ZERO DOWN PAYMENT

Recently I read a post concerning the existence of ZERO DOWN PAYMENT Programs. The writer stated that these programs were a scam and did not exist.

Well I am HAPPY to say they do exist and you can purchase a home with ZERO CASH out of your pocket at closing. There are a multitude of programs available through the US Department of Housing and Urban Development, State and Local organizations provide for Police, Medical Personnel and Teachers to receive some assistance and there are Seller Paid Programs available. primarily there is a waiting list associated with all of these programs with the exception of the Seller Paid Programs.

The key components to participating in the Seller Paid Programs is for your Realtor to be aware of negotiating for 6% closing cost and 3% Down Payment Assistance prior to signing a sales contract. It is important to be aware of the specifics reagarding this program and to select the right house that will not only appraise for the total purchase amount but for the Seller to agree to participate within the program parameters.

Unfortunately, while this opportunity is presently available NEW legislation (H.R. 3221) signed by President Bush July 30, 2008 will eliminate all Down Payment Assistance Programs Financed by the Seller.

H.R. 3221, Housing and Economic Recovery Act of 2008 is now a law. This bill contains a provision (SEC. 2113) that forbids FHA from insuring mortgages in which the downpayment comes directly or indirectly from an interested third party (such as the seller), beginning October 1, 2008. In addition, on October 1, 2008 the minimum downpayment will be increased for all FHA Loans from 3% to 3.5%.

The Nehemiah Down Payment Assistance Program is an example of a National Non-Profit Organization created to allow individuals the opportunity to participate in ZERO DOWN programs. They encourage all home buyers and real estate professionals to get educated and get involved.

I am pleased to announce that a new bill, The FHA Seller-Financed Downpayment Reform and Risk-Based Pricing Authorization Act of 2008 (H.R. 6694) was INTRODUCED by several members of Congress on Thursday, July 31, 2008. Representatives Maxine Waters, Gary Miller, Al Green and Christopher Shays sponsored this bill that if passed and signed into law will allow downpayment assistance to continue indefinitely.

However, it is important to recognize not everyone agrees that all should have an opportunity for homeownership.

Knowledge is power... 3 WAYS TO ACT NOW!!!
1. Contact Your Elected Official
2. Stay Informed
3. Purchase Before October 1, 2008

Should you have any questions, our Customer Service Department is available at 954-252-1760 from 9:30 a.m. - 5:00 p.m. EST to answer your questions.