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The Official NACA mortgage thread

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Anonymous
Not applicable

Re: The Official NACA mortgage thread


@Anonymous wrote:

Hi Jenni, I understand your concerns but there is nothing suspect about the one time posts. There are some things you need to know about NACA. Once you are a member, you pay a yearly membership fee and particpate in programs to help spread the word. Writing a review about the process is part of the participation, The fee is very minimal and depending on your loan amount from your home purchase, you pay the membership fee for about 4 to 7 years. Much of the bad press out there about the NACA program I truly believe is un-necessary. Just like someone who goes on Amazon, purchases a book, and writes a bad review because they simply did not like the format. Other people go to praise the book because they liked the storyline.  Some people don't realize how stresfull it is to purchase a home in todays crazy market. I know because I went though the FHA process before I found NACA and was getting nowhere with that.  NACA truly prepares you for home ownership.  I'd be happy to help answer some of your concerns about the program based on my experience. I'm not always online as I work alot but I will do my best to respond.


I was of the understanding that you paid an annual fee while going through the purchase process, but once the purchase was complete the bank paid the monthly fee- I haven't read or been told about any other membership fees post purchase.

Message 4221 of 4,793
keepwhattime
Valued Member

Re: The Official NACA mortgage thread

Update:

 

My MC is submitting my file to the underwriters today. MC said the underwriter took a quick peek and saw no reason to be denied. Wish me luck.

Message 4222 of 4,793
Anonymous
Not applicable

Re: The Official NACA mortgage thread

The lender does indeed pay the monthly fee after the loan is closed.  The membership fee prior to closing is only $20 per year, and there are no other fees post closing.

 

Tim Trumble

Online Operations, NACA

ttrumble@naca.com


@Anonymous wrote:
I was of the understanding that you paid an annual fee while going through the purchase process, but once the purchase was complete the bank paid the monthly fee- I haven't read or been told about any other membership fees post purchase.

 

Message 4223 of 4,793
Anonymous
Not applicable

Re: The Official NACA mortgage thread

It was a painful process but I got a 1.75% mortgage. I had to make repeated phone calls to NACA, return a number of callbacks to NACA, re-send email attachments and faxes to NACA and make a couple of surprise visits to my NACA office (which in the middle moved from Baltimore to DC!) but I got a 1.75% mortgage. Sometimes NACA's right hand didn't know what the left hand was doing but I got a 1.75% mortgage. NACA missed the first closing date but I got a 1.75% mortgage. Keeping up with "this NACA department is in this area code" and "this NACA department is in this area code" was very difficult but I got a 1.75% mortgage. Some of the NACA (telephone) staff I talked with were helpful and professional; some of the NACA (telephone) staff was rude but I got a 1.75% mortgage. My NACA file was four inches thick when it was over because I kept notes on every telephone conversation with everybody I talked with but I got a 1.75% mortgage.

Message 4224 of 4,793
Anonymous
Not applicable

Re: The Official NACA mortgage thread

I started with NACA in May, first appointment in June, qualified in July, under contract end July, and closing 9/11. I'm not a first time poster (check my profile) and will answer all questions thrown at me. 

Message 4225 of 4,793
Anonymous
Not applicable

Re: The Official NACA mortgage thread

NACA Home Purchase.  We purchased our home through the NACA program.  We were able to buy a nice single-family home in a great neighborhood with great schools for my son.  The process was lengthy--over a year and a half.  We had credit problems due to health issues, so for us this was our only option.  Their was a lot of paperwork to submit and at times it seemed that we would never buy another house.  The staff was helpful in getting my documents in order for closing and they even went to great lenghs to close on our house during the worst blizzard in Mass. history.  Great work!!!  We are happy with the program and recommend anyone who wants to buy their homes to go through NACA.

JOHNNY 

Message 4226 of 4,793
Anonymous
Not applicable

Re: The Official NACA mortgage thread

This is the first time we are purchasing a house. From what I’ve heard the process might sometimes get overwhelmed. And to add to that we have a bankruptcy in our credit history so buying a house the traditional way in order to get good interest rate was not a good choice for us. This program is wonderful because they see us as people not numbers. The process and work that goes into it is totally worth it. Mostly because all one has to do is basically what they told us. In other words follow instructions and things will go smooth and you will end up with what you work hard for a house, good interest rate and a payment that you know you can afford. Thank you NACA for helping make our dream come true.

 

I will do as much as I can to continue to spread the good word about NACA so that as many people as possible can take advantage of this wonderful and very helpful program.

