Many in the real estate industry were concerned about the fallout of a proposed cap to maximum seller contributions from 6 percent to 3 percent for home purchases using FHA-insured loans. But the FHA is weighing another change that may cause less concern, Inman News reports.
FHA 5 Year Treasury Arm
FHA 5 year treasury arm
If you are looking for the lowest payment possible for the next 64 months than this program can accomplish that.
With rates at 100 basis points lower than a traditional 30 year fixed this program is an attractive option for new home owners or those looking for relief from higher payments.
FHA 5 Year treasury highlights
- Payments don't adjust until 64 months have passed
- Take advantage of the lower rate to pay down your principal
- Reduce the cost of home ownership