HUD $100 DOWNPAYMENT PROGRAM
The $100 downpayment HUD program allows people to buy homes in which they plan to live, using an FHA loan at low interest rates, as long as they offer HUD the full amount at which the home is listed.
Buyers can structure their offer such that HUD also pays their reasonable closing costs -- so the only money they need to bring to their closing is the $100 downpayment. If repairs are needed, buyer can receive up to $5000 in escrow for necessary repairs to be completed after closing
The incentive program was established as a limited time offer.
HUD homes eligible for the $100 down payment program have all been foreclosed upon by their lenders; the loans involved in the foreclosure were FHA-insured. Other foreclosures on which the loans were not insured by the FHA do not become HUD homes and are not eligible for the $100 downpayment program.
This is a huge savings to buyers with limited funds as regular FHA loan programs require 3.5% down plus closing costs if transaction is not structured with seller concessions.
Call Joe Bell, mortgage broker, Rapid Mortgage Solutions for more information on this fabulous program!