Here is an update from Stephanie Hanna from Platinum 1st Mortgage regarding FHA Loans. As you can see, there are some great programs right now and it is a great time to buy.

As a reminder to everyone, there are some substantial changes with FHA effective January 1.

LOAN AMOUNTS

The maximum loan amounts will be:

Washoe County: $325,450

Storey County: $325,450

Douglas County: $350,750

Carson City: $286,350

Clark County: $287,500

Any other county: $271,050

DOWN PAYMENT

The down payment required will be increased to 3.5% (from 2.85%).

Seller cannot pay the down payment, but can pay up to 6% of closing costs

Part of their 6% contribution can be used to buy down the interest rate or pay the borrower’s first 6 month’s of interest payments

QUICK NUMBERS

What these changes now mean is that in Washoe County, $337,250 is the maximum purchase price for someone wanting to purchase with FHA putting the minimal amount down.

203K REHAB LOANS

The 203k is back for us at Platinum 1^st. So if you have a listing that needs some work, let’s market it as being 203k eligible. With a 203k loan, the buyer can borrow additional funds in excess of the purchase price (up to $35,000) for repairs and renovations. The guidelines for the 203k are stricter than the normal FHA loan but overall, it’s still a fairly easy loan to qualify for. Keep in mind, the close of escrow should be at least 45 days for the loans. Call/email me for more information and we can put together some marketing materials.

6 MONTH INTEREST ABATMENT

This really is a cool program. We allow the seller to pay the buyer’s first 6 month’s of interest. So for the first 6 months, your buyer only pays interest, taxes and insurance.

Stephanie

Filed under: LOAN INFORMATION, LOCAL MARKET