FHA
FHA loans make homeownership more achievable for everyone, particularly first time buyers, because you don't need a big down payment or perfect credit.
Low Down Payment
FHA loans typically require a down payment of just 3.5% of the purchase price of the home. This is significantly lower than conventional loans, which typically range from 5% to 20%.
Credit Friendly
While FHA loans for consider credit history, they are generally more lenient than conventional loans. Even a credit score in the 500s can qualify for an FHA loan.
Flexible Loan Limits
To ensure that FHA loans remain accessible across income levels and housing markets, FHA loan limits vary by county and are based on the median home prices in each area.
Mortgage Insurance Premiums
Although FHA loans require a Mortgage Insurance Premium, this can be rolled into the loan amount. These insurances allow FHA to offer more favorable terms for lower down payments and credit scores.
Property Standards
Before an FHA loan is approved, appraisers assess the property to ensure it meets the FHA property standards to qualify for financing. These standards ensure that what you buy is structurally sound, safe, and livable.
Assumable
One of the unique FHA loan features is that they are assumable. This means that if you sell, the buyer can take over your FHA loan. This can be beneficial if interest rates have risen since you obtained your loan, as the buyer may be able to assume your lower rate loan, potentially making your home more attractive to buyers.
Property purchase made possible for more people!
Down payments, credit scores, flexible requirements...
You can build equity without the constraints of conventional financing.
Cindy Regan, All Rights Reserved
Cindy Regan - Originating Branch Manager - NMLS #264375
The Lending Authority Team - Hancock Mortgage -Powered by City First Mortgage Services LLC - NMLS #3117
Licensed by the Department of Financial Protection and Innovation under the California Residential Mortgage Lending Act. The Lending Authority Team powered by City First Mortgage Services is not an agency of the Federal Government, and is not acting on behalf or at the direction of HUD/FHA.
Cindy Regan, All Rights Reserved
Cindy Regan - Originating Branch Manager - NMLS #264375
The Lending Authority Team - Hancock Mortgage -Powered by City First Mortgage Services LLC - NMLS #3117
Licensed by the Department of Financial Protection and Innovation under the California Residential Mortgage Lending Act. The Lending Authority Team powered by City First Mortgage Services is not an agency of the Federal Government, and is not acting on behalf or at the direction of HUD/FHA.