COMMON QUESTIONS ABOUT FHA INSURED LOANS.

Why choose an FHA insured loan?

• There are lots of good reasons to choose an FHA insured loan, especially if one or more of the following apply to you:
  • You are a first time buyer or you have not owned a home for at least three years.
  • You don't have a lot of money for your down payment.
    • FHA loans typically require a 3.5% down payment or on HUD homes (with certain restrictions) the payment is only $100.
  • You want to keep your monthly payments as low as possible and at a fixed rate.
  • You are worried about qualifying for a home.
  • You don't have perfect credit. 
    • FHA loans are the most lenient when it comes to credit scores. If you have a mid FICO score of 580 or higher you could qualify for a FHA loan.

If any of these things describe you, then an FHA insured loan may be the best loan for you. FHA loans offer many benefits and a level of security that you won't find in some other loan products.

• LOW COST: FHA loans offer competitive interest rates because the federal government insures the loans for the lenders.
• LOW DOWN PAYMENT: FHA loans require only a 3.5% down payment and this money can come from a family member as a gift. *10% down payment required if your credit score is below 580.
• EASIER QUALIFICATION: FHA loans are the most forgiving of past credit problems. Even if you have had serious past problems such as a bankruptcy or foreclosure. Although once you have had a foreclosure or bankruptcy they do expect no problems since.