HUD REO $100 Down Loan

Con 30-yr Fixed - 4.5%
FHA 30-yr Fixed - 4.5%



HUD REO sales with $100 down payment incentive: HUD properties with the $100 down payment incentive will be permitted as follows:

1. The maximum loan amount after adding UFMIP may exceed 100% of the lower of the sales price or appraised value.

2. The maximum LTV with the inclusion of Repair Escrow is 110%.

3. Repair escrows are permitted (line 4 of sales contract indicates 203b with Repair Escrow).

4. The maximum amount of allowable repairs is $5000.

5. Maximum DTI 45% (DTI > 45% must have compensating factors plus a 2nd signatu e) regardless of AUS approval.

6. Where a discount on the sales price is being provided, the mortgage amount must be based on the lesser of the “as-is” value or the discounted sales price, not the contract sales price.

7. Follow 4155 guidance and HUD requirements.

8. Standard program only, fixed rate. ARMS not permitted.