FHA Secure Program is here!!President George Bush has announced this program today to help approximately 240,000 families!Here are a few factors needed to apply for this FHA loan.
To qualify for FHA Secure initiative, eligible homeowners must meet the following five criteria:
A history of on-time mortgage payments before the borrower's teaser rates expired and loans reset
Interest rates must have or will reset between June 2005 and December 2009
Three percent cash or equity in the home
A sustained history of employment
Sufficient income to make the mortgage payment.
FHA Secure Program, like all FHA loan products, will be underwritten to ensure the borrowers have the ability to repay the mortgage loan, will require escrow for taxes and insurance, and will continue to offer unprecedented foreclosure prevention assistance. The FHA has never permitted and will not include pre-payment penalties or teaser rates that are common in exotic mortgages and have caused much of the current market troubles.
FHASecure Program