Well, the last 100% mortgage option has pretty much been taken away from us, and most others, in the country - as of March 31st. The Flex 100 has been discontinued.

There are a couple of government programs that still allow 100% however. The Guaranteed Rural Housing Loan is for any area outside of a City Proper and most of Michigan does fit that description.

There is NO loan limit, however, there is an income limit that is based on how many persons live in the household - all children and elderly counted.

There is a 2% funding fee, as in all government loans (1.5% or more), and it is a 30 year fixed rate with no pre-payment penalties. The rate right now is around 6.375% with NO PMI!

They are really fantastic loans and a great alternative for buyers. I find they are also helping get folks back into our rural areas which have suffered quite a bit with the foreclosure market around here.

Of course, VA is also 100% financing with NO PMI, similar rate of 6.5% and the same type of funding fee.

The mortgage world has been ever changing, to say the least, since last August. It is challenging to keep up with it.

However, I suppose that, ultimately, these changes needed to come. It isn't so bad that borrowers have good credit, a job and a down payment. They might take home ownership more seriously ;-).