Read about the recent changes to the FHA guidlines for financing home purchases and refinances in Contra Costa County, Pleasant Hill.....
Up to 100% of the down payment can be gifted
All FHA loans (regardless of loan to value)require PMI 1.5 points up front which can be financed in to the loan as long as this does not take you over the loan limit.
All FHA loans (regardless of loan to value) also require monthly PMI calculated at .5% of the loan amount ( paid monthly)
PMI must remain for a minimum of (5) years and removed only if ltv is at 78% or less after that (5) year period.
Seller credit is limited to 6% of the sales price
If seller pays up front mortgage insurance 100% must be paid by seller and so noted on the final settlement statement.
Seller credit can cover recurring and non recurring closing costs
Buyers debt ratios cannot exceed 30/43
Non occupant co borrowers income can be used to help qualify
All loans are full documentation including pay stub's, w'2's and bank statements, or tax returns for self employed and 2 months bank statements showing the source of the down payment .