February 11, 2011
In our last blog post we covered some of the fees and costs associated with getting an FHA mortgage. New home buyers should be aware that the asking price of a home isn't the final amount that will be paid as part of closing the deal. The closing costs, interest rate, lender's fees and other expenses also factor in.
February 11, 2011
When you're shopping around for a lender for an FHA home loan, it's good to remember that buying a home involves costs above and beyond the asking price of the home; some of these costs can be estimated by the lender to give you a rough idea of how much you should budget for when planning your finances for a new FHA mortgage. The basic costs of buying real estate include the interest rate--how much will your loan cost over its lifetime? It's easy to dismiss a percentage point up or down until you do the math--one percentage point lower could save you thousands over the life of a 30-year FHA mortgage. That's one reason why discount points are important--paying more up front can save you money later down the | more...
February 10, 2011
The FHA offers a rehab loan known as the FHA 203(k). This program is the FHA's main loan product for rehab and repair loans for single family homes, and according to the FHA official site, "...it is an important tool for community and neighborhood revitalization and for expanding homeownership opportunities. Since these are the primary goals of HUD, the Department believes that Section 203(k) is an important program and we intend to continue to strongly support the program and the lenders that participate in it."
February 9, 2011
Buying a home with an FHA loan involves a process with a set of milestones along the way. The first of set of milestones includes finding a suitable home, negotiating a price, applying and being approved for a home loan and agreeing to the terms and conditions. When it's finally time to close the deal, sign on the dotted line and get ready to take possession of the property, there's another important part of the process--getting a HUD-1 Settlement Statement.
February 8, 2011
When it's time to start thinking about buying a home with an FHA mortgage, first-time home buyers often need to learn a few things about the nature of the housing market. One of the most important lessons a new house hunter learns is that not all properties are created equal, and even those that do seem similar have unique issues that may affect the price and availability of the property. The housing market is an ever-changing thing. Whether you apply for a conventional or FHA insured mortgage loan, much depends on the place where you're conducting the search for a suitable home.
February 7, 2011
When some first-time home buyers decide to commit to getting an FHA
February 4, 2011
FHA loans are based on a range of qualifying criteria for borrowers. The borrower must have satisfactory credit, show a history of on-time payments, reliable income and a debt-to-income ratio that qualifies. But the FHA also prides itself on flexibility with its loans and sometimes a debt-to-income ratio or other factor that doesn't quite make the grade can be offset by what the FHA calls "compensating factors".
February 3, 2011
We've discussed a great deal of information here about FHA loans and foreclosure avoidance, including time lines of foreclosure proceedings and other details. Some borrowers make the wrong assumptions about foreclosure and their FHA mortgage, and it's very important to have all the facts before a payment is missed. What are the consequences of missed payments and how long does it take before the bank starts foreclosure proceedings?
February 2, 2011
When you want to get an FHA loan--especially for that first home purchase--there are a lot of options to choose from. How does a buyer know which FHA loan product to choose? There are many ways to answer that question, but it all depends on the buyer, what his or her goals are, and how important certain kinds of savings are to the future home owner.
February 1, 2011
The Real Estate Settlement Procedures Act or RESPA was created to protect FHA loan applicants and other borrowers. RESPA requires, among many other things, full disclosure to the buyer with regard to actual costs, obligations and other details of a home loan. RESPA prevents "gotcha" sales tactics in the real estate industry and makes the borrower and home purchasing experience more fair for everyone involved.