1. © 2013 Vantage Production, LLC. All Rights Reserved FHA Back to Work Program A GUIDE FOR REALTORS®

2. © 2013 Vantage Production, LLC. All Rights Reserved 2 FHA Back to Work Program FHA is continuing its commitment to fully evaluate buyers who have experienced periods of financial difficulty due to extenuating circumstances. Many buyers experienced unemployment or other severe reductions in income and ultimately lost their homes to a pre- foreclosure sale, deed-in-lieu, or foreclosure. FHA recognizes the hardships faced by these buyers, and realizes that their credit histories may not fully reflect their true ability or propensity to repay a mortgage.

3. © 2013 Vantage Production, LLC. All Rights Reserved 3 Economic Event Defined A decrease of income by 20% or more Decreased income must have been for at least six months Decrease in income must have resulted in serious derogatory credit such as a short sale, foreclosure, or bankruptcy Note this program is available from August 15, 2013 through September 30, 2016.

4. © 2013 Vantage Production, LLC. All Rights Reserved 4 What FHA Programs Apply? Available only for purchase loans Not available for refinance loans Not available for FHA reverse mortgages

5. © 2013 Vantage Production, LLC. All Rights Reserved 5 What are the Qualifying Criteria? A buyer that experienced an Economic Event may be eligible if: 1. The loss of employment or income was due to an extenuating circumstance beyond his or her control and can be documented 2. A satisfactory credit history has been restored for one year 3. Housing counseling has been completed

6. © 2013 Vantage Production, LLC. All Rights Reserved 6 FHA Back to Work Process Determine Reason for Loss of Employment Determine Duration of Decreased Income Complete Housing Counseling Provide Supporting Documentation

7. © 2013 Vantage Production, LLC. All Rights Reserved Larger pool of buyers for listings More potential offers Allows more buyers to get approved Allows seller to pay up to 6% of closing costs REALTOR® Benefits 7

8. © 2013 Vantage Production, LLC. All Rights Reserved Thank You! 8 MLO Name MLO Title Contact information Over 1000 changes have been made to FHA programs over the last 5 years. We keep ourselves informed to better serve home buyers and REALTORS®. Give us the opportunity to show you our expertise!