Economic Meltdown! Can you still get a loan for a home?

During these exciting times that are happening with our nation right now we have noticed that a lot of the discussions at the soccer field or at work or wherever are focused less on Obama & McCain and more and more on the economy. The topic with our friends seems to always end up on the Real Estate Market. Everyone knows that home loans are more difficult to get right now. We are often asked the question of are there any loans left to qualify for? I asked a local lender to give us the run down on 4 of the most popular loan programs right now.

The most used loan right now in the country is the FHA Loan. The rate on this loan as of today is 5.875%. It allows you to finance 97% of the purchase price. Which means that you only need to bring 3% down.
The next loan is the FHA Utah Housing loan. The current rate is 6.01% and it allows you to bring 0% down. There is an income limitation cap of $71,000 on this one. It also has about $500 in additional closing costs over the traditional FHA loan.
Another great loan product right now is the USDA Rural Housing Loan. It is also a 0% down loan. The home has to be located south of Spanish Fork or West of Lehi. The rate is 6.125% right now.
Last but not least is the standard conventional loan that now requires 5% down (based on the purchase price). The rate on this loan is 6%.
So the answer is yes, you can still get a loan and at a rate that is the best they have been in a long time. Couple the low rates with the reduced prices and motivated sellers and you have a great opportunity to be a buyer right now.