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FHA loans
The FHA loan program was created to help increase homeownership. The FHA program makes buying a home easier and less expensive than other types of real estate mortgage home loan programs. Some highlights of the FHA loan program are:
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Downpayment less than 3% of Sales Price
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100% Financing options available*
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Gift for downpayment and closing costs allowed.
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No reserves or required.
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FHA regulated closing costs.
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Seller can credit up to 6% of sales price towards buyers costs.
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No minimum FICO score or credit score requirments.
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FHA will allow a home purchase two years after a Bankruptcy.
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FHA will allow a home purchase three years after a Foreclosure.
Lending Limits for Sarasota/Manatee
The government has raised loan limits on FHA loans for most U.S. metropolitan areas, including an increase of more than $100,000 to $442,500 for Sarasota and Manatee counties. In Charlotte County, the new limit is $296,250, a $72,000 increase.
The loosening up of Federal Housing Administration loan limits comes at a critical time for housing markets. Because of the credit crunch that began last summer, lenders have made conventional loans tougher and tougher to get. That, in turn, has frozen inventory at already record-high levels in many regions, including Southwest Florida.
The looser FHA limit "opens up the door for competitive financing at attractive rates for homes up to $442,500, which is going to be a big assistance in our marketplace for people who might not otherwise qualify," said Steve DuToit, a Realtor in the downtown Sarasota office of Keller Williams Realty.
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