TenantTag

Do you want to buy your first home? On May 5, 2022, the Federal Housing Authority (FHA) announced a new program to help first-time home buyers find property to purchase. Basically, tenants wanting to buy can get first look at FHA foreclosures before investors. The goal is to ensure more single-family properties go toward home ownership than to investors who turn the homes into rentals.

What is the program?

• For the first 30 days that a foreclosed property is listed for sale, only owner-occupant buyers, approved nonprofits, and government entities can make an offer.
• Once a sales contract is signed, a buyer has an additional 60 days to secure financing and close the purchase.
• The program must be implemented for all post-foreclosure sales by early August.

How to participate?

• Contact an agent and tell them that you want to look at FHA foreclosure.
• Owner-occupant buyer provides a signed statement that states intent to use the property as a principal residence.
• Nonprofit buyers get preapproved by HUD.
• Government entities submit a signed statement on their letterhead stating they are a government entity.

Contract Details

• Buyers have a minimum of 15 days after the contract signing to cancel the purchase if there is an issue with the property’s condition.
• Purchasers can cancel the contract up to 7 days before the closing date due to issues with the title.

Other information from TenantTag

• Tenants Wanting to Buy Can Get First Look at FHA Foreclosures
• Where are the highest and lowest rents?
• 7 Reasons Your Rent is Increasing
• 3 Facts About Dropping Medical Debt From Credit Reports on July 1
• 3 Ways Tenants Can Pay for Laundry from Their Phones

@tenanttag #tenanttag #FHA @FHA