Bayway Homes

Most of us are oblivious to Down Payment Assistance Programs since they are forever changing or run out of funds quickly. The Bond 74 program is one I have come across as a Sales Counselor in Southridge Crossing. It allowed my buyer to save their money upfront and come to closing with little to no money at all! Our preferred mortgage Co “Baymont Mortgage”  was very familiar with the program and very helpful in the process of obtaining the funds for my customer as well.  If interested in purchasing a home in the near future. I encourage you to visit me in Southridge Crossing or any Bayway Homes Community to see if you qualify! 

 Homebuyer Program (Bond Program 77)
Effective May 2010, the Texas Department of Housing and Community Affairs (TDHCA) announced the release of $500 million in funding for first time homebuyers. The program is designed to assist low to moderate income homebuyers who are interested in purchasing their first home. Two types of mortgage loans are available.

“Assisted loans” are 1st lien mortgage loans made available at a an interest rate slightly above the current market interest rate and provide down payment and closing cost assistance. The amount of down payment and closing cost assistance is 5% of the mortgage amount and is available in the form of a 2nd lien, 30-year, 0% interest loan. Although no monthly payments are required, the amount of assistance is due and payable in full upon sale, refinance or repayment of the 1st lien mortgage. Assisted loans are available to borrowers earning up to 115% of the area median family income (depending on family size) and up to 140% of the area median family income (depending on family size) if purchasing in a targeted area. Please review the “Combined Income and Purchase Price Limits Table” for additional detail. “Unassisted loans” are available at an interest rate slightly below the current market interest rate and do not include funds for down payment and closing cost assistance.

All 1st lien mortgage loans are available at a 30-year fixed rate. The interest rates offered under the program will change periodically depending on the industry market rates at the time the loan is registered.

Current Available Funds

Below is a summary of approximate program funds available as of MAY 24, 2010:

FTHB Assisted Funds Available
	Remaining	Rate	AMFI	Amt. of Assistance	Program End Date
Program 74 – Statewide	$7,526,526	6.25%	Up to 115/140%	4% 2nd Lien Deferred Forgivable plus 3% Grant	08/15/10
Program 77 - Statewide Assisted -Commitment Lot 1	$48,397,184	5.74%	Up to 115/140%	5% of loan amount -2nd Lien	09/15/10
FTHB Unassisted Funds Available
	Remaining	Rate	AMFI	Program End Date
Program 77- Statewide Unassisted -Commitment Lot 1	Shares with Assisted Funds	4.99%	Up to 115/140%	09/15/10
MCC Funds Available
	Remaining	MCC Credit %	AMFI	Program End Date
2010 Texas Mortgage Credit Program Non Targeted	$18,474,339	30%	Up to 115%	12/31/12
2010 Texas Mortgage Credit Program Targeted	$460,926	30%	Up to 140%	12/31/12

Check with any Bayway Homes Community to see if you qualify!

VISIT:http://www.tdhca.state.tx.us/homeownership/fthb/available_funds.htm FOR MORE INFORMATION.

Often times, I have clients purchasing their new home from me here in our Northwest Houston community of Steeplechase Terrace and they are unsure about how their new home is covered by the builder’s warranty.  There are different coverages lasting varying periods of time.  The most common way of describing the warranty isa ’1-2-10 year warranty’, with one year craftsmanship, 2 year mechanical, and 10 year structural.   This is an over simplified way of stating the warranty and it’s coverages.  Bayway Homes are covered by our Elite 1-2-10 Home Buyers Warranty warranty and is backed by one of the strongest warranty companies in the business, Bonded Builders Warranty Group.  (www.bondedbuilders.com)

When a client purchases a home from us, we provide them with a sample warranty when they do initial contract, along with a layman’s guide to understanding that warranty, published by the TRCC.  This allows the new client to become somewhat familiar with their new homes warranty before they even close and move into their new home.  After closing, they are provided their full warranty paperwork, which should be studied by them and used as a reference to know what is covered, what is not, and what is considered routine maintenance required by the homeowner.

