FHA Flex Loan Program

It is designed for first time home buyers,
It is a fixed rate mortgage with study monthly payments,
The borrower to use gift funds for the entire down payment or by seller contribution of up to 3% of the sales price if the buyer is putting less than 10% down. (If the buyer is putting 10% or more down, the seller may contribute up to 6% of the closings costs).

Loan Advantages:

It is a 30 year fixed rate loan, payments are predictable over the life of the loan,
Best for buyers living on a fixed income - a set budget,

Loan Requirements:

Their is a 3% sales price minimum down payment requirement,
Property must be owner occupied,
A 2 year history of income and history is required,
Job title should be the same for 2 years or a related field,
Education can be counted towards the 2 year history, (for example if your education is in business management and you are a business manager that may suffice),
The borrower is required to have a minimum of two months cash reserves in the bank by the close of escrow.

Allowable Types of Properties

Single Family Residence (SFR) with attached/detached garage

2 to 4 Unit Properties - are allowed

Condominium or PUD - approved by Fannie Mae / Freddie Mac

Not Allowed:

Second homes and investment properties are not eligible under this program.
Cosigners (Non-Occupant Co-Borrowers): Not allowed.

Loan Assumability and Prepayment Penalty: