Articles by: Joe Wallace

June 21, 2021

Joe Wallace has been specializing in military and personal finance topics since 1995. His work has appeared on Air Force Television News, The Pentagon Channel, ABC and a variety of print and online publications. He is a 13-year Air Force veteran and a member of the Air Force Public Affairs Alumni Association. He was Managing editor for www.valoans.com for (8) years and is currently the Associate Editor for FHANewsblog.com.

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Should I Buy A Condo With An FHA Home Loan?

June 21, 2021

FHA Mortgage Or USDA Home Loan: Which Is Best For You?

By Joe Wallace

What makes FHA mortgages different than USDA home loans for the same kind of property? Both FHA and USDA mortgages are offered for single-family homes and you can apply for a 30-year fixed rate mortgage under both programs with lower interest rates and more flexible credit requirements than some conventional loans. What makes FHA and USDA mortgages so different? One important factor is who qualifies for each kind of loan. USDA mortgages are intended specifically for low to moderate income borrowers who are looking for affordable housing. USDA mortgages feature price limits and household income limits that will affect the borrower’s overall loan eligibility. FHA mortgages do not feature such restrictions and are for any financially qualified borrower regardless of the upper limit of their household income. USDA loans feature | more...

June 18, 2021

Changes To FHA Home Loan Policy: Student Loan Debt

By Joe Wallace

The Department of Housing and Urban Development official site has published a press release announcing an important revision to FHA Single-Family home loan guidelines in HUD 4000.1 concerning how a participating FHA lender should consider student loan debt as part of the loan approval process. Before the publication of HUD 4000.1, the FHA Single-Family Loan program handbook, FHA loan rules “did not address how Mortgagees should calculate future payments of deferred student loan debt which, once due, could negatively impact a Borrower’s long-term ability to repay their Mortgage and other monthly obligations” according to the HUD press release. What’s more, FHA loan rules did not consider deferred and non-deferred student loan debt separately. When HUD 4000.1 was published to replace HUD 4155, FHA loan rules were modified to require a | more...

Mortgage Loan Approval During Coronavirus

June 17, 2021

FHA Loan Minimum Credit Scores: Tips That Can Help You

By Joe Wallace

Are you concerned that your FICO score isn’t high enough to meet the minimum credit scores for the lowest down payment possible on an FHA home loan? On paper, FHA loan minimums for credit scores begin at 580 or better to qualify for the lowest down payment. Your participating lender may require a higher score but in general FICO score requirements for FHA home loans may be more competitive than some conventional equivalents. There is some good credit score advice should you take ahead of your home loan–it starts with pulling your credit reports to see what’s lurking in there, then checking your credit often and monitoring it. Being told to check your credit report is obvious advice. You will find that in just about any credit repair article. But | more...

June 15, 2021

FHA Mortgage Loan Facts

By Joe Wallace

What do you need to know about FHA home loans? Aside from dispelling the common myth that FHA mortgages are only for first-time home buyers or economically disadvantaged house hunters, there are many things you should know about the FHA loan program before you apply. FHA loans differ from other mortgages with their lower credit score requirements, low down payments, and zero penalty for early payoff of the loan. FHA home loans are for any borrower who can financially qualify and you do not need to worry about income limits or other need-based restrictions. There are some things you should know about FHA loans that are universal to all home buying experiences in America. One of those? No matter what your lender, real estate agent, or anyone else says or | more...

Conventional Loan Interest Rates Make History, FHA Loan Rates Still Incredibly Low

June 14, 2021

More FHA Mobile Home Loan Advice

By Joe Wallace

Did you know that you do not have to own the lot your new mobile home will be placed on in order to be approved for an FHA home loan? FHA mortgage loans for mobile and manufactured homes permit you to purchase a mobile home, modular home, or manufactured home that will act as your primary residence and that will be attached permanently to an approved foundation. There is more than one type of mobile home loan you can get from a participating FHA lender who offers them. You can apply for an FHA mortgage to buy the mobile home alone, or you can apply to purchase land in conjunction with the mobile home purchase. Your lender may even allow you to apply for a home loan to purchase the | more...

June 11, 2021

FHA Mobile Home Loans: What You Need To Know

By Joe Wallace

FHA home loans are available for a variety of things including mobile homes, manufactured homes, and modular housing. What do you need to know about mobile home loans offered under the FHA program? Mobile Home Loans Are Specific The home you purchase with any FHA mortgage must be classifiable as real property, which means it must be taxable as real estate regardless of whether or not it is actually taxed in your state. Real estate refers to properties that have a permanent foundation. FHA loans for mobile homes are under the Title 1 program. Mobile homes that will not be permanently affixed to a permanent foundation that meets FHA standards cannot be approved for an FHA home loan. FHA Mobile Home Loans For Lot And Home Yes, FHA mortgages can | more...

June 10, 2021

Mortgage Advice: Are You A First-Time Homebuyer?

By Joe Wallace

Are you a first-time homebuyer? There are some issues you should know about when you start your journey toward owning a home. It is a very good idea to make a checklist before you start and add to it along the way. Start your process as organized as you possibly can-there are some important things to do before you ever fill out home loan paperwork and there are a lot of little details. Organizing, checklists, and goal-setting are all important skills you’ll develop or continue to develop during this process. Real Estate Agents: To Use Or Not To Use? A real estate agent can be a big help for a first-time home buyer but you do NOT have to use one if you don’t want to. This is a choice | more...

May 24, 2021

Credit Building For First-Time Home Buyers

By Joe Wallace

Are you interested in buying your first home but aren’t sure how to improve or build up your credit to give yourself a better shot at home loan approval? FHA mortgages have more lenient credit approval requirements than conventional mortgages but even those applying for FHA mortgages need to ensure their credit scores are in an acceptable range for the most affordable home loan possible. In some cases it is a good idea to consider applying for smaller credit first. This may be in the form of store credit cards or similr lines of credit. But what should a new borrower know about doing so? Building credit takes time and patience–it is unrealistic to expect results in a few weeks or even a few months. If you have never applied | more...

HUD Announces Changes To Exterior-Only Appraisal Guidelines For FHA Purchase Loans

May 21, 2021

HUD Announces Discrimination Settlement In Puerto Rico

By Joe Wallace

The Department of Housing and Urban Development has announced a Voluntary Compliance Agreement (VCA) to settle housing discrimination complaints over accessibility in federally-funded housing. A press release on the HUD official site says the agency had investigated allegations of discrimination and a lack of accessible facilities with the Rio Plata Housing Development and the Puerto Rico Housing Finance Authority (PRHFA). The agreement “leverages a federal $2.5 million PRHFA-awarded Housing Trust Fund grant to bring the Rio Plata Housing Development into compliance with federal accessibility requirements” according to the HUD official site. This case was the result of accusations of housing discrimination and inaccessible housing–conditions that resulted in at least one resident unable to use a bedroom or bathroom in her home for years due to a mobility issue. PRFHA had | more...

May 20, 2021

Mortgage Insurance And Homeowner’s Insurance

By Joe Wallace

No matter what kind of home loan you apply for, you will have issues related to mortgage insurance to brush up on. Are you a first-time homebuyer? Do you have experience buying a home? In either case, there are things to remember. Some new to buying a home assume (mistakenly) that some kinds of insurance are universal. Then there are those who confuse mortgage insurance with homeowner’s insurance. This is not an unusual mistake to make, but it can cost you. What do you need to know about insurance issues? The first thing involves who is protected under the insurance plan. Mortgage Insurance Premiums (MIP) If you want to avoid paying for mortgage insurance on a conventional loan, you are generally required to put a whopping 20% down. When it | more...