Rates are flat today. Today’s comparison rates with no lender fees are 4.625% for a 30 year, 3.75 % for a 15 year and 3.125% for a 5/1 ARM. (click here for details).
As if floods, tornadoes, forest fires, hurricanes, and other natural disasters aren’t bad enough on their own, getting a mortgage in a disaster area can downright challenging. Today I discuss the top 5 things to be aware of when seeking mortgage financing after a disaster has struck nearby.
It’s all here in today’s episode:
Check out today’s video to see what one man did to save his home from flooding this year. A little imagination and hard work can really pay off. Check it out here.
If you are in any area that is declared a disaster area (whether you were effected by the storm or not), your appraiser will need to address this issue in the appraisal. Here are five items that you need to be aware of when getting a mortgage loan after the disaster strikes:
1. You will need another inspection.
If the appraisal effective date is dated prior to the disaster incident, an interior inspection of your property is needed. This means that if a disaster hits after your appraisal is done and you are added to the disaster area, you will need another interior inspection.
2. The appraiser must certify the property is free from damage and has no effect on value or marketability.
3. These inspections will be required for 120 days from the incident period end date.
4. Properties with non standard appraisals such as drive byes or inspection waivers will not be allowed. A full interior and exterior inspection is required.
5. FHA streamlines with no appraisal require an inspection as well. Value is not considered in this appraisal, just the fact it is free of damage and has no effect on marketability.
These additional inspections will cost you in appraisal fees and time. Keep this in mind when buying and refinancing an official disaster area.
Hey, if you get a chance, I would love it if you could help me in my mission to bring transparency to mortgage lending by sharing today’s episode on Facebook or Twitter. Let’s change the way people shop for a mortgage…forever!
See you tomorrow!
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