The Federal Housing Administration (FHA) updates its policies from time to time to remain consistent with market conditions.
A recent change is that the FHA will now allow a home to be financed that was previously sold in the last 90 days and is now being resold. This especially great for investors as they are purchasing foreclosed homes. Now the home could be marketed and sold quickly.
Prior to this change the seller would have to wait 91 days before entering into a contract to sell the property.
This change will allow homes to sell as quickly as possible helping to stabilize real estate prices.
Benefits of FHA financing:
- 3.5% minimum down payment
- Low credit score allowed
- Local maximum loan amounts as high as $423,750.
- Entire down payment may be a gift
- Seller may contribute up to 60% of purchase price to closing costs.
For professional advice on all aspects of buying or selling real estate, please contact me at richard@teamDoral.com or 786-287-9272.