An FHA loan is a first-time homebuyer program. This program is commonly used by first time home buyers due to the low 3.5% down payment requirement as well as having a minimum credit score requirement of 580.
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An FHA loan is a first-time homebuyer program. This program is commonly used by first time home buyers due to the low 3.5% down payment requirement as well as having a minimum credit score requirement of 580.
Federal Housing Administration (FHA) loans are federally-backed mortgages designed for low-to-moderate-income borrowers who may have lower than average credit scores.
These loans are administered by the Federal Housing Administration (FHA). The FHA makes it easier for borrowers and first-time buyers to qualify and helps lenders offer you lower interest rates.
When most people think about home loans, three options come to mind: fixed-rate mortgages, ARM loans and refinance loans. However, FHA loan options go beyond this.
Fixed-rate FHA loans are a great option if you are looking to buy a home but lack the funds for a 20% down payment. The APR remains fixed for the loan, leading to predictable monthly mortgage payments.
ARM loans are an option for individuals who anticipate income growth. They generally have a fixed APR for a specific period and then the rate fluctuates to go higher or lower depending on the market.
Reverse mortgages are designed for homeowners aged 62 and older who could use a bump in income. They convert your home’s equity into income or a line of credit, but consumer counseling is a requirement. The mortgage is not repaid until the house is sold and if the sale doesn’t yield enough to repay the full loan, the FHA insurance covers what’s left.
An energy efficient mortgage allows you to take out a second mortgage or refinance up to 96.5% of your initial mortgage. It helps you to make up to $8,000 in energy efficient improvements on your home and lower your monthly utility bills.
First-time buyers who are looking to purchase a property for the first time with a great rate will benefit tremendously from an FHA loan’s low credit requirements and low down payment.
Similar to when you applied for your original mortgage, you will be required to provide all of the necessary documents to prove your borrowing worthiness and you will be responsible for closing costs, though you may have the option to roll some costs into your loan amount.
3.5% of Loan Amount
Income limits may vary
Applicant should have the bank specified credit score of 580+
No, specifically for an FHA loan you can come in with only 3.5% as a down payment.
If you are self-employed we can help you qualify using two years worth of taxes. We would need to be able to prove your income through your taxes if we want to use an FHA loan.
If you have the required documentation, credit score, and are financially prepared for the commitment of buying a home you should apply today to learn how close you are to owning a home!
Apply for a free prequalification and your loan officer can let you know the limits in your area.
Now apply for a FHA Loan online, All you need to do is provide your details below application form.