Page 1 - AAG075_HECM for Purchase Reference Guide for Realtors
P. 1
HECM for Purchase Reference Guide
for Realtors and Sellers
Sales Contract Property Types Helpful Hints
Seller must complete all One to four family, Value is the lesser of sales
FHA-required repairs prior to townhomes, planned price, appraised value or FHA
closing unit development (PUDs), Lending Limit
manufactured homes (see
Signed copy of fully executed next bullet point) & FHA- Must occupy home within 60
contract – all pages approved condos days of funding
Amendatory Clause and Real Ineligible property – co- “New Construction” - Builder’s
Estate Certification documents ops, manufactured homes rep to get closing statement
- signed by seller, borrower produced prior to June from closed sales and give
and real estate agent(s) 15, 1975, manufactured to the appraiser. Since most
Seller paid fees may be homes that were installed builders do not use MLS the
appraiser will need these for
allowed if common and or occupied previously at the appraisal.
customary another site or location
No personal property can Unique properties accepted
be included – unless it is on a case-by-case basis
common to be included – 99-year leasehold – lease must
such examples would be not mature until 50 years
a stove or refrigerator in a after the youngest borrower’s
kitchen 100th birthday
No borrowed funds – even if
secured
No subordinate liens
For industry professionals only – not intended for distribution to the general public.
AAG075
