FHA Loan Benefits

Post date: Nov 09, 2010 4:54:26 PM

FHA home loans allow buyers to buy a home with less than 3.5% down or up to 96.5% of the homes value.  Some highlights of the FHA loan program are:

• Minimal Down Payment and Closing Costs.

• Downpayment less than 3.5% of Sales Price

• Gift for downpayment and closing costs allowed

• No reserves required

• FHA regulated closing costs

• Seller can credit up to 6% of sales price towards buyers costs

• Easier Credit Qualifying Guidelines such as:

• Minimum FICO credit score of 640

• FHA will allow a home purchase two years after a Bankruptcy

• FHA will allow a home purchase three years after a Foreclosure

• FHA will allow a home purchase after a short sale (0x30 mortgage lates required) 

• Easier Debt Ratio & Job Requirement Guidelines such as:

• Higher Debt Ratio's than other home loan programs.

• Less than two years on the job is allowed.

• Self-Employed individuals o.k.

  • First Time Homebuyers are eligible