FHA Down Payment Revision

A couple of weeks ago I mentioned the FHA minimum down payment would be changed to 3.5% effective October 1, 2008.  The Department of Housing and Urban Development (HUD) has postponed the change to FHA minimum down payment until January 1, 2009.  So for now, the down payment remains at 3%.

As the banking system has undergone some obvious changes in 2008, FHA has become one of the most chosen products for clients looking for a low down payment.  The VA home loan and USDA rural housing are the two programs still offering 100% financing.