EZ Qual

EZ Qual is a very simple tool that will let you know how much you could qualify for a Conventional, FHA or VA loan based on what you think your income and debt is.  If you are a borrower or a real estate agent, we highly suggest you use the Instant PQ tool to get an accurate answer on the spot.

It is good for quick answers if you already know what income and how much of it can be used, and what debt will count against you. It is mostly used by mortgage loan officers to get quick answers, as it will be highly inaccurate if you enter the wrong information.

We hope you enjoy this free quick tool.

The software is currently being developed by Bluecastle Lending. Coming Summer 2018.

Optimal Debt

You may have heard of the term “Debt to Income” ratio, or DTI. That is because, in the mortgage industry, you qualify for a loan according to the income and debt you have. This tool is interesting if you are wanting to qualify for a larger loan amount.

It is very easy for a mortgage company to tell you “pay down your debt” and leave the blank space of how much of it you have to pay down, or simply tell you “you don’t qualify”. Some borrowers owe a lot, and it would be very difficult to pay all the debt off. However, how much should you pay off? To answer this question, we created the Optimal Debt tool.

Your Optimal Debt is a term that it does not exist in the mortgage industry, however, seeing the need for it Bluecastle Lending created it to identify the debt amount that will help you qualify the most without excessively paying down your debt. It is the exact amount of debt that one more dollar in debt will cost you one more dollar in qualifying power.

It will let you know how much is your perfect monthly debt in reference to qualifying for a mortgage, how much of it does not affect you at all for the mortgage, and the point into which every dollar that you pay in monthly debt decreases your qualifying power one additional dollar.

Go ahead and give it a try. It’s free!

The software is currently being developed by Bluecastle Lending. Coming Summer 2018.

 

Cosigner

You want to qualify for a higher loan amount, and after optimizing your debt to achieve this you still are not able to qualify for however much you want. One way to achieve a higher qualifying power is to bring a cosigner into the loan.

Using the cosigner income, you could potentially achieve your goal. How much does your cosigner need to make in order for your to qualify for your desired monthly payment?

The Cosigner tool will answer that question. And the answer it’s free!

The software is currently being developed by Bluecastle Lending. Coming Summer 2018.

Income Tax

More often than not, self-employed individuals have a hard time obtaining financing due to their low Adjusted Gross Income on their personal 1040 Tax Return.

One of the most common questions we receive get is “How much do I have to make in order to qualify to buy a house?”

Our Income Tax tool will easily answer that question instantaneously. As long as you report the minimum Adjusted Gross Income that the tool suggests, and your debt stays the same, you will be able to qualify for a Fannie Mae, Freddie Mac or Ginnie Mae backed loan and get a normal interest rate.

The software is currently being developed by Bluecastle Lending. Coming Summer 2018.

Desired Payment

This tool will let you know how much your desired monthly mortgage payment including principal and interest, real estate taxes, homeowner’s insurance, mortgage insurance (if any) and homeowner’s association fee (if any) will represent on a purchase. How much of a house can the entered monthly payment represent on a purchase? Run the tool and instantly find out. It’s free!

The software is currently being developed by Bluecastle Lending. Coming Summer 2018.

Qualmore

Qualify for More… Qualmore!

How do you achieve this? Qualmore is in development and it will be available Summer 2018. It will utilize all the tools mentioned on this page so you can have an immediate answer to your question… how do you qualify for more? Simply put, you increase your income, you reduce your debt, you put more money down, or a combination of all three. There is nothing else you can do.

  • Increase Your Income

Sounds beautiful. How? Ask for a raise! You will be surprised how many employers will reward their good employees! Alternatively, get a new job that pays you more. If in your new job you are a W2 employee with a higher base income than the one you have now, you will be on your way to qualifying for more. After running Instant PQ, note the results and use our EZ Qual tool and enter the new monthly amount to see how much you would qualify under the new income.

An alternative is to increase your qualifying income is to get a Cosigner. Use our Cosigner tool to know how much your Cosigner needs to make so you can qualify for the loan you want.

  • Decrease Your Debt

Another way to qualify for more is to reduce your debt. Run our Optimal Debt tool to figure out your perfect monthly debt amount so it does not decrease your qualifying power. You pay off those accounts with the excessive debt and it will increase your qualifying monthly power by the monthly amount the debt you paid off was.

For example, if you had a personal loan with a balance of $2,100.00 and a monthly payment of $240.00, if you were going to cancel the entire balance you would qualify for $240.00 extra per month as long as your monthly debt was higher than your Optimal Debt. Depending on a number of factors, eliminating the debt could represent between $35,000.00 and $45,000.00 in extra purchasing power.

  • Put More Money Down

When borrowers are unable to qualify for what they want, they immediately say they need to save more money so they could qualify for more. Although this is true, the number of funds they need to save far exceed the benefit they will receive from saving it.

Our Cost of Waiting tool demonstrates how much you can save week after week and compares it to how much real estate and interest rates increases over the same period of time.

But if you have your money in a 401K or 403b or other types of retirement account, it may be wise for you to use it to purchase what you want while you can. Real Estate has always outperformed investment and retirement accounts, and you can’t eat, shower and sleep inside your 401K but you can do all of that and more in your home. The ideal amount to put down is 20%.

 

The software is currently being developed by Bluecastle Lending. Coming Summer 2018.

Higher Qualifying Power

Your debt-to-income ratio is all your monthly debt payments divided by your gross monthly income.  This number is one-way lenders measure your ability to manage the payments you make every month to repay the money you have borrowed.

To calculate your debt-to-income ratio, you add up all your monthly debt payments and divide them by your gross monthly income. Your gross monthly income is generally the amount of money you have earned before your taxes and other deductions are taken out.  For example, if you pay $1500 a month for your mortgage and another $100 a month for an auto loan and $400 a month for the rest of your debts, your monthly debt payments are $2000. ($1500 + $100 + $400 = $2,000.) If your gross monthly income is $6000, then your debt-to-income ratio is 33 percent. ($2000 is 33% of $6000.)

