median time to contract and sale reflects a market where properties are moving quickly, benefiting sellers.

Analysis

The Pasco County real estate market is dynamic and active, with high demand driving quick sales in both the single-family home and condo segments. However, the market also shows signs of volatility, particularly in the single-family home sector, with a notable number of canceled listings. This could indicate the need for pricing adjustments or reflect changing buyer preferences. The quick turnaround from listing to sale is a positive sign for sellers, suggesting that well-priced properties are in high demand and do not stay on the market for long.

Download the full report here.

Numerous Opportunities

The Pasco County real estate market offers numerous opportunities for both buyers and sellers. High demand and efficient sales processes favor sellers, while the substantial inventory provides plenty of options for buyers. Monitoring price adjustments and market trends will be crucial for making informed decisions in this dynamic market.

Contact Us

For personalized real estate advice or mortgage services, feel free to reach out:

Phone : (727) 376-6900
Email : ryan@chissellmg.com
Address : 1817 Cypress Brook Drive, Suite 104, Trinity, FL 34655

At Chissell Mortgage Group, NMLS #2062741, we’re committed to helping you navigate the real estate market with ease and confidence. Stay tuned for more updates, and happy house hunting!

5 Star Review: Finding the Best Broker in Pasco County

mchissell1@gmail.com (Mike Chissell) — Wed, 10 Apr 2024 18:17:04 GMT

5 Star Review: Finding the Best Broker in Pasco County

Finding the right broker can feel like searching for a needle in a haystack. With all of your choices, it's essential to find a partner who not only understands your financial goals but also navigates you through the complexities of the mortgage process with ease. Enter Chissell Mortgage Group, your trusted mortgage advisor.

Proudly Serving Clients Like M Linq

At Chissell Mortgage Group, we take pride in every client we assist, including people like M Linq. Their recent review speaks volumes about our commitment to excellence. M Linq says, “Great people and great experience with Ryan, Debbie, and the whole team. Highly recommend. Very knowledgeable and quick performers.” Such testimonials reinforce our dedication to providing top-notch service, personalized attention, and swift solutions to our clients' mortgage needs.

A Glowing Testimonial: M Linq's 5-Star Review

M Linq's review is the essence of what we strive for at Chissell Mortgage Group. With a focus on exceptional customer service and expert guidance, our team, led by professionals like Ryan and Mike, ensures that each client's journey is smooth sailing from start to finish. M Linq's words are similar to many other satisfied clients, highlighting our unwavering commitment to excellence.

Empowering Pasco County, One Mortgage at a Time

Pasco County holds a special place in our hearts. It's not just a location; it's a community we're honored to serve. At Chissell Mortgage Group, we're delighted to be able to make a positive impact on the lives of individuals and families across Pasco County by providing them with the keys to homeownership . Seeing the smiles on our clients' faces as they achieve their homeownership dreams is what drives us every day.

Take the Next Step: Complete Your Mortgage Application Today

Ready to embark on your homeownership journey with confidence? Look no further than Chissell Mortgage Group. Whether you're a first-time buyer , refinancing your current home, or exploring investment opportunities, our team is here to guide you every step of the way. Don't let the complexities of the mortgage process overwhelm you. Take action today and complete your mortgage application with Chissell Mortgage Group. Your dream home awaits!

Celebrating a Dream Come True: First-Time Home Buyer Success in Trinity, Florida

ryan@mikechissell.com (Ryan Chissell) — Wed, 14 Feb 2024 19:39:35 GMT

Embarking on the Journey: The Challenge of Being a First-Time Home Buyer

Stepping into the world of homeownership is an exhilarating yet daunting journey, especially for first-time buyers. The maze of the mortgage process, with its intricate financial details and legal intricacies, can often feel overwhelming. At Chissell Mortgage Group NMLS 2062741, we understand these challenges intimately. We believe in transforming this journey from a complex puzzle into an enjoyable and fulfilling experience. Let's dive into how we recently turned a dream into reality for a new homeowner in the charming community of Trinity, Florida.

�� Empowering First-Time Buyers

Understanding Mortgages: Simplified for You

Our recent home closing in Trinity, Florida, is a testament to our unwavering commitment to empowering first-time buyers. We recognize that grasping the nuances of mortgages is no small feat. That's why our team at Chissell Mortgage Group is dedicated to demystifying the mortgage process, ensuring that what seems like a daunting task becomes an exciting and manageable step towards your dream home.

�� Expert Guidance, Tailored Solutions

Navigating the Property Market with Ease

Every homebuyer's journey is unique, and so are their needs. Our approach is tailored to fit these individual requirements. In Trinity, we guided our client through the maze of mortgage options and the local property market's complexities. Our expert guidance is designed to provide clarity and confidence, helping our clients make informed decisions that lead them to the doorstep of their ideal home.

�� Trinity: A Place to Call Home

Discovering Florida's Hidden Gem

Trinity, Florida, is more than just a location; it's a vibrant community waiting to be called 'home.' With its charming appeal and welcoming atmosphere, it represents the perfect backdrop for new beginnings. At Chissell Mortgage Group, we take pride in introducing our clients to such hidden gems, ensuring that the house they buy is not just a property but a cherished home.

�� Join Our Family of Happy Homeowners

Your Dream Home Awaits in Trinity

Are you contemplating the leap into homeownership in Trinity or know someone who is? At Chissell Mortgage Group NMLS 2062741, we invite you to join our growing family of happy homeowners. Let us guide you in turning your aspiration of owning a dream home into a tangible reality.

�� Contact us at 727-376-6900

Unveiling the Power of FHA Streamline Refinances & VA IRRRLs

ryan@mikechissell.com (Ryan Chissell) — Wed, 20 Dec 2023 19:19:14 GMT

Breaking Free from the Chains of High Interest Rates

Are high interest rates turning your dream of affordable homeownership into a financial nightmare? It's time to liberate yourself from the shackles of exorbitant mortgage costs. If you're grappling with steep interest rates on your current FHA or VA mortgage, there's a beacon of hope on the horizon. Join us on a journey to financial freedom as we explore the transformative power of FHA Streamline Refinances and VA IRRRLs. Say goodbye to the burden of high interest rates and hello to a more secure and prosperous future.

FHA Streamline Refinances: Streamlining Your Path to Financial Relief

The Fast Track to Lower Interest Rates

Are you drowning in the complexities of mortgage refinancing? Fear not, for the FHA Streamline Refinance is here to simplify your financial journey. In this section, we'll dissect the streamlined process of FHA Streamline Refinances, explore the eligibility criteria, and unveil the impressive benefits that await. Say farewell to the cumbersome paperwork and hello to a faster, more efficient route to lower interest rates.

VA IRRRLs: Guiding Veterans to Interest Rate Nirvana

The Veterans' Celestial Route to Interest Rate Reduction

For our esteemed veterans, the VA IRRRL (Interest Rate Reduction Refinance Loan) is a powerful tool that can guide you to interest rate nirvana. This section will delve into the unique features of VA IRRRLs, outline eligibility requirements, and showcase the exceptional advantages they bring. Your service to the nation deserves a mortgage that honors your sacrifice — let the VA IRRRL lead the way to reduced interest rates and financial security.

Why Choose Chissell Mortgage Group: Your Trusted Partner in Financial Wellness

Navigating the Mortgage Landscape with Confidence

Amidst the sea of mortgage options, why should you choose Chissell Mortgage Group as your trusted guide? In this section, we'll highlight the reasons that set Chissell Mortgage apart. From a commitment to personalized service to a track record of successful refinances, discover why countless homeowners trust Chissell Mortgage Group to navigate the intricate landscape of mortgage solutions.

Secure Your Financial Future with Chissell Mortgage Group

Embark on Your Refinance Journey Today

Ready to take control of your financial future? The call to action is clear — partner with Chissell Mortgage Group. Visit chissellmg.com or call 727-376-6900 to connect with our team of experts. Don't let high interest rates be a stumbling block on your path to financial freedom. Secure your seat on the Savings Express with Chissell Mortgage Group and embark on a journey towards lower interest rates and a brighter financial horizon.

A New Chapter in Financial Wellness Begins

Bid farewell to high interest rates and usher in a new chapter of financial wellness. With FHA Streamline Refinances, VA IRRRLs, and the trusted guidance of Chissell Mortgage Group, you're not just refinancing your mortgage — you're transforming your financial future. The path to lower interest rates and greater stability begins with a single step. Take that step today with Chissell Mortgage Group and unlock the door to a more secure and prosperous tomorrow.

Please visit our website at www.chissellmg.com for more information or call us at the office at 727-376-6900 . We’re more than happy to help save you some money!

NMLS ID: 327290; NMLS ID: 2062741

Equal Housing Opportunity

Florida’s Hometown Heroes Program Revived with Limited Funding

ryan@mikechissell.com (Ryan Chissell) — Wed, 08 Nov 2023 19:02:11 GMT

The Clock is Ticking: Florida’s Hometown Heroes Program Revived with Limited Funding

In a remarkable yet fleeting victory for aspiring homeowners, the Hometown Heroes program has made a much-anticipated comeback.

Initially, when the floodgates were opened to the public, the resources were depleted in under two months, leaving numerous potential buyers in the lurch. However, due to its overwhelming popularity, the State of Florida has infused an additional $36 million into the program. But make no mistake – these funds are expected to dissipate swiftly. Now is the time to act, to secure your slice of the Hometown Heroes pie before it vanishes once more.

The Clock is Ticking: Florida’s Hometown Heroes Program Revived with Limited Funding

In a remarkable yet fleeting victory for aspiring homeowners, the Hometown Heroes program has made a much-anticipated comeback. Initially, when the floodgates were opened to the public, the resources were depleted in under two months, leaving numerous potential buyers in the lurch. However, due to its overwhelming popularity, the State of Florida has infused an additional $36 million into the program. But make no mistake – these funds are expected to dissipate swiftly. Now is the time to act, to secure your slice of the Hometown Heroes pie before it vanishes once more.

Understanding the Hometown Heroes Program

The Hometown Heroes program is designed as a lifeline for first-time, income-qualified homebuyers, offering vital financial assistance for down payments and closing costs. Its mission? To empower those who serve and have served our country and communities to own a home in the areas they enrich with their service. Qualifying full-time workforce members employed in Florida can avail themselves of several benefits, including:

Below-market interest rates on mortgages through various loan options.
A reprieve on upfront fees, origination points, and discount points.
Down payment and closing cost assistance up to 5% of the mortgage loan amount, capped at $35,000.
Assistance provided as a 0% second mortgage, due upon the sale or transfer of the property, or if it ceases to be the primary residence.

It’s a robust support system, but not a grant – the assistance provided must eventually be repaid, preserving the program's integrity and continuation.

Securing Your Funding Through Chissell Mortgage

Chissell Mortgage, a licensed mortgage brokerage in Florida, stands ready to be your ally in securing Hometown Heroes funding. With expertise and a track record of success, Chissell Mortgage can navigate the intricacies of the application process on your behalf. Their seasoned professionals are equipped to ensure your funding is locked in, safeguarding your home purchase journey.

The Race Against Time: Limited Funding Available

The rekindled flame of the Hometown Heroes program is akin to a shooting star – brilliant but brief. With a finite pool of $36 million, the expectation is a rapid depletion of funds, mirroring the program's initial run. The urgency to act cannot be overstated. Prospective homebuyers must move quickly to benefit from this rare opportunity.

Act Now: Begin Your Hometown Heroes Journey with Chissell Mortgage

The opportunity is knocking, but not for long. Don't let the chance to secure your home with the help of the Hometown Heroes program slip through your fingers. Start your application process today with Chissell Mortgage. Seize the moment and call (727) 376-6900 to pave your path to homeownership. The funds won't wait, and neither should you.

And for first-time homebuyers check out our series " The Mortgage Process ".

NMLS ID: 327290; NMLS ID: 2062741

Equal Housing Opportunity

2024 Conventional Loan Limit is Here!

mchissell1@gmail.com (Mike Chissell) — Fri, 13 Oct 2023 13:59:23 GMT

UPDATE: The Loan Limit has increased from the initial $750,000 value to $766,550 after the original video was posted!

Exciting developments are on the horizon for prospective homebuyers! As we approach 2024, certain lenders have proactively adopted a new conforming loan limit of $766,550. This is a significant increase from 2023's cap of $726,200. But what does this mean for you?

In essence, you now have the opportunity to obtain a larger loan amount—up to $766,550—to be precise, without venturing into the realm of jumbo loans. It's worth noting that jumbo loans often come with higher interest rates and additional fees. This adjustment amplifies the purchasing power of borrowers, enabling them to explore a wider range of properties.

To put this into perspective, here's how you can leverage the new limit:

Opting for a USDA Loan? With 0% down, you can now consider a property with a sales price and loan amount as high as $766,550.
Considering a Conventional Loan? With a down payment of just 5%, you can target homes priced up to $789,000.
Aiming for a Larger Down Payment ? For those planning on a 20% down payment, properties with a maximum sales price of $937,500 are now within reach.

These are just a handful of scenarios that showcase the potential benefits of the updated conforming loan limit. At Chissell Mortgage Group, we're committed to guiding you through these changes and ensuring you make the most of the opportunities they present.

Have any questions about the 2024 conforming loan limit or any other mortgage-related concerns? Don't hesitate to reach out to us here . We're here to assist you every step of the way.

And for first-time homebuyers check out our series " The Mortgage Process ".

NMLS ID: 327290; NMLS ID: 2062741

Equal Housing Opportunity

HELOC vs. Mortgage: Which One is Best for You?

mchissell1@gmail.com (Mike Chissell) — Fri, 29 Sep 2023 14:29:28 GMT

The average U.S homeowner now has more then $274,000 in equity- up significantly from $182,000 before the pandemic, according to Corelogic Q1 2023 Homeowner Equity Insights report. Homeowners have more equity in their homes then ever before, and with the pandemic and this years financial struggles, now is the time that many want to use it and get cash in hand. There are two main ways of going about that between Home Equity Lines of Credit (HELOCs) and doing a conventional mortgage, more particularly a cash-out refinance (CORF). But how do you know which one is the best fit for your unique financial situation? In this article, we’ll dive into the benefits and downsides of both HELOCs and CORFs to help you make an informed decision.

The Pros and Cons of Home Equity Lines of Credit (HELOCs)

Benefits

Interest Only Payments: In the initial stages of the loan, many HELOCs allow you to make interest-only payments, providing flexibility in your monthly budget. There is a small downside of not building your credit, but this is generally a boon.

Flexibility: Unlike a lump sum loan, a HELOC is a revolving line of credit. This means you can borrow, repay, and borrow again. So you can only take what you need or take more when needed.

Lower Closing Costs: Generally a HELOC will be cheaper than a cash out refinance since you are getting a new loan with a CORF.

Downsides

Variable Interest Rates: The same feature that can be a boon can also be a bane. Your interest rate on a HELOC can also go up, potentially increasing your payments. And since we have been in a rapidly rising interest rate environment, this means that your rate will likely get worse before they get better.

Potential for Overborrowing: Since it's revocable, there's a temptation to borrow more than necessary, which can lead to increased debt.

Potential for Lowering Your Credit Limit: Just like a credit card, if your financial situation changes, or your home's value worsens the lender could decide to lower your credit line or close it.

Benefits and Downsides of Conventional Mortgages (Cash Out Refinances)

Benefits

Higher Debt-to-Income (DTI) Guidelines: Unlike other loan types, CORFs often come with higher DTI requirements. CORF's can go up to 55% DTI ratio where HELOC's generally go up to 40% DTI. This can be beneficial for those who might have a higher debt load, making it easier for them to qualify.

Easier Credit Score Requirements: CORF's have lower credit score requirements than HELOCs. They Because of the leniency in DTI and credit, many homeowners find that qualifying for a CORF is simpler than other financial products.

Lower Rates: Generally, CORFs have lower interest rates averaging around the low 8% range where HELOC's are averaging in the low 9's (at the time of this post 9-26-23). This can result in significant savings over the lifespan of the loan.

Downsides

Closing Costs: Since a CORF is refinancing your home, it comes with closing costs, which can be a significant amount.

Longer Commitment: Typically, CORFs have longer repayment terms generally 30 years, meaning you might be paying off the loan for a more extended period than other options.

Larger Monthly Payments: Given that you're taking a lump sum, monthly payments can be higher compared to a HELOC where you only pay interest initially.

Your Equity, Your Decision: Let Chissell Mortgage Guide You

Choosing between a Cash out Refinance and a Home Equity Line of Credit can be daunting, especially when determining which aligns best with your financial goals. At Chissell Mortgage, we're here to demystify the process and help you make an informed choice. With your equity and our expertise, the best decision is just a call away. Reach out to us at chissellmg.com or dial 727-376-6900 . Together, let's pave your path to financial freedom.

NMLS ID: 327290; NMLS ID: 2062741

Equal Housing Opportunity

How Much Do I Need for a Down Payment for a Mortgage?

mchissell1@gmail.com (Mike Chissell) — Wed, 20 Sep 2023 17:55:47 GMT

Every day, many first-time homebuyers hold back their dreams of owning a home because of one myth: they believe they need to save up a whopping 20% of the home's price just for the down payment. While it's true that a larger down payment can offer certain benefits, it's crucial to understand that it isn't the only option. In reality, there are several financing solutions available that don't demand such a hefty upfront payment. Let's explore some of these options.

The Realities of Down Payments: Not Always 20% Down

VA and USDA Loans: 0% Down

For those who qualify, the VA (Veterans Affairs) and USDA (United States Department of Agriculture) loan programs offer mortgages without demanding any down payment. That's right—zero percent down. And unlike other loans, there is no mortgage insurance on VA or USDA loans. These loans are designed to assist specific groups of buyers, like veterans or those in rural areas, to make homeownership more accessible.

Conventional Financing: Just 3% Down

Gone are the days when conventional mortgages meant you needed a large down payment. Now, many lenders offer options where you can get into a home with as little as 3% down. While you might end up paying private mortgage insurance (PMI) with a lower down payment, this option has helped countless buyers step onto the property ladder sooner.

FHA Loans: A Friendly 3.5% Down

The Federal Housing Administration (FHA) has been a beacon for first-time homebuyers. With just a 3.5% down payment, many find this option attractive, especially when paired with its more lenient credit requirements. They also have higher debt-to-income ratios compared to conventional loans to help first-time home buyers afford their home. A FHA loan might be the perfect solution for those who don't have a sizeable chunk of cash saved up but are eager to purchase their first home.

Ready to Make Your Move?

Why wait years saving up for a 20% down payment when there are flexible financing options available today? If you're interested in learning how to secure a mortgage without putting any of your own money down, the team at Chissell Mortgage Group is here to guide you. Visit chissellmg.com or call us at 727-376-6900 . Your dream home might be closer than you think!

NMLS ID: 327290; NMLS ID: 2062741

Equal Housing Opportunity

What are Escrows and How Do They Work?

mchissell1@gmail.com (Mike Chissell) — Fri, 15 Sep 2023 15:00:41 GMT

Buying your first home is thrilling, but it comes with its set of unfamiliar terms – one of them being "escrow". If you find yourself puzzled by this concept as a new homebuyer, you're not the only one. Let's dive in and simplify escrows for a smoother homebuying experience.

How Escrowing Works and Its Impact on Your Monthly Payment

Cracking the Escrow Code

In its simplest form, an escrow is an account held by a third party on behalf of two primary transacting parties. In the realm of homebuying, this means that your lender might set up an escrow account to collect and pay certain property-related expenses, such as property taxes and homeowner's insurance.

Every month, as part of your mortgage payment, you'll contribute a specified amount to this escrow account. Over time, this account will accumulate funds. When it's time to pay hefty bills like your property taxes or homeowner's insurance, the lender will pull from this account, ensuring that everything is paid on time.

So, how does it affect your monthly payment? Simply put, your monthly mortgage payment comprises the principal, interest, and often an amount towards taxes and insurance. That portion for taxes and insurance goes into the escrow account. It's a way to budget these large, less frequent expenses into digestible monthly chunks.

Opting Out: The Choice to Not Escrow

Is Escrowing Right for Everyone?

Choosing not to escrow is an option some lenders might offer to certain borrowers, especially if you've made a substantial down payment or if you have a proven track record of on-time tax and insurance payments. Some lenders do require the borrower to escrow or may have a fee for choosing not to escrow.

When you decide not to escrow, the responsibility of paying property taxes and insurance falls squarely on your shoulders. This means you need to be diligent about saving and ensuring that these large bills get paid punctually. For some, this method offers more control over their finances, but it also requires discipline and organization. Most of the time, we do recommend to escrow as it is a much safer option.

Adapting to Changes: Tax and Insurance Bill Increases

What If My Bills Go Up?

Let's face it; taxes rarely go down. Similarly, insurance premiums can increase over time. If you're escrowing, what happens then? Do they keep escrowing the same amount?

Typically, lenders will review escrow accounts annually to ensure there's enough to cover expenses. If your tax or insurance bills have increased, your lender will likely adjust your monthly payment to reflect the difference. This ensures that there's enough in the account when those bills come due. If there's an overage in the account after bills are paid, you might receive a refund. Conversely, if there's a shortage, you might owe a lump sum or see a monthly increase.

Take Control of Your Homebuying Journey with Chissell Mortgage Group

Ready to venture into the realm of homeownership with confidence? Chissell Mortgage Group is here to guide you every step of the way, ensuring you understand every process, including the intricacies of escrows. Visit chissellmg.com or call 727-376-6900 to embark on your hassle-free homebuying journey today!

NMLS ID: 327290; NMLS ID: 2062741

Equal Housing Opportunity

Are Tax Returns Needed for a Mortgage?

mchissell1@gmail.com (Mike Chissell) — Thu, 31 Aug 2023 14:52:56 GMT

It's an exhilarating moment: you've finally decided to take the leap into homeownership. You're browsing listings, imagining your life in each beautiful home, and daydreaming about the color you'll paint the nursery. But before your dreams can become a reality, there's that all-important step: securing a mortgage pre-approval. One common stumbling block prospective homeowners face revolves around the documentation required. Do you need your tax returns for that all-important mortgage pre-approval? The answer depends on your employment type. Let’s dive into the specifics.

W2-Wage Employees: Breathing Easy with No Tax Return Requirement

For those employed in a traditional job, receiving a W2 form at the end of the year, there's good news: in most cases, you will not need to provide tax returns for your mortgage pre-approval. And if you are in a salaried position, we do not need to see your tax returns. Lenders primarily rely on your W2s, pay stubs, and often, a verification of employment to determine your income. This streamlines the process and allows for a more straightforward assessment of your eligibility. Simply put, your consistent paycheck and employer-verified income often eliminate the need for those dreaded tax return documents. The only time we may want to see tax returns is if you are an hourly employee and receive a majority of your income from bonuses and overtime income.

Self-Employed Borrowers: The Importance of Personal and Business Tax Returns

If you're among the growing number of self-employed individuals, your mortgage pre-approval process might require a few more documents. Why? Because lenders want to ensure a stable income, even if your monthly earnings fluctuate. For the self-employed, tax returns—both personal and business—are crucial in painting a comprehensive picture of financial health. Typically, lenders ask for the last two years of both personal and business tax returns. This not only showcases your earnings but also provides insights into deductions and expenses, ensuring a thorough understanding of your financial standing. Also if you earn income through real estate, we will want to see your tax returns as well.

