OfflineThe FHA lowers credit scores! This is great news, and may help some investors get their own home when they previously were told they could not get approved! Here again are some general guidelines:
580 - 599: max financing - 95%
500 - 579: max financing - 90%
All the down payment monies, must come from "your own" funds with a max of 3% seller assist.
If computer model "approves" loan - 31/43 max ratio's
If computer model "refers" loan - 31/36 max ratio's + 2 months reserves will be needed to fully ensure these loans are going to be approved.
Hope this information helps.
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Always Looking to Acquire Houses | Always Looking to Amaze Investors
thank you that a big help..
Is there any claus in their lowering their borrower criteria that would require the borrower to hold on to the property for a certain amount of time, before being able to resell?
Thanks!
Bryant Slade
This may be a dim question, but does this affect lender criteia also?
Less Talking, More Doing
As of February 1, 2010 through February 1, 2011 the FHA has dropped the 90 day seasoning requirement to obtain FHA financing on a home. I'm sure that this will stay into effect after February 1, 2011 as well.
Always Looking to Acquire Houses | Always Looking to Amaze Investors
This is great news for all those whose score has dropped due to employment problems and the such. I guess your up early as I am to get a jump on the day. Like the guy running to catch a train and almost catches it before it pulls away. A fellow next to him said, "If you had ran a little faster you would have caught that train", and the guy answered back, "No, I just needed to have started a little sooner".
Thanks again Bill and go sell something!
Steve Guy
Steve
We seldom get what we want, but we will always get what we expect.
Bill I got so wrapped up in telling my train story I 4got to ask you about the max ratios you referenced. Could you briefly explain them for me?
Thank you
Steve
We seldom get what we want, but we will always get what we expect.
This is good to know. Thanks
thanks for the info bill me and others will agree when i say this,i just want to say thanks for sharing all the info u run up on.thx again have fun!!!!
keep on truck!!!!keep reading!!!!keep finding!!!!keep sharing!!!keep responding!!!keep help keep-up the good work!!! but,don't keep it to yourself!!!
There's obviously a lot that can be learned from Bill (trustpoint). So, to anyone who's new to the site, pay close attention to what this man has to say
Thanx Bill
Less Talking, More Doing
If computer model "approves" loan - 31/43 max ratio's
If computer model "refers" loan - 31/36 max ratio's + 2 months reserves will be needed to fully ensure these loans are going to be approved.
The first number in the ratio refers to the percentage of your monthly income that can be devoted to your housing purchase (PITIA). The second number in the ratio refers to your overall monthly debt payments when compared to your monthly income.
Therefore, don't go out and buy anything on credit during your process of getting a loan. And remember, mortgage companies don't like to see car payments buy car companies like to see housing payments. Think about it and you'll understand.
Always Looking to Acquire Houses | Always Looking to Amaze Investors