Below is a clip from the Bonded Builder Warranty companies website, which has great information for homeowners regarding how their new home warranty works, as well as routine maintenance tips and care for their new home.   This is only a small portion of the useful information available on the Bonded Builders Warranty Group website.

For more information on the 1-2-10 warranty, please feel free to stop in to any one of Bayway Homes locations throughout the Houston/Galveston area and we will gladly share our knowledge and information with you.

Some of us remember growing up with windows in our homes that were a single pane of glass. During the frigid winters, you couldn’t go near the window because it was the coldest place in the house. During the summers, it was the hottest place in the house not to mention having to clean them with the dividers in them which was usually my weekly chore.

Today I still have the weekly chore of cleaning the windows however, technology has brought us a long way and today’s widows aside of being able to view the outside world from the inside has come a long way.

Low E Double Insulated Windows have several functions. Not only are they good for your pocket book, noise reduction is vastly improved and most chromium windows provide a “Tinting” of the glass making it difficult to see inside your home during the daylight hours. It is the property of “Heat” reduction and energy savings that I would like to discuss in this article.

All spectrums of light produce heat. We are most familiar with “Visible” light which actually represents a very small or narrow band width in the spectrum.

As we move up the band width or to the right we come to the UV or Ultra Violet frequency which creates a lot of heat and that is not the only property. UV can fade your carpet, furniture and many other items in a direct line as light enters your home through your windows.

Low “E” (Emissivity) windows are double paned, chromium plated and Argon filled to stave off the effects of UV radiation. This picture should help illustrate how this works.

As you can see, visible light is unimpeded and enters the home with very little being reflected back out while the majority of UV radiation and solar heat are prevented from entering. During the summer months, Low E glass can block as much as 96% of the heat generated from UV light and up to 86% of Ultra Violet light. This assists your HVAC system cooling your home and running much more efficiently resulting in savings to you.

As a demonstration, during the afternoon when I have customers in to view our community I always demonstrate Low E windows and how they work. When the Sun is in the western sky beating down on the glass, simply walk in front of the windows and notice how much hotter it is as it  reflects from the windows. It is actually very noticeable. Once inside the home I will open a window slightly and have the customer place the back of their hands on the inside pane and then compare that to the exterior pane. It is incredible the difference in the temperature of both panes.

Bayway homes installs Low E double insulated windows in all the homes that we build. Utilizing this technology along with many other applications used to produce a more energy efficient home is our goal.

Well we are back and we are excited about our Townhome community in SeaBrook Tx. Conveniently located on Repsdorph Street and better known as Seaside Village. There is a lot to do and just to name a few of the things to do there is Seabrook nature trails which is 2.5 miles away and Kemah Boardwalk which is 3 miles away plus Seabrook City Library is 2 miles away. Back Bay Market in Old Seabrook is 1.5 miles away and Market 1 Yacht Club dinner is 1 mile away (Where you can go on romantic dinner cruises) not to mention a couple of Little League fields are just 2 miles away. As you can see there is a lot to do and see in Seabrook !!!! It’s almost like a year round vacation place.Come to Seaside Village and see why people are flocking to get their choice of available lots that are there to build on.E-Mail or call me direct for more info @ 832-877-6311!!! From the 130′s!!

I started with the company in Berryfield and am almost sold out !! I have 10 choice lots left to build on and 6 inventory homes that are ready for viewing and immediate move-in.This place has a lot of wonderful memories for me as I make it a point to get to know each of my buyers personally and their families. BayWay treats their customers like they were their own family with our annual bar-b-ques and community garage sales that people can’t help but enjoy living here. We’re offering special pricing for the month of May and special incentives. The phone number is the same and so is the E-Mail address. From the 120′s !!!