Evidence from studies of mortgage loans suggests that borrowers with a higher debt-to-income ratio are more likely to run into trouble making monthly payments. Most known lenders cap you at the 43 percent debt-to-income ratio, as that is the highest ratio a borrower can have and still get a Qualified Mortgage.

There are lenders that will only accept loans with a 43% debt to income ratio, but we have several lenders that will accept a 56.99% DTI for FHA, 64.99% of VA and 49.99% for Conventional, Jumbo and Alternative loans. This is a huge difference in your purchasing power.

Furthermore, we let you know the maximum payment you qualify for and we give you access to our mortgage payment and loan estimate calculator, which in turns lets you find properties that are substantially more expensive than most prequalification letters.

Use our FREE Instant PQ to find out how much you can qualify for with us, and then calculate the payment for any property you are interested to find out if you qualify, regardless of what your lender told you! If the payment is lower than the number Instant PQ told you, then you qualify!

How can we do this while others can’t?

Bluecastle Lending is a Mortgage Broker, and this plays a very important role in your mortgage financing. Imagine you want to buy a pair of jeans. You go to the Levy stand-alone storefront and either they are going to have what you are looking for, or not. If they don’t, Levy store is out and you will have to fulfill your jean need somewhere else. You have to start over.

However, if you would have gone to a shopping mall and had a personal guide (instead of a Levy salesperson) that guide could take you to all the jean stores that match what you are looking for, you would find your pair of jeans without issues.

The Levy stand-alone storefront is just one Bank, and you either fit in their lending profile or you don’t. The shopping mall is Bluecastle Lending, who also guides you through the mall, find the best jean according to your body type and specifications, and take you directly to that store without issues or delays so you can enjoy your purchase right away!

Give us a call at 954-866-0000 and speak with one of our qualified licensed mortgage loan officers. You are never under any obligation to use our services, but at least you will know how much you really qualify for!

Subprime Loans for Borrowers with Foreclosures, Short Sales and Bankruptcies

Subprime loans are those loans that are not fit to be sold in the secondary market and do not follow Freddie Mac, Fannie Mae or Ginnie Mae guidelines. Usual loan denials due to foreclosures, short sales, and bankruptcies seasonings are no longer an issue. Below are some of our programs.

  • Non-Prime Program: Mortgage Loan Solution for Foreclosures, Short Sales, Bankruptcies and Low Credit Scores 

1 day out of foreclosure, short sale, bankruptcy or deed-in-lieu
Loans up to $1 million
Credit scores down to 500
Up to 90% LTV
DTI up to 50% considered
Owner-occupied, 2nd homes, and investment properties
Non-warrantable condos considered
Jumbo loans down to 500 score
5/1 ARM or 30-year fixed
No pre-payment penalty for owner-occ and 2nd homes
No active tradelines OK with housing history
SFRs, townhomes, condos, 2-4 units
Seller concessions to 6% (2% for investment)

  • Mortgage Loan Solution for Foreclosures, Short Sales, Bankruptcies and 1-Year Tax Return

2 years seasoning for foreclosure, short sale, bankruptcy or deed-in-lieu
Loans up to $3 million
Credit scores down to 600
Up to 90% LTV with no Mortgage Insurance
100% gift funds allowed
DTI up to 50% considered
Owner-occupied, 2nd homes, and investment properties
Non-warrantable condos considered
Jumbo loans down to 600 score
5/1 ARM or 30-year fixed
No pre-payment penalty for owner-occ and 2nd homes
Asset depletion available – option to qualify with assets instead of income
SFRs, townhomes, condos, 2-4 units
Seller concessions to 6% (2% for investment)
1-year tax return program available

 

For more information please contact Bluecastle Lending at 954-866-0000 or info@bluecastlelending.com

 

Real Estate Investors

  • Real Estate Investor Cash Flow Program: Mortgage Loan Solution for Real Estate Investors

No personal income used to qualify
Qualification based on property cash flow (10% above monthly mortgage payment)
2 years seasoning for foreclosure, short sale, bankruptcy or deed-in-lieu
Credit scores down to 660
Up to 80% LTV
No DTI restrictions
Must have current mortgage / own a home
1-4 units and condos
No limit on number of properties financed (up to 5 with this program)
Loans up to $1 million
Seller concessions allowed up to 2%
7/1 ARM

  • Asset Qualifier Program: Mortgage Solution for Cash-Rich Borrowers

No employment, no income, no DTI
Up to 75% LTV
5 Years seasoning foreclosure, short sale or bankruptcy
Loans up to $3 million (minimum loan $150,000)
Credit scores 700 or higher
Primary residence, purchase only
Interest only program available
5/1 ARM or 30-year fixed
Non-Warrantable condos considered
All assets must be sourced and seasoned for a minimum of 12 months
Required assets: Borrowers must have at least $500,000 in post-closing assets, recurring monthly debt multiplied by 60 months, funds to close and 6 months reserves

  • Hard Equity Loans

Only if you have applied for a Conventional loan and your loan has been denied, or you can’t get any other type of mortgage loan, then this type of loan may be attractive.  These are the “no questions asked” loans for investment properties. It does not matter if you don’t have a social security number, or if you have an open foreclosure, short sale or bankruptcy, or if you can’t show tax returns or pay stubs. The only thing that matter is the loan to value – cannot exceed 70%.

You will have to pay a high-interest until you can qualify to refinance or you sell the property. If some of the above hold true to you, you have 30% to put down, and you are willing to take a two-to-five-year loan with a high interest, then this is the loan is for you.