1099 Compensation: Navigating the Middle Ground

If you receive 1099 forms, indicating you've worked as a contractor or freelancer, you're in a unique position. While you aren't a traditional W2-wage employee, you're also not necessarily running a full-blown business. Lenders will treat you the same as self-employed borrowers. This means you will need to provide 2 years of personal and business tax returns to verify your income. The objective here is to prove a consistent income stream and show lenders that you're capable of managing mortgage payments despite potential income variations.

Here is a Summary of what we have Covered in this Article:

Salary Employee with no overtime or commission income = No Tax Returns Needed
Hourly Employee with no overtime or commission income = No Tax Returns Needed
Hourly or Salaried Employee with a large bonus or commission income = 2 Years Personal Tax Returns
1099 Contractor = 2 Years Personal and Business Tax Returns
Self-Employed = 2 Years Personal and Business Tax Returns

Ready to Dive into Homeownership? Contact Chissell Mortgage Today!

No matter your employment status, the path to homeownership should be as smooth as possible. At Chissell Mortgage, we're committed to guiding you every step of the way. Whether you're armed with W2s, juggling 1099 forms, or have years of self-employed tax returns, our team is here to simplify the pre-approval process. Give us a call at 727.376.6900 to get pre-approved today or complete the application below:

START YOUR MORTGAGE APPLICATION

Fill in the form below and one of our brokers will contact you soon

NMLS #2062741

The Florida Hometown Heroes Program: A Victim of Its Own Success

mchissell1@gmail.com (Mike Chissell) — Wed, 23 Aug 2023 20:47:25 GMT

The Fast-Track Depletion: Funding Ran Out in Under 60 Days

In an unexpected move, the Florida Hometown Heroes Program opened its doors wider in July, making the program's benefits available to everyone regardless of occupation. As long as they were a first-time homebuyer they were available to use this program. The intent behind this gesture was commendable - ensuring that more Floridians had the opportunity to benefit from the assistance the program provided.

However, the overwhelming response was unforeseen. In less than two months, the program ran out of its 100 million in funding . The Florida Hometown Heroes program when it was initially created last year had $100 million dollars that were funded. It lasted 11 months and ran out of funding in June. This time it was less than 60 days before the funds were used. While this serves as a testament to its popularity and the need for such initiatives, it also poses a challenge for those who were banking on it for support.

Looking Ahead: Other DPA Programs in Florida

While the depletion of the Hometown Heroes Program's funds might be disheartening to many, there's a silver lining. Florida remains committed to assisting its residents, and there are several Down Payment Assistance (DPA) programs still available within the state.

For those in need, it's essential to remember that one door closing doesn't mean all avenues are blocked. By researching and exploring other DPA programs, you may find one that perfectly suits your needs and helps you take a step closer to your home-owning dream. Many counties in Florida will have their own specific down payment assistance programs that can be a great alternative to the Florida Hometown Heroes Program.

Chissell Mortgage Group: Your Trusted Partner in Navigating Florida's Housing Landscape

Navigating the complexities of housing programs, especially in times of rapid change, requires expertise and commitment. This is where Chissell Mortgage steps in. With a profound understanding of Florida's housing landscape, our team is dedicated to guiding you through every twist and turn.

If you're feeling overwhelmed or uncertain about the next steps after the depletion of the Florida Hometown Heroes Program's funds, we're here to help. Reach out to Chissell Mortgage Group at chissellmg.com or call us at 727-376-6900 . Let us be your guiding star in your homeownership journey.

NMLS ID: 327290; NMLS ID: 2062741

Equal Housing Opportunity

Florida's Hometown Heroes Program: Only a Few Weeks Left Before It's Gone!

mchissell1@gmail.com (Mike Chissell) — Wed, 16 Aug 2023 19:12:23 GMT

With only a few weeks left to secure funding, those who wish to benefit from its offerings need to act swiftly, or we may see this invaluable initiative disappear altogether. The program gives first-time homebuyers up to $35,000 dollars in down payment and closing cost assistance to those who met the criteria.

Ever since the program changed in July, the Florida Hometown Heroes Program has witnessed unprecedented success. The changes made the program easier to apply for across the board. It used to be for veterans, military personnel, firefighters, police officers and medical personnel, but they opened it up to everyone. This then caused the popularity of the program to explode. 25 Million of 100 million dollars of funding was used up that first week. Now this program is going to run out much earlier than expected.

The clock is ticking, Contact Chissell Mortgage Group at chissellmg.com/apply today or call 727-376-6900 to find out if you qualify before time runs out!

NMLS ID: 327290; NMLS ID: 2062741

Equal Housing Opportunity

Navigating the Florida Housing Market: Condos vs. Traditional Homes

mchissell1@gmail.com (Mike Chissell) — Fri, 04 Aug 2023 13:38:46 GMT

Is a Florida paradise calling your name? The Sunshine State's allure is unquestionable with its stunning coastlines, vibrant cities, and promising economic growth. Yet, the process of finding your ideal home here can quickly become a complex maze of choices and trade-offs. One of the fundamental decisions you’ll face is whether to purchase a condo or a traditional single-family home. This decision can impact your lifestyle, finances, and long-term investment value. With Chissell Mortgage Group as your guiding light, let's delve into the nuances of both choices to help you make an informed decision.

Life in a Community: The Condo Experience vs. Privacy in Single Family Homes

Choosing between a condo and a single-family home is more than just a financial decision—it's also about selecting a lifestyle. Condo living often comes with the charm of a close-knit community, offering social opportunities and shared amenities like swimming pools, fitness centers, and concierge services. For those who enjoy community living and want to foster connections, a condo can provide an engaging environment.

On the other hand, a single-family home in Florida offers the luxury of privacy and space. You'll have the freedom to customize your space, indulge in home gardening, or host backyard BBQs without worrying about condo association rules. A home can offer an exclusive sanctuary, albeit with more responsibilities like maintenance and repairs.

Financial Differences Between Condos and Single Family Homes

Financial considerations are critical when deciding between a condo and a single-family home. Typically, condos are less expensive upfront than single-family homes, making them a great choice for first-time buyers or those with budget constraints. Moreover, condo fees usually cover major maintenance and repairs, providing predictability in terms of costs.

Single-family homes, while often pricier upfront, provide more control over expenses. Homeowners aren't subjected to condo association fees and can choose when and how to handle maintenance and upgrades. However, unexpected costs like a new roof or HVAC system can crop up, so it's essential to keep a healthy home repair fund.

Investment Implications: Condos and Single-Family Homes Over Time

Whether you're a seasoned investor or a first-time buyer , considering the long-term investment value of your property is paramount. Historically, single-family homes tend to appreciate more rapidly than condos, given the land value and potential for expansion or upgrades.

Condos, however, offer their own unique investment value. They can be attractive rental properties, especially in popular tourist areas of Florida. Additionally, condos in well-managed communities can provide stable returns. It's vital to weigh factors like location, demand, and future development plans in the area to make an informed decision.

Let Chissell Mortgage Group Guide Your Home Buying Journey in Florida

Navigating the real estate landscape can be challenging, but you don't have to do it alone. With Chissell Mortgage Group by your side, you'll be equipped with industry-leading insights and personalized support to make the best decision for your unique needs. Give us a call at 727-376-6900 or visit our website at to start your journey towards finding your Florida dream home. Whether it's a beachfront condo or a spacious single-family home, let us build you a clear mortgage plan.

NMLS ID: 327290; NMLS ID: 2062741

Equal Housing Opportunity

Unpacking Florida's Game-Changing Condo Law

mchissell1@gmail.com (Mike Chissell) — Mon, 31 Jul 2023 13:00:40 GMT

The world of real estate laws can be a bit tricky to navigate, especially when it comes to the rules governing condominiums and cooperative buildings. One recent development that current and prospective homeowners need to be aware of is Senate Bill 154. This law brings significant changes to how condominium and cooperative buildings are managed, inspected, and insured. Let's unpack what this means for you as a homeowner.

Increased Inspection Requirements

One of the significant changes brought by the law is the revised milestone inspection requirements for condominium and cooperative buildings that are three or more stories in height. If your building is residential (or even partially residential), you'll have to adhere to these new requirements.

What's critical to know is that the responsibility of ensuring compliance and sharing the costs of the inspections falls on all owners, regardless of whether they own the entire building or just a part of it. If you happen to live in a building that has both residential and commercial parts, you still need to make sure that the building complies with these requirements.

If your building is 30 years old before the end of 2024, you need to have an inspection done by December 31, 2024. But don't worry if the inspection can't be completed on time due to valid reasons, as the law allows for an extension upon request.

Importance of Regular Communication

Communication is key when it comes to these new regulations. Condo or cooperative associations must notify unit owners about the inspection deadlines within 14 days of receiving the initial notice from the local agency. Additionally, a summary of the inspection reports must be distributed to unit owners within 45 days of its receipt by the association.

Insurance and Budget Changes

Insurance wise, all personal residential policies issued by the Citizens Property Insurance Corporation are not required to include flood coverage, which can make a big difference in your insurance policy costs.

In terms of association governance, any unit owner or a person they authorize now has the right to inspect the official records of the association. Also, if assessments increase by over 115%, insurance premiums are now excluded from the calculations that allow members to petition for a different budget.

New Reserve Funding Requirements

The law also brings changes to the reserve funding requirements for condominium and cooperative associations. Starting from January 1, 2025, associations must base their budgets on the findings and recommendations from their most recent Structural Integrity Reserve Study (SIRS).

Dispute Resolution and Turnover Process

Starting July 1, 2027, disputes related to the inspection or SIRS requirements can be resolved through mediation, offering a streamlined way to manage conflicts.

Also, the developer is now required to provide a turnover inspection report when they hand over the building to the association. What's new is that this report can be prepared not just by engineers and architects but also by reserve specialists and professional reserve analysts.

What This Means for Prospective Buyers

For those looking to buy a unit, the developer and non-developer must provide a turnover inspection report and a summary of the milestone inspection. Failing to do so gives the buyer the option to cancel the contract before closing.

In a nutshell, the new law brings changes designed to ensure better maintenance, increased safety, and more transparency for condo and cooperative buildings. While it does mean more requirements to comply with, it's all aimed at enhancing the living conditions and protecting the rights of homeowners like you. This may come at a cost of higher home owner association fees along the way.

If you are looking to purchase a condo yourself give us a call at the office at 727-376-6900 or click here to start your application today!

NMLS ID: 327290; NMLS ID: 2062741

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The Florida Hometown Heroes Program: Bigger and Better Than Ever

mchissell1@gmail.com (Mike Chissell) — Thu, 15 Jun 2023 14:31:43 GMT

Major Upgrade in the Down Payment Assistance Program

Big news for first-time homebuyers in Florida! The Florida Hometown Heroes Program, the state's leading Down Payment Assistance (DPA) program, is getting a significant upgrade starting July 3rd. The most notable change? An increase in the down payment and closing cost assistance from up to $25,000 to up to an impressive $35,000!

This program stands out as the top DPA program in Florida, designed specifically to aid those embarking on their journey to homeownership. Here's why.

Qualification Criteria: Easier Than Ever

This program when it started was only for certain occupations. Firefighters, medical personnel, military and veterans, police officers and teachers used to be the only occupations that could use it. Now the program has been opened up to everyone starting July 3rd. This makes it wildly more accessible for first time homebuyers to use it to get their first home.

With this program, the requirements are quite straightforward. There are three main requirements that you need. You have to have a credit score of 640 or above. You must be a first time homebuyer meaning you have not owned a property in the last 36 months. And whether you're single or a married couple, as long as your combined annual income doesn't exceed $130,000, you qualify for this assistance.

No Repayment Required: A True Gem

The Florida Hometown Heroes Program takes the cake when compared to other down payment assistance programs, owing to one unique characteristic - there's no repayment required on the second mortgage. This type of second mortgage is typically called a silent second. Unlike typical loans, this is a second mortgage has no-repayment feature until you sell, move out of the property, or refinance the home. This makes this an ideal choice for first-time buyers, significantly reducing the financial burden associated with purchasing a home.

Take the First Step Towards Your Dream Home Today!

We are excited about the changes to the Florida Hometown Heroes Program and we hope you are too. Owning a home is a significant milestone in anyone's life, and we want to help you get there. If you want to know more about the Florida Hometown Heroes Program, take the first step today and contact us.

Remember, at Chissell Mortgage Group, we are committed to turning your homeownership dreams into reality. Contact us today at 727-376-6900 , and let's get started on your journey to owning your new home. You can also use the form below and start your application online with us today!

NMLS ID: 327290; NMLS ID: 2062741

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How to Get a 1% Down Conventional Loan

mchissell1@gmail.com (Mike Chissell) — Wed, 24 May 2023 16:01:12 GMT

Picture this: a chance to step into your dream home with just a 1% down payment. Sounds too good to be true? Well, it's not! Allow me to introduce you to the 1% Down Program, a game-changer in the world of homeownership. So, fasten your seatbelts as we embark on this exciting journey!

Program Overview:

Fannie Mae recently introduced the 1% Down Program, which aims to facilitate homeownership for individuals who meet certain eligibility requirements. Under this program, the client contributes a down payment of 1%, while the lender covers the remaining 2%, totaling a 3% down payment. This innovative approach helps alleviate the burden of a substantial upfront payment, making it more attainable for aspiring homeowners.

Eligibility Requirements:

To qualify for the 1% Down Program, applicants must meet specific criteria. Firstly, they must be first-time homebuyers , meaning they haven't owned a home within the past 36 months. This requirement ensures that the program targets those who are new to the housing market and may require assistance in securing their first home.

Secondly, a credit score of 620 or higher is necessary for approval. A good credit score demonstrates a borrower's ability to handle financial responsibilities, reassuring lenders about the individual's creditworthiness.

Income Limitations:

The most important limitation consider is that potential participants in the program must not exceed 50% of the household Area Median Income (AMI) in their respective area where they wish to purchase. In the Tampa Bay area for example, 50% of the average medium income is $41,000. While it may seem challenging to purchase a home with this income level, it's important to note that there are alternative programs available for individuals with higher income.

Alternative Options:

If your income exceeds the 50% AMI threshold, don't worry! The Chissell Mortgage Group offers various other programs tailored to accommodate a broader range of income levels. These programs provide opportunities to purchase a property with a higher income while still enjoying favorable rates and fees. We understand that every individual's financial circumstances are unique, and we are committed to helping you find the best solution for your specific needs.

Conclusion:

The 1% Down Program by Fannie Mae offers a compelling opportunity for first-time homebuyers to enter the real estate market with a minimal down payment. With only a 1% contribution from the buyer and 2% covered by the lender, this program reduces the financial burden typically associated with buying a home. While specific eligibility criteria, such as being a first-time buyer and having a credit score of 620 or higher, must be met, it provides a pathway to homeownership for many individuals.

However, it's essential to note that the program is subject to income limitations, with participants not being able to earn more than 50% of the AMI in the Tampa Bay Area. If your income exceeds this threshold, fear not, as Chissell Mortgage Group offers a range of alternative programs to suit different income levels.

If you have any questions or would like to explore your options, feel free to reach out to us at Chissell Mortgage Group by calling our office at 727-376-900 . Our dedicated team is ready to assist you in finding the best program to fulfill your homeownership dreams!

NMLS ID: 327290; NMLS ID: 2062741

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We've Done It Again! This is Why Realtors Love Us!

mchissell1@gmail.com (Mike Chissell) — Fri, 12 May 2023 15:24:54 GMT

When it comes to mortgage brokers or lenders, it's easy to dismiss their claims of "great rates" and "excellent service" as mere marketing jargon. However, there are mortgage companies like ourselves at Chissell Mortgage Group that actually live up to our promises. Let me share a recent success story that demonstrates the exceptional service they provide to realtors and their clients.

From Loan Application to Closing in Nine Days:

Just recently, we successfully facilitated a loan from start to finish in an astonishing nine business days. This feat is a testament to their efficiency and commitment to their clients. This achievement not only showcases their impressive speed but also highlights their dedication to providing a smooth and seamless mortgage process.

Praise from the Listing Agent:

The outstanding service provided by Chissell Mortgage Group didn't go unnoticed. The listing agent involved in the loan process expressed their satisfaction and appreciation. They commended the team on their exceptional communication and response times, as well as the flawless loan process. Such positive feedback from industry professionals reinforces the company's reputation for delivering outstanding results. Here is exactly what the listing agent said:

"Great Job, Everyone!! It was a pleasure to work with you all! Outstanding communication and response times. A flawless loan process. I wish you continued success in 2023!"

This is some of the best praise that we can get, so thank you very much!

Striving for Smooth, Simple, Boring Closings:

At Chissell Mortgage Group, our ultimate goal is to make the loan process smooth, simple, and, yes, even a bit boring. We understand that realtors want hassle-free transactions that allow them to focus on their clients and grow their business. By effectively and clearly communicating with all parties involved, they ensure everyone is on the same page throughout the process.

Reliable Follow-up and Timely Closings:

We goes above and beyond in assisting realtors with their business needs. They understand the importance of following up on leads promptly, recognizing that timely action can make all the difference in a competitive real estate market. Moreover, we are committed to closing loans on time, if not earlier, providing realtors and their clients with peace of mind and avoiding unnecessary delays.

Partnering to Build Your Business:

Chissell Mortgage Group sees realtors as more than just clients. We strive to establish strong partnerships and actively contribute to their success. By providing exceptional service, they help realtors build their businesses and foster long-term relationships based on trust and reliability. To experience the Chissell Mortgage Group difference, contact our office at 727-376-6900 and discover how they can help you achieve your clients' homeownership dreams!

NMLS ID: 327290; NMLS ID: 2062741

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Understanding the Recent LLPA Changes

mchissell1@gmail.com (Mike Chissell) — Wed, 03 May 2023 15:07:02 GMT

Understanding the Recent LLPA Changes

For anyone who is in the market for a mortgage, Loan Level Price Adjustments (LLPA) can be a daunting term to hear. However, understanding what it means and how it affects your mortgage is crucial to making an informed decision when taking out a mortgage.

What are Loan Level Price Adjustments?

Loan Level Price Adjustments are fees charged by Fannie Mae and Freddie Mac to lenders for the risk they assume when buying a mortgage from the lender. These fees can vary based on factors such as credit scores and LTVs (Loan-to-Value Ratio).

New LLPA Rules

On May 1, 2023, new LLPA rules were implemented by Fannie Mae and Freddie Mac for all mortgages being affected. These new rules will impact both LTVs (Loan-to-Value Ratio) and credit scores, and it's important to understand how this will affect your loan. Download the LLPA Matrix here

The Good News About the LLPA Changes

Firstly, it's essential to know that the new rules only affect loans being delivered to Fannie and Freddie after May 1, not loan applications taken. This means that if you have already applied for a mortgage , you won't be affected by these new rules.

Additionally, the good news is that the price hits have already been factored into the pricing since April 4. So there is no big price increase coming May 1 because it's already been factored in. This means that anyone taking out a mortgage after May 1 won't see a significant price increase, as the adjustments have already been made.

How LLPA's Impact Your Mortgage

However, it's crucial to understand that LLPA will still have an impact on your

mortgage going forward. LTVs and credit scores are two essential factors that lenders consider when deciding on the interest rate you will receive on your mortgage. Higher LTVs and lower credit scores can result in higher interest rates, and therefore, higher monthly mortgage payments .

Therefore, it's essential to have a good understanding of your credit score and LTV ratio and how they affect your mortgage. In some cases, it may be worth improving your credit score or making a larger down payment to reduce your LTV ratio to get a better interest rate.

Get Informed

If you have any questions about LLPA or how it may affect your mortgage, give us a call at the office at 727-376-6900 . We will be able to provide you with a detailed understanding of the new rules and how they will impact your loan going forward.

NMLS ID: 327290; 1490219; 2062741

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Smooth Sailing: Chissell Mortgage Group Got Another Clear to Close 14 Days Before Closing!

ryan@mikechissell.com (Ryan Chissell) — Wed, 26 Apr 2023 19:41:24 GMT

Exciting news!

Chissell Mortgage Group is thrilled to announce that we've received another clear to close 14 days before our closing date! This is great news for all parties involved, as it means we can move forward with confidence and peace of mind knowing that everything is in order. Now it's just a matter of counting down the days until we can officially close on our dream home.

If you enjoy smooth, boring real estate transactions, let the experts at Chissell Mortgage Group guide you to homeownership! Please call the office at 727-376-6900 to get the ball rolling or answer any questions.

NMLS ID: 327290; 1490219; 2062741

Equal Housing Lender

Unlocking the Secret to Quick Mortgage Closings: Tips and Tricks

ryan@mikechissell.com (Ryan Chissell) — Tue, 18 Apr 2023 17:58:49 GMT

When it comes to securing a mortgage, time is of the essence.

Whether you're a first-time homebuyer or a seasoned property investor, closing your mortgage quickly can help you avoid unnecessary stress, save you money, and get you into your new home faster. But how can you ensure that your mortgage closes as quickly as possible? Here are some tips and tricks from the experts at Chissell Mortgage Group:

Tip #1: Get Your Finances in Order

One of the biggest factors that can slow down the mortgage process is a lack of financial preparation. Before you apply for a mortgage, make sure you have all of your financial ducks in a row. This means gathering your tax returns, pay stubs, bank statements, and any other financial documentation that your lender may require. It's also a good idea to check your credit score and make sure there are no errors or discrepancies that could slow down the process.

Tip #2: Choose the Right Lender

Not all lenders are created equal, and some may be better equipped to handle your mortgage application than others. When choosing a lender, look for one that has a proven track record of closing mortgages quickly and efficiently. At Chissell Mortgage Group, we pride ourselves on our fast and reliable mortgage solutions, and we're committed to helping you get the financing you need as quickly as possible.

Tip #3: Be Responsive

One of the most common reasons why mortgages take longer than expected to close is because borrowers fail to respond to their lender's requests for information or documentation in a timely manner. To avoid this, make sure you're available and responsive to your lender's requests. If your lender asks for additional documentation or information, provide it as quickly as possible. This will help keep the process moving smoothly and prevent any unnecessary delays.

Tip #4: Get Pre-Approved

Getting pre-approved for a mortgage can help speed up the closing process by giving you a better idea of what you can afford and streamlining the underwriting process. When you're pre-approved, your lender has already reviewed your financial documentation and determined that you're eligible for a mortgage up to a certain amount. This can make the closing process faster and more efficient, since much of the legwork has already been done.

Tip #5: Stay Organized

Throughout the mortgage process, it's important to stay organized and keep track of all of the documentation and information that you've provided to your lender. This will help you stay on top of any outstanding requests or requirements, and prevent any unnecessary delays. Make sure you have a system in place for organizing your financial documents, and keep all communication with your lender in a centralized location.

Closing a mortgage quickly is a team effort, and requires both borrowers and lenders to work together efficiently and effectively. By following these tips and working with a lender like Chissell Mortgage Group, you can help ensure that your mortgage closes as quickly as possible, getting you into your new home faster and with less stress.

What Does It Mean If A Condo is Not FHA approved?

mchissell1@gmail.com (Mike Chissell) — Wed, 12 Apr 2023 15:09:46 GMT

What does it mean if a condo is not FHA approved?

