Instructor: JD Teitelman

CE: 1 hour Real Estate Related

One out of ten purchase mortgages in America are FHA mortgages. FHA is a powerful tool for borrowers with low down payment to use to purchase a home, but it has a stigma to it. Over the years, agents have dissuaded clients from working with contracts that have FHA financing due to a myriad of myths. In this course, we will work to debunk those myths.

The class will start with a review of history and origins of FHA. Bring the discuss to current day, we will discuss unique characteristics of FHA mortgages, why a client may choose FHA vs conventional financing, and FHA underwriting (role of the underwriter (automated vs manual), income, assets including down payment assistance, and credit guidelines). Next, we will discuss FHA financing on condos, new construction and recently purchased homes (FHA flip rule).  We will discuss the role of the appraiser in FHA transactions. Finally, we will discuss the FHA addendum/contract requirements.