Articles in Category: FHA Loan Types

January 3, 2018

Can I Buy A Condo Unit With An FHA Home Loan?

Can I buy a condo unit with an FHA home loan? It’s a common question, and the short answer is yes. But the FHA condo loan rules are a bit different than the rules for purchasing other types of property, so you should know what those differences are before exploring your options. FHA Condo Definition The FHA handbook, HUD 4000.1, has a specific definition of a “condo” that applies to all FHA condo loan transactions for single family home loans. According to page 150, “A Condominium Unit is a Property contained in a multi-unit project that has individually-owned Dwelling units, which may be either attached in one or more Structures or detached from each other, and is primarily residential in use”. FHA Condo Loans For Approved Condo Projects All condo | more...

January 2, 2018

Do Townhomes Qualify For FHA Loans?

By Bruce Reichstein

Do townhomes qualify for FHA home loans? It’s a variation of the question on the minds of those looking for several different types of properties to consider buying with an FHA mortgage. What do the FHA home loan rules say about purchasing town homes with an FHA mortgage? FHA Loan Rules For Property Eligibility Page 149 of the FHA Single Family Home Loan rule book, HUD 4000.1, states that the following property types may be purchased with an FHA mortgage: -detached or semi-detached dwellings -Manufactured Housing -townhouses or row houses -individual units within FHA-approved Condominium Projects As you can see from the above, FHA loans are possible for town homes. In some cases, special rules are in place regarding town homes. For example, FHA 203(k) rehab loans have specific requirements | more...

January 2, 2018

FHA Home Loan Basics For 2018

By Joe Wallace

FHA home loan basics for 2018 include a range of options depending on your financial needs and goals. Do you want to buy a new home or have one built for you with an FHA construction loan? Do you already have a mortgage but want to get into better terms or lower rates? FHA new purchase loans and refinance loan options can help you get closer to your dream of owning your home. FHA Home Loan Options For Purchasing A New Home FHA mortgages can be used to buy properties that meet FHA minimum standards including typical suburban homes but also mobile homes or manufactured housing, condo units, modular homes, and more. FHA mortgages are also available for those who want to have a home built for them from the | 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 28, 2017

FHA Rehab Loans and Appraisal Requirements

By Bruce Reichstein

FHA rehab loans have different appraisal requirements than FHA “forward” mortgages used to simply purchase an existing-construction property. Because the borrower is applying for a home loan to buy property that (likely) does not meet FHA minimum standards or state/local building code, the lender is required to determine both the existing condition of the home and the “after completion” version of it. What do FHA loan rules say about the appraisal process for this type of home loan transaction? Today we’re examining the rules for the FHA 203(k) rehab loan. We’ll cover rehab loan rules for properties in federally declared disaster areas in a separate blog post. FHA Appraisal Rules For 203(k) Rehab Loans As mentioned above, FHA loan handbook (HUD 4000.1) requires the lender to determine the value the | 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

Happy Holidays!

By Bruce Reichstein

Happy Holidays! We’re pausing from our usual schedule of writing about home loans, mortgage trends, FHA and HUD news, and related topics in order to celebrate the holiday season with friends and family. From all of us here, have a fun and safe holiday season! Our normal schedule resumes on Tuesday, December 26. Thank you for reading!

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...