FHA INSURED
FHA Loan
Federal Housing Administration loans offer low down payment and gift options to help borrowers qualify for a home.
FHA LOAN
Advantages
- Smaller down payment required (as low as 3.5%)
- Allows for gift funds to help with closing costs and/or down payment
- Allows for seller credit toward recurring and non-recurring closing costs
- Great option for first-time home buyers
- Competitive interest rates
- Minimum credit score not required
- Seller can give a credit on Conventional loans and all loans for that matter
- Conventional loans min credit score is 620
FHA LOAN
Disadvantages
- Upfront mortgage insurance (UFMIP) adds to the loan balance
- Monthly mortgage insurance (Ml) increases overall payment
- With less than 10% down payment, mortgage insurance is permanent for the life of the loan
- May have to refinance to remove mortgage insurance (even with sufficient equity)
- Attached condominiums must be FHA approved
EXPEDITE THE PROCESS
FHA Loan Checklist
When you are applying for an FHA loan, the following list of documents will help expedite the process. We can help you understand any part of the FHA loan process, so please reach out to us with any questions.
Employment Info
- Completed tax returns from the past two years.
- W-2s, 1099s, and any other necessary tax forms from the past two years.
- Most recent paystubs from the last 30 days.
- Self-employed borrowers need taxes for 1-2 years and a YTD Profit and loss.
Savings Info
- Full bank statements for all accounts from the past two months.
- Most recent statements from investment accounts (retirement, 410k, mutual funds, etc.)
Personal Info
- Driver's License or other official state identification.
- Any Divorce, Alimony documents.
- Green card or work-permit (if/as applicable).
