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Exciting news. The new enhanced HomeReady program is increasing access to homeownership!

HomeReady® offers an ideal mortgage solution for both first-time and repeat buyers with a low-down payment and flexible financing. To assist very low-income purchase borrowers, Greenway Mortgage now offers a $2,500 credit applicable to down payment and/or closing costs.

The New HomeReady® Program Highlights

  • Borrowers must have a qualifying income of less than or equal to 50% of the applicable area median income of the property’s location.

  • The $2,500 credit must be provided upfront to the borrower and can be applied towards down payment and/or closing costs, including mortgage insurance premiums.

Ideal For:

  • Very low-income individuals

  • First-time or repeat homebuyers

  • Those with limited cash for down payment

  • Supplemental boarder or rental income

What You Need to Know

While HomeReady® offers incredible benefits, it's essential to understand the details:

  • Homeownership Education: If all occupying borrowers are first-time homebuyers, then at least one borrower is required to take homeownership education, regardless of LTV.  It’s a small investment in knowledge that can yield significant rewards in your homeownership journey.

  • Act Now: The $2,500 credit is only available until February 15, 2025. Don't miss out on this limited-time opportunity to take advantage of the HomeReady® program.

Eligibility requirements, exclusions and other terms and conditions apply.

Embrace the Journey with HomeReady®

Are you ready to take the next step towards homeownership? Reach out today to see if you qualify or to get pre-approved. The Greenway Mortgage Team is here to guide you every step of the way on your journey to owning your dream home.

Helpful Resources

Contact Greenway Mortgage Funding Corp

 


 

Exciting News for Aspiring Homebuyers in New Jersey!

We’re excited to announce that the state of New Jersey will now offer a new home buying program that’s set to transform the landscape of homeownership, offering an enhanced and more affordable path for first-time home buyers to turn their homeownership dreams into a reality.

Introducing The Smart Start Plus First-Generation Homebuyer Program

Available on October 20, 2023, the Smart Start Plus First-Generation Homebuyer Program is designed to deliver substantial down payment and/or closing cost assistance to qualified homebuyers. Let's delve into the finer details:

This new program extends a generous $7,000 toward down payment and closing costs. But when combined with an NJHMFA First Mortgage and the Down Payment Assistance Program (DPA), potential homebuyers could receive up to an impressive $22,000. The amount varies based on the county where the property is located. For a more comprehensive breakdown, refer to the chart below.

What is DPA?

  1. The DPA is a forgivable loan with no interest and no monthly payments for eligible homebuyers purchasing a home in New Jersey.

What is First-Generation Homebuyer DPA?

  1. The First-Generation Homebuyer DPA is forgiven if the Borrower resides in the premises as his/her principal residence for five years from the loan closing date and does not refinance or otherwise convey the first mortgage.

Program Details

  1. Owner occupied, primary residence in New Jersey.

  2. 30-year Fixed Rate Mortgage Options Available for Home Purchases Only

  3. $22,000 for Down Payment & Closing Costs when paired with DPA in certain NJ counties*

The Fine Print:

  1. Must be a first-generation homebuyer**

  2. Minimum credit score 620; must meet DTI requirements.

  3. Must be paired with an NJHMFA first mortgage loan and the DPA; DPA is a forgivable loan with no interest and no monthly payments.

  4. Single-Family Properties, Condo, Townhome, Co-ops, 2-4 units

  5. Ineligible for Police & Fireman Program

  6. Eligibility requirements, exclusions and other terms and conditions apply.

*Bergan, Essex, Hudson, Hunterdon, Mercer, Middlesex, Monmouth, Morris, Ocean, Passaic, Somerset, and Union Counties.

Who is considered a first-generation homebuyer?

**A first-generation homebuyer is defined as a first-time homebuyer who is either:

A:  An individual whose parents or legal guardians do not own any residential property in the United States or abroad, and whose spouse, domestic partner, and household members have not owned a principal residence in the past 3 years in the U.S. or outside of U.S.

OR

B: An individual who has been in foster care in New Jersey at any point.

Bottom Line:

For prospective homebuyers in the Garden State, this program is nothing short of a golden opportunity to secure a brighter future. With greater down payment and closing cost assistance than ever before, this initiative paves the way to homeownership!

Don't miss out on this chance to turn your homeownership dreams into reality with New Jersey's innovative Smart Start Plus First-Generation Down Payment Assistance Program.

Reach out to us today to learn more, confirm your eligibility, or with any questions – we're here to guide you through every step of this exciting journey. Your dream home is closer than you think.

Get Pre-Approved Today - Greenway Mortgage


 

Establishing a line of credit to access your home’s equity is an important decision! You now have a flexible tool you can leverage to fund important endeavors, improve your home, or help support your financial well-being.

How does your HELOC work?

Here are some guidelines for typical HELOCs. If you have an agreement currently, check it for the specifics related to your account.

Spend your cash

Most people find it convenient to access their funds through account transfers or checks.

There are no restrictions on how you spend your funds. If you direct them to home repairs or upgrades, the interest may be tax deductible. Consult your tax advisor to be sure.

Start with interest-only payments

During your initial draw period, which is usually 10 years, you pay only the interest on the funds you’ve borrowed. The rate varies with the market, so you’ll want to keep an eye on your account statements to determine your minimum payment.

If you need help anticipating the payment for a particular expenditure, please reach out. The Greenway Team is glad to help.

