What is the downpayment requirement for FHA financing?
For properties financed under the FHA 203b financing program, the total downpayment, on a HUD home being financed by an owner/occupant, is 3% of the sale price (on line #3 of the sales contract). Any Investors wishing to obtain FHA financing will be required to have a downpayment that is 25% of the sale price (on line #3 of the sales contract). For properties financed under the FHA 203k financing program, the downpayment is equal to 3% of (the initial sale price plus the total amount of repairs completed).
