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No Kidding -You Can Buy a Home with as little as a $100 down payment... PDF Print E-mail
Written by Administrator   
Wednesday, 30 September 2009 14:55

FHA and other Government sponsored entities (GSE's) are making owning a home more  and more affordable every day. The latest program allows for potential homeowner to become a new home owner with as little as $100.00 out of pocket instead of the standard 3.5% down. See example below:


Standard FHA loan requires 3.5% as a minimum down payment

$100,000 Sales Price

$3,500 down payment  = or 3.5%

Loan amount = $96,500

5.75% Interest Rate

*Monthly Principal and interest payment $563.15

*excludes taxes and insurance


FHA $100 HUD Repo Program

100,000 Sales Price

$100 down payment

Loan amount  = $99,900

5.75% Interest  Rate

*Monthly Principal and Interest payment $582.99

*excludes taxes and insurance

Click "Read More" below to learn more

The FHA $100 HUD Repo program is a purchase-money loan offered in limited geographic areas to purchasers of a home owned by the Department of Housing and Urban Development. Buyers are only required to make a $100 down payment and may be eligible for sales incentives provided by HUD.

Program Requirements:

Borrower must have a mid fico score of 640 (if 2 borrowers on the loan,  we will use the mid fico score of the lower of the two mid ficos)

ELIGIBLE BORROWERS
· U. S. citizens and permanent resident aliens.
· Non-permanent resident aliens may qualify.

· Bankruptcy: Borrowers with a bankruptcy discharged within the past two years are not eligible.
· Foreclosure: Borrowers with a previous foreclosure that occurred within the past three years are not eligible.

ELIGIBLE PROPERTY TYPES

203B Loans

1- to 4-unit property.Planned unit developments (PUDs).

234C Loans

Condominiums (prior approval by FHA Field Office is required).

INELIGIBLE PROPERTY TYPES

Manufactured homes.Spot condominiums.Cooperatives.Working farms, ranches or orchards.

MINIMUM LOAN AMOUNT

$20,000.

MAXIMUM LOAN AMOUNTS

Varies by county, please refer to the FHA Connection website to determine the geographic mortgage limits. Click Here for County Loan limits

All loans require borrowers to make a $100 down payment. The standard FHA policy requiring that borrowers make a 3.5% investment is not required for the FHA $100 HUD Repo program.

TEMPORARY BUYDOWN

Not allowed.

SOURCE OF FUNDS

Borrowers must contribute a $100 down payment towards the transaction from their own funds or from another acceptable source.

PURCHASES WITH GIFTS, GRANTS OR ELIGIBLE DOWN PAYMENT ASSISTANCE

If any portion of a borrower's funds to close is derived from a gift, grant, community second program or eligible down payment assistance program, the loan must meet all of the criteria listed below. These guidelines apply to all gifts, regardless of the source. Seller-funded down payment assistance programs remain ineligible.

· Loan must receive a Total Scorecard "Approve" or "Accept" response.
· Maximum housing ratio is 31%.
· Maximum total debt ratio is 43%.
· Borrowers must have two months reserves after funding - reserves may not be gifted.

APPRAISAL

Must comply with FHA's minimum property standards. Refer to Mortgagee Letters 2005-34 and 2005-06. The original appraisal ordered by the company marketing the property can be used by the borrower at no cost if the sales contract was signed prior to the six-month appraisal expiration. At times, a local HUD Homeownership Center (HOC) may extend the appraisal 30 days past the normal six months.

 

 

This program is loaded with benefits and will make owning a part of the American Dream a true reality. Act now, while there is still time to take advantage of the Obama Tax Credit program.


Make Owning a home a reality Apply here today

 

 

 

 
Last Updated on Friday, 16 July 2010 13:41
 

Newsflash

FHA 203k Rehab Loan

 

  • Simple: one loan, one close, one monthly payment.
  • 203k Streamline or Standard ….. Purchase or Refi
  • Lower your Rate and Include the Cost of Repairs!
  • No equity; no problem!
  • Easy to qualify – FHA underwriting guidelines apply.
  • Repairs include cosmetic to complex home expansion.
  • Luxury items not eligible i.e. building of a swimming pool.
  • Funds held in escrow at closing: rehab done after closing.


Oakwood Financial Corp. Guidelines

 

  • Minimum decision credit score 660.
  • Rent/mortgage history 0x30 in last 12 mos (private VOR acceptable).
  • DTI 45% / 49% no reserves.
  • Tradelines: 2 open and active for 12 months with substance.
  • Loans manually underwritten.
  • DU approval is a favorable compensating factor.
  • Excellent Program for 1st Time Home Buyers
  • Gift funds eligible; no local government DPA.
  • Non-occupant co-borrowers allowed.
  • Rent free living with parents acceptable.

Excellent Product for Real Estate Owned or Foreclosed Properties

 

Email Me today with questions

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