For information on this program contact us at 954-866-0000 or email us at info@bluecastlelending.com. Bluecastle Lending is an Equal Opportunity Lender

Instant PQ

InstantPQ has the FHA, VA, Conventional and Jumbo mortgage guidelines built in, and as long as you are truthful, you will easily and instantly know if you can qualify to purchase or refinance your home, the same as if you were talking to a Loan Officer, but in five minutes or less and without running credit!

Then you will get live loan options based on your very own borrower profile, and even get to play with our LoanMaster to customize the loan options to the monthly payment you desire, the cash you want to use, and more!

 

 

 

Contact Bluecastle Lending

You are the reason why we come to work every day. We would love to hear from you. We do appreciate and want your business. We are located at 12514 West Atlantic Blvd. Coral Springs, Fl 33071. You can call 954-866-0000 and press 0 for an operator, or enter the four-digit extension number. Email us at info@bluecastlelending.com

Directions to the office:

We are right off the Sawgrass Expressway and Atlantic Blvd. Our office backs up the expressway. Take the Sawgrass Expressway and get off Atlantic Blvd, go east one block and make a right (go south) on Lakeview Dr, immediately entering the Lakeview Plaza (Dunkin Donuts and Subway plaza, across from Church by the Glades) Follow the road to the back of the plaza and look for 12514 as soon as the road curves the second time.
around.

Our business hours are:

Monday 9:00 am until 6:00 pm.
Tuesday 9:00 am until 6:00 pm
Wednesday 9:00 am until 6:00 pm
Thursday 9:00 am until 6:00 pm
Friday 9:00 am until 5:00 pm
Saturday CLOSED
Sunday CLOSED

Providing the Documents For Your Mortgage Loan

Nothing can be done on the file unless we receive all your loan documents, and underwriting decisions cannot be reached without a complete set of those documents. Delivering your documents in a timely manner is really important if closing on time is important to you.

Your very own borrower online portal is the safest and fastest way to deliver your documents.  Login into BluecastleLending.com or use the link and you will be able to upload the documents with ease.

If you have documents that need to be scanned, you could log in to our website from your phone and take clear pictures of the documents. It will convert them to a pdf and will group the pages into one document. If you have documents already in a pdf format, simply upload them. Please note the system only accepts jpg and pdf extensions. 

Usually, the following (initial) documents are needed from each borrower:

1. Social Security Card
2. Driver’s license.

3. Paystubs – last thirty days worth of paystubs
4. Award letter if social security income, disability or pension income.
5. W2 – 2018
6. W2 – 2017
7. Tax return – 2018
8. Tax return – 2017

9. Bank Statement – last month.
10. Bank Statement – month prior to last
11. Retirement / Investment account – last quarterly statement (if any).

 

Apply for mortgage loan

We can take loan applications over the phone – call 954-866-0000, or you could come to our office in Coral Springs.  You can also apply online below.

 

Get Your Mortgage Loan Funded

This page assumes you have a property. It will assume we have pre-approved you and revised most pertinent documents to determine the likelihood of obtaining financing. We would have also generated a Direct Underwriting approval, and we should have had received an Approved / Eligible status. This page will outline for you what you can expect from Bluecastle Lending once you are ready to move forward towards funding your loan.

Getting a Preliminary Closing Disclosure

We will attain a Preliminary Closing Disclosure (Prelim CD) from the title company you selected to handle your closing, so we can find out how much you are going to be charged and accurately will include their fees in your Loan Estimate. On the other hand, if you do not have a preferred Settlement Service Provider, we will place the title order with the title company we normally use.  Their fees are accurately listed in our Loan Estimate tool.

Our Loan Estimate is very accurate and it includes all the fees that you will have at closing, It rarely changes at closing. A few things that will never change will be the interest rate (once locked), our origination charges (none), our underwriting charges (none), our processing charges (usually none unless we outsource it), our flood certification charges (none) and tax certification charges (none)

Providing your documents

Nothing can be done on the file unless we receive all your loan documents, and underwriting decisions cannot be reached without a complete set of those documents. If you take your time delivering documents, this will significantly delay your closing date.

We send you a link to our portal where you upload the documents, which are then sent to processing and then delivered to underwriting once the loan disclosures have been signed. Communication and prompt delivery of the  documents are the key to a smooth closing.

Preparing Disclosures

You will receive, within 3 business days from your loan application an official Loan Estimate plus several other pages worth of different disclosures.  We use digital signatures, which makes it very easy to sign from the convenience of your cell phone, work or home computer.

Paying for the appraisal

You will fill out a credit card authorization form and sign it, which will be given by Bluecastle Lending to the Appraisal Management Company. You will directly pay for the appraisal before closing. Usually, the cost is $425 for VA, $420 for Conventional loans, and $520 for FHA.

Submitting your loan to the lender

Once we have all the documents, we will send it to the Junior Underwriter for review. If there are documents that are missing, the file will be sent back asking for those documents. Incomplete files go into the “sleeping room” until they are complete.

Once the Jr. Underwriter deems to have a complete file without any missing documents, it is passed to the Sr.Underwriter to render a credit decision.

We will get, normally within 24 hours from submission, an Approval subject to Underwriting Conditions. As long as those conditions are met, the loan gets funded.

These conditions usually mean more documents that we need from you. Timely delivering these documents is crucial to get the loan back into underwriting. The Jr. Underwriter will not move the file forward until ALL the documents are received. The file goes back into sleeping mode until the documents are received, which at that point the file gets moved again to the Sr. Underwriter to render a credit decision.  Most underwriters will have 24 to 48 hours to review the file and render that decision. This process gets repeated until we get a beautiful Clear to Close subject to Pre-Funding Quality Assurance.

Receiving the Closing Disclosure

Once we received the Clear to Close, and file has been checked for completeness and passed the Pre-Funding Quality Assurance, it gets moved forward to Scheduling, usually within 1 business day from the Clear to Close date.

