🏖🏡 FHA Changes and How They Could Impact the Value of Your Home

If you’re thinking about selling your home in Virginia, Maryland, DC, or West Virginia, there’s a recent change you need to know about — and it could affect both your property’s marketability and its value.

📉 What changed?

As of May 25, 2025, homebuyers with only a work permit (Employment Authorization Document – EAD) can no longer qualify for FHA loans.

This is a major shift. FHA loans have long been one of the most accessible options for first-time buyers, especially within immigrant and Latino communities. With this change, many potential buyers will now have to rely on conventional loans, which have stricter credit and income requirements.

💡 Why does this matter to you as a seller?

Many of today’s buyers — especially in the DMV area — rely on FHA financing to buy their first home. With this new rule:

• 🔻 The pool of qualified buyers may shrink for certain price ranges and property types
• 💸 Buyers might need more time to qualify under conventional loan standards
• 🧾 You may need to adjust your pricing strategy depending on your home’s condition and target buyer

In simple terms: fewer eligible buyers could mean longer time on the market or lower offers — unless you’re proactive.

🏠 What can you do to stay ahead?

1. Understand your local market
   Talk to a trusted agent who knows how these changes are playing out in your neighborhood.
2. Price strategically
   Now more than ever, pricing your home correctly is critical. Overpricing could drive away cash buyers and well-qualified conventional borrowers.
3. Prepare your home
   Homes in good condition, move-in ready, and well-presented (with staging and quality photos) are still getting strong offers — especially in tight inventory areas.
4. Highlight financing flexibility
   If your property is eligible for conventional, VA, or other financing options, make that clear in your marketing materials.

🔎 Bottom Line

The recent FHA rule change doesn’t mean buyers have disappeared — but it does mean sellers need to be smarter and more strategic. If you want to sell in 2025, you need the right pricing, preparation, and marketing to attract today’s qualified buyers.

🎯 Thinking about selling?

Let’s talk about how this market shift affects your specific neighborhood and how to position your home for success.

👉 Contact us today for a free home value consultation.