DPA + Closing Costs on a 100k home in Texas?

mojo6911 · Joined: 27 Aug 2008 Posts: 3

Is it realistic that I could get this done? I realize there are a lot of factors involved.

They are asking 96900. We want Down Payment Assitance (3000) + Closing Costs (3000). Would it be reasonable to offer the full asking price, plus DPA and Closing Costs? I realize this makes up over 6 percent of their asking price.

Is there any incentive for the seller to want to participate in DPA? Tax write off or anything?

Thanks

m2c · Joined: 03 Aug 2005 Posts: 743

HUD never liked DPAs and they are effective gone now although with a rushed closing, you might meet the dealine; very unlikely though.

No real incentive for the seller with a DPA other than unloading the property. Most usually jacked up the sales price to cover the DPA which is what got this "program" in trouble in the first place. Most applications bombed out at the appraisal stage and they the LO had to bear the rath of the Realtor who was pushes an overpriced item to begin with.

mbrooks17 · Joined: 16 Sep 2008 Posts: 5 Location: SC

I am a direct lender licensed in Texas. Email me at michael.brooks@greenplanetmortgage.com or give me a call and I can answer any questions you may have.