Scheduling department will send the Closing Disclosure. Borrowers must acknowledge receipt of this document in order to be able to close. Current banking laws prohibit funding until at least three business days have passed from the acknowledgment day before being able to fund the loan

Correcting Errors in the Closing Disclosure, and finalizing all the numbers.

Usually the Closing Disclosure has several errors that between the Title Company and Bluecastle we get the lender to correct. Once everyone is happy and all the numbers are correct, the final Closing Disclosure is issued and the numbers can no longer be changed.

Closing date

You will wire the amount listed in the Closing Disclosure to the title company. This amount will include all the fees. The title company will also receive the wire from the lender and will disburse to the seller and every other party their respective checks.

After signing documents for a while at the closing table, the package gets sent to the lender and upon receipt, it funds your loan. Congratulations! Your loan just got funded! Enjoy!

Increase your credit score

How do you get your credit score up?

The most common mistake we see on credit reports with low scores is a low number of active accounts, sometimes even none. This is easy to solve.

Increase your credit score: Increase the number of good accounts

Most people will only work on fighting / removing derogatory information and they forget to build positive credit.

If all you have on your credit report is one account, and that account is negative, 100% of your credit is negative. On the other hand, if you had 4 other accounts, 20% of your credit would be negative instead of 100%. Get a new credit card (secured credit card if you have bad credit),  become an authorized user, or both.

Increase your credit score: Become an Authorized User

One of the easiest ways to get positive credit instantaneously is to become an authorized user in someone else’s account that has a low balance, high credit limit on a credit card that has been opened for a long time. You will instantly inherit all their good (and bad) payment history. The results of this one little tool have been nothing short of remarkable.

It is important to know that the owner of the account will not lose any points on their score, or under most circumstances have any consequences to adding you as an authorized user providing you do not get a hold of that credit card.

If you don’t have a family member or friend that can help you out, there are companies that provide you with the service for a fee. Do a Google search for “authorized user tradelines” and see the results. The usual cost is around $500.00 to $600.00 per tradeline.

Increase your credit score: Get a new credit card

Another way is to Google “best-secured credit cards” and take your pick. Get two, don’t use one at all and do not spend more than $10.00 on the second card. Pay the entire bill every month. You can alternate the $10.00 spending every month in between the cards.

increase your credit score: Opt-out of credit offers.

Opting out of unsolicited credit offers via mail, phone calls, and email will rapidly increase your credit score, sometimes even 15 – 20 points. Of course, there is no guarantee on the increase, but certainly worth trying. Visit the FTC website and follow the prompts.

Increase your credit score: Reduce your balances or increase your limit, so you utilize no more than 30% of the high credit

This category considers both your installment loans (e.g. a mortgage or car loan) and your revolving accounts (e.g. credit cards, lines of credit). However, your revolving balances typically cause this category to fluctuate (positively and negatively) more than your installment accounts.

It is how much you owe compared to the credit card’s limit. If you have a $5,000.00 limit card and you owe $2,500, your utilization ratio is 50%. Add up all your limits on all your balances and divide your total balance by your total limit, and that’s your overall debt-to-limit ratio. The lower the overall ratio, the better the score.

• If you can’t pay down the debt, ask for higher credit limits from your credit card companies. Higher limits equal better debt-to-credit-limit ratios.

• Become an authorized user in someone else’s account positive credit card account (with their permission). This will allow the additional available credit to appear on your report and lower your overall utilization ratio–which could lead to score improvement.

• Pay down any cards that are over-the-limit until they are within the limit. This should help you avoid additional over-the-limit fees too.

• Pay down your balances so that no debt’s “utilization ratio” is higher than 30% – ever.

Once below 30%, start paying cards completely off one at a time. Don’t close them once they’re paid – ever.

• If financially possible, pay off your credit card balances to zero monthly. Alternatively, to less than 20%.

Remove Derogatory Accounts:  If your debt is older than seven years.

If you have bad credit whereas the first payment default (and the last payment you made) is older than 7 years, the Fair Credit Reporting Act says it must be removed from your report – by law. I personally researched the statutes (I am not a lawyer nor a credit restoration agency) and I created this letter to write to the bureaus to clean up my own credit report:

CREDIT BUREAU NAME
CREDIT BUREAU PO BOX
CREDIT BUREAU CITY, STATE AND ZIP

Reference:
YOUR NAME
YOUR ADDRESS
YOUR CITY, STATE AND ZIP
YOUR SOCIAL SECURITY NUMBER

Dear CREDIT BUREAU NAME,

Pursuant to the Fair Credit Reporting Act [15 USC 1681] Section 605 (a) (4) ; 605 (c) (1) and 605 (c) (2), the requirements relating to information excluded from consumer reports must be followed by the credit reporting agencies. In my report, there are a number of delinquencies that are still reporting which antedate the report by more than seven years, as evidenced by the creditor self-reported date of first delinquency. It is your obligation to delete the negative items, as follows:

NAME OF CREDITOR – account number. DATE was the last activity on the account, making this account older than seven years. Please remove.

Do this for each account that is older than seven years. Be aware that while you dispute items, you will not be able to secure a mortgage as all disputes must be closed before we pull your credit.

For Experian, the address is P.O.Box 2002 Allen, TX 75013
For Equifax, the address is P.O. Box 740241 Atlanta, GA 30374
For Transunion, the address is P.O. Box 1000 Chester, PA 19022

Get a copy of your credit report, see what is bad, get the address from the bureaus, and mail them a letter.

Remove Derogatory Accounts: Collections

This paragraph works really well with medical collections from hospitals or any collection where you have not signed anything. In the same letter format as outlined above, add to the above letter the collection account information with the following:

NAME OF COLLECTION AGENCY account number. This collection is not valid. Please provide documentation with my signature indicating that I have contracted or agreed for this company to perform any services for me.

