North Carolina Mortgage

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FHA Reform Bill starts in January 1st, 2008!

The U.S. House of Representatives today passed
H.R. 5121, the "Expanding American Homeownership Act of 2006."

This bill contains six reforms to the FHA single-family insurance program.

The changes include:

higher FHA loan limits nationwide, and especially in high cost areas.
taking away the  3% downpayment requirement
no caps on FHA reverse mortgages
streamline FHA condo loan programs
loan terms to 40 years for lower monthly payments
FHA to charge risk-based premiums to borrowers.

This is great news for new home buyers, and anyone looking to refinancing from a high interest rate with a high loan amount!

FHA Mortgages

 

 

10 comments • NC Mortgage Lender • September 25 2007 11:40AM

Comments

Slow down, only the house passed this bill.  It still needs to go to Congress and the President before it's really passed.
Posted by Rosemont Financial Inc over 2 years ago
Everyone knows it's going to pass!
Posted by NC Mortgage Lender (Mortgage Charlotte NC) over 2 years ago
Wait on the Senate, Bush has indicated he will sign it as long as the senate does not add a lot of extra pork to it.  But it does look promising
Posted by Joe Adams (Major Mortgage USA/Branch Manager) over 2 years ago

Great info-I hope it will help..

Thanks for sharing

Posted by Orlando Homes Armando Rodriguez Real Estate & Mortgage Broker-GRI (QUEST REALTY SERVICES) over 2 years ago

Cooooolllllll,

thanks for that timely update this morning Robert. That is definitely GOOD NEWS for FHA.

Sean Allen

Posted by International Financing Solutions over 2 years ago
Great Article, What is the max loan limit for FHA in California?
Posted by Brett Noel (Keller Williams) over 2 years ago

depends on the county.....but most counties in CA are 362,000 for FHA.

They're looking to raise it to the 700's

Posted by NC Mortgage Lender (Mortgage Charlotte NC) over 2 years ago
It is good to see that the government is trying to help out our industry.  As long as they aren't using our tax dollars for a bail out.
Posted by Rob Arnold, metro Orlando full service, investor friendly & foreclosure Realtor (Sand Dollar Realty Group, Inc.) over 2 years ago
just read that the FHA reform bill (perhaps the senate version only) effectively eliminates 3% down payment assistance provided by NEHEMIAH and AmeriDream.  Has anyone heard anything about this???  here is a link http://realtytimes.com/rtcpages/20071003_sellerassist.htm 
Posted by alan- chicago over 2 years ago

Yes that will effective November 1st. No more seller gifted funds........or down payment assistance.

I heard that Nehemiah/Ameridream is taking FHA to court over this

Posted by NC Mortgage Lender (Mortgage Charlotte NC) over 2 years ago

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