- July 11, 2018
- Posted by: Michael Meyer
- Category: Connecticut
HUD Mortgage Program
Hello, my name is Ramazan Sinani and I am a Loan Officer with Northeast Financial in Middletown, Connecticut. Our company provides mortgages throughout all of Connecticut. Today I would like to talk about the HUD Mortgage Program and how it works.
Sadly, many people face hard times and some loose their homes to a foreclosure. When this occurs, the house is usually put up for sale by the bank. In some cases, this is where the HUD Mortgage Program becomes available
What is a HUD Property?
First, what exactly is a HUD owned property? A HUD owned property is one that was financed and insured under FHA and unfortunately had to be foreclosed. As a result, Federal Housing and Urban Development pays off the defaulted loan, and then places the home back on the market. Many buyers look for HUD owned properties because they tend to be below market value!
Consequently, vacant and abandoned properties negatively impact the communities they’re located in. In an effort to speed up the rehabilitation and reintegration of HUD owned properties as safe and affordable, FHA created a way to make it easy to not only purchase these homes. The HUD Mortgage Program has also made it less costly by allowing for only $100 down payment to close (for those that qualify).
How to qualify:
– 580 Minimum FICO
– 1 to 2 Unit Primary Residences, Manufactured Housing, Condominiums, and PUDs
– Home must be owner occupied after purchase
– Cannot have purchased a HUD owned property in last 24 months
– 10, 15, 20, 25, 30 year Fixed
– Combine with FHA 203(k) or 203(b) rehab mortgage to finance needed repairs… with just $100 down!
Keep in mind, because of the required down payment being so low, this will limit the sales price you may be able to qualify for. Please feel free to give me call or email me and I’d be very happy to assist you with a free mortgage consultation and free preapproval! Thank you and I look forward to our discussion!