The Federal Housing Administration (FHA) has a great new loan program which will allow many potential homebuyers to get into a home with little or nothing down.
Here’s a snapshot of the program:
Your downpayment is a minimum of 3.5% of the purchase price. However, a family member may GIFT
you the entire downpayment;
- Your seller may pay your closing costs (up to 6% of the sales price);
- A family member may co-sign if your income is inadequate for the purchase;
- You must have a minimum credit score of 620;
- The FHA loan will be at a fixed 5% interest rate
payable over 30 years At this rate, your monthly principal and interest payment on a $200,000 loan would be only $1,074;
- There is no prepayment penalty if you sell or refinance;
- The loan is assumable;
- The maximum loan limit in Multnomah County is $417,000;
