Retirement Ahead? Thinking About a Second Home? NOW is the Time to Finance!

Retirement Ahead?  Thinking About a Second Home?

NOW is the Time to Finance!

Are you hoping to retire soon?  Or thinking that buying a second home would be nice?

If your plan is to retire in the next few years or you're contemplating the purchase of a Second Home for your retirement years ... now is the time to talk to a lender and consider financing options.

Why?  

The cost of financing for a Second Home will go up considerably in April of 2022.  The Federal Housing Finance Agency (FHFA) has dictated that the costs will go up at that time.  

The rise in costs will affect Conventional Loans backed by/guaranteed by Fannie Mae and Freddie Mac.  In fact, some Lenders and Banks have already factored in "the impending price/rate hike" into their transactions.

At the same time, however, other options for purchase become a bit less expensive.  Those options include "cash-out" refinances against a primary residence ... especially if the residence is owned free-and-clear (paid off/no mortgage).

Borrowing against a primary residence has typically been the preferred route for borrowers.  

Why?  Lenders do not "penalize" you for borrowing against the home you live in (versus one you don't occupy). 

Why is that the case?  Because banks have found that lending against a primary residence has proven over the years to be less risky for them than lending on an Investment Property or Second Home purchase.

In these situations, many borrowers have chosen to become "cash buyers". They've refinanced their current home, then "cashed out" most or all of what they need for their Retirement/Second Home purchase.  

This chosen route for purchase has provided additional advantages for borrowers making an offer during highly-competitive housing markets.  

Simply put, sellers often choose buyers making cash offers over those making an offer containing contingent financing.  Oftentimes, cash proves to be a more powerful and persuasive offer.

There are several strong reasons to consider taking action now if a retirement or second home purchase is in your plans. You may secure better financing options with lower costs for your retirement destination home and be able to enjoy it now as a vacation home.

Discover the opportunities and options you have.  Contact me.  I'll be happy to hear from you, answer your questions, and help you successfully achieve your goals.

Are you hoping to Construct, Buy, Refinance or Purchase a home or investment property in  Chicagoland or elsewhere in Illinois or Wisconsin?  Looking for mortgage financing answers, options, solutions, and experienced assistance?

Contact me!  I'll put my 40 years of Mortgage experience and expertise hard to work on your behalf.
I'm easily found at:

Gene Mundt

Mortgage Originator -NMLS #216987 - IL Lic. 031.0006220 - WI License #216987

American Portfolio Mortgage Corp

NMLS #175656


Direct: 815.524.2280
Cell/Text: 708.921.6331
eFax: 815.524.2281
www.genemundt.com
gmundt@goapmc.com





 


              
   



      Gene Mundt, Mortgage Originator, an Originator with 40+ years of mortgage experience, will offer you exemplary mortgage service and advice when seeking: Conventional, FHA, VA, Jumbo, USDA, and Portfolio Loans in Chicago and the greater Chicagoland region, including: 
The Lincoln-Way Area, Will County, (New Lenox, Frankfort, 
Mokena, Manhattan, Frankfort Square, Joliet, Shorewood, Elwood, Lockport, Wilmington, Crest Hill, Symerton, Braidwood, Channahon, University Park, Beecher, Plainfield, Bolingbrook, Romeoville, Tinley Park, Homer Glen, Crete, Peotone, Naperville, etc.), DuPage County, Kane County, Grundy County, the City of Chicago, 
Cook County, and elsewhere within IL & WI.


Referrals are Appreciated & Welcomed!