FHA Loan Requirements
Mortgage Insurance is Required for an FHA Loan
Mortgage Insurance is Required for an FHA Loan
An FHA loan is a mortgage loan that is insured by the Federal Housing Administration (FHA). The FHA loan is very popular in today’s market mostly especially with first time home buyers because the requirements are less strict than the conventional loans.
Down payment as little at 3.5%
Credit score 580 or higher.
Credit scores can be between 500-579 if a 10% down payment is made.
One thing to consider however is that the lower your FICO score, the higher the rate typically. Contact us if you need assistance in reviewing your credit.
Now, another advantage of the FHA loan is that it can be assumable, meaning that if you want to sell your home, the buyer can “assume” the loan you have. This is very helpful for people who have had a bankruptcy but can still qualify for an FHA loan.
Due to the reduced strict standards of a conventional loan, two kinds of mortgage insurance premiums are added. They are as follows:
Contact our Professional Mortgage Loan Officer to walk you through the Terms,
Loan Amounts, LTV ration and annual insurance premium.
All the FHA loan requirements are set forth by the Federal Housing Authority and include the following:
Each state and county sets the FHA mortgage limits.
Ready to start on an FHA loan and learn more?
Are you a First-Time Home Buyer or looking for more affordable financing options? An FHA Loan could be the perfect solution. Backed by the Federal Housing Administration, these loans offer flexible qualification standards, making homeownership more accessible for those with lower credit scores or limited down payments. As a leading FHA Mortgage Broker in California, ALT Financial is here to guide you through the entire process, helping you secure the best terms available.
An FHA Loan is a government-backed mortgage designed to help more people achieve the dream of homeownership. This type of loan typically requires a lower down payment (as low as 3.5%) and offers more lenient credit score requirements, making it an excellent option for first-time buyers or those with less-than-perfect credit.
Curious about how it compares with other loan options? Explore our resources for First-Time Home Buyers to understand all your options.
If you’re looking to buy a home but don’t have 20% to put down, or your credit history isn’t perfect, an FHA loan is the right solution. This accessible loan combines low down payment requirements with relatively easy qualifying standards. FHA mortgage loans are perfect for buyers who may not get approved by conventional lenders. As an experienced FHA Mortgage Company, ALT Financial will help you navigate the process and secure the best terms available.
Ready to buy your dream home? An FHA loan with ALT Financial can help make it happen. Let’s get started!
Applying for an FHA loan with ALT Financial is a straightforward process. We will gladly assist you and help you get qualified for this type of home loan. To get prequalified for an FHA Loan, you will need to provide the following information:
We are committed to making the home buying process as seamless as possible. Contact ALT Financial, your trusted FHA Mortgage Broker in California, for guidance.
Qualifying for an FHA loan is more accessible than other loan types, but there are still key criteria to meet. Here’s what you need:
At ALT Financial, we will guide you through the qualification process. Even if your situation doesn’t perfectly meet every requirement, we’ll work to help you explore options.
Looking to purchase a home in Los Angeles or anywhere in California but struggling with traditional mortgage approval? An FHA Loan is an excellent option. The guidelines and requirements are much more lenient, allowing for lower FICO scores and smaller down payments. Here’s why you should consider an FHA loan:
An FHA loan is a government-insured mortgage, making it easier for borrowers with lower credit scores or smaller down payments to qualify for home financing.
You typically need a credit score of 580 or above for the minimum 3.5% down payment. Other factors include a manageable debt-to-income ratio and proof of steady income.
In most cases, you can only hold one FHA loan at a time. However, exceptions may apply for relocations or other unique circumstances.
Yes, felons can apply for FHA loans, but each case is reviewed individually. Learn more in our detailed blog post on Can a Felon Get an FHA Loan?.
Yes, as long as the foreclosed property meets FHA standards for safety and livability. For more details, read Can You Buy a Foreclosure with an FHA Loan?.