What is an FHA 203k loan

Most lenders will only provide a loan under certain conditions. Primarily among them
is the value of the home should be sufficient to cover the sale of the property if the
homeowner fails to repay the loan. This protects the lenders investment and ensures that
a homeowner is not getting in over their head.

But what about a home that is run down and in need of extensive repair? Continue reading

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FHA requirements for appraisals

The FHA has certain minimum requirements that a home must meet before it will issue a
guarantee on the property. Because homes, conditions, environments, etc are so varied,
it is not possible to nail down a single set of standards that applies to all situations and all

First, there is an important distinction between an appraisal and an inspection. An
appraisal is required by the lender Continue reading

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First time homebuyers and FHA

There are a large number of factors that go into buying a home. For first time home
buyers, it can be an overwhelming experience unless they’ve done their homework and
researched what to expect. Even then the decisions to be made are not always going to be
easy to make.

Finding the right home is itself a daunting task for many. What size, price range, what
about Continue reading

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What is a FHA streamline loan?

If you currently have a FHA loan and you’re considering refinancing to reduce your
monthly payment, then you will most likely want to take a look at what FHA has to offer

A FHA Streamline loan is a loan program for homeowners who already have a FHA
loan and want to reduce their payment. The “streamline” aspect of Continue reading

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Refinancing with FHA

Many people have FHA loans that were issued a few years ago under poor credit
conditions. These “sub prime” loans have a much higher interest rate than what would
now be offered. If you currently have a high interest rate on your FHA loan, now is a
good time to research your refinance options.

Your options will depend on your goals. As with most other mortgage programs you will
most likely (depending on credit, income and equity in the home) have the option Continue reading

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How your credit affects an FHA loan

Your credit score is one of the three main criteria used to qualify for a mortgage. The
two other factors are: DTI Ratio (debt to income), which is your income versus your
expenses, and LTV (loan to value), which is the value of your home versus how much
you owe.

There are three major credit bureaus: Transunion, Experian, and Equifax. Your credit
report may differ by credit bureau, so it is not uncommon Continue reading

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Who should consider a FHA mortgage?

When buying a home, you will most likely run across information on Federal Housing
Authority (FHA) loans. While there are many factors to consider in the loan selection
process, here are a few of important points.

For the sake of example, let’s say you find a home that meets your family’s needs. The
location is right, the features are right, and you have negotiated a purchase price of
$200,000. Now you need to get a home loan to pay for the property. Continue reading

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FHA vs Conventional Mortgages

Many people do not understand what a Federal Housing Authority (FHA) loan is or the
difference between a FHA loan and a Conventional loan. Here are some basic details
on FHA loans to help you understand what you’re getting if you decide to go with this
option. Let’s start off with what an FHA Loan is and what it isn’t.

Continue reading

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How do I qualify for a FHA loan?

A Federal Housing Authority (FHA) loan is more personalized and flexible than a
Conventional loan. Because of the FHA expanded guidelines, you are likely to be
approved for an FHA loan even if you have a blemished credit history or minimal down

Before you apply for an FHA loan, you should analyze your financial situation to get
a good understanding of what you can afford, what you are willing to pay, and how
you will explain any problems on your credit report. Continue reading

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What is the FHA?

Buying a home will most likely be one of the largest purchases you will ever make and most
people will take out a loan to be able to afford that purchase. Therefore, it is important that you
take the time to understand the types of loans available to you.

Today, there are two main types of loans available: Federal Housing Administration (FHA) and
Conventional. In this article, I will focus on FHA loans.

Continue reading

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