Creator of Freddie Mac’s Home Possible goes to FHA ( The Creator of Housing Blue Print bubble???)

Hot Air ^ | March 24, 2009 | Ed Morrissey

[Ernest_at_the_Beach]

Yesterday, the Obama administration announced the appointment of David Stevens to run the Federal Housing Administration (FHA). The appointment got little attention from the media, but his Senate confirmation hearing might prove more interesting. Stevens will have to explain his work for Freddie Mac in the years when the mortgage giant fueled a lending frenzy, mostly through Stevens’ own work on a program called Home Possible.

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Stevens’ experience at Freddie Mac should prove instructive. The Home Possible program that Stevens launched practically gives a blueprint for the housing-bubble collapse and the government’s role in it:

[Ernest_at_the_Beach]

Stevens,is a former Freddie Mac mortgage executive,,.....

[Ernest_at_the_Beach]

fyi

[maggief]

(no link)

$500 DOWN AND YOU’VE GOT A HOUSE, IF YOU CAN AFFORD ONE
Daily News of Los Angeles (CA) - Sunday, March 6, 2005
Author: GREGORY J. WILCOX
Freddie Mac has new loan products Mortgage giant Freddie Mac is touting a new duo of loan products that will help people buy a house with as little as $500 out of pocket, good news in markets like this one featuring record prices.

Called ``Home Possible Mortgages,’’ the package of loan products is targeted toward families and what the company terms key community workers - those in health care, cops, firefighters and teachers across the country.

The loans feature low or no-down payments and flexible credit-underwriting standards, components expected to help thousands of families with nest-egg issues or flawed credit to buy a house.

Freddie Mac ‘s goal is helping low-and moderate-income borrowers anywhere in the country get an affordable, low-cost conforming conventional mortgage.

The key word is conforming, which means there is a limit on how much can be borrowed. In California, the conforming limit for this year is $359,650, up from $337,700, said Leslie Appleton-Young, vice president and chief economist at the California Association of Realtors.

That’s well below the median price in the state, Los Angeles County and the San Fernando Valley.

So using these tools might be harder here than other places. But it can be done if a buyer is willing to do a lot of looking, and maybe make some location compromises for ownership.

``They are really very important, but it varies depending on what community you are in. They are more attractive in the inland areas of the state,’’ Appleton-Young said.

Freddie Mac doesn’t make the loans but buys them from its huge base of mortgage issuers, which includes all the major players in California.

David Stevens , Freddie Mac ‘s senior vice president of single-family sourcing, said the program has a basic goal: getting more lenders to say yes to more borrowers.

Freddie Mac ‘s products will complement those already in the marketplace.

``There are a multitude of affordable products done by banks or that Freddie Mac provided to lender partners,’’ Stevens said.

What’s different is this program can be individually tailored to a buyers needs by lenders that use Freddie Mac ‘s Loan Prospector, an automated underwriting software.

``Tens of thousands of people in the mortgage business will have access to this product,’’ Stevens said.

(snip)

[Ernest_at_the_Beach]

Get your NO downpayment loans here:

Home Possible Mortgage

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Wednesday - March 25, 2009

Home Possible Mortgage

 

Home Possible Mortgage

This program which is not credit score driven, is ideal for borrowers seeking 100% financing. This loan has reduced mortgage insurance, that is tax deductible. The Home Possible Mortgage Program has payment options with terms up to 40 years, with interest only payments available. This program allows for the seller to pay the borrowers' closing cost up to 6% of the sales price, and requires no contributions by the borrower. Let Florida Mortgage Corporation show you the cost savings and benefits with the Home Possible Mortgage Program.

If you're tired of renting but don't think you can afford to buy your own home... think again! Our latest mortgage loan option may help you achieve your dream of home ownership. It's called Home Possible Mortgage.

A great mortgage program for people who may not be able to qualify for a loan under other mortgage programs.

This mortgage program was developed to allow borrowers who may have limited savings, no credit histories, or nontraditional sources of income a better opportunity to buy or refinance a single-family home or condo, or a two- to four-family home that is used as a primary residence.

The program includes several options that can make it even easier for public service employees such as teachers, police officers, firefighters, and health care workers to buy a home. There are even special considerations for borrowers with a disability.

The Florida Mortgage Corporation Home Possible Mortgage may be ideal if...

