As most of you have heard, come October 1st 2008 the seller can no longer contribute the 3% down that FHA requires as they only loan 97% of the purchase price. The seller can still help with closing costs, but who knows if and when that may change. The goverments reason for this is, they feel that if the borrower has some money in the deal, they are les likely to walk away, and if you think about it really does make sense.
There is more good news, in most parts of the country you can get a real good deal on a house right now, but who knows how long that will last. We all know the Real Estate market is siclical. I deal with a lot of investors, and they are buying houses up like hot cakes.
Some more good news. Interest rates are still good, as far as history standards go, so not only can you get a good deal on a house, but a good rate too, making for an overall lower payment.
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