Buyers with good credit can purchase homes with a relatively small down payment, lower monthly mortgage, and low-interest rates compared to conventional mortgages through loans insured by the Federal Housing Administration (FHA). In fact, the FHA only requires as little as a 3.5 percent down payment, which makes it so popular and appealing to first-time home buyers.
The FHA insures mortgage loans for about 30 percent of today’s home buyers so there is a good chance you will get an offer from an FHA buyer for your home. If your property doesn’t meet FHA requirements, you could cut out almost one-third of your potential buyers.
Here are five ways you can make sure your home is FHA-friendly to increase your chances of selling:
Working with an experienced real estate agent when selling your home can work well to your advantage. But when you’re taking these steps to prepare for FHA buyers, the easiest way to make sure you’re ready is to work with a real estate agent who knows the FHA process. Your realtor can guide you through the rules and limitations of the government program and can determine if your home is eligible. Lastly, the right agent can help you maximize the desirability of your property so you can attract more FHA buyers.