New home loan program expands financing access to Bay Area borrowers

If a bigger home has become more prudent or you are seeking a nicer neighborhood for your family, you may be looking for the perfect solution to finance your dreams. Sometimes, however, the price for your dream home may feel a little out of reach. A jumbo loan could be the right solution, but it may not be for everyone. Jumbo loans are for premium real estate areas that exceed the conventional conforming loan limits, but the terms and limits can vary. Jumbo loan interest rates tend to be higher and larger down payments are required, but these loans are available in a variety of fixed or adjustable rates. Often times, these loans are perfect for Bay Area buyers as cost of living and home values increase. Some Bay Area buyers can be denied for Jumbo Loans, however. When that happens, all is not lost thanks to a new loan option Guarantee Mortgage offers. Our new Expanded Access Loan Program opens the door to borrowers who may have encountered some difficulty on their journey to homeownership. Guarantee Mortgage is committed to working with all future homebuyers and this program is for borrowers who do not fit standard home mortgage financing guidelines, or who may have not been able to secure a jumbo loan for various reasons, ranging from debt-to-income ratio to credit score. The Expanded Access Loan Program is suited for people who seek a second chance. Here’s some of what it covers: Loan amounts between $100,000 and $2 million. Up to 90 percent loan-to-value (need documentation). Up to 85 percent loan-to-value with bank statement. Allows a 620-minimum credit score. Guarantee Mortgage is here to tell you that the reasons you may have been held […]

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5 things to expect during the loan closing process

Buying a home is a series of steps. Each one serves an important purpose and depending on the pace and circumstances of your home-buying experience, some of these processes may overlap with others. While searching for a home and attending open houses are two very exciting processes you and your family will enjoy, it’s also important to know what to expect during other phases that involve numbers, legal documents and a third-party. The loan closing process is the last step you take on your journey to homeownership. Here are five key steps that happen during the loan closing process. Underwriting During this step, underwriters confirm information through documents that support your financial status and claims. This may include calling your employer to verify employment and salary, for example. If you are self-employed, the verification process may take slightly longer. Appraisal When you find a home, and enter into contract, the lender will appraise the property to ensure that the house is worth the amount it will lend. The lender’s independent appraisal could have an impact on your rate and terms. The estimate you received should fall in line with the finalized costs, barring any big surprises. Title Research Following the appraisal, the title company will examine the home’s past. The main reason for this discovery is to ensure that no liens are held against the home. The title company will look for things like pending litigation and past-due tax payments. Once everything comes back clean, the title company will deliver a policy that breaks everything down in order to protect both parties. Sign Legal Documents At the tail end of this important process, you will have some legal documents to sign. You can expect to […]

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As Bay Area market heats up, partner with Guarantee Mortgage to stand out

Preparation is perhaps your greatest ally when you enter the current real estate market, which continues to show increases in home prices. The sales numbers are picking up steam across the Bay Area, which has many buyers paying above asking price. In fact, most buyers in the region paid more than the asking price in March, according to a Redfin report, and that trend is likely to continue throughout the spring and summer months, when real estate transactions typically increase. Nearly 70 percent of homes sold above the listing price in San Jose during the month of March; in San Francisco, the number of homes that sold above asking price was nearly 67 percent. Home sales also increased during this time as the competition remained fierce. The robust activity aligns with a five-year run of home price increases, according to Redfin. In this type of climate, Bay Area buyers need to be prepared to stand out from the rest. Here are four ways to stand out in this active market. Partner with a Reputable Lender An agent noted the following in the Redfin report: “As a seller’s agent, the first thing I do when I receive an offer is ask who the lender is. The best offers come from buyers who are pre-approved by a local lender with a strong reputation for speed and reliability. If I’ve worked with the lender before and know they can fund the loan and close on time, I am sure to highlight that for my client.” Guarantee Mortgage has a well-earned reputation and has helped Bay Area families finance their homes for more than 20 years. We stand out from the rest because of the way we treat our […]

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Guarantee Mortgage – good people, using good loan programs to do good work in the Bay Area

There’s no doubt that people make the difference when you’re in the mortgage industry. The quality of people at Guarantee Mortgage have certainly demonstrated that time and again with each transaction. When our clients come to us, everything is at stake because getting a mortgage is one of the biggest financial decisions most people make in their lifetime. And it takes seasoned professionals and quality service to get the job done the right way, especially in the competitive markets of the Bay Area. Guarantee Mortgage has long been a Bay Area stand out as it relates to the service and knowledge of our local market. Here’s what sets us apart: We are committed to transparency so that our clients never encounter any surprises. We take a consulting approach to our clients’ mortgages, meaning we take the time and care to understand our client’s short- and long-term goals keeping them informed throughout the loan process. We’re fast and thorough. In a competitive market, timeliness is king and we’ve demonstrated the ability to move fast to close quicker and efficiently maneuver through the complex lending environment. And lastly, we’re local and have first-hand experience lending in your neighborhood All of these pillars are possible through the personal touch and expertise of our loan officers. We are very proud that each and every one of my colleagues lives up to these standards. When it’s put into practice, they are doing something very special. They inspire our clients to successfully reach for their home ownership goals, and fulfill them. When you work in this industry, you need the right people and the right tools to get the job done. Along with the reasons stated above that set us apart, […]

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Credit agency changes may increase credit scores for millions of people

Credit scores are vitally important to the home-buying process because your credit worthiness can dictate the terms of your loan. When you apply for a home loan, a pre-approval may reveal your credit blemishes, some of which could be fixed over a relatively short period of time, while some require additional work over a longer period of time. Those with credit problems may soon be getting some help. It was recently announced that millions of Americans are poised for a credit boost thanks to a new set of rules that credit reporting companies will follow when issuing negative points on credit scores. The large credit reporting agencies, Experian, Equifax and TransUnion, will be dropping tax liens and civil judgments in some instances as it applies to credit scores, both of which can lower a score. By July, as many as 12 million consumers could see a credit score increase because of this. The switch stems from claims that liens and civil judgments were being attached to the wrong person. Under the new rule, liens or judgments will be dropped if they do not match three out of the four following criteria: name, address, social security number or birthdate. At the very least, these changes could assist a large segment of consumers with a modest bump in their scores. Here are a few tips to help you get your credit in order. Find your Credit Score Sites like offer free credit scores. Some credit card companies offer customers a credit snapshot, which you may find on your statements. Federal law allows people to receive one free credit report from each of the major three bureaus each year. You can learn more about that here. The […]

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