Getting approved for an FHA loan around Atlanta is easy, for now. Buy your home now, and you get 8,000 free smacks from the Government. And, Atlanta real estate is on sale.
Now is a great time to buy. But FHA lending guidelines could get much tighter in a hurry. Here’s why:
- A bill has been introduced in Congress that would increase the minimum down payment for an FHA loan from 3.5% to 5%. And a precedent has been set for making FHA lending more restrictive. Last year Congress raised the required down payment from 3% to 3.5%. Just think what that proposed increase would mean to you. That $200,000 home in Suwanee would increase your down payment from $7,000 to $10,000. Can you scrape together an extra three grand?
- Another reason to act quickly and buy your Atlanta area home with an FHA mortgage is a little more difficult to pinpoint. You see, a LOT of news is filling media outlets about the losses – or threat of losses, that the FHA program and HUD are likely to face. So, Congress reacts with regulation and tightening. For example, this article appeared today on Bloomberg, saying FHA potentially will need a $54 billion bailout withing 24 to 36 months. Changes are afoot. Act decisively and secure the best FHA home loan for your Atlanta home.
- And, the news that you as a reader of this blog know already – the $8000 tax credit for first time home buyers will expire on November 30. There is talk of extending the tax credit beyondNov. 30, but thus far that is only talk. And with the political tide turning against bailouts and subsidies and spending, it may not be extended.
Three reasons to move quickly, if you are considering becoming an Atlanta first time home buyer.
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