It was announced last week, and rescinded the next day... and was only available as an interim loan through FHA if you were getting an FHA loan. But it was questionable, as to whether it would work anyway... because FHA guidelines state that you CANNOT receive more than 3.5% of your down payment from anywhere other than the buyer (so they would have had to over-ride themselves) ...
plus... many lenders have their own "overlays" that tell them how they will function... and sometimes those overlays will not allow such a boon.
btw... you don't need a Real Estate agent who understands this aspect... (although it's nice)... what you need is a "lender" who understands it. That's much more important. Here in the Chicago area, most Realtors don't get dramatically involved in your finances... we leave that up to your lender.
If it's for real, Great! I've heard different things about some states working on something also. But everyones seems to say, later, over there, I heard, they said. I think advice or announcements from those claiming "expertise" should be far more helpful or accurate than that when it suggests people should buy or puts out the hope to some that now they might be able to.
If the public learns it's just one more positive spin that never existed or just a gamble for them I do not think it's going to be a good thing for those in the industry. Better safe than sorry for the industry at this time and far more effective in gaining Trust by being Open/Honest about why people are asking this question in the first place.
The Industry wants Trust and the Consumer can only give that based on what they see and hear. If they give that Trust then a corner may be turned, but the #1 Question remains and has to be "Why" would they give that Trust at this time. It has to be based on more than the industry saying it "deserves" it.
They need to know they can trust the industry in general just as your cllients know they can trust you. They know they can trust you for a reason, you won't BS them to futher your own agenda.
There are many more.....
Some seem to wish to use this "information" as bait to troll for clients and because this type of thing happens I would suggest verifying information especially that based on "expertise" before making any decisions that could have an affect on a large financial decision.
Become informed and weed out the Professionals from those with an RE License.
Prudential Biros Real Estate
I would be glad to help you. I have lenders who can help you over the phone or online for FREE. I also have an awesome email program that sends AVAILABLE listings to your email address that fit your criteria. All I need is your criteria. A FHA loan requires 3.5% down, and that can be taken from your 401 K without penalty to buy your first home, or gifted from a family member etc. You will get $8000 if you buy a home that is $80,000 or more and do not have to pay it back unless you sell your home within 3 years of purchasing it. The government has decided to allow the $8000 to be used as a downpayment, however, right now the lenders are in the process of figuring out how to do it. Until then,( which gives us time to find your home) they have not figured how this is going to work as of yet. Probably by the time we find the home you are interested in purchasing, they will have this all worked out. If so, you will only need $1500 to buy a home, $1000 for earnest money and the rest for the inspection ( which has to paid up front). I am very good at getting the seller to pay the closing costs with creative financing, so contact me and I will explain how. The best thing is that the seller pays my commission so my services to you are FREE! I have references so you can also check my website, http://www.CarmensHomes.com or email me at trulia@CarmensHomes.com or call my cell, 708-533-0515. I look forward to hearing from you. You won't be sorry you contacted me!
Remax 10 In the Park
I am not sure if they passed it completely yet, but call my friend Bill Chu at American Chartered Bank and he should be able to help you with the question or to prequalify you. His number is: 708-203-2258.
Baird and Warner