What are the 1st time buyer limitations / restrictions?

Teresa Tims is www.TheSoCalLoanPro.com and specialized in 1st time buyer programs since 1998. She is an expert in helping people qualify for 1st time buyer FHA home loans in California . 909-920-3500

Usually the restrictions are in place to protect the borrower from getting into trouble since many buyer programs you don’t need to invest much money. The following is a list of things that might disqualify someone from a program or they may be suited for a regular buyer program through FHA or Fannie Mae/Freddie Mac. .

• Debt ratios are much more conservative (43% to 45% of your total income for all debt) o With a program you may only qualify for a 300k home VS a regular FHA loan you would qualify for 400k. (example only)
• Credit scores must be above 640 for FHA financing and the programs improve as your fico score increases.
• Sales Price and Location restrictions.
• Little more paperwork
• Might have to do a Class on budgeting and home buying
• Home warranties are often mandatory (good thing!)

If you have any questions on 1st time FHA Buyer Programs call us at 909-920-3500

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