Message 4227 of 4,793
RJA
Regular Contributor

Re: The Official NACA mortgage thread

I just wanted to say that I bought my home through NACA.  If you search through my past posts you find my NACA homebuying journey thread.  I detailed every step of this process, even the frustrating part - the HAND department. 

 

This program is one of the best due to the low interest rate and out of pocket closing costs.  It is not an easy journey for some - for instance, those that have a difficult time saving the payment shock each month, or those that do not know how to keep their outgoing bills in line with income.  I attended my first seminar in July 2013 and closed on my home January 2014.  I was approved by NACA November 2013, contract approved by sellers November 2013, HAND department took approximately three weeks and final approval and closing about 2 1/2 weeks.  My closing process was a little longer due to all the holidays and limited staff during that time.  I had to get one contract extension due to this issue.  My original closing was to be 12/20/13, however, I closed January 7, 2014.

 

For those people that are impatient, this is not the program for you.  But great things are not easy to come by - and the NACA program is the best.  Especially for those that are more credit challenged or limited funds for closing.  Although it states no closing costs, there will be money due in order to close (homeowner's insurance, real estate taxes, and pre-paid mortgage interest.  One of the great things about a NACA loan is no PMI.  That can significantly increase your monthly payment with other loans.  What loan can you get that has no PMI unless you have a huge downpayment?  Only NACA.  You can buy down your interest rate with the money you would put towards downpayment.  NACA already has a lower interest rate than any other loan.  So even if you do not buydown, you won't be disappointed with the rate.  I got a 3.5% when rates were at 4.75%.  I bought my interest rate down a 1/4%.  I decided to keep my extra money for savings.

 

This loan is not credit score driven.  All you need is 12 months of on time payments for minimum of 3 tradelines or 24 months on time payments if you have a foreclosure or bankruptcy on your credit report.

 

I never had issues with having to submit documents over and over.  It was always one and done.  I  was able to upload my documents to my profile without any issues.  My credit counselor was great and efficient.  She answered all my questions quickly.  Be prepared to write letter of explanations for everything.   

 

I already had a NACA approved real estate agent, so once I was approved, I was ready to look for homes.  I didn't have to wait for my agent to take the class to become approved.

 

The biggest problem I had was the HAND department.  Even then it wasn't tramatic. I think it was made worse since I was aleady in stress mode due to homebuying.  The process for getting contractor's approved can be daunting and cumbersome.  Just know that once you go into contract, locate contractor's to get repair estimates  ASAP.  (NOTE: there are always some repairs that need to be addressed).  You can find NACA approved contractor's or locate your own and have them get NACA approved.   The longer you take to find an approved contractor, the longer the closing process will be.  This was the reason for my delay.  I didn't locate contractors for over a week. 

 

Once you close you won't be disappointed at all if you stick with NACA.  You will have more money in your savings account, a lower interest rate, no PMI, and a great monthly payment.  You will also learn how to create a balanced monthly budget and not live above your means.

 

I do not work for NACA.  I am not affliated with NACA other than my loan I received through them which is with CitiMortgage. Please investigate first before claiming this program is a scam.  It's not.  Try to find a better loan. Even USDA doesn't have a loan as great as this one.  I know, as I was originally trying to get a USDA loan first.  I had a great credit score, but since foreclosure and bankruptcy hadn't seasoned to 3 years, I was unable to get it.  Also, USDA is limited to rural areas - not so with NACA. 

 

I hope I've enlightened those that are interested in pursuing a NACA loan.  Good luck with your homebuying journey. 

 

Richarell

 

 

Message 4228 of 4,793
Anonymous
Not applicable

Re: The Official NACA mortgage thread

Richarell,

 

Thank you for the update.  I am extremely encouraged after reading this entire thread.  I my Bk 7 discharged in January 8, 2015.  I have established more than three tradelines and will continue to pay them on time as I do the rest of my bills.  I currently rent for $1550/mo and also pay for water and utilities.  When would you recommend I attend the first NACA workshop?

 

Message 4229 of 4,793
Anonymous
Not applicable

Re: The Official NACA mortgage thread

Hello DisciplinedMathBrat,

 

I recommend that you begin the process by attending the NACA Workshop sometime after January 2016.  This way you will have plenty of time to make sure everything is in place and any issues dealt with when the two year time frame expires in January 2017.

 

Tim Trumble

Online Operations, NACA

ttrumble@naca.com

Message 4230 of 4,793
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