FHA loans are going to help us out tremendously in the near future and beyond. I used to do a ton of FHA loans but I have not done more than a handful in the last decade. That is all changing this week for me, I am doing a lot of FHA loans again and here is why:

1.  Approximately 97% loan to value.
2. FHA does not change LTV if the property is in a declining market.
3. The 3% down payment can come from a gift.
4. 6% of the sales price can come from the seller towards closing costs.
5. There are down payment assistance programs that will provide the 3% for true 100% financing.
6. Co-Borrowers can actually make a difference and help qualify buyers.
7. Non occupant co-borrowers can be on title or not.
8. It is NOT credit score driven, there is no minimum score.
9. Alternative credit is acceptable.
10. Loan limits have been raised to as high as $729,750 in high cost areas.
11. 95% Cash out refinances available up to $417,000
12. 85% Cash out refinances available above $417,000
13. Streamline refis do not need an appraisal.
14. See above. You can refinance an FHA loan even if you are under water on your loan.

There are some downsides:

1. There is a lot of paperwork. SO WHAT! Fill it out Sparky!
2. You have to qualify......see above.
3. There are slightly different rules for loan amounts above $417,000. Again, see above!

FHA is great but won't work for everyone. Call a professional mortgage consultant who knows what they are doing and see if it works for you. Did I mention I am licensed in CA and Hawaii........

Call me, let,s do FHA!