This MIGHT Be A GAME CHANGER: BOA Offering Coli Brehs Mortgages With ZERO DOWN!!!

[UberEatsDriver]

Exactly What I Thought, Cause Aren’t They The Biggest Crooks Of Them All?

Yea by now people need to know that nothing is free in America. If something is too good to be true it is either a scam or a massive catch lol

 

[Booker Carver]

People still have to qualify. This isn’t like ‘08 where if you had a pulse you got a loan. They were doing stated income no doc loans. Most of those were non qm loans that defaulted. BOA will likely hold these loans in house and make sure they have the ability to repay. What we don’t know is what their DTI will need to be. I’ve seen VA loans (100% LTV, no mortgage insurance) in the 70s/80s on Debt to Income ratio. No other program is allowing for that. They get away with it because of residual income. VA loans are least likely to default.

 

[Booker Carver]

You have to pay PMI and also a higher monthly mortgage amount.

I’ve seen the comparison of mortgage rates at open houses before and 20% down conventional loan has better results to me.

Btw 20% down is not a lot. Either you can’t truly afford that house or you just suck as saving money.

We all know the greedy banks are more than willing to give you a house that you truly can’t afford

You don’t HAVE to. PMI can be bought out, if you can afford it. You can get seller credits as well and have the seller buy it out for you. The only program that you HAVE to have mortgage insurance on is FHA. And even that goes away if you put 10% down or more. It will last 11 years.

 

[UberEatsDriver]

You don’t HAVE to. PMI can be bought out, if you can afford it. You can get seller credits as well and have the seller buy it out for you. The only program that you HAVE to have mortgage insurance on is FHA. And even that goes away if you put 10% down or more. It will last 11 years.

Yea I’m talking about FHA.

I’ve seen the comparison numbers at open houses and even tho you put more money than for 20% conventional the payments for the month are less than what I saw for FHA.

I don’t have time now but I was told that FHA people default more likely to. I’ll spend a few minutes searching this up after I finish work today

 

[BiggWebb79]

I wonder if this have anything to do with...

Protecting Black Americans’ Access to Housing by Combating Housing Discrimination. Following President Biden’s Presidential Memorandum directing his Administration to address racial discrimination in the housing market, HUD published an interim final rule in the Federal Register entitled “Restoring Affirmatively Furthering Fair Housing Definitions and Certifications” that requires HUD funding recipients to complete an assessment of fair housing issues, identify fair housing priorities and goals, and then commit to meaningful actions to meet those goals and remedy identified issues. Last fall, HUD solicited input from stakeholders to inform a Notice of Public Rulemaking, which will be published later this year for public comment.
FACT SHEET: The Biden-Harris Administration Advances Equity and Opportunity for Black Americans and Communities Across the Country - The White House

 

[the bossman]

Zero down ain't really the best idea

 

[Geek Nasty]

Dont trust BofA. They steered me into a credit card instead of a used car loan for really low percent. But the cards wouldn’t allow you to make online payments you had to call or mail in a payment.

My first payment was a day late they jacked up the interest rate from like 1% to 30%

I walked into that branch like I was going ti kill somebody and they lowered it back

 

[Booker Carver]

Yea I’m talking about FHA.

I’ve seen the comparison numbers at open houses and even tho you put more money than for 20% conventional the payments for the month are less than what I saw for FHA.

I don’t have time now but I was told that FHA people default more likely to. I’ll spend a few minutes searching this up after I finish work today

I’d agree that FHA has a higher delinquency rate. Conventional requires a higher credit rating, so it makes sense that they would be less risky overall. FHA is going down to 580 and you can often see DTI north of 50% of your gross income. It’s actual limits are 56.99% but if you have that low of a credit score you’re more than likely around 43% - 50% on a manual underwrite.

USDA you’re at 29/41% with hardly any wiggle room. So you could have a low credit score but your DTI has a lot of room in it.

Conventional, typically 680 credit score with 3/5% down minimums and DTI below 50%. Often times below 45%.

 

[BeeCityRoller]

Veteran loans are 100% financing and they are the least likely to default. Mainly because of the residual income test.

It appears to be some form of redlining because borrowers are restricted to a certain area within those cities. There are many down payment assistance programs where you are restricted to certain “target areas”. I read in USA Today that they don’t have to be black or Latino to qualify, they just have to live in a 50% AA or Latino census tract.

I can’t imagine that rate will be pretty. But the govt is probably incentivizing them somehow.

Will some people default, maybe, but it will probably help more people than it will hurt; and you won’t hear about that.

I'd be interested to see the breakdown of what neighborhoods qualify in Charlotte since they're being hush-hush about it. My Zip Code is majority Black/Hispanic but the area I live in is gentrifying due to new developments and because we are on the border of a wealthier Zip Code.

In any case, based on how they handled foreclosures that disproportionately affected black people during the last recession and the hoops they wanted me to jump through for a Home Loan last year I would not want them as my lender. I got on the phone with a Local Lender (not some random Rep on the West Coast) and had everything submitted for approval in less than two hours.

This is PR in my opinion more than anything, all of these programs they pass off to third-parties and when its time for BOA to get involved when its closing time don't be surprised if they drag their feet. Not trying to bash this, but I prefer programs where people can really get equity in the game like Down-payment Assistance and lower interest rates to keep monthly payments low, and build equity. Let another downturn happen when these people have a $2000 mortgage barely scraping by with 45% DTI, and they'll come knocking just like 2008.

 

[Mr swag]

If y’all doing any sort of business with BOA or Wells Fargo you deserve what happens to you

I bet that interest rate is 10%

 

[Sad Bunny]

Be under water your mortgage brehs.

 

[Sad Bunny]

I bet that interest rate is 10%

Navy Fed offered me a 0 down mortgage with a 3.75% rate.

I went with someone else and out more down instead and my rate is 2.75.

 

[JNew]

buy a million dollar house and spend your entire life paying the mortgage that's only worth 500k.

 

[Booker Carver]

I'd be interested to see the breakdown of what neighborhoods qualify in Charlotte since they're being hush-hush about it. My Zip Code is majority Black/Hispanic but the area I live in is gentrifying due to new developments and because we are on the border of a wealthier Zip Code.

In any case, based on how they handled foreclosures that disproportionately affected black people during the last recession and the hoops they wanted me to jump through for a Home Loan last year I would not want them as my lender. I got on the phone with a Local Lender (not some random Rep on the West Coast) and had everything submitted for approval in less than two hours.

This is PR in my opinion more than anything, all of these programs they pass off to third-parties and when its time for BOA to get involved when its closing time don't be surprised if they drag their feet. Not trying to bash this, but I prefer programs where people can really get equity in the game like Down-payment Assistance and lower interest rates to keep monthly payments low, and build equity. Let another downturn happen when these people have a $2000 mortgage barely scraping by with 45% DTI, and they'll come knocking just like 2008.

I hear you, but those DPA programs aren’t exactly equity building right away. Many of those programs have a 2nd lien on the property that you have to pay back within a certain time frame. The Combined LTV is still 100%. Some programs are forgivable after 3 years, or you’re repaying during that time. If you miss a payment your clock starts over. If you refi or sell within that time you have to pay it back. Often times the rate on DPA programs is worse. Not always though.

Nothing is free. But if you can get control of the asset without putting money down, that’s cool too.

Couldn’t be me tho…

 

[BiggWebb79]