Clearwater Florida - We recently received news that will help the Clearwater Florida Real Estate Market.  The President has signed the Economic Stimulus Bill which is important because it raises the existing FHA Loan limits by county so now more Tampa Bay home buyers can benefit from FHA Loans and Clearwater home sellers are happy to hear buying a home just got easier. (Determine your maximum loan limit by referring to the following link to HUD.)

What does this mean to homes buyers today? Well when it comes to Tampa Mortgages we asked to our Tampa Bay home loan expert, Leah Ross, XCO, AmeriFirst Home Mortgage to give us her insights on these recent changes.

Buying Clearwater Property Just Got Easier

Heres what Leah had to say, ‘Many homebuyers who could not realistically use FHA loans in the past to purchase or refinance homes for sale because of the low loan limit can now use the FHA loans for higher loan amounts¦in Pinellas County, this means we can use FHA loans for Tampa mortgages up to $292,500 on a single family home - which covers many of the homes currently for sale. 

What is the benefit of using an FHA loan to buy Clearwater homes or condos?

• Lower down payment on homes - Typical FHA standards say that the borrower must have a 3% down payment on their home.  However, with the help of down payment assistance programs, like AmeriDream, borrowers can have that down payment gifted and in turn have a zero down loan.
• Reduced Credit Standards for home buyers - FHA is more lenient on borrowers with limited or bruised credit history, with no true minimum credit requirement.
• Higher LTV allowed on cash-out refinances - Standard conventional guidelines say that a borrower can ‘cash-out’ up to 90% of the value of their home.  However, in our declining market environment, that number is reduced by 5%.  This is a problem for many homeowners trying to get our of their adjustable rate mortgages.   With an FHA loan, a borrower can cash-out up to 95% of their Clearwater florida real estate property value.

   Why Tampa Bay REALTORS are Embracing FHA Loans

• FHA has made some significant changes in their underwriting criteria.  In the past, FHA inspections were required to make minor repairs for cosmetic defects, or normal wear & tear.  Now, FHA has revitalized to a underwriting process much similar to conventional loans, making it easier for those buying proeprty to use and Tampa Bay REALTORS to promote FHA products.
• Now those with homes for sale can offer concessions to the home buyers to help sell their homes - FHA allows the seller to ‘gift’ the 3% down payment through AmeriDream.  In addition, the seller can give up to 6% of the sales price to the buyer for closing costs, prepaid expenses and points.
• If you have a home or condo for sale that isnt selling because the home needs some improvements such as new flooring, windows or updated appliances - the new mini FHA rehab program allows buyers to finance as much as $35,000 into the mortgage for minor repairs that would be completed after the sale.’ (Weve used this with pre-foreclosure and bank-owned REO foreclosure homes for sale )
  

Its easy to see that FHA mortgages are going to be a more popular way to buy a home or condo in  the Tampa bay area and is a great option for home purchases or refinances.

Now that you see why purchasing Clearwater Florida Real Estate just got easier, feel free to see all the homes and condos for sale in the Tampa Bay MLS with photos.    

If you are a Tampa Bay home buyer who has recently been turned down for a conventional mortgage loan or were told that you have to bring more money than you have to closing, I encourage you contact Leah Ross at email at LRoss@AmeriFirst.com or call her at 813-643-8430 and take advantage of the complimentary consultation to see if this new FHA program is right for you!