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Articles Tagged With: FHA Condo Loan

Buying a House

Is It Time To Buy A Home With An FHA Mortgage?

Some borrowers are not sure if they are truly ready to buy a house with an FHA mortgage. Not in the financial sense. For this article, we do not mean “ready” in the sense that a borrower has saved a down payment, worked hard on credit, and has a budget plan that includes the new mortgage payment. In this article, being “ready” means deciding to stop renting and start owning a home. Running The Numbers Before You Shop Get a calculator ready if you need to answer the rent-versus-own question. Compare the current rental options with the cost of owning. Ask yourself, how much is your rent? What about renter’s insurance, monthly utility expenses, and other costs like parking and trash removal? How does that amount compare to the costs | more...

 
FHA home loan

What To Know About FHA Condo Loans

Do you need to learn how to buy a condo unit? Do you want to buy one with an FHA mortgage? The first thing to know is that FHA loan rules say condo units purchased with an FHA mortgage must either be on or added to the FHA approval list. There are exceptions for condos not on the FHA list, and these may be handled on a case-by-case basis. Always ask the participating FHA lender about this issue as early as you can. How FHA Condo Loans Work Condo loans are unique because the buyer is not the legal owner of the entire structure of the building their condo unit is located in. A condo is only a single unit in a bigger shared occupancy agreement.  You also join a | more...

 
Mortgage Loan Approval

Who Qualifies For FHA Loans?

Whether you’re interested in building a house from the ground up on your own lot or need a mobile home or condo unit, there is an FHA home loan for you. Who qualifies for these mortgages and why? FHA Loans For First-Time Home Buyers FHA mortgages are open to first-time homebuyers without perfect credit. You can apply for an FHA home loan even with past credit mistakes. The best thing to do is review your past credit and ensure your home loan application is turned in once you have a full year of on-time payments on your credit record. First-time borrowers should know an FHA mortgage, even an FHA One-Time Close construction loan is within their reach thanks to low 3.5% down payment requirements and the ability to get down | more...

 
FHA loans

Do You Qualify For An FHA Mortgage As A First-Time Home Buyer?

Do you qualify for an FHA home loan as a first-time home buyer? You can check several things to see whether your credit and employment situations will allow a lender to justify approving your mortgage loan application. Buying real estate means making a significant investment; potential borrowers who are not financially ready for this investment should take their time, prepare for it, and commit when they are fully prepared. What does it take to get an FHA home loan approved? Stable Employment If you are considering applying for an FHA home loan without at least two years of work history, it may be a wise idea to delay your application until you have at least 24 months of work on your record. There may be some exceptions to the 24-month | more...

 
FHA Home Loan

Understanding Your FHA Home Loan Options

Understanding your FHA home loan options going into the house hunting season of 2023 means knowing the different choices available to you for a mortgage. Did you know that FHA home loans are available for mobile homes, condos, and manufactured housing? There are many options for property size and type. You can buy a property up to four units large using an FHA mortgage. What Kind Of Home Do You Need? Choices matter when reviewing your home loan options. Choices that include how many units you want in your home (one to four-unit homes can be purchased with FHA mortgages) and the type of property you want; condo units, townhouses, mobile homes, manufactured housing, and even the ability to build instead of buy can be part of your decision-making process. | more...

 
FHA loans

FHA Home Loans: A Variety Of Options

There are many different types of real estate available to purchase or refinance with an FHA single family home loan. Did you know that FHA loans are not limited to traditional suburban-type housing? Your options are as diverse as the kinds of real estate you might consider purchasing. For example, while an existing construction suburban home is definitely an option with FHA loans, you can also consider a new construction home. The difference between new and existing construction can be technical; new construction properties have generally been completed for a year or less and have never had an owner. So while you may not be interested in a “build-to-suit” new construction loan, you may be able to get a new construction loan for a property that is already finished but | more...

 
Is your credit ready for an FHA loan?

Anticipating Closing Costs For Your New Home Loan

Buying a home requires planning and saving. Especially for closing costs, which can include appraisal fees, the home inspection, compliance inspections, and the Up-Front Mortgage Insurance Premium. It takes time to save for these expenses, but some borrowers will pay more up front than others. That is usually due to a combination of factors, but the thing new home loan applicants need to know is that your financial needs and goals will dictate how and when you pay certain closing costs. Did you know you can finance some closing costs and have the home’s seller help you pay for others? Government-backed mortgages like FHA home loans (including FHA One-Time Close construction loans which can help even a first-time home buyer build a home from scratch) make buying or building a | more...

 
FHA loans

FHA Condo Loan Rules For Single Condo Unit Approval

Are you looking for an FHA condo loan with a low down payment? Are you having trouble finding a condo project on the FHA-approved list, even with a lender’s help? There may be options for you thanks to the ability to apply for single condo unit approval from the FHA. At one time, FHA loan rules required condo projects to be on or added to an FHA-approved list before they could be considered for an FHA mortgage. But the rules were updated, and it’s possible today to apply for an FHA condo loan for a unit that’s not part of an approved condo project — that unit may still be eligible for an FHA mortgage.  This is accomplished via the FHA Single-Unit Approval process which, according to an FHA Mortgagee | more...

 
FHA Home Loans

Buying A Condo Unit With An FHA Loan

The FHA Single-Family Home Loan program offers condominium loans in addition to its other single-family home loan options. This surprises a small number of house hunters who wrongly assume that FHA home loans are need-based loans or that condo units don’t qualify for an FHA mortgage. They do. But there are some important things to know about the FHA Condominium Loan option–the first is that since 2019, there have been different rules about how condo loans are processed. Once upon a time you could not get an FHA condo loan if the condominium project was not on or added to the list of FHA-approved projects. Now, you may be allowed to buy a condo unit in a project that is NOT on the FHA’s list provided that the condo unit | more...

 
FHA Home Loan

Buying A Condo With An FHA Mortgage

Are you interested in buying a condo unit with an FHA home loan? It’s an option some borrowers don’t realize they have–some make assumptions about the FHA home loan program and the availability of loans for condo units. But the fact is that an FHA mortgage can be used to purchase a condo the same as any suburban home though there are some considerations to remember when making this type of purchase.   FHA condo loans feature the same basic qualifying terms as other FHA mortgages for mobile homes, suburban homes, etc. This type of FHA mortgage is, like all other FHA mortgages, open to first-time buyers AND those who have owned a home before (even in the last three years).  You will be approved for the FHA condo loan based | more...