On the other hand, if you have a small collection from a service provider (like a cell phone or cable bill), you can call them and apologizing profusely say that you were not aware that you owed them money, and to please delete the collection from your credit report upon you making a full payment for your “had no idea” debt. The key word is deletion from your score. If this collection is within the last 12 months, it will increase your score significantly (after the deletion). Within 4 years it will increase it as well.

You can shop for a mortgage and it will not hurt your credit

You have 45 days to do so, and it will only affect your score once. See more information coming directly from the CFPB: https://www.consumerfinance.gov/ask-cfpb/what-exactly-happens-when-a-mortgage-lender-checks-my-credit-en-2005/

 

Jumbo Mortgage Loans

The conforming limit, which is the maximum loan that Fannie Mae and Freddie Mac will buy in the secondary market varies by location. In most housing markets it’s $453,100.00, and any mortgage loan higher than that is a Jumbo Mortgage Loan. To qualify for a jumbo mortgage today, you should expect to make a down payment of at least 10 percent for a purchase and document your income.

Bluecastle Lending offers both 30-year fixed jumbo loans and adjustable rate
mortgages. Our Jumbo Loan programs do not include mortgage insurance premiums, saving you even more money. Get an instant mortgage rate quote on our Rates page.

With few exceptions, Jumbo Loan borrowers have to furnish financial records documenting that they earn what they say they earn. We require borrowers to fully document two years of income history and to have credit scores of 700 or higher. If this is not possible, visit our pages for Self-Employed loans and Subprime loans.

Among the most competitive 30-year fixed rates in the industry, Bluecastle Lending offers incentives on all purchase transactions. From primary homes to investment properties, Bluecastle Lending provides jumbo loans up to 90% LTV with no PMI, with clear, hassle-free guidelines.

• Eligible for primary, secondary and investment properties
• FICOs as low as 700
• Up to 90% LTV with no PMI
• Up to 50% DTI with 80% loan to value
• Loan amounts up to $3,000,000
• Fixed rate and ARM loans available

For information on this program contact Bluecastle Lending at 954-866-0000, email info@bluecastlelending.com.  Bluecastle Lending is an Equal Opportunity Lender

Conventional loans – Up to $453,100.00

Conventional mortgages are ideal for borrowers with good or excellent credit. They follow fairly conservative guidelines.

• Borrower credit scores: Minimum 620
• Minimum down payments: Minimum 3% with Home Ready Fannie Mae program or 5% for everything else.
• Debt-to-income ratios: Maximum 49.99% vs 56.99% for FHA and 64.99% for VA.
• Low down payment required (3 percent minimum)
• Mortgage insurance is required for loans exceeding 80 percent loan-to-value however, we have lender paid MI financing. See our No PMI page.
• Conventional mortgage insurance is only monthly or single premium (FHA upfront and monthly premiums, and VA has a similar fee called Funding Fee)
• Conventional mortgage insurance is very credit sensitive but will automatically end at 78 percent loan-to-value. (FHA will stay for the entire life of the loan)
• Conventional loans can cover a higher loan amount; up to $453,100.00 vs. $345,000.00 for FHA. Loan amounts over $453,100.00 become “Jumbo loans”.
• Even though conventional loans may have higher interest rates, their monthly payments may still be lower.

We have excellent Conventional loan rates although most of our clients putting less than 20% down payment will prefer not to pay mortgage insurance and they elect Bluecastle Lending’s No Mortgage Insurance program as the payments are usually lower

For information on this program contact us at 954-866-0000 or email us at info@BluecastleLending.com. Bluecastle Lending is an Equal Opportunity Lender

Veteran affairs loans – VA

A VA loan is a mortgage loan that’s backed by the Department of Veterans Affairs (VA) for those who have  served or are presently serving in the U.S. military. While the VA does not lend money for VA loans, it backs
loans made by private lenders (banks, savings and loans, or mortgage companies) to veterans, active military personnel, and military spouses who qualify.

There are many benefits to a VA loan, but one of biggest benefits is that no down payment is needed to purchase a home. This can make home ownership a reality for active military or veterans who might otherwise not be able to afford it. VA loans are designed for military personnel, veterans, and military families. The list of those who are eligible for this home-buying military benefit include:

•        Veterans
•        Active-duty personnel
•        Reserve  members
•        National Guard members
•        Some surviving spouses

You must also have suitable credit, sufficient income, and a valid Certificate of Eligibility (COE). And you must use the home for your own personal occupancy. Still unsure if you’re eligible? Check the Department of Veterans Affairs website for a detailed list of eligibility requirements for military service members, veterans, and military spouses.

The VA loan program is offers some of the most attractive and flexible loans available, and they are exclusively  for military personnel, veterans and their families. Perhaps the two biggest benefits that make these loans more
affordable than a typical loan are that the borrower typically does not need to make a down payment, and there  is no private mortgage insurance (PMI) requirement.

Here’s a look at the list of benefits, as taken directly from the Veterans Affairs site:

•        No down payment required (unless required by the lender or the purchase price is more than the reasonable value of the property).
•        Negotiable and competitive interest rate.
•        Ability to finance the VA funding fee (plus reduced funding fees with a down payment of at least
5 percent and exemption for veterans receiving VA compensation).
•        VA rules limit the amount you can be charged for closing costs.
•        Closing costs are comparable with other financing types (and may be lower).
•        Closing costs may be paid by the seller.
•        No private mortgage insurance premiums are required.
•        An assumable mortgage.
•        Right to prepay your mortgage without penalty.

How Big of a VA Loan Can Veterans & Military Personnel Get?

