Purchase for $100.00 Down


$100 Down Gets

You into a Home. 

With New FHA Sales Incentives



$100 Down Gets

You into a Home.

With New FHA Sales Incentives

Introducing the FHA & HUD-Owned Home Sales Incentives. Increasing the Affordability of Homeownership.


Up to 110% LTV,* varies by county.**

$100 down payment with FHA financing.

$5,000 sales allowance paid toborrower for repairs at closing when using FHA financing.

HUD 3% allowable closing cost funds still apply.


All HUD-owned homes for sale in eligible states/territories.***

Only properties purchased by an owner-occupant are eligible.

List of eligible homes in each state available at: http://www.hud.gov/homes.

*The LTV may exceed 100%, up to 110%, as the result of financing a repair escrow included in the sales contract. The cost of repairs may not exceed $5,000. **Refer to maximum loan amounts section in product description. ***The new products are available in all states/territories where HUD is currently offering its $100 down payment program. See product description for state restrictions. Programs available only to qualified borrowers. Programs subject to change without notice. Underwriting terms and conditions apply. Some restrictions may apply.

Karen Cox Landmark Professional Mortgage

503 385 -4050 or karen@landmarkprofessional.net


FHA Property Flipping Rule waived!!

Hud announced today that as of February 1st, 2010 they are waiving the 90 day rule for sellers to be in title to a property, also know as the “flipping rule”.   This is good for 1 year and does have positive influence in the market place!!

As long as the buyer and seller are not related and as long as the seller is not increasing the sales price by more than 20%, there are no other requirements or restrictions to this waiver.

If a seller has increased the price by more than 20%, the lender has to 1)document by a second appraisal what improvements were done to the home to justify the increase, 2) order a property inspection and provide it to the purchaser.

This will help more buyers to purchase these foreclosed homes in a more timely manner and will help reduce the property inventory in the market.

Finally- Hud is listening and is making sense!!

New Good Faith Estimate

Effective January 1st the new Good Faith Estimate becomes required.  The new form is suppose to make it easier for the consumer to shop and compare lenders and the costs for a mortgage loan.  Notice I said “suppose” to.  Many in the industry are still very confused over the form as well, so don’t be upset if you don’t feel comfortable seeing the new form. 

There are many things about the new form that have us all shaking our heads. For example, there is no place to show the consumer their total house payment or how much they need to close .  These are two numbers that are important in the home loan process.  This new form can not be written on or even signed by the borrower either.

The new settlement booklet is finally out, please see the link below to access the booklet that will explain the new form.  I would be interested to hear your thoughts on the booklet and new form.  Does it make it easier or more confusing to obtain a mortgage loan? 

HUD released their settlement cost brochure today!! Here you go… http://portal.hud.gov/portal/page/portal/HUD/documents/Settlement%20Booklet%20December%2015%20REVISED.pdf

FHA allowing use of First Time Homebuyer Tax Credit for Purchasing- sort of

Many have heard about the rumor that HUD and FHA will allow the use of the First Time Homebuyer tax credit for purchasing a new home.  Well- yes and no.  The new rules have been released and they are as follows:

Borrowers MUST have their 3.5% into the transaction, the tax credit can NOT be used for the down payment.  The borrower may use the tax credit for closing costs, buying down the mortgage rate or additional down payment. 

The tax credit is “purchased” by an entity or individual for no more than 2.5% of the actual credit so for example, the borrower is allowed the full 8000 credit, they will actually benefit 7800. That is a positive as those looking at purchasing this prior to HUD’s ruling were charging a killing for this!  This person or entity can NOT be someone involved in the transaction.

We must document that the borrower has no other IRS obligation that will reduce their ability to receive the tax credit. We must complete IRS 5405 to determine this.

So- Good news, bad news, borrowers will still need 3.5% down, but now maybe won’t need so much in seller credit?