Many lenders out there are tightening their grip on strict guidelines and restrictions, its hard to find the right "Niche" for borrowers nowadays.
As many have perceived with FHA as a strict loan and strict appraisal standards, FHA has made a lot of improvements over the last few years.
FHA is still going strong as my "Super Star Loan Program" and should not be forgotten.
I have had much success with the following just as a clarification on my FHA guideline.
- Low Down payment (only 3% cash investment)
- Closing costs can be paid by seller or lender through premium pricing
- Seller Concessions up to 6%
- Reserves not required for 1 unit properties
- 100% gift funds allowed (Yes through DAP I can accept up to 40k DAP without lowering the sales price)
- Assumale to qualified borrowers
- No minimum FICO requirement (This is lovely)
- Citizenship is not required
- Non-Occupying co-borrower allowed (Very Strong especially for Gen X and Gen Y)
- No Doc & No Appraisal stream line refinances
- Strict Appraisal Conditions Removed (No more headache appraisals, come give FHA another chance)
The FHA program which for the last 5-10 years took the back seat to the emergence of the mortgage products that have now imploded, has insured more than 34 million properties and may very well be the best loan programs available today.
Get it while its HOT, there has been a steady increase and still rising in funded FHA loans, last month My company recorded over 25,000 loans funded just in FHA!
So yes, FHA is still stronger than ever and is the rising superstar for the future!
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First, you look like a million bucks in that suit in your pic.
Second this is a great blog. I personally think all mortgage brokers by law should be FHA capable. It is shocking how many FHA candidates are put into non FHA or declined and then they lose hope!!!
Keep up the great work..your customers are in good hands.