Using Airbnb Income On A Mortgage Application
Mortgage Rates Rise 0.50 Percentage Points
Let’s pick up today where we left off in the last episode — with mortgage rates.
Because they’re a force right now.
Since the start of the year, which was only a few weeks ago, 30-year fixed rates across all loan types are up about 50 basis points, or 0.5 percentage points — and that’s a lot.
We have to go back to 2009 to find a time when mortgage rates spiked with this much force.
So, home buyers: if you were looking at a mortgage payment of a $1,000 per month for that future home on January 1, today that payment’s $1,075.
That’s $900 extra dollars per year and if you think a change like that won’t affect your pre-approval, think again.
Get with your lender today to double-check that pre-approval of yours or, if you’re not working with a lender just yet, click the link in the description and we’ll get you connected with one straight away.
Today’s Mortgage Rates
Mortgage rates. They’re bonkers.
Not because they’re higher but because they’re all over the place.
It’s tough to pin them down, they’re changing so fast. Two or three times as fast as usual.
So here’s about where we’re at about now.
- 30-year rates for conforming loans are 4.375
- FHA mortgage rates are near 4.25 percent
- VA and USDA mortgages are also near 4.125 percent
Rates vary by lender and how you put your loan together affects your rates, too.
If you take your lender’s zero-closing cost option, for example, you can expect to get a higher rate. On the plus side, somebody else will be paying the freight of your fees.
Zero-closing cost loans are just one of your options with your mortgage so ask your lender what might work best for you.
Lenders Allow Airbnb Income For Your Next Mortgage
A new loan option’s got homeowners saying “all right”.
Fannie Mae has just announced its backing for Airbnb-sourced income as part of a your mortgage application which means you can turn those sometimes-rentals into line-items on your loan app.
This is a major win for the Gig Economy, which is characterized by people taking their idle assets —
their homes in this case — and turning those assets into income.
It also reminds us that the invention of the telephone wasn’t so important. It was the second telephone that mattered.
Because lenders have been saying they’ll do gig economy homes for years but, until now, those loans were kept in portfolio at high mortgage rates and with challenging standards of proof.
A “quagmire”, maybe?
With Fannie Mae’s backing, those loans now have places they can go. The process is cheaper, faster, and easier, and that’s got everyone saying “giggity”.
Click the button below for more on today’s gig economy mortgage loan options.
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