Alot of us hold a 9-5 job but what about those who are on a fixed income or self employed. Regardless what your background or situation is Bayway Homes provides the same opportunities for everyone. When applying for a mortgage loan it is easy to get intimated when filling out an application for such an ivestment. I can assure you that Bayway Homes will not only treat you with the same respect as anyone else but will also explore any others options that are available to our customers.

I AM SELF EMPLOYED, CAN YOU HELP ME PURCHASE A HOME?

Being self employed does not prevent you from purchasing a home. Most conforming loan programs (FHA, Fannie Mae or Freddie Mac) will require that you have 2-1/2 to 3 years of experience and can document your income with tax returns or through bank statements. If you are interested in the second option then it is important that you deposit all business revenue so you can document your cash flow.

CAN I BUY A HOME IF I’M ON A FIXED INCOME? 

If you bring in enough money to pay rent then you could be making a house payment. If you are still concerned about having a low qualifying amount you may want to apply with another person such as a friend or family member so that your incomes can be combined allowing you to purchase more home. 

Visit Bayway Homes soon in Southridge Crossing!

Closing costs is a part of the purchase of your home whether it is a new home or you’re buying a “Resale”. Some of the associated costs are standardized while others are discretionary and it is that circumstance that can make the amount of fees / costs somewhat problematic for some folks at the closing table when trying to understand all the fees associated within the transaction.

One thing for sure, by the end of this article, you won’t be any closer to being able to calculate closing fees correctly but I hope that you will be able to contact a lender and ask them pertinent questions relating to closing costs in an effort to calculate the total costs due at the closing table much more accurately and most importantly, understand those fees much better.

The first thing to understand is that there are several loan options when considering your purchase such as FHA, VA, Conventional, Assumptions etc. Each type of loan has its own set of rules such as VA for example. If you qualify for a VA loan, there are certain “Fees” that this type of loan prohibits the consumer from paying. These prohibited fees are referred to as “Non-allowable’s”. This has an impact on the amount of cash that you need to bring to the closing table.

Another important thing to remember is that the Loan company and the Title Company are going to receive payment for originating, completing the documentation, opening the Title on the property and ultimately preparing and assisting you in understanding and signing the proper documents to complete the transaction and insuring the legality of the transaction.

These costs so far are representative of about 50% of the total costs that you will be paying up front at closing. There are however a couple of tips here that are important to you. For instance, if you’re purchasing a new home, most home builders will offer you an incentive of  paying your 1% Loan Origination Fee (1% of the amount of the loan.) for using their “Preferred Lender” and that is a good deal of money that you would otherwise be paying yourself. They too will offer to pay the Owners Title Policy which is a substantial amount of money. As an example if the purchase price is $170,000.00 the LOF and OTP will total approximately $2,950.00.

So now let’s talk about the remaining 50% which are called “Pre-Paid’s”. Technically these aren’t “Fees”. Pre-Paids is a term used to describe Insurance and Taxes or “Escrow” for the property that you’re purchasing. Unless you’re “Self Escrowing”, your lender is going to collect the escrow along with your principal and interest.

Let’s make sure that we understand how your mortgage payment works and what it consists of. Let’s say that your monthly payment is $1,700.00 a month. That amount includes P&I (Principal and interest), Insurance and Taxes/Escrow. Let’s say that your loan is set up over 30 years at an interest rate of 5% and you’re financing $170,000.00. Your monthly P&I is $912.60. This means that your insurance and Taxes are $787.40 per month. Total payment is $912.60 + $787.40 = $1,700.00.

This is where some of the confusion can occur. Each lender has their own set of rules when it comes to the collection of escrow monies at the time of closing on a home loan. At their discretion, they can ask for as many months of Insurance and Taxes as the underwriter requires to be paid up front at closing.

Let me give you an example which I think might help. Some of the circumstances in this example exacerbated the problems even further and could have possibly resulted in this customer backing out and not purchasing this home at all.

