David Krushinsky - Phoenix Mortgage Professional

Today, I had the pleasure of attending my daughter's 4th grade parent/teacher conference.  Her teacher told me that she is a great student, but she noticed that Kelli rushes through her work assignments quite frequently.  Kelli will quickly complete her assignments, often times with minor errors, and ask her teacher if she has something else she would like her to do.  My wife and I had also took notice to this recently too.  However, it also reminded me of myself when I was that age.  I often think to myself, am I grooming my daughter for a career in sales?  I think I may be doing just that.

This year has been a special year for Kelli and I.  We have really had a lot of fun as she is beginning to mature into a young woman.  She and I have formed a special father-daughter bond that will last for a lifetime.  I have always joked with her about growing up and becoming a "Mortgage Consultant" or a "Mortgage Broker".  This year I have started to actually think she is definitely cut out for sales.

Every week Kelli has an assignment to select a news article of interest to her.  She has to read through the article, highlight the most important facts from the article, and answer ten questions.  The assignment is called "Tuesday Newsday", which has to be about an event that occurred in the previous week, but it is also due on Tuesday morning.  Kelli and I usually sit down on Saturday morning, although she always tries to wait until Monday night, to select the article she is going to write about.  We always find the article together. 

A few weeks ago she found an article titled, NASA Satellite To Intentionally Slam Moon, by Anne Ryman.  The article was about a satellite slamming into the moon, at an extremely high speed, to create a large hole in search for water.  It was a very informative article that had every last detail explained. The type of article an Engineer would love.  

The last question on the homework assignment is, "Using your own words, summarize the most important facts from this article in 3-5 sentences".  Being that Kelli is destined for sales, of course she always writes 3 sentences.   We all know that sales people typically do the minimum amount of work required.  The following paragraph is a break-down of her response.

The first sentence reads, "A 2 ton piece of equipment will put a 13 foot hole into the moon".  Nothing wrong here, just her explaining what will happen when the satellite slams into the moon.  The next sentence reads, "To see it you will need a 10-inch telescope".  Here's where the sales mode officially kicks in gear.  In order to see the 2-ton piece of equipment put a 13-foot hole in the moon you will have to go out and purchase a telescope with a 10-inch lens.  Kelli's last sentence reads, "This is your only opportunity to see it crash into the moon".  The last sentence is the limited time offer, which will cause you to buy the telescope that starts at $599.      

When I read this paragraph I began to laugh.  It sounded like the perfect telescope ad.  Keep in mind, no where in this article were any of these sentences written.  I guess I am molding my little salesperson more than I thought. 

Do you have any good sales stories to share about your kids?  Please feel free to share them with us.

I would be a disappointment to Kelli if I didn't mention; if you're considering purchasing a home or refinancing, please contact the Krushinsky Team.  David can be reached at 602-695-7575 or david@homeloans.com.  This is your only opportunity.

Future questions will most likely be answered directly by Kelli Krushinsky - "Mortgage Consultant In Training".

FREE CONTINUING EDUCATION CLASSES FOR ARIZONA REALTORS

You are invited to attend the continuing education seminar " Answers To Tough Questions About Credit In Today's Market" on Wednesday, November 18th from 2:00 pm - 5:00 pm.  This event is FREE and provides (3) three Accredited General Hours towards your continuing education requirements.
 
David Krushinsky, a Certified Mortgage Planning Specialist, will address those tough questions regarding your clients credit in today's real estate industry.  The following are a few key topics that will be discussed:

   -Is it better for your client to file bankruptcy or to foreclose?
    -What is a short sale and how can it affect your clients credit?
    -What about a Deed-In-Lieu of Foreclosure?
    -Foreclosure vs. Short Sale
    -What should my clients do???
    -Many more items to cover!!!

 
Don't miss out on this opportunity to learn about new and changing information and get your questions answered by a mortgage professional. 

The Seminar will be held at the Foothills Recreation & Aquatic Center 5600 West Union Hills Drive, Glendale, AZ 85308 on Wednesday, November 18th from 2:00pm - 5:00pm.
 
