One of the most common things that any Orange County home buyer knows that they should when buying a home in the area is good credit. It is almost impossible to get a great mortgage loan if you have bad credit, but thanks to the FHA many people in the area who have what can be considered less than desirable credit are able to get a second chance when it comes to buying a home.
Good And Bad
Although FHA loans are helping many homebuyers realize the American Dream of homeownership, some financial experts are questioning the wisdom of the Federal Housing Administration as they have been giving loans to the very people who took out the loans that led to the last financial collapse.
Regardless of who is to blame, one person who is excited about having another chance at home ownership is Hermes Maldonado, a Moreno Valley man who was able to purchase a four bedroom home this summer for only $170,000! While his new home is not quite as nice as his previous one, it is still another shot at the American Dream.
Maldonado, a machine operator by trade, is a good example of having another chance at owning a home in spite of going through bankruptcies and foreclosures two times.
How Does The FHA Stay Afloat?
Thanks to the FHA, over 8 million people across the United States have been able to enjoy the privilege of homeownership once again. The agency has experienced huge losses over the last few years though and after it now looks like the FHA will need up to $13 billion dollars just to stay afloat. This will be the first time the FHA has requested a bailout since it was created during the Great Depression.
To learn more about FHA loans and how they can help you buy a home again, contact the experienced team of Orange County realtors at Fred Sed and Associates by calling (949) 272-0125.