According to the VA there is “no maximum that an eligible veteran may borrow using a VA-guaranteed loan.”
However, there are county limits that must be used to calculate the VA’s maximum guaranty amount for a particular county. In other words, there’s no limit to how much you can spend on your new home with a VA loan,  but the VA has limits on how much liability it will assume, which can affect the amount of money your lender will  let you borrow.

Generally, eligible veterans or military personnel can get loans up to $417,000 with no money down.

How much are the Closing Costs on an VA guaranteed loan?

Some of your VA loan closing costs may–after being negotiated between buyer and seller–be paid by the seller within the boundaries of the VA loan program’s rules. The borrower also has the option to pay some closing costs out of pocket, which in South Florida they typically are about six percent of the gross selling price.
During the market recession when it was a buyer’s market, we used to get the seller to pay all of the closing  costs. Today in South Florida however, its a seller’s market and this could be very difficult to achieve. This is
one of the reasons we have the CCAP program.

How much cash do I need for a VA loan with the Closing Cost Assistance Program (CCAP)?

The below chart is an illustration of how much a borrower will approximately need as the total cash to close.
This chart was created with the pricing and interest rates on May 11th, 2016. The rate was 4% and the APR was 4.32% (the APR includes the upfront MIP expressed as a finance charge and it does not take into account the funds credited to you)

How much cash do I need with the Closing Cost Assistance Program (CCAP)?

The below chart is an illustration of how much a borrower will approximately need as the total cash to close. This chart was created with the pricing and
interest rates on May 11th, 2016. The rate was 4% and the APR was 4.15%.

Purchase Price 580 Score 600 Score 620 Score 640 Score 660 Score 680 Score 700 Score 720 Score
$150,000.00 $5,098.00 $5,098.00 $3,786.00 $2,661.00 $2,473.00 $2,286.00 $2,2864.00 $1,911.00
$200,000.00 $5430.00 $5,430.00 $3,680.00 $2,180.00 $2,000.00 $2,000.00 $2,000.00 $2,000.00
$250,000.00 $6,702.00 $6,702.00 $4,514.50 $2,639.00 $2,500.00 $2,500.00 $2,500.00 $2,500.00
$300,000.00 $7,549.00 $7,549.00 $4,924.09 $3,000.00 $3,000.00 $3,000.00 $3,000.00 $3,000.00
$350,000.00 $8,282.00 $8,282.000 $5,219.00 $3,500.00 $3,500.00 $3,500.00 $3,500.00 $3,500.00
$400,000.00 $8,995.00 $8,995.00 $5,495.00 $4,000.00 $4,000.00 $4,000.00 $4,000.00 $4,000.00

For information on this program contact Bluecastle Lending at 954-866-0000, email alex@BluecastleLending.com . Bluecastle Lending is an Equal
Opportunity Lender

Federal Housing Administration Loans – FHA

The FHA, or Federal Housing Administration, provides mortgage insurance on loans made by FHA-approved lenders.  It is the largest insurer of residential mortgages in the world, insuring tens of millions of properties since 1934. The federal government insures loans for FHA-approved lenders in order to reduce their risk of loss if a borrower defaults on their mortgage payments

FHA loans are very popular, especially with first-time home buyers because the requirements are less strict than conventional loans. Borrowers can qualify for an FHA loan with a down payment as little as 3.5% and a credit score of 580 or higher. The borrower’s credit score can be between 500 – 579 if a 10% down payment is made.

How long an FHA borrower has to wait to buy again? 

Another advantage of an FHA loan is for borrowers who have undergone a bankruptcy, short sale or a foreclosure. The event seasoning requirement is much shorter than conventional loans.  For Chapter 7 Bankruptcy is 2 years from discharge. For Chapter 13 Bankruptcy is 1 year of payment period with satisfactory performance and permission from the court. For Short Sales and Foreclosures, the seasoning is 3 years from completion.

Mortgage Insurance is Required for an FHA Loan

FHA loan requires two kinds of mortgage insurance premiums: one that can be financed into the mortgage, and the other one in the monthly payment.

Upfront mortgage insurance premium (UFMIP) — this is a one-time upfront monthly premium payment, which means borrowers will pay a premium of 1.75% of the home loan, regardless of their credit score. Example: $300,000 loan x  1.75% = $5,250.00

Annual MIP (charged monthly) — Called an annual premium, this is actually a monthly charge that will be figured into your mortgage payment. The amount of the mortgage insurance premium is a percentage of the loan amount,
based on the borrower’s loan-to-value (LTV) ratio, loan size, and length of loan:

Loan Term LTV Ratio Annual Insurance Premium
30 years 95% or less 0.80%
30 years Over 95% 0.85%

For example, the annual premium on a $300,000 loan with term of 30 years and LTV less than 95 percent  would be  $2,400:  $300,000 x 0.80% = $2,400. To figure out the monthly payment, divide $2,400 by 12 months = $200. So,  the monthly insurance premium would be $200 per month.

How Long Do Borrowers Have to Pay FHA Mortgage Insurance

The duration of your annual MIP will depend on the amortization term and LTV ratio on your loan origination date.  For loans with FHA case numbers assigned on or after June 3, 2013 borrowers will have to pay mortgage insurance for the entire loan term if the LTV is greater than 90% at the time the loan was originated. If your LTV was  90% or less, the borrower will pay mortgage insurance for the mortgage term or 11 years, whichever occurs first.

Term Loan-to-Value (LTV) Ratio Duration
15 years or less 78% or less 11 years
15 years or less 79-89% 11 years
15 years or less 90% or higher Full loan term
Over 15 years 78% or less 11 years
Over 15 years 79-89% 11 years
Over 15 years 90% or higher Full loan term

FHA Loan Limits

The Federal Housing Authority sets maximum mortgage limits for FHA loans that vary by state and county. Instant PQ will let you know the maximum loan amount in your county. In  Broward, Dade and Palm Beach counties, you may be able to get financing for a loan size up to $345,000.00 with a
3.5 percent down payment. Conventional financing for loans that can be bought by Fannie Mae or Freddie Mac are currently at $453,100.00 before it becomes a Jumbo loan.

