. . . ....Voice of Northern Virginia.... . . . Homes, Living, Community & Businesses

If there has been one positive effect of monstrous increases in gasoline prices it's this:  traffic fatalities have plummeted.  This same phenomena happened in the 70's when we experienced the Arab oil embargo.

Some states are reporting declines of more than 20% although eight states have actually reported increases.  Maybe it's because we just aren't on the road that much - the federal government reports that miles traveled in April fell 1.8% from the previous year and that continues a trend started in November.

Gas prices dropped $13 per barrel over the past week.  The Oakton Sunoco never dropped its price until yesterday and then only 3 cents.  With the closing of the Exxon station one can only suppose that a near monopoly in Oakton is causing high prices.

This past week I heard from three different sources that the prevailing opinion among consumers is that it was almost impossible to get a loan.

Not true!

While you have to do a little more than show up to closing as many borrowers did during the 2004, 2005 and 2006 go-go years, loans of various types are still plentiful and being funded every day.

The loan de jour, if you will, is the FHA 30 year fixed, though it comes in several types of adjustable rate scenarios including a 1 year, a 3/1 and a 5/1 ARM.  These loans all require full doc and have certain minimum credit standards.

You can do a 95% cash out refi to $729,750 in the metropolitan area with a credit score as low as 580!  That's incredible!

With scores that low there may be adjustments to the price depending upon the circumstances.  But an adjustment for risk can always be expected and isn't a new development.

A borrower can still evaluate the merits of any of these combinations: jumbo and conforming, ARMs or fixed, inters only or fully amortizing.  MetFund is actively closing these loans.  Yes, you have to possess a decent credit score and no, we won't lend you the full 100% of the sale price or value, but loans are available.  Call us with any questions or comments.