One of our agents, Rosemary Stoots, suggested I share a
little information about FHA’s Kiddie Condo Program.
The Kiddie Condo Program can help you do this. It's a no down payment program, and FHA allows non-occupant coborrowers. That way,
parents can use their credit and income
history to purchase a condo or home for their son or daughter. The property isn’t considered a
second home or an investment, so the interest rate is the same as for a primary
residence. (By the way, interest rates
are really great right now!) The student is considered the co-signer and must
live in the property.
There are some great advantages to this! For one, the student can use this as an
opportunity to build his or her credit history.
He or she can also find roommates and charge them rent, cutting down on individual
monthly costs. It gets better. After four or five years, the condo or home
will have significantly appreciated in value.
The equity earned can be used to pay off any student debt or even as a
down payment on a house after graduation!
How cool. I wish my
parents and I would have had this option when I started college. I’d be
right as rain at this point!
There are of course a few disadvantages and risks associated
with this arrangement, so get informed before you jump into a deal like this.
For more information on the Kiddie Condo Program, click here.
In other news...
Steve's been involved in Memphis Real Estate for over 20 years, and it's obvious he loves what he does. I've already unearthed baby pictures! Awesome... I can't wait to interview him. I've got to find my Barbara Walters costume.
If your father or husband is in the mood to buy a home, you could spend the day visiting open houses with him!
Plan your own home tour using our listing guide.
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