Don't we all put our pants on the same way with the loan process? I have been struggling, along with many other agents to get offers accepted when there is not 20% down. In Solano county we are finding that removing appraisal contingency, bringing in extra cash, having a very healthy down payment is king. Yet there are many buyers who will do anything to become a part of a neighborhood. They want to live there, meet other neighbors, make a home for themselves and their family. They will bend over backwards to make the transaction smooth.
The end result is the same.....the seller will get the cash, how it comes about it is a little different. When a buyer uses a loan to buy a house, we all put our pants on the same way. That 20% down buyer has to jump through the same hoops the FHA buyer has to.
I believe this is a hard concept for sellers and some agents to understand, just because your client has 20%, 30%, even more down, does not mean they do not go through the same process as someone who has saved and can qualify for a loan with very little down. They put their pants on the same way. You have to prove you can get the loan, it is not a magic bullet that because you put a ton of money down the loan is a slam dunk.
We recently closed on a 1945 bungalow home with a FHA buyer in 30 days. Last month we jumped through hoops to close a transaction with 50% down. The buyer was golden but their money was everywhere except local. Hoops had to be jumped through. Today we closed on a house where the buyer put 50% down and it took 60 days, for crying out loud!
Please........ if you are a seller, look carefully at all offers, and realize that when it comes to getting a loan, those buyers are on the same page when going through the loan process. Maybe, just maybe, you might consider that low down payment buyer, a buyer who will do anything to make it a smooth transaction.