Shaun Rice

For a long time FHA loans were considered to be the 'black sheep' of the mortgage world. They had many hoops for the buyer to jump through and often were too low to keep up with rising home prices.

Well, my friends, times have changed - and with them, so has the FHA Loan. Today, FHA seems to be the best way for most buyers. Here's why...

An FHA mortgage is not a loan given through the government - its a loan insured by the government. This makes it more likely for a lender to agree to fund a new loan. It also protects the home buyer by offering many different options to homeowners in danger of foreclosure. In response to the changing economy, HUD has revamped the FHA program to make it on par (and in some cases even more lenient than) conventional loan programs.

Who is eligible for FHA loans?
There are only a few restrictions to applying for an FHA loan. First, you must be planning to occupy the home as a primary residence (ie - its not a 2nd home). US citizenship is not required, but those who are not US citizens must be lawful resident aliens with a valid Social Security Number. You must have a 2 year employment history - BUT they count time in college or on maternity leave towards this requirement. Of course you can't be delinquent on another Federal loan (ie Student loans, other FHA mortgages, etc) and must meet their flexible credit requirements. And when I say flexible, I mean it: there is no minimum credit score necessary. In fact, you cannot be denied an FHA loan solely for lack of credit history! You are elligible for an FHA if you've been foreclosed on, as long as it has been 3 years since that foreclosure. You are also eligible for an FHA loan if you have filed for Bankruptcy Chapter 7 more than 2 years prior - and only 1 year prior for Bankruptcy Chapter 13. It's also a myth that FHA is only for first time home buyers. FHA loans can be for first time, second time, third time, anytime buyers - even for refinancing.

Things You Should Know About New FHA Loans

• Regulations regarding appraisals have been changed to mirror industry standards. Basically the only restriction is that you use an FHA approved appraiser (which most are). They are really only looking for issues dealing with the safety and soundness of the property - like they would for a conventional loan.
• Sellers are no longer required to make minor repairs to the property before an FHA buyer may purchase it.
• There are fewer restrictions regarding closing costs. Buyers are now permitted to pay their own closing costs - or may pay jointly with the seller - or the seller may pay them in full up to 6% of the home's price.
• Caps on payment-to-income and debt-to-income ratios are now more generous than most conventional loans. Now, PTI may not exceed 31% and DTI may not exceed 43%.
• Down payments can be as low as 3% - and may be a gift from a family member, employer, charitable organization or local government entity. Realtors may use their commission towards the down payment for their own purchases or purchases for family members.
• There are no pre-payment penalties on FHA insured loans.
• Regulations regarding property flipping have become more relaxed so that buyers may purchase Foreclosure properties.
• You may finance an additional $35,000 into your loan to cover the cost of repairs.

How Much Money Can I Get From My FHA Loan?
There are set ceilings for the amount of money you may receive with an FHA loan - however, these ceilings now vary from county to county. You can find out what the ceiling restrictions are in your are by visiting http://www.hud.gov/fha.

Homes in Queens County New York are priced slightly (ha ha) above the national average - so are our FHA ceilings. Here are the FHA adjusted ceilings if you are looking to purchase in Queens:

Single Family Homes - $729,750
Two Family Homes - $934,200
Three Family Homes - $1,129,250
Four Family Homes - $1,403,400

Home ownership may be a reality now for thousands of Americans (or legal residents) thanks to the reforms of the FHA loan. If you think you may qualify, contact a local Realtor and start the process right away while prices and rates are low.

Fireworks
Macy's Fourth of July Fireworks Show along the Hudson River
Twelfth Ave (b/t 23rd and 57th Sts)
Manhattan
9PM

The world-famous department store celebrates Independence Day with a bang, bringing its annual fireworks display to the Hudson River (after several years on the east side of town). There will be entry points along Eleventh Avenue for revelers looking to get a good spot; a full list can be found at http://www.macys.com/fireworks.

Classes & Workshops
Gina Gibney Dance Classes at Studio 5-2
890 Broadway (at 19th St)
Gramercy/Manhattan
(212) 677-8560
2PM-4PM

If you wish you had the moves to shake it on Dancing with the Stars, but lack the rhythm, motivation and the B-list notoriety, then step it up with this complimentary dance lesson. The two-hour class combines yoga, movement, breathing exercises and wellness practices. No experience-or fabricated fame-necessary.

Comedy
Action Pals at Village Lantern
167 Bleecker St. (b/t Sullivan and Thompson Sts)
West Village/Manhattan
(212) 260-7993
7PM

The three improvisers in this indie troupe host fellow long-form groups every Saturday for free.

Street Fairs
Williamsburg Walk 2009
Bedford Ave (b/t 4th and 9th Sts)
Williamsurg/Brooklyn
All Day

This Saturday, July 4th, Williamsburg Walks will offer several opportunities to enjoy the holiday weekend and play street games on five car-free city blocks. Come out for volleyball, soccer, and table tennis, or bring your own games as we will be providing tables, chairs, and plenty of street space.

Shopping
The Franklin & Sterling Flea Market
Franklin Ave (at Sterling Pl)
Crown Heights/Brooklyn
(646) 393-9422
10AM

The folks behind Bristen's Eatery (also on Franklin Avenue) are responsible for this new flea market, which will feature local vendors selling clothing, jewelry, items for the home and more.

