Posted by Alex Gurevich on June 07, 2000 at 18:13:18:
Actually, FHA has been working on a “qualified” lease/purcahse program for a while, or at least so I was told by a broker.
They require a 3% downpayment, the price is predetermined upfront by an appraisal, the lease payments are calculated based on the 30 years amortization at current FHA rates (inlcuding PITI). Certain participation of the Seller in Buyers’ closing costs is required. With year worth of timely payments of rental, they insure the loan funded through an approved broker.
I am not sure how far ahead they’ve gone with this program, but it was amusing to look into it, as no traditional FHA underwriting guidelines were to apply.
Of course, only homes within the FHA loan limits would qualify.
I am trying to sell an imaculate 3000 SF, colonial style home 4/5 BR, 3 1/2 BA, with in-ground heated swimming pool, balcony with spectacular view, barn with horse stables, 6 + acres land, with too much more to mention, $249,000.
I have been marketing it as a Rent to Own. I just got off the phone with a lady who wanted to know if I would rent it through the HUD program. HAHAHAHA!!!
That’s funny. Almost as funny as the couple I made an offer to - take the house subject to and $1000 CASH. They did’t want to deed me the house because they were worried about their credit. Then they told me they are consistantly late with mortgage payments and they are currently 3 payments behind.
Some people just don’t get it.