Hey everyone — just a quick update on something that could affect a few of our homebuyers this year.
Starting May 25, 2025, the FHA (Federal Housing Administration) will no longer allow non-permanent residents to qualify for FHA-insured loans. That includes all FHA programs, from standard home purchases to reverse mortgages like the Home Equity Conversion Mortgage (HECM).
🤔 Why This Matters
FHA loans have always been a popular option for buyers who need low down payments, lenient credit score requirements, and flexible guidelines. Many non-permanent residents have used FHA loans as a stepping stone to homeownership.
But with this change, they’ll need to look elsewhere.
🕒 Still Time to Act!
The good news? This doesn’t kick in until May 25, 2025. That means if you (or your client) are a non-permanent resident and you're currently shopping for a home, you can still qualify for an FHA loan — as long as the case number is assigned before the deadline.
If you’ve already started the process or are close to making an offer, now is the time to move!
💡 What Are the Alternatives?
If you or someone you know will be affected by this new rule, don’t stress. Here are a few other paths you can explore:
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Conventional Loans: With a little boost in credit or more down payment, these can still be a solid option.
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Non-QM Loans: These are flexible mortgage options designed for buyers who don’t meet the standard requirements — including visa holders or self-employed buyers.
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Down Payment Assistance: Many states (including NJ and NY) offer programs to help first-time buyers cover upfront costs.
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Permanent Residency: If you’re in the process of becoming a permanent resident, it may be worth speaking with an immigration attorney to explore faster options.
🏠 Let’s Chat
If you're not sure what loan option works best for your situation — I got you. Every buyer is different, and I’ll help you find the right path to make your homeownership dream a reality.
📧 Email: goodbuyhomesnj@gmail.com
📞 Call/Text: 973.277.6745
🏡 GoodBuy Homes NJ Realty — Helping You Make the Right Move
