Articles Published in: 2019

FHA Home Loan Credit Score Requirements: FICO Scores And More

February 4, 2019

Questions To Ask Your FHA Lender

There are many questions to ask your participating FHA lender when you are getting ready to purchase a first home or a replacement home. If you are looking at working with a realtor and begin your house hunting process, make sure you create a list of questions for your lender so you can go into the home loan process as informed as possible. Do FHA Home Loans Require Me To Have A Financial Need To Qualify? Your lender will explain that no, FHA home loans are not need-based. There are government-backed need based loans that feature income requirements and maximum income rules; USDA home loans are a good example. But FHA mortgages have no income limit, are not need based, and do not require the borrower to be a first-time | more...

February 4, 2019

FHA Cash-Out Refinance Loans For First-Time Home Buyers

By Bruce Reichstein

There are several important issues centered around FHA cash-out refinance loans. Borrowers who want to cash in on the value of the home will wonder about many aspects of cash-out refi loans. How much money will you get in cash? How long before you can successfully apply for an FHA refi loan once you have purchased your first home? FHA Cash-Out Refinance Loans: Not The Same At Every Lender All housing markets differ and lender standards/requirements will also vary. When it comes to the differences in housing markets, those applying for an FHA cash-out refinance loan in an area with rapidly increasing property values may discover your home is worth far more than originally thought. The reverse may be true in areas that are leveling off or are experiencing changes | more...

February 1, 2019

FHA Loans For First-Time Home Buyers

By Joe Wallace

If you are in the market for a first home or a starter home for a new family, there are many options to keep in mind that an FHA home loan can help you with. Which one of these FHA mortgage loan options is right for you? FHA 203(b) New Purchase Home Loans For First-Time Buyers And Return Borrowers If you are interested in a typical suburban home for your first house hunting adventure, the FHA 203(b) Mortgage is the right one for your needs. These home loans are for existing construction properties that don’t need extensive repairs and are intended for those who plan to own and occupy the home as their primary residence. FHA 203(k) Rehabilitation Loans For Fixer-Upper Homes The FHA 203(k) rehab loan is the one | more...

January 29, 2019

Should I Buy A Condo With An FHA Home Loan?

By Bruce Reichstein

Should a first-time home buyer consider purchasing a condo unit? Depending on your wants and needs, the answer may vary. Condos are unique compared to suburban homes because they are a communal property with shared responsibilities (which may be mostly financial) for upkeep of the common areas, the roof, balconies, etc. You may have special features on the property such as a gym, sauna, whirlpool, etc. depending on the property. FHA Condo loans require the condo project to be on or added to the FHA approved list-that’s unlike other types of property which must simply pass the FHA appraisal process. Condos will be appraised, too, but they must first be on the FHA roster. You can work with your FHA loan officer to add a condo project to that list | more...

January 28, 2019

FHA Loans And The Government Shutdown: What’s Next?

By Bruce Reichstein

Headlines in the earliest part of 2019 about the government shutdown gave way at the end of the third full week to those discussing the interim re-opening of the government for three weeks so that negotiations on the federal budget may continue. On Friday, January 5, 2019, the partial shutdown ended, bringing furloughed workers back on the job and ending the question of how long nearly one million American workers would have to do without a paycheck. What does all this have to do with FHA mortgage loans? Many wondered if the FHA would stop the home loan program during the partial shutdown, and while that did not happen, some aspects of the FHA mortgage program were affected including the Home Equity Conversion Mortgage program and certain aspsects of the | more...

January 25, 2019

Refinancing Your Home Loan With An FHA Mortgage

By Joe Wallace

With recent interest rate headlines, some may be interested in refinancing their first home loan in 2019, especially those in adjustable rate mortgages who want to lock in an interest rate to avoid future mortgage loan rate fluctuations. Some will ask how much of the credit-check process is needed for an FHA refinance loan compared to when the original mortgage was applied for, and much depends on the type of refinance loan being applied for. Some refinance loans, such as FHA Streamline Refinancing, also known as an FHA Interest Rate Reduction Refinance Loans (VA IRRRL) do not feature a government-mandated credit check. Qualified borrowers will use the original credit check and other information used on the first mortgage as a guide. Your participating FHA lender is, however, free to require | more...

January 24, 2019

Buying A Starter Home With An FHA Mortgage

By Bruce Reichstein

FHA home loans can help any financially qualified borrower get into a new home with a low down payment and more forgiving credit requirements. The FHA home loan program is for first-time home buyers and experienced homeowners alike. How FHA Mortgage Loans Differ From Other Home Loans For First Time Home Buyers How do FHA mortgage loans differ from conventional mortgage loans, USDA loans or VA mortgages? There are many factors. One important difference between FHA mortgages and conventional loans is that unlike some mortgage loans, an FHA loan for a starter home or other principal residence has no penalty for early payoff of the mortgage loan. FHA loan rules specifically deny the lender the ability to penalize a borrower for paying more than the monthly mortgage payment and/or paying | more...

January 23, 2019

How To Qualify For An FHA Mortgage Loan With Low Credit

By Joe Wallace

Do you know how to get approved for an FHA mortgage even if you don’t have much credit history or a very high credit score? First time buyers looking for real estate in Texas, California, And Colorado may wonder how to get a foot in the door in the real estate market without a long credit history or some past financial problems on a credit record. And while these housing markets aren’t the only ones, they can be competitive; that said, you can use this advice in ANY housing market How To Prepare For A Home Loan Application To get approved for an FHA mortgage with thin credit, low credit, or bad credit, it is important to give yourself plenty of time to establish a reliable payment record. In general, | more...

January 22, 2019

Online Mortgage Calculators For First-Time Home Buyers

By Joe Wallace

Why should a first-time home buyer use an online mortgage calculator in the planning stages of a new home loan? There are several reasons, but one of the most important is also one of the things a new house hunter may need to learn as early as possible; the monthly mortgage payment you make as a new home owner is not just about the principal and interest payment on the loan. Three Important Things To Know About Your Monthly Mortgage Payment Buying a home with a mortgage loan-ANY mortgage loan-will include a variety of things that make up the total amount of your mortgage payment due each month. An FHA condo loan, an FHA rehabilitation loan, or even an FHA One-Time Close construction loan will have their monthly payments calculated | more...

January 21, 2019

Happy Martin Luther King, Jr. Day!

By Bruce Reichstein

Happy Martin Luther King, Jr. Day! Banks and markets are closed today to observe the holiday and we too feel it’s very important to remember this important day. America owes a great deal to Dr. Martin Luther King, Jr. and we are proud to observe this day dedicated to him. We pause are regular coverage of FHA news and FHA loan topics to observe the holiday. We resume our usual schedule of posts tomorrow. Thanks for reading!