   1.  You have limited funds for a down payment and closing costs.
   2.  You have non-traditional credit and/or income sources
   3.  You are looking to buy your first home
   4.  You are an educational institution employee, police officer, firefighter, or healthcare worker
   5.  You are disabled

Whether you're buying a home for the first time, or you've purchased a home in the past, Home Possible Mortgage offers you an affordable option. It is especially designed for potential homebuyers who cannot meet the strict income and credit requirements, down payment and closing costs of a more conventional home loan.
 

   Up to 100% financing - one loan   (Owner-Occupied property only)

   Seller can pay closing costs  -  Up to 6%

   Gift money can pay closing costs  -  (Family member only)

   NOT credit score driven

   Up to a 40-year term and options for initial interest-only period

   NO  minimum borrower contribution

   NO  cash reserves required

   Nontraditional credit allowed (only need three lines of credit verified) i.e.. rent, utilities, cell phone...

   Not just for the first time homebuyer

   Available for purchases and rate and term refinances  (No cash-out)

   Choose a fixed rate or an ARM if you don't plan on being in the home for long

   40 Yr fixed, 30 Yr fixed, 5/1, 7/1 or 10/1 arm available

   Borrowers must be at or below median area income limits to qualify  (Tampa area  - $54,400)

   Maximum loan amount - $417,000

PLEASE NOTE:   If property is in a FNMA Florida neighborhood, borrowers can EXCEED HUD Median income. We would require a Florida address of the property to know.

 

HUD Florida Median Income Chart

MORTGAGE PROGRAMS  -  CLICK HERE

MORTGAGE APPLICATION

 

[Ernest_at_the_Beach]

Thanks,...was going to see what we had going in California.... you answered that....

[Ernest_at_the_Beach]

Alert ping!

[rockinqsranch]

Thanks for that ping Ernest_at_the_Beach.

Interesting to say the least. I forwarded that article to many on my email list.

[PMAS]

Another ping. I am getting tired of pinging :(

[Ernest_at_the_Beach]

Obama is trying to slip another one under the radar...

[Ernest_at_the_Beach]

Link to a PDF for the Las Vegas Area:

Nevada: Our Role State by State, 2008 - Freddie Mac

Not sure what it shows....just found it.,

[MeekOneGOP]

Yesterday, the Obama administration announced the appointment of David Stevens to run the Federal Housing Administration (FHA). The appointment got little attention from the media, but his Senate confirmation hearing might prove more interesting. Stevens will have to explain his work for Freddie Mac in the years when the mortgage giant fueled a lending frenzy, mostly through Stevens’ own work on a program called Home Possible.

- - - - - - - -

Ping!

[MeekOneGOP]

I wonder if he’s another TAX-CHEAT, too !?!? :)

[MeekOneGOP]

Ping! Ping! Ping!

[Ernest_at_the_Beach]

Well ,...I am sure they would have thought of that in their vetting process....oh wait..?

[Alamo-Girl]

Thanks for the ping!

[Myrddin]

Thanks. As noted in the AIG resignation letter in another thread, most of the execs are good people. There's a small number of bad apples. This guy is likely one of the bad guys. That "Home Possible" mortgage is just plain irresponsible.

[MeekOneGOP]

haha!

Zachary! :)

[Ernest_at_the_Beach]

Digging....

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Mortgage Veteran May Head FHA

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David Stevens president and chief operating officer of Long & Foster, may soon head the Federal Housing Administration. source: Long & Foster, through The Washington Post

By DIANA GOLOBAY
March 23, 2009 9:03 AM CST

[Update 1 reflects HUD's announcement.]

Wells Fargo Home Mortgage veteran David Stevens is expected to face an appointment later Monday to head the Federal Housing Administration. Anonymous sources told The Washington Post that Stevens, with a solid history in mortgage financing, was an attractive candidate for the administration and has been undergoing routine background checks.

Stevens worked as a banker before joining Freddie Mac (FRE: 0.8555 -0.52%) in 1999 and running the single-family business there for six years. After a brief post at Wells Fargo Home Mortgage, where he worked with mortgage brokers on the wholesale channel, Stevens joined Washington-based real estate firm Long & Foster in 2006.

The administration did not confirm the reports to the Post, but sources told the pub Stevens’ background makes him a prime candidate. “They needed someone with a deep knowledge of the mortgage industry because of the challenges facing the country and the FHA in particular, and he fits the bills,” one source told the Post.

[Ernest_at_the_Beach]

The Realtors like him:

NAR Applauds Appointment of David Stevens to FHA Head

posted in Earth Times...Hmmm...