How can you benefit from an FHA loan
FHA loans can be a helpful choice for buyers that may have limited funds for a down payment or average or below average credit. These loans were created by the Federal Housing Administration in order to make qualifying easier for borrowers that are not able to utilize conventional loans due to issues like credit history or less available funds.
FHA loans are partially insured by the government, which mitigates a lender’s risk and makes qualifying for the loan simpler. This means that you may qualify for a home loan sooner than you may think. Call us today to find out if an FHA loan is right for you.
Important Benefits and Features of FHA Home Loans:
- Down payments as low as 3.5%.
- Credit scores down to 620 allowed for fixed rate loans
- Higher debt to income ratios than conventional loans
- You may finance a single-family home, 2–4-unit property, modular home, condominium, or a Planned Unit Development (PUD) property.
- Temporary buydowns may reduce your initial interest rate for 1-2 years.