This FHA Rule Can Kill Your Purchase

When an FHA appraisal requires repairs, it is important to understand your options. Key takeaways from the article include:

• Repair costs are negotiable: No rule automatically makes the seller responsible for paying for FHA-mandated repairs; it is determined through negotiation between the buyer and seller.
• You have options if the seller refuses: If a seller will not pay for repairs, a buyer can use an escrow holdback, finance the costs with an FHA 203(k) loan, pay for them directly, or walk away from the deal.
• Your deposit is protected: Financing and appraisal contingencies in your purchase contract are designed to protect your earnest money if repair disputes prevent the loan from closing.

Read the full blog article here: https://www.iqratemortgages.com/blog/last-minute-fha-repairs-in-texas-a-homebuyers-guide