What is the purpose of this program? FHA loans provide mortgage insurance for a person to purchase a principal residence in metro or rural areas. The mortgage loan is funded by a lending institution, such as a mortgage company, bank, savings and loan association and the mortgage is insured by HUD.

Advantages about FHA:

• Borrower’s credit can be much lower with FHA versus a conforming loan.  I’ve seen approvals for borrowers with 570 scores.
• Borrower is eligible for approximately 97% financing on a purchase and with the Nehamia program up to 6% of the final contract sales price for down payment and/or closing costs.  So you can buy a home with no down payment out of your pocket and get a great rate!
• Eligible properties are one-to-four unit structures, including farm housing located on 2 acres or more of land adjacent to an all weather road.
• Available for first-time and repeat homebuyers.
• Approved for new construction and resale homes.
• Interest rates are as good as conforming rates.
• Borrower can refinance and take Cash Out for up to 95% of the appraised value!!

FHA is a great option for those who do not own other properties and want to purchase a home with little or no money down. It is also great for borrowers who want to refinance and pull cash out of their home up to 95% of appraised value. FHA however is more expensive and not always the best program. To find out what loan program is right for you just give me a call at 612-481-7841 and we can go over your specific needs to find the right loan for you. Thanks for reading and stay tuned for more market news.

Eric Ollestad, Mortgage Consultant

work (763) 416-2653     cell (612) 481-7841

Hello all,

Its Eric Ollestad with Mortgages Unlimited.  I’m excited to introduce myself as the Mortgage Consultant for JWC Residential Construction.  I’ve worked with JWC since the very first construction project and I’ve helped the owners and many friends, family and clients find the right loan for their specific needs.  I’ll be blogging periodically about market conditions and updates on interest rates along with different products available for refinancing, purchasing and new construction.  Big thanks to JWC Residential for all of their support and partnership.  Check back soon for my first blog about FHA financing.

Eric Ollestad, Mortgage Consultant

work (763) 416-2653     cell (612) 481-7841

This week’s blog entry will be about the Marvin Window factory tour that we took a couple weeks ago. As some of you may not know, Marvin Windows is based out of Warroad, MN. Marvin was kind enough to provide us a trip to their facility and an extensive tour.

While at Marvin, we learned a great deal about some of their new products like SillGuard, and Venting Picture Windows. We also learned about their manufacturing process.

Marvin SillGuard is a new way of keeping out water and moisture by effectively moving it to the exteriors of window and door openings. The Marvin SillGuard is easy to install and is made from non-corrosive and non-conductive recycled polypropylene.

The new Marvin Venting Picture Windows are an industry first. The Venting Windows provide the beauty of a picture window with the opportunity for cross ventilation. It provides fresh air and outside noises without any actual breeze coming through.

Here are some of the highlights of the manufacturing process we noticed while at Marvin:

• Marvin does not ever use two different species of wood for any of their products.
• They can design and produce any window that you can think of.
• Some of their patio screen doors are operated by rollers on the top of the doors.
• It’s unbelievable how many steps go into making a window!

To sum it up, this tour showed us that Marvin has got some new ideas and great products. However, while we like what Marvin is doing, there are many other companies out there that build great windows. It’s important to choose a window that not only looks great, performs well, and fits within your budget.

If you’re interested in finding out more information about windows or would like an estimate on adding or replacing windows at your house, please feel free to contact us.

In our last post for the optimist, we broke down some advantages of adding a composite, cedar, or ipê (ee-pay) deck to your home. Now for you glass half empty folks, we will list some disadvantages to each one to help you in your decision making process.

