• Ask about our bank statement program which eliminates the use of tax returns and we just use the deposits in your bank account to calculate income.
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Fannie vs Freddie Max LTV

Fannie vs Freddie Max LTV

Mortgage Depot has years of experience obtaining mortgage loans for borrowers in need of financing to complete the purchase or refinance of residential and commercial properties throughout the country. We pride ourselves on our commitment of providing our borrowers with knowledgeable and trustworthy advice and guidance, including educating them about the workings of the mortgage industry.

How the mortgage markets work

Gone are the days when lenders kept mortgages for the entire life of the loan with borrowers making their monthly payments to the original lender. Today, mortgage loans are sold by lenders in a secondary market dominated by Fannie Mae and Freddie Mac.

The ability to sell loans in a secondary market and recover the money they lent allows banks and other lenders to make more loans. Fannie Mae and Freddie Mac are government-sponsored enterprises that buy mortgage loans, bundle them, and resell them to investors.

Differences between Fannie Mae and Freddie Mac

Both Fannie Mae and Freddie Mac have guidelines that mortgage lenders must follow to ensure the loan loans they make can be sold. One area in which the two enterprises differ is in the acceptable loan-to-value ratios for the loans being sold in the secondary marketplace.

The LTVs for different properties are as follows:

  • Primary residence: Properties with up to two units can have an LTV up to 85 percent for Fannie Mae and 80 percent for Freddie Mac. Properties with three to four units can have LTVs up to 75 percent for Fannie Mae and up to 80 percent for Freddie Mac.
  • Second homes: Fannie Mae LTVs can be up to 90 percent. Freddie Mac is up to 85 percent.
  • Manufactured homes: Fannie Mae has a maximum LTV of 90 percent while the maximum for Freddie Mac is 85 percent.
  • Investment properties: Only single-unit properties are permitted, and the maximum LTVS are 75 percent for Fannie Mae and 85 percent for Freddie Mac.

Contact Mortgage Depot today

The loan officers at Mortgage Depot have information about all types of financing.

Contact us today at (800) 535-0270 or email us by clicking here.

Benefits of Home Ownership

Benefits of Home Ownership

For many people, buying a home is the biggest financial investment they will ever make. The advantages of owning as opposed to renting a home may differ from one person to another, but a few of the benefits most commonly associated with homeownership include the following:

  • Tax savings: Property taxes and mortgage interest continue to be deductible under the new tax law recently passed by Congress. Homeowners should check with an accountant or tax adviser to determine how the deductions apply to them.
  • Payment stability: Fixed-rate mortgages offer steady monthly payments for the life of the loan without the worry of yearly increases associated with renting a place to live.
  • Ability to build equity: A portion of each monthly mortgage payment goes toward reducing the principal balance of the loan to build equity accessible when the home is refinanced or sold. Owners can use the equity for retirement, a vacation home or for a child’s education.
  • Source of pride and personal satisfaction: Purchasing a home fosters a sense of accomplishment knowing a family has a solid foundation on which to build its future.

At MortgageDepot, our professional loan originators offer trusted advice and guidance for anyone ready to make the change from being a tenant to being a homeowner.

Contact us today for a FREE consultation at (800) 535-0270 or email us here.

FANNIE MAE- Cash Out LLC UPDATE

FANNIE MAE- Cash Out LLC UPDATE

As some of you may be aware that Fannie Mae made a change early in the year in 2017 that the individual must be on title for 6 months even if the property in the LLC is owned by the individual. Fannie Mae has now made the change back to allow an individual who is an owner of a property in a LLC to do a Cash Out and transfer title to the individual at the table. So that being said no waiting period for a borrower who owns a property in LLC for Cash Out to the individual.

If the scenarios mentioned above had ever stopped you from getting a loan than you need to contact us so we can get the financing done for you, we are always on top of our guidelines helping borrowers get the proper mortgage financing they deserve.

Contact us today for a FREE consultation at 800-535-0270 or email us here.

Happy New Year!!!!

MortgageDepot Team

Loan Closed in Under 10 Days

Loan Closed in Under 10 Days

Once again we have proven ourselves and closed a loan in 8 days. With the help of the borrower being very organized and had most of his paperwork prepared we were able to submit a loan get an appraisal done and clear the loan in just 8 business days, this is a record for us, we normally do things in 15 days but we have beaten that record.

If you are looking for speed and accuracy than we are the go-to mortgage company. Give us a try.

Find a loan officer by clicking here.

Piggyback Loans

Piggyback Loans

MortgageDepot is pleased to announce the roll-out of a Simultaneous Home Equity Line of Credit when combined with a First Mortgage loan for either conventional or high-balance loan. There are many reasons why a piggyback loan is the right choice for you. either its good to avoid paying PMI or avoid Jumbo interest rates the piggyback loan is a loan that is a solution for many.

We have partnered with a Bank to offer this product.

Please see below for the product overview.

Some highlights include –

  • HELOC Rate is current prime rate plus margin below:
  • CLTV > 80%: 1.99%
  • CLTV 70.01% – 80%: 1.49%
  • CLTV 70% and less: 0.99%
  • Draw Period: Years 1-10; interest-only payments required during draw period.
  • Repayment Period: Years 11-30; principal and interest payments amortized over the remaining term of the loan.
  • SFR, 2 Unit & Condos Accepted.
  • Second Home Accepted.
  • 1st Loan can be a Purchase or Refinance.
  • Minimum HELOC line amounts begin at $25,000. Maximum HELOC line amounts up to $500,000.
  • No additional document overlays.
  • Fico Scores as low as 700.
  • DTI as high as 45%
  • Gifts / Gift of Equity / Seller Concessions accepted.
  • No Prepayment Penalties.
  • No additional reserves required.

To find out more why this piggyback loan is right for contact our office for more clarification on the program and what it offers.

To contact us by phone call 800-535-0270 or email us by clicking here.

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