Big help for condo buyers

F.H.A.’s new rules opens an important lending option to condo buyers. The FHA has relaxed their rules attracting more borrowers to purchase condos.
1. Borrowers don't need excellent credit. This opens doors to borroweres with weak credit
2. Borrrow amount increase from $362,790 to $729,750
3. More condos will be able to qualify for the FHA loans.
The downside if you qualify and take out a FHA loan is that borrowers must pay an FHA insurance premium which is similiar to the PMI.

$8K Homebuyer Tax Credit extended

President Obama signed the extension and expansion of the Homebuyer Tax credit. The credit amount is 10% of the the purchase price of the primary residence, up to a maximum of $8,000 for 1st time home buyers and $6,500 for repeat buyers who owned and lived in their home for at least 5 years. First time home buyers are taxpayers who have not owned a home in the past 3 years. Purchase agreements must be signed by 4/30/10, and closings must be finalized by 6/30/10. To qualify for the full credit,the income limitations for individuals are $125K and joint filers are $225K. To qualify for the reduced credit, the income limitations for individuals are $145K and joint filers are $245K.