It is customary for the builder to pay insurance and Taxes on the property up to the time of closing. In our example, we were set to close on April 30^th 2010. When the customer got their copy of the HUD statement, the lender was asking for 12 months taxes and insurance to be paid by the customer at the time of closing. The customer called me and asked why we were not paying the first 4 months of the tax liability to which I stated that indeed we were paying up to April 30^th 2010. He then asked why then would he have to pay 12 months in advance instead of the remaining 8 months (May – December). Unfortunately, this is a question for the lender and not the builder. In defense of the customer, he did ask the lender what the closing costs would be. The lender didn’t however explain their requirement for pre-paids. That is a common oversight!

Even though most salespeople try to discuss this at arm’s length, this scenario still comes up from time to time and it makes for a very interesting situation at the closing table. In our example, this meant the difference in out of pocket cost of a little under $4,000.00 additional money that the customer had to bring to the closing table. If not prepared for this, those additional funds may not be available to the customer at that time, resulting in having to back out of the purchase all together.

There are several good questions that you should ask when speaking to a prospective lender other than “What is the Rate?”

1. Every lender will provide you with a GFE (Good Faith Estimate) which discloses the lenders fees.
2. A builder can’t “Steer” you to any particular Title Company, you may choose whomever you like so call the Title Company and discuss their fees as well.
3. Ask your lender what the “Pre-Paid” expectations are for a new loan.
4. Ask your salesperson about the Tax rate in the community that you’re considering. (This can make a very big difference in your escrow) As well ask about any flood zoning or storm zoning. All of these can have a very large impact on your costs.

This really is one of those times that apply to the old adage of; the only stupid question is the question not asked. The more that you know about this transaction the better prepared you will be and the less likely you are to experience any surprises at the closing table. If you have done your homework, there really shouldn’t be any surprises……

That’s right if the predictions are correct this should be a wet weekend!! What a wonderful time to come out and preview these beautiful 5 houses that we have ready here in Berryfield. Choose from 3 bedroom and 4 bedroom homes that are located on oversized lots and with special incentives for the month of May. I know you’ve been reading the blogs from the other neighborhoods and everything you’ve been reading is true. Passion Fun Let’s Go Get Some is our Mottto and we strive to build the best house we can and also have fun doing it !!! The quality speaks for itself and I can personally speak for our staff !! I will have been in the business 17 years and by far this is the best company I have ever worked with.I invite you to come out and judge for yourself and find out why our buyers say” I’m proud to own a BayWay Home!!”.

There are 2 more areas that will be opening soon in Seabrook Tx. The first one is a townhome community located on Repsdorph St. and the other will be Stilt homes on the other side of 146 on Toddville Rd. The townhomes will be from the 130′s and the ones on Toddville from the 300′s. Look for more info on these two areas as they become available. I will be including photos of our new areas pretty soon! Enjoy your weekend and hope to see you soon!!!

News from Bayway Homes Seabrook Community: SEARIDGE 

It’s true!  There is an MCC (Mortgage Credit Certificate) Program available to qualified homebuyers purchasing a home in Seabrook, Texas (not just first time buyers – all buyers who meet the criteria set by the Harris County Housing Finance Corporation (HCHFC).   This Credit may save you up to $2,000 a Year in direct dollar-for dollar federal income tax credit and savings equal to 30% of the interest paid on your new mortgage loan every year as long as you own and live in your home.

TDHCA also offers the MCC Program, but only to first time homebuyers (have not owned a home as primary residence in the past three (3) years).

Some Facts:

The maximum limit of the home purchase price is $316,177.

The maximum limits for gross income are $76,560 for families of 1-2 persons; and, $89,320 for families with 3 plus members.

There is no first-time homebuyer requirement.

The lowest sales price of a new home in Searidge is $157,500.

Loan amount                                          $157,500

Times Loan Interest Rate                         x 5.5%

Approx. Annual Interest                     $8,662.50

Times MCC Credit Rate                             x 30%   =  $2,598.75

Maximum Annual MCC Savings           2,000.00

After adding the tax savings from the first five years of your loan you would have saved $10,000!                                                                                                     

And that is just the beginning! 