Please RSVP to reserve your seat.  For any questions or to RSVP, please contact David Krushinsky at 602-695-7575 or email david@dkhomeloans.com 
 
Hope to see you there!
 
Accredited by C. David McVay School - 3412 E. Dunlap Ave., Phoenix, AZ 85028
602-749-2098 Email: dmcvay@cdavidmcvayschool.com ; www.cdavidmcvayschool.com

Are you purchasing a home in Phoenix?  Is the house bank-owned, does it need some TLC, or would you just like to paint, carpet and put in some new appliances?  The FHA 203k Streamline loan is the perfect solution.  Click here for a more detailed guide for specifics on how the 203k loan works. 

FHA's Streamline 203(k) mortgage program allows Phoenix homebuyers to finance up to an additional $35,000 into their mortgage, to improve or upgrade their home before they move-in.  Phoenix homebuyers can use this type of loan to pay for property repairs, such as those identified by a home inspector or FHA appraiser.  These improvements are not just limited to repairs and can also be cosmetic upgrades to the existing property.

Now that you have gone through the whole financing process and you have reached your closing date, what happens next?   Rehabilitation construction should begin within 30 days after closing, and all work must be completed within six (6) months from the closing date.

How does your General Contractor get paid?  After the closing, your loan is typically sold to a servicing company, like Bank of America.  This process normally takes 7-10 days, but is currently taking approximately 21 days.  This is due to an influx of new loans being purchased from the recent closure of various mortgage lenders.  After the loan is sold, 50 percent of the rehabilitation funds are disbursed immediately to the borrower and/or contractor.  Included with the initial disbursement is an instruction letter that explains how the final disbursement will be made upon completion and provides the necessary contact information.  The balance is disbursed upon completion of all work. If the cost of the renovation is over $15,000, an inspection by the original appraiser is required.

For borrowers working with a contractor, a W-9 must be provided to set up the contractor, and a two-party check is made out to the borrower and the contractor and sent to the borrower.  If multiple contractors are being used, 50 percent of the cost of the repairs for each contractor is disbursed up front.  For borrowers performing work themselves, a self-help agreement must be signed before the funds are disbursed. The check is then made out directly to the borrower.  A borrower is typically only allowed to perform work themselves if they have experience in that line of work.

Who handles all of the disbursements and other requirements during the rehabilitation process?  The servicing company handles all rehabilitation disbursements and project inspections.  The amount designated for repairs and improvements, including the contingency reserve, holdback, and PITI, if applicable, are deposited into an interest-bearing repair escrow account, insured by the Federal Deposit Insurance Corporation (FDIC). 

What happens if your repairs have unexpected costs?  The contingency reserve is required to cover unexpected repairs.  The reserve is usually only required if the repairs exceed $7,500 and is typically 10 percent of the total repair amount.  The contingency reserve can only be used on those changes that affect the borrowers health and safety, or is due to an increase in cost for an item of necessity.  If a change order results in a decrease in costs, the amount will be added to the contingency reserve.  Additional improvements that do not affect the health and safety, or an increase in cost due to a necessity item, must be paid for directly by the borrower and not paid out of the contingency reserve fund.  The remaining balance in the contingency fund, after all work has been completed, will be used to pay down the principal balance of your loan.

Congratulations!  It's time relax and enjoy yourself.

If you're considering purchasing a home that may need some cosmetic upgrades or repairs, please contact the David Krushinsky Team to get pre-approved.  David can be reached at 602-695-7575 or david@dkhomeloans.com.  

You've searched for the perfect home for what seems like an eternity.  Your Real Estate Agent has shown you so many homes, in Phoenix, that you lost count.  She calls you up and says, "I found the perfect home; it has a big backyard, 3 car garage, 5 bedrooms and the location is exactly where you want to be."  You're so excited you grab the kids, jump in the car, and drive over.  

