Comments on: FHA Discrimination

By: Josh

Josh — Wed, 10 Mar 2010 02:42:20 +0000

This is such a disservice to FHA buyers. I am in the market for a new home, never one late in 8 years of credit history. My FICO is great but I have listing agents brushing me off b/c I insist on FHA. Is there a remedy for this? Against the law? Could I sue the listing agent for discrimination or breach of fiduciary duty?

By: Alex

Alex — Mon, 01 Feb 2010 22:01:45 +0000

Its another way that banks and realtors can discriminate under the table. I really think this should be called the new “red lining” of the new 21st century.
Attention State Attorneys, easy pickens if it wasn’t for the bank and lender lobbists.

By: Karina

Karina — Thu, 03 Dec 2009 17:32:30 +0000

Hi,

Can a mortgage commitment contingency EXCLUDE FHA laons? My deal on fell through after the bank realized the condo association had an FHA outstanding already and owed more than $10K in fees. Now the seller is REFUSING to refund the downpayment saying it does not apply to the type of mortgage I applied for.

K from NYC.

By: W.C. Varones

W.C. Varones — Sat, 05 Sep 2009 17:39:27 +0000

FHA is a huge scam to give speculators free put options at the expense of taxpayers. It’s going to end badly.

As long as they’re handing them out, I want my free put option. F the taxpayers.

http://wcvarones.blogspot.com/2009/09/fha-subprime-lending-about-to-blow-up.html

By: First-Time Buyer FHA Loans in California | Sacramento Home loan Articles

First-Time Buyer FHA Loans in California | Sacramento Home loan Articles — Sat, 05 Sep 2009 09:00:41 +0000

[...] lending rules and they are concerned that they can actually close the deal and become homeowners. Prejudice against buyers with FHA loan approvals is also a growing concern. Overcoming these market realities is simply a matter of [...]

By: Effective Demand

Effective Demand — Sat, 05 Sep 2009 08:55:29 +0000

As DKO says 90 day seasoning is a barrier for any 3rd party sale on the courthouse steps (or any change of title).

MPR (minimum property requirements) are also an issue. If you don’t meet them, no FHA.

Most of the “NO FHA” comments I see are because of one of these 2 issues.

By: DKO

DKO — Sat, 05 Sep 2009 07:14:44 +0000

For the flipper-seller, an FHA loan is a non-starter since title needs 90 day seasonsing. Most flippers want to get in and out ASAP so waiting 90 days to change title again is avoided.

By: PJ Cannon

PJ Cannon — Sat, 05 Sep 2009 05:33:44 +0000

I have a credit score of 800, make good income working for a top engineering company, and have lost out on numerous properties since March, which I realize now was likely due to my FHA financing. No one can tell my the contract submitted that I am a mature, responsible female with a steady job and excellent credit, as well as a previous home owner.

After reading the article and the posts, I’m feeling much better about my decision to throw in the towel and rent for another year to save for a 20% downpayment so I am not discriminated against with FHA financing.

By: tj and the bear

tj and the bear — Sat, 05 Sep 2009 02:21:00 +0000

In a world where the government is trying everything and anything to push people into homes, it’s nice to hear there’s some countervailing forces. If this sentiment were more widespread the FHA might actually have a chance at survival.

On second thought… nah, it’s still toast.

By: Charlene

Charlene — Sat, 05 Sep 2009 01:27:06 +0000

Thanks for that item, Jim.

As someone who will be going the FHA route, it’s disappointing to encounter the sneering & contempt that some people have for people like me. I am not the bottom-feeder that you might think (and my FICO is AWESOME!)

I’ve encountered many listings that state “no FHA.” I’ve found that most realtors simply don’t know the current rules for FHA and even fewer know about the 203k rehab loan. One house that I’m interested in is asking the buyer to pay for the seller’s costs. That one is a short sale.

For those who “demand” 20% down, consider this: 10 years ago, when I was 35, I was talked out of buying a home because I didn’t have 20% down. My goal then, as now, is to have a home paid off by the time I retire. Today, instead of being 1/3 of the way through a mortgage commitment, I have 20% down in cash…..for 1999 prices. (I refuse to liquidate 401k $) My rent has increased by 110% and the payment for the house in 1999, would have been less than my rent now. Why should I be less deserving of retirement stability than anyone else?

P.S The Halloween comment was so true!