FHA home loans are government loans with lenient credit checks; however, there are some guidelines to be able to receive a FHA mortgage. The person trying to qualify will need their debt to income ratio to fall within the FHA requirements before they are approved. FHA loans are approved by computers and humans allowing each loan to be looked at individually where sometimes exceptions can be made. The FHA guidelines are not made to create problems for anyone; in fact they allow everyone to succeed. The guidelines protect the borrower from getting in over their head with a mortgage while still approving many people that may not be approved otherwise. The guidelines also make it possible for banks to feel confident that they will be repaid the FHA loan they grant. Continue reading ‘FHA Guidelines – FHA Mortgage Loans For Purchase Or Refinance’ »
Posts tagged ‘FHA’
First time home buyers represent a large population in the United States and many can experience trouble when trying to become a homeowner for the first time. For some it’s the lack of credit that they have built up due to being early in their careers and just graduating from college. In our economy today it can also be the lack of a job being held for many years as proof of stability and of course the insufficient funds for a down payment do not help either. FHA loans for the first time home buyer can be the answer to all of these issues. FHA requirements are more lenient with credit, years of employment, and the down payment requirement is only 3.5% of the house’s sale price. In addition FHA regulates the closing costs.
For some not owning a home is due to their previous credit history. FHA loans for the first time home buyer can be the way out of renting and into home-ownership. FHA mortgages require a lower credit score, usually Continue reading ‘FHA Loans For the First Time Home Buyer’ »
You should refinance a mortgage if you have a mortgage or second mortgage with interest rates that are too high. If you have one or two mortgages which are much higher than the going interest rate of today’s market it may be worth refinancing to save some money. You first need to see what the new FHA Mortgage Interest Rates will be compared to your current rate, and factor in the closing costs to see how many months it will take before you turn a profit.
If you do not have very good credit it may be hard to find a lender that will refinance your loans for a reasonable rate. FHA mortgage refinancing is a type of mortgage refinance through the federal housing administration which can help people who don’t normally qualify for refinancing get a low cost mortgage refinance loan. This means the FHA Mortgage Interest Rates ought to be lower as well. Continue reading ‘Understanding FHA Mortgage Refinancing – Is it For Me?’ »
Recent reports have estimated that over 20% of homeowners had mortgages that were underwater. If you are one of those homeowners owning a mortgage that has a current balance greater than your properties present value you probably have asked yourself “What can I do?” Well today there are many more options thanks in part to the new programs introduced by the government in 2008.
An FHA Secure loan is an option some lenders can use to help a homeowner with a mortgage that is underwater. The FHA Secure loan is a refinance mortgage option you can use to refinance a non-FHA adjustable rate mortgage. If your mortgage balance is greater than your homes value a lender may need you to use a second mortgage to cover the Continue reading ‘Underwater Mortgages – What to Do With Negative Equity’ »