It's absolutely perfect!!  The family loves it, the kids are running around the backyard, your wife can picture her clothes in the master closet, and you see yourself working on your toys in the 3 car garage.  You rush to write an offer on the home because you know, in Phoenix, there are multiple offers on everything in this price range.  It's so perfect that you're even willing to pay more than the list price just to secure the home.  The seller accepts your offer, calls your Realtor, and gives them the bad news.  Wait!!! The bad news???  The seller bought this home only 7 days ago, and has now re-listed it for $29,000 more than he paid for it.  The property is what is known as a "flipped house" in the Phoenix real estate market.  He tells your Realtor that you need to make sure your lender can secure a mortgage on the property, since he just bought it.  No problem, right?

Your lender originally prequalified you for an FHA loan with a low 3.5% down payment.  You call your lender and he tells you, "I'm sorry we can't do an FHA loan because of the 90-day rule."  Your confused.  What is the 90-day rule?  You look on the Internet and find that HUD's 90-day rule states any re-sales occurring 90 days or less following the acquisition will not be eligible for a mortgage to be insured by FHA. FHA's analysis disclosed that among the most egregious examples of predatory lending was on "flips" that occurred within a very brief time span, often within a matter of days. Thus, the "quick flips" were eliminated for at least 90 days.  No FHA loan for you.

Your not worried because your lender is a very smart guy, he's a Senior Loan Officer.  He says, "Don't worry, we will just do a conventional loan."  Since you have enough to put down 10% for a conventional loan, you think your problem is solved.  Your lender is a genius.  You start packing all of your belongings into boxes, ordering utilties for the new house and getting ready for the "big" move. 

A few weeks go by and your lender calls you and says, "We have a major problem."  Your loan was declined because the mortgage insurance company won't issue a mortgage insurance certificate because the property is being "flipped."  Oh and by the way, even if you can put down 20% to avoid mortgage insurance we still can't do your loan.  You say, "Huh???"  "You can't do the loan?"  That's right, he can't do the loan because of new guidelines by most major lenders that won't allow financing on flipped properties.  What are you going to do now?? 

Your Realtor is very sharp, experienced and is determined to get this home for you.  She has called four different mortgage companies.  Luckily, one of the lenders she talks to also has a good network and he refers her to another lender.  We can still do your loan with conventional financing, even if the property is "flipped".  There is no specific time frame required for conforming conventional seasoning on a purchase transaction.  However, the appraiser must provide a 12-month listing history for the property. Frequent listings and/or sales also require explanation on each occurrence or listing and should include the data source(s), offering prices, date(s), and any further evaluation as they may indicate "flipping".

Closing day comes and you finally get the keys to your house.  You're so excited that you tell everyone you know, who is looking to purchase a home in Phoenix, to call your Realtor and their new "preferred" Mortgage Consultant.  Life is good.

If you, or someone you know, has recently placed an offer on a flipped home in the Phoenix market and is unable to locate financing for their new home, please have them contact The Krushinsky Team at 602-695-7575 or david@dkhomeloans.com.  We can still lend on homes that have been owned for less than 90 days.  We can also offer rate/term refinances using current appraised value on conventional loans for properties owned less than 6-months.

FREE CONTINUING EDUCATION CLASSES FOR ARIZONA REALTORS

You are invited to attend the continuing education seminar " Answers To Tough Questions About Credit In Today's Market" on Wednesday, October 28th from 9:00 am - 12:00pm.  This event is FREE and provides (3) three Accredited General Hours towards your continuing education requirements.
 
David Krushinsky, a Certified Mortgage Planning Specialist, will address those tough questions regarding your clients credit in today's real estate industry.  The following are a few key topics that will be discussed:

   -Is it better for your client to file bankruptcy or to foreclose?
    -What is a short sale and how can it affect your clients credit?
    -What about a Deed-In-Lieu of Foreclosre?
    -Foreclosure vs. Short Sale
    -What should my clients do???
    -Many more items to cover!!!

 
Don't miss out on this opportunity to learn about new and changing information and get your questions answered by a mortgage professional. 

The Seminar will be held at the Foothills Recreation & Aquatic Center 5600 West Union Hills Drive, Glendale, AZ 85308 on Wednesday, October 28th from 9:00am - 12:00pm.
 