You can also pay toward your principal balance if you wish. The amount of the balance you pay down will be available to spend again until the end of your draw period.

Plan for repayment

After your draw period, you’ll begin making fixed principal and interest payments to repay the loan. Repayment terms are typically 10, 15 or 20 years and are spelled out in your agreement.

Remember your HELOC if you sell

If you choose to sell your home while your HELOC is open or in repayment, you will pay off the money you owe at the same time you pay off your mortgage.

If you choose to refinance your first mortgage, the HELOC will either need to be paid off or resubordinated (that simply means it goes back into a secondary lien position—the same as where it started with your existing first mortgage).

Strategies for Leveraging a HELOC For Your Financial Benefit:

BUY a second home or investment property.

Leveraging the equity in your primary home can be a smart way to make the down payment on a vacation home or rental property.

CONSOLIDATE high-rate consumer debt.

Transfer credit card balances to your HELOC to lower your rate and eliminate the stress associated with making multiple payments each month.

LOWER your overall monthly debt payments.

Pay off higher-rate balances more quickly by moving them onto your HELOC then adding the payment amount to your HELOC payment. This prevents extending the term of your other debts.

PAY for higher education.  

Give your kids a head start after college by helping them avoid student loans. Use your HELOC to cover tuition, travel, room, board and other expenses.

MAKE home improvements.

A new kitchen, bath, deck or other improvements can make your home more comfortable now and more marketable later if you decide to sell. HELOC funds spent on your home may be tax deductible. Always check with your tax advisor. 

There are many ways to make your HELOC pay. If you need help determining what your payments will be after any expenditures, we can help. Please reach out.

HELOC


 

Not all borrowers have traditional means of employment or income. There are many people who may fit into non-traditional income categories such as:

  • Borrowers that have accumulated assets over the years and plan on using those funds to cover all or part of their housing payment each month 
  • A borrower with little to no income but significant assets 
  • A borrower who is retired or soon to be retired 

If any of these apply to you and you have significant assets such as savings, investments, or retirement accounts you may qualify for our Asset Depletion Loan Program.

What is an Asset Depletion Loan?

Asset depletion loans are a type of mortgage program that uses the value of the borrower’s liquid assets instead of traditional monthly income to qualify for the mortgage. This can be a beneficial option for retirees or individuals with significant assets but little income as we noted above.

Eligible Assets for Mortgage Qualifying

  • Checking/Savings accounts, Money Markets, Certificate of Deposit (CD)
  • Investment accounts with stocks, bonds, mutual funds, ETFs
  • 401(k), IRA, SEP, KEOGH may be considered depending on borrower’s age and any penalty applied for accessing funds in account

Asset Depletion Mortgage Requirements

  • This program is available to borrowers aged 62 or older  
  • Mortgage is secured by a 1-or 2-Unit Primary Residence or Second Home
  • Purchase or No Cash Out Refinance
  • Maximum Loan to Value 80% or 20% Down
  • Min FICO 620
  • Qualifications Based on Verified Liquid Assets*

THE FINE PRINT

  • Borrowers must provide current and past monthly account statements, along with standard personal financial documents (e.g., tax returns, pay stubs if applicable), to demonstrate proof of assets.
  • Gift/Borrowed funds allowed
  • *Assets must be within the United States

Should You Consider an Asset Depletion Mortgage?

If you’re wondering whether or not you would qualify for an asset depletion program we can help!

Start by answering these questions:

  1. Are you retired with very little fixed income (or no income)?
  2. Are your assets held in the U.S.?
  3. Do you have 20% for a down payment?
  4. Are you someone who has little to no income but significant assets?
  5. Are you 62 years or older?

If you answered yes to any of these questions, and have a significant amount of assets, an asset depletion loan may be an ideal solution for you.

Bottom Line: 

If you would like more information on the Asset Depletion Loan Program click here or give us a call today to see if you qualify. Our dedicated team is eager to help determine if you qualify, and we are committed to supporting you in achieving your homeownership goals. The Asset Depletion Loan could be the perfect solution you've been searching for!

 


 

Greenway Mortgage is proud to introduce our Alternative Documentation Program which offers flexible qualifying for non-traditional borrowers.

About This Program

For many homebuyers, traditional income or credit documentation can be a significant challenge. The Alt-Doc Program enables borrowers to qualify using alternative methods such as asset depletion and/or bank statements. This program is ideal for self-employed borrowers who do not meet traditional documentation requirements but can qualify using flexible alternatives*

Advantages of The Alternative Documentation Program: 

  • Bank statement - 1st page only
  • Loan amounts up to $4 million
  • Max cash in-hand $2 million on cash-out
  • Asset seasoning: 1 month
  • LTV up to 80% for purchase/rate & term
  • LTV up to 75% for cash-out
  • DTI up to 50%**
  • Available for primary residence, second home, and investment properties
  • Interest-only payments
  • FICO scores as low as 660

Flexible Qualification Methods:

  • 1099 Only

  • W-2 Only

  • 1-Year tax return

  • 12-month bank statement

  • Asset qualifier

*Based on reserves, payment history and credit depth. **Restrictions apply to DTI over 43%. Eligibility requirements, exclusions and other terms and conditions apply.

Questions? Contact Us For More Information

Have questions on this program or want to see if you qualify? Visit our website here to learn more about our Alt-Doc Program. Fill out the short form and one of our expert loan officers will be in touch.

Get Pre-Qualified Today Free


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