As we continue to struggle with our national and local Portland Oregon housing markets, what we don’t need is more obstacles.  However, it appears that FHA (Federal Housing Authority) is facing a liquidity problem!  17% of FHA loans are in foreclosure, compared with 13% of the entire market.  Thus, FHA’s cash reserves have declined below acceptable levels.  Some new changes are “coming down the pike”.

FHA will hire a risk manager.  They will increase audited financial net worth requirement of approved FHA lenders from $250,000 up to $1,000,000.  The will increase minimum credit score standards for buyers.  And, they will now require income verification on streamline FHA refinances.  This may disqualify some buyers that are on the edge of qualifying and it will decrease the number of lenders that can do FHA loans. 

These new developments plus the up-coming end of the 1st-time homebuyer credit (homes must be closed by November 30th, 2009) should motivate some buyers to “step up to the plate”!!!

About the Author | Janeese Jackson

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My job is service...service to you and your real estate transactions! How can you benefit from my 20 years of experience and expertise? What can I offer to make the process more productive? * Current information on available housing...comparative and competitive market pricing and analysis * Daily involvement in the local real estate marketplace * Thorough, comprehensive knowledge reflecting years of helping others complete their real estate business * Extensive network of professional resources to make the process as smooth as possible My commitment is to you! Being available to you...returning your calls...answering your questions...addressing your concerns...respecting your money...matching your timeline...meeting your expectations...helping accomplish your real estate goals!!