Please RSVP to reserve your seat.  For any questions or to RSVP, please contact David Krushinsky at 602-695-7575 or email david@dkhomeloans.com 
 
Hope to see you there!
 
Accredited by C. David McVay School - 3412 E. Dunlap Ave., Phoenix, AZ 85028
602-749-2098 Email: dmcvay@cdavidmcvayschool.com ; www.cdavidmcvayschool.com

How do you purchase a home in Arizona using the Your Way Home Arizona loan program?

You are invited to attend the seminar explaining the "Your Way Home Arizona" on Monday, October 5th from 9:30 am - 12:30 pm. 

Reginald Givens from the Arizona Department of Housing will be presenting on the Your Way Home Arizona program. This is a great opportunity if you, your business partners or clients want to learn more about the Your Way Home Arizona Program.

Don't miss out on this opportunity to learn about new and changing information and get your questions answered.

The seminar will be held at the W.J. Bradley Mortgage Branch conference room located on 9237 East Via de Ventura, Scottsdale, AZ 85258.

Please RSVP no later than September 30th to reserve your seat. For any questions or to RSVP, please contact David Krushinsky at 602-695-7575 or email david@dkhomeloans.com 

* Breakfast will be provided.

War - is a reciprocated, armed conflict, between two or more non-congruous entities, aimed at reorganizing a subjectively designed, geo-politically desired result.  War is an interaction in which two or more opposing forces have a "struggle of wills".  War is also a cultural entity, and its practice is not linked to any single type of political organization or society.

Over the last few months I've noticed that it's not hard to start "Wars" on Active Rain.  It's almost a good thing to be controversial, in most cases, to be known among the Active Rain community and/or help move your site rankings to the top of Google.  Plus, members are always interested in posting on topics to gain comments from their readers.  Here is my take on how to start an all out war and gain comments.

The first article I noticed that started an all out war was the post by Cathy Dick on her blog titled, "Remove my home staging signs from the home? Why?"  That prompted another article to be written by Matt Stigliano, "Can't We All Get Along? Stagers vs. Realtors vs. Sellers."  Matt's article generated 129 responses.  Some of the responses were in excess of 4 paragraphs.  Most of the people responding put as much time into their comment as they would've had they written their own blogs.  These blogs were great to read because they had so much material that prompted more discussion about a topic that is important to Realtors, running a successful Staging business and selling a home. 

Conclusion: Questioning Realtors decisions in a website forum with 159,295 members, most of which are Realtors, will result in a war.

The next article I noticed was Jeff Corbett's blog post titled, "Drug Cartels Cancerous Growth and the F*cked Mortgage Industry."  This blog inspired at least 3 other blogs that I'm aware of just on Jeff's title alone.  The post got hijacked by C Tann-Starr and TLW from club chaos and prompted people to even question why Active Rain Staff would allow such a post to be featured.  The comments are littered with videos of "use of the word F*CK", and other members dropping the F-Bomb.  There were 175 comments made on Jeff's post, including Jeff's when he said he loves this place. 

Conclusion: Using profanity in a public forum with 159,295 members, all with different backgrounds, religous beliefs, morals and cultures will result in a war.   

Just when you thought all was back to normal the Healthcare Debate begins with a post by Nestor and Katerina Gasset titled, "Health-Care Options - Real Solutions For Real Issues" four days later.  While this post relates directly to Realtors, it is highly political.  It's been my experience that you either make really good friends or arch enemies when writing political posts.  The article clearly isn't meant to be political as it states, "This post is not about being Democrat or Republican. This is not a political issue; this is an American issue" right in the content. But how can a reader be unbiased and not take a political stance on this issue since it is currently debated so much by both political parties? 

Conclusion: Posts on highly debatable political topics will result in a big war.

