Qualifying for an FHA Loan

FHA Lenders are lenders that are insured against losses by the Federal Government. Because FHA lenders bear less risk than conventional lenders, FHA banks offer less stringent qualification guidelines, allowing applicants to qualify for an FHA loan with less headaches at low fixed rates

Qualify for an FHA loan - Quick Facts

If you qualify for an FHA loan, your rate will be fixed and just as low as a conventional loan - right now, FHA qualifying rates are around 5.00%
You will need a credit score around the low to mid 600's although some lenders will qualify you for an FHA home loan with a score as low as a 580
Many FHA lenders will forgive some recent credit adversities like past due mortgage payment, late payments on credit cards and accounts in collections
FHA does not offer a no income check loan - While FHA lenders will "look past" some credit adversities that conventional lenders won't, in order to qualify for an FHA loan you MUST be employed, earning enough money to afford your loan
You can refinance your home up to 97.75% and purchase a home with as little as 3.5% down payment
In order to qualify for an FHA loan you must occupy the home as your primary residence (no investor)
If you own 2 or more homes, you may only have an FHA loan on 1 at a time

Buying a home FHA - Qualifications

When buying a home FHA, in order to qualify you may need a 620 credit score or better (although you may be able to qualify with a score as low as 580), a 3.5% minimum down payment, 2 active trade lines on credit report and no more than (1) 30 day mortgage late in the past 12 months on credit history. You also can not buy a home with an FHA mortgage if you already have one on another property.

FHA Income and Employment Requirements

To qualify for an FHA mortgage, FHA lenders require that the applicants be employed, earning enough money to repay the loan at regular intervals - Read more on FHA income qualifications

Documents Needed for Qualification

Depending on your current situation, your FHA lender will require certain personal documents from you in order to qualify you for an FHA loan - Read more on FHA documents you may need to provide

The FHA Loan Process

The FHA loan process can be very fast and easy if you are prepared - Read more about the FHA home loan process

FHA Credit Guidelines

While FHA lenders will qualify you in many cases with a lower credit score than conventional (non-FHA approved) lenders, FHA banks do have a set of credit guidelines that you must adhere to - Read more about FHA qualifying credit guidelines

FHA Loan Update

August 2nd, 2011

FHA Loan Requirements

What will you need? Click the link below to read about FHA Loan Requirements, credit and income requirements, FHA lender guidelines and the documents that may be required by your FHA lender....

Using a Mortgage Broker?

As of April 1st, 2011, mortgage originators will no longer be allowed to collect Yield Spread Premium (YSP) - a fee charged by mortgage brokers that is normally paid for by the lender upon closing a purchase or refinance transaction. This can mean higher up front fees for [you] the consumer....

FHA Mortgage Insurance Increase

On February 14, the FHA announced a new premium for FHA single-family mortgages, increasing the annual mortgage insurance premium (MIP) by a quarter of a percentage point (.25) on all 30-year and 15-year loans.

How will this affect you? [click]

For Home Buyers

Everything you need for Buying a Home FHA

FHA loans allow you to buy a home at very affordable terms. With FHA's low down payment requirements, light qualification guidelines and competitive fixed rates, millions of American's have turned to an FHA loan for their home purchase...

More about FHA loans for buying a home

FHA Refinance

Refinancing With a FHA Loan

If you are thinking about a refinance, an FHA refinance might be the solution. FHA loans offer rates just as low as conventional loans and in many cases are easier to qualify for...