Colorado Springs Vintage Homes Blog

FHA loan changes coming soon

Attention Colorado Springs first time home buyers

For a free Buyers Guide, Email Kathy Torline at KTorline@msn.com

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• Credit score explanation
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• Why do I have to pay mortgage insurance?
• 26 criteria used to determine interest rates

HUD Secretary Shaun Donovan recently announced some changes to FHA loans that could come as early as the first quarter in 2010.  Since a large percentage of first time home buyers use FHA loans, some home buyers may want to get a home purchased before these changes come into affect:

 Here’s a quick summary of some of the expected changes:

1. Seller concessions may be reduced from 6% to 3%.
   1. Many buyers ask the seller to pay for all or a portion of their closing costs, and the lower seller concessions may make this more challenging to do.
2. Minimum credit scores will be raised for FHA borrowers. (the speech didn’t give specifics on what this credit score was going to be raised to.) Read the rest of this entry »

Tags: colorado first time home buyers, FHA Loan, FHA loan downpayment, FHA loan seller assistance, first time home buyer mortgage, first time home buyer programs, first time home buyers in colorado