Great question Frank, you are not alone out there. I am here to help. I have helped a number of local people in situations smiler to yours, each and every situation is unique to it's self. Experience shows that we should do a one on one needs assessment to find the options that fits your situation and be done with it.
I may be reached directly @ 330-467-7000
Ken Woods... more
You are correct to note that Ameridream will take a fee from you to provide the down payment assistance "grant"... and I agree with your assessment (as a personal opinion) that seller-funded DPAs while legal are somewhat unsavory. I have refused to write such loans in my shop as a matter of principle.
Second, just a note of caution: The Housing Recovery Act passed July 31, 2008 calls for a ban on seller-funded down payment assistance grants for FHA insured loans effective October 1, 2008. Ameridream is one of the companies that provides such "grants".
Many lenders have already ceased to accept applications using seller-funded down payment assistance grants in advance of the Octover 1 deadline. The reason is that lenders need time after closing and funding to receive the FHA insurance endorsement. There are several lenders, however, who are working applications with seller-funded down payment assistance right up to the deadline.
I suggest asking your Realtor to contact the buyer's agent to be sure that the buyer's lender is willing and able to close by September 30th to avoid an unpleasant surprise at closing.... more