FHA down payment requirements have increased in recent months. Prior to 2009, the FHA minimum was 3%, but was increased to 3.5% this year.
There are rumors that the down payment requirement will increase to 5% in the near future, but nothing has been confirmed.
In addition to a down payment, don't forget that when you purchase a home or refinance, there are FHA closing costs. However, there are ways to finance the closing costs.
The easiest and most popular way to do this is to negotiate with the seller to pay your closing costs. This means that as part of your sales contract, the seller agrees to pay a certain dollar amount in closing costs. These "seller concessions" cannot go toward your down payment, however. You must still come up with the 3.5% down.
Utilizing FHA seller concesssions to open the door to home ownership has been effective for many years to help families buy a home.
For more information about FHA down payment requirements or to talk to one of our experienced FHA home loan consultants, please fill out our FHA quick quote form on the right.
back
| 