If you are considering buying a condo, you may have heard the term "FHA approved" before. The Federal Housing Administration (FHA) insures mortgages for condos with as little as a 3.5% down payment, but only for those that meet their strict standards. So what does it mean if a condo is not FHA approved? In this blog, we will explore what it means for a condo.

Eligibility Requirements for FHA-Approved Condos

In order for a given condo to be approved for an FHA home loan, it must be on (or added to) the FHA's list of approved condominium projects. FHA publishes a searchable list of approved condo projects on its website. This link has not expired since the publication of HUD 4000.1. Borrowers and lenders can use the HUD search tool here to find condo projects that are on the FHA approved list.

What criteria must a condominium project meet to be included on that approved condo project list? FHA guidelines state, "to be eligible for FHA mortgage insurance, the project must have been declared and exists in full compliance with applicable State law requirements of the jurisdiction in which the condominium project is located and with all other applicable laws and regulations."

FHA Condo Loan Terms and Eligible Condo Projects

“FHA insures condominium single unit loans for up to 30-year terms to purchase or refinance a unit in an FHA-approved condominium project. The condominium project must be primarily residential, contain at least two dwelling units and can be detached, semi-detached, a row house, a walk-up, mid-rise, high-rise, including those with or without an elevator, or manufactured housing.” That is a quote from the FHA/HUD official site.

Any part of the condo which is used commercially must conform to typical FHA rules which require business use of the property to be subordinate to the residential nature of the space. Business or other non-residential use of the property to be secured by FHA loans in general are subject to the following rule in HUD 4000.1:

“The non-residential portion of the total floor area may not exceed 49 percent.” That information is found on page 487 of HUD 4000.1.

Types of Condo Projects Ineligible for FHA Approval

Some properties are not eligible due to the nature of the project. For example, "condo hotels" are not allowed on FHA approved condo project list. Also forbidden--timeshares, houseboat projects or condos that feature more than one dwelling in a single condominium unit.

Restrictions and Covenants That Can Affect FHA Approval

Condo projects may not be FHA approved if they contain restrictive requirements, agreements, or covenants that prevent the owner from freely disposing of the condo unit at any time. The “right of first refusal” clause in some condo owner association agreements can be problematic for FHA borrowers.

In summary, if a condo is not FHA approved, it means that the property is not eligible for an FHA-insured loan. This can limit the options for potential buyers, as FHA loans are often sought after due to their lower down payment requirements and more flexible credit score requirements. However, it's important to note that just because a condo is not currently on the FHA-approved list, it doesn't mean that it can never be added in the future. It's always a good idea to work with a knowledgeable lender who can help guide you through the loan process and provide insight into the various loan options available to you.

If you're looking to purchase a condo with an FHA loan, it's important to work with a lender who is well-versed in FHA loan requirements and the process for getting a condo approved. Chissell Mortgage Group has years of experience helping clients secure FHA loans for their dream homes. Call us today at 727-376-6900 to learn more about your options and get started on the path to homeownership.

NMLS ID: 327290; NMLS ID: 2062741

Equal Housing Opportunity

Mortgage Calculator Florida: How Much Can I Borrow?

mchissell1@gmail.com (Mike Chissell) — Wed, 08 Mar 2023 19:14:35 GMT

How to Use a Mortgage Calculator to Determine How Much You Can Borrow

At Chissell Mortgage Group , we understand that buying a home can be a daunting task, especially if you're not sure how much you can afford to borrow. That's why we recommend using a mortgage calculator to get a better idea of your budget. In this article, we'll go over the different factors that affect your borrowing capacity and show you how to use a mortgage calculator to calculate your maximum loan amount.

Debt-to-Income Ratio Determines How Much You Can Borrow

One of the most important factors that lenders consider when determining your borrowing capacity is your debt-to-income ratio (DTI). This is the percentage of your gross monthly income that goes toward paying off debt. Ideally, lenders prefer to see a DTI of no more than 43%, although some may allow higher ratios for borrowers with strong credit profiles.

W2 vs. Self-Employed Income Can Affect How Much You Can Borrow

If you're self-employed , lenders may require additional documentation to verify your income, such as tax returns and profit and loss statements. Keep in mind that your income will be averaged over the past two years, so if your business has experienced a decline in revenue recently, this could impact your borrowing capacity.

Don't Forget Taxes and Insurance When Using a Mortgage Calculator

When calculating how much you can afford to borrow, it's important to factor in the cost of property taxes and insurance. These expenses will be included in your monthly mortgage payment, so you'll want to make sure you can comfortably afford them.

Homeowner Association Fees Need to Be Included In A Mortgage Calculator

If you're purchasing a property that is part of a homeowner association (HOA), you'll also need to factor in the cost of HOA fees. These fees vary depending on the community and can range from a few hundred dollars to several thousand dollars per year.

Credit Score Determines Your Interest Rate In A Calculator

Your credit score plays a significant role in determining your interest rate and, ultimately, your monthly mortgage payment. A higher credit score can help you qualify for a lower interest rate, which can translate into significant savings over the life of your loan.

Loan Terms Affect Your Monthly Payment in A Mortgage Calculation

The term of your loan, or the length of time over which you'll repay your mortgage, will also impact your monthly payment. A longer term will result in a lower monthly payment, but you'll end up paying more in interest over the life of the loan.

Using a Mortgage Calculator

Calculating all of these factors on your own can be a difficult task. Enter your income, expenses, and credit score, and the calculator will give you an estimate of your maximum loan amount.

Ready to discover your borrowing power? Try out our mortgage calculator!

Why Use a Mortgage Broker

While online mortgage calculators can be a useful tool, they don't take into account your individual circumstances. That's where a mortgage broker comes in. At Chissell Mortgage Group, we can review your financial situation and help you find a loan that fits your needs and budget. Best of all, there is no obligation for this service, so you have nothing to lose by reaching out to us.

Contact Chissell Mortgage Group at 727-376-6900

If you're ready to take the first step towards homeownership, contact Chissell Mortgage Group at 727-376-6900 . Our experienced team of mortgage professionals can help you navigate the home buying process and find the right loan for your needs. You can also visit our mortgage process page to learn more about the mortgage process and request a free consultation.

File Your Homestead Exemption By March 1st!

ryan@mikechissell.com (Ryan Chissell) — Wed, 15 Feb 2023 20:27:14 GMT

If you purchased a primary residence in the state of Florida in 2022, please remember to file your homestead exemption!

It is going to save you money on your taxes, while also providing you legal benefits.

Additionally, if you sold and bought a home in 2022, please contact the county and ask about your tax portability! This can help reduce your tax burden on the new property.

As always, if you have any questions about filling your homestead exemption or moving your tax portability, please call Chissell Mortgage Group at 727-376-6900. You can also visit our website at https://www.chissellmg.com.

NMLS ID: 1490219; NMLS ID: 2062741

Equal Housing Opportunity

Your First-Time Homebuyer Questions Answered

mchissell1@gmail.com (Mike Chissell) — Thu, 09 Feb 2023 19:01:37 GMT

Becoming a recognized first-time homebuyer can be murky due to confusion surrounding the definition. We are here to answer some of your questions and clear up the definition of a first-time homebuyer.

There is a difference between being considered a first-time homebuyer based on a 3-year period and a 36-month period. As an example, if your previous home ownership ended in May of 2020, using the 3-year rule, you would become eligible to purchase another home in January 2024. In reality, if the more accurate 36-month rule is applied, your eligibility would be in May 2023. As you can see, this could cause a borrower to wait up to a year longer to be qualified as a first time home buyer.

But what if your circumstances are uncommon and you're unsure if you meet the criteria as a first-time homebuyer? Don't worry, we've detailed some scenarios and how they impact your eligibility as a first-time homebuyer.

If you are buying a home with your spouse, but neither of you have owned a home in the last 36 months, then you are considered first-time homebuyers.

If you are a divorced parent and owned a home with your previous spouse, you now qualify as a first-time home buyer. This is because you are now buying a primary home as a single parent.

If you owned a home with your former spouse and were married, but now you are divorced and going back into the workforce to work to support this new property, you qualify as a first-time homebuyer. This is because you are a displaced homeowner, and you are buying your own property after the divorce.

If you're considering becoming a first-time homebuyer or want help determining if you are a first-time homebuyer, we can help. Contact us today by calling the office at 727-376-6900 or visit our website at https://www.chissellmg.com/the-mortgage-process to learn more about the mortgage process.

In conclusion, it’s essential to understand the specific guidelines and definitions for first-time homebuyers, especially in unique situations. If you want to start your home buying journey, give us a call at 727-376-6900. You can also go to our website at https://www.chissellmg.com/the-mortgage-process to learn about the mortgage process.

NMLS ID: 327290; NMLS ID: 2062741

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How Long Does It Take To Get a Mortgage

mchissell1@gmail.com (Mike Chissell) — Wed, 25 Jan 2023 21:37:04 GMT

The answer is that it depends on a number of factors, but the main one is the speed of the client. The earliest we have closed a loan is 8 business days and the latest we have closed a loan was around 7 weeks. The normal loan process will be completed in around 3-4 weeks This is generally why most real estate contracts are written for 30 days.

The main keys to making the loan process as quick as possible is to get us your documents before we start the process. This way once we receive the contract or are ready to start your refinance, we can submit your loan instantly to the lender. And when the underwriter asks for conditions that you work on them as quickly as you can.

There will always be things that cannot be controlled during the loan process like the time to receive the appraisal or underwriting conditions. So that is why its very important to get what can be controlled in to underwriting as quickly as possible.

If you want to learn more about the mortgage process, we have a 6-Step Guide on The Mortgage Process that you can check out right here at https://www.chissellmg.com/the-mortgage-process . Or you can give us a call at 727-376-6900 and we would love to walk you through it.

NMLS ID: 327290; NMLS ID: 2062741

Equal Housing Opportunity

2023 FHA Loan Limit Has Been Announced!

Wed, 04 Jan 2023 16:31:41 GMT

2023 is here and we have got great news for first time home buyers! The FHA loan limit has increased by 12% from $420,680 last year to $472,030! This means that you can purchase a home at a price of $489,000 with 3.5 percent down and be eligible for the FHA program.

The FHA program is one of the best programs out there for first time home buyers for a few different reasons. It always has lower interest rates than conventional loans along with allowing a higher debt to income ratio. This allows you to be able to afford a home with more debt and also allows for lower credit scores than other programs.

If you want to learn more about the FHA program or need advice as a first time home buyer, we would love to help! Give us a call at the office at 727-376-6900.

NMLS ID: 327290; NMLS ID: 2062741

Equal Housing Opportunity

Conventional Loan Limits for 2023

Tue, 29 Nov 2022 20:23:18 GMT

We have some wonderful news for our home buyers! The Conventional loan limit for 2023 has been announced. The Conventional loan limit for 2022 was $647,200. The new Conventional loan limit has been increased to $726,200. That is a $79,000 increase!

Now what does this mean to you? Let’s say you wanted to purchase a home for $750,000. Before, you would have to put over $100,000 dollars down to keep your loan amount under the $647,200 Conventional loan limit. If you borrow more than $647,200 you would have to take a jumbo loan. This means higher interest rates, higher fees, and more headaches. However, now you would be able to put a down payment of 35,000 dollars instead and avoid getting a Jumbo loan product. That’s Great!

Here is more great news! Typically, these loan limit changes do not take effect until January 1st of the next year. However, being mortgage brokers at Chissell Mortgage Group, we have some lenders who are already honoring this loan limit change, effectively immediately!

Now not every lender will be able to use the new conforming loan limit. The Federal Housing Finance Agency (FHFA) announces the new loan limits in November every year. Now, only certain lenders will be accepting these loan limit changes effective immediately.

Tell us a little more about your situation and we can tell you specifically, what YOU can do to know your loan limits and qualify for a mortgage.

Why You Need to Get a Second Opinion On Your Mortgage

Thu, 17 Nov 2022 14:38:40 GMT

This is what the typical mortgage process looks like to most people. The client generally goes with the first mortgage professional that they talk with. Whether it’s a bank, credit union or mortgage broker. They get approved and they close the loan, and now they are happy. But, what they did not know is if they shopped around, they could have gotten a .25% better interest rate on their mortgage and saved over $18,000 in interest over the life of the loan!

If you use a bank or a credit union to finance your new home, you must understand that they only have one set of interest rates and one set of underwriting guidelines, that’s it. If you get denied for your loan because of the bank’s or credit union’s strict underwriting guidelines, we many times can get you approved. It just happened again yesterday!

As mortgage brokers, we have the advantage of shopping for the best interest rates in the nation for every loan situation. We are not locked into just one set of underwriting guidelines or interest rates. That means that you are getting the best interest rates and service in the business. Right now, when interest rates have risen significantly, now more than ever, it is vital that you get a second opinion on your loan product and interest rate to make sure you are getting the best out there from your local trusted mortgage broker!

If you would like a second opinion on your mortgage, please give us a call at 727-376-6900 or go to our website at https://www.chissellmg.com/Contact/Residential-Mortgage-Form-Trinity-Florida

NMLS ID: 327290; NMLS ID: 2062741

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Private Money Is Not As Bad As You Think!

Wed, 09 Nov 2022 21:06:19 GMT

It’s not the money-grubbing lenders who are ripping people off to where the borrowers can’t repay their loans back. The Dodd-Frank act passed in 2010 weeded out all the morally dubious lenders. And depending on the client it can be their best option depending on their circumstances. Here’s a quick story about how we were able to get a client approved only with a private money lender and were able to make their financial goals happen.

We had a client come to us with a unique scenario. She had a 2-year land contract on the property that was 3 weeks away from being completed. A land contract is an alternate way of financing a property. In a standard land contract, the seller will keep the legal title to the property until the property is paid off while the buyer gets equitable title, which enables them to build up equity in the property. So, the only way she could keep the property and her $150,000 of built-up equity would be to close in the next 3 weeks and do a private money transaction. But it was about to expire in 3 weeks, and she tried to get a loan twice with two other lenders and got denied, before coming to us.

The reason she was denied was because of her low credit score, being a self-employed business owner and it being a Non-QM mortgage. Non-QM mortgages are not the standard loans like conventional, FHA or VA loans. No matter what we did to get her into the best loan program possible, it didn’t work out. So the only way for her to keep the property and close in the next 3 weeks would be to do a private money transaction. There are private lenders who are individuals who source their own money for purchases or refinances of homes. So going through a private money lender, we were able to get her approved in a week, and she was able to close before her 3-week deadline. Now, the main downside of going private money lending is that the rates and fees will be higher than standard loans.

If you want to learn more about private money lending or any kind of lending, give us a call at 727-376-6900 or go to our website at https://www.chissellmg.com/Contact/Mortgage-Pre-approval-Form-Trinity-Florida

NMLS ID: 327290; NMLS ID: 2062741

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How To Increase Your Credit Score Fast!

Thu, 03 Nov 2022 19:34:15 GMT

Trying to purchase a home? Have issues with your credit score? Have you ever wondered how to increase your credit score quickly? Credit repair services can be very costly and can potentially take months or years to increase your credit scores. Your credit can be the difference between being approved or being denied for a mortgage. There is a lot of general information out there to increase your scores, but here at Chissell Mortgage Group we have an excellent tool to potentially increase your credit scores and fast!

So let's say you need a 620 credit score to qualify for a loan program, but you’re currently at a 599. We go through the mortgage application and pull your credit report. When we pull credit reports, it shows your current scores, along with your potential credit score improvement. We have a program that can reach out to those specific credit bureaus to give us step by step instructions on how to get those potential points! This has helped many of our borrowers get to the necessary credit score to close on the mortgage or potentially receive a better interest rate!

NMLS ID: 327290; NMLS ID: 2062741

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My Credit Score is Low. Can I still Get an FHA Loan?

Wed, 26 Oct 2022 15:24:46 GMT

Yes you can! We just had a realtor call into the office with a client who just got denied at another institution for having a credit score below 640. So, we were able to approve this client for an FHA loan that had a 520 credit score that is now closing next month.

At Chissell Mortgage Group, we have lenders that can go down to 500-credit scores for FHA loans, but your criteria may change depending on what credit score you have.

If you are in the 500-580 credit score bracket, you can get an FHA loan, but the usual 3.5% down payment changes to a 10% down payment.

If your credit score is 580+, you can get the standard 3.5% down payment on an FHA mortgage. Woo hoo!

If you get a loan denied because of your credit score or for any other reason, give us a call at the office 727-376-6900. We would love to review any file that has been denied from other banks, or credit unions free of charge.

NMLS ID: 327290; NMLS ID: 2062741

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Should I live in an HOA?

Thu, 20 Oct 2022 19:34:27 GMT

HOA’s or Home Owner Associations are non-profit organizations that manage a community or neighborhood or homes. Generally it will get turned over to the homeowners once the builders are finished building the community.

Lets go through the Pros and Cons of living in an HOA.

Pros:

1-Security

Many HOA’s will have extra security usually in the form of a gated community. This is great for keeping your family safer as it will be much harder for people who don't belong there to get in. They can also have security guards to patrol at night.

2-Amenities

HOA’s offer many community areas that neighborhoods without HOAs do not have. Public pools, tennis courts, parks, clubhouses, and gyms are common amenities that can be provided to a community.

3-Maintenance

Another benefit of living in an HOA is that they will pay landscapers to maintain the landscape for the community areas and keep the area in a better standard than communities without an HOA.

4-Leadership and Community

HOA’s generally have a board composed of current homeowners who are there to resolve issues in the neighborhood when they arise. They are there to make sure your issues do not go unheard. And when living in an HOA they may plan special events like holiday parties for its members. There is a greater sense of community since you can run into your fellow neighbors in community areas more often.

Cons:

1-Cost

The main drawback of an HOA is usually the cost. Each one is different but you will have to pay either monthly or annually to keep the maintenance levels high and pay for the community amenities. It can also hurt your debt to income ratios when you are thinking about purchasing in a neighborhood with an HOA. You do not want to miss your HOA payments since that can lead to you being foreclosed upon very quickly.

2-Extra Rules and Red Tape

To keep up the higher standard of living in an HOA, there are generally extra rules that are placed . Common examples are noise levels, keeping a higher standard for personal property, keeping trimmed lawns etc.

And if you are planning on doing construction on your home, it will need to be approved by the HOA before you proceed with it. So if you wanted to put in a pool or put certain fencing or a shed in your backyard, it would need to be approved by the HOA.

So in the end, it really depends on what you and your family will want to get out of the home. HOA communities generally are preferred by those who have families since they are generally safer and are a nicer environment to grow up in. Investors however prefer to buy homes not in HOA’s because they want to not pay the extra HOA dues.

NMLS ID: 327290; NMLS ID: 2062741

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Marry the House, Date Your Rate, Divorce Your Landlord

Wed, 21 Sep 2022 20:22:07 GMT

We have been in a heavy sellers-market for the past few years, here's what to look for in the changing marketing.

With high sales prices, people paying over asking price, and cash offers everywhere has made it a lot tougher for financing homes . But, the increase in interest rates has scared many potential homebuyers out of the market so the sellers are having a harder time finding offers.

This has led to homes sitting on the market longer and sellers now bending over backwards to sell their homes. This means that this is a great time to purchase a home , as buyers have more leverage than they have in years! The only problem is that interest rates are the highest in the last 14 years. So we have got a phrase that we like to say: “Marry the house, date the rate, and divorce your landlord”.

So the main takeaway is to get the house now since you do not want to lose that home of your dreams. You don't want to regret not making an offer on your forever home. But more importantly, the interest rate you have now does not have to be the interest rate you have for the life of the mortgage.

Interest rates may be high right now but with every recession always has a decrease in interest rates. If you look back to the 2008 recession, we had interest rates dropped from the 6% range to the 3% range in 2012. This trend has been the same for the last 50 years. And with seller concessions and price reductions all over, we can use that price reduction to buy the interest rate down to the 5%-4% range. Then in 1-2 years later when the interest rates come back down, refinance the home to get the home you want along with the interest rate you want.

Why would anyone want to increase their landlords home equity when you can start building your own equity? Especially with the insane increase in equity in the greater Tampa Bay area, it's a no-brainer. With year over year average increases over 10 percent, it’s unsustainable to keep paying more for a place to live that is not even yours. Divorce your rent because it is one of your best steps to financial freedom.

If you want to learn more about the mortgage process or just need some help regarding mortgage financing, give us a call at 727-376-6900 , or use the form below to let us know a little more about your circumstances.

Potential Conventional Loan Limits for 2023

Thu, 08 Sep 2022 20:00:02 GMT

Tell us a little more about your situation and we can tell you specifically, what YOU can do to know your loan limits and qualify for a mortgage.

One Strategy To Make Your Home More Affordable

Thu, 08 Sep 2022 13:38:47 GMT

Interest rates increasing over the last year have made it more difficult for buyers to purchase a home. No one has a crystal ball, but unfortunately we believe that rates will get worse before they get better. Well we have got some good news! We have a strategy that can help solve this issue of rising rates. The Buyer Acceleration Program or 2-1 Buydown Strategy is a great way to reduce the cost of your home while getting an above market rate mortgage.

The interest rate increase over the last year has made homes less affordable, while the homes themselves have become more expensive. This deadly combination has led to a stagnation in the mortgage and housing industries as buyers are planning to wait and pay their landlord’s mortgage instead of their own. Well, we have some good news! We have a strategy that can solve both problems and make everyone happy. The Buyer Acceleration Program, or 2-1 Buydown Strategy, is a great way to reduce the cost of your home while getting a below market interest rate on your mortgage.

The Buyer Acceleration Program can be used to lower the buyer's interest rate by 2.00% for the first year and 1.00% for the second year. Then for years 3-30, the normal rate would be used. This allows newer homeowners to save money during the most crucial time of their mortgage. This allows clients to get the home they want without having to deal with the sticker shock of their new payment. The plan would then be to refinance later when interest rates come back down to Earth. We use it as a bridge to get clients into their home quickly and within their budget, plus we help them make sure they are saving money on their monthly payments by reducing their interest rate for two years..

How does it work?

So instead of the sellers reducing their sales price, they give that amount to the buyer to pay for the Buyer Acceleration Strategy. So, instead of reducing the sales price by $10,000 they give that $10,000 in seller concessions to the buyer which covers the 2-1 buydown fee. If the buyer gets more concessions than needed, it will go to their closing costs and prepaids, to reduce their monies at closing. You may be thinking that decreasing the interest rate by 2.00% in the first year and 1.00% in the second year does not matter, but it can add up quickly. For example, if we use a $500,000 sale price and a $400,000 loan amount with a current interest rate of 5.50%. For the first year, you would have an interest rate of 3.50% and save approximately $500 per month on principal and interest payments. The second year would save approximately $250 dollars per month with an interest rate of 4.50%. Years 3-30 would have the normal 5.50% interest rate. We have an example of these exact numbers here:

This program works with Conventional, FHA & VA loan programs which is fantastic. The best part about this program is that when you refinance to take advantage of lower interest rates within a few years, the unused buydown balance will be used to reduce your principal balance. Every single time the economy has been in a recession, which we are now in, mortgage interest rates have decreased.

If you are interested in learning how our Buyer Acceleration Strategy program works, please give us a call at the office, 727-376-6900.

