With the announcement from Fannie Mae of increased loan limits for 2019. Not only are the Fannie Mae loans benefiting, so are the MassHousing loans! Did you know that Mass Housing (MHFA) loans are a safe and affordable alternative to FHA Mortgages. Did you know the Mortgage Insurance for FHA never goes away! Mass Housing still offers its mortgage program that features Low Down Payments, as little as 3% down with No Mortgage Insurance! This product provides financing (purchase or refinance) up to 97% of the appraised value of the home without the hefty mortgage insurance payments that are typically associated with low down payment programs. MHFA follows Fannie Mae Guidelines, which means the traditional loan limit is $484,1350!
This special program is available for owner occupied; one to four family properties including condominiums on both purchase and refinance transactions. With a low fixed rate, the down payment can be a gift on single family homes. The MassHousing Mortgage with No Mortgage Insurance is a great choice for low and moderate income home buyers.
The 2019 Fannie Mae Loan Limits
1 Family Loan Amount of $484,350
2 Family Loan Amount of $620,200
3 Family Loan Amount of $749,650
4 Family Loan Amount of $931,600
Features of the Mass Housing Loans for 1 to 4 family homes
As little as 3% down on single-family homes and condos
As little as 5% down on 2, 3 and 4-family homes
3 and 4 Family require 700 Credit Score
No mortgage insurance required
Income limits as high as $123,660 in many cities and towns
Fannie Mae loan limits apply, borrower up to $484,350
Approved community second mortgages allowed
Credit scores as low as 660 (additional conditions may apply)
Gift funds can be the source of the down payment on single family homes
Have you ever wanted to buy a fixer upper? Did you know FHA offers a few different types of rehabilitation loans? The Streamline FHA is one of the most common loans available. This allows you to add an additional $35,000 to your base mortgage to improve or upgrade your home prior to moving in. The same low down payment of 3.5% is required and a minimum Credit score of 640. Gifts are available as well as seller credits, go here to learn more about that. Seller Concessions and Gifts.
The list below is a general outline of all the items you are able to repair, fix and even replace.
Repair/replace roofs, gutters and downspouts
Repair/replace/upgrade of existing HVAC systems
Repair/replace/upgrade of plumbing and electrical systems
Repair/replace existing flooring
Minor remodeling, such as, kitchens, which does not involve structural repairs
Exterior and interior painting
Weatherization: including storm windows and doors, insulation, weather stripping, etc.
Purchase and installation of appliances. Appliances may include free-standing ranges, refrigerators, washers, dryers, dishwashers and microwaves
Improvements for accessibility for person with disabilities
Lead based paint stabilization or abatement of lead based paint hazards
Repair/replace exterior decks, patios, porches
Basement refinishing and remodeling, which does not involve structural repairs
Window and door replacements and exterior wall re-siding
Septic system and or well repair or replacement
10% contingency reserve with a maximum of $2,500; 15% with no utilities on or foreclosed property
The FHA 203K Rehab loan is a great way to get into a home that may need a little work or a full transformation. For more information about Rehab Loans, call or email me anytime.