Wow, just when we thought that we had achieved the greatest time to buy or sell a home in years and years, there is a new program out that not only aids buyer, IT HELPS SELLERS! Let me explain how the latest ruling from HUD is helping both buyers and sellers.
On May 29th, HUD ruled that the First Time Home Buyer credit of $8000 could be used for down payment! This not only signals the return of zero down for loans other than USDA, the ruling un-wittingly gave the home seller a greater demand for the sale of their home without large seller contributions for closing cost, as was true under the old scenario of Nehemiah loans where the seller had to contribute to a gift fund which was returned to the buyer as a gift to be under the radar of the buyer cannot borrow the down payment.
This has given people wanting to sell but, were concern about the low return from the sale due to buyer demands for seller contributions", a reason to go ahead and sell realizing they will not have to give up thousands to the buyer in the form of closing cost contributions.
I hope you did not read the headline and thing you had missed some important ruling that was issued, but when you look at all the factors, our illustrious government may have un-wittingly help the sellers, imagine that!