How much are the Closing Costs on an FHA loan?

Some of your FHA loan closing costs may be financed (like upfront MIP), and some may–after being negotiated between buyer and seller–be paid by the seller within the boundaries of the FHA loan program’s rules. The
borrower also has the option to pay some closing costs out of pocket, which in South Florida with most lenders they typically are about six percent of the gross selling price. However, with Bluecastle Lending your settlement charges are substantially lower, as we do not charge you any fees. You can get an instant estimate by visiting our Loan Estimate page.

During the market recession when it was a buyer’s market, we used to get the seller to pay all of the closing costs. Today in South Florida however, its a seller’s market and this could be very difficult to achieve. This is one of the reasons we have the CCAP program.

How much cash do I need using the Closing Cost Assistance Program (CCAP)?

The below chart is an illustration of how much a borrower will approximately need for everything, including down payment and settlement charges. You can also get an instant estimate by visiting our Loan Estimate page.

Purchase Price 580 Score 600 Score 620 Score 640 Score 660 Score 680 Score 700 Score 720 Score
$150,000.00 $8,962.50 $8,962.50 $8,056.50 $7,119.00 $6,931.50 $6,744.00 $6,744.00 $6,369.00
$11,692.00 $11,692.00 $10,442.00 $9,192.00 $8,942.00 $8,692.00 $8,692.00 $8,192.00
$250,000.00 $14,615.00 $14,615.00 $13,052.50 $11,490.00 $11,177.50 $10,865.00 $10,865.00 $10,240.00
$300,000.00 $17,538.00 $17,538.00 $15,663.00 $13,788.00 $13,413.00 $13,038.00 $13,038.00 $12,288.00
$350,000.00 $20,286.00 $20,286.00 $18,098.50 $15,911.00 $15,473.50 $15,036.00 $15,036.00 $14,161.00

How Do You Get an FHA loan?

The process is simple. You call Bluecastle Lending and speak with a Mortgage Loan Originator. The MLO will ask you a few preliminary questions to make sure you are likely to qualify for a loan before even pulling credit or getting any personal information. Typical questions before filling out a loan application are:
•        Do you know what your credit score is?
•        How much money do you have to buy a house?
•        What price range are you considering?
•        Have you had any short sale, foreclosure, BK, judgments or liens?
•        Are you employed or self-employed?
•        If self-employed, have you filed your 2017 and 2016 taxes and if so, how much is your Adjusted Gross Income?

Alternatively, you can run Instant PQ and get an instant answer as to whether or not you would qualify for the loan.

FHA Loan Interest Rates

Bluecastle Lending interest rates are amongst the lowest mortgage rates in the country, and your 30-year fixed rate will depend on how good your credit score is. The lender contribution could be applied to bring your interest rate
down (substantially), or to pay for your closing costs (substantially). Adjustable rate mortgages are also available through FHA however, unless you are planning on living on the property a very short period of time, we do not
recommend it.

You can also get an instant mortgage rate quote through our automatic pricing engine.

Closing Cost Assistance Program – CCAP

A typical FHA buyer will need $28,500.00 to purchase a $300,000.00 home. With the Closing Cost Assistance Program (CCAP) the same scenario requires only $12,300.00, saving the borrower $16,200.00 out of their pocket!

For a $200,000.00 home, a typical buyer will need $19,000.00. Borrowers applying for a mortgage loan and securing financing through Bluecastle Lending, the exclusive provider of CCAP, will only need as little as $8,200.00

For VA borrowers the numbers are astonishing. Even though VA loans require no down payment, United States veterans still need to come up with the funds for the closing costs.

Usually, these closing costs are 6% of the purchase price – veterans normally need $18,000.00 for a $300,000.00 home however, for qualified borrowers using the  Closing Cost Assistance Program it could be as little as $3,000.00; that is about  $15,000.00 saved.

The program accepts credit scores as low as 660 and it is for 30 year fixed government-sponsored loans. There is no income ceiling, ownership restrictions, selling restrictions,  mandatory seminars, waiting periods and the assistance does not have to be paid back. The only requirement for the program is the borrowers purchase their home through an affiliated real estate broker.  Although this program was designed to help first time home buyers, being a first time home buyer is not a requirement. CCAP applies to primary residences, loan amounts over $150,000.00, single-family homes and borrowers that will qualify for VA or FHA loan and purchase real estate with Bluecastle’s affiliated real estate company, Baglioni Real Estate.

Watch this three-minute video that explains in simple terms how it works:

Below find the chart that lets you know how much money most of our clients need TOTAL to purchase real estate based on their credit score, loan type and purchase price using our Closing Cost Assistance Program. This is the total cash they will need, and it includes insurance, escrows, pre-paids, title fees, mortgage fees, etc. For example, a $150K buyer will need approximately $8,962.50 if the credit score is 580, or $6,369.00 if the credit is 720. A $300K FHA buyer will need $13,038.00 with a 680 score.

