I COULDA, WOULDA, SHOULDA..................... FHA Raising Down Payment Requirements

I COULDA, WOULDA, SHOULDA ................................. FHA Raising Down Payment Requirements

Here's a repost that should be on every home buyer should consider when financing an FHA loan.

Via:  Laura Gray, RE/MAX Realty Group

First-Time Homebuyers who put "Buying a House" on the top of their New Years Resolution List need to become proactive !  We are still hearing the rumors that the Down-Payment on FHA loans will increase to FIVEpercent (5%). That increase can definitely impact a prospective home buyers purchase power.

Now add that the to the projected decrease in allowable seller contribution towards the Buyers closing costs to THREE percent (3%) from six percent (6%) that definitely limits how the buyers cash reserves are allocated.

Many buyers could buy their home for just Three percent out of pocket , and the Sellers contribution would cover the majority of the closing costs (transfer taxes, real estate taxes , attorney's fees , lenders fees), leaving the Buyer room to spend their own cash on moving expenses.

Before too much more of the year slips by , pick up the phone call your trusted local Realtor and find out what the purchase process is in your local area and find the home of your dreams .

From a reliable source e-mailed to me today:

"Our consultant that monitors FHA has notified us that the Federal Housing Administration will definitely raise the down payment requirement to 5% and limit seller concessions to 3% of the sales price. They are expecting an announcement in the near future. If we have a property case number prior to the change, they will be grandfathered under the old system. If you are working with buyers, I would notify them that this change appears imminent"

 

  

Kay Van Kampen is a local Realtor serving Springfield, Ozark, Nixa, Rogersville, Republic and surrounding areas in Greene, Christian and Webster Counties in Missouri. She is ready and available to help you with all your Springfield Mo real estate needs. To contact her go to www.kayvankampen.com. If you would like a free list of homes for sale in this area/neighborhood, would like more information about Springfield, Ozark, Nixa, Rogersville, Republic, Willard and surrounding areas or would like to be the first to know about hot new listings before other buyers do, then give me a call at: 417.839.4534.

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