Disadvantages of Composite

1. Only wood will truly give you the true look of a wood deck
2. Will scratch or stain. Immediately clean with warm water and soap if there is a spill.
3. Hot grease from the grill could melt a panel
4. It will fade over time. A tan line effect could happen if you have rugs on your deck. We also recommend choosing a darker color than you want to counter act the fade.
5. Not completely maintenance free. It needs to be cleaned to maintain a fresh look
6. It expands when heated and contracts when cooled so be sure your installer is accounting for this fluctuation by applying a gap between boards.
7. More expensive than a natural wood deck

Disadvantages of Cedar

1. Requires a power wash and stain at least once every 3 years
2. It may crack, splinter or warp
3. Softwoods deteriorate quicker than hardwoods
4. Can mold if it is not well maintained
5. The upfront cost is cheaper but over time it cost more to maintain
6. Cedar is not as flexible as composite decks limiting the ability for custom curves
7. There aren’t as many color variances in comparison to a composite deck

Disadvantages of Ipê

1. Hard to work with because of its weight and lack of flexibility
2. Expensive. Cost is about the same as your high end composite decks
3. Availability can be an issue since it is imported from South America
4. Requires additional labor. (pre-drilling of fasteners)

We hope we have helped you in making an educated decision on what kind of material to use for your new deck. If you would like more information on deck designs feel free to contact us. Our next blog will be on windows. If there is a topic you would like for us to blog on leave a comment request and who knows the next blog could be just for you.

Summer is just around the corner (at least we hope) and what better way to enjoy it than with a new deck. There are plenty of benefits to adding a deck to your home including future resale value & some family fun and enjoyment. However, before the fun begins you will need to decide what kind of deck is right for you. We have gathered info on the 3 most popular decking choices used today; Composite decking, Cedar, & Ipê (ee-pay) hardwoods.

Benefits of Composite Wood

1. Composite is low-maintenance
2. No weather sealing or staining
3. Can be molded to create desired curves and arches
4. Cost more upfront but cost to maintain is low
5. Typically last 10-20 years
6. Splinter free
7. No need to paint and comes in a variety of grays and earth tones
8. Made to look like many exotic wood grains 

Composite wood material is a mixture of natural wood scraps (sawdust, pulp fibers, bamboo, straw etc.) and virgin or waste plastics. It is viewed by some as a renewable resource because it’s made out of materials that would normally be thrown away. Trex is probably the most well known and been around the longest. For more info check out the following www.TREX.com.

Benefits of Cedar Wood

1. High resistance to UV rays, moisture and insects
2. Range of color from cinnamon to silver gray, if stained the colors vary even more.
3. Strong enough to protect deck fastenings from corrosion
4. Along with its beauty it also gives off an appealing scent
5. Light yet durable and easy to work with
6. Biodegradable and environmentally friendly
7. Accepts stains well
8. Has a proven track record throughout history

Cedar is softwood and a popular natural wood used for decking because of its high resistance to elements and insects. Besides being durable its rustic charm makes it considered to be one of the most appealing to the eye. Cedar can be stained in a number of different colors, and purchased in a number of different grades. (smooth vs. knots). Here is a great site for cedar decking information www.cedar-deck.org.

Benefits of Ipê  Wood

1. High resistance to decay can last up to 25 years
2. Scratch resistant and about twice as hard as oak
3. Fire resistance rating similar to concrete
4. Low maintenance, can be left unsealed or sealed to capture the natural color
5. Wood characteristics allow boards to resist twisting, bowing, and cracks
6. Biodegradable and environmentally friendly
7. Resistant to termites and other insects
8. Used for boardwalks in NY including Coney Island docks

Ipê (ee-pay) is a durable Brazilian hardwood. Although not well know, Ipê decking is a great alternative to those looking for a low maintenance deck with real wood.  Like xerox to the copier, Ipê is commonly referred to as “Iron Wood” who is a major distributor of Ipê decking materials.  www.ipedeckingsource.com

As you can see you have many choices when it comes to decking, we hope this information helps and please feel free to ask any us any questions in the comments and answer the poll question to the right.  Finally if all this deck talk has you ready to add one to your house let us know, we ‘d be happy to provide you a free estimate on your project.