This should be interesting.... again...

[Boat 405]

​ ​ United Wholesale Mortgage (UWM) is offering mortgage borrowers a traditional 30-year mortgage for 97% of the purchase price and a 3% interest-free loan for the remaining 3%. The 3% interest-free loan does not accrue interest, but the loan must be paid back if you sell the home or refinance the mortgage. In other words, a borrower does not come to the settlement table with cash and thus has zero home equity on day one. Didn't we learn from the last time?​

 

[whiteworks]

I don’t see what could possibly go wrong

That being said this type of loan is gonna get some people in the game and some of those people may be able to stay in.

 

[Ducksquasher]

Is this real?

 

[brianwhiteboy]

May 16, 2024 - UWM Announces Zero Percent Down Purchase Program

UWM announced 0% Down Purchase, a program aimed to help more borrowers become homeowners without an upfront down payment

www.uwm.com

 

[JDKRXW]

And if a correction in the market happens and your house bankrupts you (like last time); that loan will be tied to your left testicle with special conditions attached (like bankruptcy laws not applying and crazy terms getting applied) -- so you will never get out from under it.

 

[n2otoofast4u]

What does $15K really bring to the table in way of getting people into houses? Isn't it still going to take another $50-$60k to get the deal done?

 

[warpt71]

Perfect! I can finally buy the home of my dreams!!!

4026 Challenger Cir, Lake Havasu City, AZ 86406 | Zillow

This 1398 square feet Single Family home has 3 bedrooms and 2 bathrooms. It is located at 4026 Challenger Cir, Lake Havasu City, AZ.

www.zillow.com

My 3% down payment is only $11,250 and my monthly payment is $2,705

 

[Tamalewagon]

This is for loan amounts up to $500K and you have to meet a certain income qualification. It is meant for low income housing. We have this product and it is on a 30 year fixed not a negative amortization loan.

 

[Englewood]

Fixed rate and still need to actually qualify. Nothing compared to 06-08 loans.

 

[Tamalewagon]

And if a correction in the market happens and your house bankrupts you (like last time); that loan will be tied to your left testicle with special conditions attached (like bankruptcy laws not applying and crazy terms getting applied) -- so you will never get out from under it.

Not accurate.

 

[RichL]

This is for loan amounts up to $500K and you have to meet a certain income qualification. It is meant for low income housing. We have this product and it is on a 30 year fixed not a negative amortization loan.

Somehow the term low income housing and the $500,000.00 amount just don't equate in my feeble head. I'll just be polite and stop there.

 

[Tamalewagon]

Somehow the term low income housing and the $500,000.00 amount just don't equate in my feeble head. I'll just be polite and stop there.

Believe me...I share your sentiment.

 

[attitude]

Somehow the term low income housing and the $500,000.00 amount just don't equate in my feeble head. I'll just be polite and stop there.

Nothing like low income and $4,000 monthly mortgage payments.

 

[bonesfab]

Somehow the term low income housing and the $500,000.00 amount just don't equate in my feeble head. I'll just be polite and stop there.

4 families, each one gets a bedroom.

 

[HNL2LHC]

What does $15K really bring to the table in way of getting people into houses? Isn't it still going to take another $50-$60k to get the deal done?

Well they are making those less knowing think that they are getting a deal. There will be other fees that you will have to pay like PMI because of the low down payment. Looks like you will be able to get a house 500K or less with the 3% at 15k. Like someone else noted you are going to be tied to that rate and other obligations for quite some time.

 

[HNL2LHC]

Perfect! I can finally buy the home of my dreams!!!

4026 Challenger Cir, Lake Havasu City, AZ 86406 | Zillow

This 1398 square feet Single Family home has 3 bedrooms and 2 bathrooms. It is located at 4026 Challenger Cir, Lake Havasu City, AZ.

www.zillow.com

My 3% down payment is only $11,250 and my monthly payment is $2,705

Sweet tire garden.

 

[Sherpa]

San Jose Bay Area looow end homes in undersirable east-side are no less than 900k.

So in Calif cities the costs are astronomical.

 

[Hypnautic]

We offer a 1st Generation program. Our own specialty lending program through Freddy--no other lender has this. There are some similar.
97% LTV with 2% grant up to 105% CLTV with DPA. No pricing adjusters (LLPA) and PMI is based off of HomePossible. for reduced MI
Up to 140% AMI (Area Median Income). DTI to follow LP. 620fico up to conforming loan limit.

Must certify that buyers are 1st Generation Homebuyers. Neither buyer(s) or buyers Parents have been homeowners in past 3 years.

Example:
$400k purchase
$388k loan (1% down with 2% grant)
6.875% at par
$2549 PI + $274.83MI ++

 

[OldSchoolBoats]

Fixed rate and still need to actually qualify. Nothing compared to 06-08 loans.

This is RDP brother, everything is like 06-08 now. The crash is coming any day now from all the bad loans that nobody can afford.

 

[angiebaby]

I doubt anyone in CA would be able to take part in this. But the people in Free America can.

https://www.zillow.com/homedetails/4540-Kerrick-Ln-Louisville-KY-40258/73582277_zpid/

https://www.zillow.com/homedetails/21516-Highway-32-Blaine-KY-41124/115377571_zpid/

https://www.zillow.com/homedetails/313-Bensman-Ave-New-Haven-IN-46774/73130296_zpid/

https://www.zillow.com/homedetails/62488-Vaughan-Dr-California-MO-65018/114960402_zpid/

All decent homes with payments likely around $2k after PMI


And I still think it's a terrible idea. If you want a 0 down loan, join the military.

 

[COCA COLA COWBOY]

This is RDP brother, everything is like 06-08 now. The crash is coming any day now from all the bad loans that nobody can afford.

You kidding right? You're the most positive person I know. I've never heard you speak about any type of crash in the last 12 years.

 

[OldSchoolBoats]

You kidding right? You're the most positive person I know. I've never heard you speak about any type of crash in the last 12 years.

I was trying to lay the sarcasm on pretty thick here......

 

[240Hallett]

You kidding right? You're the most positive person I know. I've never heard you speak about any type of crash in the last 12 years.

I caught a hint of sarcasm in O.S.B.‘s comment.

And I responded too slow.

 

[HNL2LHC]

I was trying to lay the sarcasm on pretty thick here......

I caught it Joe!!