If you are thinking of buying a home but will more than likely need down payment assistance…you need to move quickly. FHA has announced that they will be doing away the down payment assistance loan approvals as of 12/31/2008. They will not approve anyone needing down payment assistance after 9/31/2008. This means, you must have a contract on a home and all documents in for final approval by at least 9/15/2008 to get approved with down payment assistance. Also, the minimum down payment of 3% currently required, will be upped to 3.5% after 12/31/2008. You are almost 30 days from the deadline, so hire an agent and get to “HOUSE HUNTING”.
Posted by: tiffanyrdalton | August 6, 2008
SAY BYE BYE TO Down Payment Assistance
Posted in Uncategorized
Actually the loss of Non-Profit DPA is happening faster than 10/1/08. Most lenders have completely stopped accepting applications using NP-DPA effective 8/15/08. If the loan is not approved and in underwritiing as of … basically NOW the loan will require that they bring at least the 3% FHA Minimum. I produced a video for people to see that there is a grass roots effort to get NP-DPA restored at http://tinyurl.com/6mydue.
There was the SETH program that was administering Montgomery County’s Down payment program but the county has discontinued the program and has diverted funds to roads.
There is a bright spot however. Anyone who is a veteran the VA still does 100% loans and allows up to 3% of closing costs rolled into a loan. There is also USDA loans available for 100% financing too and many areas of Montgomery County you can get a USDA loan.
By: Henry Daniels on August 20, 2008
at 10:06 pm
Thanks Henry for the heads up!
By: tiffanyrdalton on August 21, 2008
at 12:26 am
There is no reason to stop accepting applications for seller funded DPA. Borrowers who are credit approved prior to October 1, 2008 can receive downpayment assistance and have their loan FHA-insured.
Additionally, here are a couple ways that everyone can help ensure the continued existence of seller funded DPA loans.
A bill introduced on July 31 would reinstate SF-DPA. If passed and signed into law. The FHA Seller-Financed Downpayment Reform and Risk-Based Pricing Authorization Act of 2008 (H.R. 6694) will allow downpayment assistance to continue indefinitely.
Visit http://www.DPAGroundSwell.org, a web-based community established to mobilize the growing industry opposition to the October 1 ban on seller-funded downpayment assistance (SF-DPA).
Click or copy and paste this link and it will take you to the page to send a letter. It takes 2 seconds it has pre-written paragraphs that you can pick easily to express your view on it. (leave out the ones that don’t apply) and when you fill out your contact info with address and zip it automatically sends to your representatives.
http://capwiz.com/nehemia/issues/alert/?alertid=11709431
Thank you for your time.
By: Mary on August 22, 2008
at 6:40 pm
Great News!
The House Financial Services Committee passed the FHA Seller-Financed Downpayment Reform and Risk-Based Pricing Authorization Act of 2008 (H.R. 6694).
Keep up the great work in supporting this bill by using the link below:
Click or copy and paste this link and it will take you to the page to send a letter. It takes 2 seconds it has pre-written paragraphs that you can pick easily to express your view on it. (leave out the ones that don’t apply) and when you fill out your contact info with address and zip it automatically sends to your representatives.
http://capwiz.com/nehemia/issues/alert/?alertid=11709431
Thank you again for your time.
By: Mary on September 16, 2008
at 7:38 pm