FHA Loans Are Hot Again

For some home buyers today, FHA loans are the only game left in town.

It used to be that many sellers refused to list their home for sale with FHA terms because few wanted to deal with the persnickety attitudes of FHA appraisers and the laundry list of underwriter demands. FHA loans took a hard hit in 2005 when its share of loans fell to 3% of all home loans. As a result, FHA made modifications such as changing its appraisal procedures and property improvement requirements, eliminating lender letters and raising its loan limits.

As I predicted more than a year ago, buyers are returning to FHA loans now that most subprime financing has vanished. Moreover, FHA loans are easier to obtain and no longer require 45 days to close. Go ahead. Take a look at FHA. You might be pleasantly surprised at the changes in FHA guidelines and how competitive FHA loans are today. It's a whole new world for FHA . . . read more about FHA loans.

More Articles by Elizabeth Weintraub, click below:

• Buyer's Closing Costs
  
• Fixed-Rate Mortgages
  
• Home Buying Guide to Getting Started

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