So what do all these post have in common and why did I take the time to write this blog???  I thought it would be fun to give credit to some terrific authors.  I personally feel that all of these blog posts were great reads and opened my eyes.  I read a post yesterday by my friend, Brian Brady, about the first time homebuyer credit and it made me see a perspective I would have never thought of.  I refrained from commenting on his post because I felt like THAT homeowner telling the experienced Realtor how to negotiate a short sale.  You know the "one" I am talking about.  I also felt it was necessary to thank all the terrific members, staff and people who make Active Rain what it is.  This site has re-energized me after only four months of blogging, commenting and reading inspiring posts like the ones above.  Thank You! 

For information on purchasing or refinancing your home loan contact The Krushinsky Team at 602-695-7575 or email david@dkhomeloans.com.

USDA Home Loans

Are you interested in purchasing a home in Arizona but don't have the available resources for a down payment? Look no further than the U.S. Department of Agriculture (USDA) Home Loan.  The USDA has a guaranteed home loan program available to help individuals and families purchase a home in Arizona located in certain qualified rural areas.

How do you qualify for a USDA loan? As with most mortgage loans, you must demonstrate your ability and willingness to repay the loan in monthly installments. Your credit history and other monthly obligations will be analyzed to determine if you have the reasonable ability to meet repayment obligations on your current debts and the new mortgage payment. Additionally, you must show that you have steady and sufficient income that is enough to meet mortgage payments, as well as discretionary income remaining each month.

Credit Eligibility

If you know you have made all past credit payments on time and have a good credit history, you are in good standing and should be a good candidate for a USDA home loan. But even if you have some "spotty" or derogatory credit, you may still be eligible for a loan. USDA mortgage guarantee home loans do not have a minimum credit score but most banks have an overlay of a 620 FICO requirement.

The mortgage loan underwriter wants to know that you are willing to repay the loan. If your credit history shows late payments or even previous bankruptcy, you can still repair your credit report.  It may take some effort but don't get discouraged.  Your first step is to find out what your credit rating is.

Most late payments should usually be at least one year in the past, and your current history must show that you have met your credit obligations on-time and diligently for at least 12 months. If you have filed for previous bankruptcy, the discharge date will usually need to be at least two years ago. Since the bankruptcy, you must show that you re-established credit and have been diligent with credit and debt payments.

Income Eligibility

The USDA home loan guarantee program is designed to help low to moderate income families. There are income restrictions depending on the area you wish to purchase a home. Your loan underwriter will look at your gross income, income from any co-applicants, as well as any other adults who plan to live in the household. If your income exceeds the maximum limit, you may still receive certain adjustments to your gross income that will help you qualify.

In order to give a loan underwriter a clear picture of your income, you will need to submit copies of at least two years of W-2 or 1099 tax filings. If you are self-employed, two years of full tax returns may be necessary to determine a good average income. If you currently work for an employer, you should provide copies of at least one months of pay stubs. You may also click here for a checklist of items you may need for the processing of your home loan.

SOME Eligible Areas in Arizona:

Metro Areas:

• Buckeye, AZ
• Anthem, AZ
• Queen Creek, AZ
• Casa Grande, AZ
• Sierra Vista, AZ
• Tucson, AZ
• Yuma City, AZ

County Areas:

• Cochise County, AZ
• Pima County, AZ
• Pinal County, AZ
• Santa Cruz County, AZ
• Yuma, County, AZ

You can click here to determine if the property your purchasing could be financed with this program.

Before you begin the search for the home of your dreams contact the David Krushinsky Team at 602-695-7575 or david@dkhomeloans.com to see if you qualify for the USDA 100% financing home loan in Arizona. 

* Because of the complexity with financing homes with swimming pools under the USDA home loan guidelines, we recommend that you avoid submitting offers on homes with swimming pools.

If you're like 8 out of 10 homeowners in Arizona that owe more than their house is worth but could benefit from refinancing your home mortgage to a lower rate then continue reading.  The first step would be to determine who actually owns your home loan.  Chances are pretty good that the mortgage servicer, the bank that sends you the payment statement, and the actual "owner" of the mortgage are two different parties.  So how do you determine who owns your loan(s)?  Click here to determine if Fannie Mae or Freddie Mac own your loan(s). 

Is your home loan owned by Fannie Mae?

