More and more lenders are requiring larger down payments on new purchase money loans. PMI companies are less willing to insure loans with only 5% down. The new rule of thumb will be a minimum of 10% down with maximum loans at 90% of the purchase price and 700 minimum FICO scores. This new requirement will adversely affect first time buyers that do not have any equity derived from the sale of their current home. Today’s market place of home buyers is made up of renters with little or no down payment. Who can they turn to for their new mortgage? The answer lies with the FHA. These loans still offer 97% financing with credit scores as low as 530. The upfront mortgage insurance premium can be added into the new loan amount. This coupled with the new $7,500.00 tax credit will open the door for affordable home purchases to those individuals that were kept out of the housing market place for many years.

Let AEQUOR FUNDING CORP. be your educator to this and many other loan products that are available to you the buyer, you the seller and you the realtor. Join us in partnership to match all parties to the mortgage transaction that will best meet your goals.