NMLS ID: 327290; NMLS ID: 2062741

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How the Seller Buydown Strategy is a Win-Win for Everyone!

Fri, 19 Aug 2022 18:04:52 GMT

The housing market is starting to cool off. 20%+ home appreciation yearly is frankly unsustainable. The market today is not the same housing market that we’ve had for the past 3-5 years. Gone are the days that listings would have 20 offers in 2 days, half in cash, half over the asking price, waiving contingencies and appraisals.

The reality right now is that homes are staying on the market longer and due to the dramatic rise in interest rates, sellers are finding it harder to find buyers. On the flip side, buyers are seeing their buying power diminished, as higher interest rates mean less buying power. However, it’s not all doom and gloom! People are still buying homes in the Sunshine State, just at a slower rate.

We at Chissell Mortgage Group have an excellent strategy that can help both the sellers get the listing prices they want, along with helping the buyers get their purchasing power back by lowering their interest rates. It’s called the Seller Buydown Strategy and it is a game changer in the current market. Here’s how it works:

Let’s say that you are a seller trying to sell your home for $500,000. It’s been on the market for a couple weeks with no action. Instead of lowering the sales price by $20,000 to $480,000, why not provide the buyers a $20,000 incentive that they can use to either lower their interest rate for the life of the loan and/or cover all or most of their closing costs? This ends up being a win-win for all parties involved! The seller gets the listing price that they wanted, the buyer ends up getting a better interest rate or reduced closing costs and the neighborhood gets an excellent market comparable for future sales! The one thing to keep in mind is that the home must appraise for that value. If you’d like a visual example, here are a few different scenarios: https://mcedge.tv/w4mag3

The only reason we aren’t seeing more seller buydown strategies in today’s market is because people do not know about it. So, our goal is to change that!

If you would like to have a free analysis or have questions about the seller buydown strategies, whether buying or selling a home, or any mortgage questions at all please call us at Chissell Mortgage Group at 727-376-6900.

The Mortgage Process Step 6: Final Steps to Closing

Tue, 14 Jun 2022 20:23:46 GMT

We are so close! We have our clear to close and we are getting ready to go to the closing table. The title company is responsible for coordinating and dispersing all funds properly. We will send the title company your loan package up to 2 days in advance before the closing date. Typically, around this time, the title company will send you wiring instructions for closing. ALWAYS call the title company to confirm the wiring instructions. Wire fraud is a real thing. Who knows if someone’s email account has been compromised or hacked? If you wire those funds to the wrong account, there is no recourse to help you. Those funds are gone. Therefore, it is crucial to pick up the phone and call the title company directly to confirm their wire instructions. Thankfully, none of our clients have ever had an issue with wire fraud. We stress the importance of this process because we do not want any of our clients to become a statistic.

On the day of closing, please bring your ID to closing. Also, in the state of Florida, if you are purchasing a primary residence, your spouse must sign at the table acknowledge you are taking out a lien on your primary residence. If they do not sign, we cannot close. Prepare your wrists, as you will have a litany of documents to sign. Once you are done signing the documents at the closing table, the title company will upload the documents to the lender. They will review to make the documents were completed properly, which typically takes around an hour. Once the lender completes their check, the title company will be able to disperse funds and you are a new home buyer. Congratulations! You are the brand-new owner of the home!

If you like to learn more about the mortgage process or have any questions about mortgage financing, give us a call at the office at 727-376-6900 .

NMLS ID: 327290; NMLS ID: 2062741

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The Mortgage Process Step 5: Processing and Underwriting the Loan

Tue, 14 Jun 2022 20:21:35 GMT

Just as a quick recap, once we have your pre-approval in step 1, we will send you a list of the documents that are needed for the mortgage process. These documents will be required by the underwriter and are crucial to prove that everything on the application is true and correct. It is vital that we get your loan documents as soon as possible, preferably before we even put in an offer, so we can make the transaction as seamless as possible. Once we receive your documents, we will do data integrity on your loan file, and send it to our processors. The loan processors will put the file in a specific structure for the underwriter to review. He or she will then submit the file to the underwriter, who will examine the initial documents and application. After they review the file, we will receive a loan approval with conditions. A loan approval with conditions means that the underwriter is prepared to approve the loan, if we can provide the necessary conditions they are asking for.

You will then work with our processor to get the items request by the underwriter to keep the loan moving. This is a watershed moment in the mortgage process. This process can take a few days or a few weeks depending on how fast you get our processor the conditions requested. The onus is solely on you, as the borrower, to get the requested documents over as soon as possible. Our hands are tied until you provide the necessary items. Once we have submitted all the requested items to the underwriter, and the underwriter has no more questions, they will issue a clear to close. A clear to close means that the underwriter has fully signed off on the loan and we will be starting the closing procedures. Typically, this process can take 3-4 weeks, but could be faster or slower depending on how fast you as the client move.

If you like to learn more about the mortgage process or have any questions about mortgage financing, give us a call at the office at 727-376-6900 .

NMLS ID: 327290; NMLS ID: 2062741

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The Mortgage Process Step 4: Home Inspection and Home Appraisal

Tue, 14 Jun 2022 20:19:06 GMT

Once your contract has been fully executed, the realtor is going to assign a home inspector to inspect the home in question. They will investigate the structure of the home to see if there are any deficiencies with the plumbing, heating, A/C, foundation, etc. This is a very detailed and thorough inspection, which typically takes a few hours to do and write up. You should receive the report within a day or two of the home inspection. Then after receiving the report, talk with your real estate agent to see if you want to proceed with the contract with the home in its current condition. We would always recommend our buyers to get a home inspection, as they are worth their weight in gold! You may find some type of deficiency with the home that may give you and your realtor some leverage and negotiating power.

The home appraisal works a bit differently. The processing team working on your loan will order the appraisal on your behalf to see what the value of the home is. The typical cost of an appraisal ranges from $500 to $650 but could be more depending on the size and uniqueness of the property. The process normally takes about 1 to 2 weeks for the appraiser to accept the job, schedule a meeting date with the sellers, inspect the home, and write the report. The report will use the comparison approach by comparing your home to the closest 3-6 homes that have similar features to yours. The appraised value is important since the lender will only lend on the appraised value or the sales price, whichever is lower. Also, the home inspection and the appraisal are fees are paid up front, not at the closing table.

If you like to learn more about the mortgage process or have any questions about mortgage financing, give us a call at the office at 727-376-6900 .

NMLS ID: 327290; NMLS ID: 2062741

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The Mortgage Process Step 3: Executed Contract

Tue, 14 Jun 2022 20:14:26 GMT

Congratulations! Your realtor has presented your offer to the sellers, and the sellers have agreed to your terms and signed. We have won our offer with the sellers and now have a fully executed contract. Here is where the ball really starts to get rolling.

Now, there are 6 important dates on a contract. We have a video specifically on these dates, available on our Youtube and blog. However, I will also cover them in detail below:

#1 – Ernest Money Deposit – Also referred to as a “Good Faith Deposit”, the Earnest Money Deposit (EMD) funds are given to the title company at the beginning of the real estate transaction. These funds signify that the buyers are serious about purchasing the property. The standard time frame for the EMD is 3 days from when the real estate contract was signed and executed.

#2 – Loan Application Date – This date refers to when the borrower makes a loan application with the broker or lender. On a standard FARBAR contract, the loan application date is within 5 days of the executed contract. Hopefully, you have already reached out to your broker to get preapproved before putting in the offer!

#3 – Inspection Period – Another important contract date is the number of days given for the inspection period. The standard timeframe is 15 days. These inspections can include your home inspection, 4-point inspection, radon test, pest inspection, septic inspection, well inspection, pool inspection, etc.

#4 – Loan Approval Date – The Loan Approval date is typically 30 days from the time you sign your contract. This date is especially important, as it can have financial implications on your EMD funds. If you do not meet this date, you could lose your EMD to the sellers. Big deal!

#5 – Title Commitment Date – The Title Commitment Date is the period in which we need free and clear title for the closing. This could be between 5-15 days prior to closing the loan.

#6 – Closing Date – The big day! The closing date on the mortgage is the expected day for the loan file to close. This is typically between a 30-60 day closing period.

If you like to learn more about the mortgage process or have any questions about mortgage financing, give us a call at the office at 727-376-6900 .

NMLS ID: 327290; NMLS ID: 2062741

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The Mortgage Process Step 2: Finding the Right Realtor and Home

Tue, 14 Jun 2022 20:06:18 GMT

After getting preapproved, the next step in your home buying journey will be finding a realtor. This home your purchasing may be your largest financial asset, as well as the largest indebtedness you may ever have in your entire life. Suffice to say it’s a big deal! You do not want to trust your financial future to your second Cousin Billy who just passed his real estate exam last month. You want a local, experienced, knowledgeable, and professional real estate agent that is going to give you the best chance of success. If you’re in need of a real estate agent, we would be more than happy to recommend some local experts to you.

Now that we have a local real estate specialist fighting on our behalf, the next step will be finding that home of your dreams! Understandably, your real estate agent will send you homes that come on the market that fit your specific parameters. Once you find a home you are interested in, that is when that real estate agents’ job really starts. We want to put our best foot forward on our offer to have the highest likelihood of winning the bid!

If you like to learn more about the mortgage process or have any questions about mortgage financing, give us a call at the office at 727-376-6900 .

NMLS ID: 327290; NMLS ID: 2062741

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The Mortgage Process Step 1: Preapproved vs Prequalified

Tue, 14 Jun 2022 19:51:44 GMT

Welcome to the Chissell Mortgage Group home buying process walkthrough! This is going to be part 1 of our 6-part series about how the mortgage process will unfold. The purpose of this walkthrough is to makes sure that our borrowers are well educated on what to expect at each step of the way.

This is the most important step of the entire mortgage process.

Getting preapproved!

There is no point in looking at homes if you do not know what you qualify for. You are not only wasting your time, but you are also wasting your realtors time and the seller’s time. Getting preapproved is fast, easy, and most importantly free! We run it through an automated underwriting system, which tells us if the lender is willing to accept the loan or not. It will provide you with a sales price, monthly payment, and total cash to close necessary to purchase the home. It will also give you peace of mind that you are truly qualified to purchase a home. No bait and switches here.

Now, you may not be ready to purchase a home. You just want to get some information regarding the mortgage process, maybe even get an idea of what a ballpark rate and monthly payment may look like. Totally fine! That would be considered a prequalification. For a prequalification, we do not pull credit. We also do not run it through that automated underwriting system, so you cannot use it to put in offers on a home. However, this will give you somewhat of an idea what the numbers look like and your potential buying power. Once you’re ready to start shopping, we’ll want to take you from prequalified to truly preapproved. This way, we don’t have any surprises pop up during the loan process and we can have a smooth, boring transaction!

If you like to learn more about the mortgage process or have any questions about mortgage financing, give us a call at the office at 727-376-6900 .

NMLS ID: 327290; NMLS ID: 2062741

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How Giving a Borrower a Higher Interest Rate Saved Them $950 a Month

Wed, 25 May 2022 13:21:29 GMT

Sounds a bit counter productive doesn’t it? How can increasing your interest rate help you to cash flow $950 a month? Surely a higher interest rate would lead to more monthly expenses, not less. Let us explain!

We had borrowers who we helped purchase a home a few years ago. Since we are fantastic at our jobs, we locked in their interest rate at a 3% on their purchase! But they were in a bit of a pickle; They had racked up $80,000 dollars’ worth of high interest credit card debt that was killing their monthly cash flow. So, if they wanted to pay off their cards, they had two good options. Either they could tap into their home’s equity with a cash out refinance or take out a Home Equity Line of Credit on the home. It was our job to find out which option would be the best for them. In this case, even though they would be increasing their interest rate significantly, it was actually mathematically more effective to go with the fixed interest rate cash out refinance. While their principal and interest payment did increase on their mortgage, they were able to save $950 per month getting rid of that nasty credit card debt!

That is the kind of outside the box thinking that we at Chissell Mortgage Group pride ourselves on. Now, not everyone will benefit by increasing their interest rate on their mortgage. However, it is imperative to look at all options on the table so that we can contour a plan that is specific to your goals.

As always, If you would like to have us review your monthly cash flow or have any questions at all about mortgages, please call us at Chissell Mortgage Group at 727-376-6900 .

NMLS ID: 327290; NMLS ID: 2062741

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VA Appraisal Victory | How We Contested a $48,000 Appraisal Gap

Thu, 19 May 2022 18:18:48 GMT

We had a client receive a very low appraisal for the home they were trying to buy VA. The difference in the sales price and the appraised value was $48,000. In many cases this would be a nightmare for the buyers. Not everyone has $48,000 dollars lying around!

A common misconception in the mortgage business is that you cannot contest VA appraisals, but this is not the case. Now we here at Chissell Mortgage Group knew that you can challenge a VA appraisal, so we went back to the realtor. We asked them if there were better comps that could be used and they said yes. So we gave the information for the better comps to compare the home to and challenged the Veterans Administration directly.

A week later the VA turned around on their estimate and they declared that the home’s value was at the exact amount for the contract price! This is just another reason why you should use us here at Chissell Mortgage Group since we can handle those challenging scenarios that present themselves.

If you have any questions at all about mortgages, please call us at Chissell Mortgage Group at 727-376-6900 .

NMLS ID: 327290; NMLS ID: 2062741

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Experian Boost Users: Read This Article

Mon, 16 May 2022 20:52:16 GMT

Experian Boost Users: Read This Article

Many people have been using Experian Boost to raise their FICO credit scores. It's a free service provided by Experian to boost consumer’s credit scores and it works. The way it works is that the consumer will self-report their utility bills, subscriptions, phone bills, etc. to show that they can be accountable by making their payments on time. The average FICO score boost is around 14-21 points per borrower but it can be more or less than that.

The problem with Experian Boost, at least for the mortgage industry, is that we cannot use this type of FICO credit scores to get a loan. We use your residential mortgage credit report score (RMCR), which does not include things like utility bills, subscriptions, phone bills, etc. In other words, this will not help you to increase your mortgage credit score.

In order to improve your mortgage credit score or anything at all about mortgages, please call us at Chissell Mortgage Group at 727-376-6900 .

NMLS ID: 327290; NMLS ID: 2062741

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Is Mortgage Protection Insurance Worth It?

Tue, 10 May 2022 15:09:41 GMT

Just like our last article stated, once you purchase a home, you will be bombarded by mailers and offers. Unlike the other article where we talked about scams that prey on unsuspecting homeowners, mortgage protection insurance is a real product. However, its uses are more niche.

A common thing to confuse mortgage protection insurance with is Private Mortgage Insurance or PMI. Private mortgage insurance protects the lender in case you default on your mortgage. Mortgage Protection Insurance protects you and your family if anything were to happen to you. They will help you pay your mortgage if something were to happen to the policyholder and the mortgage borrower. It is sometimes called “mortgage life insurance” because some policies only pay out when you die. Unlike a life insurance policy, the money does not go directly to you if the policyholder would die. Instead, it goes immediately to the mortgage servicer.

Mortgage Protection Insurance is a “guaranteed issue” which means that they must allow you to enroll regardless of health, age, or status. The only reason why you would get mortgage protection insurance is if you cannot get a “Term” insurance plan. A reason why you might not be able to get a term insurance plan is if you work in a high risk industry or have poor health/existing conditions.

An important thing to know about MPI is that the payout will decrease over the life of the loan as you make more monthly payments. So the longer you have MPI for, the less money you will receive if something were to happen. This is why a term insurance plan would be better for most borrowers.

If you have questions regarding the information you’re receiving in the mail or anything at all about mortgages, please call us at Chissell Mortgage Group at 727-376-6900.

NMLS ID: 327290; NMLS ID: 2062741

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Scams That Target New Home Buyers!

Thu, 05 May 2022 14:40:19 GMT

Here’s something you may not think about when purchasing a home. Mortgages are public record. After you close on your home, that mortgage will be recorded with the county for everyone to see. Once it’s recorded, you are going to be inundated with mail from life insurance, security, and lawn care companies just to name a few. However, there are some bad actors who will send you blatant scams to take advantage of unsuspecting homeowners. Here are a few of those scams to be aware of.

Homestead Scams - You’ll receive something very official looking that will state you need a declaration of homestead in order to file for homestead exemptions. It’s a blatant lie ! You can file for your homestead exemption (once you’ve received your free copy of your deed in the mail from the title company) in person at the county property appraiser’s office or online on their website.

Grant Deed Scams - Speaking of your properties deed, there’s a very common grant deed scam. They’ll have some very official looking document that will say “RECORDED DEED NOTICE” and that in order to receive your current Grant Deed you only have to pay a $107 service fee. This is complete garbage ! Just as we previously mentioned, you will receive a free copy of your deed in the mail from the title company. Typically, this will take 4-8 weeks to come through the mail.

Home Warranty Scams - You may receive something in the mail that says you must have a home warranty. That isn’t true! It is completely optional to have a home warranty to cover major items and appliances for your home. If you would like a home warranty, that is totally fine! However, the choice is completely up to you, not mandatory.

Water Update Scams - They’ll send a postcard that is from the “Environmental Water Resource” that says they weren't able to reach you in person. Once you call the number on the postcard, they’ll come out and try to tell you that your water is bad and that you need this, that or the other to fix it. Trash it.

Mortgage Payment Scam - This is the most predatory and dangerous scam of them all! The reason why this scam is so dangerous is because your mortgage more than likely will be sold at some point and time in the future. When your mortgage is sold, your mortgage servicer (the company you’re paying your mortgage to) must send you a notice 15 days before it is sold and 15 days after it has been sold. When you receive this in the mail, it is imperative you call your current mortgage servicer to confirm that this is true and correct. If you do not call, you are opening yourself up to being taken advantage of.

If you have questions regarding the information you’re receiving in the mail or anything at all at mortgages, please call us at Chissell Mortgage Group at 727-376-6900 .

NMLS ID: 327290; NMLS ID: 2062741

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Buying A Home In Florida Out Of State? Read This

Mon, 18 Apr 2022 14:06:31 GMT

Tired of shoveling snow? Paying an arm and a leg in taxes? Can’t take those bleak grey winter sky’s any longer? Well come on down to the Sunshine State! Around 1,000 people a day move to Florida. If you’re one of those perspective buyers, here is some pertinent information.

#1 – Get Preapproved

You’d think it would be common sense that people would want to get preapproved for a mortgage before they start looking around and shopping for homes. However, you’d be surprised at how many people leave this step until after they have won a contract with a seller. Big mistake! What is the point of looking at homes if you don’t know whether you qualify for them? Save yourself time, money, and heartache by getting preapproved by a local mortgage broker. We at Chissell Mortgage group are mortgage experts! We are more than happy to help you get preapproved to find that beautiful Florida home. FYI, a false preapproval is just as bad (possibly even worse) than not being preapproved at all!

#2 – Plans for Your Current Home

One of if not the most important thing to consider when thinking about moving is what are you going to do with your current home? You have some options here. If your debt-to-income ratio (DTI) can carry both mortgage payments, you can keep the home up north and purchase your new primary residence/second home/investment property in Florida. If you’re unable to carry both payments, you have the possibility of selling the home up north first and using the proceeds of the sale to purchase your new home. It all depends on your situation and what your goals are for the new property, so this is where getting on the phone for a few minutes helps to point everyone in the right direction.

#3 - Employment

What are your plans for your current employment? If you plan to keep your primary residence and use the new home as a vacation home, lining up employment isn’t a big concern. But for those who plan to make this new home in Florida their primary residence, you have some more questions to answer. Do you work remotely? Are you self-employed? Can you transfer to another location in the area that you are moving? All of these are questions we want to have answers for. If you cannot find local employment and want to purchase the home as your primary residence, we may need to find a different solution.

#4 - Working with A Local Realtor

Florida is an extremely competitive market, as demand is exponentially higher than supply. Working with a local realtor is a must for you to get a home under contract, since they have the area knowledge, connections, and experience necessary to win the offer! If you need any recommendations on local real estate experts to work with, we at Chissell Mortgage Group have a vast network of area experts to help guide you on your homebuying journey.

All of these topics are imperative to have answered to have a smooth, boring transaction.

Tell us a little more about your situation and we can tell you specifically, what YOU can do to buy a home in Florida.

Where To Get Cash To Close

Thu, 07 Apr 2022 14:24:04 GMT

Purchasing a home is the American Dream! For most people, this will not only be the largest purchase in their lives, but also their largest indebtedness. When done correctly, it can also be one of the gateways to financial freedom. However, purchasing a home typically isn’t cheap. Not everyone has thousands of dollars laying around in their checking or savings ready to use for a home. The cash needed to close on a home can be from a multitude or sources. Here are some of the different ways you can get cash to close.

Retirement Accounts - These can be a great way to come up with your cash to close on the home. There are many different retirement accounts that can be used, but borrowing against your 401K can be one of the best ways to borrow money. You will have to pay the money back over time, but you do not incur the massive early withdrawal penalty associated with withdrawing your money out of your 401K. IRA’s can also be a good way to use your assets since there is a special provision for first time home buyers. The first $10,000 dollars you take out of your IRA can be tax free if you used to purchase your first home.

Brokerage Accounts - For those with brokerage accounts like Robinhood or WeBull,, you can sell some of your stocks and bonds to get cash out. We will just need documentation to paper trail where the funds to close are coming from.

Down Payment Assistance Programs - Another way to get cash to close while not using assets you own would be from a down payment assistance program. Usually these are local/state/federal programs or grants that help first time home buyers or low income earners get their foot in the door. Most of these programs have many hoops to jump through, so talk with your independent mortgage broker about options that you may be eligible for.

Gift Funds - Gift funds are a fantastic way to get money to cover cash to close without having to come from your own pocket. Now, these funds do have to come from a blood relative (mom/dad/sister/brother/aunt/uncle/etc) and the underwriter will want to source where these funds are coming from. If you have questions about whether your gift funds are acceptable or not, please feel free to reach out and ask questions!

Seller/Realtor/Lender Concessions - Now you may not be aware of this but you can also get money from the seller, lender, and the realtor via concessions. This should not be the first place to get your cash to close, as in this sellers market, trying to get concessions makes your offer less enticing. However, they are an option to pay for your closing costs, especially if you are short a couple thousand dollars on your cash to close. We can also take a slightly higher interest rate and the lender will pay you cash for doing so. Realtors can do a similar thing to benefit their buyers or sellers and give concessions to help the transaction go through. Would you rather make a little bit of something or a lot of nothing?

Sell or Refinance An Asset - For those who have assets like a car, truck or boat but not a lot of cash on hand, you could cash out and refinance your asset to pay for your closing costs on your home. We’ve used this several times with asset rich, cash poor clients and it’s worked wonders!

If you are interested on how to find cash to close or have any questions regarding the mortgage process, please call us at Chissell Mortgage Group at 727-376-6900.

NMLS ID: 327290; NMLS ID: 2062741

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Lock Your Interest Rate While You Shop For A Home

Mon, 04 Apr 2022 18:57:10 GMT

As we all are aware, interest rates have been spiking in the last 90 days. Based on their recent language, the Federal Reserve looks intent to continue to increase interest rates. Sales prices are on the rise. If you’re currently in the market to purchase a home, it can be a very daunting task. However, we have some good news!

