1st Home Buyer Points to Know for 2012 FHA Regulations

By January 11, 2013
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It’s a new year and having a clean slate for a fresh start is the perfect recipe for any FHA 1st time home buyer looking to get their feet wet. For those browsing over the homes for sale in their local newspaper or online, it’s important to be up to date on all things FHA. With the arrival of 2012, FHA loan program regulations are out and active in the industry. First home buyers looking to receive a FHA Orange County, FHA Los Angeles, or FHA Ventura County loan should take some time to check up on the new policy changes for FHA loans.

Such changes involve the cost of FHA loans, but also include how to apply and receive approval for an FHA loan. To help, here are some of the changes for any 1st home buyer to note in the FHA loan requirements for 2012:FHA_620x350

• The Federal Housing Administration has posted the maximum loan limits for FHA loans on their website. The details shown read the loan limits are currently in effect since October 1st, 2011, and to remain through December 31st, 2012.

• As a 1st home buyer, if you applied for an FHA loan prior to the 2012 calendar year and after October 1st, 2011, there may be additional details for you to read and know regarding FHA loan limits that do or do not apply.

• Within the Department of Housing and Urban Development’s Mortgagee Letter 2011-39, regarding Forward Mortgages (new purchase of FHA home loans) approved and issued between November 18th, 2011 through December 31st, 2011, states for loan limits as: “ The Forward loan limits (floor, ceiling and county loan limits) that were in effect from January 1, 2011 through September 30, 2011, as announced in ML 10-40, shall apply for case numbers assigned from November 18, 2011 through December 31, 2011.” Meanings loan limit that were in effect through September 30, 2011, will apply for loans issued between November 18, to December 31, 2011, and as a FHA borrower, you will want to know the difference in loan ceiling limits for those dates versus what is applied for loans given today.

• The letter also states that for all loans approved and issued between January 1st, 2012 through December 31st, 2012, that: “The FHA Floor and Ceiling loan limits will remain the same as those that were in effect from January 1, 2011 through September 30, 2011, as announced in ML 10-40. The individual county loan limits contained in Attachments I and II of this Mortgagee Letter will be in effect.” Meaning, the loans issued during these dates will include the same loan ceiling amounts as stated above as well as the loan limits applied within the county of issue.

Though the 2012 FHA loan limits and regulations are still in need of official announcement, as an 1st home buyer looking for an FHA loan program, it is only positive knowledge to get and stayed in formed across all options available to you by the Federal Housing Administration.