Articles Tagged With: FHA 203k Mortgage

January 18, 2019

FHA Home Loan Credit Requirements For First Time Home Buyers

First time home buyers and house hunters should know what the FHA loan requirements are for FICO scores, credit history, and factors that affect home loan approval for first time home loan applicants. Are you buying your first home? Are you looking for down payment assistance help and local first-time home buyer programs? FHA mortgage loan rules are designed to make your first home more affordable. Knowing the requirements before you begin your home loan planning process can save you time and money in the long run. FHA Loan FICO Score Requirements For First Time Home Buyers FHA FICO score requirements for all home loan applicants are identical whether you are purchasing your first home or buying another property after having already owned a home. FHA loan FICO score minimums: | more...

Buy And Fix A Home With An FHA Rehab Loan

January 10, 2019

Buy And Fix A Home With An FHA 203(k) Rehab Loan

By Joe Wallace

An imperfect home or a property you are sure won’t pass FHA appraisal requirements is not necessarily a lost cause when it comes to FHA mortgage loan approval. You just need to select the right home loan for the property. In the case of a home that is in need of repair, you won’t use the same kind of mortgage that you would if you were interested in a turn-key home. The kind of mortgage you need for a fixer-upper is an FHA 203(k) rehabilitation loan. FHA 203(k) mortgages allow you to buy and renovate a property using a single loan. FHA rehab loans are available as both new purchase loans and refinance loans, so no matter what stage in the home ownership process you are, this option is open | more...

December 31, 2018

Home Renovation With An FHA Loan

By Joe Wallace

There are two kinds of home renovation projects; the ones you plan and the unexpected renovation you may need to do if there is a sudden problem in the home after purchasing it. An unexpected home renovation can be caused by many things that were not a factor at the time your home inspection was done; a water pipe can burst, a stove can prematurely stop working, or storm damage could cause a leak in your roof. Repair experts and contractors will be quick to point out that even a home that passes an inspection can develop such problems through no fault of the builder or seller. An unexpected home repair situation isn’t uncommon for home owners, so what’s a borrower to do when the need arises? You can fund | more...

November 29, 2018

Refinance Loans, Millennials, and Remodeling

By Bruce Reichstein

Published reports about home loan trends include stats indicate that more than 85% of home buyers or home owners in the Millennial age range will be undertaking renovation, fixer-upper, or remodeling projects in the next three years. These borrowers scour social media such as Pinterest to find decor, design, and layout ideas; these borrowers don’t seem to mind spending a bit extra to add just the right features to a home. Is there an FHA mortgage loan for these people? The FHA Rehabilitation Loan If you need to buy and remodel a home, the standard FHA mortgage is not the right type of loan to ask for. Instead, ask your loan officer about an FHA 203(k) Rehabilitation mortgage, which is available to help buy and repair or remodel a home | more...

November 23, 2018

Buying A Home During The Holiday Season With An FHA Mortgage

By Joe Wallace

Are you interested in buying a home during the holiday season? Are you looking to weigh your options or are you seriously interested in making an offer? Many published reports on mortgage loan blogs are discussing this during the holiday season, but what do you need to know about house hunting options, hiring well-connected real estate agents, and deals during the December holiday shopping season? FHA Home Loans Aren’t Just Available For Pristine Homes You will read a lot of advice online this year about hiring a good real estate agent to help you narrow down your search, about pocket listings that sellers use to keep their homes from being flooded with window shoppers instead of serious buyers, etc. But one important thing to keep in mind about searching for | more...

On Buying A First Home With An FHA Mortgage

October 30, 2018

What You Can And Cannot Do With An FHA Home Loan

By Joe Wallace

What are borrowers allowed to do with an FHA home loan? What is not allowed? Knowing your options before you apply is an important part of the process since all FHA home loan products are not made for the same purposes. You Can Use An FHA Mortgage To Buy A Mobile Home Or Condo There are FHA purchase loans available for mobile homes that meed FHA loan standards, and also mortgages to purchase condo units. FHA home loans allow these purchases as long as the mobile home is affixed to a permanent foundation and is transported directly to the site from the dealer or manufacturer. FHA condo loans are allowed when the condo unit is on or added to the FHA approved condo project list, the condo meets FHA minimum | more...

October 25, 2018

Home Repairs With An FHA Loan In 2019

By Joe Wallace

Credit card use data from a company called Argus, and other studies indicate that as many as one in three home owners paid for home renovations in 2017 using a credit card. It’s estimated that more than $140 billion worth of home improvements were financed by credit card. Credit card interest rates vary, but if you’re paying more than 10% interest on that credit card and thinking about using one to finance your home repairs in 2019, you are likely paying too much in interest compared to an FHA home loan or refinance loan. What are the options with FHA mortgages and home repair? Can you apply for an FHA mortgage at a lower interest rate than your credit cards and get your home repairs accomplished without paying unnecessary interest? | more...

September 24, 2018

Types of FHA Mortgages: New Purchase Loans

By Joe Wallace

Looking for the right FHA mortgage loan for you? There are many different options available if you need to buy a home with an FHA loan including mortgages that allow you to buy and repair a home at the same time, and loans that allow you to build a home from the ground up. FHA Loans: What Is A Forward Mortgage? Once you start shopping around for a home loan, you will encounter terminology related to your home purchase. Some of the most common are “forward mortgage” and “purchase loans”. These two terms basically indicate that the loan is meant to buy a home rather than refinance it or apply for an FHA Reverse Mortgage which gives cash to the borrower secured by a home that is nearly paid off | more...

FHA Mortgage Or Conventional Loan? Which Is Best For You?

September 21, 2018

FHA Refinance Loan Credit Questions And Answers

By Bruce Reichstein

FHA refinance loans have a set of guidelines for credit scores and credit history-do you know what it takes to be approved for an FHA refinance loan? There are some common questions about FHA refinance loans where credit is concerned, knowing the answers may help you a great deal. What Kind Of Credit Scores Do I Need To Be Approved For An FHA Refinance Loan? In general, FHA loan requirements include a FICO score at 500 or better for some loans, 580 and higher for maximum financing. These are FHA minimum requirements and do not reflect lender standards, which may be higher. Refinance loans with cash out will require certain FICO score ranges (lender provided) that are key to getting maximum financing. You will need to ask the lender about | more...

Rent Or Buy? FHA Loans Can Help You Own Your Home

September 18, 2018

FHA Loan Rules And Investment Properties

By Bruce Reichstein

FHA home loans are generally intended for owner/occupiers; there is an occupancy requirement for the FHA single-family home loan program that basically allows loans for principal residences and denies loans for those who do not intend to occupy the home within 60 days of loan closing (unless other arrangements are made for a delayed move-in which may or may not be possible depending on the lender). HUD 4000.1 has the rules that govern occupancy and the purchase of homes considered to be investment properties. HUD 4000.1 begins by defining what it considers an investment property to be: “An Investment Property refers to a Property that is not occupied by the Borrower as a Principal or Secondary Residence.” That is fairly simple, and the rules in this section go on to | more...