Concerts
Conor Oberts & The Mystic Valley Band + Jenny Lewis at Battery Park
State St (At Battery Pl)
Financial District/Manhattan
3:30PM

Every July 4, the River to River festival throws a huge, free concert at Battery Park. This year, the day is presided over by one of indie rock's most thoughtful songwriters, young Manhattanite Conor Oberst, performing with his non-Bright Eyes outfit. Oberst's songs touch on New York, his Midwest roots and political protest. Talented opener Jenny Lewis has been a child actor and a member of Rilo Kiley; she has lived to sing about both. Note: This event is not ticketed, but space is limited and will be available on a first-come, first-served basis.

Queens is usualy the place to be on the Fourth of July - with the fireworks up and down the East River, you could enjoy the festivites at Astoria Park or from your favorite Long Island City rooftop. However, this year is a little different.

In celebration of the 400th anniversary of Henry Hudson sailing into New York harbour in 1609 (and the resulting establishment of New Amsterdam which became New York in 1664), the Macy's Firework Celebration will be held on the Hudson River. This means a short trek into the city for us folks in Queens - though it shouldn't be too bad seeing how half the population of the city is 'away' for the celebrations, as usual.

The half-hour show will feature some brand new effects as well as the standards - many of them shaped like a Tulip, the flower that pays homage to our city's Dutch heritage. To accompany the fire-in-the-sky, will be Rob Thomas, Jewel, Audra McDonald, Idina Menzel and the New York Pops.

The festivities start at 9:20PM and will feature 40,000 fireworks - including the customary one-mile long shower of gold known as "Macy's Golden Mile" and (for the first time this year) will be followed with the "Silver Mile."

Best places along 11th Ave to see:

* 24th Street


* 26th Street through 30th Street


* 34th Street


* 40th through 44th Street


* 47th Street through 52nd Street


* 54th Street through 57th Street

Rock/Pop/Soul Music
Here We Go Magic & Bachelorette at South Street Seaport
Fulton St (at South St)
Financial District/Manhattan
(212) 732-7678
6PM

If Luke Temple's relative obscurity is due to his insular nature, his Here We Go Magic record (and project) might change that. It's rife with trendy, TV on the Radio-style white noise, an interesting complement to Temple's bent-cabaret stance. Opening is the excellent Bachelorette, which is primarily the work of Annabel Alpers. Her singing seems neither traditionally male nor female, gliding across electronic pulses with the chill of another synthetic instrument.

Exhibit
Public Viewing of the Declaration of Independence at The New York Public Library
Fifth Ave (at 42nd St)
Midtown West/Manhattan
(212) 930-0830
Today-Sunday 1PM-5PM

What could be more patriotic than looking at a copy of the Declaration of Independence-handwritten by Thomas Jefferson, no less-on the Fourth of July? Nothing, that's what. Take advantage of the NYPL's special hours and see the most American of documents in the...um, parchment.

Dance
Rotten Metal Achievers at Grace Space
840 Broadway (b/t Park Ave and Ellery St)
Bedford-Stuyvesant/Brooklyn
(646) 578-3402
7PM

In this new five-hour performance by Holly Faurot and Sarah H. Paulson, audience members are able to enter and exit at will. The simultaneous choreographed happenings will explore a constant state of growth and decay, and feature performance artist Daniel Bainbridge (introducing the character of Monkey Mop Boy during a one-hour interlude beginning at 9pm).

Comedy
No Name...and a Bag o'Chips at Otto's Shrunken Head
538 E 14th St (b/t Aves A and B)
East Village/Manhattan
(212) 228-2240
7PM

At Eric J. Vetter and Dawn J. Owens's comedy show, everyone gets the aforementioned bag, cheap booze, baked goods and sets from comics.

Books
Muumuu House Reading at P.P.O.W.
511 W 25th St (at Tenth Ave)
Chelsea/Manhattan
(212) 647-1044
7PM

This new press-run by novelist-poet Tao Lin-throws a party and a reading to celebrate the publication of Brandon Scott Gorrell's poetry collection During My Nervous Breakdown I Want to Have a Biographer Present (sample lines: "i want to turn into wild grass and get eaten by a soft moose/my face will destroy your hands"). Helping him celebrate are fellow indie-press writers Zachary German, author of Eat When You Feel Sad, a laconic yet weirdly affecting novella about the daily life of a young slacker, and Chelsea Martin, author of the new story collection Everything Was Fine Until Whatever.

Health & Wellness
Hatha Yoga: Deep Relaxation at the Integral Yoga Institute
227 W 13th St (b/t Seventh and Eigth Aves)
Meatpacking District/Manhattan
(212) 929-0585
5PM

You may be lucky enough to have a job these days, but those high unemployment numbers probably mean you're extra bogged down at work. Wind down every Friday with a peaceful, gratis 45-minute yoga class. The session begins with gentle stretching, then moves on to a long period of yoga nidra (deep relaxation) and concludes with breathing practices and a brief meditation. It's helpful for those without jobs, too.