Looking at an FHA home loan but..

[mike25]

Im confused. I plan to either purchase a built home on land, or if possible, which may be a more desirable optiom, I plan to obtain whatever type of loan necessary to be able to buy land and build a home. I like the FHA offerings because i dont have much for a downpayment and probably wont for some time ( a couple years if the loan requires 20% or more..) Im looking to borrow roughly 140- 160k at most. I would like to buy a hom outright, but cant find much in the area that is nice/ likeable and building seems like a more feasible idea to be able to get what i want. Opinions?

[Mr Twisty]

Originally Posted by mike25

Im confused.

Me too

.... sooo... what's your question?

Look at land prices and talk to local builders, that'll give you an idea what you're up against in that regard.

If you're a young fella and this is your first home, consider buying a fixer-upper, put some sweat equity in it and sell, that'll give you (hopefully) a nice down payment to do what you want.

[mike25]

Originally Posted by MisterCamaro69

Me too

.... sooo... what's your question?

Look at land prices and talk to local builders, that'll give you an idea what you're up against in that regard.

If you're a young fella and this is your first home, consider buying a fixer-upper, put some sweat equity in it and sell, that'll give you (hopefully) a nice down payment to do what you want.

basically im wondering if an FHA loan would allow me to buy land and build a house on it.

[Mr Twisty]

Originally Posted by mike25

basically im wondering if an FHA loan would allow me to buy land and build a house on it.

You would have to get a builders loan, then once the house was built the bank can convert it to FHA guaranteed loan

[Sir Nuke]

Originally Posted by mike25

basically im wondering if an FHA loan would allow me to buy land and build a house on it.

YES, I did it. I bought a lot......and 6 months later had a home built on it, wasn't a problem at all.