What the FHA's New Criteria Mean for Housing

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what is a usda loan and how do you go about doing one. I have found a house i would like to buy but not sure how to go about getting funds. please respone if anyon can help.
Tim of MO

Tim Wright of MO 2:42PM March 10, 2010

Where is our support on Capitol Hill? Why are they allowing the U.S. citizens to be ripped-off, especially in the home mortgaging industry? Who is representing the U.S. citizen who have had problems in the past desiring to purchase a home? It appears that if our incomes does not exceed $80,000 to $200,000 per year (or more) and our credit scores does not exceed 500, etc, we cannot purchase a quality home in the United States, even if served in the U.S. Military Armed Forces and also served in the Federal Civil agencies for over 38 plus years. The U. S. has kicked it's most dedicated citizens (and others) to the curve. Common sense strategies which could provide lenient avenues for any citizen desiring to purchase a quality home has been ignored by political power plays and possible greed and favoritism (such as party affiliation, etc). The bottom line is that the U.S. is allowing its citizens to be robbed, cheated, and denied purchase of affordable quality homes for their families. Even worse, the U.S. is deliberately digging deeper deficit because its small and selfish, stubborn thinking and actions, especially in the mortgage industry.

Jim of Florida of FL 12:03AM February 22, 2010

I've been doing FHA loans for over 11 years. There have been a lot of changes with FHA recently. Here is the latest.
* FHA's Up-Front Mortgage Insurance Premium is increasing from 1.75% to 2.25% on 5 April 10.
* FHA has asked Congress permission to raise monthly mortgage insurance to .85%. This will have very little effect on borrowers.
* FHA will require 10% down when score is below 580 this summer. (Really not an issue since lenders won't do an FHA loan with a score of less than 620 for almost a year now).
* Seller contributions will decrease from 6% to 3% this summer. This means higher closing costs for the buyer.
* FHA on 15 Feb 10 requires Appraiser Independence which means the mortgage broker can't order the appraisal. This new rule is similar to the conventional Home Valuation Code of Conduct (HVCC) which has been a disaster for the real estate industry. I am currently helping a borrower who paid almost $1,000 on 2 different appraisals (values varied by $60K) from another lender and didn't get the loan.
* FHA virtually eliminated their Streamline Refinance Option. Borrowers now have to show income documentation to qualify. This has significantly impacted tens of thousands who could have gotten relief with a lower payment. Good for FHA, bad for the consumer.
* FHA is aggressively clamping down on "Bad" lenders. This is welcomed relief.
For more information about mortgages and how to select your lender, visit my blog: http://denvercoloradohomeloanmortgagebrokerco.com
I hope this helps.

Randy of CO 9:44AM February 21, 2010

go with a usda loan. 100% finacing. and no headache involved. fha loan program is not worth the headache

jenn of PA 2:21AM February 21, 2010

Your general lack of education is apparent in your posts. It is obvious to me, as I'm sure it is to others as well, that you tend to hang out at the shallow end of the gene pool. I find it quite funny that you seem surprised by what has happened to you. Try this...Educate yourself on the home buying process, lending requirements, etc. before you attempt to purchase. There is nothing that another party did wrong. Perhaps you read the fine print before diving into a pool when you haven't even checked to see if there's water in it. You are capable of reading, right???

Smarter than you... of TX 2:55PM February 19, 2010

i was approve for the hop program and i went through the whole process got to plan the house colorc and etc. but when it was time to close my credit score was 560 and i wasnt inform that you had to have a 600 i ampaying the old bills that i had off and i am about done.and if i dont make a move fast they will sell my home. My thing is why go through the process an be disappoint in the end. and this is a government program.I have the income but no house yet

towanda hicks of FL 1:34AM January 27, 2010

any one who sees my house wants to buy it but they can't get financed. i had it rented it out and was all approved to buy another house (my score is 702 and i could cover two house payments). i had 7k in savings and made a couple offers. the banks selling the houses were impossible. i didn't want to wipe out my savings to buy a house which i think would be looked upon nicely but it was not so. they didn't even want to make the 3% concessions which were added to the top of the asking price. why would the selling bank care even though my lender was willing? they wouldn't write the deal even though it would be 5k out of my pocket, and they would get exactly what they were asking for. it didn't make sense. they would only accept if there were zero concessions. the banks got bailouts and yet they are not doing anything to get the inventory moving. how is it they deserve all this help and yet, I, as a responsible bill-payer do not get an iota of help to sell my house or to buy another. I don't need a hand-out but things seem more than a little unfair.

G of MI 10:55PM January 22, 2010

I think the fico scores holdyou back. You should be judged on how well you pay your accounts. Also raising the FHA down paymant will also keep people back, because it will take longer to get or save up money for down payment. Let it say where it is now. Help a poor guy out.D

D B of KC of KS 6:03PM January 01, 2010

I AM WORKING AND SAVING TO PURCHASE A HOME. MY FICO SCORE KEEPS ME HOSTAGE AS I CANT SEEM TO BREAK THE MAGIC 650 BARRIER. I HAVE TWO LOANS ON CARS, ONE ALMOST PAID OFF AND i HAVEN'T MISSED A PAYMENT OR HAVE BEEN LATE IN OVER THREE YEARS. I SUGGEST IT WOULD BE MORE FAIR THAT CREDITORS GIVE INCREASED WEIGHT TO THESE FACTORS,(TIME ON JOB, PAYMENT HISTORY) IN GRANTING LOANS.

Markr911 of CA 5:22AM December 28, 2009

They're should be something out there for the average person. Nobody wants to rent all they're life and throw that money away paying for somebody elses property. FHA use to be for the little people but now you have to have a credit score of 650 or above . Everybody at one time or another has had some kind of bad luck.If you watch t.v. the shows and the ads make life look so good but its not. I've tried to buy a house and its not easy its the same thing every way I go. ROCK HILL, SOUTH CAROLINA

Becky of SC 12:33AM December 28, 2009