Wake Forest NC has one of the coolest downtown areas in the state of NC. It’s no wonder so many people want to live in this town that’s just north of Raleigh. With the new 540 Beltway extension, there’s super fast access to all of the jobs in the RTP. For many homebuyers, another benefit has been the ability to buy a house in Wake Forest using the USDA Home Loan Program. Unfortunately, USDA Eligibility Maps are changing this fall, and most of Wake Forest will no longer qualify for that program… the “next best thing” that folks in Wake Forest should consider is a FHA Loan.
Common misconception – FHA Loans are not just for First Time Home Buyers – but they are only reserved for Owner Occupied Properties, and they come with some restrictions, including maximum income limits per county in NC. Below find specific information regarding FHA loans and First Time Home Buyer Programs available in Wake Forest, NC
2013 FHA Loan Amount Limit for Wake Forest and Raleigh | Wake County, NC
- One Family Dwelling: $295,000
- Two Family Dwelling: $377,650
2014 FHA Loan Limits for Wake County and Wake Forest are due to change on 1/1/14. The NEW FHA Loan limit for Raleigh NC and Wake Forest will go down to $280,600.
This has happened several times in the past few years, and we strongly urge folks to contact Congress to ask that this be reversed. While it could be good news for First Time Home Buyers – Sellers could be forced to lower prices to include FHA Buyers. Lower Real Estate prices for Wake Forest is not something that should be seen as a “good thing.”
FHA Loans have a minimum credit score requirement for the very best rates of 660, although we’ve recently been able to get loans approved with scores as low as 620. The down payment requirement is 3.5%, and this can be a gift or a grant. The Seller can contribute to Closing costs, and with mortgage rates going up this summer – we expect the housing market in Wake Forest NC is going to shift to a Seller’s Market.
Renting is more expensive than a mortgage payment for most folks. We just did a comparison over the weekend for our son. He has a nice 3 bedroom home with a full unfinished basement. He pays $1150 a month for this single family home. If he BOUGHT a $150,000 house – his TOTAL mortgage payment would be $737. Money is cheap, home prices are cheap – now is the time to encourage your kids to buy their first home!
Q: Can the 3.5% downpayment be a Gift or can I get a Grant?
A: Yes! You can get a gift for the FHA Downpayment in Wake Forest, you can also get a Grant (assuming you qualify) for 3% that you can use for the Downpayment or to cover part of your closing costs. The NCHFA Grant is available to those with maximum household for a family of 1 – 4 of $85,000. The MCC Mortgage Tax Credit 2013 income limit for a family of 3 or more is $89,900. Additionally, the Seller is allowed to pay most closing costs for FHA loans in Wake Forest, NC.
Looking for a home in the Wake Forest, NC/ Raleigh area? Call Steve and Eleanor Thorne 919 649 5058. We do TONS of FHA loans in NC and we’d love to help you! We also have Today’s Best Mortgage Rates in Wake Forest and Raleigh