FHA CHANGE ALERT!!!!!!!!!
FHA is at it again.
The first change is to the annual MIP. Effective April 18, 2011, FHA will be increasing their annual MIP by .25. So what does this mean to you? This means your buyers payment will increase and they may no longer qualify for the loan they originally were pre-approved for. If you have any buyers sitting on the fence, they need to get that loan application and case number ordered before the change. It will most likely go by case number date and not application or contract date. Make sure your lender's know this!
Second change is if you do HUD REO's or are thinking of doing them. HUD is starting to eliminate the $100 down product. Be sure to contact your regional HUD asset manager to make sure you are still able to do this in your area before telling any potential buyers about the $100 down product.
Happy Valentines Day to all!
Berkshire Hathaway Home Services California Properties - San Diego, CA
I think buyers that have been sitting on the fence are going to find a different market then they did last year.
Feb 14, 2011 07:44 AM
Arbor Financial - Pleasant Hill, CA
Mortgage Analyst and Strategist
You are so right! They don't realize that while prices may drop with higher rates, higher MI, and stricter regulations the boat has sailed lol. If you have anyone that is truly sitting on the fence waiting for the sales prices to drop, let me know I have a simple flyer for them to see how much it will cost them!
Feb 14, 2011 08:55 AM
Rainmaker
59,845
59,845
Jayne Combs
Mortgage Analyst and Strategist
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