Articles in Category: Fixed Rate Mortgage

December 10, 2018

On Buying A Home With An FHA Mortgage

An FHA mortgage is not limited to those who are house hunting for the first time. FHA mortgages (and refinance loans) are open to all who financially qualify with FICO scores and other financial considerations. FHA mortgages are not restricted to first-time home buyers. FHA Loans: Backed By The Federal Government There are several government home loan programs; VA home loans, USDA mortgages for rural areas, plus FHA mortgages. FHA loans are government-backed to help borrowers buy affordable homes with a lower down payment requirement than conventional mortgages. Search the Internet and you’ll find (best-execution) mortgage loan interest rates all over the internet for FHA, VA, and conventional loans. In general government backed loans have a lower best execution rate and while interest rates fluctuate daily, FHA mortgages traditionally offer | more...

December 5, 2018

FHA Home Loans For Families

By Bruce Reichstein

FHA home loans for families offer advantages that go beyond the comparatively lower interest rates than for conventional loans (borrower financial qualifications will help determine the actual rate the applicant is able to get from the participating FHA lender). Those advantages are important to remember when comparing FHA loans to conventional equivalents or USDA and VA mortgage loans. What kinds of advantages? They include the ability to be considered for a second FHA mortgage later down the line if job or family requirements have the borrowers thinking they might be outgrowing their home or need to relocate to be closer to a new job. FHA Mortgage Loans Allow Financing And Seller Assistance For Certain Closing Costs Borrowers who need very low out-of-pocket expenses up front will be glad to learn | more...

November 27, 2018

How Much Home Can You Afford?

By Bruce Reichstein

How much home can you afford? If you’re looking for an FHA mortgage or any other type of home loan, one important factor both you and your lender will be concerned with involves the amount of current debt you have compared to how much you would need to pay if your mortgage loan is approved. Licensed lenders and competing banks don’t have identical requirements in this area, but in general you should plan on doing two basic types of mortgage loan calculations to determine how much home you can afford to buy. FHA Home Loans And Your Debt-To-Income Ratio One type of calculation involves the percentage of your gross income that the new loan would require each month on the mortgage payments. You will need the projected amount of a | more...

November 22, 2018

Happy Thanksgiving 2018!

By Bruce Reichstein

Happy Thanksgiving 2018! Today we pause from our usual discussion of FHA home loans, refinance loans, FHA reverse mortgages and related topics to enjoy the holiday. Our regular schedule of posts resumes on Friday. Have a safe and fun Thanksgiving holiday and we’ll see you tomorrow!

November 13, 2018

FHA Home Loans For 2019

By Bruce Reichstein

What are your FHA home loan options in 2019? Those looking to start house hunting in the new year should know about FHA loan guaranty limits and how those limits can change from year to year. This is a very important detail of the home loan process you should know before starting the search for your dream home. FHA loans have limits that are set periodically and can change from year to year. For many years, the basic limit did not change, and in high or low-cost areas the limits are naturally different but the amount of those respectively higher or lower limits don’t always change. However, in 2018 FHA loan limits did change, and borrowers found they had increased limits according to FHA Mortgagee Letter 2017-16. The national limit | more...

October 30, 2018

What You Can And Cannot Do With An FHA Home Loan

By Joe Wallace

What are borrowers allowed to do with an FHA home loan? What is not allowed? Knowing your options before you apply is an important part of the process since all FHA home loan products are not made for the same purposes. You Can Use An FHA Mortgage To Buy A Mobile Home Or Condo There are FHA purchase loans available for mobile homes that meed FHA loan standards, and also mortgages to purchase condo units. FHA home loans allow these purchases as long as the mobile home is affixed to a permanent foundation and is transported directly to the site from the dealer or manufacturer. FHA condo loans are allowed when the condo unit is on or added to the FHA approved condo project list, the condo meets FHA minimum | more...

October 18, 2018

How To Start Buying A Home With An FHA Mortgage

By Bruce Reichstein

What are the first steps towards purchasing a home with an FHA mortgage? That depends on the stage of your loan that you find yourself in-when it’s time to plan the mortgage, the steps involve pulling your credit report and saving up for your down payment and other expenses. But what about when you are ready to start actually house hunting? A few preliminary steps can save you headaches and wasted time later. Use A Mortgage Calculator To Determine A Price Range It’s strongly recommended that house hunters first calculate an estimated price range on homes they can afford. House hunting with a specific set of prices will help rule out neighborhoods that don’t fit into your budget. But the price range determination does not stand alone-knowing how much home | more...

October 12, 2018

Protect Yourself When Shopping For A New Home

By Joe Wallace

A recently published report about home loans and credit checks advises, “Do not allow a credit pull by a lender you don’t know, especially if the offer is unsolicited”. This advice leads to a few other questions about the home loan process; how do you protect yourself against identity theft, fraud, scams, and unscrupulous vendors when you are trying to buy a home with an FHA mortgage? Consider Your Recent Activities When Shopping For A Home Loan What does this mean? When you want to buy a home with an FHA mortgage or any other kind of loan, consider that you may be signing up for accounts on real estate sites or other online resources and that you don’t always know what might become of your personal data with third | more...

October 10, 2018

Four Reasons You Need A Home Inspection After The FHA Appraisal

By Joe Wallace

There are four good reasons why you need a home inspection as well as an FHA appraisal on the home you want to buy with an FHA mortgage. Some FHA loan applicants are tempted to sign on the dotted line based on the results of the FHA appraisal alone. Is this a good idea? No. Why not? If it’s good enough for the FHA, why isn’t it good enough for the borrower to accept the appraisal results and take it on faith that the home is exactly as it appears? #4: Get A Home Inspection Because The Appraisal Is Not Intended For The Borrower, It’s A Tool For The Lender The appraisal process is meant only to establish the home’s fair market value and determine that the home meets minimum | more...

October 3, 2018

FHA Home Loan Mortgage Rates And Home Loan Planning

By Joe Wallace

What do new borrowers need to know about FHA home loan interest rates? When you are in the planning stages of your mortgage loan you might not know where to start first, but knowing a few important facts about mortgage loan interest rates can be a huge help. FHA Loan Interest Rates Are Not Regulated By The FHA The FHA and HUD do not set interest rates on FHA mortgages or FHA refinance loans. The rates offered to you by your chosen participating lender will be set according to the current market plus variables such as your credit scores. It’s best to shop around for a lender to find the most competitive interest rate. FHA Home Loan Interest Rates Are Subject To Change Mortgage rates change daily. There are several | more...