Home purchasing advantages are on there way...
People are talking and wanting to know how the President’s stimulous package is going to affect our real estate market. The proposal which is being quickly pushed through Congress definitely has consequences for the prices of property.
It will positively affect the availability of FHA loans, we are likely to see the FHA loan limit
increase to $700K. This will open up down payment options for buyers to as low as 1.5%. Currently the minimum down payment is at least 10% for most loans. FHA loans are more liberal and this will open the door to thousands of buyers to jump back into the real estate market.
And, the package encourages the directors of Fannie Mae and Freddie Mac (the main purchasers of conforming loans – those under $417K) to increase their loan limits to 125% of the median home price in their given area. Again, this increase will essentially give buyers about a 1% reduction in interest rates saving thousands per year in mortgage interest.
Help does apprear to be on it's way.
It will positively affect the availability of FHA loans, we are likely to see the FHA loan limit
increase to $700K. This will open up down payment options for buyers to as low as 1.5%. Currently the minimum down payment is at least 10% for most loans. FHA loans are more liberal and this will open the door to thousands of buyers to jump back into the real estate market.And, the package encourages the directors of Fannie Mae and Freddie Mac (the main purchasers of conforming loans – those under $417K) to increase their loan limits to 125% of the median home price in their given area. Again, this increase will essentially give buyers about a 1% reduction in interest rates saving thousands per year in mortgage interest.
Help does apprear to be on it's way.
posted by Mark Thomason @ 10:00 AM
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