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Categories: Brett's Mortgage Blog

How To Buy A House From A Relative With No Money Down…

Did you realize that when buying a house from an immediate family member – the buyer doesn’t have to come out of pocket for a down payment with an FHA loan? (As long as it’s a owner occupied residence for seller and buyer.)

…this is because the guidelines allow the seller to “gift” equity to the buyer.

So, the 3.5% down payment on an FHA loan can be a gift from the seller. …in addition to this, the seller can also pay the buyers closing costs, and pre paid expenses (taxes and insurance).

Neat, huh!

That’s it for today!

Have a good day today! …and thanks for reading.

Brett

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Brett Sampson

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