Thursday, May 29, 2014

Aging Parents

Adult children may purchase a primary residence for their elderly parents and it's considered a Primary Residence (not 2nd home, not investment).  This allows for the most favorable rates and terms.

Here are the requirements ... 

·         Adult children purchasing or refinancing (NCO refinance only) a primary residence for elderly parent(s) who are unable to work or have insufficient income to qualify for a mortgage (Max LTV subject to MI eligibility requirements)
o    Elderly parents must be unable to work or not have sufficient income to qualify for a mortgage on their own. The adult child must provide a letter of explanation outlining the intent to purchase a home for elderly parents who are financially limited
o    The parent(s) will occupy the subject property as their primary residence
o    The adult child may already own his or her own primary residence
o    Assisting an elderly parent has no distance requirements on where the adult child’s primary residence is located
o    Property must be registered, underwritten and priced as a primary residence
o    The subject property must be submitted to DU as the primary residence and the borrower’s current primary residence will be listed as other real estate owned
o    The parent(s) and adult child can both apply for the loan, but the child is the primary source of qualification. The parent is not required to be on the loan

o    Title must be in the borrower(s) name, but the elderly parent(s) may also be on the title

Thursday, May 15, 2014

The Labor Department reported today that Weekly Initial Jobless Claims fell by 24,000 in the latest week to 297,000, the lowest level since May 2007. The labor markets have been improving since the big chill of winter has given way to the spring thaw.