During a recent loan pre-qualification process a mortgage applicant disclosed that he wanted to put 10% down on the purchase using money from his 401(k). We quickly pointed out that this may not be a good idea – considering the impact of taxes, withdrawal penalties and loss of future earnings. Additionally, since this borrower qualified [...]

HUD finally published the new loan limits for Maricopa and Pinal Counties. The new mortgage loan limits are the same for both counties and are as follows: Single Family: $346,250 Two Family: $443,250 Three Family: $535,800 Four Family: $665,850 These loan limits are effective immediately, but there is some lag time since the investors who [...]

A reader reacts to my post titled “Why Lenders Care About Credit Scores” and sends this excellent question: How much more of a positive effect does putting a greater percentage down on the home purchase vs. a low credit score. For example, if I have a credit score of 620, but put down 20% down, [...]