Homes For $100 Down
November 1, 2011 by staff
The new program is designed to help alleviate the growing inventory of foreclosed homes, thus creating better market conditions that encourage recovery
. Twenty-seven states are participating in the program, in which buyers must finance the purchase through the Federal Housing Administration and live in the purchased home. Experts remind prospective buyers that this is not a discount program, however, buyers are expected to pay full list price, whatever. For more information on this continue reading the next article in TheStreet.
He and 100?
That’s enough for the Department of Housing and Urban Development to approve a new home purchase mortgage.
The agreement is not good for everyone – only certain states are ahead for the program – but the down payment and 100 is a clear sign that the federal government is aggressive, even desperate, to unload foreclosed properties. Experts say the government is preparing for a new wave of foreclosed homes owned by Countrywide Mortgage, which was bought by Bank of America (BAC). That can only mean up to 40,000 new foreclosures in the market.
Here’s the deal: From now until October 2012, consumers can sit back and 100 and buy a HUD carried out (the previous minimum payment amount was 3.5% of the appraised value of the property). If you buy, you have to actually live in the residence (which is to discourage the wings of the house) and get home financing through the Federal Housing Administration.
There is not necessarily a discount on the purchase of a home, though, as HUD says buyers have to pay the current list price of the property. According to the HUD Web site, there are three steps in the process:
Find a HUD home for sale – visit the HUD Web site for eligible properties.
Find a HUD registered agent of real estate.
Find an FHA lender.
HUD will also make the down payment and 100 eligible for the FHA 203 (k) loan program, which allows borrowers to access loans from the FHA to repair and renovate dilapidated houses. A review of HUD’s website reveals no strict rules on what actually constitutes a renewal, so homeowners can get a wide range of funds borrowed under the loan program 203 (k).
Payment of 100 and up can be especially useful for first time buyers, a demographic group that the federal government wants to see in the houses occupied by their owners. But even if you’re a first time buyer and are little money, HUD’s offer could be a great option worth considering.
Foreclosed homes owned by HUD in the following states are eligible for 100 downpayment and a lot:
Please feel free to send if you have any questions regarding this post , you can contact on
Disclaimer: The views expressed on this site are that of the authors and not necessarily that of U.S.S.POST.