FHA mortgage loans are issued by federally qualified lenders and insured by the U.S. Federal Housing Authority, a division of the U.S. Department of Housing and Urban Development.
FHA loans are an attractive option, especially for first-time homeowners:
Generally easier to qualify for than conventional loans.
Monthly mortgage insurance is cheaper than conventional loans.
Allows for a co-borrower
Allows seller to pay up to 6% of the purchase price towards closing cost and pre-paid items.
Lower down payment requirements of 3.5%.
Loan is assumable subject to HUD approval to allow another future buyer to assume the loan at the current interest rate.
Bankruptcies must be discharged for 2 years.
Any previous foreclosure must be more than 3 years from the date sold at sheriffs sale.
Learn more about FHA loans. (Department of Housing and Urban Development) or call 620-860-4480.
