Changes in the Mortgage Market - Update

A couple of weeks ago I had a post about the changes in the mortgage market and that down payment assistance programs were going to be over as of October 31st. See that post here. There have been some updates since then. According to Gerry Sarich, Pacific Residential Mortage:

AmeriDream, down-payment assistance program (DPA), has been granted an extension to continue to assist homebuyers with down-payments until 2/28/2008. Nehemiah, another DPA program, has also been granted an extension until 3/31/2008.

So if you are writing an offer or you receive an offer that will have FHA financing AND are using a DPA program you need to be sure the lender is using either AmeriDream or Nehemiah.
A few facts regarding FHA financing:

*FHA allows for seller concessions for closing costs and pre-paids up to 6% and the gift for down payment IS NOT included in the 6%.

*FHA loan limit for Ada and Canyon Counties is $230,850.

* FHA will also finance an owner-occupied duplex, tri-plex or four-plex.

* FHA also allows for a non-occupying co-borrower.