Articles in Category: Fixed Rate Mortgage

February 13, 2018

Am I Eligible For An FHA Mortgage?

Am I eligible for an FHA mortgage? That is a very common question, but many borrowers have a specific reason for asking-they want to know if a certain credit problem or work/life situation might disqualify them from an FHA loan. I Have A Recent Bankruptcy Borrowers with bankruptcy issues will have to discuss their situation with a participating lender, but in general at the very minimum you will be required by FHA guidelines to wait a full year (called a “seasoning period”) before applying for a new loan. In some cases you may be required to wait longer, and lender standards apply above and beyond the FHA loan rules. Getting a loan post-bankruptcy requires the applicant to have good credit habits post-bankruptcy, and in some cases you may need the | more...

February 1, 2018

Things You Should Know About FHA Home Loans

By Joe Wallace

There are many things you should know about FHA loans before you start the application process; myths and half-understood features of this home loan program still confuse some applicants going into the process. What follows should help you better understand the basics of the FHA home loan program. FHA Loans Are Not Just For First-Time Home Buyers There is no restriction on FHA loans for those who have purchased a home before. There are no separate terms, qualifications, or other rules for those who have purchased before. All FHA loan applicants who are financially qualified are welcome to apply. FHA Loans Are Available For Condos, Mobile Homes, and Mixed-Use Properties Suburban homes are just one of the types of property you can buy with an FHA mortgage. You can purchase | more...

January 25, 2018

FHA Loan Options For New Construction Homes: FHA One-Time Close Mortgages And More

By Bruce Reichstein

FHA loan options for buying new construction homes include the FHA One-Time Close / Single-Close Construction Mortgage, which allows a borrower to apply once and have a single closing date for a house built from the ground up. FHA One-Time Close mortgages differ from other construction loans because this type of construction loan eliminates the two-step construction loan application process where the borrower applies once for the costs of construction, and has a closing date for that loan, then applies a second time for the mortgage on the property itself. It’s definitely an advantage to have a single application and closing date. But what are the other options to compare this type of loan to? It’s good to know what you can get from multiple options-making an informed choice to | more...

January 11, 2018

FHA Condo Loans And Site Condominiums

By Joe Wallace

FHA condo loans are available for both condo units and site condominiums. But what’s the difference? Many are surprised to learn that an FHA home loan is available for condo units, but are sometimes disappointed that the FHA condo loan requirements include being on or added to an FHA-approved condo project list. Borrowers must work with their participating FHA lenders to have condo projects not on that list added to it, but the requirements are different depending on whether you’re looking at a condo unit or a property classified as a “site condominium”. What’s the difference? FHA loan rules in HUD 4000.1 require a condo project to be added to the FHA approved list if it is not already when the borrower chooses to buy. FHA loan rules were created | more...

January 1, 2018

Welcome To 2018!

By Bruce Reichstein

Happy New Year! We look forward to another year of writing about FHA home loan topics, answering questions about the mortgage process, and passing along crucial news and updates about the FHA home loan program. We pause today from our usual schedule to celebrate the new year, but our regularly scheduled posts return on January 2nd. Thank you for reading and welcome to 20181

December 29, 2017

Get Ready For Your FHA Home Loan In 2018

By Bruce Reichstein

Get ready for your FHA home loan in 2018 with some simple planning, budgeting, and market research. Buying a new home-or having one built with an FHA One-Time Close construction loan-requires some advance planning and saving, but your new home is well worth the effort. How ready are you to apply for a home loan in the new year? Do Some Housing Market Research What are typical house prices in your area? How do those prices match your budget? You can use an online mortgage calculator to help you figure out how much an estimated monthly mortgage payment could be based on the price of the home, interest rate, the amount of your down payment, and other factors. Once you have your estimated monthly mortgage payment, you can decide if | more...

December 27, 2017

What Are FHA House Loans?

By Bruce Reichstein

What are FHA house loans? Are they really only for first-time home buyers? There are many things about the FHA home loan program that are easily misunderstood. Let’s explore how FHA home loans can help you even if you are NOT a first-time home buyer. FHA Home Loans: What They Are Designed To Do FHA mortgages allow qualified borrowers to buy, refinance, and repair/rehab homes intended to be used as the buyer’s primary residence. FHA mortgages include options for cash-out and no cash-out refinancing, and there are rehab loans, FHA fixer-upper loans, FHA construction loans, and several other options. FHA loans can be used to buy suburban homes, condo units, mobile homes, manufactured homes, and modular homes. You can also apply for an FHA One-Time Close construction loan to have | more...

December 22, 2017

Get Ready For An FHA Mortgage Loan

By Joe Wallace

Do you want to get ready for an FHA home loan in the new year? There are several things you can do now to prepare for your new mortgage loan application and get closer to home loan approval. Know Your Price Range For Buying A New Home Getting ready for an FHA mortgage in the new year means budgeting and saving up for home loan expenses including the FHA loan minimum required down payment. If you don’t know your approximate price range for purchasing a new home, saving up for your down payment may be harder-FHA loan rules state that the minimum amount down is 3.5% of the adjusted value of the property. Knowing your price range can help you determine how much to budget for your down payment. But | more...

December 18, 2017

What Should I Know About FHA Home Loans?

By Bruce Reichstein

What should I know about FHA home loans? The first thing to remember is that your options with an FHA mortgage include new purchase loans, reverse mortgages, refinance loans, and rehab loans. You can do a lot more than just buy a house as a first-time home loan applicant. FHA Home Loans Are Not Just For First-Time Buyers The most common misconception about FHA home loans is that they are ONLY for first-time buyers. This is not true. No matter how many times you have borrower money to buy a home before, if you are interested in purchasing a primary residence, the FHA home loan is an option for you. FHA Loans Include Mobile Home Loans and FHA One-Time Close Construction Loans The list of FHA home loan options include | more...

December 14, 2017

Can I Get Cash Back On An FHA Mortgage?

By Bruce Reichstein

Can I get cash back on an FHA mortgage? That’s what some borrowers want to know, and the answer varies depending on the type of home loan you seek. FHA Cash-Out Refinancing Loans The FHA cash-out refinance loan is an FHA refi transaction designed to permit the borrower to take cash back at closing time. The amount of cash you get back on this type of loan depends on how long you have been paying on your home loan, and the amount of any add-ons to your mortgage such as financed closing costs, etc. You aren’t allowed to borrower more than the property is worth based on FHA appraisal guidelines and LTV limits. That means you can’t use a home worth $250,000 to secure am FHA cash-out refinance loan for | more...