If so, Fannie Mae now offers the Desktop Underwriter (DU) Refi Plus Program.  This home mortgage refinancing program will prevent unnecessary foreclosures by lowering monthly mortgage payments for millions of eligible homeowners.

What This Means For You...

Through refinancing, borrowers like you can take advantage of today's low rates and reduce their monthly payment. This will help monthly cash flow for millions of families across the nation.

Another goal of the DU Refi Plus Program is to help homeowners who live paycheck-to-paycheck, stabilize their finances. This means that Fannie Mae and other lenders will now turn riskier loans, such as Adjustable-Rate Mortgages (ARM), into more stable loans, such as Fixed-Rate Mortgages (FRM).

Easier to Qualify Than Before...

The purpose of the DU Refi Plus Program is to help the economic burden that many of us face today. One way to help with this is to offer assistance to homeowners who were previously ineligible. Under the new DU Refi Plus Program, Fannie Mae reduces eligibility restrictions and requires less documentation.

• Previously, Fannie Mae required applicants to show two current pay stubs as income verification. Under the DU Refi Plus Program, applicants can show only one current pay stub.
• On certain loans, Fannie Mae will now waive appraisals.
• Previously, Fannie Mae would not handle loans over 80% of your home's market value. Now, applicants may have a loan-to-value between 80-105% and NO MORTGAGE INSURANCE is required on the new loan.
• Fannie Mae will now accept applicants with a credit score less than 580, if their LTV is 80% or less.

DU Refi Plus Terms and Conditions

Though Fannie Mae will now help more homeowners than ever before with DU Refi Plus, there are still certain restrictions that will apply.

• Loans must be owned by Fannie Mae.
• Any existing subordinations must to be re-subordinated.
• Limited cash-out refinancing (less than 2% of loan, or $2,000).

Ineligible new loan products for the DU Refi Plus Program are:

• An Adjustable-Rate Mortgage with fixed terms less than 5 years.
• An interest-only mortgage.
• A balloon mortgage.

You may also be ineligible to participate in the DU Refi Plus program if you made a payment more than 30-days late within the past year.

If you have any questions about how to reduce your monthly mortgage payment, contact The David Krushinsky Team today at 602-695-7575 or david@dkhomeloans.com.

All good things must come to an end and the $8,000 tax credit for Phoenix first time home buyers is no exception.  The $8,000 tax credit program expires on November 30, 2009.  This means you must CLOSE ESCROW on your new home purchase no later than November 30th, 2009.   

The $8,000 tax credit does NOT need to be paid back and you do not need to wait until 2010 to claim the credit.  One can claim it on their 2008 taxes by filing an amended return after you close on your home.  Taxpayers can file Form 5405, First Time Homebuyer Credit, electronically for home purchases in 2008 to claim the first-time homebuyer credit.  The IRS began processing these returns electronically on March 30, 2009. 

If you are thinking to yourself, "November 30, 2009 is a long ways off".  Well it's NOT - just 77 days away so you need to take the following into account:

1. First, you need to actually find a home and get an offer accepted.  We see many properties in Phoenix with multiple offers on them and the average person right now has lost a "bidding war" on at least a couple of houses before their offer has finally been accepted.  On average, it isn't unreasonable for a buyer to spend a couple of months looking for a home before getting an offer accepted.
2. Once your offer is accepted, you still need to get a mortgage.  Our processing turn times right now for a typical loan average about 30 days.  New rules and regulations have added a few extra days to the process.  
3. For anyone taking advantage of the government's buy a HUD Home for only $100 Down Program, turn-around times for getting the purchase to close have been averaging at least 60 days.
4. Lastly, remember that according to the IRS, you must actually close on your home for it to be considered occupied and to qualify for the $8,000 Tax Credit.

So, if you take the 2 months of searching and add another 30 days for the mortgage, you can easily see that you need to begin NOW!

For a list of Frequently Asked Questions (FAQ's) visit www.dkhomeloans.com under "Current Home Mortgage Incentives".  Before you begin your home search please contactThe Krushinsky Teamat 602-695-7575 or david@dkhomeloans.com to get pre-approved.