What if I told you that you could lock in your interest rate today, without even having a property address, and we could guarantee that rate (within the allotted time period) while you shopped?

Chissell Mortgage Group has exactly that program! Simply pick a timeframe (90 or 180 days) that you would like the lock for and then go find yourself a home!

If you are interested in locking your interest rate while you are shopping for a home or have any mortgage questions, please call us at Chissell Mortgage Group at 727-376-6900.

NMLS ID: 327290; NMLS ID: 2062741

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Purchase A Home Cash & Get Your Money Out Fast

Tue, 29 Mar 2022 15:29:53 GMT

Did you know that you can buy a home with cash right now and then immediately turn around and pull the majority of that cash out of the property? This is a tactic not commonly known and can change the way you purchase your next home.

As we all know, cash is king! So, if you have enough cash to buy the home outright, you most certainly should win the offer. Cash offers are the most attractive to sellers when wading through the dozens of offers they are going to receive. It will beat any loan products out there and typically will only lose to other cash offers. Then after winning the home with your cash offer, you can tap into your home’s equity immediately to recoup a large lump sum of your funds! This is a win-win situation, as you can secure the property with the cash offer (again, difficult to win a bid in this market) and then establish financing so you can keep your money and make manageable monthly payments.

Here’s another fantastic benefit of delayed financing. You don’t have to wait 6 months to pull the equity from your home like you typically would with a cash out refinance. This allows you the freedom of being able to use your money for other purposes and not being tied up in the property. This is a great option for investors who want to use their assets to purchase a property, then take the money out to go and buy the next home.

Not many homebuyers know about this option and can get you into your dream home faster and recover a large portion of the assets used. It’s a no brainer for those who can. If you are interested in learning more about delayed financing or have any mortgage questions, please call us at Chissell Mortgage Group at 727-376-6900.

NMLS ID: 327290; NMLS ID: 2062741

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Credit Bureaus To Remove Majority Of Medical Debts From Credit Reports

Tue, 22 Mar 2022 19:11:48 GMT

I think we can all agree that the U.S. healthcare system has some issues. One of those issues should not be medical debt impacting people's ability to purchase a home. Unfortunately, we know the way Experian, Equifax, and Transunion (the three major credit bureaus) currently report this information does exactly that. Medical debt, especially derogatory accounts that have a late payment or are in collections, can greatly impact your credit score! Having a lower credit score absolutely affects your chances of being able to qualify to purchase a home.

Well, we have got some great news today! Experian, Equifax, & TransUnion are making serious changes to how they will be collecting and reporting medical collections debts on your credit report.

The 3 major bureaus just announced that they will be removing up to 70% of the medical collections on consumer credit reports starting in July of 2022! This is massive, as derogatory medical collections can stay on your credit report for 7 years. They can even stay after they have been paid off, affecting your ability to apply for credit of any kind. A fantastic change that will help borrowers qualify for homes.

That’s not all. In the first half of next year, they plan to remove ALL unpaid medical collections under $500! This is going to remove a large majority of the medical collections currently plaguing borrowers, which will ultimately lead to an increase in credit score.

As a final change, they will be increasing the amount of time they wait to report these medical collections on consumer credit reports. Increasing this time frame from 6 months to 1 year allows. This allows consumers more time to pay off claims or dispute false ones without them having to impact your credit score! All in all, some substantial changes will help consumers with all forms of lending, including mortgages.

If you are interested in applying for a mortgage or learning more about mortgage financing, please call us at Chissell Mortgage Group at (727) 376-6900.

NMLS ID: 327290; NMLS ID: 2062741

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The Best No Document Mortgage In Existence

Wed, 16 Mar 2022 15:10:50 GMT

Does the headline sound like an exaggeration? Well, it’s not! We at Chissell Mortgage Group have access to the best no doc mortgage in the industry! What is a no doc mortgage? Why would I be interested in this? All those answers and more will be in the article to follow.

First things first, what is a no document mortgage? By no doc, we mean no documentation regarding your income or employment. This can be extremely beneficial to self-employed business owners who don’t have or show enough income on paper, retirees who are trying to purchase a home with a fixed income, or investors who are looking to cash out the equity in their primary residence or second home and start putting it to work.

Typically, a no doc mortgage would have a prepayment penalty. This mortgage does not have one!

Typically, you would have very expensive payments on this type of a mortgage. This mortgage is interest only!

Typically, the interest rates would be astronomical. The rates are competitive with todays pricing!

All around, this is an incredible mortgage to get your foot in the door on a primary residence or second home. This allows you to stop paying someone else's rent and to start building equity in an appreciating asset!

If you are interest in applying or learning more, please contact Chissell Mortgage Group at (727) 376-6900 .

NMLS ID: 327290; NMLS ID: 2062741

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Why PMI Can Be A Good Thing

Fri, 11 Mar 2022 20:32:26 GMT

When people think of private mortgage insurance they think of an extra monthly payment on their mortgage. We are here to educate you on how it can be a useful tool.

Back in the 1950’s, the only way you could get a mortgage was by going 20% down. Private mortgage insurance was created to help home buyers be more flexible while reducing the risk of foreclosure for the lenders. This was a win-win for both sides, due to homebuyers not having to have put so much cash down initially, while the lenders could keep their investment safe.

PMI may be cheaper than you think. Let's use an example that you want to purchase a home with a sales price of $300,000. If you were going to avoid private mortgage insurance, you would have to put 20% down or $60,000 down for the down payment on the home. Now not everyone has that kind of cheddar and that's not including the earnest money deposit, appraisal fee and all of the closing costs associated with purchasing a home. It will cost you closer to $100,000 dollars to purchase that home that you may not have. But you may have income that would be good enough to purchase the home. You could go 3% down and only bring somewhere around 30k for all of the closing costs and at the price of an extra 95 dollars a month, lower the upfront costs and get in your new home today.

Another way that PMI is flexible is that it doesn't have to be paid monthly. You can pay it all at once with a single premium mortgage insurance or SPMI. Or you can do a Split Premium which is half BPMI and half SPMI. You would pay half of it up front and half of it monthly. This is great for higher debt to income borrowers since it would not increase your ratio as much as a borrower paid mortgage insurance and it's half the cost of single premium mortgage insurance.

Having PMI can actually lower your interest rate. This is a crazy scenario but it does happen. Lenders like PMI so much that going 19% down with PMI can give you a lower interest rate than going 20% down. It may not happen every time but it absolutely it a possibility that some of our borrowers can take advantage of!

If you want to learn more about PMI, please contact Chissell Mortgage Group at (727) 376-6900.

NMLS ID: 327290; NMLS ID: 2062741

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6 Reasons For A Revocable Living Trust For Your Home

Tue, 08 Mar 2022 20:27:11 GMT

When it comes to revocable living trusts, please seek the advice of an attorney. Living trusts are estate planning tools to help manage your finances before. Living Trusts are not just there for wealthy individuals. It is also for those who are concerned about their health and well-being.

The first and possibly the most important reason to have a living trust is to avoid probate. You can potentially avoid the timely and costly legal process that is probate by having your home in a living trust. The probate legal process can take months and can be very expensive. The upfront cost of setting up a living trust can outweigh the costs of probate while giving you extra flexibility and other benefits.

Another reason would be to keep your privacy intact. Especially in this digital age, it is harder than ever to have privacy. Normally when you would pass away, the probate process would reveal information about the estate that you may want to keep private into public record. A revocable living trust would keep that information private after death.

Living Trusts let you maintain control of your finances even after you pass away. Normally when you would pass away, you would have to allocate your estate immediately. Using a living trust, you can hold off until your children reach a certain age or complete a milestone (graduating college, marriage etc.).

The flexibility of a living trust cannot be understated. For those out there who have health issues or have family members with special needs, living trusts can make preparing for the future much easier.

If you want to learn more about Living Trusts and Mortgages, please contact Chissell Mortgage Group at (727) 376-6900 or go to our website https://www.chissellmg.com.

NMLS ID: 327290; NMLS ID: 2062741

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6 Reasons to get a Cash Out Refinance

Fri, 04 Mar 2022 18:41:53 GMT

With the value of homes skyrocketing over the past couple years, homeowners have more equity now than ever! Having that equity to you is a great benefit, as it allows the flexibility to potentially tap into your home's value in order to accomplish other financial goals. Here are 6 reasons how a cash out refinance could benefit you.

Home renovations are a great idea for those who want to increase the equity of their home and while also increasing its functionality or looks. Home renovations can be a bit pricey, so pulling equity from your home to pay for your renovation is a wonderful option. Not only will you have a better looking/functioning home, but you’ll also be gaining some sweat equity!

You now have a wonderful house that you just finished renovating, but in the process you racked up your credit cards. You don’t want to get caught in a debt loop where you now are paying 22% interest on your card balance, which only covers the interest payments. A cash out refinance would allow you to consolidate your debt at a much lower, much longer timeframe. This allows you to actually get rid of the debt, instead of becoming a slave to it.

Maybe your house is fully renovated and you have no debts to pay off. You may now be looking for extra income sources to set yourself up for retirement in the future. Three great options would be to tap into your home's equity to invest, to buy an investment property, or to start a business. Getting money out of your home at around a low rate with solid credit to invest in the S&P with a return of on average 10% is a great play. You are getting money out of your home with no upfront cost to make more money for you. Also pulling money out of your home to purchase an investment property with a 15% down payment can also be a great financial play. A source of consistent income every month that allows you to gain equity in an appreciating asset, while someone else pays your mortgage payment is something many financially savvy people do. If you are starting a business, typically you need some starting capital. Doing a cash out refinance on your primary residence, in order to pull funds to start your business can be a fabulous option!

Are you not interested in making money and are just looking to relax on the beach? Getting a cash out refinance to put a down payment on a second home is a great idea. To have a second home that you can use for vacations a few months out of the home and then rent to friends or family or Airbnb the rest of the year is awesome.

So here are some great options for you homeowners out there to use the money in your home to make you more money or just make your life better.

NMLS ID: 327290; NMLS ID: 2062741

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What Are Escrows?

Wed, 23 Feb 2022 18:48:54 GMT

If you’re looking to purchase a home, the word escrow may be thrown around a lot. If you can’t get your head wrapped around what escrows are, you’ve come to the right place!

So first things first, what are escrows? An escrow account is a free service provided by your mortgage servicer that collects your tax and insurance payments as part of your monthly payment. In turn, when your tax and insurance payments come due, your servicer pays them in a timely manner. This actually benefits both parties, as it ensures the lender that the taxes and insurance payments are made on time. This also benefits the homeowner, as they will not be blindsided by having to make large tax or insurance payments, as they’ve already been collected.

Now, you can have escrow shortages. Typically, these are due to a tax reassessment where the servicer was not collecting enough taxes as part of your monthly payment.

Simply contact the county after closing in order to have them estimate your new tax payment. You can provide your servicer your trim notice and they’ll adjust the tax paid accordingly!

Need more help? Reach out to us below, and we can talk you through the process.

5 Common Mistakes That Ruin Your Chances At Homeownership

Thu, 17 Feb 2022 13:57:26 GMT

5 - Unreported Debts

If you have unreported debts, the underwriters will find it out! Reporting your debts can be the difference between a loan approval or a loan denial. There are a few cases where your debts will not automatically appear on your credit report. Things like child support, alimony, and timeshares are good examples of debts that may not be reported. However, they still need to be included in your debt-to-income ratio! It's better for us to know about the debts ahead of time and structure the loan around them. You may very well lose the loan when the underwriter finds out about the debts later and you no longer qualify for the mortgage.

4 - Co-signing Debts

Many parents want to help their children out with student loans, car loans, and other debts, so they co-sign. Unfortunately, when you co-sign, the debt will show up on your debt to income ratio even when it is not your debt! When you co-sign, you are acknowledging responsibility for the debt, so lenders must take that debt into consideration. If you are looking to qualify for a mortgage, do not cosign for your children. If you’ve already cosigned, look for a way to remove yourself off the debt.

3 - New Debts

When you are going through the mortgage process, please do not acquire any new forms of debt–no new credit cards, no new cars, no lay-aways, no new credit! Even if you think it might be helpful in the long run, the new credit may balloon your debt to income ratio to the point where you can no longer qualify for the mortgage. Watch out when buying any products that can be financed. For example, a car, boat, camper, television, or even furniture for your home. If you did not buy it entirely out of pocket, it will show up on your credit report and the new debt can be the difference between getting approved and denied.

2 - Changing Compensation

Be careful if you are in the process of getting promoted since this may change your pay structure. For example, if you are receiving an hourly wage and transition to a commission pay structure, you may not qualify for a mortgage. If you receive commission income or have a 1099, we need to see at least 2 years’ worth of history with that income. Then we take the average of those 2 years to get your monthly income. So if you switch from W2 to commission, 1099, or self-employed income, you would have to wait at least 2 years to get a mortgage.

1- Job Changes

The biggest way to ruin your chances for a mortgage is that you get a new job. You may think that getting a new job will give you a greater chance since it might increase your income, but lenders see a job change as a risk. Please do not switch jobs until you close on your new home. It will do you more harm than good, so please just wait until we close on the loan.

If you are looking to get a mortgage or are in the mortgage process, please avoid these 5 mortgage mistakes. The best way to ensure a smooth mortgage process is to avoid these top 5 mistakes at all costs! Please talk to a mortgage professional before making any major decisions.

If you have any questions about the mortgage process or would like to start a loan application , please contact Chissell Mortgage Group at (727) 376-6900 .

NMLS ID: 327290; NMLS ID: 2062741

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Can You Get A Mortgage During A Divorce?

Wed, 09 Feb 2022 18:19:34 GMT

We’re going to preface this post with the fact that we are not attorneys. This is not legal advice. If you are considering filing for divorce, we highly recommend seeking legal council and speaking with a divorce attorney .

However, we are licensed loan originators in the State of Florida and mortgage experts. This post will be speaking directly from the mortgage side of the equation.

Simply put… Yes! You can qualify for a mortgage for a purchase or a refinance for a divorce.

There is a caveat to that yes. The State of Florida is a homestead state. In a homestead state, your spouse must sign off at the closing table acknowledging that you are taking out a lien on your primary residence. If your (soon to be ex) spouse does not sign at the closing table, you cannot close on that mortgage.

As always, if you have any questions about the mortgage process or would like to start a loan application, please contact Chissell Mortgage Group at (727) 376-6900 .

NMLS ID: 327290; NMLS ID: 2062741

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Are Mortgage Rates Going to Rise?

Wed, 02 Feb 2022 18:44:02 GMT

If you have been on the fence about refinancing your home, now is your last chance to get these lower rates!

Bonds have an inverse relationship with mortgage rates. So, when the bond market is doing well, the mortgage interest rates go down and vice versa. The Federal Reserve determines the policy that has been affecting the bond market. So in the last year, the Federal Reserve has been purchasing hundreds of billions of dollars in bonds, which has kept the mortgage rates lower. They announced in November of last year that they are tapering off on their bond buying. So they have started to buy less and less bonds per month. Sometime in March we expect them to stop buying bonds altogether. This is going to result in a large spike in interest rates. Expect rates to increase by at least a quarter if not a half percent increase.

You might be saying to yourself, “a half percent increase in interest rates isn’t all that bad” but for those who are trying to refinance your home your window may be closing. For those who purchased homes in the late 2010’s your rates would have been higher than what rates are going for right now. With this increase, it will push a lot of people away from refinancing since it would make their new rate higher or only marginally better than before.

As always, if you have any questions about the increase in mortgage rates or would like to do a refinance application, please contact Chissell Mortgage Group at (727) 376-6900 or go to our website https://www.chissellmg.com.

NMLS ID: 327290; NMLS ID: 2062741

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Purchase Your Second Home Now! Here’s Why

Thu, 20 Jan 2022 15:41:05 GMT

Fannie Mae and Freddie Mac are back like a bad burrito, adding their loan level price adjustments (LLPA) hits to any second home purchases!

Last year, not liking the amount of second home and investment properties they had in their portfolio (9% vs a target of 7%), Fannie & Freddie instituted a LLPA to second home and investment property purchases. These LLPA’s increase the cost of these second home and investment property purchases, which disincentives borrowers from making these purchases. Last Fall, they removed these LLPA’s to second homes and investment properties.

However, starting March 15th, the lenders are going to be raising their interest rates for specifically second home purchases. To give you an example of how this can affect your monthly payment, on a $400,000 mortgage, these LLPA’s can increase your payment as much as $200 a month!

As always, if you have any questions regarding second home purchases, please contact Chissell Mortgage Group at (727) 376-6900 or go to our website https://www.chissellmg.com.

NMLS ID: 327290; NMLS ID: 2062741

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Buying A Home With A Low Credit Score? We Can Help!

Wed, 12 Jan 2022 18:59:39 GMT

We understand that in life, things happen. Life comes at you fast. Especially dealing with Covid the past couple of years, maybe your credit score has taken a recent hit. However, you’d still like to achieve the American Dream and purchase a home. Thankfully, we at Chissell Mortgage Group have access to loan programs that can potentially go to as low as a 580 credit score!

Check out our chart below for an example of programs by score range.

500 - 580

You are close and some programs may be available (possibly hard money lending) but in general, you want to start repairing your credit. Any lending programs at this credit level have drawbacks that generally aren’t worth it. Call us today and we can put you in touch with a credit repair specialist, (727) 376-6900.

580-620

Your credit score isn’t the greatest, but we do have an opportunity to run you through the Automated Underwriting System to see if we can get you pre-approved!

620+

This kind of credit score is where we are going to put you in the most favorable mortgage programs!

For more information regarding low credit score mortgages, please visit https://www.chissellmg.com/, or give us a call (727) 376-6900.

NMLS ID: 327290; NMLS ID: 2062741

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2022 FHA Loan Limit

Wed, 05 Jan 2022 20:05:53 GMT

Are you a first time homebuyer having trouble looking for a home last year? Well have we got some good news for you. FHA loan limits for 2022 have been increased! Compared to 2021’s loan limit of $356,362 for FHA, the new 2022 loan limit has been increased to $420,680. That’s almost a $65k increase! This is an excellent change that will help first time home buyers get their foot in the door with an FHA mortgage.

For more information regarding FHA mortgages, please visit https://www.chissellmg.com/ , or give us a call (727) 376-6900.

NMLS ID: 327290; NMLS ID: 2062741

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Wishing You a Merry Christmas, Happy Holidays and a Happy New Year from Chissell Mortgage Group

Wed, 22 Dec 2021 19:02:01 GMT

Wishing You a Merry Christmas, Happy Holidays and a Happy New Year from Chissell Mortgage Group

Our team wants to extend our gratitude to you, our clients, friends, and partners.

One last reminder: if you bought a house in 2021, please file for homestead with your local county or municipality.

If you are looking to buy a home in 2022, we can help you find the right loan type with the right lender which means the best terms at the best rate!

For more information, give us a call (727) 376-6900.

NMLS ID: 327290; NMLS ID: 2062741

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2022 Homestead Exemption For New Florida Homeowners

Wed, 15 Dec 2021 18:53:05 GMT

For any new homeowner in 2021, this is important information to save you money. You only have a limited time to apply for your homestead exemption. The easiest way to do this is to go to your county appraiser’s office website and file for homestead exemption online. Remember, this can only be applied to your primary residence. The window is ending, and it will only take you a few minutes to complete.

A few things to note is that if you are applying for homestead, it must be your primary residence.

A few documents to gather before you apply:

Driver’s License or Identification Card
Social Security Number
Vehicle registration for that state (if any are owned)
Voter Registration Card (if applies)
Recorded Deed or tax bill showing ownership of the property before January 1st of next year.

After a few minutes of filling out forms, you will have saved yourself a decent chunk of change for the foreseeable future. Let this be our present to all the new homeowners in 2021!

NMLS ID: 327290; NMLS ID: 2062741

Equal Housing Opportunity

5 Tips On Getting Pre-Approved For A Mortgage In 2022

Wed, 08 Dec 2021 18:50:51 GMT

#1 – Talk with a trusted mortgage professional

This may be the largest asset, along with the largest indebtedness, you may ever have in your entire life! Buying a home is a big deal! You don’t want to waste your time talking with someone who isn’t experienced, knowledgeable, or gives you the time and energy to educate you on all the available options for your situation. Talking with an experienced and trusted mortgage professional can help make sure the decision you’re making is a sound one.

#2 – Be wary of false preapprovals

Not all mortgage pre-approvals are cut from the same cloth. A preapproval is supposed to mean that you are taking the loan application, pulling credit, getting loan documents, and running the client’s information through the automated underwriting system for your pre-approval. Unfortunately, not all companies in this industry do their due diligence. Online lenders, especially Rocket or Quicken (they are one and the same), are notorious for false preapprovals. We know many agents who won't even accept pre-approval letters from Rocket, due to being burned by them with false pre approvals so many times.

#3 – Brokers are better

Comparing a bank or an online lender to a mortgage broker is like comparing apples to oranges. They have one set of options, pricing, and guidelines for their mortgage products. As a mortgage broker, we have dozens of lenders to choose from, allowing them to compete with one another to provide our clients with the best rates and fees possible! Even if it’s not with us, please use a mortgage broker that you like and trust so they can make these banks compete for your business!

#4 – Get it in writing

Not all pre approvals are cut from the same cloth and the same goes for mortgage professionals. As a mortgage professional, we are in a commission sales business. Unfortunately, there are bad actors who will promise you everything under the sun to get your business, only to blindside you with fees at the 11th hour. Whenever you are getting quotes from a mortgage professional, get an estimated fee breakdown or loan estimate in writing! Without it, there is no way to hold them accountable.

#5 – Ask questions

Mortgages are not common sense! Things constantly evolve and change. Even if you’ve purchased a home before, chances are there are new rules and regulations in place since then. We want our borrowers to ask as many questions as possible, because educated borrowers make educated decisions!

Some times you are just looking for advice and a better understanding. You don't want to talk to someone who is going to try and sell you.

We can help. Let us know a little bit about what you are looking for and we will reach out.

Chissell Mortgage Group, Thanks To You!

Wed, 01 Dec 2021 18:55:02 GMT

As we enter December, we here at Chissell Mortgage Group wanted to reflect on the year 2021.

We have gotten an incredible amount of support from all of you out there as we have started our journey educating the public on all thing’s mortgages.

We have reached over 10,000 views on our YouTube channel. Our VA video had an incredible response from you all with over 7000 Views! That’s amazing. From the bottom of our collective hearts here at Chissell Mortgage Group, thank you all for watching the support on the YouTube, Facebook, Instagram, videos we have been making.

We are a driving force in the community, educating people about the mortgage industry. We look forward to continuing to provide these services for many years to come!

Thank you again for all your support! And for sharing our message with your loved ones. I mean, we know a lot of people, but not 10,000.

If you haven't already, please subscribe to our YouTube channel and help us keep growing.

You are the best!

How To Reduce Your Student Loan Payments

Wed, 17 Nov 2021 18:53:50 GMT

Hate paying your hefty student loans every month?

Having difficulty qualifying for a mortgage due to student loan debt? What If I told you it’s possible to slash your monthly payments substantially, potentially in half or more? You may think that sounds like a fairy tale or some type of scam. However, we at Chissell Mortgage Group have found an incredible solution!

