getting started with my FHA loan

To get started with your FHA loan and purchasing your new home, you must first follow some guidelines to qualify. You must first collect all the necessary information to be submitted to an underwriter to verify the status of your loan request. You must also determine the FHA loan limit available for you area, which will determine the amount you can request.

The necessary information that you need to collect to start working with an FHA loan specialist are:

• The estimated value of your personal property and funishings
• Your Social Security Number
• The names of your past employers for the previous two years
• The addresses of your previous residences for the past two years
• Your current gross monthly salary
• Names, addresses, and account numbers with balances on all checking and savings accounts
• Any existing address and loan information of real estate you currently own
• W2's for the past two years and current paycheck stubs
• If you are a student you will need to show your enrollment and supply verification for any student loans you have
• If you are self-employed you will need to provide personal tax returns for the past two years and a current income statement, as well as balance sheets for your business

A credit report is not required to obtain an FHA loan, but it can help you qualify. Most importantly, when you send your information to an underwriter, be sure to provide evidence of consistent income and that you have no outstanding debt. The underwriting process can take anywhere from 2-5 days, so you should be sure to plan accordingly.

If you have any questions about FHA loans and how you can qualify, please feel free to contact one of our FHA loan specialists at 1(888) 892-1858, or check other topics of our FHA Help Center.

lower down payments than conventional loans

Unlike conventional home loans that may require a 20 percent down payment, your down payment with an FHA home mortgage may be as low as 3.5 percent. Due to the fact that FHA home loans are insured by the Federal Housing Administration, lenders are able to provide loans with much lower down payments.

Depending on your debt-to-income ratio, which assess whether you can afford the loan, your down payment may be as little as 3.5 percent of the loan total, which is the minimum down payment. You will be required to pay a low rate of .5 percent every month for mortgage insurance, as well as an upfront mortgage insurance premium (MIP) of 1.5 percent of the total loan amount. The MIP can be financed into the loan or paid at closing.

If you have any questions about FHA loans and how you can qualify, please feel free to contact one of our FHA loan specialists at 1(888) 892-1858, or check other topics of our FHA Help Center.

why should i purchase now?

FHA loans have significant money saving benfits over convential home loans and are structured to benefit first-time home buyers the most. By purchasing with an FHA home loan, you'll enjoy lower interest rates as well as a significantly lower down payment than a conventional home loan. Since less risk is incurred on the lender, you can also qualify with less rigid guidelines.

Because you're loan is backed by the Federal Housing Administration (FHA), you're loan is less risk to the lender. Therefore you enjoy the benefit of lower interest rates over a conventional home loan. This directly translates into savings of thousands of dollars over the lifetime of the loan, which puts you at a much lower risk.

If you have any questions about FHA loans and how you can qualify, please feel free to contact one of our FHA loan specialists at 1(888) 892-1858, or check other topics of our FHA Help Center.

what are FHA closing costs?

Closing costs are the fees and costs that are applied at the end of a property sale. Just like any other home loan, FHA closing cost include:

• Loan origination fee
• Appraisal fee
• Title Fee
• Recording Fees
• Lender fees

In addition to these fees, FHA loans require mortgage insurance premiums (MIPs) that are 1.5 percent of the overall loan total. Mortgage insurance premiums can be financed into the loan.

If you have any questions about FHA loans and how you can qualify, please feel free to contact one of our FHA loan specialists at 1(888) 892-1858, or check other topics of our FHA Help Center.