FHA LOANS

Purchase Price 580 Score 600 Score 620 Score 640 Score 660 Score 680 Score 700 Score 720 Score
$150,000.00 $8,962.50 $8,962.50 $8,056.50 $7,119.00 $6,931.50 $6,744.00 $6,744.00 $6,369.00
$200,000.00 $11,692.00 $11,692.00 $10,442.00 $9,192.00 $8,942.00 $8,692.00 $8,692.00 $8,192.00
$250,000.00 $14,615.00 $14,615.00 $13,052.50 $11,490.00 $11,177.50 $10,865.00 $10,865.00 $10,240.00
$300,000.00 $17,538.00 $17,538.00 $15,663.00 $13,788.00 $13,413.00 $13,038.00 $13,038.00 $12,288.00
$350,000.00 $20,286.00 $20,286.00 $18,098.50 $15,911.00 $15,473.50 $15,036.00 $15,036.00 $14,161.00

VA Purchase – Regular Army – 1st Use

Purchase Price 580 Score 600 Score 620 Score 640 Score 660 Score 680 Score 700 Score 720 Score
$150,000.00 $5,098.00 $5,098.00 $3,786.00 $2,661.00 $2,473.00 $2,286.00 $2,2864.00 $1,911.00
$200,000.00 $5430.00 $5,430.00 $3,680.00 $2,180.00 $2,000.00 $2,000.00 $2,000.00 $2,000.00
$250,000.00 $6,702.00 $6,702.00 $4,514.50 $2,639.00 $2,500.00 $2,500.00 $2,500.00 $2,500.00
$300,000.00 $7,549.00 $7,549.00 $4,924.09 $3,000.00 $3,000.00 $3,000.00 $3,000.00 $3,000.00
$350,000.00 $8,282.00 $8,282.000 $5,219.00 $3,500.00 $3,500.00 $3,500.00 $3,500.00 $3,500.00
$400,000.00 $8,995.00 $8,995.00 $5,495.00 $4,000.00 $4,000.00 $4,000.00 $4,000.00 $4,000.00

For information on this program contact Bluecastle Lending at 954-866-0000 or email info@bluecastleLending.com . Bluecastle Lending is an Equal Opportunity Lender

About Us

Bluecastle Lending, Realty & Title primarily services Broward, Palm Beach & St. Lucie counties, however, we do loans & title all throughout Florida.

We offer some unique and almost unfair Buyer advantage like one-stop-shop, finding the best deal in the market for the buyer’s taste & budget the first day looking, offering up to $13,300.00 in financial assistance for FHA & VA buyers, and proprietary software that allows buyers to find their home based on how much they would like to pay per month rather than just purchase price.

We are currently located in Coral Springs, FL, with more offices coming up soon. Bluecastle Lending NMLS# is 1463069. We have an A+ rating with the  Better Business Bureau, and we also are a 5 star business with Google.

Alex Baglioni

Founder & CEO - Sr. Mortgage Loan Originator MLS 1405103, Lic Real Estate Broker BK657296, Lic Title Agent W022640
I have been in the industry since 1997 and I am the Principal Loan Originator and Owner of Bluecastle Lending, Broker and Owner of Bluecastle Realty, and the Agent in Charge and Owner of Bluecastle Title. I work in conjunction with our Realtors and Mortgage Loan Originators to ensure we close our files, with over 95% application/funding ratio. My goal is for Bluecastle Lending to offer the lowest interest rates and settlement charges in the state, program and develop new software tools to aid borrowers and real estate agents get answers on the spot with the ultimate objective of delivering the best possible consumer, realtor, loan originator and loan processing experience. Other than living and breathing mortgage financing, real estate, title and the programming of our software, I am married with 3 kids, and I enjoy my family, boating, diving, and you can find me almost every weekend in the Florida Keys!
954-866-0000 X 1001 or 954-633-7897
alex@bluecastlelending.com

Angela Calabra

Sr. Mortgage Loan Originator - NMLS 381488
I have been in the mortgage industry since 2011. As an experienced Mortgage Loan Originator, I strive to get you the best possible mortgage with the best terms and lowest interest rate. Due to my creative thinking, experience and dependability, I rarely get loan denials. I work closely with processing, your realtor and your seller to ensure a timely, smooth and trouble-free closing.
954-866-0000 X 1001
angie@bluecastlelending.com

Maria Baglioni

Spanish Mortgage Loan Processor
Mi trabajo en Bluecastle es hacer que nuestros clientes de habla hispana se sientan comodos a traves de la compra de su nueva casa. Estoy llena de entusiasmo y energia positiva, y creo muchisimo en los resultados de trabajo en equipo.
954-866-0000 X 1011 or 954-869-4051
silvana@bluecastlelending.com

Luis Gardes

Lic. Real Estate Agent - SL#3444947
Luis' work ethic, honesty, and ability to speak fluent Spanish in combination with Bluecastle Lending programs for the consumer make this team an unstoppable force. Luis' main job is to help the community cross the bridge from renting to homeownership, minimize the risk of pitfalls, and achieve the goal with the least amount of obstacles. With the aid of Bluecastle Lending's software, financial aid programs, and Alex, delivering those goals seem like a walk in the park. Contact Luis for a smooth and easy walk to homeownership.
954-866-0000 X 1019 or 954-639-9452
luis@bluecastlelending.com

Alan Elshakhteria

Lic. Real Estate Agent - SL# 3496247
This is the job that I love to do! I love my client's smiles; I love helping them and making them happy, especially when they become homeowners for the first time. My goal is always to deliver exceptional customer service, and I believe it is what has made me very successful. Let me help you to buy your new home and you will see how I make it simple and clear.
954-866-0000 X 1004 or 954-368-0088
alan@bluecastlelending.com

Leandro Vazquez

Spanish Customer Service Advocate
My job at Bluecastle is to provide confidence and security to our Spanish-speaking clients so that the experience of buying their home is as easy, fast, and efficient as possible. I characterize myself for being patient and at the same time very active, always looking for our clients feel comfortable with our company throughout the process of buying their new home. Mi trabajo en Bluecastle Lending es brindar confianza y seguridad a nuestros clientes de habla hispana, para que la experiencia de la compra de la casa sea lo mas fácil, rápida y efficient posible. Me caracterizo por ser paciente y a la vez muy activo, buscando siempre que nuestros clients se sientan cómodos con nuestra compania en todo el proceso de compra de su nuevo hogar..
954-866-0000 X 1011 or 954-424-3972
leandro@bluecastlelending.com