According to educationaldata.org , 43.2 million students in the United States have student loans. That’s about 1/8th of the United States population has student loans. What's even more staggering is that these students are in debt by an average of $39,351 each! That is a large amount of debt for these homebuyers to carry when trying to purchase a home.

What this tool does is find federal programs that can lower your monthly payments in large chunks, potentially even forgiving large portions of your student loans. It will even help you file the paperwork to qualify! The good thing about lowering your monthly payment on your student loans, besides saving money every single month, is that means you'll have an easier time when it comes to qualifying for a home. By reducing your monthly payments on the student loans, you will now have a better debt-to-income ratio, helping you to qualify for more house.

This is an excellent tool for anyone coming out of college with a good job but that also has student loans to go along with it. For example, people graduating with master’s degrees in their field would benefit greatly from this product. If you are worried about having an online service sign you up for government programs, there is an option to have 1 on 1 coaching. It’s tailored to your goals and needs.

If you are interested in learning more about this program, please contact us at 727-376-6900 or go to www.chissellmg.com for more information.

https://educationdata.org/student-loan-debt-statistics

NMLS ID: 327290; NMLS ID: 2062741

Equal Housing Opportunity

Zillow Learns An Expensive Lesson

Wed, 03 Nov 2021 18:01:09 GMT

Zillow has officially announced that it is shutting down it’s iBuyer model, Zillow Offers, and laying off 25% of its staff.

Original source: Business Insider.

Zillow's troubles stem from a multitude of reasons, including but not limited to supply chain issues, a lack of labor, and not having local market real estate professionals (realtors, mortgage brokers) with local market expertise.

Each housing market is unique. If you are thinking about buying and/or selling a home, please consult with a local realtor and mortgage expert. For more information about Zillow’s investment mistakes and how it affects the housing market, check out this article from Business Insider.

Zillow just stopped flipping homes after scooping up thousands of properties over 3 years. Here's what happened.

If you've been paying attention to real-estate news lately, you may be asking yourself some version of this question: What the heck is happening at Zillow?

It's been a rough few weeks for the $21 billion real-estate giant. On October 18, the company announced that its instant-buying (iBuying) division, Zillow Offers, would cease buying up homes for the rest of the year.

After two tumultuous weeks — during which an Insider analysis found that of the nearly 1,000 homes Zillow recently listed for sale in its five biggest markets, 64% were being marketed for less than the company paid for them — that pause turned into the complete shuttering of Zillow Offers.

The winding down of Zillow Offers was announced after the market close on Tuesday, when Zillow's share price dropped about 12% to about $85.

If you're wondering why the company started buying homes, what might have gone wrong, how Wall Street is reacting, or what this all means for regular buyers and sellers, you've come to the right place. Below, you'll find all of our Zillow coverage in one place.

First, we are scouring Zillow's third-quarter earnings and listening to executives field questions from analysts on November 2.

OK, so what happened with Zillow?

This story really starts in 2018, when Zillow got into the then nascent iBuying business. iBuying refers to the process in which deep-pocketed tech-enabled companies buy up homes, complete light renovations, and then sell them for a gain.

Zillow bet big on this strategy. Though it has yet to turn a profit through home flipping, Zillow Offers raked in $1.47 billion in revenue in the first half of 2021.

Zillow's announcement of its homebuying pause initially sent its stock sliding. It recovered but then stumbled again after analysts cast doubt on the Zillow Offers division's bottom line. On November 2, after the market close, Zillow announced it would shutter Zillow Offers and lay off 25% of its staff.

The decision highlighted the challenges the company faced with iBuying.

Our analysis of Zillow Offers listings in the company's five biggest markets showed that Zillow could be headed toward millions of dollars in losses from its iBuying operations:

In Phoenix, 93% of Zillow-owned listings were priced below what the company paid. In the Minneapolis-St. Paul metropolitan area, Zillow was listing two-thirds of homes for less than it paid. Zillow also appears poised to take losses on the majority of its listings in Houston and Dallas. Wall Street analysts and property-technology experts have predicted more pain will be evident in Zillow's third-quarter earnings, released on November 2.

Why does it matter?

For sellers, Zillow has offered a convenient — and sometimes lucrative — chance to sell a home quickly. Real-estate agents across the country have reported cases of Zillow paying well above the expected market value of a home, which means big paydays for some sellers.

We first zeroed in on five Zillow Offers listings across the country to get a sense of what it looked like when Zillow overpaid for a property.

Insider also recently spoke with a couple real-estate professors about where Zillow might have made mistakes and what its iBuying halt could mean for both buyers and sellers.

Has Zillow been intentionally manipulating the housing market? One viral TikTok creator seems to think so. The real-estate professors weighed in on that, too.

Even though Zillow is pumping the brakes, the pool of iBuyers snatching up properties and reselling them across the US is still teeming with competition. Get to know the major players by reading this story.

What's next?

Before Zillow shut down its iBuying arm, it was looking to offload 7,000 homes to an unnamed buyer — or buyers — for $2.8 billion, Bloomberg reported.

If Zillow does sell the homes to investors, that could exacerbate a lack of supply in the market.

If you are interested in purchasing a home or refinancing using local mortgage experts, please contact us at 727-376-6900 or go to our mortgage services page for more information.

NMLS ID: 327290; NMLS ID: 2062741

Equal Housing Opportunity

Competitive Housing Market? Here’s How Investors Are Changing The Game.

Thu, 28 Oct 2021 14:04:30 GMT

Investors are buying more but spending less across the nation. Here is how that affects you.

Original source: Housingwire.com

Real estate investors are buying more properties, but paying less for them, according to a report from RealtyTrac released Thursday based on ATTOM Data Solutions home sales data.

In the second quarter of 2021, investor purchases accounted for 15.4% of all home purchases nationwide, compared with 11.5% of all home purchases a year prior. Despite such a large year-over-year change, it is still slightly lower than Q1 2021 , in which investors held 15.9% of the market.

“Historically, investors have always accounted for somewhere between 10% and 15% of residential home purchases, and our data shows that this is still the case today, albeit at the high end of that range,” Rick Sharga, the executive vice president of RealtyTrac, said in a statement. “But the data doesn’t support the ‘Wall Street is buying up Main Street’ theme that’s been a popular theory for the past year or so.”

By state, the share of investor purchases among all home sales increased year-over-year in Q2 2021 in all state and Washington, D.C. except for Alaska, Louisiana, Maryland, Nebraska, Vermont and West Virginia. States where investors held the largest share of the market include: New Hampshire (23.2%), Delaware (23%), Georgia (22.9%), Arizona (20.8%), and Mississippi (20.1%).

On the other side, the states with the lowest level of investor share for Q2 2021 were Oregon (8.5%), West Virginia (8.7%), Wyoming (9.4%), Washington (10.2%), and Iowa (11.2%).

In addition to occupying a larger share of the market, the data shows that investors across the country paid an average of 29.4% less than consumers in the second quarter of 2021, with a median purchase price of $205,000 for investors compared to $290,230 for all home purchases.

In all but five states (Vermont, California, Massachusetts, Washington and Nevada), investors paid less than the state median sale price. Investors saw the largest purchase discounts for the second quarter of 2021 in Arkansas (76.9% discount), Michigan (60.0% discount), Louisiana (55.5% discount), Nebraska (55% discount), and West Virginia (51.0% discount), according to RealtyTrac.

“Another misconception is that investors are overpaying for properties, making it difficult for consumers to compete and artificially driving up prices,” Sharga said in a statement. “But successful investors tend to look for below-market pricing in order to make a profit on their purchases. And many of them buy properties with cash, which gives them a chance to get properties at a discount.”

In Q2 2021, 79% of all investor purchases were cash sales compared to 69% a year prior. In total, cash purchases accounted for more than 50% of all investor purchases in every state, including the District of Columbia, except for Alaska in the second quarter of 2021. A year ago, 10 states were below the 50% cash purchase threshold.

For all of these factors, reaching out to see whether or not buying a home makes sense for you is an excellent idea. If you are interested in purchasing a home, please contact us at 727-376-6900 or go to www.chissellmg.com for more information.

NMLS ID: 327290; NMLS ID: 2062741

Equal Housing Opportunity

The True Cost of Waiting to Get a Mortgage

Wed, 20 Oct 2021 17:53:43 GMT

If you were looking at buying a home for $300,000 today, what would the cost of waiting a year be?

According to readily available data, the cost of waiting to purchase a home is more than you would think. Using a magical mortgage tool that we have access to, we analyzed the exact scenario laid out above. The analysis we ran at a $300,000 sales price home shows that it would cost $35,000 to wait on buying a home ($6,006 in Amortization Lost & $29,180 in Property Appreciation). That’s a lot of dough! If you waited 2 years to purchase that same home, it would be $55,000 ($12,210 in Amortization Lost & $42,074 in Property Appreciation)!

Cost of Renting Increases

Last year many Americans got a break in rental price increases due to the presence of Covid 19. Many of those property restrictions that were put into place are now ending or have ended. According to the article by apartmentlist.com, “The pandemic pricing we saw last year where rent decreased by around 20 percent is now over.” Especially in tourist states like Florida, rent prices are growing at an unprecedented rate. “Since the beginning of this year, the national median rent has increased by a staggering 16.4 percent. From this last month alone, the national index increased by 2.1 percent. Compared to the past few years the national index never went more than 0.9 % per month since 2017”( https://www.apartmentlist.com/research/national-rent-data ). So instead of paying rent for a property you don't own, why not build some equity in a home that you do own? Stop paying other people's mortgages.

Increase in the Appreciation of Homes

When you continue to rent, you are not able to gain any appreciation on your home. Every single month, you are burning that rent check. Every year you own a home, the value of the home appreciates in value. Since we are still in such a seller’s market, homes have been appreciating rapidly. Generally, your house will appreciate from 3.5 % to 5% per year. But since interest rates were so low and the demand for homes were so high, houses last year were appreciating easily 8%-10% in our Trinity area. Using $300,000 as an example, that's $30,000 dollars worth of equity that you would not have if you were renting.

Potential Increase in Interest Rates

Economists are predicting that interest rates are going to 3.5% to 4% next year, due to the government tapering the purchasing of treasury bonds and mortgage back securities starting at the end of this year. The government was buying bonds in bulk to keep interest rates lower during the pandemic. Since interest rates directly correspond to the bond market, this was a major factor in keeping interest rates near or at historic lows since last year. So if you buy a home next year, there is no guarantee interest rates will be as competitive as they currently are.

Go to this article to find out more about rent appreciation: https://www.apartmentlist.com/research/national-rent-data

NMLS ID: 327290; NMLS ID: 2062741

Thinking Of Refinancing? The Window Is Closing. Here Is What You Need To Consider.

Wed, 13 Oct 2021 18:29:01 GMT

The Fed has already announced that they will start tapering the buying of treasury bonds and mortgage back securities in November. Additionally, the Fed announced they plan for one rate hike in the 2nd half of 2022, two rate hikes in 2023, and three rate hikes in 2024.

In plain English, this means that interest rates are going to start ticking back up. The Fed’s plan leaves a tiny window where borrowers can take advantage of these near all-time low-interest rates, along with the amount of equity they currently have in their home.

Should I Take Advantage Of Low-Interest Rates Before They Are Predicted To Increase?

The answer depends on your goals. Start by asking yourself these two questions.

“How long do I plan on staying in this home?” How long you are planning on staying in the home determines your break-even point in the refinance. If the answer is under 6 months, suffice to say that makes no sense. Typically, you will never recover the cost of the refinance in what you are saving monthly. If you are thinking 1 to 2 years, the answer is it probably doesn't make sense. In general, you will not recover your costs with a few exceptions. 1) your current interest rate is much higher than the current market rate or 2) you are making a large PMI payment monthly. Planning on staying in the home for 3 years or longer? That is typically where refinancing starts to really work in your favor.

The second question you need to ask is, “What is the goal of refinancing my home”?

Let’s look at a few of the advantages aka the why you might want to refinance your home:

I want to lower my monthly payment.

As interest rates rise, the goal of lowering your monthly payment will become more difficult. Interest rates have a direct correlation to your payments. Higher interest rates mean higher interest payments. If you want to lower your monthly payment towards your principal and interest on your mortgage, please reach out to start an application today. This way, we can begin to shop and lock in your rate immediately to find the best deal possible with our current rate environment.

I want to lower my interest rate.

If lowering your interest rate is your goal, you really need to start an application as soon as possible. Starting an application doesn’t mean you have to commit to refinancing your house. There is no fee to start the loan application . The application simply helps paint the picture of you and your unique financial situation, in order for us to inform you of your options.

I want to get rid of my PMI payment.

If getting rid of PMI is your goal, you are in luck! The increase in housing prices has helped many homeowners reach the 20% equity mark in record time. Unfortunately, FHA mortgages have PMI for a very long time. If you put down 10% or more at the initial time of purchase, you will have PMI for 11 years on an FHA mortgage. If you put less than 10% down on the initial purchase of an FHA mortgage, you will have PMI for life! The only way to get rid of this PMI sooner is to refinance to a Conventional loan .

I want to pull some equity (cash) out of my home.

If you need some extra cash to pay down debt, start a home project, purchase a car, kids college fund, or for any other reason, you want to pull that cash now. If you wait, your rate could be significantly higher as money becomes more expensive and the cost to borrow increases. Another major factor is that since we are having such a strong sellers market, sales prices are close or at all time highs! You may not have enough equity to tap into if you drag your feet on refinancing. There is no guarantee interest rates will increase; no one has a crystal ball. However, most analysts are predicting higher borrowing costs. This, coupled with the information that the Fed is giving us, makes it very logical that rates have much more room to go up than they do to go down.

I want to build equity faster.

Building equity faster can be accomplished in a few different ways. Making one extra fully amortized payment (principal, interest, taxes, insurance, etc.) towards your principal on a 30 year mortgage will help you pay off your loan 7 years faster! That is an excellent way to build equity without refinancing. However, you can also refinance your home from a 30 year mortgage to a 15 year mortgage. This type of loan typically has a lower interest rate than a 30 year loan, is not double what a 30 year payment would be, and helps to pay off the mortgage in half the time!

If you plan to stay in your home and have a financial goal, it is time to start the application process. Starting an application is simply the first step in learning more about your options. Click here to get started.

If you know someone looking to purchase or refinance their home, or have any questions regarding the home buying or refinancing process, please contact us at 727-376-6900 or go to www.chissellmg.com for more information.

NMLS ID: 327290; NMLS ID: 2062741

Equal Housing Opportunity

Conventional Loan Limits For 2022

Wed, 29 Sep 2021 17:45:43 GMT

We have some wonderful news for our home buyers! The Conventional loan limit for 2022 has been announced. The Conventional loan limit for 2021 was $548,250. The new Conventional loan limit has been increased to $625,000. That is roughly a $76,000 increase!

So in plain English, what does that mean? Let’s say that you wanted to purchase a home for $600,000. Currently, you would have to put almost 10% down in order to keep your loan amount under the $548,250 Conventional loan limit. If you borrowed more than that $548,250 number, you would have to go with a Jumbo loan. Higher rate, higher fees, and more headaches! However, now you would be able to put the minimum down on that same $600,000 property without having to go with a Jumbo loan product. Great stuff!

Now, only certain lenders will be accepting these loan limit changes effective immediately, so if you know someone looking to purchase a home, or have any questions regarding the home buying process, please contact us at 727-376-6900 or Start Your Application .

If you don't need a conventional loan, you can check out our other loan options.

Call us now to find out more about how much you can borrow.

Imminent Flood Insurance Changes and How To Capitalize On Them

Wed, 22 Sep 2021 17:38:54 GMT

In the State of Florida, we are no strangers to the water. Beaches as far as the eye can see, rivers and lakes, water parks, thunderstorms, and even hurricanes are par for the course in the Sunshine State. While this has major benefits, such as fishing, beautiful sunsets over the ocean, and water sports (it’s impossible to be sad on a jet ski), it also has major drawbacks. For homeowners, the main drawback is flood insurance.

Flood insurance is typically not covered in your homeowner’s insurance policy. Not all homes require a flood insurance policy, but that doesn’t necessarily mean it isn’t a good idea to carry one. Floods can happen anywhere, and they can be devastating. Even just one inch of floodwater can cause tens of thousands of dollars in property damages.

Typically, you have two main flood insurance providers. You can acquire a private flood insurance policy from an insurance company that covers your area. You can also get a flood insurance policy through the National Flood Insurance Program (NFIP) The NFIP is managed by the Federal Emergency Management Agency (FEMA) and is provided by upwards of 60 different insurance companies.

FEMA has stated that as of October 1st of this year, they are doing a complete overhaul to their flood insurance policies. Termed a Glide Path Rate Increase, this change is going to average about an 18% uptick in their current flood insurance rates. For new homeowners looking for coverage after October 1st, this change could easily double or triple the current premiums! That is a massive change that is going to make flood insurance policies drastically more expensive.

However, here at Chissell Mortgage Group, we have an excellent solution! We want to educate our buyers to make sure they know they may have the option to assume the seller’s current flood insurance policy. This way, they can be grandfathered into the rate increase of 18%, rather than having to pay the new flood insurance premiums that are double or triple the going rates.

If you are interested in learning more about these changes, please contact Chissell Mortgage Group today at (727) 376-6900.

NMLS ID: 327290; NMLS ID: 2062741

Equal Housing Opportunity

The Myth About Buying and Financing Second Homes

Wed, 15 Sep 2021 20:22:21 GMT

Do you live up North and want to purchase a second home down in the Sunshine State? Think you need to save some more money before pulling the trigger? Well, do we have some good news for you!

There’s a common myth that we hear all the time that you need to put 20% down to purchase a second home. That couldn’t be further from the truth. Yes, some lenders want 20% down, but not all lenders and loan products require 20%. Chissell Mortgage Group works with 100s of lenders and mortgage products to match the best terms to your situation. Options mean better rates and cheaper fees for you. We even have lenders that will go 10% down on a second home. This way, you can keep more of that cash in your pocket!

Now, a low down payment for a second home wasn’t always the case. Lenders like loans when the house is financed with a lower loan to value ratio. The more skin you have in the game, the less likely you will default on your home. For example, if you had a financial issue, would you let go of your house or that second home on the beach? Lenders understand that you will walk away from a second home before you stop payment on your primary residency. To protect their investment, lenders ask for a larger down payment than they would on a primary residence purchase (typically 3-5% down). In general, lenders want to see at least a 90% loan to value ratio on a second home.

Now you may be asking, what is loan-to-value? Loan to value is a ratio of your mortgage amount divided by your appraised property value. For example, if you purchase a home with an appraised value of $100,000 and make a 10,000 dollar down payment, you would be borrowing $90,000. Your loan to value ratio is $90,000/$100,000 or 90%.

Some lenders still require an 80% loan to value ratio. But we have partners who accept 90% LTV for second homes. This is great news! With help from our team, you can keep more money in your pocket and can enjoy your life instead of stashing money away.

If you are interested in learning more about these changes or have any questions regarding financing a second home, please contact Chissell Mortgage Group today at (727) 376-6900.

NMLS ID: 327290; NMLS ID: 2062741

Equal Housing Opportunity

Preventing Wire Fraud When Buying A Home

Wed, 08 Sep 2021 17:55:31 GMT

Wire fraud is a very real danger in the mortgage industry. Thankfully, none of our clients have ever been affected by this tragedy. We stress the importance of confirming all wire instructions in person or over the phone with all parties before sending the funds. Our clients know to not send sensitive information by unsecured websites or emails. Essentially, make the call or lose it all!

Here is some great info from the Washington Post about preventing wire fraud during a real estate transaction.

Take these steps to prevent wire fraud during a real estate transaction

If you feel as if spam emails and phone calls increased astronomically in 2020, you’re not wrong. It’s not just you deleting hundreds of fraudulent emails and ignoring a barrage of fake phone calls.

The FBI reported a rise in fraud schemes related to the coronavirus pandemic as early as March 20 and issued a warning in April about an increase in online extortion scams.

By far one of the costliest types of fraud occurs through a “business email compromise” (BEC) scheme that occurs when a criminal hacks into an email system. These BEC scams often lead to wire transfer fraud and are particularly prevalent during a real estate transaction because criminals target the large sums of money that are transferred during a property sale. According to the FBI, there were 11,677 victims in 2019 with $221 million in losses as a result of wire transfer fraud. This compares with 11,300 reported victims and $150 million in losses in 2018.

“More than ever, cyber criminals look to take advantage of the uncertainty caused by the health crisis,” says Bill Burding, president of the American Land Title Association and general counsel for Orange Coast Title Co. in Santa Ana, Calif. “That is why it is so important that consumers work with professionals who can educate them on the signs of wire transfer fraud when purchasing a home or refinancing. When making the most important financial decision of their lives, home buyers cannot underestimate the importance of having a partner who has top-notch cyber protections in place.”

With identity theft threats, enhanced title insurance may protect you from losing your home to a scam

Criminals begin the wire fraud process way before the attempted theft occurs, usually with a technique known as phishing, Burding says.

“This can take the form of email messages, website forms or phone calls to fraudulently obtain private information,” he says. “Through seemingly harmless communication, criminals trick users into inputting their information or clicking a link that allows hackers to steal login and password information.”

Once hackers gain access to an email account of a real estate agent, a title company, an attorney or a consumer, they will monitor messages to find someone in the process of buying a home. Criminals then use the stolen information to email fraudulent wire transfer instructions disguised to appear as if they came from a professional the buyer is working with to purchase a home.

“If you receive an email with wiring instructions, don’t respond,” Burding says. “Email is not a secure way to send financial information. If a consumer takes the bait, their money could be gone in minutes.”

Burding says that although attorneys and title companies have taken many steps to combat this problem — such as putting consumer warnings on websites and communications, securing email communications and sending notices to consumers and real estate agents informing them of the scams — criminals constantly alter their tactics to steal information and money.

“Everyone involved in real estate transactions must be aware of the potential losses as criminals phish for information and stalk home closings, hoping someone makes a mistake,” Burding says. “If someone does mess up, it could cost your savings or retirement.”

Burding shared the following tips for consumers to protect against wire fraud:

Confirm all wiring instructions in person or by phone with a known number before transferring funds.
Don’t email financial information. It’s not secure.
If you’re giving your financial information on the Web, make sure the site is secure. Look for a URL that begins with https (the "s" stands for secure). Instead of clicking a link in an email to go to an organization’s site, look up the real URL and type in the Web address yourself.
Be cautious about opening attachments and downloading files from emails, regardless of who sent them. These files can contain malware that can weaken your computer’s security.
Keep your operating system, browser and security software up to date.

In addition, if funds are transferred to a fraudulent account, it is important to act quickly and take the following steps, Burding says:

Contact the financial institution immediately upon discovering the fraudulent transfer.
Request that the financial institution contact the corresponding financial institution where the fraudulent transfer was sent.
Contact your local FBI office if the wire is recent. The FBI, working with the United States Department of Treasury Financial Crimes Enforcement Network, might be able to help return or freeze the funds.
File a complaint, regardless of dollar loss, at www.ic3.gov .

If you are interested in learning more about these changes or have any questions regarding cryptocurrency and mortgage financing, please contact Chissell Mortgage Group today at (727) 376-6900.

Visit us at https://www.chissellmg.com for more information.

NMLS ID: 327290; NMLS ID: 2062741

Equal Housing Opportunity

How To Buy A House With Bitcoin!

