[BPRICE1234]

I heard a rumor that you can't use a FHA loan to purchase a new home? Can anyone confirm this?

[Oldragbagger]

Originally Posted by BPRICE1234

I heard a rumor that you can't use a FHA loan to purchase a new home? Can anyone confirm this?

When we moved here we inquired about using our VA loan benefits. We were told we could use any type loan we wanted but we still had to put 10% down and meet the requirement to close in 30 days. Since VA loans come with substantial funding fees and we had to make a down payment anyway we went conventional. That applies to a new home. You can use any kind of loan you want on a resale.

[retiredguy123]

The 30-day closing requirement can be a problem with certain types of loans.

[AZ SLIM]

We were told by our own bank (Not Citizens First) that the VA loan would take more than 30 days to complete, and The Villages requires a 30 day closing on new houses. We could get a 30 day closing from our own bank, but not on a VA loan. This was 2 1/2 yrs ago.

[asianthree]

Originally Posted by BPRICE1234

I heard a rumor that you can't use a FHA loan to purchase a new home? Can anyone confirm this?

Four homes we have used Citizens First (developer) twice. Closed with zero issues on time in the 30 days. One FBIC broker closed 30 days with no issues.(broker worked for Citizens First for years).

Our first home we used our BOA bank. BOA was on top of everything but, more pressure than the other 3 closing. Day before closing the villages had an upgrade to their system. We were closing by mail, sitting at our BOA branch waiting for documents. It didn’t process from TV to BOA. We sat at BOA from 2 pm until 8pm waiting for final documents. TV finally said it showed sent, but not received. Next day ONE DAY after closing the documents came through to BOA, we signed and we Thought everything was done.

We were charged $438.00 late fee for closing one day late. Even though documents would not send until glitch was fixed we had late fee.

Our banker had BOA pay the fee, even though it was not their fault. TV closing person was actually upset, (not sure why she cared who paid the fee, but made us think it was a “you didn’t stay with Citizens) the penalty didn’t get paid by us, but BOA.

So from experience I will definitely caution you to make wise decision on who you use for your closing bank. $438. Daily fine was in 2010, can’t imagine how much Daily Fee would be imposed today, if you close One Day Late.

[dano121]

Well, my wife and I got a HUGE surprise! A week after signing the purchase agreement with the Villages my apparently uniformed Real Estate Agent called to tell me that the Villages does not accept FHA. Boy this really put us in a bind! We worked it out but would recommend that you do your own research about all of the details of owning a home in the Villages. Our Villages Agent actually told us that you can do anything with your home that you want.......Not so! My advice is to be wary of anything with Villages in its name. BTW - We do love the community here and with the exception of golf the facilities are great.

[BPRICE1234]

I'm increasingly seeing some of the issues people have w the developers. Many homes, new homes, sit for months. I don't see why a 45 day close would be an issue except to try to force people to their bank.

If I were a veteran, I would be a little ****ed and feel discriminated against.

[retiredguy123]

Originally Posted by BPRICE1234

I'm increasingly seeing some of the issues people have w the developers. Many homes, new homes, sit for months. I don't see why a 45 day close would be an issue except to try to force people to their bank.

If I were a veteran, I would be a little ****ed and feel discriminated against.

I disagree. Anyone buying a house should make at least a 20 percent down payment, especially in a retirement community. No one should ever buy a house with no money down. It is financially irresponsible.

[asianthree]

Originally Posted by BPRICE1234

I'm increasingly seeing some of the issues people have w the developers. Many homes, new homes, sit for months. I don't see why a 45 day close would be an issue except to try to force people to their bank.

If I were a veteran, I would be a little ****ed and feel discriminated against.

If you are looking to change the process the developer has in place for over 40 years, you really need to look elsewhere. Developer is solvent, and if you don’t buy their house, it’s no worries on their part.

I will say if you have grey areas on your CR, but have the required down $$$. Citizens First will make it happen if it’s possible. You can always choose any banking system you want, but as explained in my previous post, day 31 and everyday until you close late…there will be Heavy penalties.

However you have a choice of buying preowned, and then you can take alll the time you want to close.

[BPRICE1234]

That's their decision, not yours.

[Bogie Shooter]

Woe is me……….

[Rocksnap]

Originally Posted by retiredguy123

I disagree. Anyone buying a house should make at least a 20 percent down payment, especially in a retirement community. No one should ever buy a house with no money down. It is financially irresponsible.

A VA backed loan is strictly that, a backed loan. You can put 20% or more down, as TV requires. For new construction anyhow.

[hosegooseman]

Originally Posted by BPRICE1234

I heard a rumor that you can't use a FHA loan to purchase a new home? Can anyone confirm this?

At least in 2021 when we purchased, yes. You couldn’t use FHA for new homes.

I suggest ask your Villages agent to be sure.

We ended up buying pre-owned, with FHA. Closed in exactly 30 days.

[TeresaE]

Originally Posted by retiredguy123

I disagree. Anyone buying a house should make at least a 20 percent down payment, especially in a retirement community. No one should ever buy a house with no money down. It is financially irresponsible.

Not necessary true. If you were self employed, like we were, our retirement funds are limited to what we saved in our retirement accounts. There’s Social Security but no pension. If we outlive our money, which we’re not planning to do, then we are sunk. So preserving cash is key. I’ve seen too many people who are equity rich and cash poor lose their homes because they can’t pay their taxes.

[Robojo]

Originally Posted by BPRICE1234

I heard a rumor that you can't use a FHA loan to purchase a new home? Can anyone confirm this?

There is no contingency for ANY loan in the contract for a new home.