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A Few Simple Tips for South Carolina FHA Loans

 

  1. Write contracts clearly so they can be read by the Originator, Processor, Appraiser, Underwriter and Attorneys. Please provide all addendums and amendments to lender prior to ordering the appraisal
  2. Be aware that all health and safety related items will need to be repaired by a licensed contractor PRIOR to closing. Some exceptions may apply.   
  3. Looking at condos? Make sure they are on the FHA Approved Condo List BEFORE writing up a contract.   
  4.  Some basics:
    1. 3.5% down payment required (must be buyers own money, a gift from a relative or SC State Housing Down Payment Assistance or Family Services Grant);
    2. Seller can contribute up to 6% towards pre-paids, closing costs and reserves…none of which can go towards the buyers down payment;
    3. This is a “full doc” loan (W2’s, Pay Stubs, Bank Statements and verifications required);
    4. Home must be owner occupied;
    5. Schedule closings for the end of the month to save on interest for your buyer; and
    6. If the contract or addendums mentions a CL-100 or Home Inspection lenders are required to review it and provide to the appraiser.
 
As always, your thoughts, questions, or comments are greatly appreciated. Let me know if I can help with any of your Charleston, SC real estate needs or questions.
 
“Carolina Joe”