Residential Mortgages

Thomas M. Ungrady

Sr. Mortgage Banker   LO.030807.001 /  NMLS # 287148


Thank you for visiting our residential mortgage page. At Obsidian Mortgage, we are mortgage bankers – not mortgage brokers. That means we fund our own loans. We are happy to help you to purchase or refinance a home using an FHA, a VA, a USDA or a Conventional Mortgage. Our rates are great and our service level is even better. From an FHA 203k Rehab loan to a first time buyer using a VA or a USDA loan to buy without a down payment we can help you. We even offer mortgages to help you make energy efficient upgrades to your existing home and have specialists that work on HUD owned homes.

We utilize technology to make your mortgage loan experience the best it possibly can be. Our in-house processors work to ensure that your mortgage moves through the process quickly. The process begins with a simple phone call or email to start your pre-approval process or to get an opinion if refinancing is worthwhile or not. You can rest assured, you will get good advice.

Conventional Mortgage Loan:

conventional mortgage is a loan that is not guaranteed or insured by any government agency.  It is typically fixed in its terms and rate. Conventional mortgages may be fixed-rate or adjustable-rate mortgages.

Usually, a conventional mortgage is a 30-year fixed rate loan.  That means it has a fixed interest rate for the 30 year term of the mortgage.  Conventional mortgages also, typically, require at least a 20 percent down payment. Mortgage terms of 10, 15 and 20 years are also available.

Conventional mortgages can have better interest rates than non-conventional mortgages and can be a great option for those with the 20 percent down payment.  However, even if the borrower does not have a 20 percent down payment, it is still possible to get a mortgage.  By putting less down and accepting a possibly higher interest rate, the borrower can still get financing through a non-conventional mortgage.
FHA Insured Loans:

It’s easy to understand why many people looking for a new home are turning to FHA insured loan programs. Because FHA Loans are insured by the Federal Housing Administration homebuyers have an easier time qualifying for a mortgage.

  • Qualifying for a home mortgage loan can sometimes be difficult, near impossible without a sizable down payment and a moderate credit report. If this describes you and you financial position, an FHA loan may be for you! There are fewer restrictions for FHA loan qualification in comparison to a standard mortgage loan. Qualifications for an FHA loan are:
  • Proven employment status of at least 2 years.
  • Steady or increasing income over a 2 year period.
  • History of on-time payment. No more than two missed payments on your credit.
  • If you’ve filed for bankruptcy you must wait at least 2 years and have good credit since you filed.
  • Those with foreclosures must wait at least 3 years since the most recent foreclosure.
  • Monthly mortgage payment should be roughly 30% of your gross income.
  • You must pay a minimum of a 3-1/2% down-payment.
  • Only certain properties are eligible – single-family homes, condominiums, double-wide manufactured homes, modular homes and 2-4 unit properties.
  • The property must be your primary residence.

FHA insured mortgages are some of the best kinds of mortgages available. This is because they can help more people into the home buying market. Check out the list below to understand some of the most basic benefits of an FHA mortgage.

Easier to Qualify for – because they’re backed by the federal government lenders are more likely to give you the kind of loan that you need.

Low Down Payment – FHA insured mortgages only require a 3% down-payment which makes it easier for people to own homes. Additionally the 3% can come in the form of gifts, unlike many other loan programs.

Lower Credit Borrowers Qualify – because FHA insured loans are backed by the government those with a poor credit history have an easier time getting this kind of loan.

Better Interest Rates – with the backing of the government these loans typically have a better interest rate than most traditional mortgage loans.

Better Home Stability – the FHA has programs designed to help homeowners keep their homes during hard times. The will work with you to help your home from falling into foreclosure. Always try to work out problems with your lender before the situation becomes dire.

FHA 203(k) Mortgages

Have you found that “almost perfect” home in the right location that is selling at a reduced price because it needs a little rehab work?  The FHA 203(k) Rehab Loan is a popular mortgage program designed for buyers that want to finance the cost of home improvements into a new loan.

VA Mortgages:

A VA (Veterans Administration) guaranteed home loan is the preferred loan program for active, non-active, Reserve, National Guard, and retired military of the armed forces because there is no down payment needed and no private monthly mortgage insurance required

The Veteran’s Administration  has created a program called the Streamline Refinance to provide a way for current VA homeowners to lower their interest rate with little or no out-of-pocket costs.

An Interest Rate Reduction Loan or Streamline Refinance allows you to refinance your current mortgage interest rate to a lower rate than you are currently paying. This is only available to veterans who are refinancing their original VA mortgage.

“No Cost” Streamlines let you refinance your mortgage with no out-of-pocket expenses. One option is to let the lender pay the costs in exchange for a higher interest rate. Another option that lets you obtain market rates is to roll the closing costs into the new loan.

The loan may not exceed the sum of the outstanding balance on the existing VA loan; however, you may also add up to $6,000 of energy efficiency improvements into the loan.

Many veterans are taking advantage of the government’s Streamlined Interest Rate Reduction Program to reduce their mortgage rates and to lower their mortgage payments.

If you have a VA Mortgage—You Served! You Qualify!

Why wait to lower your house payment?  Call Today (216-759-0293) to learn how easy it is to purchase a home or lower your current monthly V A mortgage payments.

USDA Mortgage Loans:

USDA, it isn’t just for that prime steak you’re looking to throw on your BBQ. It stands for United States Department of Agriculture.

How does that have anything to do with a mortgage? A USDA Mortgage provides low-cost, low rate, insured home mortgages for people who want to become home owners in rural areas.

A USDA home loan might be right for you if you want to live in a rural area and purchase a home with no down payment. The other great thing about a no money down USDA mortgage is that it’s very similar to anFHA Mortgage when it comes to your credit. A USDA home loan can give you piece of mind with no down payment and great 30 year fixed interest rates.

Reverse Mortgages:
reverse mortgage is a loan for senior homeowners that uses a portion of the home’s equity as collateral.  The loan does not have to be repaid until the last surviving homeowner permanently moves out of the property or passes away. At that time, the estate has approximately 6 months to repay the balance of the reverse mortgage or sell the home to pay off the balance. All remaining equity is inherited by the estate. The estate is not personally liable if the home sells for less than the balance of the reverse mortgage. Without selling their home or having to worry about making monthly payments, they can enjoy extra income throughout their retirement years.

To be eligible for a reverse mortgage, the Federal Housing Administration (FHA) requires that all homeowners be at least age 62. The home must be owned free and clear or all existing liens but be able to be satisfied with the reverse mortgage. If there is a mortgage balance, it can be paid off completely with the proceeds of the  reverse mortgage loan at the closing.  There are no  income or credit score requirements for a reverse mortgage.

A reverse mortgage can not be outlived. As long as at least one homeowner lives in the home as their primary residence and  maintains the home in accordance with FHA requirements (keeping taxes and insurance current) the loan does will not become due.

In the event of death or in the event that the home ceases to be the primary residence for more than 12 months, the homeowner’s estate can choose to repay the reverse mortgage or put the home up for sale.

If the equity in the home is higher than the balance of the loan, the remaining equity belongs to the estate.

If the sale of the home is not enough to pay off the reverse mortgage, the lender must take a loss and request reimbursement from the FHA.No other assets are affected by a reverse mortgage. For example, investments, second homes, cars, and other valuable possessions cannot be taken from the estate to pay off the reverse mortgage.