Wed, 01 Sep 2021 18:01:33 GMT

Are you one of the many people who have invested in cryptocurrency? Looking for somewhere to invest those mad Bitcoin & Ethereum gains? Well, look no further! Believe it or not, you can use your cryptocurrency to purchase a home.

Now, this isn’t a one size fits all scenario. For government loans, such as FHA, VA programs, or USDA loans, you would not be able to use the cryptocurrency to purchase. You would have to do something called seasoning those funds. If you have any questions about that, please feel free to reach out at (727) 376-6900. However, you can use cryptocurrency on a conforming conventional loan! Here’s how.

Documentation is the name of the game in the mortgage industry, and that is especially true when it comes to using cryptocurrency to buy a home. First, we must prove that you bought the crypto with your money. You cannot borrow money to buy crypto and then convert those funds to purchase a home. You must own the cryptocurrency for a minimum of 60 days.

Additionally, we must prove that you own the cryptocurrency and the account in your name. We need access to the transaction history, balance, etc. Finally, you must sell the cryptocurrency for US dollars.

Once it’s converted into US dollars, the cash must be transferred into a US savings or checking account, and we need documentation of the transfer of funds. You can now use those proceeds from the sale of your cryptocurrency for the purchase of your home!

If you are interested in learning more about these changes or have any questions regarding cryptocurrency and mortgage financing, please contact Chissell Mortgage Group today at (727) 376-6900.

Visit us at https://www.chissellmg.com for more information.

NMLS ID: 327290; NMLS ID: 2062741

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Two Massive Fannie Mae Changes

Fri, 13 Aug 2021 17:56:56 GMT

We’ve got some exciting news heading our way that will help buyers qualify to buy the property of their dreams! Starting September 18th, Fannie Mae will make the following changes.

#1 - Fannie Mae will now use positive rental payment history into their risk

assessment when qualifying for a home.

If they have rented for over a year and the rent payment is over 300 per month, this can now be used to supplement their credit. This can help get approvals that would have normally been declined by supplementing below average credit with 12 months of rental history with no missed payments.

#2 – On files with more than one borrower, Fannie Mae will start taking the average of the middle credit scores for qualification purposes.

For example, let’s say you are trying to purchase a home with your spouse. Your

middle credit score is 700, but your partner’s is 600. With the current rules, you

wouldn’t be able to qualify for a Fannie Mae automated approval, due to not having a minimum 620 middle credit score. Starting September 18th, they would take the

average of the two credit scores and for qualification purposes would use a 650. That is an incredible change that is going to help many buyers achieve the American Dream!

There are too many details involved with these changes to have in the article. If you are interested in learning more about these changes or have any questions regarding mortgage financing, please contact Chissell Mortgage today at (727) 376-6900 .

NMLS ID: 327290; NMLS ID: 2062741

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Emergencies, Appraisals, & Final Walkthroughs Can Sideline Real Estate Deals. Save Them With This.

Wed, 11 Aug 2021 17:27:51 GMT

Imagine that you are in the process of buying your new home. Everything is on track. You are excited, but then life happens. You experience an emergency or unplanned expense. After covering the expense, you are short on cash to close. The house is The One, and you will lose this opportunity because of a couple thousand dollars. Not having enough money to close may seem like a nightmare, but it's not. We have solutions to help get your deal done.

Imagine that you are in the process of buying your new home. Everything is on track. You are excited, but then life happens. You experience an emergency or unplanned expense. After covering the expense, you are short on cash to close. The house is The One, and you will lose this opportunity because of a couple thousand dollars. Not having enough money to close may seem like a nightmare, but it's not. We have solutions to help get your deal done.

Seller Concessions

The seller can give some concessions to help alleviate your closing costs and close the loan to circumvent an unplanned emergency, a bad appraisal, or issues during a final walkthrough. For example, let's say you want to purchase a home for $100k. You are $3k short on your total cash to close. The seller can agree to give you the $3k in seller concessions, but in return, it will raise the sales price from $100k to $103k.

This way, you get your cash to close and the seller makes the difference up in the sales price. This can really work out as a win-win for everyone involved! If you don’t buy the home, the seller won’t get paid, so they are also looking to help the buyers out. We are currently in a sellers’ market, so this tactic is less common currently. However, we have seen concessions happen multiple times this year, so it can happen!

Limits To Seller Concessions

There are some limits to seller concessions depending on the type of loan you are financing. For conventional loans, the maximum on sellers’ concessions is 3%, 6%, and 9% depending on the down payment on the loan. For FHA loans, the maximum in seller concessions is 6%. However, you can only use the concessions towards your closing costs and prepaids. You must have your 3.5% percent for your down payment at the closing table. For VA loans, technically it's 4% but there are some special exceptions for veterans.

Next Steps

There are some tips and tricks involving seller concessions that aren't commonly known. This is where working with an experienced mortgage origination team can save you literally thousands of dollars. If you are interested in using seller concessions to help buy a home, contact Chissell Mortgage Group today at (727) 376-6900. You can also visit us at https://www.chissellmg.com/ for more information.

NMLS ID: 327290; NMLS ID: 2062741

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Using Retirement Assets as Income

Thu, 05 Aug 2021 18:44:42 GMT

Meet Jerry. He just retired from his job as an engineer in New York and is looking to move down to the sunny shores of Florida. There is one problem though, he doesn’t have any income anymore since he just retired. Lucky for Jerry we can use his retirement assets to help him move away from the cold winters of New York and enjoy his new home on the nice sunny beaches of Florida.

This is quite a common occurrence especially with people working up north with generally better pay and moving to Florida with a cheaper cost of living but more importantly the better weather. Jerry has worked hard all his life, and, in this time, he has built up his money in his employer’s 401k account. When Jerry left his job he transferred his money to an IRA. So, once he has an IRA, we can customize his income to qualify for a mortgage.

We can tailor the size of the distributions to what the monthly payment on the mortgage is to best suit your needs. We would just need verification of the money moving from the 401k to the IRA. We would also need proof that you take the monthly distributions out of your IRA and voila, you now qualify to purchase your home.

Florida is a hotbed for retirees so it’s very common that people will come to us with little to no income but have retirement assets. Qualifying for a mortgage can be a challenge so if you need the extra boost to your mortgage income to qualify this is a great option to do so.

If you are interested in using retirement assets to help buy a home, contact Chissell Mortgage today at (727) 376-6900. You can also visit us at https://www.chissellmg.com/ for more information.

NMLS ID: 327290; NMLS ID: 2062741

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Need More Money For A Down Payment? Try This Mortgage Option.

Thu, 29 Jul 2021 19:14:01 GMT

If you are short on a down payment, you can get some extra cash by using your 401k account. You should talk to a certified financial planner or accountant first, but 401k money can be a great asset to have if you are short to close on your dream home.

These 5 steps will help make the home buying process as quick and painless as possible.

Step 1: Copy of your 401k

The first step to buying a home with 401k money is to get the most recent copy of your 401k statement. You need to find out how much money you have, how much money you need, and any 401k terms that limit withdrawal amounts or lending amounts. 401k’s have different rules depending on the institution administering the 401k, so always talk to your 401k administrator to understand your options better.

Step 2: Requesting the liquidation paperwork

The next step is requesting the liquidation paperwork. You need to call your 401k administrator to make sure you meet their guidelines for withdrawing money out of your 401k account. If you meet the guidelines, complete the paperwork to request the funds.

Step 3: Copy of the 401k check

Once you follow the guidelines, the next step is to get a copy of the 401k check. Typically checks come through the mail or a wire deposit from your bank or credit institution. We need a copy of the check or transfer to verify the funding amounts.

Step 4: Copy of the deposit slip

Fourth you will need a copy of the deposit slip to show the money coming from your 401k account to your checking or savings account. Also, when you receive the money in your checking/savings account, please do not move it around. It’s a lot easier to keep it all in one place for the processors, and it will cause fewer hiccups. For example, if you need 10 thousand dollars from your 401k to finish the transaction, keep the 10 thousand in the same account.

Step 5: Bank printout

Once the money has arrived in the account, get a bank printout showing that funds were received. Beyond the down payment, make sure you have enough money to cover closing costs in the same account. Again, don’t move money around. Not only should you not move the 401k funds, in general, don’t move large sums of money during the process. If you move money, the underwriter needs to track the funds, and it could derail your deal or delay your closing.

Follow these steps, and close quicker with less hassle.

If you are interested in using your 401k account to help buy a home, contact Chissell Mortgage today at (727) 376-6900.

NMLS ID: 327290; NMLS ID: 2062741

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Can I Get A Mortgage With Late Payments On My Credit Report?

Thu, 22 Jul 2021 18:23:01 GMT

Rarely is there a one-size-fits-all answer in the mortgage business. When it comes to getting approved for a mortgage with late payments on your credit report, there are a few critical factors you need to know.

So very quickly, what is credit? Our credit score boils down to how reliable you are as a borrower repaying your debts. Lenders use this information to weigh the risk of a borrower’s profile, along with income, assets, etc.

In a perfect world, we wouldn’t want to have any late payments on our credit report. However, we understand things can happen. When it comes to getting approved, consumer debt late payments are much more palatable for the automated underwriting system (AUS) to approve when compared to late mortgage payments.

Conventional and VA loans have harder requirements for qualified mortgages with 1 30-day late payment over the last 12 months, and no 60-day late payments are allowed in the past year.

FHA loans are a little easier though as you can miss 2x30-day late or 2 missed payments for 30 days each in a 1-year span. Additionally, you can miss 1 late payment over 60 days which VA and conventional loans do not allow at all.

In the end, it really depends on your profile on whether you will be able to get a mortgage with late payments, but it helps if you don’t have any mortgage debts, a higher credit score, and more cash in the bank certainly will help you along your journey to owning a home.

How To Get Rid Of Private Mortgage Insurance!

Thu, 15 Jul 2021 18:59:42 GMT

Private Mortgage Insurance (PMI) is a type of mortgage insurance that the lender may require on your Conventional mortgage, depending on the down payment or the amount of equity you have in the property. PMI is not there to protect you as the borrower! PMI protects the lender in the case that you default on the loan.

So how do we get rid of this pesky PMI?

#1 - Automatic Cancellation - This is the most common way that mortgage insurance is removed. With this method, you simply continue to pay your mortgage. As you pay down the loan, you’ll build equity in the property. Once you hit 78% loan to value (LTV), the lender must remove your PMI.

#2 - Pay Down The Loan Amount Or Increase The Property Value (Build Equity) - This option is twofold. You have the option to pay down the principal on the original loan amount to 80% loan to value (LTV). For example, if you purchased the home for $100k with $10k down, your current loan amount would be $90k (90% LTV). By putting an additional $10k down, we would lower the loan amount to $80k (80% LTV).

You also have the option to increase the equity of your home itself, which includes things like adding a pool or bedroom. If you are going this route, four things must occur. You must have a written request, no liens on the property, no late payments in the past 12 months, and you must get a new appraisal to confirm the increase in value.

#3 - Current Market Value - The way that sales prices have been appreciating lately, homeowners may be sitting on a large chunk of equity but still paying PMI. To use the property’s current market value to remove the mortgage insurance, you must be at a 75% LTV if you have been in your home for two or more years. If you have been in your home for five or more years, they will allow you to go to 80% LTV to remove the mortgage insurance.

#4 - Refinance - If refinancing makes sense with your goals, this is an excellent way to remove mortgage insurance. You could also lower your interest rate or tap into the home's equity to pay off debt, pay for updates for the home, kids’ college, etc.

If you are interested in discussing your options to remove mortgage insurance, contact Chissell Mortgage today at (727) 376-6900.You can also visit us at https://www.chissellmg.com/ for more information.

NMLS ID: 327290; NMLS ID: 2062741

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How To Buy A House With No Money Out Of Your Own Pocket

Thu, 08 Jul 2021 19:21:42 GMT

Family, Employers, and even non-profits can possibly help you with a down payment to qualify for a mortgage! This is nothing new. Family, friends, and communities have been helping each other for a long time. What is relatively new are the requirements for giving a down payment for a mortgage. In fact, if you don’t follow these strict guidelines, you could cause yourself a lot of headaches or even lose financing during the underwriting process.

Here is what you need to do if you are planning on gifting funds:

#1 - We will need a gift letter. Don't worry; Chissell Mortgage will provide the gift letter format to you when you need it. This gift letter will have pertinent information to the lender such as the gifter name, account information the funds are coming from, the amount of the funds, and the date of transfer. This information will provide the underwriter what they need to satisfy the anti-money laundering, anti-fraud and Patriot Act hoops they need to jump through.

#2 - Do not move the money! The easiest way to shoot yourself in the foot is to move money around during the transaction. At best, you get to wait three months to provide clean bank statements that do not show a large deposit. At worst, the transaction is dead, and you can lose your earnest money deposit (EMD) to boot. Very important not to move money! Leave the money in the donor’s account until your mortgage broker gives the donor instructions. In general, the donor will transfer the funds to the title company shortly before closing.

#3 - Do not move the money! See Rule #2.

#4 - If you move the money, we may have ways to potentially help remedy the situation. However, to find out if we can help the situation, we’ll need to speak to you over the phone.

Contact Chissell Mortgage today to discuss your mortgage payment options, (727) 376-6900.

NMLS ID: 327290; NMLS ID: 2062741

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Lower Your Monthly Mortgage Payment With This Little Known Trick

Thu, 01 Jul 2021 18:52:00 GMT

Do you like saving money every month?

I know I do! What if you could save money on your monthly mortgage payment without having to go through the financial, emotional, and mental hurdles of refinancing your mortgage? Sounds too good to be true, right?

Well, let me introduce you to a very unique and attractive option, recasting.

Mortgage Recasting To Save Money

Recasting your mortgage occurs when you, the borrower, make a one-time payment (usually $10,000 or more) that goes directly towards your principal loan balance. There is often a small fee to recast (typically around $250) but will depend on your loan servicer.

Mortgage Lender Recalculations

The lender will recalculate your current monthly payment based on the new loan principal loan balance after the recast. They cannot change your mortgage product, term, or interest rate. However, they can reamortize your mortgage based on the new loan amount. This is a fantastic benefit to borrowers, since your current monthly payments will be lowered based on your new loan amount and your new amortization schedule. This will reduce your monthly payments without having the costs or potential headaches associated with refinancing your current mortgage.

The Downside To Recasting

Generally, the downside to recasting is that you have to have typically $10,000 to put towards your mortgage. You must be in a Conventional mortgage. You cannot recast a government mortgage (FHA, VA, or USDA). You can’t adjust your interest rate to a lower rate. You can’t change your term length or product. Most importantly, you can’t get cash out of your loan to finance a purchase or consolidate debt.

Alternatives To Recasting

If you want to lower your monthly payment AND lower your rate, change your terms, or get cash out, you are going to want to refinance your home.

What's Your Best Option?

Complete the form below and we will help you determine if recasting is right for you.

Contact Chissell Mortgage today to discuss your mortgage payment options, (727) 376-6900.

NMLS ID: 327290; NMLS ID: 2062741

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FHA Mortgages: If You Have Student Loans, Read This!

Thu, 24 Jun 2021 18:51:21 GMT

I want to introduce you to Sally. Sally graduated college in 2016. Like most Americans, she took out student loans and like a lot of millennials, her first job out of college wasn’t the greatest. So, she accumulated student debt.

Fast forward a couple of years. Sally has established a great career and is ready to make the leap into homeownership. Unfortunately, when she went to apply for a mortgage, she was held back by her student loan debt.

Sally was carrying $100,000 in student loans, and the lender told her the monthly obligation was $1,000. Technically, she couldn’t qualify for the loan amount she wanted, as her debt-to-income (DTI) ratio was too high.

To Sally, this didn’t make sense. Her actual payment was only $75. The problem was in the way FHA calculated her obligation. This calculation seemed arbitrary and really never made sense.

Fortunately for Sally, these rules have changed! Officially starting August 16th, FHA no longer takes 1% of the loan to calculate your debt. Loan officers can now calculate the debt-to-income ratio using the payment that shows up on the credit report. So in Sally’s scenario, she would now be qualified with a $75 payment versus a $1,000 payment. That is a monumental change! If no payment shows up on the credit report, we can now use a .5% of the total loan amount to calculate Sally’s debt obligation.

If you are like Sally and student loans are preventing you from qualifying for a loan, talk to us immediately, (727) 376-6900 or visit https://www.chissellmg.com/contact. We will run the numbers using the new calculations and let you know what you can afford!

NMLS ID: 327290; NMLS ID: 2062741

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Your Online Credit Score Is Higher Than Your Mortgage Credit Score Because Of This

Thu, 10 Jun 2021 19:29:37 GMT

Ever had your credit score pulled from a bank? A car dealership? What about Credit Karma? Chances are your credit score was completely different from all three institutions. If you’ve ever applied for a mortgage, your credit score normally comes in at a lower number than what you find online. Why is that?

There are a few reasons behind this:

Credit Is A Snapshot In Time

When you are pulling your credit score, it’s only reporting the information that is shown from that specific credit bureau. Credit is just a snapshot in time and is only as good as the information that has been provided. If the bureau you are pulling from (Experian, Equifax, or Transunion) hasn't received your most up-to-date information from that creditor, your score and report can only reflect what they have been given. Once the information has been updated to the bureaus, your report and score will be updated as well.

Different Bureaus Have Different Scores

The three main credit bureaus are Experian, Equifax, and Transunion. Each of these credit bureaus offers one credit score based on their own algorithm. In the mortgage business, we actually pull from all three bureaus. We throw out the high score, we throw out the low score, and take the middle credit score.

Consumer Credit Score Vs Mortgage Credit Score

Your consumer credit score is always going to be higher than your mortgage credit score. This is due to the residential mortgage credit report (RMCR) being scored differently. Mortgages are a three-decade-long endeavor, so the lenders want to make sure they are getting the most accurate information possible.

If you’d like to receive a free copy of your credit report, you are allowed one report per bureau, per year, per federal government guidelines. Visit Annual Credit Report for a free copy of your credit report.

Curious what your true mortgage credit score is? Call us at (727) 376-6900 or contact us .

NMLS ID: 327290; NMLS ID: 2062741

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Paying Mortgage Points. What Are They and Is It Worth It?

Thu, 03 Jun 2021 19:48:45 GMT

If you’ve ever looked into financing a home, you’ve probably come across the term “paying points.” This can also be referred to as discount points or buying down the rate. Paying points is a way to pay a fee to the lender today in order to decrease your interest rate on the mortgage. Reducing your interest rate will also reduce the amount of interest you will pay on the loan. This can range from hundreds of dollars to hundreds of thousands saved over the life of the mortgage!

Let’s simplify the idea with an analogy.

Think of interest rates like gas prices. The market is in control. When oil prices go up, gas prices go up. However, each gas station still controls what they charge. Prices can and will change daily, potentially multiple times in the same day. In general, lenders’ pricing is close, but just like gas stations, you will find a few that are much higher than the market or significantly cheaper than the rest. That is where your mortgage broker comes into play! We shop for those lenders to find the best pricing for your specific situation and loan program.

How do you know if paying for mortgage points is right for you?

The short answer is doing a net break-even analysis. Your break-even point is the date of when your initial buydown (points paid for that specific interest rate) breaks even with the amount you have saved in interest monthly by taking that lower interest rate. This date is determined by analyzing the cost of the buydown (paying points) divided by the amount that you save monthly in principal and interest. This will give us your net break-even in a number of months. Every month after your break-even, you will be gaining that amount in your pocket above what you paid for the buydown.

Break-even analysis also requires you to know what gas station has the best price. In other words, you have to know what lenders are available and who is offering the best deals on any given day.

So, you have two options. One, call lenders, aggregate their price sheets and use this formula to determine your break-even point: total cost of points/monthly savings = months until break-even. The formula is easy. Determining the total cost of points and monthly savings is tough.

Or two let Chissell Mortgage calculate the break-even date for you.

Want us to run your break-even analysis? Call us at (727) 376-6900 or visit https://www.chissellmg.com/Contact.

NMLS ID: 327290; NMLS ID: 2062741

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FHA Condo Financing Just Got Much Easier! Here’s Why.

Thu, 27 May 2021 18:28:41 GMT

Ever hear of an FHA spot approval for a condominium? Probably not. The practice was banned in 2010 after the housing market crash. Since then, if you wanted to finance your condo with an FHA mortgage, that particular condo project had to be FHA approved. Finding an FHA approved project is like finding a needle in a haystack. Suffice to say it is extremely rare.

Fortunately, these regulations have changed!

You can now apply for an FHA Spot Condo Approval, a Conventional Loan, or VA Loan! Here’s what you need to know if you are in the market for a Condo.

Conventional Loan

In order for a condominium to be eligible to receive Conventional financing, the condo project must be a warrantable condo project. There are many requirements that Fannie Mae and Freddie Mac mandate for these condos to meet. Some of these guidelines include annual budget requirements, occupancy requirements, and legal requirements. There are even guidelines pertaining to the condo being a timeshare or a houseboat project.

Finding out if a condo is warrantable or not isn't an easy task. FHA & VA condos have a website that will show if the condo project is FHA or VA approved. Fannie Mae & Freddie Mac do not provide a list of warrantable condos. However, you can ask your real estate agent if the project is warrantable. We can also reach out to the condo project itself to see if they meet Conventional guidelines.

FHA Loan

As previously mentioned, things have changed in the FHA landscape for condos. Originally, the only way to use an FHA loan on a condo project was if the condo project was FHA approved. Finding an FHA approved condo is no small feat, which made financing a condo with an FHA loan a long shot.

Things have changed for the better! They have recently re-adopted the practice of FHA Spot Condo Approvals. There will still be requirements for the Spot Condo Approval, including occupancy, ownership, and legal requirements. However, this is a far cry from what the options would have been before we had the Spot Condo option. This is an excellent change that will benefit first time home buyers and allow them to get their foot in the door on condo projects they otherwise wouldn't have access to.

VA Loan

VA Condo financing is still very difficult. Just like the previous FHA condo guidelines, the condo project will have to be a VA approved condo. FHA and VA both have websites that are easily obtainable which have lists of FHA and VA approved condos.

If you would like to have an experienced mortgage team in your corner, call us at (727) 376-6900.

To start your application click here !

NMLS ID: 327290; NMLS ID: 2062741

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When Do I Make My 1st Mortgage Payment?

Tue, 18 May 2021 12:32:10 GMT

Congratulations! We have now closed on your purchase or refinance. There are many things you might have to do after closing. Transfer utilities, change exterior locks, a deep clean, move your life from one home to the other, and most importantly open a bottle of champagne and celebrate your closing!

However, there is one extremely important thing that you do not have to do immediately after closing. You do not have to make a mortgage payment. That is awesome! But when do you have to make your 1st mortgage payment?

Great question! At closing, you are going to be paying prepaid interest until the end of the month. This will be calculated in your total cash to close. This covers the amount of interest you would owe the lender for the month of closing.

Mortgage payments are paid in arrears. Meaning that when you are making your June mortgage payment, you are paying for May. Therefore, your first mortgage payment will not be until the second 1st of the month after closing.

So, for example, you close sometime in April. You will not have a May mortgage payment. Your 1st payment will be due June 1st. Technically, you are making your May mortgage payment in June. That pattern will continue throughout the life of the mortgage.