Don’t worry about all the time and paperwork involved; Bayway Homes, at Searidge, has a preferred lender, Baymont Financial, Ltd.  Baymont is a participating lender that can verify if you are eligible for one of these programs.  Stop in and fill out a Free, No Obligation,  Prequalification form today.   No Worries!  Call 281-942-9112 for an appointment.  We are open every day, so while you are enjoying your weekend, stop by our Model at 940 Bay Sky Way, Seabrook, Texas   77586.

There is a one time application and loan fee that is required to be paid at closing.  Mention that you read this blog and Bayway Homes, Searidge, will pay the fee on your behalf.  (Ranging from $1650 to $2300)  the Amount is based on sales price of the home.

For more details and information please look at the websites below:

http://www.sethfc.com/pdf/2009/082609/2009B%20HCHFC%20English1%20.pdf

www.MyFirstTexasHome.com

Building homes for over 13 years in the Houston/Galveston area, Bayway Homes is a smaller company with a family feel basing their success on a key phrase shared within their employees- “Passion and Fun- Let’s Go Get Some”.  That phrase is much more than just that, it is a philosophy Jon Skeele, the President of Bayway Homes, has and seeks to find in everyone working for the company.  The feeling that just going to work for a paycheck simply will not produce the right end result has allowed Bayway Homes to grow over the past 13 years, building relationships and trust amongst our fellow employees as well as with our homeowners as we construct their home.

Each quarter, Bayway has a 1 day training day, followed up by a group team building exercise.  Last night was the quarterly training for Bayway employees for the first quarter of 2010.  After listening to experts in several areas including employee relations, improving our company’s internet presence, and being schooled on more than the basics of the cement slab, we all felt we had invested our time wisely and taken some knowledge from the different speakers.  As a home building company, it is important for not only the construction side to know the different terms and processes in the building of someone’s home, but is just as important for the support staff and salespeople.  This allows for everyone at Bayway Homes to understand a little more about the homes we are building and why we put so much pride into our finished product.  From the increased strength in the PSI of our concrete slab used in the post tension foundation, to the capability of customizing our clients home to a certain extent, Bayway Homes proves to each and every one of their homeowners how we really do build a better home.

Later in the evening was the fun part of the day.  We divided up into teams and got to explore Seabrook and the surrounding area while competing in a scavenger hunt.  As Bayway is opening up 2 new neighborhoods in Seabrook, Seaside and Toddville, in addition to the newly opened community of Searidge, it was a great opportunity for all of us to see what was in the area.  As a salesman on the Northwest side of Houston, I personally was not familiar with the Seabrook area.  I was pleasantly surprised with the shopping, dining, and children’s activities available in the area.   Knowing what other Bayway communities can offer potential new homeowners allows for salesman, like myself that are on the other side of town, to relate that information to someone should they ask about other communities we build in. 

This Sunday, Bayway is hosting our semi-annual neighborhood ‘get to know your neighbors’ event in our community of Steeplechase Terrace.  This event allows for homeowners here to gather and get to know one another a little better.  With the busy schedules everyone has, too often neighbors never get to really know one another.  This helps solve that issue.  It is also a great way to increase the feeling of security for those living here.  Knowing your neighbors, what they drive, their basic work schedule, and the like, allows for others in the neighborhood to keep an eye out for you and your home day in and day out.  As the salesman for Bayway in this neighborhood, it is also rewarding when I attend to hear how pleased the homeowners are that have moved in recently as well as those who have lived here for 2 plus years.  Just another way Bayway Homes shows their commitment to not only selling someone a house, but we really are appreciative of their allowing us to build their home. 

Passion and fun- the employees at Bayway Homes have that attitude indeed.  We are passionate about building the right home the right way, and we believe having a true passion for what we do can lead to a successful company and many happy homeowners.