More Deatils on th $8,000 Tax Credit

After some extensive research I have more details on the $8,000 tax credit. FHA approved lenders have been given the ok to use the tax credit up-front. Now here is how this works. FHA will develop a bridge-loan to cover closing costs and additional down payment meaning... the borrower still has to come up with the 3.5% down payment required by FHA. The tax credit can be used to cover closing costs and fees to buy down the rate and to increase their downpayment. So the borrower still has to come up with 3.5% down but if they wanted to put 5% down the tax credit would cover the diffrence which is 1.5%. As more information is released  I will keep you all updated.

Daily Rates

Conventional 30 Yr. Fixed Rate: 5.250%*

FHA 30 Yr. Fixed Rate: 5.50%**

USDA (100%) Fixed Rate: 5.750%***

*Based on a 150K purcahse price with 10% down and an APR of 5.868

**Based on a 150K  purchase price and 3.5% down with an APR of  6.295

***Based on a 150K purcahse price with a loan amount of 153K and an APR of 6.166