If you would like to have an experienced mortgage team in your corner, call us at (727) 376-6900.

NMLS ID: 327290; NMLS ID: 2062741

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When Is My Mortgage Payment Late and What Options Do I Have?

Thu, 13 May 2021 19:01:33 GMT

We understand that in life things happen. We all get a curveball thrown at us every once and a while, especially this last year. If you, like many other Americans, are currently struggling to make your mortgage payment, you are not alone! You do have options. To make an educated decision, we need to understand the basics. This will help us to select the best option that fits your needs.

First things first, when is my mortgage payment late? Unless otherwise specified, mortgage payments are due on the 1st of the month. However, you have a grace period that lasts up until the 15th of each month. If your payment is made between the 1st and the 15th, you are technically late, but you do not have any sort of repercussions. If you make a payment on the 16th until the end of that month, you will be assessed a 4-5% late fee by your servicer on top of your normal mortgage payment. Yet, you will not technically be late on a credit report! This is a big distinction most people are unaware of. If you are 30 or more days late on your mortgage payment, not only will you be assessed a late fee, but you will also have a mortgage late on your credit report. Mortgage late payments are a kiss of death for credit scores. Just one mortgage late payment could cost you 50, 75, even 100 points on your credit report. Therefore, making your mortgage payment in a timely manner is extremely important!

If you believe you are going to be late, the worst thing you can do is nothing! Contact your mortgage broker or loan servicer and talk to them about your options. The CARES act is still allowing borrowers to go into mortgage forbearance. Just remember, forbearance is not forgiveness. There are also repayment plans or loss mitigation solutions. For more information, please feel free to reach out to us at the office!

If you would like to have an experienced mortgage team in your corner, call us at (727) 376-6900.

NMLS ID: 327290; NMLS ID: 2062741

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Short Appraisals | How They Affect Home Buyers And Sellers

Thu, 06 May 2021 19:38:34 GMT

Most people understand the need for a home appraisal, and in a typical market, if the assessment comes in short (in other words, if the appraised value is less than the contract price) buyers and sellers renegotiate.

This is not a typical market.

Short appraisals are more common because appraisers typically use a method of valuation called the sales comparison method. This strategy is based on using sales information from the last 6 months from comparable properties to give the subject property a fair market value. When home prices increase are moving dramatically every month instead of every year, this strategy is more susceptible to having appraisals come in low. Here are some strategies to protect yourself from a short appraisal.

Home sellers protect yourself from a short appraisal.

Tip 1: Know your buyer

Not all mortgage financing is created equal! In this market, cash and Conventional are king. Knowing your buyer is well qualified to purchase the home can make a huge difference when it comes to an appraisal coming in short. Buyers who have additional funds to put down can make up the difference of the appraised value versus the contract price. However, they are by no means obligated to do this. It really just depends on how badly they want the property and what the buyer and seller negotiate.

Tip 2: Backup offers

Appraising is an art, not a science. Just because one appraiser decided the home is worth 330,000 doesn’t mean every appraiser will decide the home is worth 330,000. The appraisal coming in low is something that can happen in any transaction. Having an excellent real estate agent who understands the value of having backup offers can save you from relisting the property.

Tip 3: Relationships matter

Experienced brokers and real estate agents know how to navigate short appraisals. They have relationships with lenders, other agents, and industry experts. Appraisals come in short for various reasons and brokers/real estate agents can help to negotiate the best terms for you. Reputations, experience, and relationships help get your deal back on track. If you think you’ve had a bad appraisal, you can always reach out to us to order a second opinion.

Homebuyers protect yourself from a short appraisal.

Tip 1: Cash Reserves

Cash reserves are the easiest way to make up the difference between a contract price and an appraised value. If you offered $330,000 for a home and you put 10% down ($33,000), your loan amount is for $297,000. If the home appraised at $320,000, the lender is only going to lend to the value $320,000. As the buyer, you have the option to pay the extra $10,000 from the agreed upon price versus the amount not being financed. By having cash reserves, you can cover the difference and close on the home!

Tip 2: Challenge The Appraisal

It doesn't matter what kind of environment we are in, bad appraisals do happen! If you feel the appraisal has an unacceptable value, you are able to challenge the appraisal. You can provide recent comparable sales to illustrate your opinion. However, the appraiser always gets the last say. You can have the best comps in the world, but if the appraiser doesn't feel the same way, you don't have a leg to stand on. At Chissell Mortgage Group, we have a great history in challenging appraisals and not only having them changed once but multiple times in the same transaction!

Tip 3: Put Together A Team With Experience

It takes a village to purchase a home. Things are going to come up during the process. It’s not a matter of if but when. When an appraisal comes in short, you have 3 options. The buyer pays up to the contract price, the seller comes down to the appraised value, or you meet somewhere in the middle. Having an experienced mortgage broker and real estate agent not only helps with challenging the appraisal, but handling the bumps in the road that come with any transaction.

Other important things to know about home appraisals

The value of the appraisal is important because lenders are unwilling to finance loans on properties that do not have adequate collateral. They are only going to lend on the appraised value of the property or the sales price, whichever is lower. The kind of mortgage that you get will determine the kind of appraiser you will receive. Conventional, FHA, and VA loans all have their own licensed appraisers. As a rule, appraisers who are doing FHA or VA appraisal have more experience in the industry.

The Appraisal Process

We will request an appraisal management company (AMC) to complete the appraisal. The appraisal will be done by a licensed real estate appraiser that the appraisal management company chooses. A typical home appraisal costs somewhere around $500. This can change dramatically depending on the size, type of property that is being appraised, and how difficult finding similar sales for the appraiser is.

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6 Important Dates on A Real Estate Contract

Thu, 29 Apr 2021 18:35:16 GMT

Disclaimer: We are Not real estate agents or attorneys. We do not write contracts. However, we are mortgage brokers who have seen thousands and thousands of real estate contracts.

#1 – Earnest Money Deposit – Also referred to as a “Good Faith Deposit”, the Earnest Money Deposit (EMD) funds are given to the title company at the beginning of the real estate transaction. These funds signify that the buyers are serious about purchasing the property. The standard time frame for the EMD is 3 days from when the real estate contract was signed and executed.

#5 – Title Commitment Date – The Title Commitment Date is the period in which we need free and clear title for the closing. This could be between 5-15 days prior to closing the loan.

#6 – Closing Date – The big day! The closing date on the mortgage is the expected day for the loan file to close. This is typically between a 30-60 day closing period.

Tell us a little more about your situation and we can tell you specifically, what YOU can do to better understand the real estate process.

The Do’s and Don’ts of Mortgage Lending

Thu, 22 Apr 2021 18:59:10 GMT

Purchasing a house is an exciting time in anyone’s life! Getting preapproved, finding a realtor, shopping around for that perfect home. There are a lot of moving parts, dates to hit, and things to do and things not to do. There absolutely can and will be some blood, sweat, and tears going through the process of moving. It can be very overwhelming, especially for any first-time home buyer! This is where we at Chissell Mortgage Group come to the rescue. To have a nice, smooth, and boring home buying transaction, here are a few mortgage Do’s and Don’ts!

#1 – Do get preapproved!

Getting preapproved is the #1 most important thing to do before looking to purchase a home! This gives you the knowledge that you are qualified and able to purchase the homes that you are putting offers on. Without getting preapproved, you are potentially wasting your time, your agents time, and the seller’s time. Getting preapproved removes that headache!

#2 – Do not quit your job!

In most cases, the mortgage that you are applying for has a repayment term of 30 years. Lenders want to know you are going to be pay them back! Quitting or changing your job during the loan process, even on the day of closing, is the easiest way to go from being approved to denied.

#3 – Do pay your bills on time!

This one is simple. You are applying for possibly the largest indebtedness you may ever have in your entire life. If the lender sees you cannot pay your current bills on time, how can you expect to pay your mortgage on time? Keep paying your bills as normal, unless told otherwise by your loan professional.

#4 – Do not make any large purchase transactions!

We do not care how good the holiday sale is for your new furniture set. Do not make any large purchases! We must have a certain number of funds verified. If we do not have that amount of funds, we cannot close. Save all your purchases for the home until after closing.

#5 – Do tell us the truth!

Underwriters are detectives and investigators for the lenders. Their job is to protect the lenders money. They are going to find out everything and anything that you are trying to hide. If you are honest with us, we can put together a game plan to get the loan closed. If you do not, we will not have time to put together a game plan and more than likely will not be closing.

#6 – Do not go cosign on a loan!

If you cosign on a loan, the underwriter is going to view that debt as your debt. Even if you spouse, child, relative or friend is going to be making the payment, we are going to have to hit you for that debt. This will influence your debt-to-income ratio, which could affect your qualification. Do not do it!

#7 – Do keep in contact with us!

We are going to reach out to you daily to weekly depending on where we are at in the loan process. Staying in contact helps us make sure we are all on the same page with our financing. We do not want anything getting lost in translation during the process!

#8 – Do not move money!

Every dollar being used in the transaction is going to be tracked and verified. If you move funds around and we are not able to prove and verify where those funds came from, we cannot use those funds in the transaction. You could have a million dollars in the back, but if we can source the funds, they are not allowed to be used. This is all Patriot Act, anti-money laundering, anti-terrorism. If you are going to move any funds, talk to your loan officer first!

5 Reasons VA Loans Are The Best Mortgages In America!

Thu, 15 Apr 2021 18:50:19 GMT

The Veteran’s Administration (VA) loan is a no-money-down mortgage option available to Veterans, Service Members, and select military spouses. The VA home loan was conceived in 1944 to help returning service members purchase homes without needing a down payment or excellent credit. Guaranteed by the U.S. Department of Veterans Affairs (VA), this loan program has helped more than 25 million Veterans, active duty military members, and their families purchase or refinance a home.

Here are the top 5 reasons you should choose a VA loan if you qualify.

1. No Down Payment Needed

VA loans are one of the last 0% down mortgages available on the market today. This gives the borrower a unique advantage, as they now have flexibility with the funds they would typically use for a down payment. These funds can be used to buy down their interest rate, pay above appraised value (something that is very common in our current housing market), or just keep it in their pocket!

2. No Mortgage Insurance Required

Mortgage Insurance is an additional fee that is tacked on to the monthly payment on most mortgages. This fee acts as an “insurance policy” to help lenders compensate for the losses they would receive if the borrower defaults on the mortgage. Mortgage insurance can either be public or private, depending upon the insurer. However, a VA loan does not have any mortgage insurance, helping the borrower save that cost every month!

3. Best Interest Rates

Because the federal government backs VA home loans, lenders can charge extremely low interest rates for VA loans. Eligible veterans and service members find that rates are generally lower with a VA home loan than a conventional mortgage. Just another perk for the Veteran!

4. Seller Can Pay All Closing Costs and Prepaids

On a normal purchase, the buyer is responsible for the costs associated with the transaction. With a VA loan, however, the seller can pay all of your closing costs and prepaids! Obviously, this is a massive benefit for the buyer and one of the big selling points for VA loans. Sellers are not required to pay closing costs, so the decision is part of the negotiation between buyer and seller.

5. Seller Can Pay Off Veterans debts

One of the VA mortgage’s unique features is that the seller can pay Veterans’ debts such as student loans, car loans, and/or credit debt! This is an immense help when trying to structure the loan to make the numbers work. There is a limit of 4% on the maximum seller concessions used towards the Vet’s debt.

If you are a veteran and would like to take advantage of all these benefits and more, call us at (727) 376-6900.

What Is Our Total Cash To Close?

Thu, 01 Apr 2021 19:58:44 GMT

For a home buyer, a major source of confusion is what the term cash to close encompasses. The total cash to close (CTC) is the sum of money needed to complete the transaction. This sum can be broken into three parts: down payment, closing costs, and prepaids. Understanding how much you need to have available helps you determine whether a purchase is within your budget. This also helps to make sure there are no surprises at the closing table!

Down payment

Down payment is the amount of money you put toward the home when you buy it. The down payment on the property will be reduced from the sales price to determine the amount you are borrowing. As a buyer, you have several options for down payment amounts depending on your loan type. Some loans offer 0%, 3%, and 5% down options, while others encourage you to put down 20% or more down. Licensed mortgage brokers can help you determine the best loan program and down payment amount for your purchase price and budget.

Closing Costs

Closing costs are exactly what it states, costs to close your mortgage. Whether buying, selling, or refinancing, you will always have closing costs to pay. Closing costs will vary based on your loan amount. However, they don’t always have to come out of your pocket! Closing costs include but aren't limited to appraisal fees, loan origination, discount points, underwriting, processing fees, and title fees. Basically, this is how you pay all the people who have helped you finance your home.

Prepaids

Prepaids are the costs that you are prepaying for your mortgage. For example, this is where you will be paying for your first year of homeowners insurance, a few months of taxes, and also prepaid interest for the number of days left in the month of closing. This portion of your cash to close will be held in an escrow account, which is a free service on behalf of the lender that lowers the risk associated with the loan. This way you will always have your taxes and insurance paid in a timely manner.

What mortgage loan is best for you?

Thu, 25 Mar 2021 19:27:41 GMT

Unless you can buy a home entirely in cash, finding the home of your dreams is only half the battle. The other half is putting yourself in the best mortgage possible! Most mortgages are paid back over a 30-year period, so it is important to find a loan that meets your budget and needs. No one wants to be house rich, cash poor. Here are the most common types of mortgage loans.

Conventional – Fannie Mae/Freddie Mac

A conventional mortgage is a mortgage that is not backed by the federal government. These loans are purchased by Fannie Mae or Freddie Mac, two government-sponsored enterprises. In most cases, you will need a credit score of at least 620. First time home buyers can potentially put a minimum of 3% down. If you have owned a home in the past 36 months, the minimum down is 5%. At 20% down, you no longer have private mortgage insurance (PMI).

FHA

An FHA mortgage is a mortgage insured by the Federal Housing Administration. These loans are excellent for lower credit scores, as well as low-to-moderate income earners. Generally, FHA loans can go be approved at a 580 credit score. The minimum down payment is 3.5%.

A VA mortgage is a mortgage that is backed by the Department of Veterans Affairs. For these loans, you must have VA eligibility. This is determined case by case by the VA using a copy of the Veterans DD214. Technically, the VA does not require a certain credit score. However, most lenders generally require a minimum credit score of 600.

Portfolio

Portfolio mortgages are loans that the lender plans on holding and servicing for the duration of the mortgage. Since the lender is holding the loan for the entire duration, these loans have more flexible criteria to qualify. However, the rates and fees are normally higher than a standard mortgage product.

Private

Private mortgages are loans that are funded by private investors. They will have much riskier features, higher rates, and higher fees than a traditional mortgage. However, they can be excellent for borrowers in certain situations.

HELOC

HELOC stands for a home equity line of credit. This is a second mortgage that is based on the amount of equity a person has in their home. Generally, these loans have a 5-10 year withdraw period, followed by a 10–20-year repayment period. Another big change from a traditional mortgage is that these loans almost always have a variable interest rate.

We Are Buying A Home! What Is Our Interest Rate?

Thu, 18 Mar 2021 19:08:12 GMT

This is by far the most frequent question that we are asked! Most people believe that interest rates are a one size fits all kind of scenario. This could not be further from the truth.

Interest rates are not static (at least not until they are locked in)! They go up and down like gas prices and can change daily, potentially multiple times in a day. Here are several factors that we are looking at when we are shopping for your interest rate.

#1 - Credit

Credit score plays the largest factor when it comes to your interest rate. Bottom line, the higher credit score you have, the better rate you can receive!

#2 - Product

Are you going Conventional? FHA? VA? The interest rate will vary depending on the kind of loan program that you are using.

#3 - Timeframe

Believe it or not, the length of the mortgage will also influence the interest rate. Generally, the interest on a 15-year loan will be lower than that of a 20- or 30-year mortgage.

#4 - Occupancy

Is the home going to be your primary residence? A second home? What about an investment property? Depending on your occupancy, the interest rate will change.

#5 - Lender

This is the greatest advantage we as mortgage brokers have in the industry! When you go to a big bank, they only have one set of pricing for that loan program. We shop dozens of lenders to find the best rates for our clients and their specific scenario. Different lenders will have better or worse pricing for the exact same scenario!

Top 3 Things That Will Get Your Home Loan Denied After Being Pre Approved

Thu, 11 Mar 2021 19:26:25 GMT

You talk to a mortgage broker. You get pre-approved. You find the home of your dreams. You make an offer. It gets accepted. Congratulations!

W e now have a contract. You think everything is good. The tough part is over. Smooth sailing to the finish line, right?

In general, you are correct. However, you’d be surprised to find out that is not always the case. Here are the top three reasons loans get denied after being pre-approved.

#1 - Change or Quit your Job

Believe it or not, lenders want to know you can pay them back! Even if you have an excellent employment history, changing or quitting your job during the loan process is the easiest way to go from being pre-approved to denied. If you are thinking of changing positions or leaving your current one, please communicate that with your loan originator. That way we have time to react and can put a game plan in place to move forward.

#2 - Apply for new credit

Applying for new credit or charging credit is another easy way to change your approval status. We know you want to get new furniture for your new home and there is a great Memorial Day weekend sale! However, this now changes your debt to income ratio, which is a major factor in lending. You now may have too much debt to qualify for the payment.

This also includes having your credit pulled multiple times. This can ding your score 2-5 points per hard inquiry, which is a quick way to tank your credit score. Multiple credit inquiries can absolutely have detrimental effects on your approval.

#3 - Move money

Large money transfers into and out of accounts is a big red flag. Lenders want to know why the money was transferred, where it came from, where it went to, and will request all the necessary documentation. If we cannot prove where the funds came from, they will be backed out of the transaction entirely. It’s all Patriot act, anti-money laundering, anti-terrorism driven. So, if your loan is in process and a loved one wants to gift you some money, talk to your loan originator before moving the funds.

That’s what we do at Chissell Mortgage Group, we make sure your loan is approved. Call us today, (727) 376-6900, and learn more about what options are available to you!

If You Can Afford To Rent In Trinity, You Can Probably Afford To Buy!

Thu, 25 Feb 2021 20:29:38 GMT

Historically low rates in 2021 are making home buying easier than ever, especially when compared to renting in the Trinity, Odessa, & Wesley Chapel areas!

Historically, rents continue to increase 2% to 5% every year. Renters take the brunt of a hot housing market and burn cash every month with nothing to show.

On the other hand, Homeowners with fixed 15-year or 30-year mortgages have predictable mortgage payments month after month. As sales prices rise, homeowners are also gaining equity in an appreciating asset, while their monthly payment remains the same.

The three things that hold back renters from owning are:

Income
Assets
Credit

Here’s how to overcome those hurdles and go from renting to owning a home.

Income And What You Need To Know

If you have a stable job or a steady source of income, you’re already in great shape! Income is one of the major factors of qualifying to purchase a home. If you are able to pay your rent in a timely manner each month, purchasing a home could be easier than you think!

Assets Might Not Be As Important As You Realize

The common consensus is you need a down payment of 20% to buy a home. Typical financial advice used to be, even if you don’t have 20% down you should. This thinking stems from when rates were 5, 6, or even 15%.

Today, with historically low rates, 20% down doesn’t make financial sense. Many programs will work with 5%, 3.5% or 3%, and in some cases, even 0% down.

You may be able to get a house and lower your monthly expense without a lot of cash on hand. Sellers, lenders, gifts, and grants can even cover your closing costs. So if you think you're out of luck just because you don't have tons of cash, no worries. Chances are still good there's a solution that may work.

Credit Isn’t Critical And Can Be Fixed

In most cases, if you pay your bills on time, your credit score should be at or around approvable levels for a home loan! We definitely want to avoid major issues like bankruptcy, foreclosures, short sales, liens, or judgments. However, even if we have had credit issues in the past, we have loans with more flexible criteria to help you if you have less than perfect credit. This allows us a plethora of options to accomplish your goal of homeownership!

Stop Renting - Become a Homeowner

Income, credit, and assets are the fundamentals of mortgage lending. Everyone’s circumstances are different, and different lenders have different products to get you the best loan terms possible.

If you have a job and pay your bills, you can and should own a home.

Take the first step in homeownership and find out how much house you can afford. There is no pressure to borrow. You just need to know your options.

That’s what we do at Chissell Mortgage Group, we give homebuyers options. Call us today, (727) 376-6900, and learn more about what options are available to you!

Three Pre-approval Questions To Ask Your Mortgage Lender Before Searching For Homes

Fri, 05 Feb 2021 20:18:07 GMT

You are excited. You’ve been looking online. 4 bedrooms, two baths, your kids are finally going to have their own rooms! And you are going to have your own private bathroom.

Your realtor took you to look at the perfect home, with a pool. You made an offer, and it was accepted.

Sounds like the typical story, right? Not so much.

Because you got a pre-approval from a lender who didn’t look at your financial documents. You didn’t actually qualify to buy the home you fell in love with.

This scenario happens more often than you might realize. Please ask your broker these three questions.

Did you review my pay stubs, W2s, bank statements, P&L, Tax Returns?
Did you pull an RMCR credit report or an one-bureau in-file credit report?
Did you run my loan through the Freddie Mae, Fannie Mac underwriting engine for approval?

If your lender reviewed the documents properly, ran an RMCR credit report, and ran your loan through Freddie and Fannie, you are in great shape. If not, you might not be working with the wrong mortgage broker.

If you are still confused by what questions to ask, give us a call, (727) 376-6900 . We can explain how your documents, RMCR report, and underwriting can affect your purchasing power.

Mortgage Rates Matter | See What a Quarter Percent Change Means To You

Fri, 15 Jan 2021 21:37:20 GMT

Mortgage rates go up. Mortgage rates go down. So What.

Well here's a simple example that shows you how something as small as a 1/4 rate change can affect your mortgage.

Let's start with the answer and work our way back. If your rate is 1/4 of a percent higher, you lose About $5,000 for every $100,000 borrowed on a 30-year loan. So, if you have a $500,000 mortgage, that's about $25,000 you left on the table.

Higher interest rates obviously means borrowing is more expensive, but it is the compounding interest rate, P (1 + r/n)^(nt), that really effects a change as small as a 1/4 percent.

Fortunately, you don't have to break out your Texas Instrument financial calculator from 2002.

Try our loan calculator below, and test out different interest rates.

If you like what you see, start your loan application, and we will make it a reality.

Residential Mortgage Calculator

Rates Are The Second Most Important Thing When Borrowing. This Is The First...

Wed, 13 Jan 2021 00:39:41 GMT

The ultimate goal is not the best rate. In fact, most people choose a mortgage with a higher rate and lower monthly payment.

We know everyone wants both. The lowest rate and the lowest monthly payment. Unfortunately, no bank will give you both.

You might ask why?

The answer is simple. The bank takes on more risk when they give you a 30 year loan, and they take on less risk with a 20 year or 15 year loan. If you pay back a loan over 30 years, your payments are going to be lower than if you try and pay it back in 10. There is a correlation between terms and rates.

This is why the loan terms are so important. You can pay less money every month, at a higher rate. Or you can pay more money every month at a lower rate.

Try our loan calculator below, it will make a lot more sense if you test different scenarios.

If you like what you see, start your loan application, and we will make it a reality.