| Posted By |
Message |
julz33
i run for bacon
Member since 5/05 20584 total posts
Name:
julz
|
FHA loans from sellers POV
Anything I should be concerned about as a seller with buyers using FHA loan? I know it could take longer to close which is OK with me. I am more worried about things falling through or house not appraising for enough b/c of including closing costs rolled into the loan.
|
Posted 6/15/10 2:35 PM  |
| |
|
Long Island Weddings
Long Island's Largest Bridal Resource | Prudential Douglas Elliman Real Estate |
Nifheim
allo
Member since 1/09 5476 total posts
Name:
Jennifer
|
Re: FHA loans from sellers POV
i was using a FHA loan and I am sure the people who sold me the house wished they never had taken us. FHA = PIA depending on the condition of the house. If your house is well kept/current then you should have no issues but if you have some issues you maybe required to fix them prior to closing.
|
| Posted 6/15/10 2:40 PM |
| |
|
julz33
i run for bacon
Member since 5/05 20584 total posts
Name:
julz
|
Re: FHA loans from sellers POV
Thanks. There are no issues. Our entire house was gutted and redone within the past 5 years.
|
| Posted 6/15/10 2:41 PM |
| |
|
Beth
The Key to your new home....
Member since 2/06 24849 total posts
Name:
Beth
|
Re: FHA loans from sellers POV
the seller concession can only be 3%
|
| Posted 6/15/10 2:43 PM |
| |
|
julz33
i run for bacon
Member since 5/05 20584 total posts
Name:
julz
|
Re: FHA loans from sellers POV
Posted by Beth
the seller concession can only be 3%
what do you mean? for closing costs? they are asking for more than 3%
(just calculated it, asking for 4.8%)
|
| Posted 6/15/10 2:45 PM |
| |
|
Mrs213
????????
Member since 2/09 18986 total posts
Name:
|
Re: FHA loans from sellers POV
Hmmm I can only speak from my own experience here as someone getting an FHA loan that the bank has given me nothing but problems so just be patient and give them a little extra time if they need because it prob isn't their fault.
In fact the bank is making us get a contract extension b/c our "on or about" closing date was May 30th so they view the contract as "expired"
Unheard of!!
And just make sure you take care of any major repairs because they want everything to be perfect...
|
| Posted 6/15/10 2:45 PM |
| |
|
-Lisa-
---------------
Member since 5/05 6530 total posts
Name:
Lisa
|
Re: FHA loans from sellers POV
an FHA appraisal is a little more involved than a conventional appraisal - but its main concerns are health & safety: peeling paint, decks/stairs without railings, exposed wiring, working heating/plumbing system, evidence of leaks, negative influences to the property, etc.
With all the work you've done, it shouldn't be a problem.
|
| Posted 6/15/10 2:51 PM |
| |
|
Beth
The Key to your new home....
Member since 2/06 24849 total posts
Name:
Beth
|
Re: FHA loans from sellers POV
Posted by julz33
Posted by Beth
the seller concession can only be 3%
what do you mean? for closing costs? they are asking for more than 3%
(just calculated it, asking for 4.8%)
the new rule is 3% of the purchase price for closing costs
it hasn't taken effect yet- it was suppose to already- but it could change at anytime
if the house is in contract- they will honor it - according to an article I found
|
| Posted 6/15/10 2:54 PM |
| |
|
julz33
i run for bacon
Member since 5/05 20584 total posts
Name:
julz
|
Re: FHA loans from sellers POV
Posted by -Lisa-
With all the work you've done, it shouldn't be a problem.
Yes, the entire house down the the sheetrock was redone ---except for the apartment's bathroom.
|
| Posted 6/15/10 2:58 PM |
| |
|
julz33
i run for bacon
Member since 5/05 20584 total posts
Name:
julz
|
Re: FHA loans from sellers POV
Posted by Beth
Posted by julz33
Posted by Beth
the seller concession can only be 3%
what do you mean? for closing costs? they are asking for more than 3%
(just calculated it, asking for 4.8%)
the new rule is 3% of the purchase price for closing costs
it hasn't taken effect yet- it was suppose to already- but it could change at anytime
if the house is in contract- they will honor it - according to an article I found
so if we go into contract before this new rule takes effect, then we are OK with 4.something %?
|
| Posted 6/15/10 2:59 PM |
| |
|
Beth
The Key to your new home....
Member since 2/06 24849 total posts
Name:
Beth
|
Re: FHA loans from sellers POV
Posted by julz33
Posted by -Lisa-
With all the work you've done, it shouldn't be a problem.
Yes, the entire house down the the sheetrock was redone ---except for the apartment's bathroom.
if the apartment is not legal- then the 2nd kitchen can be an issue
most people remove the stove and it's fine
sometimes it's not...and everything must come out
|
| Posted 6/15/10 3:01 PM |
| |
|
Beth
The Key to your new home....
Member since 2/06 24849 total posts
Name:
Beth
|
Re: FHA loans from sellers POV
Posted by julz33
so if we go into contract before this new rule takes effect, then we are OK with 4.something %?
yes- as of today you can go up to 6%
if the house appraises
if it changes to 3% and you are in contract- you will be ok
|
| Posted 6/15/10 3:02 PM |
| |
|
julz33
i run for bacon
Member since 5/05 20584 total posts
Name:
julz
|
Re: FHA loans from sellers POV
Posted by Beth
if the apartment is not legal- then the 2nd kitchen can be an issue
most people remove the stove and it's fine
sometimes it's not...and everything must come out
Everything is legal, up to code, recently inspected by the town, yada yada yada.
|
| Posted 6/15/10 3:07 PM |
| |
|
Beth
The Key to your new home....
Member since 2/06 24849 total posts
Name:
Beth
|
Re: FHA loans from sellers POV
Posted by julz33
Posted by Beth
if the apartment is not legal- then the 2nd kitchen can be an issue
most people remove the stove and it's fine
sometimes it's not...and everything must come out
Everything is legal, up to code, recently inspected by the town, yada yada yada.
good- then you wont have an issue!
good luck!
|
| Posted 6/15/10 3:10 PM |
| |
|
julz33
i run for bacon
Member since 5/05 20584 total posts
Name:
julz
|
Re: FHA loans from sellers POV
So it seems like it won't be a problem, except possibly the appraisal being low. Thanks for the info everyone! 
|
| Posted 6/15/10 3:12 PM |
| |
|
alli3131
Peanut is here!!!!!!
Member since 5/09 18388 total posts
Name:
Allison
|
Re: FHA loans from sellers POV
and honestly an FHA loan can go quicker than conventional loans.....in todays loan market nothing is normal.
Our FHA loan had no issues and we closed in about60 days.
We have friends that just closed with a conventional loan and had nothing but issues and I think it took them over 60 days and most of their issues were with the appraisal.
|
| Posted 6/15/10 3:46 PM |
| |
|
MrsBlueSash
Love my sailor
Member since 6/05 5793 total posts
Name:
Christian
|
Re: FHA loans from sellers POV
I just sold my old condo to an FHA buyer. I had a little more paperwork to sign, but it only took about 50 days to close, which I didn't think was too bad.
|
| Posted 6/15/10 4:31 PM |
| |
|
