Rich Iacovetta here with RMI Lending bringing you what you need to know to help you save money in real estate and every day life. Bank of America is in the news again. Sure, they’ve taken their share of complaints from homeowners, but they just announced this last week a program that could help homeowners facing foreclosure stay in their homes. I think this plan is great. It goes like this: Rather than face foreclosure, A Bank of America program will allow homeowners who are late on their mortgage, the opportunity to transfer title back to the bank, and have your outstanding debt on the property forgiven, and in return they will allow you to rent the house at or below your current market rent with a guarantee the house will not be sold for at least 3 years. The mortgage to rent program is a great deal, considering the alternative of a short sale or foreclosure, where on average you have to wait at least 3 years before you’re able to buy a house again. This program will allow your kids to stay in the same schools, you can build your credit up again, and have your housing debt written off, why wouldn’t you do this? Well I’ll tell you why. Because you can’t right now. See, the program available by invitation only to 1000 B of A customers in Nevada, Arizona and New York, so you can’t apply for it right now, but Bank of America says if the foreclosure to rent program succeeds they will open it up to a broader range of upside down homeowners facing foreclosure here in California. If it does, I’ll be sure to let you know.

Gas prices are continueing to skyrocket, It’s gotten to the point that if you’re planning to go somewhere this summer, it might be cheaper to just mail car than to actually drive it there. While complaining doesn’t solve anything, I’ve found a helpful app for your phone that I use all the time called Gas Buddy. It’ll tell you where to find the cheapest gas station in your area, and even map out how to get there for you. The app is free for your iphone or droid, and if you don’t have a smart phone, you can go to their website gasbuddy.com to check prices.

it’s been a couple of weeks since the HARP program came out and I am seeing lots of homeowners upside down on their homes and rental properties, getting automatic loan approvals with no appraisals required and San Jose interest rates under 4.5%. Doesn’t matter how much you owe. If you have an upside down mortgage in California, I’ll let you know in less than 5 minutes if I can save you money. Who do you know that’s underwater on their mortgage, maybe a family member, co-worker or neighbor…please forward this video to them right now so they can get the help they need.

Rich Iacovetta again with RMI Lending, bringing you what you need to know in the world of Real Estate and Mortgage Lending this week. Last week’s FHA’s mortgage insurance increase sent potential homebuyers into a panic. FHA decided to make up for this “little inconvenience”, by being nice to existing homeowners who already have an FHA loan. They decided to help you save money by DECREASING the upfront mortgage insurance to just .01% and monthly MI on FHA streamline refinances in California to .55% starting June 11, 2012. Many people with FHA loans from 3 or 4 years ago, have seen low interest rates in San Jose, CA, but they weren’t able to refinance, because FHA was raising the upfront mortgage insurance every year, so most people couldn’t save money by refinancing after all. Now under this decrease of mortgage insurance, and with rates being where they are, it’s possible you can save a couple hundred dollars or more each month on your mortgage payment with an FHA streamline refinance. IF you got your original FHA loan BEFORE June 1, 2009.

A Florida mortgage broker walked in to his bank wearing a Miami Heat ballcap to cash his $100 check, but when he walked out, he was surrounded by police, handcuffed and even given a boot to the head. Turns out a teller mistook him for another robber who wears a Miami Heat ballcap and she tripped the silent alarm. Now a jury has awarded him 3.3 million dollars for his pain and suffering. Now I know you’re thinking he’s not the only customer Bank of America has kicked in the head, but you know, I would gladly take a boot to the head for half of that amount. Heck you could billy club me for that. Just not in the face. I got a show to do each week.

Interest rates are still looking great under 4% this week and even if you are upside down or underwater on your mortgage you could refinance under the HARP 2.0 loan which is available this Monday, March 19th if your loan is owned by Fannie Mae or Freddie Mac. Don’t know if your loan is owned by Fannie or Freddie, call me, and I’ll let you know in 2 minutes or less and let’s see if I can lower your interest rate and save you hundreds of dollars on your mortgage each month. Thanks for watching, I’ll see you next week.

HARP 2.0 is finally here in California. Upside down homeowners can now refinance starting March 19th. Your loan must be owned by Fannie Mae or Freddie Mac. You can have an unlimited LTV, but your previous loan must have closed no later than May 31, 2009. No mortgage lates in the last 12 months are allowed to qualify and you must have at least a 620 credit score. Primary residences, Rental properties, and Second homes are elligible. There will be a rush for HARP 2.0 throughout California, so you should contact me to do your loan application now.

Planning to buy a house with FHA loan in the future. Upfront Mortgage Insurance Premiums (UFMIP) are increasing April 1st from 1% to 1.75%. Now HUD will continue to allow this to be financed into your loan. But to give you an idea of the affect this will have on closing costs, if your purchase price is $250,000 with 3.5% down, and you get your FHA case number on March 30th, that MI premium is $2412.50, after April 1st the same exact house just got $1809 more expensive. So don’t be a fool on April 1st, get your FHA case number now and save your money.

Finally, here’s something everyone watching needs to do this Saturday. It’s daylight savings time. So be sure to change your clocks 1 hour ahead. Please forward this video to everyone you know who owns a house, wants to own a house, or owns a clock, and if you want more information about the HARP program, FHA loans, or how to set your clock back an hour please give me a call my numbers at the end of this video. Thanks for watching, see you next time.

Many people in California wonder how long they need to wait after a foreclosure, short sale, or bankruptcy before they can buy a home again. In this funny phone call parody with Nicolas Cage, he learns exactly what the waiting periods are before you can buy a house again if you have had a bankruptcy, short sale or foreclosure, and what you should be doing to repair your credit while you are waiting to purchase a home again to make sure that you are ready to get your loan faster. If you’re thinking about owning a home again in San Jose, be sure to call your local San Jose mortgage broker, Rich Iacovetta with RMI Lending.