http://www.ascensionrealestateappraisers.com/ – FHA Appraisers in North Ascension Parish (Prairieville, Gonzales, Geismar, Saint Amant, St. Amant, Sorrento) Report: FHA Loan Limits to Remain Same Through 2010

FHALoanPros.com is reporting that FHA Loan Limits To Remain Same Through 2010. The article link is here. Here’s a snippet from the article:

“Current loan limits for FHA home loanshave been extended through the end of 2010. This move is expected to help ailing US housing markets by extending the availability of FHA loans to homebuyers and homeowners in higher priced markets. FHA loan limits are based on 125 percent of local median home value, and vary by location. With the demise of sub prime lending, FHA plays a significant role in providing home loans for borrowers who cannot meet conventional mortgage lending requirements. Challenges can include:

Moderate income: FHA allows higher housing expense to income (31 percent) and debt to income (43 percent) ratios than conventional mortgage lenders. Thee ratios, sometimes called front-end and back-end ratios, are determined by dividing borrowers’ estimated housing expenses by gross income, and dividing total installment debts by gross income. FHA also allows non-resident co-borrowers (such as parents) to sign as co-borrowers for primary borrowers needing income assistance. FHA guidelines are generally more lenient than conventional lending requirements.”