Rebuilding Your Credit: A Crucial Step Towards Homeownership
If you've decided to postpone buying a home because of the ...
FHA Loan
The Lowdown on FHA Loans
FHA loans, backed by the Federal Housing Administration, are designed to make homeownership more accessible for those with limited credit or down payment funds. With flexible guidelines, low down payments, and the ability to use gift funds, FHA loans offer a practical alternative to conventional financing.
Key Benefits
- Low 3.5% down payment.
- 100% of the down payment can be gifted from family or employers.
- Sellers can contribute up to 6% of the home’s purchase price toward closing costs.
- Easier credit qualification compared to conventional loans.
- Choose between fixed-rate or adjustable-rate options.
- Available for refinancing, even with limited equity.
Who It’s For
- First-time homebuyers or those with lower credit scores.
- Buyers needing assistance with down payments or closing costs.
- Homeowners looking to refinance with limited equity.
Pros and Cons
Pros:
- Low down payment: Only 3.5% down is required, making homeownership more accessible.
- Easier credit qualification: Borrowers with lower credit scores may qualify.
- Gift funds allowed: Down payments can be covered by gifts from family or friends.
- Flexible debt-to-income ratio: FHA loans are more lenient with higher debt ratios.
Cons:
- Mortgage insurance required: Both upfront and monthly mortgage insurance premiums are mandatory.
- Lower loan limits: FHA loans have limits that vary by area, potentially limiting home choices.
How to Apply
Get prequalified for an FHA loan today or speak with our team for more information on eligibility and benefits.
For a quicker start, complete the form on this page and start your pre-approval process today!
CONTACT US TODAY
FHA Loan FAQs
Yes, FHA allows 100% of your 3.5% down payment to come from gift funds.
FHA loans offer lower down payments and more flexible credit requirements than conventional loans.
FHA allows sellers to contribute up to 6% of the home’s purchase price toward closing costs.
News and Blog
Latest New Feeds
Read our latest mortgage and residential real estate insights.
Explaining Today’s Low Housing Supply [INFOGRAPHIC]
If you're looking to buy a home, you may be wondering ...
Will the 3% Loan Rate Ever Return?
If you've decided to postpone buying a home because of the ...
